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SPECIAL LEGAL COUNSEL SERVICES AGREEMENT <br />This AGREEMENT, made and entered into this _ day of May, 2015, by and between <br />Richards, Watson & Gershon, a California Professional Corporation ( "Attorneys "), and the City <br />of Santa Ana, a charter city and municipal corporation duly organized and existing under the <br />constitution and laws of the State of California ( "City "). <br />RECITALS <br />A. City desires to employ Attorneys to assist the in -house attorneys for the City ( "City <br />Attorney") in the provision of legal services to the City, and <br />B. Attorneys represent that they are licensed to practice law in the State of California, have <br />special experience and knowledge in the field of municipal litigation, specifically, marijuana <br />dispensary litigation and zoning regulation defense, and desire to undertake said services. <br />NOW THEREFORE, in consideration of the mutual and respective promises, and subject to the <br />terms and conditions hereinafter set forth, the parties agree as follows: <br />1. RETENTION OF ATTORNEYS City hereby agrees to and does retain Attorneys, for the <br />compensation hereinafter specified, to assist the City Attorney with a series of lawsuits filed against <br />the City challenging the constitutionality of the City initiative known as Measure BB — City <br />Establishment of Medical Marijuana Collectives and Cooperatives, which are entitled (1) <br />Edinger Marketing Center v. City of Santa Ana, Orange County Superior Court Case No. 30- <br />2015- 00769605, (2) Orange County Growers Association v. City of Santa Ana, Orange County <br />Superior Court Case No. 30 -2014- 00762130, (3) Terra Collective, Inc. v. City of Santa Ana, <br />Orange County Superior Court Case No. 30 -2014- 00762123, (4) Natures Holistic Alternative <br />Patients Association v. City of Santa Ana, Orange County Superior Court Case No. 30- 201,5- <br />00782237, (5) Live2Love OC, Inc. v. City of Santa Ana, Orange County Superior Court Case No. <br />30- 2014 - 00762124, (6) Cream Your Dreams, Inc. v. City of Santa Ana, Orange County Superior <br />Court Case No. 30- 2015 - 00781847, and (7) S.A.P.A. Enterprises, Inc. v. City of Santa Ana, <br />Orange County Superior Court Case No. 30 -2015- 00786325 (collectively, the "Actions "). Said <br />services may also include assisting with any other cases or matters involving Measure BB. <br />Attorneys accept said retention and agree to perfonn, in a timely and efficient manner, all such <br />services as may be requested by the City Attorney. Attorneys shall confmn their acceptance of <br />work requested by City in writing by e -mail or letter. <br />2. PAYMENT FOR SERVICES RENDERED <br />a. FEES City agrees to compensate Attorneys, and Attorneys agree to accept from <br />City, as and for payment in full for all services for the foregoing Actions, compensation at the rate <br />of $295 an hour for all attorneys and $145 -166 an hour for paralegal work. Time will be billed in <br />1 /10th of an hour increments. The total amount of this Agreement shall not exceed $500,000. <br />b. REIMBURSEMENT FOR COSTS City agrees to reimburse Attorneys for out -of- <br />pocket expenses, including but not limited to, mileage, expert; witness fees, copying costs, service of <br />process, and mail services authorized by the City Attorney in connection with the performance of <br />duties under this Agreement. Copying charges will be reimbursed at the rate of to cents per page. <br />25E -3 <br />