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AVI Systems Inc; 2018-10-04;
Tracking#: CITY OF CARLSBAD MINOR PUBLIC WORKS CONTRACT CARLSBAD CITY LIBRARY BOARD ROOM AUDIO VISUAL UPGRADE This agreement is made on the--+---day of __i,.~~~~--· 2018, by the City of Carlsbad, California, a municipal corporation, (hereinafter called "C1 y"), and AVI Systems, Inc., whose principal place of business is 7270 Trade Street, Suite 102, San Diego, CA 92121-2384 (hereinafter called "Contractor"). City and Contractor agree as follows: DESCRIPTION OF WORK. Contractor shall perform all work specified in the Contract documents for the project described by these Contract Documents (hereinafter called "Project"). PROVISIONS OF LABOR AND MATERIALS. Contractor shall provide all labor, materials, tools, equipment, and personnel to perform the work specified by the Contract Documents unless excepted elsewhere in this Contract. CONTRACT DOCUMENTS. The Contract Documents consist of this Contract, exhibits to this Contract, Contractor's Proposal, the Plans and Specifications, the General Provisions, addendum(s) to said Plans and Specifications, and all proper amendments and changes made thereto in accordance with this Contract or the Plans and Specifications, all of which are incorporated herein by this reference. When in conflict, this Contract will supersede terms and conditions in the Contractor's proposal. LABOR. Contractor will employ only skilled workers and abide by all State laws and City of Carlsbad Ordinances governing labor. GUARANTEE. Contractor guarantees all labor and materials furnished and agrees to complete the Project in accordance with directions and subject to inspection approval and acceptance by: Jessica Padilla Bowen (City Project Manager) WAGE RATES. The general prevailing rate of wages for each craft or type of worker needed to execute the Contract shall be those as determined by the Director of Industrial Relations pursuant to Sections 1770, 1773 and 1773.1 of the Labor Code. Pursuant to Section 1773.2 of the Labor Code, a current copy of the applicable wage rates is on file in the Office of the City Engineer. Contractor shall not pay less than the said specified prevailing rates of wages to all workers employed by him or her in execution of the Contract. Contractor shall be responsible for insuring compliance with provisions of section 1777. 5 of the Labor Code and section 4100 et seq. of the Public Contracts Code, "Subletting and Subcontracting Fair Practices Act." The City Engineer is the City's "duly authorized officer" for the purposes of section 4107 and 4107.5. The provisions of Part 7, Chapter 1, of the Labor Code commencing with section 1720 shall apply to the Contract for work. A contractor or subcontractor shall not be qualified to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code, or engage in the performance of any contract for public work, unless currently registered and qualified to perform public work pursuant to Section 1725.5. This project is subject to compliance monitoring and enforcement by the Department of Industrial Relations. Contractor and any subcontractors shall comply with Section 1776 of the California Labor Code, which generally requires keeping accurate payroll records, verifying and certifying payroll records, and making them available for inspection. Contractor shall require any subcontractors to comply with Section 1776. FALSE CLAIMS. Contractor hereby agrees that any contract claim submitted to the City must be asserted as part of the contract process as set forth in this agreement and not in anticipation of litigation or in conjunction with litigation. CARLSBAD CITY LIBRARY BOARD ROOM AV UPGRADE Page 1 of 13 City Attorney Approved 9/27/2016 Tracking#: Contractor acknowledges that California Government Code sections 12650 et seq., the False Claims Act, provides for civil penalties where a person knowingly submits a false claim to a public entity. These provisions include false claims made with deliberate ignorance of the false information or in reckless disregard of the truth or falsity of the Information. The provisions of Carlsbad Municipal Code sections 3.32.025, 3.32.026, 3.32.027 and 3.32.028 pertaining to false claims are Incorporated herein by reference. Contractor hereby acknowledges that the filing of a false claim may subject the Contractor to an administrative debarment proceeding wherein the contractor may be prevented from further bidding on public contracts for a period of up to five years and that debarment by another jurisdiction is grounds for the City of Carlsbad to disqualify the Contractor or subcontractor from participating in contract bidding. Signature: ~~ ~ David Bunting, Awt, Print Name: REQUIRED INSURANCE. The successful contractor shall provide to the City of Carlsbad, a Certification of Commercial General Liability and Property Damage Insurance and a Certificate of Workers' Compensation Insurance indicating coverage in a form approved by the Cslifornia Insurance Commission. The certificates shall Indicate coverage during the period of the contract and must be furnished to the City prior to the start of work. The minimum limits of liability insurance are to be placed with California admitted insurers that have a current Best's Key Rating of not less than "A-:VII"; OR with a surplus line insurer on the State of California's List of Approved Surplus Line Insurers (LASLI) with a rating In the latest Best's Key Rating Guide of at least "A:X": OR an alien non-admitted Insurer listed by the National Association of Insurance Commissioners (NAIC) latest quarterly listings report. Commercial General Liability Insurance of Injuries Including accidental death, to any one person In an amount not less than ........ $1,000,000 Subject to the same limit for each person on account of one accident in an amount not less than ....... $1,000,000 Property damage insurance in an amount of not less than ........ $1,000,000 Automobile Liability Insurance in the amount of $1,000,000 combined single limit per accident for bodily injury and property damage. In addition, the auto policy must cover any vehicle used in the performance of the contract, used onsite or offslte, whether owned, non-owned or hired, and whether scheduled or non- scheduled. The automobile insurance certificate must state the coverage is for "any auto• and cannot be limited In any manner. The above policies shall have non-cancellation clauses providing that thirty (30) days written notice shall be given to the City prior to such cancellation. The policies shall name the City of Carlsbad as an additional insured. The full limits available to the named insured shall also be available and applicable to the City as an additional insured. WORKERS' COMPENSATION AND EMPLOYER'S LIABILITY. Workers' Compensation limits as required by the California Labor Code. Workers' Compensation will not be required if Contractor has no employees and provides, to City's satisfaction, a declaration stating this. BUSINESS LICENSE. The Contractor and all subcontractors are required to have and maintain a valid City of Carlsbad Business License for the duration of the contract. CARLSBAD CITY LIBRARY BOARD ROOM AV UPGRADE Page 2 of 13 City Attorney Approved 9/27/2016 Tracking#: INDEMNITY. The Contractor shall assume the defense of, pay all expenses of defense, and indemnify and hold harmless the City, and its officers and employees, from all claims, loss, damage, injury and liability of every kind, nature and description, directly or indirectly arising from or in connection with the performance of the Contract or work; or from any failure or alleged failure of Contractor to comply with any applicable law, rules or regulations including those related to safety and health; and from any and all claims, loss, damages, injury and liability, howsoever the same may be caused, resulting directly or indirectly from the nature of the work covered by the Contract, except for loss or damage caused by the sole or active negligence or willful misconduct of the City. The expenses of defense include all costs and expenses including attorneys' fees for litigation, arbitration, or other dispute resolution method. JURISDICTION. The Contractor agrees and hereby stipulates that the proper venue and jurisdiction for resolution of any disputes between the parties arising out of this agreement is San Diego County, California. Start Work: Contractor agrees to start within 60 (sixty) working days after receipt of Notice to Proceed. Completion: to Proceed. Ill Ill Ill Ill Ill Ill Ill Ill Ill Ill Ill Ill Ill Ill Ill Ill Ill Contractor agrees to complete work within 90 (ninety) working days after receipt of Notice CARLSBAD CITY LIBRARY BOARD ROOM AV UPGRADE Page 3 of 13 City Attorney Approved 9/27/2016 CONTRACTOR'S INFORMATION. AVI Systems, Inc. (name of Contractor) 792548 (Contractor's license number) C7-Low Voltage (license class. and exp. date) DIR registration# 1000036874 DIR registration exp. Date: 6/30/2019 Tracking#: 7270 Trade Street, Suite 201 (street address) San Diego, CA 92121-2384 (city/state/zip) 858-653-4339 (telephone no.) 858-695-7844 (fax no.) ryan. walsh@avisystemsinc.gov (e-mail address) AUTHORITY. The individuals executing this Agreement and the instruments referenced in it on behalf of Contractor each represent and warrant that they have the legal power, right and actual authority to bind Contractor to the terms and conditions of this Agreement. CONTRACTOR-AV! Systems, Inc. CITY OF CARLSBAD, a municipal corporation of the State of C ·tornia By: '?a r.r:J...•) 13 O'I. Th I \ (sign here) By: RAND\ B0\2-.TI-:\ C,Fo (print nameltitle) By: (sign here) ~"'\I'.