HomeMy WebLinkAboutDeeds & Easements-1-88a RDA_CCv0001.pdf SETTLEMENT AND GENERAL RELEASE: AGREEMENT AND
AGREEMENT TO PURCHASF PROPERTY
1. Parties. The parties to this settlement and
general release agreement and agreement to purchase property
( "Agreement") are the Redevelopment Agency of the City of
Redlands, a public agency ( "Agency" ) , and George F.
Elmendorf, dba Libros Latinos ( "Elmendorf" ) .
2. Recitals . This Agreement is made with
reference to the following facts:
(A) Elmendorf is the owner of an undivided
one-half interest in certain real property located in the
City of Redlands, San Bernardino County, California ( "the
property" ) , and more particularly described in Exhibit "A"
attached hereto.
(B) On or about January 9 , 1987, the Agency
filed a complaint in eminent domain against Elmendorf
(Redevelopment Agency of the City of Redlands v. Dill, et
al. Case No. 235921, San Bernardino Superior Court) relating
to what is described in the complaint as subject
property 19.
(C) On or about February 13, 1987, Elmendorf
filed an answer to this complaint .
(D) The Agency desires to resolve and settle,
once and for all times, all present, past and future
controversies, claims, 'causes of action or purported causes
of action, differences or disputes, both real and potential,
arising between the Agency and Elmendorf in the litigation
between them described in these recitals.
(E) This Agreement is a compromise in
settlement of the claims and liabilities arising from the
aforesaid litigation as it relates to subject property 19
and the parties and shall never be treated as an admission
of liability or value by the Agency or Elmendorf for any
purpose.
3. Agreement to Sell and Purchase the Property.
(A) General Terms of Sale and Purchase of the
Property
( i) Escrow shall be opened for the pur-
pose of consummating the sale and purchase of the property
as hereinafter provided. The Agency and Elmendorf shall,
during the escrow period, execute all documents, in
recordable form if necessary, and shall perform all acts
reasonably necessary and appropriate to consummate the
purchase and sale of Elmendorf' s entire rights, title and
interest in and to the property pursuant to the terms of
this Agreement.
( ii) Elmendorf shall deposit into the
escrow, at least three business days prior to the close of
escrow, a duly executed grant deed in recordable form trans-
ferring his entire interest in the property to the Agency.
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( iii ) The Agency shall deposit into the
escrow, on or before the close thereof, the sum of $66,500 . 00
for the property. Elmendorf acknowledges that he and Stuart
Avenue Properties withdrew the deposit of probable compensa-
tion made by the Agency under Section 1255 . 010 of the Code
of Civil Procedure. The amount withdrawn was $347,000.00 ,
plus interest. One half of this sum ( including interest)
was received by or on behalf of Elmendorf , receipt of which
is hereby acknowledged by Elmendorf .
( iv) Elmendorf represents that Redlands
Financial Services, Inc. , was a trustee under a deed of
trust, through which Redlands Federal Savings and Loan
Association, a federal association, was the beneficiary.
Elmendorf further represents that the aforementioned deed of
trust has been reconveyed and released and that (with the
exception of Stuart Avenue Properties, a limited part-
nership) no other person or entity, including Redlands
Financial Services, Inc. and Redlands Federal Savings and
Loan Association, possesses an interest, including by way of
encumbrance, in the property. If any person or entity other
than Stuart Avenue Properties does have an interest in the
property, escrow may not close unless counsel for the Agency
waives this condition in writing .
(v) Real and personal property taxes and
interest on any assessments shall be prorated as of the
close of escrow but only with respect to taxes that accrued
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on the property as of April 13 , 1987 ( the date the Agency ' s
order for possession took effect) . The unpaid principal
amount of any unpaid assessments, penalties or taxes due
prior to the close of escrow shall be credited to the Agency
and shall reduce the total amount to be deposited in
escrow. All such taxes shall be prorated based upon
Elmendorf ' s undivided one-half interest .
(vi ) Elmendorf shall be responsible for
any costs incurred in removing any and all liens on the
property incurred during the time of Elmendorf ' s ownership
of the property, including, but not limited to, the lien of
any deeds of trust or mortgage encumbering the property, as
well as any prepayment penalties.
(vii ) The Agency shall receive and pay
for a CLIA Owner ' s Policy of Title Insurance in the amount
of $240,000 .00, showing title for an undivided one-half
interest vested in the Agency.
(B) Escrow Instructions
( i ) Within five business days after the
execution of this Agreement by Elmendorf and the Agency, the
parties shall open an escrow at First American Title Company
(FATCO) , through which the purchase and sale of the property
shall be consummated. Executed counterparts of this Agree-
ment shall be deposited with Escrow Holder to act as escrow
instructions to Escrow Holder .
