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VI. CANCELLATION. <br />A. If through no fault of the STATE acceptance of delivery of electronic citations as <br />defined in section 2.b. of Appendix A has not occurred by June 30, 2013, the <br />STATE may cancel this Agreement and AGENCY shall refund to the STATE any <br />amounts heretofore paid by STATE to the AGENCY hereunder and cancel all <br />outstanding invoices to the STATE hereunder. <br />B. The STATE or the AGENCY may cancel this Agreement at any time, with or <br />without cause, upon thirty (30) days' written notice to the other party. If the <br />Agreement is canceled without cause by the STATE under this clause, the <br />AGENCY shall be entitled to payment, determined on a pro rata basis, for work or <br />services satisfactorily performed. If the Agreement is cancelled by AGENCY <br />under this clause, or the STATE cancels this Agreement because AGENCY has <br />failed to continue to provide electronic citations to the State as required hereunder, <br />AGENCY shall pay to the STATE, as liquidated damages and not as a penalty, the <br />amount of: (1) Three thousand dollars (US $3,000) if termination is made within <br />one year after acceptance as provided in Appendix A; or (2) Fifteen Hundred <br />Dollars (US $1500.) if termination is made more than one year after acceptance as <br />provided in Appendix A but not more than two years after such acceptance; or (3) <br />Seven Hundred Fifty Dollars (US $750.) if termination is made more than two <br />years after acceptance as provided in Appendix A. <br />C. Funds have been encumbered by STATE for payments under this AGREEMENT. <br />The STATE may immediately cancel this Agreement if it does not obtain funding <br />from the Minnesota Legislature, or other funding source; or if funding cannot be <br />continued at a level sufficient to allow for the payment of the services covered here. <br />Cancellation must be by written or facsimile transmission notice to the AGENCY. <br />The STATE is not obligated to pay for any services that are provided after notice <br />and effective date of termination. However, the AGENCY will be entitled to <br />payment, determined on a pro rata basis, for services satisfactorily performed to the <br />extent that funds are available. The STATE will not be assessed any penalty if the <br />Agreement is cancelled because of a decision of the Minnesota Legislature, or other <br />funding source, not to appropriate funds. The STATE must provide the AGENCY <br />notice of the lack of funding within thirty (30) days of the STATE'S receiving that <br />notice. <br />3- 2nd Judicial District contract with AGENCY for E -citations <br />