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HomeMy WebLinkAbout2025-485-E-AMS-Decorative Concrete Coatings of N.C. Inc. dba Sundek of North Carolina-Continuation of Pool Deck ResurfacingRevised 01/24 1 [Departmental Use Only] TITLE Splex Pool FY 2025-2026 NORTH CAROLINA CONSTRUCTION AGREEMENT OVER $250,000.00 ORANGE COUNTY THIS CONSTRUCTION AGREEMENT (hereinafter called “Agreement”), made as of the 28th day of July, 2025, by and between Decorative Concrete Coatings of N.C. Inc. dba Sundek of North Carolina, (hereinafter called the “Contractor”), and Orange County, a political subdivision of the State of North Carolina, (hereinafter called the “County,” “Orange County,” or “Owner”). W I T N E S S E T H: That the Contractor and the Owner, for the consideration herein named, agree as follows: 1. CONTRACT DOCUMENTS; PRIORITY The Contract Documents consist of this Agreement, the General Conditions which are fully incorporated in this Agreement, the Request for Proposals, designer approved communications and field orders, the Proposal, Construction Documents and Drawings and Written Specifications. The Contract Documents form the Contract. In the event of any inconsistency between or among the Contract Documents the Contract Documents shall be interpreted in the following order of priority: a. This Agreement and incorporated General Conditions attached as Exhibit 1. b. Designer approved and stamped construction documents and drawings and written specifications. c. Designer approved communications and field orders. d. Request for Proposals and addenda thereto. e. Proposal. 2. SCOPE OF WORK The Contractor shall furnish and deliver all of the materials, and perform, and be fully responsible for all of the Work required by this Agreement within the time period stipulated in a written Notice-to-Proceed to be executed by the Contractor and Owner and in accordance with the following enumerated documents, which are made a part hereof as if fully contained herein: a. Construction Drawings prepared by NA (Sheet dated ) b. Written specifications prepared by the Designer. c. Sundek of North Carolina proposal dated September 24, 2024 which fully describes the work to be performed, such work (hereinafter called the “Work”). Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 Revised 01/24 2 d. Related documents listed under Section 1 above. 3. TERM AND SCHEDULING a. The Contractor agrees to commence work pursuant to the written Notice-to Proceed. b. The Contractor agrees to complete substantially all Work included by August 30, 2025. c. Time is of the essence with respect to all dates specified in the Contract Documents as Completion Dates. d. The Contractor shall perform the Work in the time, manner and form required by the Contract Documents and as stipulated in a written Notice-to-Proceed to be executed by the Contractor and Owner. 4. STANDARD OF CARE AND DUTIES OF CONTRACTOR a. The Contractor shall exercise reasonable care and diligence in performing the Work in accordance with the generally accepted standards of this type of Contractor practice throughout the United States and in accordance with applicable federal, state and local laws and regulations applicable to the performance of these services. Contractor is solely responsible for the professional quality, accuracy, timely completion, and submission of all work. b. The Contractor shall not load or permit any part of the Work to be loaded with a weight that will endanger its safety, intended performance or configuration. c. Contractor shall be responsible for all Contractor, Subcontractor, and Sub-subcontractor errors or omissions, in the performance of the Agreement together with the errors and omissions of any agent or employee of the Contractor or any Subcontractor or Sub-subcontractor. Contractor shall correct any and all errors, omissions, discrepancies, ambiguities, mistakes, or conflicts at no additional cost to the Owner. d. Contractor is an independent contractor of Owner. Any and all employees of the Contractor engaged by the Contractor in the performance of any work or services required of the Contractor under this Agreement, shall be considered employees or agents of the Contractor only and not of the Owner, and any and all claims that may or might arise under any workers compensation or other law or contract on behalf of said employees while so engaged shall be the sole obligation and responsibility of the Contractor. e. Contractor shall at all times remain in compliance with all applicable local, state, and federal laws, rules, and regulations including but not limited to all state and federal non-discrimination laws, policies, rules, and regulations and the Orange County Non-Discrimination Policy and Orange County Living Wage Policy (each Orange County policy is incorporated herein by reference and may be viewed at http://www.orangecountync.gov/departments/purchasing_division/contracts.php). Any violation of the Orange County Non-Discrimination Policy is a breach of this Agreement and County may immediately terminate this Agreement without further obligation on the part of the County. This paragraph is not intended to limit and does not limit the definition of breach to discrimination. Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 Revised 01/24 3 f. If activities related to the performance of this Agreement require specific licenses, certifications, or related credentials Contractor represents that it and its employees, agents and subcontractors engaged in such activities possess such licenses, certifications, or credentials and that such licenses certifications, or credentials are current, active, and not in a state of suspension or revocation. g. The Contractor shall supervise and direct the Work efficiently and with the Contractor’s best skill and attention. Except as specifically set forth in the Contract Documents the Contractor shall be solely responsible for the means, methods, techniques, sequences, and procedures of construction, and for safety precautions and programs in connection with the Work. The Contractor shall be responsible to see that the finished Work complies accurately with the Contract Documents. h. The Contractor shall appoint a competent Project Manager with general authority to manage the Project for the Contractor. The Contractor shall also keep on the Project at all times during the Work of the Contractor a competent Resident Superintendent and necessary assistants who shall not be replaced without prior written approval by the Designer or by the Owner if a Designer is not retained for the Project. i. If, in the opinion of the Designer, any Subcontractor on the Project is incompetent or otherwise unsatisfactory, such Subcontractor shall be replaced by the Contractor with no increase in the Contract Price if and when directed by the Designer. j. The Contractor shall attend all progress conferences and all other meetings or conferences. The Contractor shall be represented at these progress conferences by a representative having the authority of the Project Manager and by such other representatives as the Designer may direct. k. Costs and expenses of providing samples for and assistance in any testing shall be borne by the Contractor. Any Work in which untested materials are used without written approval or written permission of the Owner or Designer shall be removed and replaced at Contractor’s expense. l. The Contractor shall obtain all necessary permits including all permits required to complete the Work in compliance with local, state, and federal law. 5. PAYMENT & TAXES a. The Owner hereby agrees to pay to the Contractor for the faithful performance of this Agreement, and the Contractor hereby agrees to perform all of the Work for a sum not-to- exceed One Hundred Six Thousand, Nine Hundred Eighty-One Dollars ($106,981.00). Not later than the fifth (5th) day of each calendar month the Contractor shall submit to the Owner’s Representative, generally the Designer if a Designer is retained on the Work, a Request for Payment for work done during the previous calendar month. (i) The Request for Payment shall be in form of a standardized invoice or AIA Document G702-703 appropriately addressed to Owner’s Representative at PO Box 8181, Hillsborough NC 27278 and shall show substantially the value of work done during the previous calendar month. Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 Revised 01/24 4 (ii) The amount due for payment shall be ninety-five percent (95%) of the value of work completed since the last Request for Payment and this amount shall be paid by the Owner on or before the last business day of the month. Owner shall retain five percent (5%) (the “Retainage”). (1) Upon Owner’s Representative’s certification that fifty percent (50%) of the Work has been satisfactorily completed Retainage shall be reduced to two and one half percent (2½%). (2) Upon Owner’s Representative’s certification that ninety percent (90%) of the Work has been satisfactorily completed Retainage may be discontinued. Retainage may be discontinued, at Owner’s Discretion, so long as work continues to be completed satisfactorily and on schedule. (3) The Owner may discontinue withholding retainage in accordance with the provisions of NCGS-143-(b1)(2) when the project is 50% complete. (iii) Final payment shall not be due to the Contractor until thirty (30) days after Final Completion of the Work, including punch list work, has been satisfactorily (as determined by the County) completed and an appropriate Affidavit, Indemnification, and Release as required in Section 5.4(e) of Exhibit 1 has been received and approved by Owner. b. Should Owner reasonably determine that Contractor has failed to perform the Work related to a Request for Payment, Owner, at its discretion may provide the Contractor ten (10) days to cure the breach. Owner may withhold the accompanying payment without penalty until such time as Contractor cures the breach. (i) Should Contractor or its representatives fail to cure the breach within ten (10) days, or fail to reasonably agree to such modified schedule, Owner may immediately terminate this Agreement in writing, without penalty or incurring further obligation to Contractor. (ii) This section shall not be interpreted to limit the definition of breach to the failure to perform the Work related to a Request for Payment. c. The Contractor has included in the Contract Price and shall pay all taxes assessed by any authority on the Work or the labor and materials used therein. It shall be the Contractor's responsibility to furnish the Owner documentary evidence showing the materials used and sales and use tax paid by the Contractor and each of its subcontractors. d. Should the Owner receive notice that the Contractor has failed to pay a Subcontractor for the Work performed related to a Request for Payment, Owner shall have the authority to withhold payment of the disputed amount until parties resolve their dispute. Failure to pay the Contractor pursuant to this section of the Agreement shall not be deemed to be a breach of the Agreement. 