HomeMy WebLinkAbout2004 CON Ron Baker Chevrolet - Settlement Agreement��now-t4
City of National City
Office of the City Attorney
1243 National City Boulevard, National City, CA 91950-4301
George H. Eiser, 11I • City Attorney
(619) 336-4220 Fax (619) 336-4327 TDD (619) 336-1615
TO: Marti Alvarez, Administrative Secretary DATE: May 10, 2004
FROM: Ginny Orcutt, Executive Assistant to the City Attorney
SUBJECT: Settlement Agreement with Ron Baker Chevrolet
Please find attached an original of the Agreement of Settlement and Release of All
Claims between the City and Ron Baker Chevrolet for your records.
Executive Assistant
Office of the City Attorney
Attachment
cc: Senior Assistant City Attorney
® Recycled Paper
ORIGINAL
FINAL AGREEMENT OF SETTLEMENT AND RELEASE OF ALL CLAIMS
THIS FINAL AGREEMENT OF SETTLEMENT AND RELEASE OF ALL CLAIMS
("SETTLEMENT AND RELEASE AGREEMENT"), confirms the stipulated settlement entered
into by and among THE CITY OF NATIONAL CITY (hereafter "CITY"), and RON BAKER
CHEVROLET-ISUZU (hereafter "RELEASEE").
I. INTRODUCTION
The settlement pertains to a claim by CITY against RELEASEE for a sales tax revenue
deficiency for the third and fourth quarters of the calendar year 2001, comprised of an audit fee,
penalty and interest (hereinafter the "CLAIM"). RELEASEE denies the allegations of the CLAIM
and denies that it has any liability to CITY, and this settlement is not to be construed as an
admission of liability by or on behalf of RELEASEE, by whom liability is expressly denied.
II. DEFINITIONS
As used in this SETTLEMENT AND RELEASE AGREEMENT, the following phrases
and words have the following meanings:
2.1 "CLAIM" or "CLAIMS" shall mean and refer to any and all CLAIMS, demands,
liabilities, losses, damages, errors, latent defects, patent defects, complaints, causes
of action, intentional or negligent acts, intentional or negligent omissions, liability
without fault, misrepresentations, material omissions, fraud, deceit, breaches of
contract, breaches of warranties, economic damages, non -economic damages,
compensation, property damage, loss of use, loss of services, personal injury, bodily
injury, emotional distress, annoyance, inconvenience, attorney's fees, experts fees,
repair costs, investigative costs, future professional fees, consultative expenses,
relocation costs, diminution in value claims, additional insured endorsement issues,
and any other actionable omissions, conduct or damage of any kind in nature
whatsoever, whether in tort, contract or extra -contractual, actual or contingent,
foreseen, known or unknown, past, present, or future claims, insofar as they arise
from the DISPUTE.
2.2 The "DISPUTE" shall mean and refer to any and all CLAIMS which were raised,
or which could have been raised, by CITY, in connection with its claim for the sales
tax revenue deficiency for the third and fourth quarters of the calendar year 2001,
including specifically the audit fee, penalty and interest.
2.3 "RELATED PERSONS AND ENTITIES" shall mean and refer to any and all past,
present and future parent companies, divisions, subsidiaries, affiliates, related
corporations and entities, members, stockholders, directors, officers, employees,
attorneys, insurers, lenders, mortgage holders, predecessors, successors, partners,
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4827-5373-0048.1
joint venturers, legal representatives, agents, heirs, administrators, trusts, trustees,
beneficiaries, creditors, and assigns.
III. NO ADMISSIONS
In making this SETTLEMENT AND RELEASE AGREEMENT, no party hereto is
admitting the sufficiency of any CLAIMS, allegations, assertions, contentions, or positions of any
other party, nor the sufficiency of any defense to any such CLAIMS, allegations, assertions,
contentions or positions. The parties hereto desire to, resolve the CLAIMS in an amicable fashion
and, pursuant to California Code of Civil Procedure section 877, et seq., the parties have entered into
this SETTLEMENT AND RELEASE AGREEMENT in good faith and with the desire to forever
settle between them the CLAIM and to execute a Release as set forth herein below.