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( ii) Escrow Holder is authorized and
instructed to deliver, pursuant to the terms of this Agree-
ment, the documents and monies to be deposited into the
escrow. The following terms and conditions shall apply to
such escrow:
a. The Agency and Elmendorf hereby
agree to be bound by each of the terms, covenants, condi-
tions and agreements contained in Escrow Holder 's standard
printed conditions and stipulations with respect to escrows
concerning the purchase and sale of real property. In the
event of a conflict between the Escrow Holder 's printed form
and this Agreement, this Agreement shall govern.
b. The term "opening of escrow" as
used herein shall be deemed to be the date upon which Escrow
Holder receives copies of this Agreement signed by all of
the par es hereto. beor
C. Close of escrow shall occur on
or before 1988.
d. The Agency shall pay all cost
of escrow and recording fees incurred in this transaction,
and title insurance policy expenses . Escrow and recording
costs shall not, however, include reconveyance fees,
trustee's fees, forwarding fees, or penalty for any full
reconveyance of deed of trust or full release of mortgage
paid.
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e. If the Escrow Holder is unable
to comply with the escrow instructions contained in this
agreement it shall do so as soon thereafter as it is able to
do.
(C) Representations, Covenants and Agreement
of Elmendorf.
Elmendorf hereby warrants and represents to
and covenants and agrees with the Agency each of the follow-
ing, all of which shall be true, accurate and correct as of
the date hereof, and as of the close of escrow:
( i ) Elmendorf owns the property and has
full power and authority to transfer the property and to
enter into and fully perform and comply with all of the
terms of this Agreement.
( ii ) This Agreement and performance of
each of the covenants and agreements of Elmendorf hereunder
do not and will not violate any other agreement to which
Elmendorf is a party.
( iii ) To the best knowledge of Elmendorf,
after due inquiry, there are no actions, suits or proceed-
ings pending against the property or any portion thereof
before any court or before any federal, state, county or
municipal department, commission, board, bureau or agency or
other governmental instrumentality, nor are there any such
actions, suits or proceedings pending which could or would
affect his ability to perform his obligations under this
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0
Agreement, except for those actions that are described in
the recitals herein.
( iv) Elmendorf shall deliver, at the
close of escrow, good and marketable fee title to the
property.
(v) There are not and will not be any
contracts, or agreements, whether written or oral, with
respect to the ownership, maintenance or operation of the
property which will be binding upon or any way affect,
impair, or diminish any of the Agency' s rights, title and
interest in, to and under the property.
4. Settlement and General Release.
(A) Upon the close of escrow, the Agency
shall cause its attorneys to file with the San Bernardino
County Superior Court a dismissal of any action it has
against Elmendorf in San Bernardino Superior Court Case
No. 235921 as it relates to subject property 19.
(B) Elmendorf and the Agency, and each and
all of their individual and collective agents, represen-
tatives, attorneys, principals, predecessors, successors,
assigns, administrators, executors, heirs, and beneficiar-
ies, hereby release the other party, and each and all of the
other ' s agents, representatives, attorneys, principals,
predecessors, successors, assigns, and each of them, from
any and all obligations, liabilities, claims, costs,
expenses, demands, debts, controversies, damages, causes of
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action, including without limitation those relating to just
compensation, relocation assistance, attorneys fees,
interest, fixtures and equipment, good will, and precondem-
nation damages, under state and federal law, which any of
them now have, or might hereafter have by reason of any
matter or thing arising out of or in any way relating to San
Bernardino Superior Court Action No. 235921 as it relates to
subject property 19 .
(C) Elmendorf and the Agency recognize that
it is the intent of the parties in entering into this
Agreement to resolve all claims, litigation, disputes and
controversies that Elmendorf and the Agency have with each
other, and each and all of their individual and collective
agents, representatives, attorneys, principals, predeces-
sors, successors, assigns, administrators, executors, heirs,
and beneficiaries, may have relating to or arising out of
San Bernardino Superior Court Action No. 235921 as such
action relates to subject property 19 , and Elmendorf and the
Agency, on behalf of themselves and the aforementioned
persons and entities, warrant and represent as follows:
Elmendorf and the Agency, and each and all of their
individual and collective agents, representatives,
attorneys, principals, predecessors, successors, assigns,
administrators, executors, heirs, and beneficiaries, have
not assigned any right, title, or interest in or to any
claim or cause of action which may presently exist or may
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have existed in the past or may exist in the future against
the other or their assigns and related persons and entities.
(D) Elmendorf and the Agency represent and
warrant that in agreeing to the terms of this Agreement they
have read the Agreement, they have had the Agreement
explained to them by counsel of their choice, they are aware
of the content and legal effect of this Agreement, they are
acting on the advice of counsel of their choice and they are
not relying on any representations made by the other, or by
any of the employees, agents, representatives or attorneys
of the other , or any of them, except as expressly set forth
in this Agreement.
(E) Elmendorf and the Agency, on behalf of
themselves, and each and all of their individual and collec-
tive agents, and representatives, attorneys, principals,
predecessors, successors, assigns, administrators, execu-
tors, heirs and beneficiaries, agree and covenant not to
enter into any lawsuit which is based on any claims to be
released or resolved by this Agreement, or is in derogation
of this Agreement.
