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2. INSURANCE /INDEMNIFICATION /RISK ALLOCATION <br />(a) HRG will maintain insurance for claims under the Worker's Compensation Laws, and <br />from General Liability and Automobile claims for bodily injury, death, or property <br />damage arising from the negligent performance by HRG's employees of the functions <br />and services required under this Agreement. <br />(b) HRG is skilled in the professional calling necessary to the services and duties proposed <br />to be performed, and that it shall perform such services and duties in conformance to <br />and consistent with the standards generally recognized as being employed by <br />professionals of HRG's same locality, and to that end HRG agrees to purchase <br />insurance for HRG, its officers, and employees from and against any and all liability, <br />claims, suits, loss, damages, costs, and expenses arising out of or resulting from any <br />negligent acts, errors, or omissions of HRG, its officers and employees, in the <br />performance of their services and duties hereunder, but not from the negligence or <br />willful misconduct of CLIENT, its officers, and employees. Notwithstanding the <br />existence of professional liability insurance, the total aggregate of HRG's, its <br />employees, officers, directors, agents, or consultants, liability to all parties related to this <br />Agreement shall not exceed $50,000.00, or the amount of HRG's fee, whichever is less. <br />(c) CLIENT hereby understands and agrees that HRG has not created nor contributed to <br />the creation or existence of any or all types of hazardous or toxic wastes, materials, <br />chemical compounds, or substances, or any other type of environmental hazard or <br />pollution, whether latent or patent, at CLIENT's premises, or in connection with or <br />related to this project with respect to which HRG has been retained to provide <br />professional engineering services. The compensation to be paid HRG for said <br />professional engineering services is in no way commensurate with, and has not been <br />calculated with reference to, the potential risk of injury or loss which may be caused by <br />the exposure of persons or property to such substances or conditions. Therefore, to the <br />fullest extent permitted by law, CLIENT agrees to defend, indemnify, and hold HRG, its <br />officers, directors, employees, and consultants, harmless from and against any and all <br />claims, damages, and expenses, whether direct, indirect, or consequential, including, <br />but not limited to, attorney fees and Court costs, arising out of, or resulting from the <br />discharge, escape, release, or saturation of smoke, vapors, soot, fumes, acid, alkali's, <br />toxic chemicals, liquids gases, or any other materials, irritants, contaminants, or <br />pollutants in or into the atmosphere, or on, onto, upon, in, or into the surface or <br />subsurface of soil, water, or watercourses, objects, or any tangible or intangible matter, <br />whether sudden or not. <br />(d) Nothing contained within this Agreement shall be construed or interpreted as requiring <br />HRG to assume the status of a generator, storer, transporter, treater, or disposal facility <br />as those terms appear within the Resource Conservation and Recovery Act, 42 <br />U.S.C.A., 6901 et seq. as amended, or within any State statute governing the <br />generation, treatment, storage, and disposal of waste. <br />(e) Notwithstanding any provisions in this Agreement to the contrary, if this project involves <br />construction, as that term is generally understood, and HRG does not provide <br />engineering services during construction, including, but not limited to, observation, site <br />visits, shop drawing review, and design clarifications, CLIENT agrees to defend, <br />indemnify, and hold HRG, its consultants, agents, and employees harmless from any <br />and all liability arising out of this project or Agreement. <br />(f) HRG shall not be liable for damages arising out of or resulting from the actions or <br />inaction of governmental agencies, including, but not limited to, permit processing, <br />environmental impact reports, dedications, general plans and amendments thereto, <br />zoning matters, annexations or consolidations, use or conditional use permits, and <br />- 8 - <br />