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-2-- <br /> 2. Contractor shall effect, at no cost to Mid-Continent Resources, Inc. , the <br /> Work described in Exhibit A in a good and workmanlike manner. The Work shall , <br /> once commenced, be diligently pursued to completion, and without unreasonable <br /> delay. Contractor guarantees that the Work shall be free from defects in <br /> materials and workmanship and that all materials incorporated into the Work <br /> shall be fit for the use and purpose intended and shall not be subject to any <br /> chattel mortgage, security agreement or other interest in a third party. <br /> 3. In effecting the Work under this Agreement, Contractor, its agents, <br /> employees and subcontractors, shall comply with all applicable federal , state <br /> and local laws, rules and regulations. All Work required to be performed by <br /> licensed personnel shall 5e carried out by personnel so licensed. <br /> 4. All persons performing any Work under this Agreement, including all <br /> employees, agents, servants and subcontractors engaged by Contractor shall be <br /> at all times the sole employees of and subject to the control and direction of <br /> Contractor and shall not be the employees or subject to the direction or <br /> control of Mid-Continent Resources , Inc. in any way. <br /> 5. Contractor shall pay all sales, occupational , gross receipts, <br /> compensating, business, excise or other taxes of any kind levied or imposed in <br /> connection with the Work . In addition, the Contractor shall furnish the <br /> landowner with valid lien waivers duly executed by the Contractor and by all <br /> other persons or other entities which might otherwise acquire liens upon the <br /> lands described above pursuant to the Colorado General Mechanics' Lien Act, <br /> Section 38-22-101-133 C.R.S. <br /> 6. Contractor shall assume the risk of all injuries, including death <br /> resulting therefrom, to persons (including employees and contractors of <br /> Contractor, Mid-Continent Resources , Inc. or any third party) and damage to <br /> and destruction of property resulting directly or indirectly, wholly or in <br /> part, from the prosecution or omission of any work or obligation undertaken or <br /> required by this Agreement or the occupation and possession of the premises , <br /> and shall indemnify and save harmless Mid-Continent Resources , Inc. (including <br /> its officers, employees, agents and affiliated companies) from and against any <br /> and all liability arising therefrom, including all expense, legal or <br /> otherwise, incurred by Mid-Continent Resources, Inc. in the investigation and <br /> defense of any claim or suit. Contractor agrees to indemnify Mid-Continent <br /> Resources, Inc. from and against any and all liability arising from activities <br /> and work conducted pursuant to this Agreement on the above-described <br /> Mid-Continent Resources , Inc. property for the duration of the actual period <br /> of work. It is mutually understood and agreed that the assumption of <br /> liabilities and indemnification provided for in this Agreement shall survive <br /> any termination of this Agreement. <br />