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HomeMy WebLinkAboutContracts & Agreements_207-2014_CCv0001.pdf AGREEMENT OF SETTLEMENT AND GENERAL RELEASE 1. PARTIES: The parties to this Agreement of Settlement and General Release ("Agreement"), made and entered into as of the 21" day of October, 2014 ("Effective Date") are Rebecca Reyes ("Reyes") and the City of Redlands ("City"). 2. RECITALS: This Agreement is made with reference to the following facts: 2.1 Certain disputes and controversies have arisen between the parties hereto relating to the failure of a sewer lateral. On June 11, 2014, Reyes filed a claim with the City alleging her sewer lateral, located at 1216 Ohio Street in the city of Redlands, failed as a result of the City's April 3, 2014, resurfacing project. On June 24, 2014, the Municipal Utilities and Engineering Department, responsible for the resurfacing project, rejected the claim due to a lack of evidence supporting Reyes' claim. 2.2 It is the intention of the parties hereto to settle and dispose of, fully and completely, any and all claims, demands and cause or causes of action existing as of the Effective Date of this agreement and arising out of, connected with, or incidental to the dispute described in Section 2.1 above, between the parties hereto. 3. PAYMENT: Within ten (10) days of the Effective Date of this Agreement, City shall pay to Reyes the sum of ten thousand dollars ($10,000). 4. GENERAL RELEASE: In consideration of the mutual general releases contained herein, and for other good and valuable consideration,the receipt of which is acknowledged by each party hereto, Reyes promises, agrees and generally releases as follows: 4.1 Except as to such rights or claims as may be created by this Agreement, Reyes hereby releases,remises and forever discharges City from any and all claims,demands and cause or causes of action existing as of the Effective Date and arising out of, connected with or incidental to the disputes and controversies between the parties hereto prior to the Effective Date of this Agreement. 4.2 Reyes specifically waives the benefit of the provisions of Section 1542 of the Civil Code of the State of California, 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 settlement with the debtor. 5. REPRESENTATIONS AND WARRANTIES: Each of the parties to this Agreement represents and warrants to,and agrees with, each other party hereto, as follows: 1 I:\ca\djm\Agreements\Rebecca Reyes Settlement Agreement 10.21.14.doe 5.1 Each of the parties has received independent legal advice from their respective attorneys with respect to the advisability of making the settlement provided for herein,with respect to the advisability of executing this Agreement, and with respect to the meaning of California Civil Code Section 1542. 5.2 No party (nor any officer, agent, employee, representative, or attorney of or for any party), has made any statement or representation or failed to make any statement or representation to any other party regarding any fact relied upon in entering into this Agreement, and each party does not rely upon any statement, representation, omission or promise of any other party (or of any officer, agent, employee, representative, or attorney of or for any party), in executing this Agreement, or in making the settlement provided for herein, except as expressly stated in this Agreement. 5.3 Each of the parties has made such investigation of the facts pertaining to this settlement and this Agreement, and all the matters pertaining thereto, as it deems necessary. 5.4 Each of the parties has read this Agreement and understands the contents hereof. 5.5 In entering into this Agreement and the settlement provided for herein, Reyes assumes the risk of any misrepresentation, concealment or mistake. If Reyes should subsequently discover that any fact relied upon by her in entering into this Agreement was untrue, or that any fact was concealed from her, or that her understanding of the facts or of the law was incorrect, Reyes shall not be entitled to any relief in connection therewith including, without limitation on the generality of the foregoing,any alleged right or claim to set aside or rescind this Agreement. This Agreement is intended to be and is final and binding between the parties hereto, regardless of any claims of misrepresentation, promise made without the intention to perform, concealment of fact, mistake of fact or law, or of any other circumstance whatsoever. 5.6 Reyes has not heretofore assigned, transferred, or granted, or purported to assign, transfer, or grant, any of the claims, demands, and cause or causes of action disposed of by this Agreement. 5.7 Each term of this Agreement is contractual and not merely a recital. 5.8 Reyes is aware that she may hereafter discover claims or facts in addition to or different from those she now knows or believes to be true with respect to the matters related herein. Nevertheless, it is the intention of the parties to fully, finally and forever to settle and release all such matters, and all claims relative thereto, which do now exist, may exist, or heretofore have existed between them. In furtherance of such intention, the releases given herein shall be and remain in effect as full and complete mutual releases of all such matters, notwithstanding the discovery of existence of any additional or different claims of facts relative thereto. 6. SETTLEMENT This Agreement effects the settlement of claims which are denied and contested, and nothing contained herein shall be construed as an admission by any party hereto of any liability of any kind to any other party. Each of the parties hereto denies any 2 I:lcaldjm\Agreements\Rebecca Reyes settlement Agreement IO 21.14.doc liability in connection with any claim and intends hereby solely to avoid litigation and buy its peace. 7. MISCELLANEOUS: 7.1 This Agreement shall be deemed to have been executed and delivered within the State of California and the rights and obligations of the parties hereto shall be construed and enforced in accordance with, and governed by,the laws of the State of California. 7.2 This Agreement is the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous oral and written agreements and discussions. This Agreement may be amended only by an agreement in writing, signed by the parties hereto. 7.3 This Agreement is binding upon and shall inure to the benefit of the parties hereto,their respective agents, employees,representatives, officers,directors,divisions,subsidiaries,affiliates, assigns, heirs, successors in interest and shareholders. 7.4 Each party has cooperated in the drafting and preparation of this Agreement. Hence, in any construction to be made of this Agreement, the same shall not be construed against any party. 7.5 In the event of litigation relating to this Agreement,the prevailing party shall be entitled to attorneys' fees and costs, including fees for use of in-house counsel by a party. Pete Aguilar, Mayor Rebecca Reyes, Propel wrier ATTEST: e�4 Sam Irwin, zty tlerk 3 IAcaldjmlAgreements\Rebecca Reyes Settlement Agmement 10.21.14.doc