(F) Elmendorf acknowledges that they have
been advised by their attorneys concerning, and are familiar
with, the provisions of California Civil Code Section 1542,
which provides as follows:
"A general release does not extend
to claims which the creditor does
not know or suspect to exist in its
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favor at the time of executing the
release, which if known by him must
have materially affected the
settlement with the debtor . "
(G). Elmendorf acknowledges that he and the
others that they are acting on behalf of herein may have
sustained damage, loss, cost or expenses that are presently
unknown and unsuspected, and such damage, loss, cost or
expenses which may have been sustained may give rise to
additional damages, loss, costs or expenses in the future.
Nevertheless, Elmendorf acknowledges that this Agreement has
been negotiated and agreed upon in light of that situation,
and hereby expressly waives any and all rights which he or
those that he is acting on behalf of herein have or may have
under California Civil Code Section 1542, or under any
statute or common law principle of similar effect.
5. Additional General Terms.
(A) Elmendorf and the Agency hereby agree to
indemnify the other and save and hold the other harmless
from and against damages (which term shall mean actual cash
expenditures arising out of, resulting from or related to
any damage, liability, loss, cost or deficiency, including
but not limited to, reasonable attorney fees and other costs
and expenses incident to proceedings or investigations or
the defense of any claim) arising out of, resulting from or
relating to:
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( i ) Any inaccuracy in the representation
or the breach of any warranty under this Agreement; and
( ii ) Any failure to duly perform and
observe any term, provision, covenant or agreement to be
performed or observed pursuant to this Agreement.
(B) Agency shall, in addition to all other
rights provided herein or as may be provided by law, be
entitled to the remedies of specific performance and injunc-
tion to enforce its rights hereunder in the event of a
breach by Elmendorf, it being understood because of the
special and unique character of the property and the pro-
posed project thereon, a remedy at law may be insufficient
to reimburse Agency for any default of Elmendorf under this
Agreement.
(C) Each provision contained in this Agree-
ment shall survive the close of escrow.
(D) This Agreement constitutes the entire
agreement between the parties . No modification of this
Agreement shall be valid, unless in writing, signed by the
parties. The parties shall not be bound by any representa-
tion, warranty, promise, statement or information, unless it
is specifically set forth in this Agreement.
(E) Failure of any party to insist upon
strict observance of or compliance with any term of this
Agreement in one or more instances shall not be deemed to be
a waiver of any party' s rights to insist upon such obser-
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vance or compliance with the other terms hereof, or in the
future.
(F) Time shall be of the essence as to all
dates and times of performance contained in this Agreement.
(G) The Agency and Elmendorf agree to execute
and file and to join in the execution and filing of any and
all agreements, consents, or other documents reasonably
necessary to effect the consummation of this Agreement, as
either party may reasonably require.
(H) This Agreement shall bind and inure to
the benefit of the heirs, executors, administrators, succes-
sors and assigns of Elmendorf and the Agency.
( I) Elmendorf and the Agency in signing this
Agreement on behalf of themselves, and each and all of their
individual and collective agents, representatives,
attorneys, principals, predecessors, successors, assigns,
administrators, executors, heirs, and beneficiaries, hereby
represent and warrant that they are duly authorized to sign
this Agreement and act on behalf of said persons and
entities.
(J) The parties may execute duplicate origi-
nals of this Agreement .
(K) This Agreement shall be construed under
the laws of the State of California. Elmendorf and the
Agency agree that any action relating to this Agreement
shall be instituted and prosecuted in the County of San
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Bernardino, California. Elmendorf and the Agency consent to
the personal jurisdiction of the courts in the County of San
Bernardino and waive the right to a change of venue.
(L) Elmendorf and the Agency each agree that
they will not look to any other party for payment of any or
all attorney fees and other costs heretofore incurred by
them.
AGREED:
REDEVELOPMENT AGENCY
OF THE CITY OF REDLANDS
By: � .Ea`j S °. f '� m'� �4
Chair
ATTEST:
By:
Dated this 5th day of July ,
Secret y -77IT 1988 .
Approved as to Form and Content :
Kendall H. MacVey
Best, Best & Krieger
Counsel for the Redevelopment
Agency of the City of Redlands
AGREED:
GEORGE F. ELMENDORF
By:
George F. Elmendorf/
dba Libros Latinos
Approved as to m and Content :
eel">
Allen Grfsrilm
Gresham, Varner , Savage,
Nolan & Tilden
Counsel for George F. Elmendorf
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EXHIBIT A
PROPERTY SUBJECT TO AGREEMENT
Undivided one-half interest in fee simple absolute
for the real property situated in the County of San
Bernardino described as follows :
Lots 1 to 6, inclusive, Block "C" , of
Balcom' s Addition to the City of
Redlands, in the City of Redlands, County
of San Bernardino, as per plat recorded
in Book 13, page 4 of Maps, in the office
of the recorder of said County.
EXCEPT therefrom that portion of Lot 6,
conveyed to the State of California by
deed recorded February 20, 1961, in Book
5356, page 129, Official Records.
KHM0296