~ I "'-~ (print name/title) If required by City, proper notarial acknowledgment of execution by Contractor must be attached. !f..E corporation, Agreement must be signed by one corporate officer from each of the following two groups: Group A Chairman, President, or Vice-President Group B Secretary, Assistant Secretary, CFO or Assistant Treasurer Otherwise, the corporation must attach a resolution certified by the secretary or assistant secretary under corporate seal empowering the officer(s) signing to bind the corporation. APPROVED AS TO FORM: Assistant City Attorney CARLSBAD CITY LIBRARY BOARD ROOM AV UPGRADE Page 4 of 13 City Attorney Approved 9/27/2016 Tracking#: EXHIBIT A LISTING OF SUBCONTRACTORS BY GENERAL CONTRACTOR Set forth below is the full name and location of the place of business of each sub-contractor whom the Contractor proposes to subcontract portions of the Project in excess of one-half of one percent of the total bid, and the portion of the Project which will be done by each sub-contractor for each subcontract. NOTE: The Contractor understands that if it fails to specify a sub-contractor for any portion of the Project to be performed under the contract in excess of one-half of one percent of the bid, the contractor shall be deemed to have agreed to perform such portion, and that the Contractor shall not be permitted to sublet or subcontract that portion of the work, except in cases of public emergency or necessity, and then only after a finding, reduced in writing as a public record of the Awarding Authority, setting forth the facts constituting the emergency or necessity in accordance with the provisions of the Subletting and Subcontracting Fair Practices Act (Section 4100 et seq. of the California Public Contract Code). If no subcontractors are to be employed on the project, enter the word "NONE." SUBCONTRACTORS Portion of Project to Business Name and Address DIR Registration License No., % of be Subcontracted No. Classification & Total Expiration Date Contract NONE Total% Subcontracted: ______ _ The Contractor must perform no less than fifty percent (50%) of the work with its own forces. CARLSBAD CITY LIBRARY BOARD ROOM AV UPGRADE Page 5 of 13 City Attorney Approved 9/2712016 SERVICES TO BE PROVIDED INTEGRATION SERVICES EXHIBIT B JOB QUOTATION Dated July 31, 2018 INTEGRATION SCOPE OF WORK A. SUMMARY: Tracking#: The City of Carlsbad has asked AVI Systems to provide an upgrade to their Carlsbad City Library Board Room. The upgrade will include a new presentation and audio system. A wall-mounted wireless touch panel will be provided to control the system. In addition, AVI Systems will provide and install a shelf under the conference table to mount an OFE laptop and associated cabling. B. SYSTEM DESCRIPTION: Location: Carlsbad City Library, 1775 Dove Lane, Carlsbad, CA -Board Room • Functionality Description: Standard boardroom with hardwired and wireless laptop presentation capabilities. The customer has also requested that AVI provide a new Polycom SoundStation2 audio conferencing phone, as well. • Displays: o Replace existing projector with new Epson 6000 lumen laser projector. The new projector will be mounted in the same location as the old projector. A Chief RPMAU universal mount will be attached to the existing pole mount to accommodate the new projector. o Replace existing projector screen with new Da-Lite 113" diagonal 16: 10 motorized projector screen. •Source Devices: o HDMI and VGA laptop connections will be installed at each end of the conference table and connect to the HDMI and VGA inputs of a Crestron DMPS3-4K-150-C presentation system. o A Barco ClickShare will be installed under the table as well, and will connect to an HDMI input on the DMPS3-4K-150-C. •Audio: o Program audio will pass through the new projector and out to a new Extron amplifier installed above the projector. The amplifier will power (4) new ceiling-mounted speakers which will be installed by AVI Systems in the same locations as the existing ceiling speakers. • Conferencing: o A Polycom SoundStation2 audio conferencing phone will also be provided by AVI Systems, but will not be integrated into the AV system of the Boardroom. • Switching: o The Crestron DMPS3-4K-150-C presentation system will be installed under the conference table and will serve as the video switcher for all sources. The OM output of the DMPS3-4K-150-C will extend the selected source over CAT cable to a Crestron receiver above the projector, and the HDMI output of the receiver will connect to the HDMI input of the new projector. • Controls: o A Crestron TST-902 wireless touch panel will be installed in a wall dock in a location that is TBD. Users will have the ability to undock the touch panel form the wall dock and use it wirelessly at the conference table. o The touch panel will communicate wirelessly to a Crestron CEN-GWEXER wireless gateway that will be connected to a PoE switch under the conference table. o The DMPS3-4K-150-C will also be connected to the same PoE switch so that there is bi- directional communication between the TST-902 touch panel and the DMPS3. o Touch panel controls will include system on/off (this will power on/off the projector and lower/raise the projector screen), source selection, and audio volume controls. o A low voltage wall switch for the projector screen will also be installed as a backup in a location which is TBD. CARLSBAD CITY LIBRARY BOARD ROOM AV UPGRADE Page 6 of 13 City Attorney Approved 9/27/2016 Tracking#: C. EXCLUSIONS: The following work is not included in our Scope of Work: • All conduits, high voltage, wiring panels, breakers, relays, boxes, receptacles, etc. • Concrete saw cutting and/or core drilling • Fire wall, ceiling, roof and floor penetration • Necessary gypsum board replacement and/or repair • Necessary ceiling tile or T-bar modifications, replacements and/or repair • Structural support of equipment *AVI Systems not responsible for building related vibrations • All millwork (moldings, trim, cut outs, etc.) • Patching and Painting • Permits (unless specifically provided for and identified within the contract) • Unless otherwise stated the pricing in this agreement does not include prevailing wage or union labor • Unless specifically noted lifts and scaffolding are not included D. CONSTRUCTION CONSIDERATIONS: Intentionally Left Blank E. NOTICE: THIS SCOPE OF WORK IS DELIVERED ON THE BASIS OF THE FOLLOWING ASSUMPTIONS: • The room(s) match(es) the drawings provided • Site preparation by the Customer and their contractors includes electrical and data placement per AVI Systems specification. • Site preparation will be verified by AVI Systems project manager or representative before scheduling of the installation. All work areas should be clean and dust free prior to the beginning of on-site integration of electronic equipment. • Customer communication of readiness will be considered accurate and executable by AVI Systems project manager. ••Rescheduling and redeployment of AVI Systems technicians due to unacceptable site preparation may cause scheduling delays of up to 10 business days. • There is ready access to the building/ facility and the room(s) for equipment and materials. • There is secure storage for equipment during a multi-day integration. • If Customer furnished equipment and existing cabling is to be used, AVI Systems assumes that these items are in good working condition at this time and will integrate into the designed solution. Any repair, replacement and/or configuration of these items that may be necessary will be made at an additional cost. • All Network configurations including IP addresses are to be provided, operational and functional before AVI Systems integration begins. AVI Systems will not be responsible for testing the LAN connections. • Cable or Satellite drops must be in place with converter boxes operational before the completion of integration. Any delay resulting in extra work caused by late arrival of these items will result in a change order for time and materials. • Document review/ feedback on drawings/ correspondence will be completed by the Customer within two business days (unless otherwise noted). • The documented Change Control process will be used to the maximum extent possible -the Customer will have an assigned person with the authority to communicate/approve project Field Directed Change Orders and Contract Change Orders (see Appendix). • In developing a comprehensive proposal for equipment and integration services AVI Systems' Sales Representatives and Engineering teams must make some assumptions regarding the physical construction of your facility, the availability of technical infrastructure and site conditions for installation. If any of the conditions we have indicated in the site survey form are incorrect or have changed for your particular project or project site, please let your Sales representative know as soon as possible. Conditions of the site found during integration effort which are different from those documented may have an effect on the price of the system solution, integration or services. To ensure that you have an CARLSBAD CITY LIBRARY BOARD ROOM AV UPGRADE Page 7 of 13 City Attorney Approved 9/27/2016 Tracking#: accurate proposal based on your facility and specific to the conditions of your project, please review all project documentation carefully. F. INTEGRATION PROJECT MANAGEMENT PROCESSES AVI Systems will follow a foundational project management process which may include the following actions/deliverables (based on the size/complexity/duration of the integration project): • Site Survey -performed prior to Retail Sales Agreement and attached • Project Welcome Notice -emailed upon receipt of Purchase Order • Project Kick-Off meeting with Customer Representative(s) -either by phone or in-person • Project Status reviews -informal or formal -either by phone or in-person (based on the size/complexity/duration of the project) • Project Change Control -comprised of Field Directed Change Order and/or Contract Change Order submittals (see Appendix) • Notice of Substantial Completion (see Appendix) -at Customer walk-through -prior to Service transition G. KNOWLEDGE TRANSFER (TRAINING) This is geared specifically towards the end-user I operator. The purpose of this knowledge transfer is to provide operators with the necessary knowledge to confidently and comfortably operate all aspects of the integrated system. Areas covered include the following: • Equipment and system overview • Equipment operation and function • Equipment start up, stop, and shut down • Equipment automatic and manual operation • Discussion and documentation relating to control system operation • Discussion and documentation relating to system processor