IV PAYMENT
The consideration for and the total sum to be paid under this SETTLEMENT AND
RELEASE AGREEMENT (hereinafter "THE SETTLEMENT SUM"), is the sum of Forty -Nine
Thousand Dollars and 00/100s ($49,000.00), to be paid by or on behalf of RELEASEE to CITY.
V. RELEASE
NOW, THEREFORE, for the consideration, as set forth hereinafter, in full and complete
settlement of all CLAIMS, the parties hereto agree as follows:
5.1 CITY for itself, its agents, employees, heirs, executors, administrators, successors,
assigns, and all others who may take any interest in the matter herein released, do
hereby release, acquit, and forever discharge RELEASEE, and all of its respective
affiliated and/or subsidiary companies, together with any and all past and present
employees, agents, officers, directors, shareholders, insurance carriers, attorneys,
successors, assigns, and all person and entities acting by, through, under, or with any
ofthem, from any and all CLAIMS, actions, causes of action, demands, rights, debts,
agreements, promises, liabilities, losses, liens, including liens for medical, hospital
or other healthcare treatment expenses, costs or obligations, damages, costs and
expenses, whether known or unknown, of any nature or amount whatsoever, without
limitation or exception, whether based on theories of contract, breach of contract,
breach of mutual covenant of good faith and fair dealing, tort, violation of statute or
any other theory of liability or declaration of rights whatsoever, which either may
now have accrued or which may hereafter accrue, arising directly or indirectly from
or based on any cause, event, transaction, act, omission, occurrence, condition or
matter, of any nature whatsoever, which has occurred or may hereafter occur and
which is in any manner or to any event related to any of the matters described in,
covered by or relating to the CITY'S claim for sales tax revenue deficiency for the
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4827-5373-0048.1
third and fourth quarters of the calendar year 2001, including audit fee, penalties and
interest.
5.2 The parties understand and agree that their releases extend to and include any and all
damages, injuries and claims which they did not anticipate or know about or suspect
to exist, and any and all damages, injuries and claims which may exist, and to any
and all damages, injuries and claims which may develop in the future, by any cause
whatsoever, and each party hereby expressly waives and relinquishes any and all such
rights under any law or statute to the contrary.
5.3 All parties hereto expressly waive all rights under Section 1542 of the California
Civil Code and any similar rights in any other state in the United States.
Said Section 1542 of the California Civil Code provides as follows:
"A general release does not extend to claims which
the creditor does not know or suspect to exist in his
favor at the time of executing the release, which if
known by him must have materially affected his
settlement with the debtor."
Each party hereto understands and acknowledges the significance and consequences of the
specific waiver of Section 1542 of the California Civil Code and hereby assumes full responsibility
for and releases all actions, causes of action, claims, demands, damages, compensation, costs, loss
of service, expenses and attorneys fees, which may hereafter occur or which later become known to
such party.
VI. ASSUMPTION OF THE RISK
The parties fully understand and declare that if the facts with respect to which this
SETTLEMENT AND RELEASE AGREEMENT is executed are found to be different from the
facts now believed to be true, each party assumes the risk of such possible difference in facts and
hereby agrees that this SETTLEMENT AND RELEASE AGREEMENT shall be and remain in
full force and effect notwithstanding such difference in facts. The parties represent and covenant that
they are fully informed regarding all facts related to this SETTLEMENT AND RELEASE
AGREEMENT, and will not seek to void, rescind, set aside or alter this SETTLEMENT AND
RELEASE AGREEMENT based up on an assertion of mistake of fact or law.
VII. FURTHER REPRESENTATIONS
RELEASEE and CITY each make the following material representations with the
understanding that each of these representations are true and accurate and that, without these
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4827-5373-0048.1
representations, none of them would enter into this SETTLEMENT AND RELEASE
AGREEMENT:
7.1 CITY and RELEASEE have not sold, transferred, conveyed, assigned, hypothecated
and/or subrogated any of their rights, CLAIMS or causes of action released herein.
