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determining the City's right to proceed as an unsecured creditor under California Code of Civil <br />Procedure Section 726.5(a), the Developer shall be deemed to have willfully permitted or <br />acquiesced in a release or threatened release of hazardous materials, within the meaning of <br />California Code of Civil Procedure Section 726.5(d)(1), if the release or threatened release of <br />hazardous materials was knowingly or negligently caused or contributed to by any lessee, <br />occupant, or user of any portion of the Property and the Developer knew or should have known <br />of the activity by such lessee, occupant, or user which caused or contributed to the release or <br />threatened release. All costs and expenses, including (but not limited to) reasonable attorneys' <br />fees, incurred by the City in connection with any action commenced under this paragraph, <br />including any action required by California Code of Civil Procedure Section 726.5(b) to <br />determine the degree to which the Property is environmentally impaired, plus interest thereon at <br />the default rate specified in the Construction/Permanent Note, until paid, shall be added to the <br />indebtedness secured by the Deed of Trust and shall be due and payable to the City upon its <br />demand made at any time following the conclusion of such action. <br />6.10 No Limitation. Developer hereby acknowledges and agrees that Developer's <br />duties, obligations and liabilities under this Agreement are in no way limited or otherwise <br />affected by any information the City may have concerning the Property and/or the presence in, <br />on, under or about the Property of any Hazardous Material, whether the City obtained such <br />information from the Developer or from its own investigations. <br />6.11 Definitions. <br />6.1 1.1 "Hazardous Material" means any chemical, compound, material, <br />mixture, or substance that is now or may in the future be defined or listed in, or otherwise <br />classified pursuant to any Environmental Laws (defined below) as a "hazardous substance", <br />"hazardous material", "hazardous waste", "extremely hazardous waste", infectious waste", toxic <br />substance", toxic pollutant", or any other formulation intended to define, list or classify <br />substances by reason of deleterious properties such as ignitability, corrosivity, reactivity, <br />carcinogenicity, or toxicity. The term "hazardous material" shall also include asbestos or <br />asbestos -containing materials, radon, chrome and/or chromium, polychlorinated biphenyls, <br />petroleum, petroleum products or by-products, petroleum components, oil, mineral spirits, <br />natural gas, natural gas liquids, liquefied natural gas, or synthetic gas usable as fuel, perchlorate, <br />and methy tert butyl ether, whether or not defined as a hazardous waste or hazardous substance <br />in the Environmental Laws. <br />6.11.2 "Environmental Laws" means any and all federal, state and local statutes, <br />ordinances, orders, rules, regulations, guidance documents, judgments, governmental <br />authorizations or directives, or any other requirements of governmental authorities, as may <br />presently exist, or as may be amended or supplemented, or hereafter enacted, relating to the <br />presence, release, generation, use, handling, treatment, storage, transportation or disposal of <br />Hazardous Material, or the protection of the environment or human, plant or animal health, <br />including, without limitation, the Comprehensive Environmental Response, Compensation and <br />Liability Act of 1980, as amended by the Superfund Amendments and Reauthorization Act of <br />1986 (42 U.S.C. § 9601), the Hazardous Materials Transportation Act (49 U.S.C. § 1801 et <br />seq.), the Resource Conservation and Recovery Act (42 U.S.C. § 6901 et seq.), the Federal <br />Water Pollution Control Act (33 U.S.C. § 1251 et seq.), the Clean Air Act (42 U.S.C. § 7401 et <br />OAK #4845-1087-0362 v5 <br />29 <br />