and its control applications • Powering up, powering down AV system via control system • Manual operation of display systems, audio system and all other related components • Use/operation of patch panels, when and where to be used • Who to call when help is required H. AVI SYSTEMS INTEGRATION SERVICES RESPONSIBILITIES AVI Systems will provide services/work for the project as described above in the Scope of Work or per the attached separate Scope of Work document detailing the scope of work to be performed. • Provide equipment, materials and service items per the contract products and services detail. • Provide systems equipment integration and supervisory responsibility of the equipment integration. • Provide systems configuration, checkout and testing. • Provide project timeline schedules. • Provide necessary information, as requested, to the owner or other parties involved with this project to ensure that proper AC electrical power and cableways and/or conduits are provided to properly integrate the equipment within the facilities. • Provide manufacturer supplied equipment documentation. • Provide final documentation and "as built" system drawings (CAD) -if purchased. • Provide system training following integration to the designated project leader or team. I. CUSTOMER INTEGRATION SERVICES RESPONSIBILITIES • Provide for the construction or modification of the facilities for soundproofing, lighting, electrical, HVAC, structural support of equipment, and decorating as appropriate. Includes installation of ceiling mounted projection screen. CARLSBAD CITY LIBRARY BOARD ROOM AV UPGRADE Page 8 of 13 City Attorney Approved 9/27/2016 /II /II /II /II /II /II /II /II /II /II /II /II /II /II /II /II /II /II /II /II Tracking#: • Provide for the ordering, provisioning, installation, wiring and verification of any Data Network (LAN, WAN, T1, ISDN, etc.) and Telephone Line (Analog or Digital) equipment and services prior to on-site integration. • Provide all necessary cableways and/or conduits required to facilitate AV systems wiring. • Provide all necessary conduit, wiring and devices for technical power to the AV systems equipment. • Provide reasonable accesses of AVI Systems personnel to the facilities during periods of integration, testing and training, including off hours and weekends. • Provide a secure area to house all integration materials and equipment. • Provide a project leader who will be available for consultation and meetings. • Provide timely review and approval of all documentation (Technical Reports, Drawings, Contracts, etc.). CARLSBAD CITY LIBRARY BOARD ROOM AV UPGRADE Page 9 of 13 City Attorney Approved 9/27/2016 Tracking#: PRODUCTS AND SERVICES DETAIL PRODUCTS: Model# Mfg. Description Qty Price Extended V11H735020 EPSON Pro L 11 00U Laser Projector 1 $5,878.00 $5,878.00 RPMAU CHIEF UNIVERSAL RPMA 1 $180.00 $180.00 34460LS DA-LITE COSMO 113D 60X96NPA MW $1,151.00 $1,151.00 77027 DA-LITE FLOATING MOUNTING 1 $68.00 $68.00 BRKTS L GWH R9861520NA BARCO ClickShare-200 Set NA, Incl $1,395.00 $1,395.00 Ba DMPS3-4K-150-CRESTRON 3-Series® 4K DigitalMedia™ 1 $3,048.00 $3,048.00 C Presentation System 150 TST-902 CRESTRON 8.7" Wireless Touch Screen $2,317.00 $2,317.00 TST-902-DSW CRESTRON Wall Dock for TST-902 $914.00 $914.00 TST-902-DSW-CRESTRON Post-Construction Wall Mount $109.00 $109.00 WMKM Kit w/Mud Ring for TST-902- DSW CEN-GWEXER CRESTRON infiNET EX® & ER Wireless $274.00 $274.00 Gateway CEN-SW-POE-5 CRESTRON 5-Port PoE Switch $243.00 $243.00 DM-RMC-4KZ-CRESTRON DigitalMedia BG+® 4K60 4:4:4 $549.00 $549.00 100-C HOR Receiver & Room Controller 100 UTB-A2-14 MIDDLE UTB, 1-2 SPACE, 14"DEEP 2 $299.00 $598.00 ATLANTI 60-1449-01 EXTRON MPA601-70V $299.00 $299.00 SAROS IC6T-W-CRESTRON Saros® 6.5" 2-Way In-Ceiling 4 $140.00 $560.00 T-EACH Speaker, White Textured, Single (must be ordered in multiples of 2) CBL-HD-20 CRESTRON Crestron® Certified HDMI® 2 $60.00 $120.00 Interface Cable, 18 Gbps, 20 ft (6.1 m) CBL-VGA-AUD-CRESTRON Crestron® Certified Computer 2 $54.00 $108.00 25 VGA Interface Cable w/Audio, 25 ft CBL-HD-6 CRESTRON Crestron® Certified HDMI® $31.00 $31.00 Interface Cable, 18 Gbps, 6 ft (1.8m) CBL-HD-3 CRESTRON Crestron® Certified HDMI® $25.00 $25.00 Interface Cable, 18 Gbps, 3 ft (0.91m) 2200-07800-160 POLYCOM SoundStation2W (Expandable) $683.00 $683.00 1.9GHz DECT 6.0 Wireless. Includes Base Station (PSTN), 2 100-240V AC p Sub-Total: Equipment $18,550.00 CARLSBAD CITY LIBRARY BOARD ROOM AV UPGRADE Page 10 of 13 City Attorney Approved 9/27/2016 INTEGRATION Engineering Project Management Programming Cable Placement On Site Integration Integrations Cables & Connectors Testing & Acceptance Training PRODUCTS AND SERVICES SUMMARY Ill Ill Ill Ill Ill Ill Ill Ill Ill Equipment Integration Shipping & Handling Tax CARLSBAD CITY LIBRARY BOARD ROOM AV UPGRADE City Attorney Approved 9/27/2016 Tracking#: Sub-Total: Integration GRAND TOTAL $588.00 $1,568.00 $1,960.00 $762.00 $4,870.00 $538.00 $1,176.00 $196.00 $11,658.00 $18,550.00 $11,658.00 $498.00 $1,479.32 $32,185.32 Page 11 of 13 l . Tracking#: EXHIBITC LABOR AND MATERIALS BONO Bond # CA2245150 WHEREAS, the City Council of the City of Carlsbad, State of California, has awarded to AVI Systems, Inc. (hereinafter designated as the "Principal"), a Contract for: CARLSBAD CITY LIBRARY BOARD ROOM AUDIO VISUAL UPGRADE In the City of Carlsbad, in strict conformity with the drawings and specifications, and other Contract Documents now on file ln the Office of the City Clerk of the City of Carlsbad and all of which are Incorporated herein by this reference. WHEREAS, Principal has executed or ls about to execute said Contract and the terms thereof require the furnishing of a bond, providing that if Principal or any of its subcontractors shall fail to pay for any materials, provisions, provender or other supplies or teams used In, upon or about the performance of the worf< agreed to be done, or for any work or labor done thereon of any kind, the Surety on this bond will pay the same to the extent hereinafter set forth. NOW, THEREFORE, WE, AVI Systems, Inc., as Principal, (hereinafter designated as the "Contractor"), and ~reat American Insurance Company as Surety, are held firmly bound unto the City of Carlsbad In the sum of Thirty-Two Thousand, One Hundred Eighty-Five Dollars ($32,185.32), said sum being an amount equal to: One hundred percent (100%) of the total amount payable under the terms of the Contract by the City of Carlsbad, and for which payment weH and truly to be made we bind ourselves, our heirs, executors and administrators, successors, or assigns, jointly and severally, fl1111ly by these presents. THE CONDITION OF THIS OBLIGATION IS SUCH that if the Contractor or his/her subcontractors fail to pay for any materials, provisions, provender, supplies, or teams used in, upon, for, or about the perfonnance of the work contracted to be done, or for any other work or labor thereon of any kind, consistent with California Clvll Code section 9100, or for amounts due under the Unemployment Insurance Code with respect to the work or labor perfonned under this Contract, or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of the contractor and subcontractors pursuant to section 13020 of the Unemployment Insurance Code with respect to the work and labor, that the Surety will pay for the same, and, also, in case suit is brought upon the bond, reasonable attorney's fees, to be fixed by the court consistent with California Civil Code section 9554. This bond shall Inure to the benefit of any of the persons named in California Civil Code section 9100, so as to give a right of action to those persons or their assigns in any suit brought upon the bond. Surety stipulates and agrees that no change, extension of time, alteration or addition to the tenns of the Contract, or to the work to be performed hereunder or the specifications accompanying the same shall affect its obligations on this bond, and it does hereby waive noUce of any change, extension of time, alterations or addition to the terms of the contract or to the work or to the specifications. CARLSBAD CITY LIBRARY BOARD ROOM AV UPGRADE Page 12 of 13 CHy Attorney Approved 9/27/2016 . ' Tracking#: In the event that Contractor is an individual, it is agreed that the death of any such Contractor shall not exonerate the Surety from its obligations under this bond. Executed by CONTRACTOR this t \ ti.,... Executed by SURETY this __ 7"'"'t.;.;..h ___ day day ot~pU:-~ , 2018. CONTRACTOR: AVI Systems. !nc, (name of Contractor) By: -~Q~ 130'\.Ifu (sign here) RANDI BO\Z-t +I (print name here) C,Fo I A.VI SY STEV'Y\~ , I~(,, (title and organization of signatory) By:~~ ~u ~v,c\ ~½~+·"'°1 (print name here) f\V fl l Pt V :C-'S~.Stef"'S , Iv1c. (title and organlzatlo of signatory) f September 2018 o ___________ , . SURETY: By: Great American Insurance Company (name of Surety) 301 East 4th Street, Cincinnati, OH 45202 (address of Surety) 701.526.2809 (telephone number of Surety) ---& (Ezs/4,r:_ (signature of Attomey..Jn.Fact} Martin E. Fisher (printed name of Attorney.in-Fact) ( attach corporate resolution showing current power of attorney) (Proper notarial acknowledgment of execution by CONTRACTOR and SURETY must be attached.) (President or vice.president and secretary or assistant secretary must sign for corporations. If only one officer signs, the corporation must attach a resolution certified by the secretary or assistant secretary under corporate seal empowering that officer to bind the corporation.) APPROVED AS TO FORM: CELIA A. BREWER ::AU-ydd~ Assistant City Attorney CARLSBAD Cln' LIBRARY BOARD ROOM AV UPGRADE Page 13 of 13 City Attorney Approved 9/27/2016 Acknowledgment by Corporation STATE OF COUNTY OF On this\ ~~ay ofseP"teCOO?.,. 