HomeMy WebLinkAboutContracts & Agreements_29-2019 License Agreement
By and Between
The City of Redlands
And
P & D Restaurant Group, Inc
This License Agreement ("Agreement") is made and entered this 19th day of February,
2019 ("Effective Date"), by and between the City of Redlands, a municipal corporation (` City"),
and P & D Restaurant Group, Inc ("Licensee") City and Licensee are sometimes individually
referred to herein as a"Party" and, together, as the "Parties "
RECITALS
WHEREAS,Licensee is the owner and operator of a restaurant located at I E State Street,
in the city of Redlands, and
WHEREAS, Licensee desires to provide its customers with an outdoor dining venue
adjacent to its restaurant within City's right-of-way, and
WHEREAS, City and Licensee desire to cooperate to further the above-stated purpose in
a way compatible with the public interest,
NOW, THEREFORE, in consideration of the mutual promises contained herein, City and
Licensee agree as follows
AGREEMENT
Section I Premises City hereby grants to Licensee a license to provide outdoor dining
services within City's right-of-way in connection with the operation of Licensee's restaurant
located adjacent to the right-of-way (the "License") The outdoor dining area subject to this
Agreement consists of approximately one hundred eighty (180) square feet (the "Premises") and
is more particularly described in Exhibit "A," entitled "Darby's Outdoor Seating," which is
attached hereto and incorporated herein by this reference
Section 2 Acknowledgment of License and Disclaimer of Tenancy
A Licensee is not a tenant or lessee of City and holds no rights of tenancy or leasehold
in relation to the Premises
B In consideration of City's grant of this License, Licensee specifically and expressly
waives,releases,and relinquishes any and all rights to assert any claim of right,privilege or interest
in the Premises othei than the rights expressly granted by the License
C The consideration paid by Licensee pursuant to Section 4 of this Agreement is
consistent with the value of the rights comprising the License privilege, the consideration is not
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consistent with the higher market value for a greater right, privilege or interest(such as a lease) in
the Premises
D Licensee further acknowledges and agrees that without the representations and
agreements set forth herein, City would not entei into this Agreement
Section 3 Term The tenn of this Agreement shall commence on March 1, 2019, and end
on February 18, 2022,unless earlier terminated as provided for herein Either Party may terminate
this Agreement by providing written notice of such tennmatlon to the other Party at least thirty
(30) days prior to the noticed tenrlunation date If Licensee remains in possession of the Premises
after expiration or earlier termination of this Agreement without City's written consent, Licensee's
continued occupancy of the Premises shall be equivalent to a tenancy at sufferance and Licensee
shall pay an increased License fee during the holdover period in the sum of one thousand dollars
($1,000)per month
Section 4 License Fee Licensee shall pay to City a monthly fee in the sum of five hundred
forty dollars ($540 00) for use and occupancy of the Premises The initial and final monthly fee
payments, and a security deposit in the amount of One Thousand Dollars ($1,000), shall be paid
to City prior to March 3, 2019 All subsequent monthly fee payments shall be made prior to the
second day of each month foi which the fee is then due All payments are to be made payable to
the City of Redlands, Finance Department/Revenue Division, P O Box 3005, Redlands,
California, 92373 A late fee of fifty dollars ($50) shall be added and due for any fee payment
made after the tenth day of the month
Section 5. Security Deposit The security deposit shall be retained by City in compliance
with the terms and conditions of this Agreement, and shall be reftinded to Licensee within thirty
(30)days after the Premises have been vacated by Licensee,less any amounts reasonably necessary
to pay City for, (1) cleaning costs, (n) cost for repair or damages to the Premises exclusive of
ordinary wear and tear, and (m) any other amount legally allowable under the provisions of this
Agreement A written accounting of said costs and damages shall be presented to Licensee within
ten (10) days of the Premises being vacated If the security deposit is insufficient to pay City for
such costs and damages, Licensee shall immediately pay any additional costs for damages
demanded by City
Section 6. Use of Premises
A The Premises shall be used by Licensee solely for the purpose of outdoor dining
associated with Licensee's operation of its restaurant
B The Premises shall be occupied by Licensee within ninety (90) days following the
Effective Ddate of this Agreement Failure to continuously utilize the Premises foi a period of
