HomeMy WebLinkAboutEAST END REALTY PARTNERSHIP, LP AND WURSTHAUS, INC. (2) INSURANCE NOT ON FILE N-2024-214
WORK MAY NOT PROCEED
CITY CLERK
DATE:
JUL 01 2024
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CITY OF SANTA ANA
OUTDOOR DINING LICENSE AGREEMENT
WITFI WURSTIIAUS, INC.
This OUTDOOR DINING LICENSE AGREEMENT (hereinafter "License Agreement" or
"License"), entered into this 18th day of June, 2024, by and between the City of Santa Ana, a charter
city and municipal corporation of the State of California (hereinafter "City"), and East End Realty
Partnership, LP, and Wursthaus, Inc. (hereinafter collectively"Licensee"), is made with reference to
the following:
RECITALS
WHEREAS,City owns certain real property located at 325 E.4ch Street; and
WHEREAS, the property is currently used as a public plaza maintained by the Parks,
Recreation, and Community Services Agency and the public plaza is known as Plaza Calle Cuatro (
the "Plaza")as more particularly described in Exhibit A; and
WHEREAS, City and Licensee desire to enter into a License Agreement to allow temporary
outdoor dining activities within a portion of the Plaza, upon the terms and conditions set forth herein,
adjacent to real property located at 301-305 E. 411' Street, Suite 106, City of Santa Ana, County of
Orange, State of California(the "Property") which is further described in Exhibit B;and
WHEREAS, City and Licensee had a prior agreement(N-2022-362) licensing the same space
to the same Licensee.
WHEREAS, the prior agreement between the parties expired November 30,2023,
WHEREAS, Licensee has remained on the Property since the expiration of the prior
agreement,
WHEREAS, the approval of this License Agreement is to implement outdoor dining activities
directly associated with a business having frontage along and sharing a property line with the Plaza.
•
• NOW,THEREFORE, it is mutually agreed by and between the undersigned parties as follows:
1. TERM AND PURPOSE OF LICENSE
The City hereby grants to Licensee upon each.of the covenants and conditions set forth herein
commencing on June 18, 2024 (hereinafter "Commence Date"), and ending on November 30, 2024,
or earlier termination as herein set forth, a license to conduct outdoor dining activities within an open
area consisting of 250 square feet located near the southwest corner of the Plaza adjacent to certain
real property located at 301-305 E. 4th Street, Suite 106, in the City of Santa Ana, County of Orange,
State of California, more particularly described in Exhibit C attached hereto and incorporated herein
by reference (hereinafter referred to as the "Licensed Premises"). This Agreement is intended and
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shall be construed only as a revocable license to use the Licensed Premises and not as a lease or grant
of any possessory or other interest,
2. LICENSED PREMISES AND USE
(a) The Licensed Premises covered by this License Agreement shall be only such as
described in Paragraph 1 and Exhibit C hereto, Licensee shall not use any premises or property that is
not specifically described herein. The products Licensee shall dispense on the Licensed Premises are
food and beverage products only.
•
(b) Licensee shall at all limes comply with all City regulations and any applicable Outdoor
Dining Ordinance Standards and Procedures on file with the City's Public Works Agency and as
provided to the Licensee as part of this License Agreement,
(c) The Licensed Premises may not be used by Licensee when in use by the City for City-
sponsored events upon at least 24 hours notice provided by the City. Such notices shall provide the
Licensee information regarding day(s) and hour(s) and duration of the event. Licensee shall elem.
Licensed Premises of flunishings and shall not impede City use of the Licensed Premises when
notified of all such events.
(d) From time to time, the Plaza will be rented for temporary private use by the public through
the City's public facility reservation program. Licensee may continue the use of the Licensed
Premises as described in this Agreement and shall not infringe, disturb, prohibit, or impede all
activities approved by the City under the program that may include but are not limited to outdoor
concerts with amplified sound,parties, fairs,and specialty pop-up events.
