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14 <br /> ADDENDUM B <br /> California Special Terms <br /> If Sponsor has Employees in California,the following additional terms and conditions apply. <br /> B-1.1 Definitions. In addition to the definitions set forth in Article V of the Agreement,the following terms and <br /> conditions apply to Services in California. <br /> (a) "Department"means the California Department of Managed Health Care,acting in its capacity <br /> to administer or enforce Knox-Keene. <br /> (b) 'Director"means the Director of the Department of Managed Health Care of the State of <br /> California. <br /> (c) 'Disclosure Form"means a Combined Evidence of Coverage and Disclosure Form meeting the <br /> requirements of Knox-Keene. The initial Disclosure Form for use in connection with provision of the EAP Services <br /> hereunder is attached hereto as Exhibit 1,and the terms thereof(as such may be amended and superseded by <br /> subsequent Disclosure Forms)are hereby incorporated herein by this reference. <br /> (d) "Knox-Keene"means the Knox-Keene Health Care Service Plan Act of 1975,as amended, <br /> and regulations issued thereunder. <br /> B-1.2 Provider Contracts. Magellan shall provide written notice to Sponsor within a reasonable time of <br /> the occurrence of any termination of,breach by a Provider of,or inability of a Provider to perform its obligations under, <br /> any contract between Vista or an Affiliate of Vista and such Provider,if,in the reasonable estimation of Vista,Sponsor <br /> may be materially and adversely affected by such termination,breach or inability to perform. In the event of the <br /> termination of such a contract,Vista shall be liable for any EAP Services rendered by the Provider to a Participant who <br /> is under the care of such Provider at the time of such termination until such care is ultimately completed by the <br /> Provider,unless Vista makes reasonable and clinically appropriate provision for the assumption,continuation and <br /> completion of such care by another Provider. The rights and obligations set forth in this section shall survive the <br /> termination of this Addendum or this Agreement. <br /> B-13 Cancellation of Group Contract. <br /> (a) Upon the cancellation of,or failure to renew,this Agreement,Vista shall issue promptly to <br /> Sponsor a notice of cancellation meeting the requirements of Knox-Keene. Upon receipt from Vista of any notice of <br /> cancellation or termination,Sponsor shall promptly mail to Participants a legible,true copy of such notice of <br /> cancellation and inform Participants of the termination of this Agreement and the resultant cancellation of the eligibility <br /> of Participants to receive Services under this Agreement effective as of the date of such termination of this Agreement <br /> (subject to the provisions of Paragraph 1.1WO01. Such notice to Participants shall be acceptable to Vista in form and <br /> content,and Sponsor shall provide Vista proof of timely mailing of such notice. <br /> (b) Upon the termination of this Agreement,and except for termination by Vista for cause due <br /> to fraud or deception by Sponsor in connection with the Services or this Agreement(or Sponsor's knowingly permitting <br /> such fraud or deception by another),Vista shall refund to Sponsor the portion of any Service Fees paid to Vista <br /> applicable to the expected performance of EAP Services for any period following such termination,less any amounts <br /> then due and owing from Sponsor to Vista pursuant to this Agreement. <br /> Magellan Behavioral Health,Inc. 11 Rev. 07127101 <br /> Growing Business Services Agreement <br />