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MA FY08/09-CS100409T H E C 1 T Y O F COPPELL � 10 ; April 9, 2010 x n s . Jimmy Sparks SureTec 9737 Great Hills Trail Suite 320 Austin TX 78759 RE: FY 08/09 Street & Alley Repair Contract Dear Mr. Sparks: The City of Coppell is still holding 10% retainage on the referenced project in the amount of $17,992.13. As of this date, the City has not received the Maintenance Bond or Affidavit of Final Payment. Under the terms of our contract, we will not release final payment until those items are received. If you wish to request partial release of remaining funds to satisfy any outstanding claims prior to full release, please submit that request for release in writing, The request should clearly state what companies are still owed monies and the amounts owed. The request should also include the affidavit that all bills have been settled with the exception of the ones indicated. We will then issue final payment when you are able to provide a full affidavit of all bills paid and the required maintenance bond. Call me at the number below if you have any questions. Sincerely, Keith Marvin, P.E. Project Engineer Office: 972/304 -3681 Fax: 972/304 -3570 kmarvingcoppelltx.gov cc: David Dodd, Nichols, Jackson, Dillard, Hager & Smith LLP Jerod Anderson, Purchasing Agent Mr. Majid Khalaf Procon Paving & Construction 10361 Bickham Rd Dallas TX 75220 255 PARKWAY * P.O.BOX 9478 * COPPELL TX 75019 * TEL 972/462 0022 * FAX 972/304 3673 a z _ F x c7 w O W F rR a O a a a a w x q q W W 0 m� Q q � w U q co M q ¢ cn q a H W O O z CO W W x O z F U w O a a w a F W W a. z z a a a O U w O U E-F U w O a q W LY. O W R. O 3 co LO M- O II N O N 0) M l- O m 00 00 II co O M - - (4 z �606 Ci F, ¢ O �O t- O M to N 10 II II N 0) tG N O? N Ci 0) (71 O ¢ ffl N •-� II u f1-1 q II mv�,v�ivia w � F, t0 M M z N 1 - N N N N 0 cN N co �o co N co t- d 00 co N N 0 0 0 0 0 x 11000 z F o ° ° � LG �o ° ° ;; G 6 ° o O II UD x C w F n � W cn Cl) Cl) m a q O_ O > a a M LO M O II N M h O C� O0 00 II M (L z (� � 00 ;; - N0) jj � �o tH In LO c b4 Cr 0) m N n w ¢ y} 4 G4 59 a II w� F cnv)Cl) M a z M M a z N N N N ¢ N ~ m t co U O N It N OM L o ll ) O O O II c F�t O � C Q II F O Ol F E E z0 ui G4 0 0 q q q q ¢ a U V3 cs II Ln0Lo o 10 0 1 o E , w LO Zt o �o z n rn u0 f-q v �D a M in O to N q � N co N o ~ M F F ¢ z d w F w a E _U W a co x F W W W ° + a O a a a o � w r~r~Fao3 U a a a U) U) U)¢ U z w w w a a a a a ce -6 °23 `8 C� O O O O O w N M F Jan 19 10 02:35p Eyad 9728890295 p.1 City of Coppell ATTN: Keith Marbin Re: Contract Amount: $319,000 Project: Annual contract pavement repair Dear Mr, Marbin: We request that you send all contract proceeds earned and to be earned under our contract with you directly our project disbursing administrator, SureTec Information systems, Inc. at the following address: Procon Paving & construction C/O SureTec Information Systems, Inc. ATTN: Jimmy Sparks 9737 Great Hills Trail, Ste., 320 Austin, TX78759 Your Checks will still be made payable to Procon Paving & Construction. This directive may only be changed by written consent of our bonding company SureTec insurance Company ( "SureTec "). You signature below, indicating your agreement to make payment in this manner, is needed to process the payment accordingly. We look forward to completion of the project very soon. Should you have any questions, please do not hesitate to contact me. Majed Kalaf Procon Paving & Construction Agreement and Acknowledgement Owner: City yo of - Coppell 8y: Y G Authorize ' Re tine Date: 6 f 1 Title: I ��1(� E L January 0, 20010 A 1' loo S u reTe c January 8, 2010 City of Coppell ATTN. Keith Marvin, P.E. 255Parkway P.O. Box 9476 Coppell, TX 75019 RP: Principal Bond No.: Obligee: Project: Dear Mr. Marvin: Procon Paving & Construction 4370965 City of Coppell Street and Alley Repair Jimmy Sparks (512) 314 -3660 Direct (512) 314 - 3561 Facsimile isparks@suretec.com This correspondence will advise that at this time SureTec is requesting that all funds be delivered directly to SureTec at the address listed below. As you know the project is a public project and is governed by the Texas Government code 2253 and SureTec supplied Payment and Performance bonds in accordance with 2253. As you may be aware, several subs and /or suppliers have been submitting claims and they have been referred to SureTec. Please note the payment bond is there to allow for subs and suppliers to have a source of recovery if they are not getting paid on the project, as they cannot lien a public job, Once The City of North Texas sends payment to SureTec, we will settle all claims and pay perfect claims (valid and timely), and deny those that did not comply with Chapter 2253 of the Government Code. Once The City of North Texas has made all payments due, Procon and /or SureTec will make sure that all perfected claims are paid. I trust this correspondence provides you with the assurance needed to make all remaining payments to SureTec, I understand that Procon has sent you a letter of Directive ( "LOD ") as well indicating that all remaining funds should be set to SureTec as well. Please find the enclosed General Indemnity Agreement for your review. This indemnity agreement executed by Procon grants any accounts receivables of Procon to SureTec. I trust this correspondence provides you with the assurance needed to make the remaining payments to SureTec. ; ctful /� M p s �/ Surety Claims Manager Cc: Procon Paving & Construction (Majed Khalaf) —via e-mail 9737 Great Hills Trail + Suite 320 • Austin, Texas 78759 • 512.732.0099 • Toll Free 866.732.0099 • Fax 512.732,2663 Z l l6ti 'ON J IHS WdSti O lOZ 'N 'Ndr 14 d r tsar ) re Te c r 1irocon Paving aiad Const.