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Original Contractor. In no event shall the Surety's combined liability for the Surety
<br />Payment, the Latent Defect Allowance and the Latent Defect Reservation (if any) exceed
<br />the Penal Sum of the Bond. Surety reserves all defenses to the Latent Defect Reservation.
<br />6. Release of Surety. Upon execution of this Agreement by Surety and the
<br />Owner, payment by the Surety to the Owner of the Surety Payment, the Owner agrees that
<br />Surety shall have no responsibility or obligation for the completion or correction of the
<br />work performed or remaining to be performed under the Original Contract and further
<br />agrees that Surety shall be and is hereby fully, finally and completely released, discharged
<br />and exonerated of and from any and all claims, demands, causes of actions and/or
<br />obligation under the Original Contract and the Surety's Bond for the Original Contract
<br />other than the Latent Defect Reservation. In the interest of resolving any and all matters
<br />relating to the Original Contract, and under the sound policy of law favoring the settlement
<br />of disputes, the parties understand and agree that the payment of the Surety Payment by
<br />the Surety constitutes and represents full and just consideration for and satisfaction of any
<br />and all claims by the Owner against Surety arising out of, related to, or incidental to the
<br />Original Contract and the Bonds. The Owner, by acceptance of this Agreement and the
<br />Surety Payment irrevocably remises, releases and forever discharges the Surety and the
<br />Bond of and from all liabilities, obligations, promises, agreements, controversies, damages,
<br />liquidated damages, delay damages, completion costs, actions, causes of actions, suits,
<br />rights, demands, losses, debts, expenses, attorneys' fees, costs and claims, from the
<br />beginning until the end of time, whether known or unknown, whatsoever in law and/or in
<br />equity under and arising out of or related to the Original Contract and the Bond, as well as
<br />all claims for statutory or common law "bad faith" against Surety including all claims that
<br />relate to the manner and timeliness in which Surety reviewed, handled, investigated, or
<br />settled any claim by Owner on the Bond, and any and all claims arising under chapters 624
<br />or 626, Florida Statutes, regardless of when such claim(s) arose or accrued, other than the
<br />Latent Defect Reservation. The Surety reserves, undiminished, all defenses to any claim
<br />under the Latent Defect Reservation.
<br />7. No release of subcontractor and supplier to Original Contractor claims
<br />under Payment Provisions of Bond. Surety agrees that this Agreement shall not release
<br />its obligations to proper and timely claims by subcontractors, sub -subcontractors and/or
<br />suppliers of the Original Contractor who are "claimants" pursuant to Section 255.05,
<br />Florida Statutes ("Payment Claimants"), in connection with the Original Contract, subject
<br />to such limitations and defenses as may exist at law or at equity. Owner agrees that any
<br />payments by Surety to Payment Claimants shall reduce the Penal Sum of the Bond, dollar
<br />for dollar. Nothing herein shall be construed as a waiver of any rights or defenses that
<br />Surety may have as to any claim by any Payment Claimant. Further, nothing herein shall
<br />expand coverage of the Bond or extend the Surety's liability to any subcontractor, laborer,
<br />materialman or supplier of the Completing Contractor.
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