2.Dt 1;>. before me personally appeared AA"-0 I BO<L1 +-\ • to me known, who being by me duly sworn, did acknowledge and say that (s)he is the C....FO of AVI Systems Inc. the corporation that executed the foregoing instrument, and acknowledged to me that such corporation executed the same. In witness whereof, I have hereunto set my hand and affixed my official seal, at my office in the above County, the day and year written above. • Notary Public ------S-AR .. A--H-.:D:UP:IN-::--1 .... Notary Public, Stat~ i!PK~~:as MV APPOlntmen -·"' ('Yi •J le • ,ZO IN Acknowledgment by Surety STATE OF _____ _ COUNTY OF _____ _ On this __ day of ____ _, ___ _, before me personally appeared _______ _, to me known. who being by me duly sworn, did acknowledge and say that she is the Attorney-in-Fact of ________________ _, the corporation that executed the foregoing instrument, and acknowledged to me that such corporation executed the same. In witness whereof, I have hereunto set my hand and affixed my official seal, at my office in the above County, the day and year written above. _______ , Notary Public State of ------County of ____ _ My Commission Expires: _____ _ -· CALIFORNIA ALL-PURPOSE ACKNOWLEDGEMENT Civil Code § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfullness, accuracy or validity of that document. ••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• State of North Dakota County of ___ c_a_s_s ______ _ } On September 7, 2018 before me, Gail T. Hayes , Notary Public --------=-oa..,.te_________ Name and fdleof Notary personally appeared __ M_a_rt_i_n_E_._F_is_h_e_r ____________________________ _ Name and or Names of Slgner(s) Who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENAL TY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. GAIL T. HAYES Notary Public State of North Dakota My Commission Expires Jan. 27, 2021 OPTIONAL -------------------------------------- Though the infonnation below is not required by law, it may prove valuable to the persons relying on the document and could prevent fraudulent removal and reattachment of this fonn to another document. Description of Attached Document Title or Type of Document _________________________________ _ Document Date ____________________ Number of Pages: __________ _ Signer's Name: _______________ _ D Individual D Corporate Officer -Title(s): _______ _ D Partner -D Limited D General D Guardian or Conservator l8l Attorney-in-Fact D Trustee D Other: -----------Signer is representing ____ _ Great American Insurance Company RIGHTTHUMBPRINT OF SIGNER Top of thumb D Individual D Corporate Officer -Title(s): _______ _ D Partner -D Limited D General D Guardian or Conservator D Attorney-in-Fact D Trustee D Other: -----------Signer is representing ____ _ RIGHTTHUMBPRINT OF SIGNER Topolthumb ••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• GREAT AMERICAN INSURANCE COMPANv® Administrative Office: 301 E 4TH STREET • CINCINNATI, OHIO 45202 • 513-369-5000 • FAX 513-723-2740 The number of persons authorized by this power of attorney is not more than 1 POWER OF ATTORNEY Bond No. CA2245150 KNOW ALL MEN BY THESE PRESENTS: That the GREAT AMERICAN INSURANCE COMPANY, a corporation organized and existing under and by virtue of the laws of the State of Ohio, does hereby nominate, constitute and appoint the person or persons named below its true and lawful attorney-in- fact, for it and in its name, place and stead to execute on behalf of the said Company, as surety, the specific bond, undertaking or contract of suretyship referenced herein; provided that the liability of the said Company on any such bond, undertaking or contract ofsuretyship executed under this authority shall not exceed the limit stated below. The bond number on this Power of Attorney must match the bond number on the bond to which it is attached or it is invalid. Name Martin E. Fisher Principal: AVI Systems Inc. Obligee: City of Carlsbad Address 2575 41st St., S, Suite 2 Fargo, ND 58104 Limit of Power $100,000,000.00 IN WITNESS WHEREOF the GREAT AMERlCAN INSURANCE COMPANY has caused these presents to be signed and attested by its appropriate officers and its corporate seal hereunto affixed this 7th day of September, 2018. Attest GREAT AMERlCAN INSURANCE COMPANY STATE OF OHIO, COUNTY OF HAMILTON -ss: DAVID c. KITCHIN can-377-2405) On this 7th day of September , 2018 , before me personally appeared DAVID C. KITCHIN, to me known, being duly sworn, deposes and says that he resides in Cincinnati, Ohio, that he is a Divisional Senior Vice President of the Bond Division of Great American Insurance Company, the Company described in and which executed the above instrument; that he knows the seal of the said Company; that the seal affixed to the said instrument is such corporate seal; that it was so affixed by authority of his office under the By-Laws of said Company, and that he signed his name thereto by like authority. This Power of Attorney is granted by authority of the following resolutions adopted by the Board of Directors of Great American Insurance Company by unanimous written consent dated June 9, 2008. RESOLVED: That the Divisional President, the several Divisional Senior Vice Presidents, Divisional Vice Presidents and Divisonal Assistant Vice Presidents, or any one of them, be and hereby is authorized, from time to time, to appoint one or more Attorneys-in-Fact to execute on behalf of the Company, as surety, any and all bonds, undertakings and contracts of suretyship, or other written obligations in the nature thereof; to prescribe their respective duties and the respective limits of their authority; and to revoke any such appointment at any time. RESOLVED FURTHER: That the Company seal and the signature of any of the aforesaid officers and any Secretary or Assistant Secretary of the Company may be affixed by facsimile to any power of attorney or certificate of either given for the execution of any bond, undertaking, contract of suretyship, or other written obligation in the nature thereof. such signature and seal when so used being hereby adopted by the Company as the original signature of such officer and the original seal of the Company, to be valid and binding upon the Company with the same force and effect as though manually affixed. CERTIFICATION I, STEPHEN C. BERAHA, Assist&nt Secretary of Great American Insurance Company, do hereby certify that the foregoing Power of Attorney and the Resolutions of the Board of Directors of June 9, 2008 have not b-~en revoked and are now in full force and effect. Signed and sealed this 7th day of September, 2016. S1194C (6/15) Client#· 1101881 AVISYS ACORDru CERTIFICATE OF LIABILITY INSURANCE I DATE (MM/DDNYYY) 3/27/2018 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOTAFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder Is an ADDITIONAL INSURED, the pollcy(les} must have ADDITIONAL INSURED provisions or be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endor1ement. A statement on this certificate do111 not confer any rights to the certificate holder In lieu of such endorsement(s). PRODUCER Ii ll~"'' USI Insurance Services, LLC J;: !_'fo Elltl: 701 989-7676 lfm,Nol: 877 411-6097 4207 Boulder Ridge Road Suite 226 ~; ~ ..... leslev.bentz@usl.com Bismarck, ND 58603 INSURER/SI AFFORDING COVERAGE NAICI INSURER A : AU..rc apoclally .... ,_. eem,.nr 27154 INSURED INBURERe: AVI Systems, Inc. INSURERC: 8019 Bond Street Lenexa, KS 66214 INSURERD: INSURERE: INSURERF: COVERAGES CERTIFICATE NUMBER: REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVEBEENISSUEO TOTHE INSURED NAMEDABOVE FORTHE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONOITIONOF ANY CONTRACTOR OTHER DOCUMENT WITH RESPECT TO \'IHCH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS ANO CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. \'.Y'.r TYPE OF INIUl'IANCli ,Nwg -· POUCY NUMBER IM .. LIMITS A ~ COMMERCIAL GENERAL UABIUTY 7110081910012 04/01/2018 04/01/201! EACH OCCURRENCE s1 000.000 D CLAIMS-MADE [!] OCCUR I ~Tnw-•EO $1 000.000 -"'"• MEDEXPtAnl_.......,, ,10.000 - PERSONAL & MN INJURY $1 000.000 -GE"'1. AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE s2,000,000 Fl POLICY []I ~Gc?r OOLOC PRODUCTS -COMP/OP AGG s2,000,000 OTHER: s A AUTOMOBILE LIABILITY 7110081910012 04/01/2018 04/01/201! ILA.lnllD-1:!D .31rn.JILI: UMI 11.000,000 IEJl•-denll -I X ANYAUTO BOOILY INJURY (Pit peraonJ $ -fm8'fONLY -SCHEDULED AUTOS B0DJL Y INJURY (Pit accldlnl) S -~ONLY X NON-O'MIED ~ AUTOS ONLY 1p':(;~'.!.nl»\MI\U" s s A J UMBRELLA UAB ~OCCUR 7110081910012 p-41011201& 04/01/201!1 EACH OCCURRENCE ,10.000.000 EXCESSLIAB CLAIMS-MADE AGGREGATE s10.000.000 / DED l XI ,~, ,.o s A WORKERS COMPENSATION 4060169160011 p410112018 04/01/201! X l~!\..~e I l2JH-AND EMPLOYERS' LIABILITY y / N s1.000 000 SW~J.ffl~tx~~CUTIVE[ID NIA E.L EACH ACCIDENT (Mandatory In NH) E.L. DISEASE • EA EMPLOYEE s1000000 ~~=~<JPERATJONSbeJow E.L DISEASE· POUCY LIMIT s1,000 000 A Technology E&O 7110081910012 04/01/2018 04/01/201! Occurrence $3,000,000 / Aggregate $3,000,000 DEICRIPTlOH OF OPEl'IA TIO NS I LOCATIONS/ VEHICLEI (ACORD 101, Addlllon1l Remarks Sch1dule, may be a11achod If more apace la raqulted) . Certificate Holder Is Included as an Additional Insured re General Llablllty. CERTIFICATE HOLDER CANCELLATION City of Carlsbad SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DAlE THEREOF, NOTICE WILL BE DELIVERED IN 1636 Faraday Avenue ACCORDANCE WITH THE POLICY PROVISIONS. Carlsbad, CA 92008-7314 AUTHORIZED REPRESENTATIVE ~ a I \ © 1988,2016 ACORD CORPORATION. All rights raHrved. ACORD 26 (2018/03) 1 of 1 The ACORD name and logo are registered marks of ACORD #S22782211/M22768636 LKMZP Payment Is limited to the lesser of the following amounts: 1. Necessary and actual expenses Incurred. 2. The maximum dally payment of $25 for any one day. This coverage does not apply while there are spare or reserve "autos" available to you. If '1oss" results from lhe total theft of the private passenger "auto", we will pay under this coverage only that amount of your rental reimbursement expenses which Is not already provided for under the PHYSICAL DAMAGE COVERAGE Extension. 