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a. Payments by local agencies and Railroads for right-of-way acquired <br />for the Project, including the cost to local agencies of acquisition and any <br />relocation costs of residents or business establishments. <br />b. The amount of damages awarded against local agencies or Railroads <br />for inverse condemnation pursuant to Article 1, Section 14 of the Constitu- <br />tion of the State of California, due to closure of any existing grade <br />crossings; provided, however, that the suit or cause of action against <br />Railroads was filed in a court of competent jurisdicton within three (3) <br />years of the closure of said grade crossing, or, in the alternative, Railroads . <br />filed with local agencies, within three (3) years of the closure of said <br />crossing, a notice of claim by third persons against Railroads for inverse <br />condemnation due to closure of said crossings. <br />c. The costs of defending against such inverse condemnation claims <br />including, but not limited to, attorneys' fees, the costs of staff employees, <br />trial expense, such as transcripts of testimony, fees for expert witnesses, <br />and the expense of any appeals. <br />6. Local agencies shall be responsible for defending against all claims, <br />suits, or actions brought for or on account of inverse condemnation; provided, <br />however, that when inverse claimant has not filed an action against local <br />agencies in accordance with law, claims against Railroad shall be defended <br />by City only if the suit or action was filed in a court of competent jurisdiction <br />against Railroad within three (3) years of the closure of said grade crossings <br />or, in the alternative, Railroads filed with local agencies, within three (3) <br />years of the closure of said grade crossings, notice of claim by third <br />persons against Railroad for inverse condemnation due to closure of said <br />grade crossings. Local agencies agree to defend and contribute, as set <br />forth above, only insofar as they may legally do so in light of applicable <br />provisions of the Constitution of the State of California. <br />7. Following the completion of each of the new or reconstructed WP grade <br />separations, local agencies shall quitclaim to WP any and all interest of <br />local agencies in and to the former grade crossing or separation structure, <br />10 <br />