LAWS

6.1 Compliance with Laws

The Contractor shall, in all matters arising in the performance of the Works, conform
in all respects with the provisions of the Laws and shall keep the Employer
indemnified against all penalties and liabilities of every kind for breach of any such
Laws.

6.2 Bahrain Register of Commerce

The Contractor shall comply with the Laws under which all persons and companies
engaged in business in Bahrain are required to be registered in the “Register of
Commerce”. Persons or companies not entered in the register are not permitted to
carry out business in Bahrain. The Laws require that any firm wishing to carry out
business in Bahrain shall make application to the Directorate of Commerce and
Companies’ affairs in the Ministry of Industry and Commerce of the Government not
later than one (1) month after or earlier than three (3) months before starting business.

6.3 Prevention of corruption

Any commission, advantage, gift, gratuity, reward or bribe given, promised or offered
by or on behalf of the Contractor or any employee, agent or representative or any other
person on its or their behalf to any officer, servant, representative or agent of the
Employer or of the Engineer or to any person on their behalf or on behalf of any of
them in relation to the obtaining or to the execution of the Contract or of any other
contract with the Employer shall, in addition to any criminal liability which may be
thereby incurred, subject the Contractor to the termination of its employment under the
Contract and under all other contracts which it may have entered into with the
Employer and also to the payment of any loss or damage resulting from such
cancellation. The Employer shall be entitled upon a certificate to the Engineer to
deduct the amounts so certified from any monies due to the Contractor under the
Contract or any other contract or to recover the said amounts as a debt due or partly the
one and partly the other as the Employer shall deem advisable.

INDEMNITY AND INSURANCE

7.1 Indemnity

The Contractor shall be liable for and shall indemnify the Employer and its agents
against any expense, liability, loss, claim or proceedings whatsoever arising under any
Law or otherwise in respect of personal injury to or death of any person whomsoever
or material or physical loss of or damage to any property whatsoever arising out of or
in the course of or in consequence of the performance of the Works, unless due to any
act or neglect of the Employer or of any person for whom the Employer is responsible.

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