FRANCY, CHRISTOPHER ON BEHALF OF PURPLE HOLLISTIC

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UdSURANCE NOT REQUIRED WORK MAY PROCEED CLERKOI COUNCIL, Ilxtr�, MAR 1 8 7Q19 D ho as, Q,, N ,W — SETTLEMENT AGREEMENT AND RELEASE OF ALL CLAIMS N-2018-039 This Settlement Agreement and Release of All Claims (hereinafter "Agreement") is made and entered into by and between CHRISTOPHER FRANCY, on behalf of PURPLE HOLLISTIC (hereinafter referred to as "Applicant"), and the CITY OF SANTA ANA a municipal corporation and charter city (hereinafter referred to as "City"). At times hereinafter, Applicant and City are collectively referred to herein as "the Parties" or individually as a "Parry". RECITALS: WHEREAS, Applicant has a pending application with the City for (a) a medicinal cannabis retail business Regulatory Safety Permit (RSP), and (b) an adult -use cannabis retail business RSP. WHEREAS, Applicant completed its application for a medicinal RSP at 1901 E. Carnegie Ave., Unit A, in a timely manner on August 3, 2017 and paid all associated fees. Applicant has not been able to open this location due to a dispute with the owner's association. WHEREAS, while the Applicant's medicinal RSP application was pending, Applicant timely completed and submitted an application for an adult -use cannabis retail business RSP at 2904 South Oalc Street on December 14, 2017. WHEREAS, the Parties have agreed that Applicant's application for an adult -use RSP will be processed for the premises located at 2904 South Oalc Street in lieu of the premises located at 1901 E. Carnegie Ave., Unit A. The City will process the Applicant's adult -use RSP for the premises located at 2904 South Oak Street in accordance with Section 40-9(1)(a) of the Santa Ana Municipal Code, without consideration of the merit based point system on the same terms and conditions as all existing RSP holders or those who were applying for an adult-useRSP under 40-9(1)(a). WHEREAS, Applicant represents that he has full legal authority to bind Purple Hollistic to the terms and conditions of this Agreement. WHEREAS, Applicant has agreed to surrender the right to obtain the medicinal cannabis retail RSP at 1901 E. Carnegie Ave., Unit A. Applicant agrees that the City shall remove this Carnegie location from the medicinal cannabis retail waitlist, thereby opening up a position for the next location on the waitlist to be selected. Applicant hereby forever relinquishes its waitlist position for the medicinal cannabis retail RSP. WHEREAS, on February 6, 2018, the City Council voted to the terms and actions set forth in these Recitals and this Agreement to resolve this dispute. WHEREAS, the Parties desire to settle fully and finally and compromise all disputes and all differences between them, including, but in no way limited to, those differences described above. It is the intent of the Parties for this Agreement to establish the terms of a full and complete resolution of this matter.