6. NON–APPROPRIATION Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 Revised 01/24 5 a. Contractor acknowledges that Owner is a governmental entity, and the validity of this Agreement is based upon the availability of public funding under the authority of its statutory mandate. b. In the event that public funds are unavailable or not appropriated for the performance of Owner’s obligations under this Agreement, then this Agreement shall automatically expire without penalty to Owner immediately upon written notice to Contractor of the unavailability or non-appropriation of public funds. It is expressly agreed that Owner shall not activate this non-appropriation provision for its convenience or to circumvent the requirements of this Agreement. c. In the event of a change in the Owner’s statutory authority, mandate or mandated functions, by state or federal legislative or regulatory action, which adversely affects Owner’s authority to continue its obligations under this Agreement, then this Agreement shall automatically terminate without penalty to Owner upon written notice to Contractor of such limitation or change in Owner’s legal authority. 7. NOTICES Any notice required by this Agreement shall be in writing and delivered by certified or registered mail, return receipt requested to the following: Owner: Contractor: Orange County Sundek of North Carolina Attn: A. Barnes Attn: Brandon Horak P.O. Box 8181 2717 Leighton Ridge Drive Hillsborough, NC 27278 Wake Forest, NC 27587 8. MISCELLANEOUS a. Duties and Obligations imposed by the Contract Documents shall be in addition to any Duties and Obligations imposed by state, federal or local law, rules, regulations and ordinances. b. No act or failure to act by the Owner or Contractor shall constitute a waiver of any right or duty granted them under the Contract Documents, nor shall any act or failure to act constitute any approval except as specifically agreed in writing. c. The Work shall be tested and inspected as required by the Contract Documents and as required by law. Unless prohibited by law the costs of all such tests and inspections related to state and federal codes such as ADA, Administrative, Electrical, Plumbing, Mechanical and Building Codes shall be borne by the Contractor. The costs for material and structural testing shall be conducted by an independent third party at the expense of the Owner. Delays related to any of the aforementioned tests and inspections shall not be grounds for delaying the completion of the work. If any such tests and inspections reveal deficiencies in the Work such that the Work does not comply with terms or requirements of the Contract Documents and the requirements of any code or law the Contractor is solely responsible for the cost of bringing such deficiencies into compliance with the terms of the Contract Documents and any code or law. d. Should the Designer, if a Designer is retained for the project involving the Work, or Owner reject any portion of the Work for failing to comply with the Contract Documents Contractor Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 Revised 01/24 6 shall immediately, at Contractor’s expense, correct the Work. Any such rejection may be made before or after substantial completion. If applicable, any additional expense borne by the Designer under this section shall be paid at Contractor’s expense. e. The County has designated (Angel Barnes) to act as the County's representative with respect to the Project and shall have the authority to render decisions within guidelines established by the County Manager or the County Board of Commissioners and shall be available during working hours as often as may be reasonably required to render decisions and to furnish information. f. The Contractor shall not assign any portion of this Agreement nor subcontract the Work in its entirety without the prior written consent of the Owner. g. In the event of a breach by Contractor Owner has sole authority to determine the reasonableness of Contractor’s actions to remedy such breach or complete the performance of its obligations. h. Upon request of the Owner, the Contractor shall submit to County all relevant documentation, including but not limited to, job cost records, to support its claims for final compensation and if such request is made final compensation shall not be due until all relevant documentation is received, reviewed, and approved by Owner. 9. CONSEQUENTIAL DAMAGES a. Owner and Contractor mutually waive any claim against each other for consequential damages. Consequential Damages include: (i) Damages incurred by Owner for loss of use, income, financing, or business. (ii) Damages incurred by Contractor for office expenses, including personnel, loss of financing, profit, income, business, damage to reputation, or any other non-direct damages. 10. ENTIRE AGREEMENT All of the documents listed, referenced or described in this Agreement, the written Notice-to-Proceed, together with Modifications made or issued in accordance herewith are the Contract Documents, and the work, labor, materials, and completed construction required by the Contract Documents and all parts thereof is the Work. The Contract Documents constitute the entire agreement between Owner and Contractor. This Agreement may be amended only by written instrument signed by both parties. Modifications may be evidenced by facsimile signatures. If any provision of the Agreement or General Conditions shall be declared invalid or unenforceable, the remainder of the Agreement shall continue in full force and effect. [SIGNATURE PAGE TO FOLLOW] Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 Revised 01/24 7 IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the day and date first above written in a number of counterparts, each of which shall, without proof or accounting for other counterparts, be deemed an original contract. ORANGE COUNTY:CONTRACTOR: By: _________________________________ Travis Myren, County Manager By: __________________________________ Brandon Horak, VP, GM Printed Name and Title Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 8/8/20258/11/2025 Revised 01/24 8 ORANGE COUNTY—INTERNAL USE ONLY ______________________________________________________________________________ Finance Information Vendor Name: Decorative Concrete Coatings of N.C. Inc. dba Sundek of North Carolina Vendor Contact Person: Brandon Horak (brandon.horak@sundeknc.com) Phone: 919.670.1550 Address: 2717 Leighton Ridge Drive City Wake Forest State: NC Zip: 27587 Department: AMS/Sportsplex Amount: $106,981.00 Purpose: Continuation of Pool Deck Resurfacing Budget Code(s): 54540030-880000-36006 Vendor # 68447 Vendor Status with NCSOS: Current - Active Vendor is a BOCC consultant: Yes No Contract Details Contract Type: New Amendment (Original Contract: ) (Most Recent Amendment ) Effective Date 07/28/2025 End Date 08/30/2025 Notice Date (Notice Purpose ) Award Approved by Board (Agenda Date: ); Made or Administered by AMS Signature Authority - BOCC Express Delegation (Agenda Date: ) - Policy 9.4: Under $5,000; Service Under $90,000; Construction Under $250,000 - Budget Policy Section XV (Capital Improvement Project: 36006) Bidding Informal Bidding ($30k-$90k); Formal RFP ($90k+); Other (<$30k); Exception(# ) Department Affirmation This agreement is approved as to technical form and content and I as Department Director affirmatively state work on this project has not been initiated prior to execution of the agreement; OR This agreement is approved as to technical form and content. Services related to this agreement have already begun or been completed. Description of the nature of the emergency condition that was addressed: Department Director’s Signature ________________________________________ Date: ________ Information Technologies This agreement has been reviewed and is approved as to information technology content and specifications: Office of the Chief Information Officer___________________________________ Date: ________ Inapplicable because no hardware/software purchases or related services Risk Management This agreement is approved for sufficiency of insurance standards, specifications, and requirements: Office of the Risk Management Officer___________________________________ Date: _________ Financial Services This instrument has been pre-audited in the manner required by the Local Government Budget and Fiscal Control Act: Office of the Chief Financial Officer ____________________________________ Date: _________ Legal Services This agreement is approved as to legal form and sufficiency: Office of the County Attorney __________________________________________Date: ________ Clerk to the Board All Docusign contracts must be copied to the Clerk upon completion: occlerkdocs@orangecountync.gov The following signature block is for hard copies only and is not required for Docusign contracts: Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 8/8/2025 8/8/2025 8/8/2025 8/10/2025 Revised 01/24 9 Received for record retention: Office of the Clerk to the Board __________________________________________Date:_________ Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 RECIPIENT: Orange County Sportsplex Orange County Sportsplex - Andrew Stock PO Box 8181 Hillsborough, NC 27278 SERVICE ADDRESS: 101 Meadowlands Drive Hillsborough, North Carolina 27278 Quote #2300 Sent on Sep 12, 2024 Job Size (SF)8187 Job Title OCS_Pool Resurfacing_AquaBright EcoFinish Total $106,981.00 Product/Service Description Qty.Unit Price Total Preparation - Commercial Pool 1. Drain the pool. 2. Power grind the entire pool with a walk behind grinder and HEPA vacuum. 