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199882v2 2 <br />to the conditions set forth in this Agreement. Further conditions of encroachment approval are as <br />follows: <br />• The City shall have no responsibility to maintain or repair the Improvement located within <br />the City’s right-of-way area. <br />• The Owners shall own the Improvement and shall be responsible for the maintenance, <br />repair and/or replacement of the Improvement located within the City’s right-of-way area. <br />• The Improvement located on the Subject Property must not impact or increase water <br />drainage on the abutting properties or cause any adverse drainage patterns or erosion to <br />the abutting properties. <br />• The Owners are fully responsible and liable for any and all damage caused to the <br />Improvement because of the Improvement being constructed in the City’s right-of-way <br />area. <br /> <br /> Further, Owners agree that the Improvement was constructed consistent with all applicable <br />federal, state and local laws and regulations. <br /> 3. INTEREST IN RIGHT-OF-WAY. Nothing in this Agreement shall be deemed a <br />waiver or abandonment of the City’s interest in the right-of-way. <br /> 4. HOLD HARMLESS AND INDEMNITY. In consideration of being allowed to <br />encroach within the City’s right-of-way area, Owners, for themselves, their heirs and assigns, hereby <br />agree to indemnify and hold the City harmless from all costs and expenses, claims and liability, <br />including attorney’s fees, relating to or arising out of this grant to the Owners of permission to <br />encroach on the City’s right-of-way easement are for the construction, maintenance, use, operation, <br />and the like of the Improvement. <br /> 5. TERMINATION OF AGREEMENT. If the Improvement interferes with the use, <br />maintenance or repair of the City’s right-of-way and/or utilities within the right-of-way, the property <br />Owners shall remove the interference at their sole expense. If the property owners fail to maintain <br />the Improvement or fail to remove the interference as provided in this paragraph, the City may, at its <br />sole discretion, terminate this Agreement by giving the current Owners of the Subject Property thirty <br />(30) days advance written notice. The City may unilaterally terminate this Agreement if the