>cuc110% Inc. GENERAL AGREEMENT OF INDEMNITY This General A �9 reement of Indemnity, herein called the "Agreement," is made and executed this 21 day of Marsh , 2009 by the undersigned, heroin called the "Indemnitors," in favor of, and for the benefit of, SureTec insurance Company and Its co- sureties, reinsurers, and other sureties through wham it may procure the execution of bonds and undertaking, herein collectively called the "Company." 1Ntnesseth: WHEREAS, certain bonds, guaranties, obligations of suretyship, undertakings and other Instruments in the nature of a bond or ancillary thereto (all such bonds, guaranties, obligations, and undertakings being collectively referred to herein as "bonds") may have heretofore been, and may hereafter be, required by, for, or on behalf of the Inderrrnitors or any one or more of the Indemnitors, in whosd bonds the Indemnitors do hereby affirm to have a substantial material and beneficlal Interest; and os a oondltion precedent to the execution of any and all such bonds, the Company requires execution of this General Agreement of Indemnity; NOW, THEREFORE, in consideration of these premises, and of the execution or continuance or renewal of such bonds, and for other good and valuable consideration, the Indemnitors do, for themselves, their heirs, executors, administrators, personal representatives, assigns and any and all of their wholly or partially owned subsidiary companies, subsidiaries of subsidiaries, proprietorships, divisions, affiliates, partnerships, joint ventures or co- ventures in which any of the undersigned indemnitors, have any interest or participation, whether open or silent, now in existence or which may hereafter be created or acquired, jointly and severally agree with, and make this General Agreement of Indemnity in favor of, and for the benefit of, the Company as follows: 1, The Indemnitors shall pay to the Company, at its home office at 952 Echo Lane, Suite 450, In the City of Houston, Harris County, Texas, all sums due or to become due hereunder, including, but not limited to, all premiums, fees, and charges at the rates and at the times specified by Company, and will Continue to pay the same when such premium, fee, or charge is annual and when additional premiums, fees, or charges are due for changes to underlying bonded obligations. Premiums are due and payable upon execution of bonds and upon renewal thereof. The Indemnitors shall be liable for additional and renewal premiums hereunder until the Company shall be discharged and released from any and all liability and responsibility upon and from each such bond or liability arising therefrom, and until the Indemnitors shall deliver to the Company at its home office in Houston Texas, competent written evidence, satisfactory to the Company, of the Company's discharge from all liability on such bond or bonds. The Indemnitors shall also pay to Company, its affiliates, or to third parties, as the case may be, all underwriting, inspection, funds disbursement, escrow, special handling, filing, recording, and similar fees required or charged in connection with the underwriting. execution, or administration of any bonds. 2. The Indemnitors shall Indemnify and save the Company harmless from and against every claim, demand, i €ablilty, cost, loss, charge, suit, judgment, award, fine, penalty, and expense which the Company may pay, suffer, or incur in consequence of having executed, delivered, or procured the execution of such bonds, or any renewals or continuations thereof or substitutes therefor, Including, but not limited to, court costs, mediation and facilitation fees and expenses, funds disbursement and escrow fees, fees and expanses of attorneys, accountants, adjusters, inspectors, experts, and consultants, whether on salary, retainer, in- house, or otherwise, and the expense of determining liability, or procuring, or attempting to procure, release from liability, or in bringing suit or claim to enforce the obligation of any of the Indemnitors under this Agreement. In the event the Company de,ems it necessary to respond to, make an investigation of, or settle, defend, or compromise a claim, demand or suit, the General Agreement of Indemnity Rev 11 -0$ Page t of 9 0 'd l olihnS Wd�� :E 010Z S IF Date: January 22, 2010 Prom: Jimmy Sparks To: Keith Marvin e-mail: Fax: (972) 304 -3570 Phone: Direct: 866 - 732 -0099 (toll -free) 512 314 -3660 Re: City of Coppell Fax: (512) 314 -3661 No. of Pages: 9 CC: Dear Mr. Marvin: Per our conversation, please find the attached correspondence for your review, Should you have any questions or concerns, please do not hesitate to contact me. Sincerely, Jimmy Sparks 9737 Great Hills Trail, Suite 320 Austin, TX 78759 I 'd ll6ti'ON