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SECTION VI . LIABILITY COVERAGE CONDITIONS <br />In addition to the Coram.^n Conditions, Liability <br />Coverage Parts A, C, D. and E arc subject to the follow­ <br />ing conditions: <br />1. LMCrrS DUTY TO DEFEND AND/OR INDEM­ <br />NIFY <br />a. Which constitutes malfeasance in office; or <br />b. Which constitutes willful neglect of duty; ur <br />& Which constitutes bad faith; or <br />d. For which the ’city" is not authorized to indemnify <br />any person by statute; or <br />c. Which constitutes dishonesty on the part of a <br />"covered party"; or <br />f. Which constitutes the willful violation of a statute <br />or ordinance by any official, employee, or agent <br />ofthc’dty. <br />The terms "malfeasance", "willful neglect of duty", and <br />"bad faith" shall be given the same meaning in this <br />covenant as given in the applicable statute with respect <br />to the "dt/s" duty to defend or indemnify its oflidals, <br />employees or agents. <br />Z RNANOAL RESPONSIBILITY LAW <br />When this covenant is certified as proof of financial <br />responsibility for the future under the provisions of <br />any motor vehide finandal responsibility law, such <br />coverage as is afforded by this covenant for bodily in- <br />jwy liability or totpnpeny damage liability shaU com­ <br />ply with the provisions of such law to the extent of the <br />coverage and limits of liability required by such law. <br />3. -COVERED PARTY’S" DUTIES IN THE EVENT <br />OF OCCURRENCE, OAIM OR SUIT <br />In the event of an ocauroKe, claim or suit notice <br />coataiaing partioalan sufficient to identify the <br />"covered party* and also reasonably obtainable in- <br />formalioa with respect to the time, place and <br />drcaButaaces tber^ and the names and ad- <br />drrntf of the mjured and of available witnesses, <br />shall be givea or for the "covered party* to <br />LMCTT or any of its authorized agents as soon <br />m praetkaUe. The *dty* shall promptly take at <br />Its own eapease aU reasonable steps to prevent <br />^irionalhodify injury, pnpany damage, personal <br />and errors or omisiions injiuy from arising <br />damagf, pmonat iegury, and errors or omissions <br />LMOT CMC (114S) (Rev. 1149) <br />injury occ'irrcd; provided (1) that a failure to lake <br />such prev taiivc measures shall not constitute a <br />brccch of this condition unless LMCIT has re­ <br />quested the "city" in writing to uriertakc such <br />preventative measures, and (2) such expense shall <br />not be recoverable under this covenanL <br />1. . - I. . ^ <br />LMCrr*s duty to pay on behalf of or to indemnify a <br />“covered party* other than the “aty* shall not apply to <br />any act, error or omission: <br />Notice of property damag^ bodily injury, personal <br />injury, or errors or omissions injury is not notice <br />of a claim. <br />If claim is made or suit is brought against the <br />"covered party", the "covered party" shall imme­ <br />diately forward to the company every demand, <br />notice, summons or other process received by <br />him or his representative. <br />The "covered party* shall cooperate with LMCIT <br />and, upon LMCIT’s request, assist in making <br />settlements, assist in the conduct of suits and as­ <br />sist in enforcing any right of contribution or <br />indemnity against any person or organization who <br />may be liable to the 'covered party* because of <br />boddy injury, ^ptrty damage, personal injury and <br />errors or omissions injury with respect to which <br />coverage is afforded under this covenant; and the <br />"covered party* shall attend hearings and trials <br />and a^l in securing and gening evidence and <br />obtaining the attendance of witnesses. The "cov­ <br />ered party" shall not, except at his own cost, <br />voluntarily make any payment, assume any <br />obligation or incur any expense other than for <br />first aid to others at the time of accident. <br />A cLiim by any person or organization seeking <br />damages will be deemed to have been made when <br />notice of such claim is received and recorded by <br />any "covered party" or by LMCIT whichever <br />comes first. <br />All claims for damagtt as the result of an ocatr- <br />rmce will be deemed to have been made at the <br />time the first of those claims is made against any <br />"covered party*. <br />4. EXTENDED REPORTING PERIOD <br />LMCIT will provide one or more extended <br />reporting periods, as described below if: <br />Coverage A, C, or D is cancelled or not <br />renewed; <br />LMCIT renews or replaces Coverages A, <br />C, or D with coverage that: <br />(a)Has a retroactive date later than the <br />date shown on the Declarations page; <br />Does DOC apply to botUly injury, prop­ <br />erty damage, persorutl injury, or errors <br />page 12 of 13