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DocuSign Envelope ID: 3B99AD9E-11B9-4253-A93B-5A95508756C9 F. From approximately June to September 2022, the Parties were involved in administrative proceedings relating to MW's appeal of the City's denial of MW's COO application. Upon the disposition of MW's appeal and, for the period from approximately September 2022 to January 2023, MW and the City exchanged a series of communications regarding the conditions under which the City would agree to issue a COO for MW to use and occupy the Property. However, the Parties were unable to reach an agreement in this regard. G. On January 30, 2023, in U.S. District Court for the Central District of California, Southern Division (the "Court"), MW filed that certain "Complaint for (1) Violation of Religious Land Use and Institutionalized Persons Act and (2) Violation of First Amendment to the United States Constitution" (the "Complaint") against the City and thereby commenced that certain civil action entitled Micah's Way v. City of Santa Ana, Case No. 8:23-CV-00183-DOC-KES (the "Action"). H. The Parties recognize that continued litigation between them would require substantial time, effort, and expense unless the Action is settled and dismissed without prejudice in accordance with the terms and conditions set forth below. I. Accordingly, without waiving, releasing, abandoning, or in any way precluding any of their respective rights, privileges, claims, or defenses that are based upon, arise out of, or otherwise relate to the Religious Land Use and Institutionalized Persons Act ("RLUIPA" )„ the U.S. Constitution, the California Constitution, the Santa Ana Municipal Code, or any other applicable statutes, laws, or regulations (collectively, the "Applicable Laws"), the Parties wish to enter into this.Agreement to (1) avoid the expense, inconvenience, and uncertainty of litigation and (2) set forth the terms and conditions pursuant to which the City will issue a COO to MW for the use and occupancy of the Property. NOW, THEREFORE, in light of the foregoing Recitals which are incorporated herein as part of this Agreement, and in consideration of the representations, warranties, promises, covenants, and releases contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree to the following terms and conditions: TERMS AND CONDITIONS 1.0 Court's Entry of Stipulated Order. 1.1 Entry of Stipulated Order Is Condition Subsequent. This Agreement shall be subject to and conditioned upon the Court's entry of the Stipulation and [Proposed] Order Dismissing Action and Retaining Jurisdiction to Enforce Settlement Agreement (the "Stipulated Order"), a copy of which is attached as Exhibit "A" hereto and is incorporated herein. In this regard, the Parties' respective duties and obligations set forth in Section 3 of this Agreement shall only become effective upon the date on which the Court enters the Stipulated Order.