greater than sixty(60)consecutive days,without the prior written consent of City,shall be grounds
for City's immediater termination of this Agreement
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C The hours of operation for the Premises shall be limited to 8 00 a in to 2 00 a m ,
Monday through Sunday
D Licensee's use of the Premises shall not jeopardize or endanger the health,welfare,
peace, or safety of persons visiting, residing, working, or conducting business in the surrounding
area
E. During the term of this License, Licensee shall comply with all applicable federal,
state, and local laws, and all applicable miles and regulations established by City
F Licensee shall require all customers to vacate the Premises upon closure of its
restaurant at 2 00 a in
G Licensee's operation of the Premises shall not result in nuisance activities within
the Premises or in close proximity of the Premises, including but not limited to disturbance of the
peace, illegal drug activity, public drunkenness, drinking in public, harassment of passersby,
gambling, prostitution, sale of stolen goods, public urination, theft, assaults, batteries, acts of
vandalism, littering, loitering, graffiti, illegal parking, excessive loud noises especially in the late
night or early morning hours, traffic violations, curfew violations, lewd conduct, or police
detentions and arrests
H Licensee's operation of the Premises may include the sale and service of alchoholic
beverages provided that such use complies with all provisions of local, state andloi federal laws,
regulations or orders, including but not limited to those of the State Department of Alcohol and
Beverage Control, California Business and Professions Code sections 24200, 24200 6, and
25612 5, as well as any condition imposed on any permits issued pursuant to applicable laws,
regulations or orders This includes payment of annual City business license taxes
I Licensee shall ensure that the Premises' upkeep and operating characteristics are
compatible with, and will not adversely affect, the livability or appropriate development of
abutting properties and the surrounding neighboihood
7 Licensee hereby grants City immediate access to the Premises in the event of an
emergency, which is defined as any incident that threaten loss of life or property, interruptions of
public utilities, disaster,war, acts of terrorism, strikes or similar emergencies
Section 7 Alterations and Repairs Licensee accepts the Premises in its "as-is" condition
as of the Effective Date of this Agreement, without any warranty, express or implied
Section 8. Maintenance of Premises Licensee shall be responsible for maintaining the
Premises in a clean and orderly state Any damage to the Premises incurred due to Licensee's use
of the Premises shall be the sole responsibility of Licensee City shall have the right to enter the
Premises, at reasonable tines, for inspection and maintenance purposes Should an inspection by
City disclose the need for maintenance or repairs, City shall provide Licensee with written notice
of the items requiring repair or maintenance If action is not taken on such items by Licensee
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within five (5) days from the provision of such notice, City may enter the Premises and take
whatever action is necessary to perform such maintenance or repairs at Licensee's expense
Section 9 Improvements Licensee shall construct fencing and improvements for the
Premises in conformance with Exhibit"B,"entitled"Site Plan—Fence Design Concept,"which is
attached hereto and incorporated herein by this reference All such fencing and improvement to
the Premises shall be construcd in accordance with the provisions of an encroachment permit
issued by City Licensee shall not construct any fencing or improvements to the Premises not
shown in Exhibit"B"without the prior written consent of City All proposals for improvements to
the Premises shall be submitted in writing to City for its consideration and prior written approval
Licensee shall have the right to remove all improvements made to the Premises by Licensee,
provided such removal results in no damage to the Premises Improvements not removed by
Licensee shall, on expiration or earlier termination of this License, become the property of City
Lighting may be incorporated in such a way to prevent glare onto, or direct illumination of any
vehicle traffic or adjacent properties Tables and chairs shall be placed only within the location
shown in Exhibit "A " Licensee shall cause the improvements to be constructed, rehabilitated or
installed in compliance with applicable laws, including federal, state, and local laws and
regulations
Section 10 I demnity Licensee shall defend, indemnify and hold harmless City, and its
elected officials, officers, employees and agents, from and against any and all claims, causes of
action, damages and liability resulting from Licensee's negligent acts of omissions, and willful
