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14.1. The Lessor makes no representations and warranties concerning the legal or
<br />physical availability of the Lessor's Water Rights and is under no duty or
<br />obligation to undertake any actions to otherwise perfect, deliver, or provide the
<br />Lessor's Water Rights to the Lessee. The Lessor expressly disclaims all
<br />representations and warranties to the Lessee concerning the availability or quality
<br />of the water under this Lease Agreement, express or implied, including the
<br />usefulness or fitness for a particular purpose.
<br />14.2. The Lessee acknowledges that water availability and quality may be determined
<br />by many factors beyond the Lessor's control, including, but not limited to,
<br />drought or the need to ensure that the Lessor can utilize the maximum diversions
<br />for future augmentation use.
<br />15. Waiver of Liability. The Parties agree that the Lessor is not liable in tort or contract under
<br />this Lease for any failure to accurately anticipate the availability of water supply or for an actual
<br />failure to supply water due to inadequate runoff or inadequate storage, or any conditions arising
<br />from an occurrence beyond the reasonable control of the Lessor, including, but not limited to, act
<br />of God, strike, war, insurrection, or inability to serve arising out of the order of any court,
<br />including a change of water rights decree, or the lawful order of any governmental administrative
<br />body or agency clothed with authority to regulate matters pertaining to water, public utilities,
<br />public health, or pollution control.
<br />16. Indemnification. Lessee hereby indemnifies and holds the Lessor harmless from and
<br />against any and all demands, claims, actions, arbitrations, and lawsuits or other circumstances
<br />arising out of or connected in any way to exercise of the Lessor's Water Rights by the Lessee,
<br />including its employees, contractors, agents, or related Parties of interest. This indemnification
<br />includes, but is not limited to, any and all judgments, fines, liability, settlements, loss, damage,
<br />payments, injury, costs and expenses, of any nature whatsoever, including attorneys' fees,
<br />thereby incurred by the Lessor arising out of or connected in any way to use of the Lessor's
<br />Water Rights by the Lessee pursuant to this Lease.
<br />17. Emergency Water Shortages. The Parties agree that from time -to -time emergency
<br />situations, such as water shortage, may arise where it is necessary for the Lessor to limit the use
<br />of water by contract customers, including the Lessee. The Parties agree that the determination of
<br />whether an emergency situation exists necessitating such limitation is a fact to be determined by
<br />the Lessor in the exercise of its discretion. It is hereby agreed that the Lessor may adopt, in the
<br />situation of shortage, such restrictions on uses or priorities for curtailment of use, as may be
<br />necessary to adapt to such emergency conditions or shortage, including reductions in water
<br />deliveries under this Lease. The Lessee agrees that the Lessor is not liable in tort or contract
<br />under this Lease on account of the necessity for adopting and implementing such policies to meet
<br />emergency conditions or shortage. In the event that the Lessor is unable to make the deliveries of
<br />water to the Lessee specified in this Lease, then the Lessee's payment for water shall be reduced
<br />or refunded in proportion to any reduction of deliveries by the Lessor.
<br />18. Not a Permanent Supply. The Parties understand and agree that this Lease is not to be
<br />interpreted as any commitment on the part of the Lessor to furnish water to the Lessee on a
<br />permanent basis, but rather is for the initial term of this Lease.
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