21. TOWING -COVERED AUTOS Under SECTION 111-PHYSICAL DAMAGE COVERAGE, Coverage for Towing Is amended as follows: a. This coverage applies to any covered "auto· for which a premium charge for towtng and labor Is shown in the Schedule or In the Declarations. b. The limit Is $100. VCAIOf Of 01 lncludel copyrighted mateifll of lnsul'WICII Sen,1ce1 Offlce, Inc. Copyright 2004, OneBucon Insurance Group LLC Page5 of5 b. The actual cash value; or c. The cost of repairing or replacing It with other property of like kind or quality. The deductible wlll be equal to the largest deductible applicable to any owned "auto" for that coverage. No deductible applies to "loss" caused by fire or lightning. Subject to the above llmlt, deductible and excess provisions, we will provide coverage equal to the broadest coverage applicable to any covered "auto• you own. We will also cover loss of use of the hired •auto" If the following conditions are met: a. It results from an accident; b. You are legally Hable; and c. The lessor Incurs an actual financlal loss. The most we will pay for this loss of use coverage Is $1,000 per "acck:lenr. 16. LEASE GAP COVERAGE Under paragraph C. Llmtt of Insurance -of SECTION Ill -PHYSICAL DAMAGE COVERAGE, the following ls added: If a covered •auto" Is leased, we wlll also pay the difference between the actual cash value of a covered •au- to" at the time of "loss" and the remaining balance on your lease If the following conditions are met a. The "auto" has a long term lease and Is covered on 1h11 policy. b. The lessor Is added as an Additional Insured In a written lease agreement. c. You are legally obligated for the remaining balance. We wltl not pay for any amounts rapn,senling excess W98I' and tear charges; additional mileage charges; taxes; overdue pa~ents; penalties, Interest or charges reautlng from overdue payments; or lease termination fees. 17. LIABILITY COVERAGE EXTENSIONS -SUPPLEMENTARY PAYMENTS Under SECTION II -LIABILITY COVERAGE, lhe Coverage Extension for Supplementary Payments Is re- vised as follows: a. The llmlt for the cost of ball bonds Is amended to $3,500. b. The llmlt for reasonable expenses lna.irred by the "Insured" is amended to $500 a day. 18. NEWLY FORMED OR ACQUIRED ORGANIZATIONS a. The Who Is An Insured provision under SECTION 11-LIABILITY COVERAGE la amended to Include as an "Insured" any organization that Is formed or acquired by you and over which you maintain majority ownership. b. Paragraph a. of this provision 18. does not apply to any organization: 1. That Is a Joint venture or partnership; 2. That 18 an insured" under any olher policy; 3. That has exhausted its Limit of Insurance under any other policy; or 4. 180 days or more after Its acquisition or fonnatlon by you, unless you have given us notice of the ao- qulaltion or formation. c. Paragraph a. of this provision 18. does not apply to "bodily Injury" or "property damage• that results from an "accldenr that occurred befora you fonned or acquired the organization. 19. PHYSICAL DAMAGE -TRANSPORTATION EXPENSES COVERAGE Under SECTION Ill -PHYSICAL DAMAGE Coverage Extensions, the limit for TraneportaUon ExpenHI Is amended to $75 per day and the maxlmun is amended to $2,250. 20. RENTAL REIMBURSEMENT We will pay for rental reimbursement expenses lna.rred by you for the rental of an "auto" of the private passenger type because rl "loss" to a "covered auto• of the private passenger type. Payment applies In addtlon to the other- wise applicable amount of each coverage you have on a "covered auto". No deductibles apply to this coverage. We will pay those expenses Incurred during the policy period beginning 24 hours after the "lou• and ending, regardless of the policy's expiration, six (6) days after the "loss". Page .. of5 Includes copyrighted matedal of tnsU1811Ce Servtces Olllca, Inc. Copyright 2004, OnaBeacon lnlurance Group LLC VCA2010101 d. The following definition Is added to the DEFINITIONS section of the policy: •executive officer" means a person holding any of the officer positions created by your charter, consti- tution, by-laws or any similar governing document e. The Other Insurance Condition, under Section IV -BUSINESS AUTO CONDITIONS, does not apply to the provisions of this Drive Other Car endorsement. There Is no •other Insurance" applicable to this en- dorsement. 10. DUTIES IN THE EVENT OF ACCIDENT, CLAIM, SUIT OR LOSS Under SECTION IV -BUSINESS AUTO CONDmONS -the Duties In The Event Of Accident, Clalm, Sult Or Lon Condition Is amended as follows: The requirements lhat you must 1. Notify us of an "accldenr, dalm, •suit" or "loss"; and b. Send us documents concerning a dalm or "sulr, apply only when such "accldenr, dalm, "suit" or "loss" Is known to: a. You, If you are an lndMdual; b. A partner, If you are a partnership; c. AA executive officer of the corporation or Insurance manager, if you are a corporation; or d. A manager, If you are a lmlt8d Hablltty company. 11. EMPLOYEES AS INSUREDS The Who Is An ln1urad provision under SECTION II -LIABILITY COVERAGE Is changed by adding the fol- lowing: My "employee" of yours while using a covered •auto• you don't own, hire or borrow In your business or your personal affairs. This coventge II excess over any other coNectlble Insurance. 12. EMPLOYEE HIRED AUTOS The following Is added to the Who Is An Insured Provision: AA "employee" of yours Is an "Insured" whUe operating an "auto" hired or rented under a contact or agn,ement In that "employee's" name, with your pennlalon, whUe perfonnlng duties related to the conduct of your busJ.. n818. For purposes of this coverage grant, paragraph 5.b. of the Other lneurance Condition In the Business Auto Coverage Form Is replaced by the following: b. For Hired Auto Physical Damage Coverage, the followtng are deemed to be covered "autos" you own: 1. MY covered "auto• you lease, hire, rent or borrow; and 2. Any covered "auto• hired or rented by your "employee• under a contrad In that Individual "employ- ee's" name, with your permission, while performing duties related to the conduct of your business. However, any •auto• that Is leased, hired, rented or borrowed with a driver Is not a covered •auto•. This coverage Is excess over any other collectible Insurance. 13. FELLOW EMPLOYEE EXCLUSION The Felow Employee exclusion under SECTION II -LIABILITY COVERAGE does not apply If the "bodily In- Jury" results from the use of a covered "auto• you own or hire. This coverage la excess over any other Insur- ance. 14. GLASS REPAIR-WAIVER OF DEDUCTIBLE Under paragraph D. -Deductlble -of SECTION DI -PHYSICAL DAMAGE COVERAGE, the followlng Is added: No deductible applies to glass damage If the glass Is repaired rather than replaced. 15. HIRED AUTO -PHYSICAL DAMAGE COVERAGE If tnd "autos" are covered "autos" under 8EC110N D -UABIUTY COVERAGE aid If Cornprehmlstve, Speci- fied Cam• of Loss, or Colllslon coverages are provided Lnder this policy for any "auto" you own, then SECTION 11-PHYSICAL DAMAGE COVERAGE Is extanded to "ata" you hn, subject to the following linlt: The most we wlll pay for io11• to any hired "auto• Is the lesaer of: a. $75,000 for "autos• of the private passenger type and $50,000 for all other "autos•; VCA2Dt 01 OI lncludel copyrlgtud malellal of lnaurance &IN!ces Ollloll, Inc. Copyright 2004, OnlBeacon lnau111nm Gruup LLC Page3of5 6. BROAD FORM NAMED INSURED L The Who Is An Insured provision under SECTION II -LIABILITY COVERAGE la amended to Include the foffowlng: Any organization which la a legally Incorporated entity In which you own a financial lntel'88t of more than 50% of the voting stock on the effective date of this Coverage Form will be a Named Insured until the 18011 day or the end of the policy period whichever comes first, provided there Is no other slmllar lnstnnee avail- able to that organization. b. Paragraph L of this provision 8. does not apply to 'bodily Injury" or •property damage" for which an "in- sured" Is also an "Insured" under any other automobile poHcy or would be an •insured'' under such a poli- cy, but for Its termination or the exhaustion of Its Umlt of Insurance. 7. COMMUNICATIONS EQUIPMENT L The exclusion for electronic equipment under Exclusions of SECTION Ill -PHYSICAL DAMAGE COVERAGE doea not apply to loss of any permanentfy lnataffed, non-n,movable communlcalions equip- ment designed for use as a: 1. Citizen's band radio; 2. Two-way mobile radio or telephone; 3. Scanning monitor receiver; or 4. GPS Navigation System, Including Its antema and other accessories. b. No Deductible appUes to this additional cove,age. c. The most we wlll pay for this coverage ts $5,000 per occurrence. 8. DIMINUTION IN VALUE The "diminution In value• exclusion under SECTION Ill -PHYSICAL DAMAGE COVERAGE, B. Exclusions does not apply If the covered •auto" ts a private passenger "auto" and la leased, rented, hired or borrowed without a driver for a period of 30 days or less and Is used In the conduct of the lnaurad'a business. The most we wlll pay for "loss" arising out of an "accldenr Is the lesser of $7,500 or 20% of the actual cash value of the •auto• as determined by Keney Blue Book or other Independent valuation sources. 9. DRIVE OTHER CAR-EXECUTIVE OFFICERS a. The Who Is An Insured provision under SECTION 11-LIABILITY COVERAGE Is amended to Include: If you are designated In the Dedaratlons as: 1. An Individual; you and your spouse. 2. A partnership; your partners and their spouses. 