(e) Licensee shall not use, and shall prohibit its Agents or Invitees from using, the
Licensed Premises other than for the uses described in this Agreement, 'the term"Agents" shall mean
Licensee's officers, directors, members, agents, employees, invitees, contractors, subcontractors, and
any employees of such parties. The term "Invitees"shall moan Licensee's invitees,guests,customers,
or business visitors,
3, LICENSE FEE
(a) Upon execution of the License Agreement, Licensee shall pay to the City, an annual
non-rollmdable outdoor dining license fee as established by the Miscellaneous Fee Schedule, which
for FY2023-2024 is $1.02 per square foot for a total of$255. Payment to the City shall be made
payable to the order of the"City of Santa Ana" and delivered to the Parks, Recreation& Community ,
Services Department.
(b) The License Fee paid wider this License Agreement contemplates Licensee's continued
use of the Licensed Premises since December 1,2023.
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4, EOUIPMENT
(a) Licensee shall, at its sole cost and expense, provide portable furnishings including
chairs, tables, umbrellas, and if desired, decorative barriers, No permanent barriers, fixtures, or
flunishing will be permitted,however,Licensee shall be allowed to drill into the Licensed Premises, as
necessary, to install temporary fencing, as approved by the City, which can be easily removed by
Licensee when the Plaza is reserved for other events,
(b) All equipment and furnishings and the cost of their installation shall be provided at the
solo expense of the Licensee, All such equipment used within the Licensed Premises,shall be deemed
to be Licensee's personal property,and shall be removed immediately by Licensee every day when the
business is not open to the public and at the termination or expiration of this License Agreement, •
(c) Licensee shall not modify the Licensed Premises in any manner,
(d) At the termination or expiration of this Agreement, concurrent with removal of
Licensee's fixtures and equipment, Licensee, at its own expense, shall return the Licensed Premises to
its original condition to the satisfaction of the Executive Director of the Parks, Recreation &
Community Services Agency(or designee).
5. UTILITIES
The Licensee shall pay all charges for that, gas, water, electricity, telephone services, and any
other utilities necessary to carry on the operations of Licensee. Licensee may apply to the City's
Building and Safety Division for a permit to run electricity to the outdoor dining urea. Such permit
would be for a lighting plan, which abides by the requirements in the City's Outdoor Dining Standards
and Procedures and pertinent City codes,
6. FOOD AND BEVERAGES !
(a) All food and beverages for consumption on Licensed Premises sold or kept for sale by
Licensee shall conform to federal, state, county and municipal food laws,ordinances and regulations
In all respects.
(b) No adulterated, misbranded, or impure food or beverage shall be sold or kept for sale
by Licensee, and all food or beverage shall be stored and handled with due regard for sanitation,
Licensee shall not sell, givo away, or serve any food or beverage in the outdoor dining area in any
container made from styrofoam or any other material which,in the sole opinion of the City,will cause
undue litter on or around the Licensed Premises. The sale of alcoholic beverages is allowed if in
compliance with all applicable federal,state and City statutes, regulations, odes and ordinances. i
7. MAINTENANCE AND MAINTENANCE DEPOSIT
(a) Licensee shall maintain the Licensed Premises in a neat, clean, sanitary and safe
condition, to the satisfaction of the City, at the sole cost and expense of the Licensee. At its sole cost,
Licensee shall, at the expiration or earlier termination of this Agreement, restore the Licensed
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•
Premises to their original condition in which they existed immediately prior to the Agreement, leave
the Licensed Premises in a neat and clean condition to the sole satisfaction of City, free of trash and
debris, and remove all property and materials of Licensee.
(b) Upon execution of the License Agreement, Licensee shall provide a maintenance
deposit in the form of a cash deposit to the Parks,Recreation & Community Services Agency in the
amount of One Thousand ($1,000.00). The parties acknowledge that Licensee has previously
provided this deposit in connection with the prior agreement.
1, Said deposit shall be held by the City, without liability for interest, as security
for the faithful performance by Licensee of terms, covenants and conditions of
this Agreement pertaining to Licensee's maintenance of Licensed Premises.
2, During the term of this License Agreement, the City shall have the right, at its
option, to appropriate and apply the entire maintenance deposit or so much •
thereof as may be necessary to compensate the City for all damage or repairs to
the Licensed Premises due to breach of this covenant on the part of Licensee.
