R98-90 ACCEPTING THE Firestone Bid Bus Tire Lease

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. � .,' , • � ' -3- 6. SALE OR DISPOSITION OF VEHICLE--Operator shall notify Firestone prior to , any sale or disposition of any of Operator's vehicles equipped with I Firestone's tires and, unless Firestone requests otherwise, Operator � shall purchase the unused mileage in each tire and for any tires and extra tubes which remain in stock after such vehicles have been sold or disposed of which cannot be used on other vehicles in Operator's fleet. Firestone shall have the right to request the removal of all serviceable Firestone tires on parked or inactive vehicles if they remain parked or inactive for more than ninety days and return such tires to Operator's reserve supply. Said tires shall then be replaced with scrap tires (see Attachment I) . Payment for the unused mileage and tubes acquired by Operator under this paragraph shall be on the basis and within the time set forth in Paragraph 10 hereof. 7. LOSS OF TIRES--Any tires which have been damaged beyond repair by an accident, malicious abuse, fire, or which have been lost or stolen, shall be paid for by Operator as of the date of accident, loss or theft on the basis, and within the time, set forth in Paragraph 10 hereof. 8. CONTINGENCIES--In the event of fire, strikes, accidents, consequences of foreign or domestic wars or any cause beyond either party's reasonable control which will delay or interfere with its performance of its obligations hereunder, such performance may, at the option of either party, be suspended during the period required to remove such cause. In the event Firestone discontinues the manufacture and marketing of any size or type tire supplied pursuant to this Agreement, Firestone shall so notify Operator and, upon written notice by either party to the other, this Agreement and all related agreements between the parties shall be deemed terminated upon the same terms and conditions set forth in Paragraph 10 below, effective ninety (90) days from receipt of such written notice. This Agreement is subject to all present or future governmental regulations affecting production, delivery, sale, use or possession of the products leased hereunder. Operator shall promptly notify Firestone of any accident or claims resulting from an alleged tire failure. Operator agrees to defend, save and hold Firestone harmless from all claims or actions for damages to property or injury to persons, including death, arising out of the use or possession of products furnished hereunder or the performance of any service related thereto, except for claims or actions that result from defects in material or workmanship of any tire manufactured and furnished by Firestone under this Agreement and/or the negligent acts or omissions of Firestone, its agents or employees. 9. DEFAULT--In case of Firestone's breach of any material provision hereunder, the Operator shall give prompt written notice of such breach, setting forth the facts in reasonable detail. In the event that Firestone has not cured such breach within thirty (30) days (or in cases of breaches which require a longer period to cure, has failed to commence upon such cure within said period and thereafter to diligently proceed with the same to completion) , the Operator shall have the right to terminate this Agreement without further notice. This agreement shall also be terminable for cause at the option of the Operator if Firestone is adjudicated bankrupt, is subjected to the appointment of a receiver and fails to have such receiver removed within ninety (90) days; has any of its property attached and fails to remove such attachment within ninety (90) days; becomes insolvent; or, for a period of ninety (90) days is unable to pay its debts as the same become due; upon ninety (90) days notice.