OLIVS AdSti:E 01H U'NV Indemnitors acknowledge and agree that all loss, cost, and expense attendant to such response, investigation, settlement, defense, and compromise, whether incurred Intemally or otherwise, and whether or not Indemnitor has offered to defend Company, is included as an indemnified expense and shall be paid by Indemnitors to Company on demand. In the event of payments by the Company, a voucher, affidavit, bordereaux or other evidence of such payments are prima facie evidence of the amount paid, propriety thereof, and of the Indemnitors' liability therefor to the Company. In the event that Indemnitors are covered by any insurance policy or policies for any matter or claim that may be brought against Company, or for which Company may have any exposure or liability, the coverage under such insurance policy or policies shall be primary. Indemnitors waive any and all claims of subrogation against Company. 3. Payment of loss or deposit of cash, cash collateral, or other collateral security acceptable to the Company shall be made to the Company by the Indemnitors as soon as liability exists or is asserted against the Company, whether or not the Company shall have made any payment therefor, Such payment shall be equal to the larger of (a) the amount of any reserve set by the Company, or (b) such amount as the Company, In Its sole judgment, shall deem sufficient to protect it from loss. The Company shall have the right to use the collateral, or any part thereof, in payment or settlement of any liability, loss or expense for which the Indemnitors would be obligated to indemnify the Company under the terms of this Agreement. If for any reason the Company shall deem it necessary to increase a reserve to cover any possible liability or loss, the Indemnitors will deposit with the Company, immediately upon demand, a sum of money equal to any increase thereof as collateral security to the Company for such liability or loss. Indemnitors acknowledge that there is no adequate remedy at law for the breach of this provision and that payment of damages would not adequately compensate Company for such breach. Accordingly, Company may compel Indemnitors to specifically perform these obligations pursuant to applicable law. 4. The Indemnitors immediately upon becoming aware of any demand, notice, or proceeding preliminary to determining or fixing any liability, with which the Company may be subsequently charged under any such bond, shall notify the Company thereof in writing at its home office, 952 Echo Lane, Suite 450, Houston, Texas, 77024. Recognizing that the Company is relying on the financial information provided by Indemnitors, Indemnitors shall notify the Company immediately of any event which adversely affects the financial stability of any Indemnitor. 5. The Company shall have the right to settle, compromise, prosecute, or defend any claim or action brought against the Company or any Indemnitor upon or relating to any bond or any affirmative claims by any Indemnitor against Company or a third party relating to any bonds or any interests granted herein. Company's decision with respect thereto shall be binding and conclusive upon the Indemnitors. 6, The Company, and its designated agents, consultants, and representatives, shall at any and all reasonable times, have free access to the books and records of the Indemnitors. Indemnitors consent to Company's requests for, and use of, consumer credit reports and Investigative consumer credit reports with respect to any of the individual Indemnitors. Any bank, depository, creditor, credit bureau or credit reporting agency, obligee of a bond, subcontractor, material supplier, claimant, prior surety, agent, or other person, firm or corporation possessing records or having information concerning the financial affairs and records or having information concerning the current or past financial affairs and operations of the Indemnitors is hereby authorized to fumish to the Company and Its representatives, consultants, and affiliates, any such records or information requested by the Company. Indemnitors will execute, as requested by the Company, any additional documents necessary to cause the release and production of records and information authorized by this paragraph. 7. In the event the (ndemnitors, or any of them, shall (a) fail to pay any premium or underwriting charge or fee when due, or (b) fail to pay any amounts due hereunder, (c) abandon, forfeit or breach a bonded contract or obligation, or have been alleged to have abandoned, forfeited, or breached any such contract, (d) breach or be declared to have breached any bond issued by or at the request of Company, (e) have proceedings instituted against them, or any them, alleging that they are insolvent, or for the appointment of a receiver or trustee for the benefit of creditors, whether such Indemnitor(s) are Insolvent or not, (f) have proceedings instituted against them, or any of them, the effect of which may be to deprive any of them of the use of any part of the equipment, funds, or assets used in connection with the work under bonded contract so as to hinder, delay or impede the normal satisfactory progress of the work, (g) fail to