3. Make any necessary non-structural repairs and power sand with fine-grit paper. Structural repairs will require change order approval 4. Pressure & acid wash the entire pool. 5. Install thermal tape on edge of the tile or coping for protection. 1 $40,892.40 $40,892.40 EcoFinish_Aqua_Bright Pool System - Commercial Pool 1. Xylene & power blow pool. 2. Apply 3 coats of Epoxy to the entire pool. 3. Eco coat 1 - Prime at 1.5. Color: California White (Commercial White) 4. Eco coat 2 - Main at 1. 5. Remove any buildup or debris before the final coat. 6. Eco Coat 3 - Finish at .5. 7. Re-install skimmer frame(s) & filter caps. 8. Start filling the pool (customer's responsibility to complete). 1 $61,338.60 $61,338.60 EcoFinish_Aqua_Bright Pool System - Beach Entry - Rec Pool 1. Prep tile for EcoFinish coating (removal and parge). 2. Xylene & power blow pool. 3. Apply 3 coats of Epoxy to the area. 4. Eco coat 1 - Prime at 1.5. Color: TBD 5. Eco coat 2 - Main at 1. 6. Remove any buildup or debris before the final coat. 7. Eco Coat 3 - Finish at .5. 8. Beach Coat - Finish at 1.5. 1 $2,800.00 $2,800.00 1 of 5 pages Sundek of North Carolina 2717 Leighton Ridge Drive | Suite 101 | Wake Forest, NC 27587 (919) 670-1550 | sales@sundeknc.com | https://sundeknc.com/ Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 Product/Service Description Qty.Unit Price Total Preparation - Kid Pool 1. Drain the pool. 2. Power grind the entire pool with a walk behind grinder and HEPA vacuum. 3. Make any necessary non-structural repairs and power sand with fine-grit paper. Structural repairs will require change order approval 4. Pressure & acid wash the entire pool. 5. Install thermal tape on edge of the tile or coping for protection. 1 $700.00 $700.00 EcoFinish_Aqua_Bright Pool System - Kid Pool 1. Xylene & power blow pool. 2. Apply 3 coats of Epoxy to the entire pool. 3. Eco coat 1 - Prime at 1.5. Color: TBD 4. Eco coat 2 - Main at 1. 5. Remove any buildup or debris before the final coat. 6. Eco Coat 3 - Finish at .5. 7. Apply stencil for design. 8. Apply Eco at .5. 9. Remove stencil and feather in stencil with flame. 10. Re-install skimmer frame(s) & filter caps. 11. Start filling the pool (customer's responsibility to complete). 1 $1,250.00 $1,250.00 A deposit will be required for your project to be scheduled. Projected start month: TBD 2025/2026 25% deposit due on approval, 25% due at commencement and 50% due net 30 days after completion. TERMS AND CONDITIONS IMPORTANT NOTICE: The preceding description of work and related prices, which appear above, are based on a limited visual inspection of the pool. Since the work to be performed by Sundek of North Carolina involves the renovation or repair of an existing structure, Sundek of North Carolian is unable to inform itself as to all potential existing conditions and/or limitations that may be encountered on the jobsite. For this reason, the price set forth above does not include all factors that may have Total $106,981.00 2 of 5 pages Sundek of North Carolina 2717 Leighton Ridge Drive | Suite 101 | Wake Forest, NC 27587 (919) 670-1550 | sales@sundeknc.com | https://sundeknc.com/ Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 Notes Continued... bearing on the ultimate cost associated with the renovation and/or repair of the pool. The prices which appear immediately above are based upon reasonably anticipated conditions encountered in connection with the repair or renovation of a typical pool like the pool that is the subject of this contract. Specifically, not included in the prices are the existence of any nonapparent of unforeseen condition or limitation at the job site. Sundek of North Carolina does not assume, and expressly denies responsibility for, costs associated with any nonapparent or unforeseen condition that may be encountered. In the event nonapparent or unforeseen conditions are encountered by Sundek of North Carolina, and in the further event costs associated with such nonapparent or unforeseen condition are in the amount greater than $5000.00 Commercial and $1500.00 Residential, Sundek of North Carolina shall, upon such occurrences, immediately inform the customer. The customer shall have the following options: (a) Authorize Sundek of North Carolina to undertake the nonapparent and unforeseen condition at the customer’s expense. (b) Arrange to have a third party perform the services at the customer's expense. The work must be in accordance with plans and specifications approved by Sundek of North Carolina. (c) Cancel the contract. In the event of cancellation, the customer shall pay Sundek of North Carolina for all work performed up to the time of cancellation. WARNING: Owner, or anyone other than Contractor, is not to enter pool/spa until after it is refilled. Doing so is dangerous, can cause bodily harm, damage the surface of the pool, and could result in additional charges to the Owner & void the warranty. 1. Materials & Additional Work: Unless otherwise specified in the plans and specifications, Contractor shall have the right to select all materials. When specified materials are unavailable, Contractor shall have right to substitute other materials of equal or better quality. Additions, alterations, or deviations can vary based on project scope and other factors. Plastic covers, fitting & jets become brittle with age and can crack/crumble during surface preparation and will be replaced at additional charge to Owner. A working pool light that does not work after it has been moved for resurfacing does not indicate poor workmanship, as parts could be old. *NOTE* A successful EcoFinish application requires a suitable substrate surface. CPR cannot adequately evaluate the surface of the existing substrate with water in the pool. Once the pool is empty, the surface will be thoroughly checked. If the existing surface is not found to be suitable, alternative action must be taken. No action requiring additional charge will be taken without written authorization by owner or designee. 2. Contract Payments: The Contractor shall not be required to proceed with the installation of the work if the payments applying on same have not been made as specified in the Contract. If project is mutually agreed to stop due to the conditions at the site, it is agreed that Contractor is due their cost to that point including sales time, permits, labor, material, and equipment. 3. Unavoidable Interruptions & Transfer of Title: It is hereby mutually agreed that the Contractor shall not be held responsible or liable for any loss, damage or delay caused by fire, strikes, civil, or military authority, or by any other cause beyond its control. All start and completion dates are tentative, and subject to change depending on weather conditions or other significant unforeseen events leading up to, and during, your project. If the Owner shall enter into a sale or shall sell, all or any part of the premises herein involved, the full amount remaining unpaid on this Contract becomes due and payable within 48 hours after date of such sale or agreement of sale at the option of the Contractor. 4. Permits & Utilities: Any required permits are to be obtained by Owner. Price excludes permits, bonds, re-enforcing hardware and materials not pertaining to pool remodel. All utilities not visible are the responsibility of the Owner. All items listed are the responsibility of the Owner unless otherwise stated. Requirements and inspections of Government Building Codes or Officials of Governmental Building Departments, not provided for in the plans and the specifications, shall be considered as additional work and shall be charged for as provided in the 2nd Paragraph above. 5. Complete Agreement: This document contains the entire agreement of the Parties, including all pre-contract negotiations and understandings, and its execution binds all Parties signing it, jointly and severally, as well as their respective heirs, assigns, representatives and successors. This Contract is nontransferable. It is understood and agreed that this Contract does not include any labor and materials not specifically mentioned in this agreement, including condition of plumbing, tile, coping, decking, pool equipment. Contractor reserves the right to cancel this contract after inspection of the empty pool, if, in the opinion of the Contractor, extensive adverse conditions make it impractical to achieve a satisfactory bond of fiberglass to pool surface. 6. Draining Pool: Owner is responsible for draining pool, unless otherwise stated above. When a swimming pool is drained, a natural hazard is temporarily created, caused by an absence of water in the pool. As a result of this hazard, it is possible that, despite any precautions taken by Contractor, the following conditions may occur: The pool might “float” due to hydrostatic pressure of surcharge conditions; the pool shell may crack; there may be checking in the plaster; a person or thing could fall into the empty pool, injuring themselves and/or the pool; or the pool light is cooled by water. If turned on while not immersed, it will be damaged or blow up. Disconnect breaker or tape switch to prevent accidental turn on. Owner agrees to save and hold Contractor harmless from any liability caused by above or by high water table. Contractor agrees to take all reasonable precautions for prevention of pool floatation. 