HomeMy WebLinkAboutContracts & Agreements_131-2011_CCv0001.pdf SETTLEMENT AND GENERAL RELEASE AGREEMENT
This Settlement and General Release Agreement ("Agreement") is entered into by and
between the City of Redlands for itself and as representative of the People of the State of
California (collectively referred to as "Redlands") and Aladdin Entertainment Group LLC
("Aladdin"). Redlands and Aladdin shall together be referred to herein as the "Parties."
RECITALS
This Agreement is made with reference to the following facts:
A. In 1994, Redlands approved a conditional use permit authorizing the construction
and operation of a family themed amusement park at 1101 N. California Street, Redlands,
California (the "Property"), which became known as "Pharaoh's Lost Kingdom" (the "Park").
Aladdin is the ground lessee of the Property.
B. On April 27, 2009, Redlands filed a Complaint, San Bernardino Superior Court,
Case No. CIVDS 906028, against Aladdin, amongst others, seeking to abate alleged violations of
the Conditional Use Permit for the Property, as well as the Drug Abatement Act, Health & Safety
Code section 11570 et seq. and nuisance (the "Action"). Aladdin filed an answer to the Action
on June 5, 2009,denying the allegations of the Action.
C. Redlands and Aladdin now desire to fully and finally settle and resolve any and
all rights, claims, disputes and causes of action which currently exist, or may exist in the future,
relating to the Property, the Park, and the Action.
SETTLEMENT AGREEMENT
The Parties, and each of them, agree as follows:
I. Recitals. The Recitals are incorporated into and are a part of this Agreement.
2. Settlement. In consideration of this Agreement and the promises set forth herein,
Aladdin shall pay to Redlands the total sum of twenty three thousand five hundred dollars and
00/100 ($23,500.00) ("Settlement Amount"). Aladdin shall pay the Settlement Amount within
five days (5) days of Redlands' execution of this Agreement.
3. Dismissal. Within ten (10) days of Redlands' receipt of the Settlement Amount,
Redlands will dismiss the Action in its entirety as to Aladdin, with prejudice. Redlands will
forward a conformed copy of the request for dismissal to Aladdin upon it being made available
by the Court.
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4. Each Party to Bear Own Costs and Pees. The Parties shall each bear their own
attorneys' fees and other costs (including without limitation costs of expert witnesses or other
consultants) incurred in relation to the Action, and the negotiation and drafting of this
Agreement.
5. Mutual Release. Each of the undersigned Parties to this Agreement, for itself, its
predecessors, heirs, successors-in-interest, assigns, affiliates, member companies and all past and
present officers, agents, employees, directors, City Council members and attorneys and all others
who may claim by or through it or who may take any interest in the matters herein released, fully
and forever release, acquit and discharge each other, together with any and all past and present
employees, agents, whether ostensible or actual, officials, officers, directors, City Council
members, shareholders, attorneys, assigns and servants from any and all claims, demands, rights,
causes of action, damages, losses, attorneys' fees and expenses, and costs of every kind and
nature whatsoever, known or unknown, fixed or contingent, which any of the Parties to this
Agreement may now have or may hereinafter have, which arise from and/or relate to the
prosecution and defense of the Action, including any claim asserted by any of the Parties therein
related to the Property or the Park.
6. Waiver of Civil Code Section 1542. Except as specifically noted in this
Agreement, it is the intention of the Parties that the release entered into as part of this Agreement
shall be effective as a bar to any and all past, present or future actions, causes of action, liens,
rights, bid preparation costs, obligations, costs, interest, expenses, attorney's fees, damages,
losses, claims, liabilities, demands and compensation of any character, nature and kind, known or
unknown, disclosed or undisclosed, whether or not anticipated, or in any way related to the
Action, to be so barred; in furtherance of which intention the Parties expressly waive any and all
right and benefit conferred upon the Parties by the provisions of Section 1542 of the California
Civil Code, which reads as follows:
A general release does not extend to claims which the creditor
does not know or suspect to exist in his or her favor at the time
of executing the release, which if known by him or her must
have materially affected his or her settlement with the debtor.
The Parties hereby acknowledge that the foregoing waiver of the provisions of
Section 1542 of the California Civil Code was bargained for separately. The Parties hereto
expressly agree that the release provisions herein contained shall be given full force and effect in
accordance with each and all of their express terms and provisions, including but not limited to
those terms and provisions relating to unknown or unsuspected claims, demands and causes of
action hereinabove specified. The Parties specifically agree to assume the risk of the subsequent
discovery or understanding of any matter, fact or law which if now known or understood would
in any respect have affected this Agreement.
