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The SUB-RECIPIENT warrants that it has not paid, and agrees not to pay, any bonus, commission, <br />brokerage, or contingent fee to solicit or secure this Agreement or to obtain approval of any application for <br />federal financial assistance for this Agreement. The WTSC shall have the right, in the event of breach of this <br />section by the SUB-RECIPIENT, to annul this Agreement without liability. <br />14. DISPUTES <br />14.1. Disputes arising in the performance of this Agreement, which are not resolved by agreement of the <br />Parties, shall be decided in writing by the WTSC Deputy Director or designee. This decision shall be final <br />and conclusive, unless within 10 days from the date of the SUB-RECIPIENT’s receipt of WTSC’s written <br />decision, the SUB-RECIPIENT furnishes a written appeal to the WTSC Director. The SUB-RECIPIENT’s <br />appeal shall be decided in writing by the Director or designee within 30 days of receipt of the appeal by the <br />Director. The decision shall be binding upon the SUB-RECIPIENT and the SUB-RECIPIENT shall abide by <br />the decision. <br />14.2. Performance During Dispute. Unless otherwise directed by WTSC, the SUB-RECIPIENT shall continue <br />performance under this Agreement while matters in dispute are being resolved. <br />15. GOVERNANCE <br />15.1. This Agreement is entered into pursuant to and under the authority granted by the laws of the state of <br />Washington and any applicable federal laws. The provisions of this Agreement shall be construed to conform <br />to those laws. <br />15.2. In the event of an inconsistency in the terms of this Agreement, or between its terms and any applicable <br />statute or rule, the inconsistency shall be resolved by giving precedence in the following order: <br />15.2.1. Applicable federal and state statutes and rules <br />15.2.2. Terms and Conditions of this Agreement <br />15.2.3. Any Amendment executed under this Agreement <br />15.2.4. Any SOW executed under this Agreement <br />15.2.5. Any other provisions of the Agreement, including materials incorporated by reference <br />16. INCOME <br />Any income earned by the SUB-RECIPIENT from the conduct of the SOW (e.g., sale of publications, <br />registration fees, or service charges) must be accounted for, and that income must be applied to project <br />purposes or used to reduce project costs. <br />17. INDEMNIFICATION <br />17.1. To the fullest extent permitted by law, the SUB-RECIPIENT shall indemnify and hold harmless the <br />WTSC, its officers, employees, and agents, and process and defend at its own expense any and all claims, <br />demands, suits at law or equity, actions, penalties, losses, damages, or costs of whatsoever kind (“claims”) <br />brought against WTSC arising out of or in connection with this Agreement and/or the SUB-RECIPIENT’s <br />performance or failure to perform any aspect of the Agreement. This indemnity provision applies to all claims <br />against WTSC, its officers, employees, and agents arising out of, in connection with, or incident to the acts or <br />omissions of the SUB-RECIPIENT, its officers, employees, agents, contractors, and subcontractors. Provided, <br />however, that nothing herein shall require the SUB-RECIPIENT to indemnify and hold harmless or defend <br />the WTSC, its agents, employees, or officers to the extent that claims are caused by the negligent acts or