7. Guarantee: Contractor warrants that it shall repair any failure of fiberglass or pool finish to bond to the pool surface caused by defects in material and workmanship for the period of time specified in this contract. If a warranty period is not specified in scope of work, the warranty period shall be: 5 years for new installations; 90 days for repair work. Warranty will be valid when contract amount is paid in full, from the date installation is completed, and subject to normal use and care upon notice within the warranty period. This warranty is not transferable to subsequent purchasers. Owner shall immediately notify Contractor of any defects. The Contractor shall not be liable for failures resulting from normal wear and tear, mistreatment, neglect, improper maintenance, or defects in construction of the pool or pool surface, including: a) Further deterioration of plaster after installation of fiberglass, or separation of fiberglass from vermiculite, sand, or other similar type surface; b) Staining caused by foreign objects in pool, or improper use or levels of chlorine or other chemicals; c) Damage due to lack of water in pool; or, d) Damage, including cracks, caused by change in water table, ground conditions, or accidental or natural 3 of 5 pages Sundek of North Carolina 2717 Leighton Ridge Drive | Suite 101 | Wake Forest, NC 27587 (919) 670-1550 | sales@sundeknc.com | https://sundeknc.com/ Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 Notes Continued... causes beyond Contractor’s control. Contractor is not liable for any incidental and consequential damages due to defects or failures, including the costs of start-up and chemicals necessary to put pool back in balance. All guarantees on labor & materials shall be void if, during the life of said guarantee any work is done, or other product is applied on the coating by others. Be advised that fiberglass applied to areas above the waterline (i.e., up over the coping, deck, or gutters) has a good chance of delaminating or cracking due to exposure to the elements and is not covered by warranty. 8. Cracking: Due to the inherent movement in soil and concrete, and to the possible lack of structural integrity of the pool or concrete substrate, no guarantee (either expressed or implied) is granted concerning cracks or movement in substrate or resulting cracks and damage to the resurfacing application caused by these underlying cracks or movement. Excessive movement of the pool shell could still crack the fiberglass finish. Owner is advised that whenever you go over an existing fiberglass surface without stripping it back to the substrate, the performance of the new fiberglass is subject to the condition of the underlying fiberglass layer, and there is no guarantee that the old fiberglass won’t move and/or crack. 9. Leaks: Contractor strongly recommends a leak detection be performed prior to repair or resurfacing work if Owner believes pool is leaking. Owner understands that the fiberglass surface installed by Contractor does not involve removal of the pool drain, pool light or skimmer, therefore, leaks associated with these areas are not the responsibility of Contractor. If pool leaks after resurfacing and a leak detection is required, owner will be responsible for ordering and paying for leak detection. If problem is due to work performed by Contractor, Contractor will reimburse owner for cost of leak detection. 10. Colors: Owner understands that a strong possibility exists that any color coat other than white will fade, appear milky, appear waxy, or have some other final appearance which may be undesirable or be impossible to match in the event repair work is necessary. Owner also understands that the color may vary from the color samples provided prior to installation due to many causes, which may include, but is not limited to, shape of the pool, depth of water, natural light, and environmental conditions such as water leakage. Owner understands that Contractor makes absolutely no warranty or guarantee as to the final appearance of color either immediately after application, appearance of color under the water, or over an extended period of time. All colors could vary, fade, or become un-uniform or not last as long as the standard white fiberglass due to the process, pigment and coloring agents used in the coating product. Owner understands that Contractor will not be responsible for variance in color from that which the Owner selects from various samples shown the Owner by Contractor or from color chips supplied by Owner. Contractor may at its discretion require a signed color waiver. 11. Undetermined Conditions & Access: Conditions not determinable until existing surface covering has been inspected or removed, i.e., structural cracking, unstable substrate and similar conditions are not included in the price, unless specifically mentioned as included and will be charged for in a change order when a determination of the additional cost is known. Access: Owner is to provide reasonable access and to assume all liability for damage to driveway, walks, curbs, underground lines, plantings, or lawns, resulting from installation. The Owner is completely responsible for all required fencing as well as removing and replacing fence for access. Contractor is not responsible for any damage to driveways, sidewalks, sprinkler systems or landscape caused by construction equipment. Owner agrees to save and hold the Contractor harmless in the event access must be obtained over a third (3rd) person's property. In the event reasonable access is not furnished at Owner's cost, this contract may be canceled, and Owner shall pay all costs incurred by Contractor. 12. Startup & Cleanup: Owner is responsible for any costs associated with refilling pool and balancing chemicals, including any charges resulting from local water ordinances and laws. Upon completion of the work Contractor will remove debris and surplus material from Owner’s property and leave it in a neat condition, however Contractor is not responsible for cleaning dust that may have accumulated on property near project area. Contractor is not responsible for moving items onto pool/project area after completion. 13. Owner understands that there will be a textured imprint on the surface of the fiberglass finish. A non-skid additive will be applied in accordance with normal procedure unless specifically stated otherwise. 14. Title to any of the material sold or installed hereunder by the Contractor shall remain in the Contractor until all the terms hereof have been complied with, and in the event such materials are affixed to realty, it is expressly understood & agreed that they shall remain personally subject to removal as herein under provided, and further that the Owner hereby waives any and all claims for damage to said realty or building caused by the removal of said materials or any part hereof. 15. Owner authorizes the placement of a temporary sign at the project job site unless HOA restrictions apply. 16. Dispute Resolution: In the event of any dispute arising under this agreement, the Parties agree that they will first engage in a good faith process to meet and confer in an attempt to resolve the dispute. A) Should the Parties be unable to resolve the matter through an informal “meet and confer” process, the Parties hereby agree that the matter shall be submitted to mediation by a neutral third party; B) Should mediation fail to resolve the dispute, the Parties agree that proper venue for any legal action filed to resolve any dispute arising out of this Agreement shall be Wake County Superior Court, North Carolina, or the U.S. District Court Raleigh, North Carolina. This Agreement is entered into and shall be construed and interpreted in accordance with the laws of the State of North Carolina; C) In the event that any action, suit or other proceeding is instituted to remedy, prevent or obtain relief from a breach of this Agreement, arising out of a breach of this Agreement, or pertaining to a declaration of rights under this Agreement, the prevailing party shall recover all of such party’s attorneys’ fees incurred in each and every such action, suit or other proceeding, including any and all appeals or petitions therefrom. The party filing any such action shall be entitled to attorney’s fees if, and only if, that party has first availed itself of the “meet and confer” process and mediation, as set forth in sections above. COLOR WAIVER Owner hereby acknowledges that they have enquired about and are requesting that a colored gelcoat or colored pigment to the final coat of resin. Owner acknowledges that Contractor has explained, and that Owner understands the following: · Because the colored system is not installed in a controlled environment (i.e., an indoor factory), many variables can impact the outcome and appearance of a colored finish. 4 of 5 pages Sundek of North Carolina 2717 Leighton Ridge Drive | Suite 101 | Wake Forest, NC 27587 (919) 670-1550 | sales@sundeknc.com | https://sundeknc.com/ Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 Notes Continued... · A strong possibility exists that the color coat (or portions of the color coat) may fade, appear milky, appear waxy or have some other final appearance which may be undesirable or be impossible to match in the event repair work is necessary. · The color may vary from the color sample shown to me by Contractor. · Portions of the colored finish may react differently and look differently once water is added back to the pool or water feature. The pool surface and color may appear different, mottled, or inconsistent once water is added. · Contractor makes absolutely no warranty or guarantee as to the final appearance of color either immediately after application or over a long period of time. With the above understanding, Owner hereby requests that a colored gelcoat or colored pigment be used in the resin be applied to their pool/water feature surface and will hold Contractor harmless in all matters relating to colors. Color Selection: _____________________ Owner: _____________________Date: ______________ **The following remaining pages are required to be provided to you by State Law. ** NOTICE TO OWNER Note about Extra Work and Change Orders: Extra Work and Change Orders become part of the Contract once the order is prepared in writing and signed by the parties prior to the commencement of any work covered by the new change order. The order must describe the scope of the extra work or change, the