7.2 The parties hereto each acknowledge, declare and represent that they are accepting
and agreeing to this SETTLEMENT AND RELEASE AGREEMENT following
and as a result of having received full legal advice from their respective attorneys
regarding their rights and liabilities and the terms and provisions of this
SETTLEMENT AND RELEASE AGREEMENT, and understand and knowingly
and wilfully accept all of said terms and provisions.
VIII. NO FURTHER CLAIMS
8.1 The parties to this SETTLEMENT AND RELEASE AGREEMENT acknowledge
and agree that the consideration set forth herein is accepted in full payment and
satisfaction of any and all losses, expenses, benefits paid, damages, costs of litigation,
interest, liens, attorney's fees or other entitlements to compensation arising out of
CLAIMS with respect to the injuries and/or damages alleged to have been suffered.
In the event that any such further loss, expense, damage, cost of litigation, or other
entitlement to compensation shall occur related to said CLAIMS as a result of any
alleged acts or omissions of RELEASEE and/or the CITY, it shall be deemed to
have been fully compensated by the payment of the settlement sum and other
consideration referred to in this SETTLEMENT AND RELEASE AGREEMENT.
8.2 This SETTLEMENT AND RELEASE AGREEMENT shall operate to bar any
claims for subrogation by any insurance carrier having paid claims to or on behalf of
CITY.
IX. GENERAL PROVISIONS
9.1 The parties hereto each acknowledge and agree that each ofthem shall bear their own
costs, expenses and attorneys' fees arising out of, and/or connected with CLAIM
and/or the negotiation, drafting and execution of this SETTLEMENT AND
RELEASE AGREEMENT, and all matters arising out of or connected therewith,
except that, in the event any action is brought by any party arising out of, related to
or to enforce this SETTLEMENT AND RELEASE AGREEMENT, the prevailing
party in such action shall be entitled to reasonable attorneys' fees, expert fees, costs
and expenses, in addition to all other legal and equitable relief to which that party or
those parties may be entitled.
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4827-5373-0048.1
9.2 This SETTLEMENT AND RELEASE AGREEMENT is the product of
negotiation and preparation by and among the parties hereto and their respective
attorneys. Accordingly, the parties each acknowledge and agree that neither this
SETTLEMENT AND RELEASE AGREEMENT nor any provision thereof, shall
be deemed to have been prepared or drafted by one party or another, or its attorneys,
and shall not be construed more strongly against any party.
9.3 This SETTLEMENT AND RELEASE AGREEMENT shall be and is hereby
binding upon and shall inure to the benefit of the parties hereto and their respective
RELATED PERSONS AND ENTITIES.
9.4 This SETTLEMENT AND RELEASE AGREEMENT contains the entire
agreement and understanding among the parties hereto, with respect to the matters
set forth herein, and is intended to be, and is, a final integration thereof. There are
no representations, warranties, agreements, arrangements, undertakings, oral or
written, between or among the parties hereto relating to the terms and conditions of
this SETTLEMENT AND RELEASE AGREEMENT which are not fully
expressed herein. This agreement shall be interpreted according to its own terms, and
as a whole, according to its fair meaning and intent, and, unless a word is expressly
defined, it has been used in its ordinary sense.
9.5 The parties represent and warrant, for the benefit of each of the other parties, that
they are the owner of all CLAIMS released herein and that such CLAIMS have not
been assigned, transferred, or hypothecated, whether voluntarily or involuntarily, by
subrogation, operation of law or otherwise, to any person or entity. Such
representation and warranty shall survive full execution and performance of this
SETTLEMENT AND RELEASE AGREEMENT.
9.6 This SETTLEMENT AND RELEASE AGREEMENT shall be governed by,
construed and enforced in accordance with the laws of the State of California in
effect at the time of its execution.
9.7 In the event that any condition or covenant herein is held to be invalid or void by any
court of competent jurisdiction, the same shall be deemed severable from the
remainder of this agreement and shall in no way affect any other covenant or
condition contained herein. If such condition, covenant, or other provision shall be
deemed invalid due to scope or breadth, such provision shall be valid to the extent
of the scope or breadth permitted by law.
