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($5,000,000); and <br />(e) A governmental entity or an employee of a governmental entity acting within the <br />scope of employment is not liable for punitive damages. <br />The Parties hereto understand and agree that Ground Lessee shall enter into a separate <br />agreement with SNM related to SNM's operation and management of the Studebaker Museum. <br />Ground Lessee hereby agrees that it shall require that SNM carry adequate levels of worker's <br />compensation, property and casualty insurance insuring the Improvement against loss by fire or <br />other casualty and comprehensive general liability insurance, and that the City of South Bend <br />and Ground Lessor be named as additional named insured. Ground Lessee shall require that each <br />insurance policy obtained by SNM pursuant to this provision shall be written by an insurance <br />company or companies licensed to do business in Indiana and shall provide Ground Lessee and <br />Ground Lessor with a certificate evidencing said coverage. Further, any certificate of insurance <br />shall require that written notice of cancellation or material change in the corresponding policy <br />shall be delivered to Ground Lessee and Ground Lessor at least forty -five (45) days in advance <br />of the effective date of the cancellation or material change. <br />Section 9. CONDITIONS OF GROUND LEASE. <br />9.1 Design. The Improvement shall be constructed consistent with the size, design <br />and materials that have been disclosed and that are described in the plans and specifications of <br />James E. Childs & Associates dated <br />9.2 Connection. The Ground Lessee shall construct or install and maintain doors in <br />compliance with all building and fire codes at the point where the Improvement meets the <br />existing Center for History so as to separate the Improvement from the Center for History. Such <br />doors shall be capable of being closed and securely locked as deemed appropriate from time to <br />time by SNM and Ground Lessor. <br />9.3 Operating Costs. Ground Lessee warrants the Improvement has been designed <br />and will be constructed, along with the Studebaker Museum, in such a manner so that there is no <br />increase in operating costs to Ground Lessor in or as a part of its existing facilities as a result of <br />the products of any utility services being in any way diverted, drained, or increased in demand as <br />a result of the Improvement being constructed and connected to the Center for History. <br />9.4 Repairs. All costs incurred in repairing, restoring and finishing any property of <br />Ground Lessor, including but not limited to any damages of any kind to any of Ground Lessor's <br />improvements and structures (floors, foundation, exterior and interior walls, ceiling, roof, utility <br />equipment and services, landscaping, walkways and parking lots), as a result of any and all <br />construction by Ground Lessee of the Improvement or the Studebaker Museum, the existence or <br />operation of the Improvement or Studebaker Museum, shall be in quality and standard <br />acceptable to Ground Lessor and consistent with the existing building and property design, <br />quality and materials. <br />-6- <br />