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Version 11.09.20 Program Agreement - Orange County Page 8 <br />CA Form - WC 99 06 Q6 (B) <br />© (2019) The Travelers Indemnity Company. All rights reserved. <br />connection with a court application for a preliminary remedy, a judicial challenge to an <br />award or its enforcement, or unless otherwise required by law or judicial decision. <br />h. Each Party shall bear the initial expense of its own arbitrator and shall jointly and <br />equally bear with the other Party all expenses of the umpire and of the arbitration. In <br />arbitrations and related actions required in connection with the collection or <br />enforcement of any of your Obligations to us, the arbitrator(s) may award costs and <br />attorneys’ fees reasonably incurred by us in connection with the arbitration as well as <br />interest on those Obligations. <br />5. Large Risk Alternative Rating Option; Consent to Rate. You acknowledge and agree that your <br />Obligations under this Agreement are rated and priced in accordance with the terms of the National <br />Council on Compensation Insurance (“NCCI”) Large Risk Alternative Rating Option (Filing <br />Memorandum R-1295), the Travelers large risk filings and any amendments of either, as filed in the <br />applicable state(s). The Parties recognize and acknowledge that you are paying certain rates and <br />charges for your Obligations that may be more or less than the sum of charges that would be part of <br />filed and approved rating plans for the underlying insurance coverages. You acknowledge that you <br />have negotiated and consented to the prices and rates set forth in this Agreement <br />6. Audit; Review of Books and Records. We will audit your records on either a physical or <br />statement basis, at our option and as otherwise required by law, to (i) determine your actual <br />exposure base and (ii) calculate those charges which are subject to audit on the applicable Program <br />Exhibit. We may also conduct periodic review of your financial condition. You will furnish us with <br />such financial information and other books and records as we may reasonably request, including but <br />not limited to certified financial statements. <br />7. Conflict with Laws or Regulations/Severability. Nothing in this Agreement shall be construed <br />to require the commission of any act contrary to law. In the event of a conflict between any provision <br />herein and any applicable law or regulation, the latter shall prevail. But, the provision so affected <br />shall be limited only to the extent necessary to permit compliance with the minimum applicable legal <br />requirement, and all other provisions of this Agreement shall continue in full force and effect. In the <br />event of a conflict between any provision of this Agreement and any provision of any Policy, the <br />Policy shall control. <br />8. Failure of Enforcement. Any failure by us to enforce any provision, exercise any option, or <br />require any performance by you of any of the provisions of the Agreement shall in no way be <br />construed to be a waiver, nor shall such failure in any way affect the validity of this Agreement or any <br />part of it, or our right to thereafter enforce any provision of this Agreement or to exercise any right or <br />remedy available to us under applicable law. <br />DocuSign Envelope ID: FCD9FE56-CF01-4E96-B983-B8E8DFE6811C