misconduct of Licensee, and its agents,employees and invitees arising from Licensee's occupation
and use of the Premises during the ternn of this Agreement This section shall survive any
termination of this Agreement
Section 11 Public Liability and Property Damage Insurance Licensee shall maintain at
its own cost for the term of this Agreement,public liability insurance in the amount of One Million
Dollars ($1,000,000) per occurrence and Two Million Dollars ($2,000,000) in the aggregate,
issued by an insurance company acceptable to City Licensee shall provide City with a certificate
of insurance and endorsements showing City as an additional insured on the policy prior to
Licensee's use and occupancy of the Premises Such insurance shall be primary with respect to
City and non-contributory to any insurance or self-insurance maintained by City The policy shall
require that, before amending or canceling the policy, the issuing insurance company shall give
City at least thirty (30) days prior written notice City and Licensee acknowledge and agree that
the insurance required of Licensee is subject to annual review by City and subject to increases in
the amount and scope of coverage, as reasonably determined by City
Section 12 Assignment Prohibited Licensee shall not encumber, assign, sublease or
otherwise transfer this Agreement,or any right or interest therein,without the prior written consent
of City Any such encumbrance, assignment, sublease or transfer without such prior consent and
approval of City shall constitute a breach of this Agreement and may, at the sole discretion of City,
result in the immediate termination of this Agreement
Section 13 Attorneys' Fees In the event any action is commenced to enforce or interpret
the terms or conditions of this Agreement, the prevailing Party shall, in addition to any costs and
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other relief, be entitled to the recovery of its reasonable attorneys' fees, including fees for use of
in-house counsel by a Party
Section 14 Notices Any notice or other communication required, or which may be given,
pursuant to this Agreement, shall be in writing Any such notice shall be deemed delivered (1) on
the day of delivery in person, (11) five (5) days after deposit in first class registered mail, with
return receipt requested, (in) on the actual delivery date if deposited with an overnight courier, or
(iv) on the date sent by facsimile, if confirmed with a copy sent contemporaneously by first class,
certified, registered or express mail, in each case properly posted and fully prepaid to the
appropriate address set forth below, or such other address as a party may provide notice of in
accordance with this section
CITY LICENSEE
City Clerk P &D Restaurant Group, Inc
City of Redlands dba Darby's American Cantina
35 Cajon Street 1 E State Street
P O Box 3005 (mailing) Redlands, CA 92373
Redlands, CA 92373 jon darby@darbysredlands corn
jdonadlson cr cityofredlands org (909) 792-2119
(909) 798-7531
Section 15 Entire Agreement/Amendment This Agieement constitutes the entire
agreement between the Parties with respect to the subject matter hereof Any prior verbal or written
representations or agreements respecting the Premises not expressly set forth herein are null and
void Any and all amendments to this Agreement shall be in writing and executed by the Parties
Section 16 Termination City shall have the right to terminate this License, with or
without cause, upon thirty (30) days prior written notice to Licensee City shall have no liability
for any claims or damages resulting to Licensee as a result of any exercise by City of its right to
terminate this License This License may be terminated at the discretion of City should Licensee
fail to fulfill its requirements as specified herein
Section 17. Waiver No waiver by either Party of any provision of this Agreement, or
waiver of any breach of this Agreement, shall be deemed to be a waiver of any othei provision of
this Agreement, or of any subsequent breach by either Party of the same or any other provision of
this Agreement
Section 18 Severability If any particulai provision of this Agreement is held invalid or
unenforceable for any reason by a court of competent jurisdiction,this Agreement shall otherwise
remain in full force and effect and shall be construed in all respects as if such invalid or
unenforceable provision was omitted
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Executed on the 19th day of February,2019, at Redlands, California
CITY OF REDLANDS P & D RESTAURANT GROUP, INC
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aul W Foster,Mayor Jon D rby, O er
ATTEST
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6ap4e Donaldson, City Clerk
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EXHIBIT"A"
Darby's Outdoor Seating
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EXHIBIT`B"
Site Plan—Fence Design Concept
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