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18. Termination <br /> Either party may declare a default under this Agreement if the other party fails to comply <br /> with any of the terms of this Agreement. If one party determines that the other party is in default <br /> of this Agreement, the non-defaulting party will notify the defaulting party in writing of such <br /> default, and if the default is not cured within 30 calendar days from the date of the notice, <br /> then the non- defaulting party may terminate this Agreement upon written notice. Either party <br /> may exercise its remedies for default in conjunction with one another or separately, and <br /> together with any other statutory or common law remedies available to such party. Any <br /> failure by the non-defaulting party to enforce this Agreement with respect to one or more <br /> defaults by the defaulting party will not waive the non-defaulting party's ability to enforce the <br /> Agreement after that time. <br /> The City may terminate this Agreement for any reason by providing six months' advance <br /> written notice of termination to CARTS. If the City terminates for any reason other than a <br /> default by CARTS, CARTS shall be entitled to receive payments for services performed in <br /> operating and maintaining the System and winding down through the termination date stated <br /> in the notice. CARTS may terminate this Agreement for any reason by providing six months' <br /> advance written notice of termination to the City. CARTS shall be entitled to receive <br /> payments for expenses reasonably incurred in operating the System and winding down through <br /> the termination date stated in the notice. <br /> 19. Dispute Resolution <br /> a. Notice & Conferences. If a party believes that the other has not met, or is not <br /> meeting, an obligation under this Agreement, the party will contact the other's contact person <br /> listed in Section 17 to discuss the issue.If discussions do not resolve the issue,then the party will <br /> notify the other in writing of the complaint with reasonable detail to permit the other party to <br /> address the issue. The other party will then have a reasonable time—ordinarily not to exceed 30 <br /> calendar days—to address and improve its performance. <br /> If these discussions do not resolve an issue, then the City and CARTS shall select <br /> designees to meet in person to discuss and try to resolve any issue. This process should take no <br /> more than five business days, unless the parties agree otherwise. By enacting and adopting this <br /> Agreement,the City and CARTS authorize said designees to resolve such issues without separate <br /> contemporaneous approval, so long as they do not materially increase the obligations assumed <br /> by their respective principals in this Agreement's express terms. <br /> If these efforts don't resolve the issue,then the parties on each side of a dispute may write <br /> a letter to the others' governing body. Each party will circulate the other's letter to its governing <br /> board. <br /> b. Prerequisites to a Lawsuit or Other Proceeding. The parties recognize that each <br /> City of San Marcos Public Transit System October 1,2020 <br /> CARTS Interlocal Agreement P. 7 <br />