9.8 No breach of any provision hereof can be waived unless in writing. Waiver of any
one breach shall not be deemed to be a waiver of any other breach of the same or any
other provision hereof.
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4827-5373-0048.1
9.9 This SETTLEMENT AND RELEASE AGREEMENT may be amended or
modified only by a written agreement executed by the parties in interest at the time
of the amendment or modification.
9.10 This SETTLEMENT AND RELEASE AGREEMENT may be executed in
counterpart and, when each party has signed and delivered at least one such
counterpart, each counterpart shall be deemed an original, and, when taken together
with the other signed counterparts shall constitute one agreement which shall be
binding upon and effective as to all parties. A copy of the fully executed agreement
shall be deemed to have the same force and effect as the original. Counsel for
RELEASEE shall maintain the original thereof.
9.11 The undersigned further declare and represent that no promise, inducement or
agreement not herein expressed has been made to the undersigned and the
SETTLEMENT AND RELEASE AGREEMENT contains the entire agreement
between the parties hereto, and that the terms of this SETTLEMENT AND
RELEASE AGREEMENT are contractual and not a mere recital. This
SETTLEMENT AND RELEASE AGREEMENT is freely and voluntarily entered
into. We hereby certify that we have read all of the SETTLEMENT AND
RELEASE AGREEMENT and fully understand the same.
IN WITNESS WHEREOF, we have executed this SETTLEMENT AND RELEASE
AGREEMENT as follows:
Dated: April 30, 2004
Dated:
Settlement and Release Agreement
Page 6 of 7
CITY OF NATIONAL CITY
By:
Its:
C=J6-wa �
M,Er
RON BAKER. CHEVROLET-ISUZU
By:
Its:
4827-5373-0048.1
APPROVED AS TO FORM AND CONTENT:
Dated:
Dated:
Settlement and Release Agreement
Page 7 of 7
By:
Attorney for CITY OF NATIO
LEWIS-BRISBOIS BISGAARD & SMITH LLP
By: Charles S. Haughey, Jr.
Attorney for RON BAKER CHEVROLET-
ISUZU
4827-5373-0048.1
9.9 This SETTLEMENT AND RELEASE AGREEMENT may be amended or
modified only by a written agreement executed by the parties in interest at the time
of the amendment or modification.
9.10 This SETTLEMENT AND RELEASE AGREEMENT may be executed in
counterpart and, when each party has signed and delivered at least one such
counterpart, each counterpart shall be deemed an original, and, when taken together
with the other signed counterparts shall constitute one agreement which shall be
binding upon and effective as to all parties. A copy of the fully executed agreement
shall be deemed to have the same force and effect as the original. Counsel for
RELEASEE shall maintain the original thereof.
9.11 The . undersigned further declare and represent that no promise, inducement or
agreement not herein expressed has been made to the undersigned and the
SETTLEMENT AND RELEASE AGREEMENT contains the entire agreement
between the parties hereto, and that the terms of this SETTLEMENT AND
RELEASE AGREEMENT are contractual and not a mere recital. This
S ETTLEMENT AND RELEASE AGREEMENT is freely and voluntarily entered
into. We hereby certify that we have read all of the SETTLEMENT AND
RELEASE AGREEMENT and fully understand the same.
IN WITNESS WHEREOF, we have executed this SETTLEMENT AND RELEASE
AGREEMENT as follows:
Dated:
Dated: April 30, 2004
Settlement and Release Agreement
Page6of7
CITY OF NATIONAL CITY
By:
Its:
RON BAKER CHEVROLET-ISUZU
Bill Cumming
By:
Its: Vice President/ ,-.-ref Mgr_
4827-5373-0048.1
APPROVED AS TO FORM AND CONTENT:
Dated: May 10, 2004
Dated: S 6 d `'
Settlement and Release Agreement
Page 7 of 7
golf Hrckt, Esq.
ttomey for CITY OF NATIONACITY
SBOIS BISG
RD & SMITHLLP
Charles S. • ey, ,
Attorney fc ' 4N B • KER CHEVROLET-
ISUZU
4827-5373-0048.1