cost to be added or subtracted from the contract, and the effect the order will have on the schedule of progress payments. Please see the sample Change Order form attached to this Contract that will be used if necessary. The buyer may not require a contractor to perform extra or change-order work without providing written authorization prior to the commencement of work covered by the new change order. Extra work or a change order is not enforceable against a buyer unless the change order also identifies all of the following in writing prior to the commencement of work covered by the new change order: - The scope of work encompassed by the order; - The amount to be added or subtracted from the Contract; - The effect the order will make in the progress payments or the completion date. The Contractor’s failure to comply with the requirements of this paragraph does not preclude the recovery of compensation for work performed based upon legal or equitable remedies designed to prevent unjust enrichment. Note about Commercial General Liability insurance (CGL): Sundek of North Carolina carries commercial general liability insurance which we are happy to provide upon request in order to check the contractor's insurance coverage. Note about Workers’ Compensation Insurance: Sundek of North Carolina carries workers’ compensation insurance for all employees. Notice of Cancellation You may cancel this transaction, without any penalty or obligation. If you cancel, any property traded in, any payment made by you under contract or sale, and any negotiable instrument executed by you will be returned within 10 business days following receipt by the seller of your cancellation notice, and any security interest arising out of the transaction will be canceled. If you cancel, you must make available to the seller at your residence, in substantially as good condition as when received, any goods delivered to you under this contract or sale; or you may, if you wish, comply with the instructions of the seller regarding the return shipment of goods at the seller's expense and risk. If you do make the goods available to the seller and the seller does not pick them up within 20 days of the date of your Notice of Cancellation, you may retain or dispose of the goods without any further obligation. If you fail to make the goods available to the seller or if you agree to return the goods to the seller and fail to do so, then you remain liable for the performance of all obligations under this contract. TO CANCEL THIS TRANSACTION, MAIL OR DELIVER A SIGNED AND DATED COPY OF THIS CANCELLATION NOTICE. Signature ___________________________________ Print Name: __________________________________ Date: _________________________ Signature: _____________________ Date: _____________ 5 of 5 pages Sundek of North Carolina 2717 Leighton Ridge Drive | Suite 101 | Wake Forest, NC 27587 (919) 670-1550 | sales@sundeknc.com | https://sundeknc.com/ Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 1 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - OWNERS, LESSEES, OR CONTRACTORS - AUTOMATIC STATUS WHEN REQUIRED IN CONSTRUCTION AGREEMENT WITH YOU This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE FORM A. Section II – Who Is An Insured is amended to include as an additional insured: 1. Any person or organization for whom you are perfor m- ing operations when you and such person or organiza- tion have agreed in writing in a contract or agreement that such person or organization be added as an add i- tional insured on your policy; and 2. Any other person or organization you are required to add as an additional insured under the contract or agreement described in Paragraph 1. above. Such person(s) or organization(s) is an additional insured only with respect to liability for "bodily injury", "property damage" or "personal and advertising injury" caused, in whole or in part, by: a. Your acts or omissions; or b. The acts or omissions of those acting on your be- half; in the performance of your ongoing operations for the ad- ditional insured. However, the insurance afforded to such additional insured described above: a. Only applies to the extent permitted by law; and b. Will not be broader than that which you are re- quired by the contract or agreement to provide for such additional insured. A person's or organization's status as an additional insured under this endorsement ends when your operations for the person or organization described in Paragraph 1. above are completed. B. With respect to the insurance afforded to these additional insureds, the following additional exclusions apply: This insurance does not apply to: 1. "Bodily injury", "property damage" or "personal and advertising injury" arising out of the rendering of, or the failure to render, any professional architectural, e n- gineering or surveying services, including: a. The preparing, approving, or failing to prepare or approve, maps, shop drawings, opinions, reports, surveys, field orders, change orders or drawings and specifications; or b. Supervisory, inspection, architectural or engineer- ing activities. This exclusion applies even if the claims against any in- sured allege negligence or other wrongdoing in the super- vision, hiring, employment, training or monitoring of oth- ers by that insured, if the "occurrence" which caused the "bodily injury" or "property damage", or the offense which caused the "personal and advertising injury", involved the rendering of, or the failure to render, any professional ar- chitectural, engineering or surveying services. 2. "Bodily injury" or "property damage" occurring after: a. All work, including materials, parts or equipment furnished in connection with such work, on the project (other than service, maintenance or repairs) to be performed by or on behalf of the additional insured(s) at the location of the covered operations has been completed; or b. That portion of "your work" out of which the injury or damage arises has been put to its intended use by any person or organization other than another contractor or subcontractor engaged in performing operations for a principal as a part of the same pro- ject. C. With respect to the insurance afforded to these additional insureds, the following is added to Section III – Limits Of Insurance: The most we will pay on behalf of the additional insured is the amount of insurance: 1. Required by the contract or agreement described in Paragraph A.1.; or 2. Available under the applicable Limits of Insurance shown in the Declarations; whichever is less. This endorsement shall not increase the applicable Limits of Insurance shown in the Declarations. ERIE INSURANCE COMMERCIAL GENERAL LIABILITY FIVESTAR CONTRACTORS ULTRAFLEX PACKAGE UL-RH (Ed. 7/16) UF-3886 Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 1 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. FIVESTAR CONTRACTORS' EXTRA LIABILITY COVERAGES This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART A. Damage to Premises Rented to You - Fire Legal Lia- bility 1. The following is added to Paragraph 1., Insuring Agreement of Section I - Coverage A - Bodily In- jury And Property Damage Liability: Insuring Agreement We will pay those sums that the insured becomes le- gally obligated to pay as damages because of "prop- erty damage" to buildings rented to you or occupied by you. The damage must be caused by fire, lightning, wind- storm, hail, explosion, riot, civil commotion, vehi- cles, aircraft, smoke, vandalism, malicious mischief, water damage, or elevator collision. 2. Exclusions 2. c. through 2. n. of Section I - Bodily Injury And Property Damage Liability do not ap- ply to this coverage. A separate limit of insurance applies to this coverage as described in Section III - Limits of Insurance. We do not cover liability assumed by the insured ex- cept in an "insured contract". 3. Paragraph 9. a. of "Insured contract" of Section V - Definitions is replaced by the following: 9. a. A contract for a lease of premises. However, that portion of the contract for a lease of premises that indemnifies any person or organization for da m- age by fire, lightning, windstorm, hail, explosion, ri- ot, civil commotion, vehicles, aircraft, smoke, va n- dalism, malicious mischief, water damage, or eleva- tor collision to premises while rented to you or te m- porarily occupied by you with permission of the owner is not an "insured contract". B. Host Liquor Liability Coverage The following is added to Paragraph 2. c. Exclusions of Section I - Coverage A - Bodily Injury And Property Damage Liability: This exclusion does not apply to liability of the insured or the indemnitee of the insured arising out of the giving or serving of alcoholic beverages at functions incidental to your business, provided you are not engaged in the busi- ness of manufacturing, distributing, selling, or serving of alcoholic beverages. C. Non-Owned Watercraft Paragraph 2. g. 2) a) Exclusions of Section I - Coverage A - Bodily Injury And Property Damage Liability is replaced by the following: This exclusion does not apply to a watercraft that you do not own that is less than 51 feet long. D. Incidental Medical Malpractice 1. The following is added to Paragraph 1., Insuring Agreement of Section I - Coverage A - Bodily In- jury And Property Damage Liability: We will pay those sums that the insured becomes le- gally obligated to pay as damages because of "bodily injury" arising from "incidental medical malpractice injury". 