7. Denial of Liability. The Parties agree and mutually acknowledge that this
Agreement is for settlement purposes only. The Parties have denied, and continue to deny, any
liability in connection with the Action. Neither this Agreement nor any action taken pursuant to
this Agreement shall constitute any admission of any wrongdoing, fault, violation of law, or
liability of any kind on the part of the Parties.
17942.00080\6863375.2 2
8. No Assignment of Claim. The Parties hereby represent, warrant and agree that
they will not and have not committed or permitted or agreed to any sale, encumbrance,
hypothecation or transfer, whether by operation of law or otherwise, of any type, of the claims,
rights or causes of action to be released or discharged or which otherwise would have been
affected pursuant to the provisions of this Agreement.
9. Integrated Agreement. This Agreement is the final and entire agreement between
the Parties concerning the subject matter of this Agreement. All agreements of the Parties with
respect to the subject matter hereof are in writing and supersede all prior written and oral
agreements and understandings of the Parties. This Agreement cannot be modified except by a
written document signed by all of the Parties. None of the Parties are relying upon any other
negotiations, discussions or agreements in connection with the subject matter of this Agreement.
This is a fully integrated agreement.
10. Representation and Warranty. Each party hereby represents and warrants that it is
the sole and rightful owner of all rights, title, and interest in every claim and other matter which
it releases herein and has not heretofore assigned or otherwise transferred any interest in any
claim which it may have against any other party or any party's respective parents, affiliates,
subsidiaries, predecessors, and each other person or entity released and discharged pursuant to
this Agreement.
11. Independent Representation by Counsel. The Parties represent and declare that in
executing this Agreement they rely solely upon their own judgment, belief and knowledge, and
the advice and recommendations of their own independently-selected counsel, concerning the
nature, extent and duration of their rights and claims hereunder, and that, except as provided
herein, they have not been influenced to any extent whatsoever in executing this Agreement, by
any representations, statements or omission pertaining to any of the matters herein contained by
any party or by any persons representing any party.
12. Governing Law. This Agreement shall in all respects be interpreted, enforced and
governed by and under the laws of the State of California applicable to instruments, persons and
transactions having legal contacts and relations solely within the State of California.
13, Construction, This Agreement has been jointly negotiated and drafted. The
language of this Agreement shall be construed as a whole according to its fair meaning, and not
strictly for or against any of the Parties.
14. Execution in Counterparts. This Agreement may be executed in counterparts by
the Parties and shall become effective and binding upon the Parties at such time as all of the
signatories hereto have signed the original or a counterpart original of this Agreement. All
counterparts so executed shall constitute one Agreement, binding upon all of the Parties hereto,
notwithstanding that all of the Parties are not signatory to the original or the same counterpart.
15. Attorneys' Fees. Should any Party hereto retain counsel for the purpose of
enforcing or preventing the breach of any provision of this Agreement as set forth in the
Agreement, including but not limited to, instituting or defending any action or proceeding to
enforce any provision of this Agreement, including for damages by reason of any alleged breach
17942.00080\6863375.2 3
or for a declaration of such Party's rights or obligations hereunder or for any other judicial
remedy, then the prevailing Party shall be entitled to be reimbursed by the losing Party for all
costs and expenses incurred thereby, including, but not limited to, actual attorneys', paralegals',
experts' and accountants" fees.
16. Severability. If any portion of this Agreement is declared by a court of competent
jurisdiction to be invalid, illegal, unconstitutional or unenforceable, such portion shall be deemed
severed from this Agreement and the remaining parts shall remain in full force and effect as if no
invalid or unenforceable provisions had been part of this Agreement.
17. Survivability of Covenants. All representations and agreements set forth in this
Agreement shall be deemed continuing and shall survive the execution date of this Agreement.
18. Covenant to Take Further Actions Necessary. The Parties hereby agree to
execute such other documents and to take such other actions as may be reasonably necessary to
further the purposes of this Agreement, with the Parties to bear their own costs and attorneys'
fees for these additional actions.
19. No Third - Party Beneficiaries. Except for the rights of beneficiaries pursuant to
the releases provided, there are no third-party beneficiaries to this Agreement and nothing herein
shall confer any enforceable rights on non-signatory persons or entities.
