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4) Liquidated Damages . COUNTY is entitled to liquidated damages to be paid in accordance with Article 38 , Liquidated Damages , by Contractor or Contractor' s legal representative . Article 26 . Patents - Contractor shall pay all royalties and assume all costs arising from the use of any invention , design , process , materials , equipment , product or device in performance of the work , which is the subject of patent rights or copyrights . Contractor shall , at its own expense , hold harmless and defend County against any claim , suit , or proceeding brought against County which is based upon a claim , whether rightful or otherwise , that the work , or any part thereof, furnished under this Contract constitutes an infringement of any patent or copyright of the United States . Contractor shall pay all damages and costs awarded against County . Article 27 . Warranty - Contractor warrants that the work shall conform to professional standards of care and practice in effect at the time the work is performed , be of the highest quality , and be free from all faults , defects or errors . Article 28 . Correction Of Work - Contractor shall promptly correct all work rejected by County ' s designated representative as faulty , defective , or failing to confirm to this Contract whether observed before or after substantial completion of the work , and whether or not fabricated , installed , or completed . Contractor shall bear all costs of correcting such rejected work . Article 29 . Right To Audit - Contractor shall retain and maintain all records and documents relating to this Contract and shall make them available at all reasonable times for inspection and audit by County , during the term of this Contract and for a period of three ( 3 ) years after the expiration of this Contract . The Contractor' s accounting records and all supportive documentation shall be maintained in such a manner as to provide for a separation between direct and indirect costs . Article 30 . Time Is Of The Essence - The parties agree that time is of the essence in the completion of the work called for under this Contract . Contractor agrees that all work shall be performed regularly , diligently , and in an uninterrupted manner at such a rate of progress as will ensure full completion thereof within the time specified . Article 31 . Information - All information , data , designs , plans , drawings , and specifications furnished to or developed for County by Contractor or its employees , pursuant to this Contract , shall be the sole property of County and all rights therein are reserved by County , except that Contractor may disclose any such information to its corporate affiliates and their agents . Article 32 . Extra Work — A . County , without invalidating this Contract , may order changes in the work within the general scope of this Contract consisting of additions , deletions , or other revisions , Contract price and time being adjusted accordingly . All such changes in the work shall be authorized by a written Addendum to this Contract , and shall be executed under the applicable conditions of this Contract . B . If Contractor plans to make a claim for an increase in Contract price or an extension in Contract Schedule/Term , he shall first give County ' s designated representative written indianrivercontract4001 . doc Page 7 of 25 Document last printed 05/ 18/00 10 : 39 AM