Res 2907 11/17/1981RESOLUTION NO. <-A77
RESOLUTION APPROVING AND AUTHORIZING THE
CITY MANAGER TO ENTER INTO A CONTRACT WITH
GAB BUSINESS SERVICES, INC. , PROVIDING FOR
THE ADJUSTMENT OF FLEET LIABILITY AND GENERAL
LIABILITY CLAIMS.
BE IT RESOLVED BY THE BOARD OF ALDERMEN OF THE CITY OF
WICHITA FALLS, TEXAS, THAT:
That certain contract, a copy of which is attached hereto,
between the City of Wichita Falls and GAB Business Services, Inc. ,
providing for the adjustment of fleet liability and general
liability claims, is hereby approved, and the City Manager is
authorized to execute the same for the City of Wichita Falls.
PASSED AND APPROVED this the 17th day of November, 1981.
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ATT ST:
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City Clerk
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cokE; Contract Services
Form 449(9/81)
Tailored Especially for
City of Wichita Falls, Texas
P.O. Box-1431
Wichita Falls, Texas 73307
Contract for
Administrative, Investigative and Adjustment Services for Auto Liability
and General Liability claims.
Period October 1, 1981 through September 30, 1982
covering Losses and Claims a occurring D reported during period
Price Auto Liability- $122.50 per occurrence
General Liability - $143.50 per occurrence
Premium Base Rate of X
Deposit payments of monthly. Final payment
Deferred to
Territory City of Wichita Falls, Texas
Account(s)
Customer Contact City of Wichita Falls, Texas
Address P.O. Box 1431, Wichita Falls, Texas 73307
Telephone
GAB Account Executive Karl Giessmann
GAB Office Dallas, Texas Telephone 214-526-7971
Renewal Agreement To be negotiated
Terms: GAB Business Services, Inc., 123 William Street, New York
New York 10038 (hereinafter referred to as GAB) agrees
contact Continuation Page 2 of 4
GABContract Services
to provide all its usual administrative, investigative and adjustment services to City of
Wichita Falls in connection with Auto Liability and General Liability claims during a
period of one (1) year commencing with October 1, 1981 through September 30, 1982, in
accordance with the requirements of any regulatory authority having jurisdiction.
1. In consideration of the contract agreement, GAB agrees to provide all its usual
administrative, investigative and adjustment services with no additional charge,
except for the following:
a.City attorney will provide all defense attorney's services, either through hisofficeoroutsidecounsel, and City will be responsible for paying for such
services.
b.City of Wichita Falls agrees to pay the cost of all experts and professional
assistance required to investigate and adjust claims. All such costs shall
have the prior approval of the City.
c. GAB may submit any invoices or request for payment of fees of attorneys,
experts and other professional assistance as described in la and lb above to
City of Wichita Falls for payment approval. If so instructed by City of
Wichita Falls GAB will make payment as outlined in paragraph 4A. Such
expenses shall be classified as "allocated expenses" defined as legal fees,
court costs, independent medical examinations, and such other professional
assistance as is necessary to properly handle all matters assigned to GAB
and which it is not possible or feasible for GAB to provide with its own
personnel. No such expenses shall be incurred without prior approval of the
City. Allocated expenses, when paid by GAB, will be shown on draft copies
as expense items.
2. GAB will forward its recommendations regarding claim payments to the City of
Wichita Falls for final disposition including payment.
3. Additional services included in this contract for service are as follows:
a. GAB will provide a Key Account Representative at Wichita Falls, Texas.
Key Account Representative will provide liaison between City of Wichita
Falls, their representatives and GAB.
4. The contract price payable to GAB shall be determined in accordance with the
following:
a.GAB's charges shall be $122.50 per occurrence for Auto Liability, and
143.50 per occurrence for General Liability claims. The customer will be
billed for each individual file and bill will be submitted with closing report.
Customer will pay each invoice as submitted.
Contract Continuation Page 3 of 4
GAB Contract Services
b. It is mutually agreed and understood that during the term of this agreement
GAB is the only claims administrator of City of Wichita Falls in connection
with Auto Liability claims. All new notices of such claims during the terms
of this agreement will be forwarded only to GAB for the purpose of
providing administrative, investigative and adjustment services, and City of
Wichita Falls shall not administer such new claims or forward or assign new
notice to any claims administrator or person other than GAB, excepting
cases where there is apparently no liability on the part of City and these
cases will not be assigned to anyone except City attorney or Risk
Management Administrator. Any occurrence forwarded to GAB more than
30 days after date of loss shall be handled on a Time and Expense basis per
GAB prevailing pricing schedule.
c. GAB shall at reasonable times and during normal business hours, either
through its own employees or through its accountants or auditors, have the
right to inspect the books and records of City of Wichita Falls for the sole
purpose of verifying total number of claims.
5.The contract covers the initial period of twelve (12) months stated herein. Any
continuation or renewal shall be the subject of further negotiation between the
parties. If the contract is not renewed, City of Wichita Falls shall exercise one of
the following options:
a.City of Wichita Falls may require GAB to conclude the handling of all open
claims occurring during the contract period.
b.City of Wichita Falls may require GAB to return all open files at the
expiration of the contract.
6. At the conclusion of the terms of this contract, an accounting shall be made
subject to paragraph 3a of the amount due either party under the terms of the
contract but in no event shall the payment of the amount due either party be
deferred beyond August 31, 1983.
7. Indemnity Agreement - City of Wichita Falls agrees that it will defend and
indemnify GAB against all claims, demands, proceedings, actions, damages, costs,
and expenses to which GAB may be subjected as a consequence of fulfilling its
obligations under this agreement, if not caused by the willful misconduct or
negligence of GAB employees, whether or not caused by the willful misconduct or
negligent acts of City of Wichita Falls or its employees.
8. Indemnity Agreement - GAB agrees that it will defend and indemnify City of
Wichita Falls against all claims, demands, proceedings, actions, damages, costs, and
expenses, to which City of Wichita Falls may be subjected solely as a consequence
of the willful misconduct or negligent acts or omissions of GAB, its employees or
servants in connection with fulfilling its obligations under this ageement.
Contract Continuation Page 4 of 4
GABContract Services
9. During the period of this agreement, and for a period of one (1) year thereafter
GAB agrees not to solicit for employment, or employ, any City of Wichita Falls
employee contacted during the performance of this agreement; and City of Wichita
Falls agrees not to solicit for employment or employ during the period of this
agreement and for a period of one (1) year thereafter any employee of GAB
contacted by City of Wichita Falls during the performance of this agreement.
10. It is agreed that this contract shall be interpreted and construed in accordance with
the laws of the State of Texas.
11. The provisions set out herein constitute the whole and entire agreement between
the parties hereto and may be altered only by mutual agreement, reduced to
writing and executed by authorized officers of both pa rties.
GAB BUSINESS SERVICES,
INC.
By: 0470 !
Senior Vice President7/1')/-
Gt j G
Datefitness
CITY OF' WICHITA FALLS, TEXAS
By:
Witness Date