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3. Compensation. The Licensee agrees to pay the Licensor the sum of $30.00 per year for the Licensee's use of the License Area, increasing by 5% on each anniversary of the date of this agreement. Payments shall be due and payable on the date of execution of this License and annually on the same date for the duration of the License. The Licensee, at its option, may make advance payments for periods of up to five years, but there will be no discount for these payments. Payments shall be made at the Finance Department, City of San Marcos, 630 E. Hopkins Street, San Marcos, TX 78666. 4. Indemnity. The Licensee agrees to indemnify, hold harmless and defend the Licensor, its officers and employees from and against any claims or liability which may be incurred by reason of any act or omission of the Licensee, its officers, agents or employees in connection with the Licensee's use of the License Area. 5. Use Rights Reserved. The Licensor reserves the right at all times, for itself and all public utilities authorized to use the public rights -of -way, to use the License Area for right -of -way and public utility purposes, including those that involve excavation, trenching, pole and wire placement, or other activities that may affect the Licensee's use of the License Area. The Licensor and the authorized utilities will endeavor to notify the Licensee in advance of any construction or maintenance activities, but they make no commitment to do so. The surface of the License Area will be restored to a level condition upon con- ipietion of the construction or iiiaintenai ice activities, but the Licensee will be responsible for repairing or replacing any affected portion of the Improvements. The Licensee may terminate this agreement on the basis of any such construction activities. 6. Termination. A. The Licensor may terminate and revoke this License Agreement if the Licensee violates this agreement and fails to cure the violation within 30 days after the Licensor gives the Licensee written notice of the violation. Alternatively, at the Licensor's sole discretion, the Licensor may fake action to cure any violation of this agreement by the Licensee, and collect the costs of curing the violation from the Licensee. If any invoice for such costs is not fully paid within thirty days of its issuance by the Licensor, the Licensee expressly grants the Licensor the right to record a lien against the Licensee's Property for the unpaid amount of the invoice. B. The Licensor may terminate this agreement for any other reason by giving Licensee six months written notice of termination. C. Upon any termination of this Agreement, the Licensee agrees to remove the Awning within 90 days of the termination. 7. Miscellaneous. A. This license constitutes the entire agreement between Licensor and Licensee on this subject, and it may be amended only by written instrument executed by both parties. B. This agreement is governed by the laws of the State of Texas. Exclusive venue for any legal dispute under this agreement is in the state court in Hays County, Texas having jurisdiction over the dispute. The Licensor's execution of and performance under this agreement will not act as a waiver of any immunity of the Licensor to suit or liability under applicable law. The parties acknowledge that the Licensor, in executing and performing this Agreement, is a governmental entity acting in a governmental capacity. C. I his agreement shall run with the title to the Licensee's Property described in Recital A above and is binding upon Licensee's successor in title as to the Licensee's Property.