HomeMy WebLinkAboutZAPATERIA GUANAJUATOINSURANCE NOT REQUIRED A-2010-086
WORK MAY PROCEED
CLERK F COUNCIL
IIATE:-71Vp11fl/j - ALL INCLUSIVE SETTLEMENT AGREEMENT
Thies Agreement ("Agreement") is made by and between the City of Santa Ana, a charter
city and municipal corporation duly organized and existing under the Constitution and laws of
the State of California ("City"), and Raul Morfin Torres dba Zapateria Guanajuato ("Tenant").
The Agency and Tenant are hereinafter sometimes referred collectively as the "Parties."
RECITALS
A. Tenant operates a business, commonly known as Zapateria Guanajuato, located at
303 N. Bristol St., Santa Ana, CA (the "Property").
B. The Agency acquired the Property on January 29, 2010 for the Bristol Street
Widening Project.
C. The Parties desire to resolve all issues relating to the Agency's acquisition of the
Property in accordance with the terms and conditions set forth below.
D. The Parties acknowledge that the payment as set forth in paragraph 1(a) and other
consideration given in connection with this Agreement are the result of a compromise
and settlement of disputed claims, and shall never, at any time or for any purpose, be
considered an admission of liability or responsibility on the part of any of the parties
herein released.
NOW, THEREFORE, in consideration of the foregoing and of the mutual promises and
covenants hereinafter set forth, it is hereby agreed by and among the Parties that:
1. Consideration
(a) The Agency shall pay to Tenant the sum of $225,000.00 (Two Hundred Twenty
Five Thousand Dollars) (Tenant Settlement Payment) as total compensation for
relocation assistance and any and all related expenses and claims as more fully
described in paragraph 1(b) below. Upon full execution of this Agreement, the
Agency will begin processing an initial payment, payable to Raul Torres Morfin
dba Zapateria Guanajuato and Nicholas Mosich, in the amount of $150,000.00.
The Agency will make the final payment to Raul Torres Morfin dba Zapateria
Guanajuato and Nicholas Mosich in the amount of $75,000.00, less any
deductions described in paragraphs 1 (c) and (d) of this Agreement, after Tenant
vacates the Property, signs a Certificate of Abandonment, provides all keys to the
Property to the Agency or to the Agency's relocation consultant, and provides
written verification that all hazardous materials have been legally and properly
moved.
(b) Tenant agrees, that the consideration received pursuant to paragraph 1(a) above
constitutes full satisfaction of any and all obligations of the Agency to Tenant,
including, without limitation, any obligations for relocation assistance, relocation
benefits, moving expenses, interest of any kind in the real estate and leasehold,
loss of business goodwill, compensation for personal property (loss of inventory),
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furniture, fixtures and equipment, interest, attorney's fees, appraisal fees, or
damages of any nature.
(c) Tenant agrees to vacate the premises by no later than July 31, 2010 (Vacate Date).
Should Tenant remain in occupancy beyond the Vacate Date, a Two Hundred
Fifty Dollar ($250) per day penalty will be deducted from Tenant's Settlement
Payment, for each day of occupancy beyond the Vacate Date unless a written
request for an extension has been submitted and consequently approved by the
Agency or its Agents.
(d) Tenant hereby agrees that Agency may remove and dispose of any personal
property or trash that has not been moved upon the Vacate Date, as it elects and
desires, without any notice to Tenant.
(e) Payment will be made for Relocation Expenses in the amount of $37,550.
(f) Payment will be made for Loss of Business Goodwill and Leasehold Bonus Value
in the amount of $187,450.
2. Release
(a) Nothing contained herein shall constitute a release or discharge by either party for
any of the undertakings of the other party to this Settlement Agreement. This
Agreement shall serve as a full release and discharge by the Parties, on behalf of
themselves, their agents, representatives, assigns, trustees, administrators,
attorneys, heirs, relatives, spouses, ex-spouses, beneficiaries, and successors in
interest, in consideration of the mutual covenants and promises contained herein,
of the Tenant, the City of Santa Ana, the City of Santa Ana Public Works Agency,
and those parties' accountants, other professionals, agents, representatives,
assigns, employees, administrators, trustees, insurers, attorneys, heirs,
beneficiaries, and successors in interest (collectively the "Released Parties"), from
all rights, claims or cross-claims, demands, actions, or causes of action, including
those for damages, compensation, relocation assistance, relocation benefits, loss
of goodwill, property interest, compensation for personal property (loss of
inventory), furniture, fixtures and equipment, punitive damages, interest, costs,
attorney's and appraisal fees, injunctive or declaratory relief, or for relief by way
of writ of mandate, or for demands, damages, refunds, debts, liabilities,
reckonings, accounts, obligations, costs, expenses, liens, actions, causes, and
causes of action of whatever kind, at law or in equity, that the Parties have now or
may have against any of the Released Parties arising from the facts and
circumstances described in this Agreement including but not limited to (1) the
acquisition of the Property by the Agency, (2) Tenant's leasehold interest, if any,
in the Property (or any portion thereof) or (3) any other right or interest Tenant
may have, assert, or claim by reason of Agency's actions or failure to act,
including, but not limited to, any claim to relocation assistance, relocation
benefits or compensation for property or loss of goodwill from the Agency.
