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lotter on DSK11XQN23PROD with PROPOSALS3

Federal Register / Vol. 86, No. 232 / Tuesday, December 7, 2021 / Proposed Rules A All or substantially all of the Contractors business; or B All or substantially all of the Contractors operation at any one plant.
4 As to any risk that is assumed by the Government, the Government shall be subrogated to any claim, demand or cause of action against third parties that exists in favor of the Contractor. If required by the Contracting Officer, the Contractor shall execute a formal assignment or transfer of the claim, demand, or cause of action.
5 No party other than the Contractor shall have any right to proceed directly against the Government or join the Government as a codefendant in any action.
6 Notwithstanding the foregoing, the Contractor shall bear the first $5,000 of loss or damage from each occurrence or incident, the risk of which the Government would have assumed under the provision of this paragraph b.
c Indemnification. The Contractor indemnifies the Government and the vessel and its owners against all claims, demands, or causes of action to which the Government, the vessel or its owners might be subject as a result of damage or injury including death to the property or person of anyone other than the Government or its employees, or the vessel or its owner, arising in whole or in part from the negligence or other wrongful act of the Contractor, or its agents or employees, or any subcontractor, or its agents or employees.
1 The Contractors obligation to indemnify under this paragraph shall not exceed the sum of $300,000 as a consequence of any single occurrence with respect to any one vessel.
2 The indemnity includes, without limitation, suits, actions, claims, costs, or demands of any kind, resulting from death, personal injury, or property damage occurring during the period of performance of work on the vessel or within 90 days after redelivery of the vessel. For any claim, etc., made after 90
days, the rights of the parties shall be as determined by other provisions of this contract and by law. The indemnity does apply to death occurring after 90
days where the injury was received during the period covered by the indemnity.
d Insurance. 1 The Contractor shall, at its own expense, obtain and maintain the following insurance i Casualty, accident, and liability insurance, as approved by the Contracting Officer, insuring the performance of its obligations under paragraph c of this clause.

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ii Workers Compensation Insurance or its equivalent covering the employees engaged on the work.
2 The Contractor shall ensure that all subcontractors engaged on the work obtain and maintain the insurance required in paragraph d1 of this clause.
3 Upon request of the Contracting Officer, the Contractor shall provide evidence of the insurance required by paragraph d of this clause.
e The Contractor shall not make any allowance in the contract price for the inclusion of any premium expense or charge for any reserve made on account of self-insurance for coverage against any risk assumed by the Government under this clause.
f The Contractor shall give the Contracting Officer written notice as soon as practicable after the occurrence of a loss or damage for which the Government has assumed the risk.
1 The notice shall contain full details of the loss or damage.
2 If a claim or suit is later filed against the Contractor as a result of the event, the Contractor shall immediately deliver to the Government every demand, notice, summons, or other process received by the Contractor or its employees or representatives.
3 The Contractor shall cooperate with the Government and, upon request, shall assist in effecting settlements, securing and giving evidence, obtaining the attendance of witnesses, and in the conduct of suits. The Government shall reimburse the Contractor for expenses incurred in this effort, other than the cost of maintaining the Contractors usual organization.
4 The Contractor shall not, except at its own expense, voluntarily make any payments, assume any obligation, or incur any expense other than what would be imperative for the protection of the vessels at the time of the event.
g In the event of loss of or damage to any vessels, material, or equipment which may result in a claim against the Government under the insurance provisions of this contract, the Contractor shall promptly notify the Contracting Officer of the loss or damage. The Contracting Officer may, without prejudice to any right of the Government, either 1 Order the Contractor to proceed with replacement or repair, in which event the Contractor shall effect the replacement or repair;
i The Contractor shall submit to the Contracting Officer a request for reimbursement of the cost of the replacement or repair together with whatever supporting documentation the Contracting Officer may reasonably
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require, and shall identify the request as being submitted under the Insurance clause of this contract.
ii If the Government determines that the risk of the loss or damage is within the scope of the risks assumed by the Government under this clause, the Government will reimburse the Contractor for the reasonable allowable cost of the replacement or repair, plus a reasonable profit if the work or replacement or repair was performed by the Contractor less the deductible amount specified in paragraph b of this clause.
iii Payments by the Government to the Contractor under this clause are outside the scope of and shall not affect the pricing structure of the contract, and are additional to the compensation otherwise payable to the Contractor under this contract; or 2 Decide that the loss or damage shall not be replaced or repaired and in that event, the Contracting Officer shall i Modify the contract appropriately, consistent with the reduced requirements reflected by the unreplaced or unrepaired loss or damage; or ii Terminate the repair of any part or all of the vessels under the Termination for Convenience of the Government clause of this contract.
End of clause 1252.21777

Title.

As prescribed at 1217.7001b, insert the following clause:
Title DATE
a Unless otherwise provided, title to all materials and equipment to be incorporated in a vessel in the performance of this contract shall vest in the Government upon delivery at the location specified for the performance of the work.
b Upon completion of the contract, or with the approval of the Contracting Officer during performance of the contract, all Contractor-furnished materials and equipment not incorporated in, or placed on, any vessel, shall become the property of the Contractor, unless the Government has reimbursed the Contractor for the cost of the materials and equipment.
c The vessel, its equipment, movable stores, cargo, or other ships materials shall not be considered Governmentfurnished property.
End of clause 1252.21778

Discharge of Liens.

As prescribed at 1217.7001b, insert the following clause:

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