cooperate with Company in the investigation of claims made or threatened to be made against Company, (h) be in breach or default of any funds disbursement, escrow or other agreement executed in connection with any bond, or (1) If any Indemnitor is an individual, the Indemnitor's dying, absconding, disappearing, incompetency, being convicted of a felony or imprisoned, and if the Indemnitor is any other entity, any change or threat of change in the character, identify, control, management, beneficial ownership or existence of Indemnitor, or (I) the Company shall become insecure or unsure of the Indemnitors' willingness or General Agreement of Indemnily Rev 11-08 Page 2 of 9 ti 'd l l6ti 'ON olihnS AdSti :E 0IH U 'NV ability to perform their obligations hereunder, and irrespective of whether Indemnitors have been declared in default under any bond or undertaking, the Company shall have the right, but not the obligation, to: (x) take possession of the work and under any other contract in connection with which the Company has given its bond or bonds within the purview of this Agreement and, at the expense of the Indemnitors, to continue performance of the contract(s), or cause, consent to, or arrange for, the completion thereof, (y) direct the obligees under such bonds to hold or forward contract proceeds and retainages due, earned, or to become due or earned, under the contract to the Company or its designees for disbursement or offset against other obligations of Indemnitors to Company as it deems necessary or advisable, and/or (z) take such other and further action as the Company may, in its sole discretion, deem advisable, prudent, or necessary. B. Indemnitors shall pay interest on, and interest shall accrue on, all unpaid indebtedness of Indemnitors to Company at an interest rate equal to the lesser of: (a) eighteen percent (18 %) per annum or (b) the Highest Lawful Rate (as such term is defined below). Interest ou unpaid premiums shall not begin to accrue, however, until 45 days following the date of execution of a bond, or the renewal of a bond, by Company or its attorney -in -fact. Notwithstanding any other provision hereln, the aggregate Interest rate charged under thls Agreement, including all charges, fees, or other payments in connection herewith or therewith deemed in the nature of Interest under applicable law shall not exceed the Highest Lawful Rate. It is the intention of Company and Indemnitors to conform strictly to any applicable usury laws. Accordingly, if Company contracts for, charges, or receives any consideration which constitutes interest In excess of the Highest Lawful Rate, then any such excess shall be canceled automatically and, if prevlously paid, shall at Company's option be applied to the outstanding principal balance due hereunder or be refunded to Indemnitors. As used in this paragraph, the tenn "Highest: Lawful Rate" means the maximum lawful interest rate, if any, that at any time or from time to time may be contracted for, charged, or received under the laws applicable to Company which are presently in effect or, to the extent allowed by law, under such applicable laws which may hereafter be in effect and which allow a higher maximum non - usurious interest rate than applicable laws now allow. 9. As further security, the Indemnitors hereby grant to the Company a security interest In, and lien on, all of their equipment, machinery, plant, inventory, insurance policies, vehicles, tools, real properly, general intangibles, and materials, as well as sums, claims, causes of action, accounts, accounts receivable, and rights due or to become due in connection with any contract, whether or not bonded by Company. This Agreement shall constitute a Security Agreement and a Financing Statement for the benefit of the Company In accordance with the Uniform Commercial Code and all similar statutes and a deed of trust or mortgage, as applicable, and may be filed by the Company without notice to perfect the security interests and liens granted herein. The Company may add schedules, property descriptions, and other documents to this Agreement as necessary and may sign a copy of this Agreement, or copy thereof, where required for tiling as a Financing Statement or to otherwise perfect any interest granted herein. For the purpose of recording this Agreement, a photocopy of this Agreement acknowledged by a representative of Company before a Notary Public as being a true copy hereof shall be regarded as an original. The grant of the security interest and lien positlon, and any efforts to perfect same, are in addition to, and not In abrogation of, substitution for, nor restriction of any and all rights which the Company has or may have under this Agreement, at law, or in equity. 