2. The following is added to Paragraph 2. Exclusions of Section I - Coverage A - Bodily Injury And Prop- erty Damage: This insurance does not apply to: a. Expenses incurred by the insured for first aid to others at the time of an accident. b. "Bodily injury" arising from any insured if the insured is engaged in the business or occupation of providing the following services: 1) Diagnostic, medical, surgical, dental, x-ray, or nursing service or treatment or the fur- nishing of food or beverages in connection with them; 2) Ambulance, paramedical, rescue squad, or other service or treatment conducive to health; 3) The furnishing or dispensing of drugs or medical, dental, or surgical supplies or ap- pliances; or 4) Health or therapeutic service, treatment, ad- vice or instruction. ERIE INSURANCE FIVESTAR CONTRACTORS FS-00-03 (Ed. 2/15) UF-3546 Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 2 c. "Bodily injury" arising from any indemnitee if the indemnitee is engaged in the busi ness or oc- cupation of providing the following services: 1) Diagnostic, medical, surgical, dental, x-ray, or nursing service or treatment or the fur- nishing of food or beverages in connection with them ; 2) Ambulance, paramedical, rescue squad, or other service or treatment conducive to health; 3) The furnishing or dispensing of drugs or medical, dental, or surgical supplies or ap- pliances; or 4) Health or therapeutic service, treatment, ad- vice or instruction 3. The following is added to Section V - Definitions: "Incidental medical malpractice injury" means injury arising out of the rendering of or failure to render, during the policy period, the following services: a. Diagnostic, medical, surgical, dental, x-ray, or nursing service or treatment, or the furnishing of food or beverages in connection with them; or b. The furnishing or dispensing of drugs or med i- cal, dental, or surgical supplies or appliances. E. Volunteer Workers - Medical Payments The following is added to Paragraph 1. Insuring Agree- ment of Section I - Coverage C - Medical Payments: We will pay medical expenses for "bodily injury" sus- tained by your volunteer workers caused by an accident while engaged in any of your insured activities. F. Attorney's Fees The following is added to Section I - Supplementary Payments - Coverages A and B: All reasonable attorneys' fees up to $100 which the in- sured incurs because of arrest resulting from an accident involving "mobile equipment" covered by this policy. G. Bail Bonds The following is added to Section I - Supplementary Payments - Coverages A and B: We will pay up to $500 for each bail bond required by an insured because of an accident or traffic violation arising out of the use of a vehicle covered by this policy. H. The following is added to the definition of "Products- completed operations hazard" of Section V - Definitions: Includes all "bodily injury" and "property damage" arising out of "your product" if your business includes the ha n- dling or distribution of "your product" for consumption on the premises you own or rent. I. Non-Owned Automobile and/or Hired Automobile Liability Insurance Coverage 1. Insuring Agreement - Non-Owned Automobile Li- ability Coverage: a. We will pay those sums that the insured becomes legally obligated to pay as damages because of "bodily injury" or "property damage" resulting from an accident covered by this endorsement. The accident must arise out of the use of any "non-owned auto" in your business by any per- son other than you. b. This insurance applies to "bodily injury" and "property damage" only if: 1) The "bodily injury" or "property damage" is caused by an accident that takes place in the "coverage territory"; and 2) The "bodily injury" or "property damage" is caused by an accident during the policy pe- riod. 2. Insuring Agreement - Hired Automobile Liability Insurance Coverage: a. We will pay those sums that the insured becomes legally obligated to pay as damages because of "bodily injury" or "property damage" resulting from an accident covered by this endorsement. The accident must arise out of the maintenance or use of "hired autos" by you or your "emplo y- ees" in the course of your business. b. This insurance applies to "bodily injury" or "property damage" only if: 1) The "bodily injury" or "property damage" is caused by an accident that takes place in the "coverage territory"; and 2) This "bodily injury" or "property damage" is caused by an accident during the policy pe- riod. 3. Exclusions This Non-Owned Automobile and/or Hired Auto- mobile Liability Insurance Coverage does not ap- ply to: a. Contractual Liability "Bodily injury" or "property damage" for which the insured is obligated to pay damages by rea- son of the assumption of liability in a contract or agreement. This exclusion does not apply to lia- bility for damages: Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 3 1) That the insured would have in the absence of the contract or agreement; or 2) Assumed in a contract or agreement that is an "insured contract", provided the "bodily injury" or "property damage" occurs subse- quent to the execution of the contract or agreement. Solely for the purposes of liabil- ity assumed in an "insured contract", rea- sonable attorney fees and necessary litiga- tion expenses incurred by or for a party oth- er than an insured are deemed to be damages because of "bodily injury" or "property damage", provided: a) Liability to such party for, or for the cost of, that party's defense has also been assumed in the same "insured con- tract"; and b) Such attorney fees and litigation ex- penses are for defense of that party against a civil or alternative dispute res- olution proceeding in which damages to which this insurance applies are alleged. b. Damage To Your Product "Bodily injury" or "property damage" that results from "your product" arising out of it or any part of it. c. Damage To Property "Property damage" to: 1) Property owned or transported by you; or 2) Personal property in the care, custody or control of the insured. d. Damage To Your Work "Bodily injury" or "property damage" that results from "your work", arising out of it or any part of it, and included in the "products-completed oper- ations hazard". e. Employers' Liability "Bodily injury" to: 1) An "employee" of the insured arising out of and in the course of: a) Employment by the insured; or b) Performing duties related to the conduct of the insured's business. 2) The spouse, child, parent, brother or sister of that "employee" as a consequence of Para- graph 1) above. This exclusion applies: 1) Whether the insured may be liable as an em- ployer or in any other capacity; and 2) To any obligation to share damages with or repay someone else who must pay damages because of the injury. This exclusion does not apply to liability a s- sumed by the insured under an "insured con- tract". f. Expected Or Intended Injury "Bodily injury" or "property damage" expected or intended from the standpoint of the insured. This exclusion does not apply to "bodily injury" resulting from the use of reasonable force to pro- tect persons or property. g. Handling of Property "Bodily injury" or "property damage" that results from the handling of property: 1) Before it is moved from the place where it is accepted by the insured for loading into or onto a "non-owned auto" or "hired auto"; or 2) After it is unloaded from a "non-owned au- to" or "hired auto" to the place it is finally delivered by the insured. h. Fellow Employee "Bodily injury" to any fellow "employee" of the insured arising out of and in the course of the fel- low "employee's" employment or while perfor m- ing duties related to the conduct of your busi- ness. i. Mobile Equipment "Bodily injury" or "property damage" arising out of: 1) The ownership, maintenance, use or en- trustment to others of any "mobile equi p- ment" owned or operated by or rented or loaned to any insured. 2) The transportation of "mobile equipment" by an "auto" owned or operated by or rented or loaned to any insured; or 3) The use of "mobile equipment" in, or while in practice for, or while being prepared for, any prearranged racing, speed, demolition, or stunting activity. j. Pollution 1) "Bodily injury" or "property damage" aris- ing out of the actual, alleged or threatened discharge, dispersal, seepage, migration, re- lease or escape of "pollutants". Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 4 a) At or from any premises, site or loca- tion which is or was at any time owned or occupied by, or rented or loaned to, any insured. However, this subpara- graph does not apply to: i) "Bodily injury" if sustained within a building and caused by smoke, fumes, vapor, or soot produced by or originating from equipment that is used to heat water for personal use, by the building's occupants or guests; ii) "Bodily injury" or "property dam- age" for which you may be held li- able, if you are a contractor and the owner or lessee of such premises, site, or location has been added to your policy as an additional insured with respect to your ongoing oper a- tions performed for that additional insured at that premises, site or lo- cation and such premises, site, or location is not and never was owned or occupied by, or rented or loaned to, any insured, other than that additional insured; or iii) "Bodily injury" or "property dam- age" arising out of heat, smoke, or fumes from a "hostile fire". b) At or from any premises, site, or loca- tion which is or was at any time used by or for any insured or others for the ha n- dling, storage, disposal, processing, or treatment of waste; c) Which are or were at any time trans- ported, handled, stored, treated, dis- posed of, or processed as waste by or for any insured or any person or organi- zation for whom you may be legally re- sponsible; or d) At or from any premises, site, or loca- tion on which any insured or any con- tractors or subcontractors working di- rectly or indirectly on any insured's be- half are performing operations if the "pollutants" are brought on or to the premises, site, or location in connection with such operations by such insured, contractor, or subcontractor. However, this subparagraph does not apply to: i) "Bodily injury" or "property dam- age" arising out of the escape of fuels, lubricants, or other operating fluids which are needed to perform the normal electrical, hydraulic, or mechanical functions necessary for the operation of "mobile equip- ment" or its parts, if such fuels, lub- ricants, or other operating fluids es- cape from a vehicle part designed to hold, store, or receive them. This exception does not apply if the "bodily injury" or "property dam- age" arises out of the intentional discharge, dispersal, or release of the fuels, lubricants or other operat- ing fluids, or if such fuels, lubri- cants, or other operating fluids are brought on or to the premises, site or location with the intent that they be discharged, dispersed, or re- leased as part of the operations be- ing performed by such insured, contractor, or subcontractor. ii) "Bodily injury" or "property dam- age" sustained within a building and caused by the release of gases, fumes, or vapors from materials brought into that building in con- nection with operations being per- formed by you or on your behalf by a contractor or subcontractor; or iii) "Bodily injury" or "property dam- age" arising out of heat, smoke, or fumes from a "hostile fire". e) At or from any premises, site, or loca- tion on which any insured or any con- tractors or subcontractors working di- rectly or indirectly on any insured's be- half are performing operations if the operations are to test for, monitor, clean up, remove, contain, treat, detoxify, or neutralize, or in any way respond to, or assess the effects of "pollutants". 