3. An organization other than an lndlvldual or a partnership; your "executive officers" and their spouses. b. SECTION II -LIABILITY COVERAGE and SECTION Ill -PHYSICAL DAMAGE COVERAGE are ex- tended to Include "autos• you doni own, hire, lease or borrow whlle In the care, custody or control of an insured" listed In 9.L This does not Include any •auto•: 1. Owned by any ·insured" listed In 8.a., or any member of their household, Including any such •auto" that Is owned but not Insured; 2. Used by an "Insured" Rited In 9.a. whlle worldng In the business of selling, servldng, repairing or parking autos; or 3. Insured under another policy of Insurance. If Medical Payments, Unlnsured/Underinsured Motorist, Personal Injury Protection or other compulsory coveragaa required by the governing Jurisdiction are covered on this policy, then Insureds Usted In 9.a. above and family members residing In the same households are •insureds• whlle: 1. Occupying as a paaenger; or 2. A pedestrian when struck by, any "auto• you do not own, hire, lease or borrow, except any "auto• owned by that "Insured" listed In 9.a, their family members or an "auto" Insured under any other policy. c. The llmlts and deductibles applicable to this provision wlll be the largest applicable to any owned "auto• for the specific Insurance. Page2of5 lncludea copyrighted mata'lal of lrm1n1101 Selvlcm Offlce, Inc. Col¥1ght 2004, OneBeacon Insurance Group LLC VCA20101 Ot Policy Number: 7110081910012 ' . THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. @VANTAGE FOR AUTOMOBILE This endorsement modifies Insurance provided under the folloWlng: BUSINESS AUTO COVERAGE FORM The following schedule lists the coverage extensions provided by this endorsement Refer to the Individual provi- sions to determine the extent of your coverage. SCHEDULE OF COVERAGE EXTENSIONS 1. Additional lnawed By Contract 12. Employee Hired Autos 2. Airbag Discharge 13. Fellow Employee Exclualon 3. Auto Theft Reward 14. Gl818 Repair-Waiver of Deductible 4. Blanket Waiver of SUbrogatlon 15. Hired Auto Physical Damage Coverage 5. Bodily Injury Redefined -Mental Anguish 16. Lease Gap Coverage 6. Broad Form Named Insured 17. Uablllty Coverage -Supplementary Payments 7. CommunlcatJons Equipment 18. Newly Formed or Acquired Organizations 8. Diminution In Value 18. Physical Damage -Transportation Expenses 8. Drive Other Car -Executive Officers 20. Rental Relmbureement -Private Passenger 10. Duties In The Event of Aa:ldent, Claim, Sult or LOIS Vehldes 11. em-·----Aalnsureds 21. Towlna-AnvCoveredAuto 1. ADDfflONAL INSURED BY CONTRACT The Who la An Insured provision Lllder SECTION U -LIABILITY COVERAGE Is amended to Include as an additional "Insured" any person or organization with whom you agraed In a written contract, written agreement or permit, to provide Insurance such as Is afforded under this Coverage Form. Such parson or organization Is an "Insured" only with respect to UabBlty for ·boduy 1'1ury" or •property damage• caused, In whole or In part by your ma~enance, operation or UH of yow covered •autos•. \Mth respect to the Insurance afforded to these additional "Insureds", this Insurance does not apply: a. Unless the written contract or agreement has been executed or the pennlt has been Issued prior to the •bodlfy Injury" or •property damage"; b. To any person or organization Included as an "Insured• by endorsement or In the Declarations; or c. To any lessor of •autos• when their contrad or agreement with you for such leased •auto• ends. 2. AIRBAG DISCHARGE If you purchased PhYllcal damage coverage for a covered •auto" under this paNcy, we will pay to reset or ,. place an airbag that accidentally discharges without the vehicle being involved In an accident No deductible applies to this additional coverage. However, this coverage only applies If the airbag Is not covered under a manufaclurer's warranty and you did not Intentionally cause the airbag to discharge. 3. AUTO THEFT REWARD We wiH pay up to a $2,000 reward In the event of a covered loll, for lnfonnatlon leedlng to the 81T81t and conviction of anyone stealing a covered •auto". A reward will not be paid to you, a famfly member, employee or any public official while performing their duty. 4. BLANKET WAIVER OF SUBROGATION The Transfer Of Rlghta of Recovery Against Others To Us condition under SECTION IV -BUSINESS AUTO CONDITIONS, paragraph A. LOSS CONDITIONS is replaced by the following: We will waive any right of recovery we may have against any person or organization because of payments we make for Injury or damage arising out of the operaUon of a covered "auto" when you have assumed Habiffty for such •bodily Injury" or •property damage• under an •insured contract", provided the contract Is In wrftlng and executed prior to the "bodRy Injury" or "property damage•. 5. BODILY INJURY REDEFINED -MENTAL ANGUISH The definition of "bodily Injury" under SECTION V -DEFINmONS Is replaced by the following: "Bodily Injury" means bodily Injury, sickness, or disease sustained by a person, Including mental anguish or death resulting from any of these at any time. VCA2010109 lndudel copyrtghted material of Insurance Senllcea Office. Inc. Copyrlgtt 2004, OneBeacon IIIIUrance Group LLC E-INSURED Page1 of& . Policy.Number: 7110081910012 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFUU. Y. KANSAS @VANTAGE FOR GENERAL LIABILITY TECHNOLOGY COMPANIES This endorsement modifies Insurance provided under the folfowlng: COMMERCIAL GENERAL LIABILITY COVERAGE FORM The following schedule Dsts the coverage extensions provided by this endorsement. Refer to the Individual provisions to detennlne the extent of your coverage. SCHEDULE OF COVERAGE EXTENSIONS 1. Additional Insured-Broad Form Vendors 8. Coverage Terrttory-Worfdwlde 2. Additional Insured -by COntract, Agreement or 9. Duties In Event of Occurrence, Clalm or Sult Permit relating to: 10. Expected or Intended Injury (PD) o Work perfonned by you 11. Incidental Medical Malpractloe o Premises you own, rent, lease or occupy 12. Medical Payments o Equipment you lease 13. MobDe Equipment Redefined 3. Aggregate Limit Per Location 14. Newly Acquired or Fonned Organizations 4. Blanket Waiver of Subrogation 15. Non-Owned Aircraft &. Bodily Injury Redefined-Mental Anguish US. NoM>wned Watercraft 8. Broadened Named Insured 17. Personal and Advertising Injury 7. Broadened Property Damage 18. Product RecaD Expense o Borrowed Equipment 19. Supplementary Payments Increased Limits o Customers' Goods o Use of Bevators 1. ADDITIONAL INSURED -BROAD FORM VENDORS Section II -Who Is An Insured Is amended to Include as an additional Insured any peraon(s) or organizallon(s) (nrferrad to below as vendor) with whom you agreed In a written contract or agreement to provide 1111U1'81'1Ce, but only with respect to ·bodlly Injury" or "property damage• arising out of "your produc:11• \Vhich are distributed or sold In the regular C0\1'18 of the vendor's business, subject to the follov.4ng additional exc:luslons: •• This provltlon 1 . does not apply to: (1) •Bodny hJury" or •property damage" for\Vhlch the vendor ts oblgated to pay damages by reason of the assumption of liability In a contract or agreement This exduslon does not apply to lablllty for damages that the vendor would have In the absence of the contract or agreement; (2) Any express or Implied agreement not authortzed by you; (3) Any physical or chemical change In the product made Intentionally by the vendor; (,4) Repackaging, except \Vhen unpacked solely for the purpose of lnspac:llon, damonstrallan, teslfng or the substftutlon of parts Ulder instructfona from lhe ma-it.ladutar, and then repackaged In the ortglnal container, (&) Any fallu-e to make such Inspections, adjustments, tests or servicing as the vendor has agreed to make or nonnally undertakes to make In the us1.al course of busln888, In ccnnectfon with the dletributfon or sale of the proct,cts; (I) Demonstration, Installation, &erVlclng or repair operations, except such operations performed at the vendor's premises In connection with the sale of the product; (7) Products which, after distribution or sale by you, have been labeled or relabeled or used as a container, part or Ingredient of any other thing or substance by or for the vendor; or (8) •eodlly Injury" or •property damage• arising out of the sole negligence of the vendor for Its own acts or omissions or those of Its employees or anyone else acllng on Its behalf. However, 1h11 excluslon does not apply to: VCG 741 KS 1113 Includes copyrighted maflllfal of Insurance Services Office, Inc. Copyright, OneBeacan lnaurance Oroup LLC E-INSURED Page 1 of8 (a) Toe exceptions contained in &mparagraphs 4. or &.; or (b) Such Inspections, adjustments, tests or servicing as the vendor has agreed to make or normally undertakes to make In the usual course of business, In connection with the distribution or sale of the products. (9) Any vendor, person or organization If the ·products-completed operations hazarcr Is excluded either by the provisions of the Coverage Fonn or by endorsement. b. Thia lnsuranr.e does not apply to any Insured person or organization, from whom you have acquired such products, or any lnwe<fient, part or container, entering Into, accompanying or containing such products. 2. ADDITIONAL INSURED-CONTRACT, AGREEMENT OR PERMIT a. Section If -Who II An lnaunKI ls amended to Include as an additional Insured any pan10n(s) or organlzatlon(s) with whom you agreed In a written contract, written agreement or pennlt to provide Insurance such as Is afforded under this Coverage Part 1. with respect to llablllty for •bodily Injury", •property damage" or "personal and advertising Injury" caused, In whole or In part, by your acts or omissions or the act.a or omissions of those acting on )'Oll' behalf: (a) In the performance of "your work" for the additional lnsurad(s) at the locatlon designated In the contract, agreement or permit; or (b) In the maintenance, operation or used equipment leased to you by such person(s) or organlzation(S), or (c) In COMec:tion with p,amlses you own, ,ant, lease or occupy. 2. with respect to llablllty for "badly Injury" or •property damage" caused, In whole or In part. by your acts or omissions or the aCls or omissions of those acting on your behalf and oocurrlng after: (a) All W0fk on the project (other than service, maintenance or repairs) to be performed by or on behalf of the additional Insured at the alte of the covered operations has been completBd; or (b) l11at portion of "your work" out of which the Injury or damage arises has been put to Ill iltanded use by any person or organl7.8llon other than another conlractor or SIJ>conlraclol' engaged In perform~ operations for a prfnq>al aa part of the same project. This Insurance applieS on a primary or primay and non-contributory basis If that Is requred In writing by the contract, agreement or permit b. The lnsuanoe provided to the additional Insured herein Is limited. Tola Insurance does not apply: 1. Uress (a) the wr1tlen contract, agreement or pemilt Is currently In effect or becomes effective cuing the term of this pollcy, and (b) the contract or agreement was executed or permit ls8ued prior to the ·bodily Injury", •property damage•, or "personal and advertising lnjlr)f; 2. To any person or organization Included as an lnslnd under the Additional lnslnd -Broad Form Vendors provision of this encloraement; 3. To any pe111on or organization lnckJded as an Insured by an endorsement Issued by us and made part of this Coverage Part; 4. To any person or organization If the ·bodllyl11ury", •property damage•, or "personal and advertising Injury" artsea out of the rendering of or falh.lre to render any professional architectural, engineering or surveying aervices by or for you Including: (a) The preparing, approving, or faffing to prepare or approve, maps, &hop drawings, opinions, reports, surveys, field orders, change orders or drawings and speclftcations; or (b) Supervisory, Inspection, architectural or engineering activities. 