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b. Amendment Exemptions. No amendment of a Project Approval or <br /> Subsequent Approval shall require an amendment to this Agreement. Instead, any such <br /> amendment automatically shall be deemed to be incorporated into the Project and vested <br /> under this Agreement. <br /> Section 5.03. Cooperation in Event of Legal Challenge. In the event of an administrative, legal <br /> or equitable action or other proceeding instituted by any person not a party to this Agreement <br /> challenging the validity of this Agreement or any Project Approval or Subsequent Approval, the <br /> parties shall cooperate in defending such action or proceeding. The parties shall use best efforts <br /> to select mutually agreeable legal counsel to defend such action, and Developer shall pay <br /> compensation for such legal counsel; provided, however, that such compensation shall include <br /> only compensation paid to counsel not otherwise employed as City staff and shall exclude, <br /> without limitation, City Attorney time and overhead costs and other City staff overhead costs and <br /> normal day-to-day business expenses incurred by City. Developer's obligation to pay for legal <br /> counsel shall not extend to fees incurred on appeal unless otherwise authorized by Developer. In <br /> the event City and Developer are unable to select mutually agreeable legal counsel to defend <br /> such action or proceeding, each party may select its own legal counsel at its own expense. <br /> Section 5.04. Defaults. In the event City or Developer defaults under the terms of this <br /> Agreement, City or Developer shall have all rights and remedies provided under law. <br /> Section 5.05. Periodic Review. Throughout the Term of this Agreement, at least once every <br /> twelve (12) months following the execution of this Agreement, City shall review the extent of <br /> good-faith compliance by Developer with the terms of this Agreement. <br /> Section 5.06. California Law. This Agreement shall be construed and enforced in accordance <br /> with California Law. <br /> Section 5.07. Attorneys Fees. In any legal action or other proceeding brought by either party to <br /> enforce or interpret a provision of this Agreement, the prevailing party is entitled to reasonable <br /> attorney's fees and any related costs incurred in that proceeding in addition to any other relief to <br /> which it is entitled. <br /> Section 5.08. Severability. If any term or provision of this Agreement, or the application of any <br /> term or provision of this Agreement to a particular situation, is held by a court of competent <br /> jurisdiction to be invalid,void or unenforceable,the remaining terms and provisions of this <br /> Agreement, or the application of this Agreement to other situations, shall continue in full force <br /> and effect unless amended or modified by mutual consent of the parties. <br /> Section 5.09. Covenants Running with the Land. All of the provisions contained in this <br /> Agreement shall be binding upon the parties and their respective heirs, successors and assigns, <br /> representatives, lessees, and all other persons acquiring all or a portion of the Project, or any <br /> interest therein, whether by operation of law or in any manner whatsoever. All of the provisions <br /> contained in this Agreement shall be enforceable as equitable servitudes and shall constitute <br /> covenants running with the land pursuant to California law including, without limitation, <br /> California Civil Code § 1468. <br /> 7 of 10 <br />