2) Any loss, cost, or expense arising out of any: a) Request, demand, order, or statutory or regulatory requirement that any insured or others test for, monitor, clean up, re- move, contain, treat, detoxify, or neu- tralize, or in any way respond to, or as- sess the effects of "pollutants"; or b) Claim or suit by or on behalf of a gov- ernmental authority for damages be- cause of testing for, monitoring, clean- ing up, removing, containing, treating, detoxifying, or neutralizing, or in any way responding to, or assessing the ef- fects of "pollutants". Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 5 However, this paragraph does not apply to liabil- ity for damages because of "property damage" that the insured would have in the absence of such request, demand, order, or statutory or regu- latory requirement, or such claim or "suit" by or on behalf of a governmental authority. k. Racing Any "auto" while being used in any prearranged or organized racing, speed or demolition contest, stunting activity or similar activities, or in prac- tice for any such activities. l. War "Bodily injury" or "property damage" due to war, whether or not declared, or any act or condition incident to war. War includes civil war, insurrec- tion, rebellion or revolution. This exclusion ap- plies only to liability assumed under a contract or agreement. m. Workers' Compensation And Similar Laws Any obligation of the insured under a workers' compensation, disability benefits, or unemploy- ment compensation law or any similar law. 4. Section II - Who Is An Insured For Non-Owned Automobile and/or Hired Automo- bile Liability Insurance Coverage Who Is An In- sured includes the following: a. You; b. Any other person using a "hired auto" with your permission; c. With respect to a "non-owned auto", any partner, member of a limited liability company, or "exec- utive officer", but only while such "auto" is be- ing used in your business; and d. Any other person or organization, but only with respect to liability because of acts or omissions of the insured under a., b., or c. above. 5. The following are not included under Section II - Who Is An Insured: a. Any person, member of a limited liability co m- pany, or "executive officer" with respect to an "auto" owned by such partner, member of a li m- ited liability company, or "executive officer", or a member of their household; b. Any person engaged in the business of their e m- ployer, with respect to "bodily injury" to any fe l- low co-"employee" of such person injured in the cause of their employment; c. Any person while employed in or otherwise e n- gaged in duties in connection with an "auto busi- ness" other than an "auto business" you operate; d. The owner or lessee (of whom you are a subles- see) of a "hired auto" or the owner of a "non- owned auto" or any agent or employer of such owner or lessee; and e. Any person or organization with respect to the conduct of any current or past partnership, joint venture, or limited liability company shown as a Named Insured in the Declarations. 6. The following are added to Section V - Definitions: "Auto business" means the business or occupation of selling, repairing, servicing, storing, or parking "au- tos". "Coverage territory" means the United States of America (including its territories and possessions), Puerto Rico and Canada. "Hired auto" means any auto you lease, hire, or bor- row. This does not include any "auto" you lease, hire, or borrow from any of your "employees", any members of a limited liability company, any partner, "execu- tive officer", or members of their households. "Non-owned auto" means any "auto" you do not own, lease, hire, or borrow which is used in connection with your business. This includes any "auto" owned by or registered in the name of: a. Your employees including members of their households; b. Partners including members of their households if you are a partnership; or c. Members of a limited liability company includ- ing members of their households; but only while such "auto" is being used in connec- tion with your business. J. Owners' and Contractors' Protective Liability 1. The following are added to Paragraph 1., Insuring Agreement of Section I - Coverage A - Bodily In- jury And Property Damage Liability: Insuring Agreement a. We will pay those sums that the insured becomes legally obligated to pay as damages because of "bodily injury" or "property damage" arising out of: 1) Operations performed for you by contrac- tors; or Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 6 2) Your acts or omissions in connection with the general supervision of the operations. b. This insurance applies to "bodily injury" and "property damage" only if: 1) The "bodily injury" or "property damage" is caused by an "occurrence" that takes place in the "coverage territory"; and 2) The "bodily injury" or "property damage" occurs during the policy period. 2. The following is added to Paragraph 2. Exclusions of Section I - Coverage A - Bodily Injury And Prop- erty Damage: This insurance does not apply to: a. "Bodily injury" or "property damage" which oc- curs after the earliest of the following times: 1) When all work on the project (other than service, maintenance, or repairs) to be per- formed by you or on your behalf at the site of the covered operations has been complet- ed; or 2) When that portion of the contractors' work out of which the injury or damage arises has been put to its intended use by any person or organization other than another contractor or subcontractor working for you on the same project. b. "Bodily injury" or "property damage" arising out of your or your employees' acts or omissions other than general supervision of work per- formed for you by any contractor. K. Elevator Liability 1. The following is added to Paragraph 1., Insuring Agreement of Section I - Coverage A - Bodily In- jury And Property Damage Liability: Insuring Agreement a. We will pay for loss to any: 1) "Elevator" used by you in the course of your operations; or 2) Personal property of others in your care, custody, or control or over which you are exercising physical control which is caused by an "elevator collision". b. This coverage applies only if: 1) The loss takes place in the "coverage territo- ry"; and 2) The loss occurs during the policy period. 2. Exclusions This Elevator Liability coverage does not apply to: a. Loss caused by or resulting from fire; b. Loss caused by an "elevator collision" arising out of the breaking, burning out, or disrupting of any electrical machine not located within the car of the "elevator"; c. Loss due to war, whether or not declared, or any act or condition incident to war. War includes civil war, insurrection, rebellion or revolution. This exclusion applies only to liability assumed under a contract or agreement; or d. Loss for which insurance is provided under ei- ther Property Damage Liability or Contractual Liability Coverage. 3. The following are added to Section V - Definitions: "Elevator" means any hoisting or lowering device to connect floors or landings, and all its appliances in- cluding any car, platform, shaft, hoistway, stairway, runway, power equipment, and machinery. "Elevator" also includes any hydraulic or mechanical hoist used for raising or lowering "autos" for lubricating and servicing or for dumping materials from trucks. "Ele- vator" does not mean: a. A hoist without a platform outside a building if it is without mechanical power or if it is not at- tached to building walls; b. A hod or material hoist used in alteration, con- struction, or demolition operations; or c. An inclined conveyor used only for carrying property or a dumbwaiter used only for carrying property and having a compartment height not exceeding four feet. "Elevator collision" means the collision of any part of an "elevator", or of anything carried on it, with an- other object. L. The following is added to Paragraph 4. Other Insur- ance of Section IV – Commercial General Liability Conditions in the Commercial General Liability Cover- age Form: Primary and Non-Contributory Insurance This insurance is primary to and will not seek contribu- tion from any other insurance available to an additional insured under your policy provided that: 1. The additional insured is a Named Insured under such other insurance; and 2. You have agreed in writing in a contract or agree- ment that this insurance would be primary and would not seek contribution from any other insurance avail- able to the additional insured. Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 7 M. Waiver of Subrogation Paragraph 8. Transfer of Right Of Recovery Against Others To Us of Section IV – Commercial General Li- ability Conditions in the Commercial General Liability Coverage Form is replaced by the following: Transfer Of Right of Recovery Against Others To Us We waive any right of recovery we may have against the additional insured because of payments we have made under this Coverage Part. However, our rights may only be waived prior to "bodily injury" or "property damage" caused by the "occurrence" which we have made pay- ments under this Coverage Part. The insured must do nothing after a loss to impair our rights. At our request, the insured will bring "suit" or transfer those rights to us and help us enforce these rights. Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 1 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. COMMERCIAL AUTO ENHANCEMENT ENDORSEMENT (NORTH CAROLINA) This enhancement endorsement modifies coverage provided in your Commercial Auto Policy (CAP; Ed. 4/96) and Policy Change Endorsement ACNA01. It provides coverage enhancements to the following portions of your Commercial Auto Policy: WHEN AND WHERE THIS POLICY APPLIES The following sentence is added to this section: Liability coverage for hired autos, as defined in the Autos We Insure Section of the policy, is provided for up to 45 days anywhere in the world, but coverage only applies to hired autos when the auto is hired, rented or borrowed for use in your business without a driver. However, this coverage does not apply if providing such coverage would be in violation of any economic or trade sanctions of the United States of America. The following subparts are added to this section: MEDICAL EVACUATION BENEFITS If an emergency evacuation is required because of injury you sustain outside of the United States resulting from an accident involving an auto we insure , and a physician determines that adequate medical care cannot be performed locally , we will pay for the following services and expenses: 1. medical services required for evacuation to the nearest adequate medical facility; 2. escort services if you are disabled as recommended by a physician; 3. ambulance service to the nearest airport, including air ambulance service upon departure; 4. special transportation costs to return you to the United States, including the cost of a stretcher, oxygen or other supplemental medical devices as deemed necessary by a physician; and 5. any expenses above the cost of a return airfare ticket held by you, or in the absence of a ticket the cost of an economy airfare ticket. The maximum benefit payable under this coverage shall not exceed $50,000. However, this coverage does not apply if providing such coverage would be in violation of any economic or trade sanctions of the United States of America. REPATRIATION BENEFIT If you die from injuries suffered in a covered accident that occurs outside of the United States we will pay for expenses incurred for the preparation and transportation of your body back to the United States. The maximum benefit payable under this coverage shall not exceed $25,000. However, this coverage does not apply if providing such coverage would be in violation of any economic or trade sanctions of the United States of America. AUTOS WE INSURE 2. Hired Autos The sentence added to this section in Policy Change Endorsement ACNA01 is deleted and replaced by the following: Physical Damage coverage up to $100,000 actual cash value is provided on an excess basis for hired autos if hired a uto liability coverage has been purchased and if there is an owned auto we insure on the policy with physical damage coverage. A $500 deductible applies per loss. LIABILITY PROTECTION PERSONS WE PROTECT The following paragraphs are added at the end of this section: 4. any employee of yours while using an auto you do not own, borrow or hire in your business or personal affairs. For purposes of this paragraph, item 2.b. under PERSONS WE PROTECT in the policy does not apply. 5. any organization you newly acquire or form, other than a partnership, joint venture or limited liability company over which you maintain ownership or majority interest if there is no similar insurance available to that organization. Coverage is afforded until the 180th day after you acquire or form the organization or to the end of the policy period, whichever is earlier. Coverage does not apply to bodily injury or property damage resulting from an accident that occurred before you acquired or formed the organization. No person or organization is an insured with respect to the conduct of any current or past partnership, joint venture or limited liability company that is shown as a Named Insured in the Declarations. ERIE INSURANCE COMMERCIAL AUTO AC NE01 (Ed. 8/22) UF-B983 Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 2 6 . any person or organization with whom you agreed in a written contract, written agreement, or written permit to add a s an additional insured on your policy is an additional insured. Such person or organization is an additional insured only with respect to your ownership, maintenance or use of an auto we insure . The insurance provided for such additional insureds applie s solely to liability arising out of your business operations. This coverage is primary and noncontributory with respect to the additional insured. LIMITATIONS ON OUR DUTY TO PAY What We Do Not Cover – Exclusions Exclusion 5. is deleted and replaced by : 5. bodily injury to a fellow employee of anyone we protect arising out of and in the course of employment. This exclusion does not apply if all employees are covered by a Workers Compensation & Employers Liability policy. PHYSICAL DAMAGE COVERAGES ADDITIONAL PAYMENTS (NO DEDUCTIBLE APPLIES) The following additional payments are added to this section: 9. reasonable towing and labor costs to any owned auto . Labor must be done at the site of the disablement. 10. full replacement cost coverage for any owned auto or trailer that is involved in a total loss resulting from a n accident or theft that occurs within 90 days of the purchase date. The owned auto or trailer must have been purchased new by you (never previously titled), and scheduled on the policy Declarations. 11. any unpaid amount due on the lease or loan for an o wned auto we insure in the event of a total loss to that auto . The auto must have been leased or purchased new, and not previously titled to another person or corporation. Payment will a pply less: a. any amount paid under the Physical Damage Coverages section of this policy; and b. any overdue loan or lease payments at the time of loss; c. any financial penalties imposed under a lease for excessive use, abnormal wear or tear, high mileage, or other similar charges; d. any security deposits not refunded by the lessor or financial institution; e. any costs for extended warranties, credit life, health, accident, or disability insurance purchased with the loan or lease; f. any carry -over balances from previous leases or loans. You are responsible for any deductibles that may apply. 12. up to $200 per day for loss of income resulting from a Comprehensive or Collision loss to an auto we insure if the loss is caused by an interruption of business use of that auto . The following provisions apply: a. Coverage starts 48 hours after the date of the loss that causes the downtime. Downtime refers to the exact number of days the auto is down and cannot be used for business purposes; b. Payme nt ends on the date the auto is returned to you in useable condition, or a replacement auto is made available to you. However, this coverage shall not exceed 30 days from the time payment begins; c. You are required to make necessary replacement or repairs to resume operations as soon as possible; d. Payment under this coverage will be excess over any payments made under the Comprehensive or Collision coverage section of the policy; e. Coverage does not apply if a similar replacement vehicle is available that you could use to continue or resume business operations. ADDITIONAL TRANSPORTATION EXPENSES The following optional coverage applies only if a premium is shown for COMMERCIAL AUTO ENHANCEMENT COVERAGE W/TRANSPORTATION EXPENSES on your Declarations. Ite m 2. is deleted from PHYSICAL DAMAGE COVERAGES, ADDITIONAL PAYMENTS (NO DEDUCTIBLE APPLIES) in the policy and policy change endorsement ACN A01 and replaced by the following: 2. transportation expenses resulting from a Comprehensive or Collision loss we cover. We will pay these expenses until: a. the auto we insure is retu rned to you in reasonable condition; or b. we offer settlement; whichever comes first. The payment for transportation expenses resulting from a Comprehensive loss will not exceed $65 p er day nor total more than $2,92 5 per loss unless a higher limit is purchased. The payment for transportation expenses resulting from a Collision loss will not exceed $65 p er day nor total more than $2,925 per loss unless a higher limit is purchased. No waiting period applies. Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 3 This coverage is in addition to any Transportat ion Expenses Coverage purchased under this policy. RIGHTS AND DUTIES – GENERAL POLICY CONDITIONS WAIVER OF SUBROGATION Condition 12. TRANSFER OF RIGHTS OF RECOVERY AGAINST OTHERS TO US is deleted and replaced by the following: If any person or orga nization to or for whom we make payment under this Coverage Form has rights to recover damages from another, those rights are transferred to us. That person or organization must do everyt hing necessary to secure our rights and must do nothing after acciden t or loss to impair them. We waive any right of recovery we may have against a person or organization identified as an additional insured because of payments we make for injury or damage a rising out of the ownership, maintenance or use of an auto under a contract with that additional insured. Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6 WORKERS COMPENSATION AND EMPLOYERS LIABILITY WC 00 03 13 (Ed. 1/86) UF-8641 WAIVER OF OUR RIGHT TO RECOVER FROM OTHERS ENDORSEMENT We have the right to recover our payments from anyone liable for an injury covered by this policy. We will not enforce our right against the person or organization named in the Schedule. This agreement shall not operate directly or indirectly to benefit any one not named in the Schedule. (Please see the Miscellaneous Information Page for Schedule.) Copyright 1986 National Council on Compensation Insurance. 1 Policy Number: Q88-1200887 ORGANIZATIONS FOR WHICH THE NAMED INSURED HAS AGREED BY WRITTEN CONTRACT EXECUTED PRIOR TO THE LOSS TO FURNISH WAIVER. Docusign Envelope ID: 83DA70D9-193E-414B-9C19-272291A5E9D6