California · Public Contract Code - PCC
PCC §9201: (a) A public entity shall have full authority to compromise or otherwise settle any claim relating to a contract at any time.
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(a) A public entity shall have full authority to compromise or otherwise settle any claim relating to a contract at any time. (b) The public entity shall include provisions in a public works contract for timely notification of the contractor of the receipt of any third-party claim, relating to the contract. (c) The public entity shall be entitled to recover its reasonable costs incurred in providing the notification required by subdivision (b).
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