Town Attorney will be required to draft terms of the HHC Lease Agreement to protect TOWS

With respect to the White Springs Hope & Heritage Coalition (HHC) request to lease the Washington Carver School Property from the Town of White Springs, A formal contract will be required by the Town Council as determined and suggested by the Town Attorney.  In order to protect the Town and its citizens, insurance will be necessary, including the Town of White Springs as an Additional Insured and the inclusion of a hold harmless agreement.   As per HHC, it was questioned if necessary or as requested, so the Town will have a formal request within the contractual arrangement set forth.


Although the State of Florida limits the liability of a municipality to a combined limit of $300,000 Bodily Injury and Property Damage, the proposed Lessee’s liability does not have a waiver of governmental immunity unless there is a law pertaining to charitable immunity.  As such the Town Attorney and the Town Council shall have to determine the appropriate limit of liability insurance that the Lessee must carry.


The purpose of such requirements is to protect the Town of White Springs from any liability resulting from the ownership, maintenance and use of the Washington Carver Property.


It is prudent that our current Town Attorney has stated that  in order for the town Council to accept the lease arrangement, the appropriate contractual arrangement must be made with HHC as well as stipulating the insurance requirements applicable, including the Town of White Springs LISTED as an Additional Insured with a hold harmless agreement in place.


Our former attorney did not feel that a lease agreement of the Woman’s Center needed to include the Town as an Additional Insured  nor was she inclined to protect the Town of White Springs by requiring a Hold Harmless Agreement. This is commonplace and even homeowner insurers allow such under a short term lease; yet she seemed to feel that our citizens would not understand such an agreement.


With respect to the insurance clause, the Attorney may include some of the following terms:


InsuranceLessee shall, at its own expense, arrange and keep in force during the term of the Contract, with an insurer acceptable to and approved by the Town of White Springs the following Insurance:


(a) Comprehensive General Liability Insurance, on an occurrence basis,  including but not limited to the Lessee’s {White Springs Hope and Heritage Coalition (HHC)}  Operations, Contractors Protective Liability, Contractual Liability, Products and Completed Operations for an amount not less than $1,000,000 combined single limit of Bodily Injury, including death and Property Damage Liability coverage and a $2,000,000 General Aggregate limit. Defense must be provided outside of the limit of liability.



(b). The Lessee’s policy shall be endorsed to include The Town of White Springs , its affiliates, officers, directors, managers, volunteers and employees or other representative of the Town of White Springs as owner and its affiliates  as ADDITIONAL INSUREDS with said coverage to be primary and not on an excess basis or contributory.   



(c), Automobile Liability Insurance including Owned, Non-owned and Hired autos for an amount not less than $1,000,000 for Bodily Injury, including death and Property Damage is required.



A Certificate of Insurance evidencing all of the aforementioned insurance requirements shall be provided by the Insurer or the Insurer’s representative, to the Town of White Springs, prior to release of the Washington Carver School property to the lessee.  


Although I do not believe our Attorney would allow the following, such clauses have been shown in the contractual arrangement or lease.

 In the event that it becomes necessary for the Company to utilize the Customer’s insurance and there is or was no insurance in place at the time the incident requiring insurance, the Lessee agrees to pay all losses incurred by the Company including legal fees and all other expenses incurred by the lessor, the Town of White Springs, for such incident.


The Town Attorney may have to determine if the Town will require the following Additional Insured Endorsement or if one will be made for the Insurance Company to accept:



This endorsement lists the state or political subdivision as an insured with the insurance applying only with respect to operations performed by you or on your behalf for which the state or political subdivision has issued a permit.  The insurance does not apply to injury or damage arising out of the operations performed for the state or municipality or for injury or damage included within the products-completed operations hazard..



Liability coverage also may be amended to include as an insured any person or organization whom the Insured (HHC) agrees by contract, agreement or permit to provide coverage only with respect to the Additional insured’s liability arising out of the ownership, and maintenance or use of the covered premises.


Of course the Hold Harmless agreement is used to protect one party from liability due to the actions of another party. It is typically used in situation where services are being provided, a party is using the property of another, or when a party is participating in an activity hosted by another.



This is as information to all concerned so that when the Town Council is faced with suggestions by our attorney they may understand why certain terms are being required even if from a Charitable Organization.