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(b) In making this release, the Parties intend to and do release, acquit and discharge
the Released Parties, and each of them, from any liability of any nature
whatsoever for any claim, injury, damages, or equitable or declaratory relief of
any kind, whether the claim, or any facts on which such claim might be based, is
known or unknown to the party possessing the claim. Each party expressly
acknowledges and waives any and all rights under Section 1542 of the California
Civil Code, which the Parties understand provides as follows:
A general release does not extend to claims which the creditor does not know or
suspect to exist in his/her favor at the time of executing the release, which if
known by him/her must have materially affected his/her settlement with the
debtor.
Each party acknowledges the foregoing waiver of the provisions of California
Civil Code Section 1542 was separately bargained for and expressly consents that
this Agreement shall be given full force and effect in accordance with each and all
of its express terms and provisions, including those terms and provisions relating
to unknown or unsuspected claims, demands and causes of action, if any, to the
same effect as those terms and provisions relating to any other claims, demands
and causes of action herein above specified.
(c) Each party acknowledges that it may hereafter discover facts or law different from
or in addition to those which it now believes to be true with respect to the release
of claims. Each party agrees that the foregoing release shall be and remain
effective in all respects notwithstanding such different or additional facts or law
or any party's discovery thereof. The Parties shall not be entitled to any relief in
connection therewith, including, but not limited to, any damages or any right or
claim to set aside or rescind this Agreement.
(d) None of the Parties or their respective agents nor any related entities have made
any statement or presentation to the other regarding any fact relied upon in
entering into this Agreement and the Parties, and each of them, expressly do not
rely upon any statement, representation or promise of any other party or nay
party's agent or related entities in executing this Agreement, except as is
expressly set forth herein. Each of the Parties has made such investigation of the
facts and law pertaining to the subject matter of this Agreement as it deems
necessary, and has consulted with legal counsel of its own choosing concerning
these matters.
(e) Tenant hereby represents and warrants as of the Effective Date of this Agreement
that (1) to its actual knowledge, no other entity or person has any right, title, or
interest whatsoever in the released claims, and (2) that there has been no
assignment, transfer, conveyance or other disposition by Tenant of any of the
released claims, and that Tenant will not make any such assignment, transfer,
conveyance or other disposition subsequent to the Effective Date of this
Agreement. Tenant acknowledges that the Authority has relied and is relying
upon such representations and warranties in entering into this Agreement.
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(f) Tenant will Hold Harmless and defend Agency, its employees, agents, contractors
or representatives from any claims that may arise from Tenant's nondisclosure of
any other interests in the Property or personal property referenced by this
agreement.
(g) This Agreement represents a settlement of doubtful and disputed claims between
the Parties and does not constitute any admission of liability by either party to the
other party to this Agreement. Agency has delivered to Owner an offer to
purchase the Property under threat of eminent domain pursuant to Government
Code Section 7267.2. Tenant and Agency now wish to enter into this Agreement
in lieu of eminent domain proceedings.
3. Third Party Beneficiaries
Except as explicitly set forth herein, nothing in this Agreement is intended to create any
third party beneficiaries under this Agreement, and no person or entity other than
Authority and Tenant shall be authorized to enforce the provisions of this Agreement.
4. Attorney's Fees
In the event of litigation relating to or arising out of this Agreement, the prevailing party
shall be entitled to be reimbursed by the non-prevailing party for all reasonable costs and
expenses incurred thereby, including, but not limited to reasonable attorney's fees and
costs for services rendered to such prevailing party.
5. Indemnity
Each party shall indemnify, defend and hold the other party and the Released Parties
harmless from and against any claims, damages, demands, liabilities, losses, judgments,
expenses and attorney's fees and/or costs resulting from the breach by such indemnifying
party of any provision of this Agreement, the falsity of any representation or warranty
made by the indemnifying party contained in this Agreement.
6. Entire Agreement
This Agreement together contains the entire Agreement of the Parties, and supersedes
any prior written or oral agreements between them, concerning the subject matter of this
Agreement.