18. The Indemnitors hereby irrevocably nominate, constitute, appoint and designate the Company and its designees as their attorney - -fact with the right, power, and authority, but not the obligation, to exercise all of the rights and powers of the Indemnitors assigned, transferred, and set over to the Company In this Agreement, and In the name of the Indemnitors, or any one or more of them, to make, endorse, execute, sign, fill in blanks, and deliver any and all additional or other instruments and writings, including, but not limited to, assignments, financing statements, documents, documents of conveyance, instruments, checks, drafts, deposit, ACM, and wire transfer directives and orders, change of address and account notices, liens and releases thereof, applications, certificates, draw requests, orders, releases, and papers deemed necessary or desirable by the Company, and to collect the proceeds thereof, in order to give full effect not only to the intent and meaning of the obligations assumed, and the agreements made, by Indemnitors hereunder, and the assignments and conveyances made herein, but also the full protection intended to be herein given to the Company under all other provisions of this Agreement. The Indemnitors hereby ratify and confirm all acts and actions taken and done by the Company and its designees as such attorney- In-fact, The powers and authority granted herein shall not be affected by the disability or Incapaclty of the Indemnitors or any one or more of them. 11, The Indemnitors understand and agree that the circumstances, financial or otherwise, of any one or more of the Indemnitors may change substantially over the period of this agreement and the Indemnitors therefore agree to keep themselves fully informed as to the business activities and financial affairs of any one or more of the General Agreement of Indemnity Rev 91-08 Page 3 of 9 u 'd l l6� 'ON OhHnS Md :E 0106 'N Vr Indemnitors and of the risks being engaged In so that the Indemnitors are always aware of the risks of hazards in continuing to act as Indemnitors. The Indemnitors hereby expressly waive any requirement for notice from the Company of any tact or information coming to the notice or knowledge of the Company affecting Its rights or the rights or liabilities of the Indemnitors. 12. In the event of any claim or demand being made by the Company against the Indemnitors, or any one of more of the parties so designated, by reason of the execution of a bond or bonds, the Company Is hereby expressly authorized to settle or compromise with any one or more of the Indemnitors Individually, and without reference or notice to the others, and such settlement or composition shall not affect the liability of any of the others and the Indemnitors hereby expressly waive the right to be discharged by reason of the release of one or more of the Indemnitors, and hereby consent to any settlement or compromise that may hereafter be made. 13. The Company is not required, by reason of any application for a bond or by reason of having issued a previous bond, bid bond, 'bondability letter," or otherwise, to execute or procure the execution of or participate in the execution or renewal of any further bond or bonds. The Company, at Its sole option and without assigning any reason therefor, may decline to execute or to participate in or procure the execution or renewal of any bond without impairing the validity of this Agreement or Incurring any liability to Indemnitors. Any promise or agreement by Company or its representatives or agents to issue or execute any bond or undertaking in the future shall be revocable at will by Company unless and until such bond or undertaking is properly authorized, issued and delivered by Company. Company's failure or refusal to issue final bonds after bid bonds or other proposal guarantees have been issued shall not excuse Indemnitors from their liability to indemnify and hold Company harmless from any loss or claim against such bid bond or proposal guarantee, nor shall such failure or refusal, give rise to any cause of action in favor of Indemnitors for alleged losses of anticipated profits or other benefits. 14. The Indemnitors acknowledge and agree this it Is their sole responsibility to provide tho proper forms for the bonds to be exeoutod by the Company, and to review and approve any bond and undertaking executed by the Company on its own forms, Neither the Company, nor its agents, shall have any liability whatsoever to the Indemnitors If they shall fail to furnish the Company with the proper forms or to object to forms furnished by the Company. It shall be the sole responsibility of the Indemnitors to review all bond forms executed by the Company for appropriateness and for any errors or omissions prior to delivery of the bonds to an obligee. The Company and its agents shall have no liability to the Indemnitors on account of any negligenco (whether sole or concurrent), inadvertence, error or omission in the preparation, execution, or delivery of any. bonds. Prior to requevOng that the Company issue any bond, the Indemnitors shall obtain confirmation that the proposed obligee on the bond will accept the Company as surety on the proposed bond, and neither the Company, nor Its agents, shall have any Ilabllity whatsoever If any obligee refuses, for whatever reason, to accept the Company as surety on any bond. The Indemnitors agree that the Indemnitors shall be solely responsible for arranging, Independent of the Company, for the timely delivery of any bond to the obligee. The Company and its agents shall have no liablllty to the Indemnitors If any bond Is not timely delivered to any obligee for any reason whatsoever, including any negligent acts or omissions on the part of the Company or its agents. 