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57 <br /> related to the use of the property and the continuing general exemption from federal <br /> income tax of the County's payments of interest under the Financing Contract. <br /> (c) The School Board's obligations under Section 8.3 take priority over the <br /> School Board's rights under this Section 10.1. The School Board's allowing use of the <br /> Leased Property pursuant to this Section 10.1 will not constitute a violation of the School <br /> Board's obligations under Section 6.1 or otherwise to use the Leased Property for public <br /> education purposes. <br /> 10.2. Indemnification. To the extent permitted by law, the School Board will <br /> indemnify and save the County harmless against and from all claims, by or on behalf of <br /> any person, firm, corporation or other legal entity, arising from the operation or <br /> management of the Leased Property during the Lease Term, including any arising from: <br /> (a) any condition of the Leased Property, or (b) any negligent act of the School Board or of <br /> any of its agents, contractors or employees or any violation of law by the School Board or <br /> breach of any covenant or warranty by the School Board under this Lease. <br /> The School Board will, upon notice from the County, defend or pay the cost of <br /> defending the County in any action or proceeding brought in connection with any claims <br /> arising out of circumstances described above. <br /> ARTICLE XI <br /> EVENTS OF DEFAULT <br /> 11.1. Events of Default. The following will be "Events of Default" under this <br /> Lease and the term "Default" shall mean, whenever it is used in this Lease, any one or <br /> more of the following events: <br /> (a) The School Board's failure to observe and perform any covenant, condition <br /> or agreement on its part to be observed or performed for a period of 30 days after written <br /> notice specifying the failure and requesting that it be remedied has been given to the <br /> School Board by the County, unless the County and the Lender agree in writing to an <br /> extension of such time prior to its expiration. <br /> (b) The dissolution or liquidation of the School Board or the voluntary initiation <br /> by the School Board of any proceeding under any federal or State law relating to <br /> bankruptcy, insolvency, arrangement, reorganization, readjustment of debt or any other <br /> form of debtor relief, or the initiation against the School Board of any such proceeding <br /> which remains undismissed for sixty days, or the entry by the School Board into an <br /> agreement of composition with creditors or the School Board's failure generally to pay its <br /> debts as they become due. <br /> 9 <br />