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(c) City shall not be directly or indirectly liable or responsible for any
<br />loss or injury of any Lind to any person or property resulting from any construction on, or
<br />occupancy or use of, the Property, whether arising from: (i) any defect in any building,
<br />grading, landscaping or other onsite or offsite improvement; (ii) any act or omission of
<br />Developer or any of Developer's agents, employees, independent contractors, licensees
<br />or invitees; or (iii) any accident on the Property or any fire or other casualty or hazard
<br />thereon; and
<br />(d) By accepting or approving anything required to be performed or
<br />given to City under the Loan Documents, including any certificate, financial statement,
<br />survey, appraisal or insurance policy, City shall not be deemed to have warranted or
<br />represented the sufficiency or legal effect of the same, and no such acceptance or
<br />approval shall constitute a warranty or representation by City to anyone.
<br />18,2 Indemnity. Developer shall defend (by counsel satisfactory to City),
<br />indemnify and save and hold harmless the Indemnitees from and against all claims,
<br />damages, demands, actions, losses, liabilities, costs and expenses (including, without
<br />limitation, attorneys` fees and court costs) arising from or relating to (i) this Agreement;
<br />(ii) the making of the Loan(s); (iii) a claim, demand or cause of action that any person has
<br />or asserts against Developer; (iv) any act or omission of Developer, any contractor,
<br />subcontractor or material. supplier, engineer, architect or other person with respect to the
<br />Property; or (vi) the ownership, occupancy or use of the Property. Notwithstanding the
<br />foregoing, Developer shall not be obligated to indemnify City with respect to the
<br />consequences of any act of illegal conduct, gross negligence or willful misconduct of
<br />City. Developer's obligations under this Section shall survive the cancellation of the City
<br />Loan Note, release and reconveyance of the City Deed of Trust, issuance of the
<br />Certificate of Completion, and termination of this Agreement.
<br />18.2.1 NothWithstanding the foregoing, neither Developer, nor any of its partners,
<br />shall be personally liable for any indemnification obligation hereunder
<br />which would result as the repayment of principal and/or interest under the
<br />Loan.
<br />18.3 Reirnbui-sement of City. Developer shall reimburse City immediately
<br />upon written demand for all costs reasonably incurred by City (including the reasonable
<br />fees and expenses of attorneys, accountants, appraisers and other consultants, whether the
<br />same are independent contractors or employees of City) in connection. with the
<br />enforcement of the Loan Documents and all related matters including all claims,
<br />demands, causes of action, liabilities, losses, conumssions and other costs against which
<br />City is indemnified under the Loan Documents. Such reimbursement obligations shall
<br />bear interest from the date occurring twenty (20) days after City gives written demand to
<br />Developer and shall be secured by the City Deed of Trust. Such reimbursement
<br />obligations shall survive the cancellation of the Loan Note, release and reconveyance of
<br />the City Deed of Trust, issuance of a Certificate of Completion, and termination of this
<br />Agreement
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