95. The Indemnitors agree that the Company's liability, If any, to the Indemnitors, or to any of them, on account of any acts or omissions by the Company or any of its consultants, affiliates, agents, or representatives (whether such acts or omissions arise in tort, negligence, trespass, breach of contract, by statute, or at law) arising out of or relating to any bonds or any other conduct of the Company or Its agents, representatives, employees, attorneys, attorneys-in-fact, adjustors, or consultants Is hereby expressly limited to an amount not to exceed the premium actually paid to the Company for such bond. 16. If the Company procures the execution of such bonds by or for other companies, including specifically, but without limftation, American Contractors Indemnity Company, Texas Bonding Company, or U.S. Specialty Insurance Company, or executes such bonds with Go- suretles, or refnsures any portions of such bonds with refnsuring companies, then all the terms and conditions of this Agreement shall apply and operate for the benefit of, and may be enforced by, such other companies, co- sureties and reinsurers as their Interests may appear. A written statement, signed by an officer of SureTec Insurance Company, attached to a copy of this Agreement before or after execution hereof by Indemnitors, confirming procurement of execution, co- surety, or reinsurance by such other companies, shall be prima facie evidence of the rights of such other companies hereunder and shall be binding on Indemnitors to the same extent as If such companies were named as the Company herein in the first Instance. Any action to enforce this Agreement may be brought In the name of such other companies without the necessity of Joinder of Company. General Agreement of Indemnity Rev 11-08 Page 4 of 9 9 'd 116ti'ON I oh]HS Ad9ti:E 0IH'ZZ 'NVr 17. The liability of.the Indemnitors hereunder shall not be affected by the failure of the Indemnitors, or any one or more of them, to sign any contract, bond, rider, undertaking, or this Agreement, nor by any claim that other indemnity, security, or collateral was to have been obtained, nor by the release of any indemnity, nor the return or exchange of any collateral, nor the forbearance or neglect in the enforcement of any requirements relating to the disbursement, administration or control or contract proceeds, that may have been obtained or occurred. If any party signing this Agreement is not bound for any reason, this Agreement shall still be binding upon each and every other Indemnitor. The Company may, but shall not be obligated to, accept other and further Agreements of indemnity from Indemnitors or others, and may allow Indemnitors or additional indemnitors to execute Agreements of Indemnity In multiple counterparts. It is understood and agreed that the execution of multiple, successive, replacement, or additional agreements of Indemnity or the release or partial release or the capping of liability of some of the Indemnitors shall not operate to release Indemnitors. Indemnitors waive any and all claims that such other or additional Agreements of Indemnity constitute novations, substitutions or releases of the Indemnitors or of this Agreement. 18. This Agreement may be terminated by the Indemnitors, or any one or more of the parties so designated, only upon written notice, of not less than thirty (30) days, sent by registered mail to the home office of the Company, 952 Echo Lane, Suite 450, Houston, Harris County, Texas 77024. In no event, however, shall any such termination notice operate to modify, bar, discharge, limit, affect or impair the liability of the party sending such terminafion notice, with respect to, upon or by reason of any and all such bonds executed prior to a date thirty (30) days after the date of the Company's actual receipt of such notice in Its home office as aforesaid. Any such termination notice shall not operate to modify, bar, discharge, limit, affect or impair the liability of non - terminating Indemnitors, with respect to, upon or by reason of any and all bonds issued by Company, 19. The Indemnitors understand and agree that this document is a continuing agreement to indemnify over an Indefinite period and that bonds Issued by the Company may vary widely in amounts and nature and that the Indemnitors will be bound by all such bonds, and any changes in the amounts of such bonds or underlying obligations, whether or not Company consents to such changes. The Indemnitors shall continue to remain bound under the terms of the Agreement even though the Company may from time to time, heretofore or hereafter, with or without notice to or knowledge of the Indemnitors, accept or release other agreements of indemnity, collateral, or conditions in connection with the procurement of bonds, from Indemnitors or others, It being expressly understood and agreed by the Indemnitors that any and all other rights which the Company may have or acquire against the Indemnitors or others under any such other or additional agreements of Indemnity or collateral shall be in addition to, and not in lieu of, the rights afforded Company under this Agreement. 