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Property Occupancy ... LICENSE AGREEMENT This License Agreement is entered into this ~ay of June, 2004, by and between the City of Salina, Kansas (the "City") and Jimmy Murl Hunter and Rita Jane Hunter, husband and wife, ("Hunters"). Recitals A. The Hunters have sold to the City pursuant to a Contract of Sale of Real Estate dated June;9f, 2004, (the "Contract") the Saline County, Kansas, real estate described as: A parcel in Lot Five (5), East Gardens, an Addition to the City of Salina, Saline County, Kansas, described as follows: Beginning at the Northeast comer of Lot 5; Thence S 00°00'00" W 74.81 feet along the East line of Lot 5; Thence S 71°39'29" W, 97.47 feet; Thence N 18°20'31" W, 71.01 feet; Thence N 71 °39'29" E, 121.01 feet along the North line of Lot 5 to the point of beginning. Described in Book 373 at Page 99 of the Records of Saline County, Kansas. Said tract contains 0.18 acres, more or less. together with all appurtenances, permanent improvements and fixtures (the "Property"). B. While closing on the sale of the Property by the Hunters to the City has closed this - day of July, 2004, the Hunters desire to remain in possession of the Property and the City agrees to allow the Hunters to remain in possession of the Property strictly for the purposes and under the conditions set forth in this License Agreement. THE PARTIES THEREFORE AGREE: 1. Grant of License. The City grants a license to the Hunters permitting the Hunters to continue to occupy the Property through September 30, 2004, exclusively for the Hunters continued use in the same manner and for the same purpose as Hunters used the Property prior to its purchase by the City (the "License"). 2. Term of License. The License shall commence upon execution of this License Agreement and shall continue until the earlier of: A. Expiration of the License as set forth in Paragraph 1 above; or B. Notification of the City by the Hunters that the Hunters have vacated the Property prior to September 30, 2004. ~ 3. Indemnification and Hold Harmless. The Hunters shall indemnify and hold the City and its current and former elected officials, agents, and employees harmless from all claims, liability, loss, damage, expense, or judgment, including attorneys' fees so incurred, arising from the Hunters' continued occupancy of the Property pursuant to the License (the "Indemnification"). The Hunters shall maintain in effect commercial general liability coverage of no less than $500,000 on a per occurrence basis, which includes coverage extending to the Indemnification, and shall provide the City with ongoing written proof of such coverage. The Hunters agree to defend against all claims brought or actions filed against the City with respect to the Hunters' occupancy of the Property pursuant to the License, whether such claims are rightfully or wrongfully brought or filed. The City agrees that the Hunters may employ attorneys of their own selection to appear and defend the claim or action on behalf of the City, at the sole expense of the Hunters. The Hunters shall have control of the defense in any such lawsuit and negotiations relating to its settlement. The City shall assist the Hunters as reasonably requested by the Hunters regarding such lawsuit. The HUnters agree to reimburse the City for all expenses, costs, and attorneys' fees incurred by the City in the enforcement of any part of the Hunters' agreement to indemnify the City. 4. Maintenance on Restoration. The City shall not be responsible for maintenance of the Property or restoration of damage to the Property from any cause during Hunters' continued occupancy. 5. Assignment of License. The assignment of any rights under this License Agreement by the Hunters shall not be permitted. 6. Binding Effect. This License Agreement shall be binding upon the parties, their successors and authorized assigns. Executed the day and year first above written. CITY OF SALINA, KANSAS By:Ø-- ~ Dennis M. Kissinger, City Manager ~. TERS ~ CU~ '~ter ,2[;7 /J ~ ~ ' .,. ) . /ta/ êcz'7"¿..L/ c.'7.L---':é~/' Rita Jane J:Mllter -2-