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ornon-renewal. BLUE SKIES AVIATION, LLC shall file certificates of insurance with the <br /> City upon execution of this Agreement and annually thereafter. All insurance required under <br /> this paragraph shall be primary over any other insurance coverage Officers Club <br /> AeroVentures San Marcos #2, LP or the City may have, and shall be written with the City as <br /> an additional insured. In any event, BLUE SKIES AVIATION, LLC is fully responsible for <br /> all losses arising out of, resulting from or connected with all activity under this Agreement <br /> whether or not the losses are covered by insurance. The City' s acceptance of insurance <br /> certificates that do not comply with these requirements will not release BLUE SKIES <br /> AVIATION, LLC from compliance with these provisions. <br />15. Procuring and maintaining fire and property damage insurance for all contents, goods, stock, <br /> and any personal property which is or may be situated upon the Property or Facility. <br />16. Holding harmless, indemnifying and defending the City and its officers, agents and <br /> employees from and against claims and suits. <br />17. Use, occupancy and storage of property on the Property at BLUE SKIES AVIATION, LLC' <br /> own risk, and holding harmless and releasing the City and its officers, agents and employees <br /> from all claims, suits and actions by BLUE SKIES AVIATION, LLC for loss of life, <br /> personal injury or property damage occurring at the Airport or on the Property, including <br /> those resulting from the sole negligence or other actionable conduct of the City or its <br /> officers, agents or employees, or from the acts or omissions of third parties. <br />18. Eminent domain as to all or part of the Facility. <br />19. Providing notice to the City of any damage caused to the Facility by fire or other casualty. <br />20. Securing the advance written consent of Officers Club AeroVentures San Marcos #2, LP and <br />tl~e City aG to anv sublease of its interest in the Facility. <br />21. Events of default and remedies. <br />22. Not engaging in unlawful discrimination in the conduct of business operations, use of the <br /> Facility, or employment activities. <br />23. Furnishing services on a fair, equal and nondiscriminatory basis to all users, and charging <br /> fair, reasonable and nondiscriminatory prices for each unit or service. BLUE SKIES <br /> AVIATION, LLC may offer reasonable and nondiscriminatory discounts, rebates, or similar <br /> price reductions to volume purchasers. <br />Section 12. City's Reserved Rights. <br />1. The City reserves the right to operate the Airport in accordance with, and this Agreement is <br />subordinate to, the City's obligations to the Federal and State governments under any of the <br />agreements for which aid for development of the Airport was or will be granted. If these <br />obligations unreasonably restrict BLUE SKIES AVIATION, LLC' use of the Facility, then <br />BLUE SKIE5 AVIATION, LLC may terminate this Agreement, and the parties will have no <br />further obligations. <br />2. It is specifically understood and agreed that this Agreement does not grant or authorize an <br />exclusive right for conducting any aeronautical activity which is unlawfully discriminatory. <br />BLUE SKIES AVIATION, LLC specifically agrees not to discriminate in its use of the <br />Facility in any manner prohibited by Federal Aviation Administration Regulations. BLUE <br />SKIES AVIATION, LLC further agrees to comply with any nondiscrimination enforcement <br />procedures required by the Federal or State government. <br />4 <br />