20. This General Agreement of indemnity is governed by, and shall be interpreted in accordance with, the laws of the State of Texas without giving effect to any law or rule that would cause the laws of any jurisdiction other than the State c f Texas to be applied. All of Indemnitors' duties and obligations under this Agreement are due, payable, and performable in Houston, Harris County, Texas. Company shall be entitled to enforce this Agreement by an action brought in any locale where Company maintains an office, where Indemnitors may reside or maintain an office, or where any of the bond obligations were to be performed. If any provision or provisions, or portion thereof, of this Agreement shall be vold or unenforceable under the laws of any Jurisdiction governing its construction, this Agreement shall not be void or vitiated thereby, but shall be construed and enforced with the same effect as though such provision or provisions, or portion thereof, were omitted and the other provisions shall remain in full force and effect. 21. This General Agreement of Indemnity applies to bonds heretofore or hereafter written by or at the request of Indemnitor, or any of them, by Company as surety, co-surety, or reinsurer on behalf of the Indemnitors, or any of them, and any and all of their wholly or partially owned subsidiary companies, subsidiaries of subsidlaries, proprietorships, divisions or affliiates, partnerships, joint ventures or cc- ventures in which any of the undersigned Indemnitors, their wholly or partially owned subsidiary companies, subsidiaries of subsidiaries, divisions, proprietorships, or affiliates, have any interest or participation whether open or silent; jointly, severally, or in any combination with each other, now in existence or which may hereafter be created or acquired by Indemnitors or any of them. 22. The Indemnitors hereby warrant and represent the accuracy of all financial statements submitted or to be submitted to the Company, and covenant and agree that the assets described therein are dedicated to, assigned, and imposed with a trust for the purpose of this Agreement and for the benefd of the Company. General Agreement of Indemnity Rev 11 -68 page 5 of 8 L 'd l l6ti 'ON olih s Ad9ti :0 0tH U 'NVr 23 Except where prohibited by law, Indemnitors hereby waive all right to claim any property, Including homestead, as exempt from levy, execution, sale or other legal process secured or requested by Surety under the laws of the United States or of any state or province or of any other government. 24. Indemnitors declare that all monies due and to become due under any contract or contracts covered by Fonds Issued by the Company are trust funds, whether in the possession of the Indemnitors or otherwise, for the benefit of and for payment of all obligations for which the Company would be liable under any of said bonds. Said trust also inures to the benefit of the Company for any liability or loss it may have or sustain under any of said bonds, and this Agreement shall constitute notice of such trust. 25. THE UNDERSIGNED INDEMNITORS REPRESENT TO THE COMPANY THAT THEY HAVE CAREFULLY READ THIS ENTIRE AGREEMENT CONSISTING OF THIS PAGE, THE PRECEDING PAGES, AND ANY PAGES WHICH FOLLOW, AND THAT THERE ARE NO OTHER PROMISES, AGREEMENTS OR UNDERSTANDINGS WHICH IN ANY WAY LESSEN OR MODIFY THE OBLIGATIONS 'SET FORTH HEREIN. THE UNDERSIGNED INDEMNITORS RECOGNIZE THAT THE ABOVE AND FOREGOING AGREEMENTS INCLUDE BROAD RIGHTS IN FAVOR OF COMPANY AND LIMITATIONS ON THE LIABILITY OF COMPANY AND ITS AGENTS F O R CERTAIN ACTS AND OMISSIONS, INCLUDING NEGLIGENT ACTS AND OMISSIONS. THE EFFECTIVE DATE OF THIS AGREEMENT OF INDEMNITY SHALL BE THE DAY AND YEAR FIRST ABOVE WRITTEN, REGARDLESS OF THE DATE OR DA'Z'ES ON WHICH THE UNDERSIGNED MAY EXECUTE THIS AGREEMENT AND REGARDLESS OF WHETHER BONDS WERE ISSUED BY THE COMPANY BEFORE OR AFTER THE EXECUTION OR EFFECTIVE DATE OF THIS AGREEMENT. THE COMPANY'S ACCEPTANCE OF THIS AGREEMENT SHALL BE PRESUMED AND IS DEEMED EFFECTIVE BY ITS RECEIPT OF THIS AGREEMENT, ITS RELIANCE HEREON, OR BY ITS EXECUTION OF ANY BOND OR UNDERTAKING FOR INDEMNITORS OR ANY OF THEM. Corporation or Partnership Corporation or Partnership Name: Procon Pavingand coon, Inc. By: Signature Printed Name & Tltle: Majed Khalaf, President 10361 Hlckharn Rd., Dallas, Texas 75220 Street or P.Q. Box City StatelZip Name; Btg D Concrete, Inc. By: -L AA Awl N .cv / l n - ,�, .. - �S griture Printed Name & Title: Muamar Anani, President 10363 Bickham Rd., Dallas, Texas 75220 , Slreet or P.O. Box City StateOp Individual Name: Majed Khalaf, Individuall 8 Y= Signature 426 Stone Canyon, Sunnyvale, Texas 75184 Street or P.O. Box City Stateizip Individual Name: Nana Alsarabl Individuall By: Signs ure 25 Lochleven, Richardson, Texas 75082 Street or P.O. Box City State/Zip General Agreement of Indemnity Rev 11 -08 Individual Name: Manal Khalaf, Individuall By. - Signature 426 Stone Canyon, Sunnyvale, Texas 75184 Street or P.O, Box City State/Zip Individual Name: Eyad AlWbaisi, Idividuall B Slgna ure 25 Lochleven, Richardson, Texas 75082 Street or P.Q. Box City State/Zip Page 6of9 8 'd 1 16ti 'ON 03AHS AdWE 0106 U 'Nvr Individual