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Attachment 1 Contract # 2006NM005 <br />Regional Disaster Plan for Public and Private Organizations in King County, Washington <br />The Borrower agrees that its obligation under this section extends to <br />any claim, demand and /or cause of action brought by or on behalf of <br />any of its employees, or agents. For this purpose, the Borrower, by <br />mutual negotiation, hereby waives, as respects any indemnitee only, <br />any immunity that would otherwise be available against such claims <br />under the Industrial Insurance provisions of Title 51 RCW of the State <br />of Washington and similar laws of other states. <br />B. ACTIVITIES IN BAD FAITH OR BEYOND SCOPE. Any Subscribing <br />Organizations shall not be required under this Omnibus Agreement to <br />indemnify, hold harmless and defend any other Subscribing <br />Organization from any claim, loss, harm, liability, damage, cost or <br />expense caused by or resulting from the activities of any Subscribing <br />Organizations officers, employees, or agents acting in bad faith or <br />performing activities beyond the scope of their duties. <br />C. LIABILITY FOR PARTICIPATION. In the event of any liability, claim, <br />demand, action or proceeding, of whatever kind or nature arising out of <br />rendering of Emergency Assistance through this Omnibus Agreement, <br />the Borrower agrees, to indemnify, hold harmless, and defend, to the <br />fullest extent of the law, each signatory to this Omnibus Agreement, <br />whose only involvement in the transaction or occurrence which is the <br />subject of such claim, action, demand, or other proceeding, is the <br />execution and approval of this Omnibus Agreement. <br />D. DELAY /FAILURE TO RESPOND. No Subscribing Organization shall <br />be liable to another Subscribing Organization for, or be considered to <br />be in breach of or default under this Omnibus Agreement on account of <br />any delay in or failure to perform any obligation under this Omnibus <br />Agreement, except to make payment as specified in this Omnibus <br />Agreement. <br />E. MEDIATION AND ARBITRATION. If a dispute arises out of or relates <br />to this Contract, or the breach thereof, and if said dispute cannot be <br />settled through direct discussions, the parties agree to first endeavor to <br />settle the dispute in an amicable manner by mediation. Thereafter, <br />any unresolved controversy or claim arising out of or relating to this <br />Contract, or breach thereof, may be settled by arbitration, and <br />judgment upon the award rendered by the arbitrator may be entered in <br />any court having jurisdiction thereof. The parties to this Contract may <br />seek to resolve disputes pursuant to mediation or arbitration, but are <br />not required to do so. <br />The Basic Plan, OMNIBUS LEGAL AND FINANCIAL AGREEMENT Page 9 <br />Version: 03 -31 -04 (Printed 04/07/04) <br />