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HomeMy WebLinkAboutCLINICA MEDICA SAN MIGUEL-2010A-2010-223 ALL INCLUSIVE SETTLEMENT AGREEMENT This All Inclusive Settlement Agreement ("ASA" or "Agreement") is entered into on 11 t ?; 2010 between the City of Santa Ana, a charter city and municipal corporation duly organized and existing under the Constitution and laws of the State of California ("City"), and Clinica Medica San Miguel ("Tenant"). City and Tenant may collectively be referred to in this ASA as the "Parties." RECITALS A. Tenant operates a business on the Property commonly known as Clinica Medica San Miguel, and is the occupant of the real property and improvements located at 1302 W. Santa Ana Blvd, also known as 316 N. Bristol Street ("Property"). B. On January 29, 2010, as part of the Bristol Street Widening Project, the City acquired from In Saba, Inc the Property occupied by Tenant. C. The Parties' rights and obligations with regard to the acquisition of the Acquired Property by City are in dispute. The Parties desire to establish their respective rights and obligations and to resolve any and all existing disputes with regard to the acquisition Of the Acquired Property by City upon the terms and conditions as hereinafter set forth. D. Tenant will develop a replacement retail structure ("Replacement Structure") on the lot immediately west and adjacent to the Property, identified as APN 007-183-08. Construction of Replacement Structure is expected to be completed on or about, June 30, 201 1. E. Tenant qualifies as a displaced person under California Code of Regulations, Title 25, Division 1, Chapter 6, and is therefore eligible for relocation benefits as described therein. Tenant acknowledges that they have been informed of the City's relocation program and that they have received written material describing the relocation program, including a General Information Notice, an Informational Brochure and a Notice of Eligibility. Tenant understands that they are under no obligation to enter into this ASA and move into the Replacement Structure. Tenant understands and acknowledges that they may choose to relocate from the Property to an alternate site. Therefore, in consideration of the promises, covenants and agreements hereinafter set forth, and subject to the terms, conditions and provisions of this ASA, the Parties agree as follows: Consideration a. City has determined and Tenant has agreed to accept THREE HUNDRED THOUSAND AND NO/100 DOLLARS ($300,000.00), as compensation for relocation assistance and/or other relocation benefits to which Tenant may be entitled, and any and all loss of business goodwill, leasehold interests, personal property, improvements pertaining to realty, bonus value, severance damages, and any and all other damages to which Tenants may be entitled as a result of City's acquisition of the Acquired Property for the Project. All Inclusive Settlement Agreement Page I Of 9 b. As part of this ASA, City has agreed to sell to Tenant, the Surplus Property, ("Surplus Property") identified in the Exhibit "A" and "B" of this Agreement for THREE HUNDRED THOUSAND FORTY NINE FOUR HUNDRED EIGHTY TWO AND NOA00 DOLLARS ($349,482.00). C. Tenant hereby expressly acknowledges and agrees that it shall acquire the Surplus Property "AS IS" and "WHERE IS," and "WITH ALL FAULTS". Tenant shall acquire the Property after such inspection, analysis, examination and investigation as it cares to make and expressly without City's covenant, warranty or representation, whether express or implied, statutory or otherwise, as to physical condition, environmental conditions, zoning or other regulation, compliance with law, suitability for particular purposes, or any other matter whatsoever. Tenant expressly acknowledges that it shall have been afforded ample opportunity to inspect, analyze and investigate all aspects of the Surplus Property and conditions relevant thereto and the business conducted thereon, and Tenant shall rely on Tenant's own investigation and inspection, and all matters relating thereto and agrees that City has and shall have no liability or obligation whatsoever. Tenant acknowledges that city is not making any representations as to the future granting of any city approvals, if any, required for the development of the Surplus Property. Tenant hereby expressly acknowledges that, notwithstanding anything to the contrary contained in this Agreement or elsewhere, City has not made and shall not be deemed to have made any representations or warranties whatsoever regarding the Surplus Property or otherwise, and there shall be no obligations of City that shall survive the Closing. Tenant hereby assumes all risks in connection with (lie Surplus Property and the matters referred to in this Section. cl. City agrees to convey said Surplus Property to Tenant, by Grant Deed, at the office of First American Title Insurance Company, 2 First American Way, Santa Ana, California, within thirty (30) clays from and after the date on which the City has approved this ASA. e. The Parties agree to open an escrow for the purchase and sale of said Surplus Property in accordance with the terms and conditions of this Agreement (the "Escrow") at the office of First American Title Insurance Company, 2 First American Way, Santa Ana, California, (the "Escrow Agent") within five (5) days from and after the date on which the City has signed this Agreement. This Agreement constitutes the joint escrow instructions between the Parties' and a duplicate original of this Agreement shall be delivered to the Escrow Agent upon the opening of the escrow. Escrow to close within 30 days of the City's execution of this Agreement. The Parties' agree to execute such escrow instructions as the Escrow Agent shall reasonably require in connection with the opening and administration of the Escrow, provided that all such escrow instructions shall be consistent with the terms of this Agreement and any modifications to this Agreement mutually agreed upon by Tenant and City. The Parties agree to split escrow fees 50 percent each. City agrees to pay cost of any transfer taxes, recording fees, cost of title insurance, document preparation f=ees, incidental to the conveying of said real property to City. All Inclusive Settlement Agreement Page 2 of 9 Such real property taxes, if any, on said real property for the fiscal year within which said real property is conveyed to Tenant as are unpaid at the time of said conveyance shall be cleared and paid in accordance with the provisions of Section 4986 of the Revenue and Taxation Code of the State of California. City shall be eligible for a refund under Section 5096.7 of the Revenue and Taxation Code of the State of California for that portion of property taxes on said