Name: Muamar Anani, Individually B y : , Signatdre' 2217 All Saints Lane, Piano Texas 75025 Street or P.O. Box City ' Statemp Individual Name: Masoud Khayyat, Individual By: 10 a -0 14 Z Signature 14201 Deermont Trial, Dallas, Texas 75243 Street or P.O. Box City State /Zip Individual Name, Hana Al -Sharif Anani, Individuall B y: Signs ure 2217 All Saints Lane, Plano, Texas 75025 Street or P.O. Box City State0p Corporate Notary Acknowledgment State of Texas § eo untyof 37a 11A5 On this u ` day of /husk 2009, before me personally appeared Khalaf personally known to me (or proved to me on the basis of satisfactory evidence) to be the person whose name is subscribed to the within instrument and acknowledged to me that helshe executed the same In his/her authorized capacity as the President of Procon Paving and Construction, Inc. , said corporation, and that by his/her signature on the instrument the person, or the entity upon behalf of which the person acted, executed the instrument. WITNESS my hand and -official seal -- ` STEVE J. ZINECKER Notary Public t NOTARY Pu C Commisslan Ex Ir STATE OF TEXA IAY C01u1M. UP, O5 3a2d09 State of Texas Corporate Notary Acknowledgment § county of 2�01gs On this A7A day of tA." 2009, before me personally appeared Muamar Anani, President personally known to me (or proved to me on the basis of satisfactory evidence) to be the person whose name is subscribed to the within instrument and acknowledged to me that he/she executed the same In his /her authorized capacity as the President of Diu D Concrato, Inc. , said corporation, and that by his/her signature on the instrument the person, or the entity upon behalf of which the person acted, executed the Instrument. WITNESS my hand and official seal SiEVE;N J. 23NECKFR NOTARY FUBUG STATE OF TEXAS General. em ndal'�i �?�g• �'�'� Notary public Commission Expires Page 7 of 9 F�­q 6 d l WON Dh]HS WdLti:0 0lH U 'W W Individual Notary Acknowledgment State of Texas § County of tcav&s § z� On this day of M a+^t � 2009, beforo me personally appeared Ma'ed and Manal Khalaf personally known to me (or proved to me on the basls of satisfactory evidence) to be the person(s) whose names) is/are subscribed to the within and foregoing instrument, and acknowledged to me that helshe /they executed the same in his/ her /their authorized capacity(ies), and that by his/herltheir signature(s) on the instrument, the person(s) executed the instrument. WIT rffl&w ov STEVENxk Zt#NECKEH F ST �. � Notary Public WCONIK-exP'.05.911-2000 Commission Ex pi Individual Notary Acknowledgment State of Texas _ § g - Counfyof 14 Mf. § On this a , + t % day of MarLL 2009 before me personally appeared Nana Alsarabl personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose nama(s) is /are subscribed to the within and foregoing Instrument, and acknowledged to me that he /she /they executed the same in his/ her/their authorized capecity(ies), and that by his /herltheir signature(s) on the instrument, tha person(s) executed the instrument. WITINErSS -my hand and official seal �� { VMN J. ZINECKEH 1 GARY PUEVC Notary Public STATE(WIFxA9 Comm isslon Ex it s MVCOMM. XP. t)5-3a2009 State of Texas Individual Notary Acknowledgment § County of C4 § On this day of Marol, 2009, before me personally appeared Evad Albelbaisi personally known to me (or proved to me on the basis of satisfactory evidence) to be the persons) whose name(s) islare subscribed to the within and foregoing Instrument, and acknowledged to me that helshe/they executed the same in his/ herltheir authorized capacity(les), and that by his/her /their signature(s) on the Instrument, the persons) executed the instrument. WITNESS. my hand and official seal F WEVENJ.ZN ;.y"Notary ubllc 1 NOTARYPURllO Commission Ex i es A?I cow OP WM4M s, General Agreement of Indemnity Rev 11 Page 8 of 9 0l 'd I16�'ON 3311VS WdLti :E 01H U'Ur Individual Notary Acknowledgment State of Texas § County of �a.} to's § On this Z++ L day of pt, rcY 2009, before me personally appeared Muamar and Hanadi AI- Sharif Ana personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) Islare subscribed to the within and foregoing instrument, and acknowledged to me that helshe /they executed the same In his/ her / thelr authorized capacity(les), and that by his/herltheir signature(s) on the instrument, the person(s) executed the instrument WITNESS my hand - and official seat 9TEVEN A ZINC-MB 1 NCrrAFIYPUE311C STATE OF'1"F AS WCOMM. FMP. 051WOM J -tA C'^- , Notary Public bommission Ex lr s Individual Notary Acknowledgment state of Texas § County of T? aS § On this day of yard 2009, before me personally appeared Masoud personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) islare subscribed to the within and foregoing instrument, and acknowledged to me that he /sh 7lthey executed the same In hisl herltheir authorized capacky(ies), and that by hfs/her /their slgnature(s) an the instrument, the person(s) executed the Instrument. WITNESS my hand and .official seat, STEVEN J. aNECKER + a I NOTARY PUMC STATE O>= - MXAS MY COMM. Exp. 05 ®1LOM �'� '4. -2. �*�L Notary pub is Commission Ex ires 60 Oenaral Agreement of Indemnity Rev 11 -05 Page 9 of 9 �� 'd ll6ti 'ON 31ihns WdLti:E flH U 'NC