nereby grant a covenant to the City thac: the Lands shall not be used im a manner which damages the adjacent highway; th Lands shall be used in accordance with the terms and conditions of Schedule "i" hereto; the Lands shall be used in an integrated manner with the Encroachment Area defined in Schedule "1" hereto: and the Lands shall only be used and developed in accordance with the bylaws of the City as they may be from time to time. A subsequent reference in this Covenant CoO a term defined in Schedule "1" includes a reference to the definition of that term in Schedule "1", ; 2. The restrictions and covenants in this Covenant are covenants running with the Lands. 3. Nothing in this Covenant affects the City’s rights and powers in the exercise of its Statutory functions under its statutes, bylaws, resolutions, orders and regulations, all of which may be fully exercised in relation to the Lands as if this Covenant had not been granted. 4.(1) The Covenantors indemnify and save harmless the City from all loss, damage, costs, suits and actions and claims of any kind, however caused, whether known or unknown, arising out of or in anv way connected with: the grant of this Covenant, including without limitation, the permission to encroach; the existence and use of the Encroachment Area; the construction, maintenance, existence, use or removal of the Works; or any injury to person (including bodily injury or death or damage to ocr loss of property on or about the Encroachment Area). (2) The indemnity in Subsection (1) includes, without limiting the generality of the foregoing, a claim for loss or injury to persons or to property due to the Covenantors’ negligence or to the Covenantors’ failure to comply with the City’s bylaws or any one of them or with any provision of this Covenant. 5. No finding of negligence, whether joint or severai, as against the City in favour ofa PAGES Party in an action to which of