Loading...
HomeMy WebLinkAboutContracts & Agreements_55-2015_CCv0001.pdf Stock Purchase Agreement This Stock Purchase Agreement ("Agreement") is made and entered into as of April 7, 2015 ("Effective Date"), by and between the City of Redlands ("City") and John E. Serrano and/or Kathleen A. Serrano, trustee(s) or successor trustee(s) of the Serrano Trust dated February 7, 2007 ("Seller"). City and Seller are sometimes collectively referred to in this Agreement as the "Parties"and individually as a"Party." Recitals WHEREAS, Seller is currently the registered owner of 1.5 shares of common stock of the West Redlands Water Company("West Redlands"); and WHEREAS, Seller has agreed to offer City the opportunity to purchase One and One Half(1.5) shares of West Redlands common stock(the "Shares"); and WHEREAS, City desires to exercise such purchase opportunity and purchase the Shares from Seller, upon the terms and conditions and for the consideration set forth in this Agreement; - NOW, THEREFORE, in consideration of the mutual covenants herein contained, the Parties agree as follows: Operative Previsions 1. Incorporation of Recitals. The Itecit4.ls set forth above are material and by this reference are incorporated herein and made a part of this Agreement. 2. Purchase and Sale of Shares. Subject to the terms and conditions of this Agreement, City agrees to purchase at the Closing, defined below, and. Seller agrees to sell to City One and a One Half(1.5) shares of common stock of West Redlands for the purchase price of Two Thousand Four Hundred and Seventy-Five ($2,475.00) ("Purchase Price"),payable in 1IMi ediately available funds at Closing. 3. Closing,Delivery. (a) The purchase and sale of the Shares shall take place at Redlands, Califopnia, five (5) days after City approves this Agreement, or at such other time and place as City and Seller mutually agree upon, orally or in writing (which time and place are designated as the "Closing"). (b) At the Closing, City shall deliver to Seller the full Purchase Price by cashier's check. 1 G:NUserslserrano\Downloads\Water+Stock+Pumhase+Ag=ment+Serrano+4.7.15(S).doc (c) At the Closing, Seller shall deliver to City an originally executed Stock Assignment in the form attached hereto as Exhibit "A," and by this reference incorporated herein, relinquishing all right, title and interest in the Shares. (d) Seller shall deliver to West Redlands original stock Certificate No. 1105 representing 1.5 shares, which includes the Shares contemplated under this Agreement, for cancellation and issuance of a new certificate to City, representing the Shares. 4; Re resentations Warranties and Covenants of Seller. Seller hereby represents, warrants and covenants to City that: (a) Authorization. This Agreement, when executed and delivered by Seller, shall constitute a valid and legally binding obligation of Seller, enforceable against Seller in accordance with its terms. The Shares are free and clear of all encumbrances, liens and pledges and Seller has the right to sell the Shares in accordance with the terms of this Agreement, (b) Valid Issuance of Securities. The Shares, when sold and delivered in accordance with the terms of this Agreement, will be fully paid and nonassessable and free of restrictions on.transfer other than restrictions on transfer under applicable state and federal securities laws. (c) Annual Assessments. Seller shall have paid all annual assessments for the Shares and respective share certificates as of the transfer date. 5. Survival. The warranties, representations, and covenants of Seller shall survive the execution of the Agreement and the consummation of the purchase and sale of the Shares herein described. 6. Miscellaneous Provisions. (a) Nonassi ability. Neither this Agreement, nor any interest herein, shall be assignable by Seller without the prior written consent of City. (b) Notices. All notices and other communications required or permitted to be given hereunder shall be in writing and shall be sent.by First Class mail, postage prepaid, deposited in the United States mail in California, and if intended for either Party shall be addressed to the address provided below each Party's name on the signature page of this Agreement. Any Party, by written notice to.the other Party, may change the address for notices to be delivered. (c) Inurement. Subject to the restrictions against assignment set forth Above, this Agreement shall insure to the benefit of, and shall be binding upon, the assigns, successors in interest, personal representatives, estates, heirs, and legatees of each of the Parties. 2 C:1UserslserranolDownloads\Water+-Stock+purchase+Agreement+Semmno+4.7.15(5).doc (d) Severability. If any provision of this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions of this Agreement shall continue in full force and effect without being impaired or invalidated in any way and shall be construed in accordance with the purpose and intent of this Agreement. (e) Entire Agreement. This Agreement contains the entire agreement of the Parties, and supersedes any prior written or oral agreement between them concerning the subject matter contained herein. There are no representations,agreements, arrangements, or understandings, oral or written, between and among the Parties,relating to the subject matter contained in this Agreement,which are not fully expressed herein. (f) Counterparts. This Agreement may be executed in one or more counterparts,each of which shall be an original,but all of which together shah be deemed to be one and the same instrument. (g) Governing Law. All questions with respect to the construction of this Agreement,and the rights and liabilities of the Parties, shall be governed by the laws of the State of California. (h) Attorneys' Fees. If any action or proceeding is brought for the enforcement of this Agreement, or because of an alleged dispute, breach, default, or misrepresentation in connection with any of the provisions of this Agreement, the successful or prevailing Party in such action or proceeding shall be entitled to recover reasonable attorneys' fees and other costs incurred in that action or proceeding, including fees for a Party's use of in-house counsel, in addition to any other relief to which such Party may be entitled. [signature pagefollows] 3 C:1Users\serranoTowntoads\Water+Stock+Purchase+Agreement+Serrano+4.7.15(5).doc IN WITNESS WHEREOF,the undersigned have executed this Agreement as of the date first set forth above. SELLER JOHN E.SERRANO AND/OR KATHLEEN A. SERRANO,trustee(s)or successor trustee(s)of the Serrano Trust dated February 5, 2007 By: Name: V cD(hW` Title: stz e-- Address: e fJ, � C-� Litz '3 CITY OFREDLANDS By:(3; Paul W.Foster,Mayor Attest ' By: , Sam hwin, City Ct rk�{ Exhibit"All STOCK ASSIGNMENT 4 G:\Userslserrano\DorvWoads\Water+Stock+Purchase+Agreement+Serrano+4.7.15(5).doc ASSIGNMENT SEPARATE FROM SHARE CERTIFICATE The undersigned, hereby assigns and transfers to City of Redlands, 1.5 shares of common stock of West Redlands Water Company ("West Redlands"), standing in the name of the City of Redlands, on the books of West Redlands and represented by Stock Certificate Number 1145. Dated: 3 —i JOHN E.SERRANO AND/OR KATHLEEN A. SERRANO,trustee(s)or successor trustee(s)of the Serrano Trust dated February 5, 2007 By: GCnu' Name: Title: r Address: 5 C:lUser^slsgrrano\Do-,vnloadslWater+Stook+Purehase+Agreement+Serrano+4.7.15(5).doc