6. Toany: (a) L8810f' of equipment after the equipment lease terminates or expires; or VCQ 74& KS 1113 Includes copyrighted matedal of Insurance Services Office, Inc. Page2of8 Copyright, OneBeacon lnaura11011 Group LLC (b) Owners or other lnteresls from whom land has been leased; or (c) Managers or lessors of premises If: (1) The ·occurrence• takes place after you cease to be a tenant In that premises; or (2) The "bodily Injury", ·property damage", "personal and advef1fslng injury" arises out of structural alteratlons, new construction or demolition operations perfonned by or on behalf of the manager or lessor. c. Limb of Insurance applicable to the additional Insured are those specified In the contract, agreement or pennit or In the Declarations of this policy, whichever 18 less, and fix the most we YtiD pay regardless of the m.mberof: 1. Insureds; 2. Claims made or •suits" brought; or 3. Peraona or organlzallons making claims or bringing "s\its". These Umlts of Insurance are lnduslve of and not In addition to the Umlts of Insurance shown in the Declarations. 3. AGGREGATE LIMIT PER LOCATION a. Under Section Ill -Umb of Insurance, the General Aggregate Limit applies separately to each of your ·locatiOns" owned by or rented or leased to you. b. Under Section V -Definitions, the followlng definition is added: "LocaUon" means premises ~,valving the same or connecting lots, or premlsel whose connection Is lntemlpted only by a atreet, roadway, waterway or right-of-way of a rallroad • .t. BLANKET WAIVER OF SUBROGATION Section IV -Transfer of Rights of Rec:overy Against Others to Us Condition Is amended to add the following: We wll waive any right of '8COllel)'we may have against any pnon or organlzallon because d paymera we make for lnpy or damage artu,g out d your ongoing operations done under a written contract or agreement with that person or organization and Included in "your work" or lhe "producls-compleled openillon8 hazard". This waivar applies only to persons or orgarizatlons with whom you have a \Wltt8n contract. execut8c:I prior to the "bodHy lnjwf or •property damage", that requires you to waive your iWlls of recovery. &. BODILY INJURY REDEFINED -MENTAL ANGUISH Under Section V, the definition of ·bodily Injury" 18 replaced by the following: ·Bodily Injury" means bodily Injury, sickness, or disease sustained by a person, lndudlng mental anguish or death resulting from any of these at any time. I. BROADENED NAMED INSURED Section II -Who Is An Insured is amended to Include as an lnaured the foUowlng: Any organization which Is a legaUy Incorporated enUty In which you own a flnanclal Interest of more than 60 percent of the voting stock on lhe effective date of this endorsement wlD be a Named Insured unUI the 180111 day or the end of the policy period, whichever comes ftrst, provided there Is no olher slmllar Insurance available to that organization. The Insurance afforded herein does not apply to any entity which Is also an Insured under another policy or "WOUid be an Insured under such policy but for Its tennlnation or the exhaustion of Its limits of Insurance. VCG 7451<81113 Includes oopyrlghted material of lnaurance Services Ollloe, Inc. Page3of8 Copyright. OneBeacon l111t1ran01 Group LLC 7. BROADENED PROPERTY DAMAGE -BORROWED EQUIPMENT, CUSTOMERS' GOODS AND USE OF ELEVATORS The Insurance for "property damage• llablllty Is subject to the following: a. The Damage To Property exclusion under Section I Coverage A is amended as follows: 1. The exclusion for pel'80nal property In the care, custody or control of the Insured does not apply to •property damage• to equipment you borrow while at a Job site and provided It Is not being used by anyone to perform operations at the time of loss. 2. The exclusions for (a) Property loaned to you; (b) Personal property In the care, custody or control of the Insured; and (c) That particular part of any property that must be restored, repaired or replaced because "your work" was Incorrectly performed on It do not apply to "property damage• to "customers' goods· while on your premises nor do they apply to "property damage• arising from the use of elevators at premises you own, rent, lease or occupy. Subject to the Each Occurrence Limit. the most we wiU pay for "property damage• to "Customers' Goods· is $35,000 per "occurrence•. b. Under Section V -Definitions, the following definition 18 added: "Customers' Goods" means goods of your customer on your premises for the purpose of betlng: 1. Repaired; or 2. Used In your manufacturing process. c. The Insurance afforded by this provision Is excess over any other valid and collectible property Insurance (Including any deducllble) avallable to the Insured whether such Insurance Is primary, excess, contingent or on any other basis. Any payments by us will follow the Other Insurance -Excess provisions In the COMMERCIAL GENERAL LIABILITY CONDITIONS. 8. COVERAGE TERRITORY -WORLDWIDE The definition of "coverage territory" Is replaced by the following: "Coverage territory" means anywhere provided the Insured'& responslbHlty to pay damages must be determined In a settlement we agree to or In a "suit" on the merits brought Within the United States of America (Including Its territories and possessions), Puerto Rico or Canada 9. DUTIES IN THE EVENT OF OCCURRENCE, OFFENSE, CLAIM OR SUIT Section IV -DuUn In The Event Of Occummce, Claim or Sult Is amended by adding the following paragraphs: a. The requirements that you must 1. notify us of an •occurrence" offense, clalm or ·suit" and 2. send us documents ooncemlng a dalm or "s!Jt" apply only when such "accident" claim, •sutr or "loss" Is knO'M'I to: 1. You, If you are an lndMooal; 2. A partner, If you are a partnerahlp; 3. An executive officer d the corporallon or Insurance manager, If you are a oorporatlon; or 4. A manager, If you are a limited llablllty company. b. The requirement that you must notify us as soon as practicable of an •occurrence• or an offense that may result In a claim does not apply If you report an •occurrence· to your workers compensation Insurer which later develops Into a liability dalm for which coverage Is provided by this policy. However, as soon as you have definite knowledge that the particular •occurrence• Is a llablllty claim rather than a workers compensation clalm, you must comply with the Duties In The Event Of Occurrence, Offenu, Claim Or Sult Condition. VCG 746 KS 1113 lncludea copyrighted material of Insurance Services Office, Inc. Page4of8 Copyright, OneBa1con Insurance Group LLC 10. EXPECTED OR INTENDED INJURY (PROPERTY DAMAGE) The Expected Or Intended lnJury exclusion under Coverage A Bodily Injury and Property Damage Is replaced by: "Bodily Injury" or •property damage• expected or Intended from the standpoint of the Insured. This exclusion does not apply to "bodily Injury" or •property damage• resulting from the use of reasonable force to protect persons or property. 11. INCIDENTAL MALPRACTICE-EMPLOYED PHYSICIANS, NURSES, EMT'S AND PARAMEDICS a. Under Section II -Who 19 An Insured, the paragraph that excludes an employee or volunteer worker as Insured for "bodily Injury" or •personal and advertising Injury" arising out of his or her providing or falling to provide profeSBlonal health care senricea does not apply to a physician, dentist, nurse, emergency medical technician or paramedic employed by you if you are not engaged In the business or occupation of providing medical, paramedical, surgical, dental, x-ray or nursing services. b. The Insurance afforded by this provision Is excess over any other valid and collectlble Insurance whether such Insurance la primary, excess, contingent or on any other basis. Any payments by us wfll fonow the Other Insurance -Excess Insurance provlalons In lhe COMMERCIAL GENERAL LIABILITY CONDITIONS. 12. MEDICAL PAYMENTS -INCREASED UMfrS AND TIME PERIOD In the Insuring Agreement lllder Coverage C Medlcal Paymen18, the requirement that expenaes are lncuned Md reported to us 'Mlhln one year of the date of the accident Is changed to ttne years. a. The Medical Expense linlt 11 $15,000 per person or the amount shown In the Declaatlons as the Medical Expanse Umlt, whichever Is greater. b. This provision 12. does not apply ff Coverage C -Mtdlcal Payments Is otherwise exduded eltts by the provisions of the Coverage Form or by endorsement. 13. MOBILE EQUIPMENT -SELF.PROPELLED SNOW REMOVAL, ROAD MAINTENANCE AND STREET CLEANING EQUIPMENT The f011owlng Is added to the "mobile equipment" definition: Vehicles maintained prinarily for purposes olher than the transportation of persons or cargo that are self. propelled vehldes of less than 1,000 pounds gross vehlcle weight Yt4th the following types of permanently attached equipment wll be COl'llldered •mobile equipment": a. Snow removal; b, Road malnlena1C8, but not construction or resurfacing; or c. 51reel cleaning. 14. NEWLY FORMED OR ACQUIRED ORGANIZATIONS Under Section II -Who 18 An Insured, the time period !Imitation for newly acquired or formed organizations Is replaced by: Coverage under this provision la afforded only untll lhe end of the culT9flt pollcy period. 1&. NON-OWNED AIRCRAFT The Aln:ratt. Auto Or Watercraft exclusion under Coverage A Bodily Injury And Property Damage Liability does not apply to an aircraft that II: 1 Hred, chartered or loaned wllh a paid craw; and 2 Not owned by any Insured. VCG 741 KS 1113 lnckldea c:opyrighled malllrlal of l111Urance Servlcea Office, Inc. Copyright, OneBeac:on Insurance Gloup LLC Page5of8 L The lnsinnce afforded by this provision 15. ls excess over any other valid and collectible Insurance (Including any deductible or Self lnllnd Retention) available to the Insured, whether such lnsl.l"Bnce Is prima,y, excess, contingent or on any other basis. Any payments by us will follow the Other Insurance- Excess Insurance provisions In the COMMERCIAL GENERAL LIABILITY CONDmONS. 