7. Partial Invalidity
In the event that any term, covenant, condition or provision of this Agreement shall be
determined by a court of competent jurisdiction to be invalid or against public policy, the
remaining provisions shall continue in full force and effect.
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8. Waiver and/or Modification
The provisions of this Agreement may not be waived, altered, amended or repealed, in
whole or in part, except upon a written agreement signed by each of the Parties. The
waiver by one party of the performance of any provisions of this Agreement shall not
invalidate this Agreement, nor shall it be deemed a waiver of any other provision hereof.
9. Headings
The headings, subheadings and numbering of the different paragraphs of this Agreement
are inserted for convenience and for reference only and shall not be considered for any
purpose in construing this Agreement.
10. Governing Law
The rights and obligations of the Parties under this Agreement shall be construed and
enforced in accordance with, and governed by, the laws of the State of California.
11. Successors In Interest
Subject to any restrictions against assignment contained herein, this Agreement shall
inure to the benefit of, and shall be binding upon, the assigns, successors in interest,
personal representatives, executors, estates, heirs, legatees, agents and related entities of
each of the Parties.
12. Necessary Acts
Each of the Parties agrees to perform such further acts, and execute and deliver such
further documents, as may be reasonably necessary to carry out the provisions of this
Agreement.
13. Advise of Counsel
The Parties, and each of the, acknowledge that in connection with the negotiations and
execution of this Agreement, they have each been represented by independent counsel of
their own choosing and the Parties executed the Agreement after review by such
independent counsel; or, if they were not so represented, said non-representation is and
was the voluntary, intelligent and informed decision and election of the party not so
represented; and, prior to executing the Agreement, each party has had an adequate
opportunity to conduct an independent investigation of all the facts and circumstances
with respect to the matters which are the subject of this Agreement including but not
limited to the advisability of entering into this Agreement and the meaning of California
Civil Code Section 1542.
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14. Authority to Execute This Agreement
Each person executing this Agreement on behalf of an entity represents that he or she is
authorized to execute this Agreement on behalf of that entity and to bind that entity to the
terms of this Agreement.
15. Construction
Each party has cooperated in the drafting and preparation of this Agreement. In any
construction to be made of this Agreement, or of any of its terms and provisions, the
same shall not be construed against any party.
16. Counterparts
This Agreement may be executed in counterparts, each of which shall be deemed an
original and, when taken together with other signed counterparts, shall constitute one
Agreement, which shall be binding upon and effective as to all Parties.
17. Voluntary Agreement
The Parties, and each of them, further represent and declare that they have carefully read
this Agreement and know the contents thereof, and that they sign the same freely and
voluntarily.
18. Notices
All notices, requests, demands and other communications required or permitted to be
given under this Agreement shall be in writing and shall either be delivered personally or
be sent by telegram or by regular or certified first class mail, postage prepaid, deposited
in the United States mail, and properly addressed to the party at its address set forth
below, or at any other address that such party may designate by written notice to the other
ply:
To Agency: Souri Amirani
Deputy City Engineer
City of Santa Ana Public Works Agency
20 Civic Center Plaza, M-36
Santa Ana, California 92701
To Tenant: Raul Torres Morfrn
Zapateria Guanajuato
C/O Law Office of Nicholas I Mosich
2204 E. Fourth St., #100
Santa Ana, CA 92705
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19. Jurisdiction and Venue
Any action or proceeding concerning this Agreement shall be filed and prosecuted in the
appropriate California court in the County of Orange, California. Each party hereto
irrevocably consents to the personal jurisdiction of the court. The Parties each hereby
expressly waive the benefit of any provision of law providing for a change of venue to
any other court, including, without limitation, federal Agency court, due to any diversity
of citizenship between the Parties or due to the fact that either the Authority is a party to
such action or proceeding. Without limiting the generality of the foregoing, the Parties
specifically waive any rights provided to it pursuant to California Code of Civil
Procedure Section 394 or other state or federal statutes or judicial decisions of similar
effect.
IN WITNESS WHEREOF, the parties to this Agreement have executed this Agreement as of the
date first written above.
TENANT: Zapateria Guanajuato
Raul Torres Morfin Title
APPROVED AS TO FORM:
BY: hluJ? I . X-- D
Nicholas J. Mosich
Tenant Legal Counsel
Dated °1' 10 - 9`0'0
CITY OF SANAN? A,/)? ??--
BY: Dated
David N. Ream
City Manager
ATTEST:
, 1
Marta D. Huizar
Clerk of the Council
APPROVED AS TO FORM:
Joseph W. Fletcher
City Atto??' y? ?)
BY:
Senior Assistant
(? -1`6-2oio
Dated ?1 yn,v
Dated -(?--/d'/O
Tax Identification No. Date
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