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DIR Contract No. DIR -SDD -890 <br />3) Independent Contractor <br />VENDOR AGREES AND ACKNOWLEDGES THAT DURING THE <br />EXISTENCE OF THIS CONTRACT, IT IS FURNISHING SERVICES IN THE <br />CAPACITY OF AN INDEPENDENT CONTRACTOR AND THAT VENDOR <br />IS NOT AN EMPLOYEE OF THE CUSTOMER, DIR OR THE STATE OF <br />TEXAS. <br />21. Appendix A, Section 9.11., Taxes/Worker's Compensation/UNEMPLOYMENT <br />INSURANCE is hereby restated in its entirety as follows: <br />B. Taxes/Worker's Compensation/UNEMPLOYMENT INSURANCE <br />1) VENDOR AGREES AND ACKNOWLEDGES THAT DURING THE <br />EXISTENCE OF THIS CONTRACT, VENDOR SHALL BE ENTIRELY <br />RESPONSIBLE FOR THE LIABILITY AND PAYMENT OF VENDOR'S AND <br />VENDOR'S EMPLOYEES' TAXES OF WHATEVER KIND, ARISING OUT OF <br />THE PERFORMANCES IN THIS CONTRACT. VENDOR AGREES TO <br />COMPLY WITH ALL APPLICABLE STATE AND FEDERAL LAWS <br />APPLICABLE TO ANY SUCH PERSONS, INCLUDING LAWS REGARDING <br />WAGES, TAXES, INSURANCE, AND WORKERS' COMPENSATION. VENDOR <br />AGREES AND ACKNOWLEDGES THAT VENDOR ITS EMPLOYEES, <br />REPRESENTATIVES, AGENTS OR SUBCONTRACOTRS SHALL NOT BE <br />ENTITLED TO ANY STATE BENEFIT OR BENEFIT OF ANOTHER <br />GOVERNMENTAL ENTITY CUSTOMER AS A RESULT OF THIS CONTRACT <br />'AND/OR THE STATE SHALL NOT BE LIABLE TO THE VENDOR ITS <br />EMPLOYEES, AGENTS, OR OTHERS FOR THE PAYMENT OF TAXES OR <br />THE PROVISION OF UNEMPLOYMENT INSURANCE AND /OR WORKERS' <br />COMPENSATION OR ANY BENEFIT AVAILABLE TO A STATE EMPLOYEE <br />OR EMPLOYEE OF ANOTHER GOVERNMENTAL ENTITY CUSTOMER. <br />2) VENDOR AGREES TO INDEMNIFY AND HOLD HARMLESS CUSTOMERS, <br />THE STATE OF TEXAS AND /OR THEIR EMPLOYEES, AGENTS AND /OR <br />REPRESENTATIVES FROM ANY AND ALL ACTIONS, CLAIMS, DEMANDS, <br />OR SUITS, AND ALL RELATED COSTS, ATTORNEY FEES, AND EXPENSES, <br />RELATING TO VENDOR'S TAX LIABILITY, VENDOR'S UNEMPLOYMENT <br />INSURANCE AND /OR WORKERS' COMPENSATION OR EXPECTATIONS OF <br />BENEFITS BY VENDOR, ITS EMPLOYEES, VENDOR'S AGENTS OR <br />VENDOR'S SUBCONTRACTORS IN ITS PERFORMANCE UNDER THIS <br />CONTRACT. VENDOR SHALL BE LIABLE TO PAY ALL COSTS OF DEFENSE <br />FOR CLAIMS RELATED TO THIS CLAUSE INCLUDING ATTORNEYS' FEES. <br />THE DEFENSE SHALL BE COORDINATED BY THE OFFICE OF THE <br />ATTORNEY GENERAL FOR TEXAS STATE AGENCY CUSTOMERS AND BY <br />CUSTOMER'S LEGAL COUNSEL FOR NON -STATE AGENCY CUSTOMERS, <br />IF REQUESTED BY THE STATE OF TEXAS OR CUSTOMER THAT IS A NON - <br />STATE AGENCY. <br />Page 12 of 15 <br />