Should the entire deposit or any portion thereof be appropriated and applied by
the City hereunder, Licensee shall, upon written demand of the City, forthwith
remit to the City sufficient amount to restore said outdoor dining area
maintenance deposit to the original sum deposited, Licensee's failure to do so
within five(5)days after receipt of such demand shall constitute a breach of this
Agreement. The rights and remedies granted to City pursuant to this Paragraph
are in addition to City's other remedies as provided in this License Agreement
and by law. The deposit will be refunded upon termination of the License
Agreement after an inspection of the condition of the LicensedPremises,paving
and fixtures by the City's Parks, Recreation & Community Services
Department,
S. GARBAGE AND RUBBISH
Licensee's management shall keep the Licensed Premises clear of litter, food scraps and soiled
dishes and utensils. No boxes, barrels,supplies or rubbish in any form shall be kept,piled or stored in
the Licensed Premises or surrounding areas. As required by the City, Licensee shall provide standard
garbage receptacles, shall place therein all garbage and refuse, and shall arrange with the City's
Sanitation Division or other approved contractor for collection from an approved location at
Licensee's expense. If disposable materials are used, the Licensee shall comply with all applicable
City recycling programs.
9. WARRANTIES,ALTERATIONS AND REPAIRS
City makes no representation or warranty of any kind as to the condition of the Licensed
Premises or any other matter relating to Licensee's use of the Licensed Premises, Licensee hereby
disclaims and waives any and all objections to the physical and other characteristics and conditions of
the Property, Licensee acknowledges and agrees that the use of the Licensed Premises will be on the
basis of Licensee's own investigation of the condition of the Licensed Premises, The license to use
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the Licensed Premises is granted on an"AS-IS," "WITH ALL FAULTS" basis,without representation
or warranty expressed or implied by City, or by operation of law, City expressly disclaims, which
Licensee hereby acknowledges and accepts, any implied warranty of condition or fitness for a
particular purpose or use, Licensee's use of the Licensed Premises shall be subject to the Licensed
Premises being in a usable and safe condition at the time of Licensee's use, and Licensee shall be
solely responsible for determining whether the Licensed Premises are in such condition, In connection
therewith, in the event that the Licensed Premises or access thereto are damaged or obstructed, or the
use by Licensee is otherwise impaired, prevented or limited, City shall have no obligation or duty to
repair the damage or rectify the condition to make the Licensed Premises usable or safe.
Licensee shall not make any changes or remove any portion of the Licensed Premises without
first securing the prior consent of the Executive Director of the Parks, Recreation & Community
Services Department (or designee). All such approved changes or removals shall be at the sole
expense of Licensee,
10. SIGNS,UMBRELLAS,MUSIC AND MERCHANDISE
Licensee shall be allowed to use free-standing umbrellas provided they meet the City's
Outdoor Dining Standards and Procedures for placement and maintenance. No signs or advertising
matter of any kind shall be displayed in the outdoor dining area, except as approved by the City's
Planning Department. Unamplified musical instruments or sound reproduction systems are permitted
in outdoor dining areas,but shall be maintained at sufficiently low volumes so as not to unduly intrude
on neighboring businesses,residents,or users of the public right-of-way and the Licensed Premises,
It. CONDUCT
Licensee shall at all times conduct its business or operate its business in a quiet and orderly
manner to the satisfaction of the City.
12. NO LIENS
Licensee shall not permit any mechanic's', materialmen's or other liens of any kind or nature
("Liens") to be filed or enforced against the Licensed Premises or Property in connection with this
Agreement. Licensee shall indemnify, defend and hold harmless City from all liability for any and all
liens, claims and demands, together with costs of defense and reasonable attorneys' fees, arising from
any Liens. City reserves the right, at its sole cost and expense, at any time and from time to time, to
post and maintain on the Licensed Premises or Property, or any portion thereof, or on the
improvements on the Property, any notices of non-responsibility or other notice as may be desirable to
protect City against liability.
13. INGRESS AND EGRESS
The City reserves the right to enter upon the Licensed Premises covered by this License
Agreement at any and all times during the term of this License Agreement. No merchandise may be
stored or displayed on or about the Licensed Premises.
