HomeMy WebLinkAboutContracts & Agreements_40-2022SETTLEMENT AGREEMENT AND RELEASE
THIS SETTLEMENT AGREEMENT AND RELEASE ("Agreement") is made and
entered into this 3b TH day of March, 2022 ("Effective Date") between SBCW Consulting,
Inc , a California corporation ("SBCW") and the City of Redlands, a California general law city
("City"). SBCW and City are sometime individually referred to herein as a "Party" and, together,
as the "Parties "
RECITALS
WHEREAS, on July 22, 2020, SBCW filed a complaint against City in California Supenor
Court, San Bernardmo County, as Case No C1VDS2015309 titled S B C W Consultzng, Inc , a
California corporation v City of Redlands ("Action"), and
WHEREAS, having agreed to compromise, settle and discharge all claims, controversies,
demands, and actions, or causes of action, which SBCW may have or claim to have agamst City,
(including, without limitation, those claims made in the Action), the Parties to this Agreement now
desire to memorialize that agreement in this fmal form,
NOW, THEREFORE, IN CONSIDERATION of the promises, covenants and agreements
herein contained, the Parties agree as follows.
1 In exchange for the promises and releases contained herein, City agrees to pay the
following in full settlement of any and all of SBCW's claims as set forth in the Action
("Settlement Payment").
Fifteen thousand dollars ($15,000), shall be paid by check made out to
"S B C W Consulting, Inc " The Settlement Payment will be made
within thirty (30) days of this Agreement being fully executed and
City's receipt of SBCW's form W-9.
2 Concurrently with the execution of this Agreement, SBCW shall execute such
documents and perform such acts as are necessary to withdraw and/or dismiss with prejudice the
Action and any other charges or complaints filed with any state or federal agency or court against
City, as well as all agents, officers, directors, shareholders, employees, representatives, affiliated
companies, sister companies, parent companies, contractors, and all persons actmg by, through,
under, or in concert with any of them SBCW shall file and serve a dismissal, with prejudice, of
the entirety of the Action within five (5) days of receiving the Settlement Payment
3 In exchange for the promises contained herein, SBCW, and its successors and
assigns, hereby irrevocably and unconditionally releases, acquits and forever discharges City, as
well as all of City's current or former elected and appomted officials, officers, employees, and
agents, and all persons actmg by, through, under or in concert with any of them, and each of their
respective heirs, successors, and assigns (collectively, "Releasees"), or any of them, from any and
all charges, complaints, claims, liabilities, obligations, promises, agreements, controversies,
damages, actions, causes of action, suits, rights, demands, costs, losses, debts and expenses
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(including attorneys' fees and costs actually incurred) of any nature whatsoever, known or
unknown, suspected or unsuspected, raised or related to the Action.
4 It is understood and agreed that this is a full, complete and final general release of
any and all claims described as aforesaid, and that it shall apply to all unknown, unanticipated,
unsuspected and undisclosed claims, demands, liabilities, actions or causes of action, in law,
equity, or otherwise, as well as those which are now known, anticipated, suspected, or disclosed as
of the date of the execution of this Agreement.
5 SBCW hereby acknowledges that it has been fully advised by its attorneys of the
contents of Section 1542 of the Civil Code of the State of California. Section 1542 reads as
follows.
Section 1542. (General Release.) A general release does not extend
to claims that the creditor or releasing party does not know or
suspect to exist in his or her favor at the time of executing the
release and that, if known by him or her, would have materially
affected his or her settlement with the debtor or released party
SBCW, being aware of said code section, hereby expressly waives and relinquishes all rights and
benefits under that section and any law or legal principle of similar effect in any jurisdiction with
respect to the releases granted in this Agreement.
6 SBCW agrees, represents and warrants it shall have sole responsibility for the
satisfaction of any and all taxes, liens or assignments in law or equity, or otherwise, that may exist
with respect to any payment by City pursuant to this Agreement, and that it will fully satisfy all
taxes, liens, and assignments upon receipt of the settlement payments. SBCW further agrees to
indemnify Releasees for, and hold Releasees harmless from, any taxes, penalties, or interest paid
by them as a result of any receiving party's failure to pay taxes, and to reimburse Releasees for
any attorneys' fees or costs incurred in defending any claim that Releasees wrongfully failed to
withhold any moneys from the amount paid pursuant to this Agreement.
7 Except as explicitly provided herein, SBCW and City will each respectively bear
their own costs, expenses, and attorneys' fees, whether taxable or otherwise, incurred in or ansing
out of or in any way related to the matters released herein.
8 It is understood and agreed that this is a compromise settlement of disputed claims
and that the promises and payment in consideration of this Agreement shall not be construed to be
an admission of any liability or obligation whatsoever by any Party or the Releasees to SBCW, or
to any other person whomsoever
9 The Parties represent and acknowledge that in executing this Agreement, they do not
rely upon, and have not relied upon, any representation or statement not set forth herein with
regard to the subject matter, basis or effect of this Agreement or otherwise.
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10 This Agreement contains the entire agreement between the Parties and constitutes the
complete, final and exclusive embodiment of their agreement with respect to the subject matter
hereof. The terms of this Agreement are contractual and not a mere recital
11 This Agreement shall bind the successors and assigns of each Party, and inure to the
benefit of each Party's, and the Releasees, agents, directors, officers, employees, servants,
successors and assigns
12 SBCW hereby warrants and represents that it has not transferred or assigned, or
attempted to transfer or assign, any of the claims released hereunder
13 This Agreement shall be deemed to have been entered into and shall be construed and
enforced m accordance with the laws of the State of California as applied to contracts made and to
be performed entirely within California The provisions of this Agreement are severable, and if
any of its provisions are found to be unenforceable, the remaining provisions shall remain fully
valid and enforceable This Agreement shall survive the termination of any arrangements
contained herein.
14 This Agreement may be executed in any number of counterparts and the acceptance
of either Party to the terms hereof may be evidenced by the fax or email transmission of a Party's
signature
15 If any action at law or equity is brought to enforce or interpret the terms of this
Agreement, the prevailing Party shall be entitled to recover all costs and attorneys' fees
date.
IN WITNESS WHEREOF, the Parties have executed this Agreement as of its Effective
DLANDS
S B C.W. CONSULTING, INC
Paul T Banch, Mayor Name, Title
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ATTEST
e Donaldson, City Clerk
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