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E. The City of Hugo shall not be responsible for administering or securing payment <br /> between participating cities. Payment shall be made according to the term sheet <br /> attached as Exhibit A, and; <br /> F. The City of Hugo will provide a method for participating Building Officials to <br /> communicate their inspection needs. Upon receiving a request for building inspection <br /> services from a participating city, the City of Hugo will make that request available to <br /> other participating cities. Arrangements for inspection services may occur between <br /> participating cities without involvement from the City of Hugo. <br /> G. Inspectors that are provided to the pool from any City shall take direction from the <br /> Building Official within the City that the inspection occurs. The inspector shall provide <br /> the required documentation of the inspection along with any correction notices. <br /> ARTICLE II <br /> Liability. For the purposes of the Minnesota Municipal Tort Liability Act, (Minnesota <br /> Statutes, Chapter 466), a building inspector providing services under this Agreement shall be <br /> deemed to be an employee of the party for which the services are being performed. <br /> The party performing the building inspection services agrees to defend and indemnify the <br /> party providing the building inspector against any claims brought or actions filed against the party <br /> providing the building inspector for injury to, death of, or damage to the property of any third <br /> person or persons, arising from the performance and provision of any services pursuant to this <br /> Agreement. <br /> Under no circumstances, however, shall a party be required to pay on behalf of itself and <br /> the other party, any amounts in excess of the limits on liability established in Minnesota Statutes, <br /> Chapter 466 applicable to any one party. The limits of liability for the parties may not be added <br /> together to determine the maximum amount of liability for any party. The intent of this provision <br /> is to impose on each party a limited duty to defend and indemnify the other party for claims <br /> subject to the limits of liability under Minnesota Statutes, Chapter 466. The purpose of creating <br /> this duty to defend and indemnify is to simplify the defense of claims by eliminating conflicts <br /> among defendants, and to permit liability claims against multiple defendants from a single <br /> occurrence to be defended by a single attorney. <br /> Nothing herein shall be construed to provide insurance coverage or indemnification to an <br /> employee of any party for any act or omission for which the employee is guilty of malfeasance in <br /> office, willful neglect of duty, or bad faith. <br /> Hold Harmless. Each party agrees that it shall indemnify and save harmless, protect and <br /> defend the other party, its employees and agents from any or all liability, suits or demands, <br /> including the legal defense thereof, for bodily injuries, including death, or property damages, <br /> including loss of use arising out of any activity by itself or its employees and agents under this <br /> Agreement. <br /> 2 <br /> 13 <br />