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14. TAXES
(a) The Licensee shall exonerate, indemnify, and hold harmless the City from and against,
and shall defend the City from and against, and shall assume full responsibility for, payment of all
wages or salaries and all federal, state, and local taxes or contributions imposed or required under the
Unemployment Insurance, Social Security, Income Tax laws, Workers' Compensation laws, or other
laws with respect to the Licensee's employees engaged in the performance of Licensee's obligations
and operations hereunder.
(b) Licensee hereby recognizes and understands that this License Agreement may create a
possessory interest subject to property taxation and that Licensee may be subject to the payment of
property taxes levied on such interest. Any such imposition of a possessory interest tax shall be a tax
liability of Licensee solely, and shall be paid for by the Licensee; and any such tax payment shall not
reduce any payments due City hereunder. In addition, Licensee shall pay any personal property taxes
that may become due for equipment fixtures, inventory, or other personal property installed,
maintained or present on the Property.
15. INSURANCE REOUIIIEMENTS
Licensee shall procure and maintain for the duration of the License Agreement and shall
require any subcontractors to obtain and maintain the following insurance coverages:
(a) Minimum Scope and Limit of Insurance
(1) Commercial General Liability (CGL). Insurance Services Office ("ISO") Form
CO 00 01 covering COL on an "occurrence" basis, including products and
completed operations, property damage, bodily injury and personal & advertising
injury with limits no less than$2,000,000 per occurrence and$4,000,000 aggregate,
(2) Automobile Liability. ISO Form Number CA 00 01 covering any auto (Code 1),
or if Licensee has no owned autos, hired, (Code 8) and non-owned autos (Code 9),
with a limit no less than $1,000,000 per accident for bodily injury and property
damage.
(3) Liquor Liability. With limits of not less than $1,000,000 per occurrence and
$2,000,000 aggregate for bodily injury and property damage arising from selling,
serving,distributing,storing,or furnishing of any alcoholic beverage by Licensee or
any of Licensee's employees, representatives, agents or subcontractors under this
License,
(4) Workers' Compensation. As required by the State of California, with Statutory
Limits, and Employer's Liability Insurance with limit of no less than $1,000,000 •
per accident for bodily injury or disease,
(5) Sexual Abuse or Molestation (SAML). If the COL policy referenced above is not
endorsed to include affirmative coverage for sexual abuse or molestation, Licensee
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shall obtain and maintain a policy covering sexual abuse and molestation with a
' limit of no less than$1,000,000 per occurrence or claim,
(6) Broader Coverage, If the Licensee maintains broader coverage and/or higher
limits than the minimums shown above, the City requires and shall be entitled to the
broader coverage and/or the higher limits maintained by the Licensee. Any
available insurance proceeds in excess of the specified minimum limits of insurance
and coverage shall be available to the City,
(b) Other Insurance Provisions
The above required insurance policies are to contain or be endorsed to contain the
following provisions:
(1) Additional Insured Status. The City, its officers, officials, employees, and
volunteers are to be covered as additional insureds on the policies required above
with respect to liability arising out of work or operations performed by or on behalf
of the Licensee including materials, parts, equipment, and personnel furnished in
connection with such work or operations.
(2) Waiver of Subrogation. Licensee shall require its insurance company(ies)agree(s)
to waive all rights of subrogation against City, its City Council, its officers,
officials, employees, agents, and volunteers for losses paid under the terms of any
policy which may arise from work performed by Licensee under this Agreement.
This provision applies regardless of whether or not the City has received a waiver
of subrogation endorsement from the insurer.
(3) Primary Coverage. For any claims related to this contract, the Licensee's
insurance coverage shall be primary and any insurance or self-insurance maintained
by City, its City Council, its officers, officials, employees, or volunteers shall be •
excess of the Licensee's insurance and shall not contribute with it.
