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3. COMPLIANCE WITH LAWS/STANDARDS <br />3.1 General. Consultant shall abide by all federal, state and local laws, <br />statutes, ordinances, rules and regulations now in effect or hereinafter <br />adopted pertaining to this Contract. <br />3.2 Minnesota Law to Govern. This Contract shall be governed and construed <br />in accordance with the substantive and procedural laws of the State of <br />Minnesota, without giving effect to the principles of conflict of laws. All <br />proceedings related to this Contract shall be venued in the State of <br />Minnesota. <br />4. INDEPENDENT CONTRACTOR STATUS <br />Consultant is an independent contractor and nothing herein contained shall be <br />construed to create the relationship of employer and employee between City and <br />Consultant. Consultant shall at all times be free to exercise initiative, judgment, <br />and discretion as to how to best perform or provide services. Consultant <br />acknowledges and agrees that Consultant is not entitled to receive any of the <br />benefits received by City employees and is not eligible for workers' or <br />unemployment compensation benefits. Consultant also acknowledges and agrees <br />that no withholding or deduction for state or federal income taxes, FICA, or <br />otherwise, will be made from the payments due Consultant and that it is <br />Consultant's sole obligation to comply with the applicable provisions of all <br />federal and state tax laws. <br />5. INDEMNIFICATION <br />Any and all claims that arise or may arise on behalf of the Consultant as a <br />consequence of any act or omission on the part of Consultant while engaged in the <br />performance of the Contract shall in no way be the obligation or responsibility of <br />the City. Consultant shall indemnify, hold harmless and defend the City, its <br />officers and employees against any and all liability, loss, costs, damages, <br />expenses, claims, and actions, including attorneys' fees, which the City, its <br />officers or employees may hereafter sustain, incur, or be required to pay, arising <br />out of or by reason of any negligent or willful act or omission of Consultant in the <br />execution, performance, or failure to adequately perform Consultant's obligations <br />pursuant to this Contract. <br />6. INSURANCE <br />6.1 General Terms. In order to protect the Consultant and the City under the <br />indemnity provisions set forth above, Consultant shall, at Consultant's <br />expense, procure and maintain policies of insurance covering the term of <br />this Contract. <br />2 <br />