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DocuSign Envelope ID: AEBE006C-30A5-4332-AF1E-D6ACDCECFAF7 <br />GENERAL TERMS AND CONDITIONS <br />INTERAGENCY AGREEMENT <br />STATE FUNDS <br />14. SEVERABILITY <br />The provisions of this contract are intended to be severable. If any term or provision is illegal or invalid <br />for any reason whatsoever, such illegality or invalidity shall not affect the validity of the remainder of <br />the contract. <br />15. SUBCONTRACTING <br />The Contractor may only subcontract work contemplated under this Contract if it obtains the prior <br />written approval of COMMERCE. <br />If COMMERCE approves subcontracting, the Contractor shall maintain written procedures related to <br />subcontracting, as well as copies of all subcontracts and records related to subcontracts. For cause, <br />COMMERCE in writing may: (a) require the Contractorto amend its subcontracting procedures as they <br />relate to this Contract; (b) prohibit the Contractor from subcontracting with a particular person or <br />entity; or (c) require the Contractor to rescind or amend a subcontract. <br />Every subcontract shall bind the Subcontractor to follow all applicable terms of this Contract. The <br />Contractor is responsible to COMMERCE if the Subcontractor fails to comply with any applicable term <br />or condition of this Contract. The Contractor shall appropriately monitor the activities of the <br />Subcontractor to assure fiscal conditions of this Contract. In no event shall the existence of a <br />subcontract operate to release or reduce the liability of the Contractor to COMMERCE for any breach <br />in the performance of the Contractor's duties. <br />Every subcontract shall include a term that COMMERCE and the State of Washington are not liable <br />for claims or damages arising from a Subcontractor's performance of the subcontract. <br />16. SURVIVAL <br />The terms, conditions, and warranties contained in this Contract that by their sense and context are <br />intended to survive the completion of the performance, cancellation or termination of this Contract <br />shall so survive. <br />17. TERMINATION FOR CAUSE <br />In the event COMMERCE determines the Contractor has failed to comply with the conditions of this <br />contract in a timely manner, COMMERCE has the right to suspend or terminate this contract. Before <br />suspending or terminating the contract, COMMERCE shall notify the Contractor in writing of the need <br />to take corrective action. If corrective action is not taken within 30 calendar days, the contract may <br />be terminated or suspended. <br />In the event of termination or suspension, the Contractor shall be liable for damages as authorized by <br />law including, but not limited to, any cost difference between the original contract and the <br />replacement or cover contract and all administrative costs directly related to the replacement <br />contract, e.g., cost of the competitive bidding, mailing, advertising and staff time. <br />COMMERCE reserves the right to suspend all or part of the contract, withhold further payments, or <br />prohibit the Contractor from incurring additional obligations of funds during investigation of the <br />alleged compliance breach and pending corrective action by the Contractor or a decision by <br />COMMERCE to terminate the contract. A termination shall be deemed a "Termination for <br />Convenience" if it is determined that the Contractor: (1) was not in default; or (2) failure to perform <br />was outside of his or her control, fault or negligence. <br />The rights and remedies of COMMERCE provided in this contract are not exclusive and are in addition <br />to any other rights and remedies provided by law. <br />State of Washington Interagency Agreement Updated August 2019 <br />Department of Commerce Page 6 <br />