(4) Severability. A severability of interest provision must apply for all the additional
insured, ensuring that Licensee's insurance shall apply separately to each insured
against whom a claim is made or suit is brought,except with respect to the insurer's
limits of liability,
(5) Notice of Cancellation. insurance policy(ies) herein shall provide that coverage
shall not be canceled, suspended, voided, reduced in coverage or in limits, non-
renewed by the carrier, or materially changed except after Chitty (30) days prior
written notice has been given to City. Ten (10) days prior written notice shall be
provided to City for policy cancellation or non-renewal due to non-payment,
(6) Certificate Holder, The Certificate Holder on each Evidence of the insurance
certificate shall be: City of Santa Ana, Attn: (name of department staff
responsible for agreement),20 Civic Center Plaza,Santa Ana&I-XX(responsible
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staffs department mail box), CA 92701. The name and location of project must
be included in the Description of Operations section of each certificate.
(c) Acceptability of Insurers. Insurance is to be placed with insurers authorized to
conduct business in the state with a current A.M. Best's rating of no less than A:VII,
unless otherwise acceptable to the City.
(d) Verification of Coverage. Licensee shall furnish the City with original Certificates of
Insurance including all required amendatory endorsements (or copies of the applicable
policy language effecting coverage required by this clause) and a copy of the
Declarations and Endorsement Page of the CGL policy listing allpolicy endorsements to
City before work begins. However, failure to obtain the required documents prior to the
work beginning shall not waive the Licensee's obligation to provide them. The City
reserves the right to require complete, certified copies of all required insurance policies,
including endorsements required by these specifications, at any time.
(e) Special Events Coverage. Special events coverage is available and can be purchased
by Licensee. Use this link to learn more: ltttps:h2sparta.com/selip aoolication.php
(t) Special Risks or Circumstances. City reserves the right to modify these requirements,
including limits, based on the nature of the risk, prior experience, insurer, coverage, or
other special circumstances.
16. COMPLIANCE WITH LAWS AND ORDINANCES
Licensee shall, at its sole expense, conduct and cause to be conducted all activities on the
Licensed Premises in compliance with all laws, regulations, codes, ordinances and orders of any
governmental or other regulatory entity, and whether or not in the contemplation of the parties.
17. PERMITS AND LICENSES
Licensee shall be responsible for obtaining all approvals, licenses, permits and permissions of
Federal. State and local authorities, which may be necessary to implement Licensee's activities on the
Licensed Premises. Licensee agrees and acknowledges that nothing herein is intended, nor shall it be
interpreted, to bind the City to issue or grant any permits or entitlements needed to perform any work
or improvements specified in this Agreement.
18. PROHIBITION AGAINST TRANSFER
The permission, rights and privileges granted under this Agreement are non-exclusive and non-
transferable. Licensee shall not,either voluntarily or by operation of law, assign, transfer, mortgage or
encumber this License or any obligation, right, title or interest assumed by Licensee herein, without
the prior written consent of the City, which may be withheld at the sole discretion of the City.
Licensee shall not sublicense, or permit, or suffer the Property or any part thereof to be used or
occupied by others. If Licensee attempts an assignment or transfer of this License or any obligation,
right, title or interest herein. City may at its option, immediately terminate the License and shall
Page 8 of 11
thereupon be relieved from any and all obligations to Licensee or to its attempted assignee or
transferee,
19. WAIVERS
A waiver by the City of any breach of any term, covenant or condition contained herein shall
not be deemed to be a waiver of any subsequent breach of the same or any other term,covenant or
condition contained herein,whether of the same or a different character,
21. INDEMNITY AND HOLD HARMLESS
Licensee shall Indemnify, defend, and hold harmless City, and its respective agents, offwers,
representatives, employees, subsidiaries and affiliates("Covered Party") from and against any and all
actions, suits, claims, demands,judgments, losses, expenses, or liabilities, injuries and damages to
persons and property, including death, arising out of or related to Licensee's use of the Licensed
Premises or Property, the entry by any Licensee Party on any portion of the Licensed Premises or
Property or surrounding property or Facilities, or Licensee's breach or default in the performance of
any of its obligations under this Agreement. If any action or proceeding is brought against any
Covered Party by reason of any such claim, Licensee, upon receipt of written notice from Covered
Party, shall defend the same at Licensee's sole expense with legal counsel reasonably acceptable to
Covered Party. Payment shall not be a condition precedent to recovery wider any indemnification in
this Agreement, and a finding of liability or an obligation to indemnify shall not be a condition
precedent to the duty to defend, The provisions of this Section 21 shall survive the termination or
expiration of this Agreement.