20. Successors and Assigns. Each of the terms of this Agreement is binding upon
each of the Parties and their respective predecessors, assigns, executors, administrators,
representatives, principals, insurers, agents, and successors-in-interest.
21. Effective Date. This Agreement shall be effective as of the date of its complete
execution by the last signing Party.
DATED: Auguste, 2011 ALADDIN ENTERTAINMENT GROUP LLC
By.
ame: James W. Braswell
/ Title: Manager
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DATED: August , 2011 THE CITY OF REDLANDS
By:
Name:
Title:
APPROVED AS TO FORM AND CONTENT:
DATED: August 31 , 2011 CITY OF REDLANDS CITY ATTORNEY
By: N�)�
DA IEL J CHUGH
Attorney for Plaintiff
THE CITY OF REDLANDS
DATED: August 31 , 2011 VARNER & BRANDT LLP
By: jf-��
BRUCE VA NER
Attorneys for Defendant
ALADDIN ENTERTAINMENT GROUP,
LLC
17942.00080',.6863375.2 5
Settlement Disclosure - City Attorney McHugh informed the City Council of the public
disclosure, in accordance with the Redlands Municipal Code, of details of a
settlement agreement between the City of Redlands and Aladdin Entertainment,
LP. The agreement is the result of Case No_ CIVDS 946028, a Complaint filed
by the City of Redlands in San Bernardino Superior Court against Aladdin,
amongst others, seeking to abate alleged violations of a Conditional Use Permit
for Pharoah's Lost Kingdom theme park, as well as the Drug Abatement Act.
Under terms of the settlement, Aladdin will pay to the City of Redlands the total
sum of $23,540 and Redlands will dismiss the Complaint with prejudice. The
parties shall each bear their own attorneys' fees and other costs incurred in
relation to the Case. Councilmember Bean recused himself from discussion on
this item due to his source of income relationship with the Aladdin. As a public
comment, Steve Rogers expressed confusion at the settlement.
Committee Appointments - On motion of Councilmember Gardner, seconded by
Mayor Aguilar, the City Council unanimously approved the appointment of
Weldon Foster Clegg and Linda Richards to fill unexpired terms, and the
reappointment of Jim Rock and Paul Woltze to serve additional terms. All four
terms will end February 16, 2415.
COUNCILMEMBER ACTIVITIES.
Coffee with the Council - Mayor Aguilar mentioned his and Councilmember
Bean's very successful meeting with Redlands residents in August. The next
coffee meeting is scheduled at Stell Coffee & Tea Company on September 17,
2011.
Atta Boys - Councilmember Gardner noted a significant number of
complimentary e-mails received lately from residents appreciative of good
service provided by City of Redlands staff. He congratulated everyone and
encouraged them to keep up the good work.
SCAG - Councilmember Harrison discussed three documents the Southern.
California Association of Governments (SCAG) is currently addressing: the
Regional Transportation Plan, the Sustainable Communities Strategy and the
Housing Allocation. There will be public hearings to address all three. These
documents will affect the City of Redlands and residents are encouraged to
review them at www,scaa_ca.gov, go to the public hearings and provide
comment on them.
SANBAG - Mayor Aguilar highlighted a concept of toll "hot lanes" being
proposed at San Bernardino Associated Governments (SANBAG) meetings for
Interstate 10 in the Redlands area. He said, as the City's representative to
SANBAG, he would be soliciting inputs from his fellow Councilmembers as to a
position for or against such proposals.
September 6,2011
Page 10
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Office of the Daniel J. McHugh
City Attorney
City Attorney Michael[leiter
City of Redlands Assistant City Attomcy
MEMORANDUM.
'TO: CITY CLERK
FROM: SHERI A. SEBASTIAN
LEGAL SECRETARY
DATE: SEPTEMBER 7, 2011 r
RE: SETTLEMENT AGREEMENT--ALADDIN ENTERTAINMENT, LLC. fit.
CITY OF REDLANDS V. THE CALIFORNIA GATEWAY, ET AL.
Sam: Attached please find an original executed Settlement Agreement with Aladdin
Entertainment LLC regarding the above-referenced case for your tiles. Should you have any
questions regarding this matter, please feel free to contact rne.
SHERI A. SEBASTIAN
Attachment
P.O. Box 3005 • Redlands, CA 92373 • (909) 798-7595 - FAX (909) 798-7503
I:c,a'nanr'CivilThauaoh"s(Case No.CIVUS y(Ib(7?&11Cnm la'.mrrnu.city'clerk Sctalraz ent Agni Aladdin doc