16. NON-OWNED WATERCRAFT a. Section 11-Who Is An Insured is amended to Include as an Insured for any watercraft that Is covet'8d tJlj this policy, any person who, with your e,cpressed or Implied consent, either uses or is responsible for the use of a watercraft. HO'tNeV8f', no person or organization Is an nued with respect to: 1. •Bodily Injury" to a co-"emplO'Jee" of the penion operating the waterciaft; or 2. •property damage• to property owned by, rented to, in the charge of or occupied by you or the employer of any person who Is an lnst.nd W\der this provision. b. In the exception to the Aircraft, Auto Or Waten:raft exclusion under Coverage A Bodily Injury And Property Damage Liability, the limltallon on the length of a watercraft Is lnaeased to 55 feel c. The Insurance afforded by this provision 18. ls elCC888 over any other valid and collectible Insurance (Including any deductible or Self lnstnd Retention) available to the Insured, whether IUCh lllSlnllC8 Is prima,y, excess, contingent or on any other basis. Any payments by us will follow the Other Insurance - Excess Insurance provisions In the COMMERCIAL GENERAL LIABILITY CONDmONs. 17. PERSONAL AND ADVERTISING INJURY The following exclusions under the definition of "personal and advertising Injury" are amended as follows: a. ln1ureds In Media Type BUlln81988 "Personal and advertising Injury" committed by an Insured whose buslnns Is: (1) Advertising, broadcasting, publtshlng or telecasting; or (2) Designing or developing content of websites for others. However, this exclusion does not apply to paragraphs 14 a., b. and c. of •personal and advertising Injury" under the Definitions Section. For the purposes of this exclusion, the placing of frames, borders or links, or advertising, for you Is not by lt9elf, considered the business of advertising, broadcasting, publishing or telecasting. b. Electronic Chatroome Or Bull.Un Board• "Personal and advertising Injury-arising out of an electronic chatroom or bulletin board the Insured hosts, owns, or maintains for others. 18. PRODUCT Rl:CALL EXPENSE With respect to this Provision 18., the Recall Of Producte, Work Or Impaired Property exclusion under Coverage A Bodlly Injury And Property Damage Llablllly Is deleted. L The following Is added to Section Ill -Umlts Of Insurance section: 1. The Umlts of Insurance shown In the Product Recall Schedule and rules below fix the most we will pay regardlns of the number of (a) Insureds; (b) •covered reca11s• Initiated; or (c) Number of •your products" recalled. 2. The Product Recall Aggregate Limit Is the most we will reimburse you for the sum of all •product recall expenses• Incurred for all "covered recalls" Initiated during the policy period. 3. Subject to 2. above, the Each Product Recall Umlt Is the most we will reimburse you for the sum of all "product recall expenses• arising out of any one "covered recall" for the same defect or deficiency. VCG 745 KS 1113 lnciJdes copylfghtad matarlal of lnauranoe Sen/Ices Office, Inc. Page6of8 Copyright, OneBeacon Insurance Group LLC 4. Subject to 3. above, we v.4ll pay only the amount of •product recall expenses• In excess d the deductible amount shown In the Product Recall Schedule. Products Recall Schedule Product Recall Aggregate Umlt Each Product RecaU Umit Each Product Recal Deductible $1,000 Umlts of Insurance $50,000 $25,000 If any llrnlts and deductible other than those above are shown In the Declarations as the Productt Recall Expense Limits, the amounts shown In the Declarations wlD replace the Limits of Insurance and deductible provided for this coverage. The. Limits of Insurance for this coverage apply separately to each consecutive annual period and to any remaining pertod of less than 12 months, starting with the beglmlng of the policy period shown In the Declarations, unless the poBcy pertod Is extended after Issuance for an additional period cA less than 12 months. In that case, the addltfonal period will be deemad part of the last preceding pertod for the purpoHI of detennlnlng the Limits of Insurance. b. The following Is added to the Dutlee In The Event Of Occurrence, Offense, Clalm Or sun provision under Section IV • Cond1Uon1: You must see to It that the following are done In the event cA an actual or anticipated ·covered recaa- that may result In •product recall expense•: 1. Give us prompt notice of any discovery or notification that "your product" must be withdrawn or recalled. Include a detctlption of •your product" and the reason for the withdrawal or recall; 2. Cease any further release, shipment, consignment or any other method of distribution of like or similar products until It has been determined that all such products are free from defects that could be a cause of loss under this Insurance; 3. As ollBn as may be reasonably required, permit us to Inspect "your product" that demonstrates the need for the •covered recall• and permit us to examine your books and records. Also pennlt us to take damaged and undamaged samples of •your products• for Inspection, testing and analysis; and permit us to make copies from your boOks and records; 4. Send us a signed, sworn. proof of loss containing the information we requested to settle the claim. You must do this within 60 days after our request. We will supply you with the necessary forms; and I. Permit us to examine any Insured under oath, while not In the presence of any other Insured and at such times as may reasonably be required, about 811'/ matter relating to thla Insurance or your claim, Including an Insured'• boOks and records. In the event of an examination, an lnsured's answers must be signed. c. The following definitions are added to the Definitions Section: 1. •covered recall" means a recall made necessary because the Insured or a government body has determined that a known or suspected defect, deficiency, Inadequacy or dangerous condition In "your product" has resulted In or wlll result In ·bodily Injury" or •property damage". 2. -Product Recall Expense• means: (a) The following necessary and reasonable expenses you Incur exclusively for the purpose of recalllng •your product": (1) For ccmmunlcatlons, Including rado or television amouncsments or printed advertisamenlB lndudlng stationery, envelopes and postage; (2) For shipping the recalled products from any purchaser, distributor or user to the place or places designated by you; VCG 741 KS 1113 Includes copyr1ghtad malllrlal of Insurance Servicet Office, Inc. Page7of8 Copyright, OneBelCOl1 111111,ance GRIIIJ) LLC (3) For remuneration paid to your regular "employees" for necessary overtime; (4) For hiring additional parsons, other than your regular "employees•; (6) Incurred by "employees•, Including transportation and accommodations; (6) To rent additional warehouse or storage space; or (7) For disposal of "your products", but only to the extent that specific methods of destruction other than those employed for trash discarding or disposal are required to avoid "bodily Injury" or "property damage" as a result of such disposal, but ·proctuct recaD expenses" does not Include costs of regaining yow market share, goodwill, reverwe or profit (b) "Product Recall Expense" does not Include any expenses resulting from: (1) Falk.n cl any product to accomplish Ill Intended PllJX)S8; (2) Breach of warrantlea rl fitness, quallly, durability or performance; (3) Loss of customer approval, or any cost lria.m!d to regain wstomer approval; (4) Redlslrlbutlon or replacement of "your product" which has been recaled by like prockJl::ts or substitutes; (6) Caprice or whim rl the Insured; (6) A oondftfon likely to cause loss of which any lnsll'8d knew or had reason to knoW at the Inception d this 111Sl181Ce; and (7) Recall r:A 9your produds" that have no known or suspected defect solely because a known or suspected defect in another of "your products" has been folmd 19. SUPPLEMENTARY PAYMENTS• INCREASED LIMITS Under Section I -Coverages, Supplementary Paymenla -Coverages A and B, paragraphs 1,b. and 1.d. are replaced by the followlng: b. Up to $2,500 for cost rl ball bonds required because of accidents or traffic law vlolatfons arising out of the use of any vehicle to which the Bodily Injury LJabllty Coverage applies. We do not haVe to fl.mlsh these bonds. d. AD reasonable expenses Incurred by the Insured at Oll' request to assist us In the Investigation or defense d the claim or "suit", Including actual loss of earnings l4> to $500 a day because of tine off from work. VCO 74S KS 1113 lncludaa copyrighted matarlal of Insurance Service& Office, Inc. Page8of8 Copyright, OneBeacon Insurance Group LLC ~ . \ . WORKERS COMPENSATION AND EMPLOYERS LIABILITY INSURANCE POLICY WAIVER OF OUR RIGHT TO RECOVER FROM OTHERS ENDORSEMENT -CALIFORNIA This endorsement changes the policy to which it is attached effective on the inception date of the policy unless a different date is indicated below. (The following "attached clause" need be completed only when this endorsement is issued subsequent to preparation of the policy.) This endorsement, effective on Apr i 1 01, 2 O 18 at 12:01 A.M. standard time, forms a part of (DATE) Policy No. 406-01-69-15-00ll ofthe Atlantic Specialty Insurance Company (NAME OF INSURANCE COMPANY) issued to AVI SYSTEMS, INC. Premium (if any) $ Endorsement No. Authorized Representative We have the right to recover our payments from anyone liable for an injury covered by this policy. We will not enforce our right against the person or organization named in the Schedule. (This agreement applies only to the extent that you perform work under a written contract that requires you to obtain this agreement from us.) You must maintain payroll records accurately segregating the remuneration of your employees while engaged in the work described in the Schedule. The additional premium for this endorsement shall be 2 • oo % of the California workers' compensation premium otherwise due on such remuneration. Schedule Person or Organization Job Description ALL PERSONS OR ORGANIZATIONS ON FILE WITH THE INSURED WC 252 (04 84) Copyright 1984, OneBeacon Insurance Group LLC E-INSURED