22. INDEPENDENT CONTRACTOR
It is understood and agreed that Licensee, in the performance of this License Agreement, will
be acting in a wholly independent capacity and not as agents, employees, partners,or joint ventures of
the City, This Agreement does not create a tenancy of any nature whatsoever between the City and
Licensee,
23. TERMINATION
City reserves the right to suspend all activities or terminate this Agreement upon Licensee's
non-compliance with any of the terms or conditions of this Agreement, Such suspension or
termination shall be effective immediately. City may otherwise revoke this License at any time by
providing thirty days' written notice to Licensee,
24. NOTICES
Any notice, tender,demand,delivery,or other communication pursuant to this Agreement shall
be in writing and shall be deemed to be properly given if delivered in person or mailed by first class or
certified mail, postage prepaid, or sent by fax or other telegraphic communication in the manner
provided in this section, to the following persons;
Page 9 of 11
TO LICENSEE: East End Realty Partnership,LP
129 W. Wilson Street,Suite 100
Costa Mesa,California 92627
Wursthaus, Inc,
305 E.4th Street#106
Santa Ana,California 92701
TO CITY: City Clerk
City of Santa Ana
20 Civic Center Plaza(M-30)
P.Q. Box 1988
Santa Ana,California 92702-1988
Fax: 714-647-6956
With courtesy copies to: Executive Director, PRSCA
City of Santa Ana
20 Civic Center Plaza(M-23)
P.O,Box 1988
Santa Ana,California 92702-1988
Fax(714)571.4211
A party may change its address by giving notice in writing to the other party. Thereafter, any
communication shall be addressed and transmitted to the new address, If sent by mail, communication
shall be effective or deemed to have been given three(3)days after it has been deposited in.the United
States mail,duly registered or certified,with postage prepaid, and addressed as set forth above. If sent
by fax, communication shall be effective or deemed to have been given twenty-four(24) hours after
the time set forth on the transmission report issued by the transmitting facsimile machine,addressed as
set forth above, For purposes of calculating these timeframes,weekends,federal,state,County or City
holidays shall be excluded,
25. GOVERNING LAW AND VENUE •
This Agreement shall be governed by the laws of the State of California without regard to
conflicts of laws principles, Any litigation or other legal proceedings that tutse under or in connection
with this Agreement shall be conducted in a federal or state court located within Orange County,
California. The Parties consent to the personal jurisdiction and venue in federal or state court located
within the County of Orange, California and hereby waive any defenses or objections thereto,
including defenses based on the doctrine of fin non conveniens.
26. SEVERABILITY
In the event that any one or more of the phrases, sentences, clauses, paragraphs, or sections
contained in this Agreement shall be declared invalid or unenforceable by a valid judgment or decree
of,a court of competent jurisdiction, such invalidity or unenforceability shall not affect any of the
Page 10o'f11
N-2024-214
remaining phrases, sentences, clauses, paragraphs, or sections of this Agreement which are hereby
declared as severable and shall be interpreted to carry out the intent of the parties hereunder.
27. ENTIRE AGREEMENT
This Agreement constitutes the entire and integrated agreement of Licensee and City with
respect to the subject matter hereof and supersedes any and all prior and contemporaneous oral or
written negotiations, representations or agreements.
IN WITNESS WHEREOF, the parties have caused this License Agreement to be executed the day and
year first above written,
ATT ST: I
CITY OF SANTA AN. � , Q Sin
7,4
ili e ��r L. ' ., Alvaro Nunez
�I f e R
Ci ler, Acting City Manager
APPROVED AS TO FORM:
SONIA.R. CARVALHO EAST END REALTY PARTNERSHIP, LP
City Attorney
i — !fan Chase
BY: iiva,,,_lase:Jun l0'_02-+3.31
randon Salvatierra Name: Ryan Chase
Deputy City Attorney Title: Owner
RECOMMENDED FOR APPROVAL: WURSTHAUS, INC.
Hav,k Scott(Jon 13.2024 17:39 CDT) ..yr „,,,,.,.,i,o,,
Hawk Scott Name: Gabriel Ruiz
Executive Director, Title: President
Parks,Recreation and Community Service
Page 11ofli
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