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BK:00025 PG:0093 <br />entitled to receive just and equitable compensation for <br />any satisfactory work completed on such materials, <br />minus any payment or compensation previously made. <br />Termination for Cause: If, through any cause, the <br />Grantee shall fail to fulfill its obligations under this <br />Contract in a timely and proper manner, the Agency <br />shall have the right to terminate this Contract by giving <br />written notice to the Grantee and specifying the effective <br />date thereof. In that event, all finished or unfinished <br />deliverable items prepared by the Grantee under this <br />Contract shall, at the option of the Agency, become its <br />property and the Grantee shall be entitled to receive just <br />and equitable compensation for any satisfactory work <br />completed on such materials, minus any payment or <br />compensation previously made. Notwithstanding the <br />foregoing provision, the Grantee shall not be relieved of <br />liability to the Agency for damages sustained by the <br />Agency by virtue of the Grantee's breach of this <br />agreement, and the Agency may withhold any payment <br />due the Grantee for the purpose of setoff until such time <br />as the exact amount of damages due the Agency from <br />such breach can be determined. <br />Waiver of Default: Waiver by the Agency of any <br />default or breach in compliance with the terms of this <br />Contract by the Grantee shall not be deemed a waiver of <br />any subsequent default or breach and shall not be <br />construed to be modification of the terns of this <br />Contract unless stated to be such in writing, signed by an <br />authorized representative of the Agency and the Grantee <br />and attached to the contract. <br />Availability of Funds: The parties to this Contract <br />agree and understand that the payment of the sums <br />specified in this Contract is dependent and contingent <br />upon and subject to the appropriation, allocation, and <br />availability of funds for this purpose to the Agency. <br />Force Majeure: Neither party shall be deemed to be in <br />default of its obligations hereunder if and so long as it is <br />prevented from performing such obligations by any act <br />of war, hostile foreign action, nuclear explosion, riot, <br />strikes, civil insurrection, earthquake, hurricane, tornado, <br />or other catastrophic natural event or act of God. <br />determines that some or all of the activities within the <br />scope of this contract are subject to the Health Insurance <br />Portability and Accountability Act of 1996, P.L. 104 -91, <br />as amended ( "H1PAA "), or its implementing regulations, <br />it will comply with the HIPAA requirements and will <br />execute such agreements and practices as the Agency <br />may require to ensure compliance. <br />Executive Order # 24: "By Executive Order 24, issued <br />by Governor Perdue, and NCGS 133 -32, it is unlawful <br />for any vendor or contractor ( i.e. architect, bidder, <br />contractor, construction manager, design professional, <br />engineer, landlord, offeror, seller, subcontractor, <br />supplier, or vendor), to make gifts or to give favors to <br />any State employee of the Governor's Cabinet Agencies <br />(i.e., Administration, Commerce, Correction, Crime <br />Control and Public Safety, Cultural Resources, <br />Environment and Natural Resources, Health and Human <br />Services, Juvenile Justice and Delinquency Prevention, <br />Revenue, Transportation, and the Office of the <br />Governor). This prohibition covers those vendors and <br />contractors who have a contract with a governmental <br />agency; or have performed under such a contract within <br />the past year; or anticipate bidding on such a contract in <br />the future. <br />For additional information regarding the specific <br />requirements and exemptions, vendors and contractors <br />are encouraged to review Executive Order 24 and NCGS <br />Sec. 133 -32. <br />Executive Order 24 also encouraged and invited other <br />State Agencies to implement the requirements and <br />prohibitions of the Executive Order to their agencies. <br />Vendors and contractors should contact other State <br />Agencies to determine if those agencies have adopted <br />Executive Order 24." <br />Intellectual Property Rights <br />Copyrights and Ownership of Deliverables: All <br />deliverable items produced pursuant to this Contract are <br />the exclusive property of the Agency. The Grantee shall <br />not assert a claim of copyright or other property interest <br />in such deliverables. <br />Survival of Promises: All promises, requirements, <br />terms, conditions, provisions, representations, <br />guarantees, and warranties contained herein shall survive <br />the contract expiration or termination date unless <br />specifically provided otherwise herein, or unless <br />superseded by applicable federal or state statutes of <br />limitation. <br />Health Insurance Portability and Accountability Act <br />(HIPAA): The Contractor agrees that, if the Agency <br />Compliance with Applicable Laws <br />Compliance with Laws: The Grantee shall comply <br />with all laws, ordinances, codes, rules, regulations, and <br />licensing requirements that are applicable to the conduct <br />of its business, including those of federal, state, and local <br />agencies having jurisdiction and/or authority. <br />Page 7 of 15 <br />