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employment related activities. Contractor affirms that it is an equal opportunity employer and shall <br />comply with all applicable federal, state and local laws and regulations. <br />14. JURISDICTION -VENUE <br />This Agreement has been executed and delivered in the State of California and the validity, <br />interpretation, performance, and enforcement of any of the clauses of this Agreement shall be <br />determined and governed by the laws of the State of California. Both parties further agree that <br />Orange County, California, shall be the venue for any action or proceeding that may be brought or <br />arise out of, in connection with or by reason of this Agreement. <br />15. PROFESSIONAL LICENSES <br />Contractor shall, throughout the term of this Agreement, maintain all necessary licenses, <br />including but not limited to State License C-27 and a City of Santa Ana Business License, <br />permits, approvals, waivers, and exemptions necessary for the provision of the services hereunder <br />and required by the laws and regulations of the United States, the State of California, the City of <br />Santa Ana and all other governmental agencies. Contractor shall notify the City immediately and <br />in writing of her inability to obtain or maintain such permits, licenses, approvals, waivers, and <br />exemptions. Said inability shall be cause for termination of this Agreement. <br />16. RESPONSIBILITY FOR DAMAGES <br />The Contractor shall be responsible for all damages to persons and/or property that occur as <br />a result of the fault or negligence of said Contractor or his employees in connection with the <br />performance of this work. <br />17. FAILURE TO PERFORM SATISFACTORILY <br />A. It is agreed and understood that, if the Contractor fails to perform the work as <br />specified herein, the Director will only pay for the service actually received, as <br />determined by the Director, with an appropriate downward adjustment in contract <br />price. Additionally, the Director may have such required work done by City forces or <br />otherwise, and charge the cost thereof to the Contractor. <br />Such adjustments will be the estimated cost for performance by City forces plus City <br />overhead and will include overtime pay as required to complete work. <br />B. The Director may make a billing adjustment in monthly payments for insufficiencies <br />in service rendered by the Contractor. Billing adjustments for this unsatisfactory <br />service may be permanent retention of 100% of the estimated monthly cost for work <br />that is incomplete or deficient as stated herein. <br />C. If the Contractor performs the work in such a manner that the amount of payment <br />withheld due to sub-standard performance, non-performance and forfeiture for non- <br />completion per schedule totals five (5) percent of the total contract price, the City will <br />put the Contractor under notice of non-compliance. If the Contractor continues to <br />perform the work in such a manner that the amount of payment withheld due to <br />substandard performance, non-performance and forfeiture for non-completion per <br />6 <br />