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Independent Contractor - 2014 - Indemnification / Mace River No 1 / Lot 3 Block 4 - 1/24/2014 AGREEMENT OF INDEMNIFICATION This Agreement of Indemnification is made by Tradewinds General Contracting, Inc. (hereinafter referred to as "Indemnitor(s)" for the benefit and protection of City of Eagle (hereinafter referred to as "The City"); WHEREAS, The City is being requested to issue a building permit to Indemnitor relating to Lot 3 Block 4 Mace River Ranch Subdivision No. 1 in the City of Eagle, Ada County, State of Idaho described in Instrument No. 113125973, recorded November 18, 2013, Ada County records, at Book 106, pages 14540-14547, (hereinafter referred to as "the Lot"); WHEREAS, The Lot is currently subject to a 10 foot easement of record on the north lot line; WHEREAS, The Indemnitor has plans to build on the Lot and said structure will encroach upon the easement of record by approximately 2 feet; WHEREAS, The Developer, Gardner Mace Ranch, LC, represented by JUB Engineers, is currently in the process of applying for a partial vacation of a utility easement from lot 8, block 3 and lot 3, block 4 within Mace River Ranch Subdivision No. 1, under Application No. VAC-01- 14, whereby Developer seeks to reduce the easement from 10 feet to 5 feet, thereby eliminating any encroachment of the easement by Indemnitor; and, WHEREAS, The Indemnitor recognizes that The City, in the normal course of its business, would not issue its building permit to Indemnitor without the Developer first completing the process of reducing the easement as identified above or being provided protection against loss due to the possibility of the application for reduction of the easement being denied unless the Indemnitor agrees to indemnify The City as hereafter agreed; and, WHEREAS, The City, in approving the PUD in which the Lot is located, only required five (5) foot setbacks and the area where the existing ten (10) foot setback on the Lot was not utilized for construction of an additional irrigation pipe to regulate the water levels in the ponds, accordingly, the easement would only be required to be five (5) feet. NOW THEREFORE, THE INDEMNITOR AGREES that, in consideration of the issuance of the building permit requested for the Lot, prior to completion of the application for reduction of the easement by the Developer, the Indemnitor does agree to hold harmless, protect and indemnify The City from and against any and all liabilities, losses, damages, expenses and charges, including but not limited to attorneys' fees and expenses of litigation, which may be sustained or incurred by The City under, or arising directly or indirectly out of the issuance of the building permit covering the Lot in the manner so desired by Indemnitor, and resulting directly or indirectly from any claim, action, proceeding, judgment, order or process arising from or based upon or growing out of any such claim; Agreement of Indemnification -Page 1 of 3 AND THE INDEMNITOR FURTHER AGREES that in the event that any judgment shall be or shall have been rendered or any process shall be or shall have been issued, based upon a claim arising out of a breach of the easement as presently recorded or any other matters growing out of any of the same, under which a sale could be held affecting or purporting to affect the Land or any portion thereof, Indemnitor promises and agrees that it will satisfy the same and cause the same to be satisfied and discharged of record; AND THE INDEMNITOR FURTHER AGREES that Indemnitor may submit its building permit application to the City for processing and understands and agrees that any permanent fixture or foundation placed in the easement area will be at Indemnitors own risk until - such vacation is approved by the City and that by entering into this agreement, the City is not agreeing to the vacation of the easement until such public hearing testimony has been heard, considered, and a decision is made by the City. If the City denies the vacation request, any building permit issued may be amended to disallow construction in the easement area and any obstructions placed in the easement area not vacated by the City will be removed by Indemnitor. AND THE INDEMNITOR FURTHER AGREES that nothing herein shall be construed as an obligation on the part of The City to issue the building permit requested, but in the event The City does issue the building permit for the Lot in the manner contemplated, the undersigned Indemnitor gives the assurance and makes the agreements herein set forth for the benefit of The City; AND THE INDEMNITOR FURTHER AGREES that The City is hereby granted the right to rely upon this Agreement in issuing the building permit for the Lot, whether or not there is any change in ownership, title or interest in the Land or the works of improvement thereon, or of any change of Indemnitor's interest therein. Said right shall extend to the Lot; AND THE INDEMNITOR FURTHER AGREES to reimburse attorneys' fees reasonably incurred by The City to enforce the obligations of this agreement, regardless if legal action is commenced; and, AND THE INDEMNITOR FURTHER AGREES that all of the obligations of Indemnitor hereunder shall be several as well as joint. All of the provisions of this Agreement shall inure to the benefit of and bind the parties hereto and their legal representatives and successors in interest. IN WITNESS WHEREOF, the Indemnitor(s) have executed this Agreement of Indemnification Agreement of Indemnification-Page 2 of 3 TRADEWINDS GENERAL CONTRACTING, INC. i .11111W/9":" By: teve 4 arti-4°'■ Its: President STATE OF IDAHO ) . ss. County of Ada ) On this 2 Si day of January. 2014, before me the undersigned Notary Public in and for said state, personally appeared Steven Martinez, known or identified to me to be the President of the corporation that executed the instrument or the person who executed the instrument on behalf of said corporation, and acknowledged to me that such corporation voluntarily executed the same. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the day and year in this certificate last above written. � %!!lipuaii �! GUS ,\\`a��O .K;NEN�F7����i � (SEAL) Notary Public for the above-named State Y ' . Residing at 4.1.,x--J *' "'• i*E. My Commission Expires '- 29 (4s--- PUBLIC During a Special Meeting, January 23, 2014, the City Council voted 4-0 to approve the issuance of the building permit contingent upon the execution of this Agreement of Indemnification. CITY COUNCIL OF THE CITY OF EAGLE 'a County, IIddaho i .......I% fames D. Reynolds, ay0 Icy•'•�`� +''��"•�� '•., iyORAT i O tt' ATTEST: a v ,,.• I lL * e pL __2a Sharon K. Bergmann, Eagle C'ty Clerk ,„q E ;to$ Agreement of Indemnification-Page 3 of 3