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3. METHOD OF PAYMENT Attorneys shall submit a monthly statement specifying the <br />services performed, dates and number of hours, and an itemization of expenses related thereto <br />with supporting documentation (i.e. receipts, invoices, copy of check, etc). Payment is due upon <br />receipt, but in no event later than thirty calendar days after the date of the statement. Buchalter <br />also reserves the right to suspend further work at any time that there is an outstanding statement <br />more than thirty calendar days past due. <br />4. CONTROL OF LEGAL MATTERS Attorneys agree that each and every matter or <br />proceeding in which they undertake to assist the City Attorney, as aforesaid, shall be and remain <br />under, and subject to the control and direction of said City Attorney at all stages, and that they shall <br />at all times keep the City Attorney informed of all matters pertaining thereto. City will keep <br />Attorneys informed of all significant developments in matters relating to any representation <br />undertaken by Attorneys. Attorneys further agree, if and when their retention hereunder is <br />terminated by City, as hereinafter specified, they shall return to City Attorney any and all files then <br />in their possession concerning each and every matter or proceeding in which they represented the <br />City pursuant to this Agreement. <br />5. REPORTING REQUIREMENTS Attorneys agree to keep the City Attorney, Director <br />of Planning & Building (or his designee), and anyone other person(s) designated by the City <br />informed of significant events in the Project. Attorneys also agree to provide the City with an <br />evaluation of the Project and estimated timeframe and budget. Any estimate will be an estimate <br />only and not a Quarantee that the actual fees, costs or time will be in the amount of, or limited to, <br />the estimate. City will be responsible for Attorneys' actual legal fees and costs, regardless of <br />whether they are greater or less than the estimate. <br />6. TERM The term of this Agreement shall commence on the date first written above and <br />terminate one (1) year from said commencement date, unless terminated earlier pursuant to Section <br />13 below. The term of this Agreement may be extended upon a writing executed by both parties, <br />including the City Manager and the City Attorney for the City. In the event of any express or <br />implied extension, the terms of this Agreement shall continue to govern. <br />7. INDEPENDENT CONTRACTORS It is mutually agreed by and between the parties that, <br />in the performance of their covenants hereunder, Attorneys are and shall be independent contractors, <br />and not officers or employees of City. <br />8. INSURANCE Attorneys shall provide to the City Attorney proof of Professional <br />Liability (errors and omissions) insurance, with a combined single limit of not less than <br />$1,000,000 per claim, and maintain such insurance throughout the term of this Agreement. If <br />Attorneys fail or refuse to produce and maintain the insurance required by this section, or fail or <br />refuse to furnish the City with required proof that insurance has been procured and is in force <br />and paid for, the City shall have the right, at the City's election, to forthwith terminate this <br />Agreement. Such termination shall not affect Attorneys' right to be paid for its time and <br />materials expended prior to notification of termination. <br />2 <br />