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INSURANCE NOi' R€ QUIRED <br />WORK MAY PROCEED <br />CLERK Or COUNCIL <br />nATG <br />A-2018-110 <br />MAY 0 2 7919 <br />SETTLEMENT AGREEMENT AND MUTUAL RELEASE OF ALL CLAIMS <br />(`}`, CAO Co) <br />THIS SETTLEMENT AGREEMENT AND MUTUAL RELEASE (this "Agreement"), <br />is made and entered into on April _, 2018 by and between THE CITY OF SANTA ANA, a <br />Charter City and municipal corporation ("Plaintiff' or the "City") on the one hand, and <br />PHOENIX GROUP INFORMATION SYSTEMS ("Defendant" or "Phoenix"), on the other <br />hand. Plaintiff and Defendant are sometimes referred to herein as "the Parties"; and individually <br />as a "Party". Except with regards to the obligations herein, this Agreement shall release Plaintiff <br />and Defendant from any and all claims against each other for injunctive relief, damages of any <br />nature and in any amount, attorneys' fees, litigation costs and all other forms of liability or relief <br />in federal court, any state court, and/or in any administrative proceeding relating to the Lawsuit <br />as defined below. <br />This Agreement is made with reference to the following facts: <br />RECITALS <br />A. On or around June 26, 2017, Plaintiff filed a Complaint against Defendant for <br />Breach of Contract, Account Stated, and Open Book Account. The Complaint is pending in the <br />Superior Court of California, County of Orange as City of Santa Ana v. Phoenix Group <br />Information Systems, Case No. 30-2017-00928452-CU-SC-CJC. On or around July 25, 2017, <br />Defendant filed a Cross -Complaint against Plaintiff for Breach of Contract, Breach of the <br />Covenant of Good Faith and Fair Dealing, Promissory Estoppel, Account Stated, Open Book <br />Account, and Unjust Enrichment. The Cross -Complaint is also pending in the Superior Court of <br />California, County of Orange as City of Santa Ana v. Phoenix Group Information Systems, Case <br />No. 30-2017-00928452-CU-BC-CJC , (Collectively, the foregoing Complaint and Cross - <br />Complaint are referred to herein as the "Lawsuit"). Both Plaintiffs and Defendant's claims in the <br />Lawsuit arise out of the Agreement for Automated Parking Citation Processing and Equipment <br />(the "Parking Citation Processing Agreement") entered into between Plaintiff and Defendant <br />whereby Plaintiff would pay Defendant to provide automated parking citation and processing <br />services. <br />B. The Parties and their attorneys of record have engaged in extensive good faith <br />discussions and have had a sufficient opportunity to evaluate the merits of their respective claims <br />and positions. <br />C. As a result of those negotiations, and in order to avoid the time, expense and <br />uncertainty of litigation of this matter, the Parties desire to end the Lawsuit and to settle and <br />resolve and forever release, to resolve all of the outstanding claims and disputes between them, <br />including but not limited to claims arising out of the Lawsuit on the terms and in the manner set <br />forth in this Agreement. <br />