WA State Depatment of Licensing 2/16/2017

Licensee shall notify DOL immediately of becoming aware of any unauthorized access, use, disclosure, or Breach. Any breach of this clause may result in termination of the Contract, suspension of on-line access accounts, and the demand for return of all Confidential Information. 10.AUDITS a) Audit Requirements: DOL may require Licensee to undergo Data Security and Permissible Use audits at any time to ensure compliance with state and federal laws, and the terms and conditions of this Contract, particularly if it suspects a Breach or misuse of DOL Data. The Licensee will bear all costs associated with these audits. b) Corrective Action Plans Within thirty(30) days after receiving the results of an audit, Licensee must submit a corrective action plan for each violation identified by an audit. For each violation, the corrective action plan must outline the following: • Steps to be taken to correct the violation; and • A timeline for the steps, including the anticipated completion date. 11. DISPUTES The parties agree that time is of the essence in resolving disputes. In the event a dispute arises under this Contract, it shall be conveyed to the DOL using the following process: a) When a bona fide dispute concerning a question of fact arises between DOL and the Licensee and it cannot be resolved, either party may request a dispute hearing with DOL's Contracts Office. The request for a dispute hearing must: • be in writing; state the disputed issues; • state the relative positions of the parties; • state the Licensee's name, address, and DOL Contract number; • be mailed to the other party's Contract manager within three (3) business days after the parties agree they cannot resolve the dispute; and • be mailed to: Department of Licensing Contracts Office P.O. Box 9047 Olympia WA 98507-9047 b) The responding party will have five (5) business days to respond in writing to the requesting party's statement. This response will be sent to both the DOL Contracts Office and the requesting party. c) The DOL Contracts Office shall review the written statements of the parties and reply in writing to both parties within ten (10) business days. The DOL Contracts Office may extend this period if necessary by notifying the parties. d) The decision of DOL's Contracts Office shall be final and conclusive unless, within five (5) business days from the date DOL mailed the decision, the Licensee requests intervention by the Governor, as provided by chapter 43.17 RCW and informs DOL of this decision in writing within five (5) business days of the DOL decision date. e) Each party shall be responsible for its own expenses in all dispute-related matters. 12. ORDER OF PRECEDENCE All rights and obligations of the parties to this Contract shall be subject to and governed by the items listed in this section, which are incorporated herein. In the event of an inconsistency in this Contract, unless otherwise provided in this Contract, the inconsistency shall be resolved by giving precedence in the following order: 1. Applicable state and federal statutes and rules; 2. This Contract's Terms and Conditions; 3. Attachment A, Data Security Requirements; 4. Data Licensing Statement(s) issued against this Contract; 5. Agency Access Request(425-009), Employee Access/Change Request(425-011) and Appropriate Use Declaration (425-008); and 6. Any other provisions of the Contract incorporated by reference or otherwise. K5881 Page 4 of 14 1/20/2017