real property for said fiscal year which have been paid prior to the date the deed conveying said real property to Tenant is recorded which is allocable to that portion of the fiscal year which begins on the date the deed conveying said real property to Tenant is recorded and made uncollectible if unpaid by reason of Section 4986 of the Revenue and Taxation Code of the State of California. All unpaid taxes on said real property for any and all years prior to the fiscal 1'. Payment of Purchase Price. Tenant agrees to use the proceeds it would be entitled to under paragraph la towards the purchase price of the Surplus Property. Tenant agrees to deposit the remainder of the purchase price in the stun of FORTY NINE THOUSAND FOUR HUNDRED EIGHTY TWO AND NO1100 DOLLARS ($49,482) in the Escrow with the Escrow Agent within TEN (10) days from and after the date on which the City has signed this Agreement, and the Escrow Agent is hereby authorized to pay the same to City upon and after: Conveyance of said Surplus Property by City to Tenant as hereinabove provided; Delivery to Tenant a policy of title insurance as hereinabove provided; Recordation of the Grant Deed conveying said Surplus Property to Tenant. g Possession. City agrees to deliver to Tenant, quiet and peaceful possession of said Surplus Property, conditional upon Bristol Drug Co. vacating the lower first floor of the building, located on Property. Tenant agrees to indemnify, defend and hold the City harmless from and against any claim, action, suit, proceeding, loss, cost, damage, liability, deficiency, fine, penalty, punitive damage, or expense (including, without limitation, attorneys' fees), resulting from Bristol Drug Co. occupancy as it relates to the Surplus Property. h. Vacating Date. Tenant agrees to vacate Property on or before June 30, 2011. i. Payment of the consideration referenced in section 1 of this ASA, shall constitute full satisfaction of any and all of City's obligations to compensate Tenant. J As a matter of record, the compensation paid to Tenant in accordance with this ASA shall be proportioned in the following amounts: Relocation benefits shall equal $128,000. Payment for any loss of furniture, fixtures and equipment, All Inclusive Settlement Agreement Page 3 ol'9 P bonus value, improvements to realty, business goodwill, and/or severance damages shall equal $172,000. ?. Release a. Tenant, on behalf of itself, its agents, assigns and related entities, agree to indemnify, fully release, acquit and discharge City, and the officers, directors, employees, attorneys, accountants, other professionals, insurers and agents of City (collectively "Agents") and all entities related to City, from any and all rights, claims, interests, demands, actions or causes of action which Tenant now has or may in the future have against City arising from the acquisition of the Acquired Property, including, but not limited to, trade fixtures, furniture and equipment, leasehold interests, and claims for loss of business goodwill, bonus value (if any) and/or severance damages (if any), including claims from vendors, independent contractors, subtenants now and forever. b. No Party, nor any Agents, nor any related entities, to this ASA have made any statement or representation to any other Party regarding any fact relied upon in entering into this ASA, and each party expressly states it does not rely upon any statement, representation or promise of any other Party or any Party's Agent or related entities in executing this ASA, except as is expressly stated in this ASA. Each Party to this ASA has made such investigation of the facts and law pertaining to this ASA, and of all other matters pertaining hereto, as it deems reasonable, necessary and/or appropriate, and has consulted with legal counsel concerning the matters contained herein. 3. Attorney's Fees fn the event of litigation relating to this ASA, the prevailing party shall be entitled to reasonable attorneys' fees and costs. 4. Indemnity By Tenants Tenant shall indemnify, defend and hold harmless City from and against any and all claims, demands, liabilities, losses, judgments, expenses and attorney's fees resulting from the breach by Tenant of any provision of this ASA, or the falsity of any representation or warranty made by Tenant contained in this ASA. 5. Entire Agreement This ASA contains the entire Agreement of the Pal-ties hereto pertaining to the subject matter discussed herein, and supersedes any prior written or oral agreements between them concerning the subject matter contained herein. This ASA may be modified only by a writing executed by the Parties hereto. All Inclusive Settlement Agreement Page 4 or 9 7 6. Partial frtvalidity In the event that any term, covenant, condition or provision of this ASA shall be held by a court of competent jurisdiction to be invalid or against public policy, the remaining provisions shall continue in full force and effect. 7. Waiver The provisions of this ASA may be waived, altered, amended or repealed, in whole or in part, only upon the written consent of all Parties to this ASA. The waiver by one party of the duty of performance by the other Party of any provision in this ASA shall not invalidate this ASA, nor shall it be considered a waiver of any rights or remedies available to the non-breaching Party of this ASA. 8. Headings The headings, subheadings and numbering of the different sections of this ASA are inserted for convenience only and shall not be considered for any purpose in construing this ASA. 9. Governing Law The rights and obligations of the parties hereto shall he construed and enforced in accordance with, and governed by, the laws of the State of California. 10. Successors In Interest Subject to any restrictions against assignment contained herein, and to any legal limitations on the power of the signatories to bind non-signatories to this ASA, this ASA shall inure to the benefit of, and shall be binding upon, the assigns, successors-in-interest, personal representatives, executors, estate, heirs, legatees, Agents and related entities of each of the Parties hereto. I L Necessary Acts Each Party to this ASA agrees to perform any further acts and execute and deliver any further documents that may be reasonably necessary to carry out the provisions of this ASA. 12. Advice Of Counsel Each Party hereto, by its execution of this ASA, represents to every other Party that it has reviewed each term of this ASA with its counsel and hereafter no Party shall deny the validity of this ASA on the ground that the party did not have advice of counsel. Each Party to this ASA has had the opportunity to receive independent legal advice with respect to the advisability of entering into and being bound by this ASA and with respect to the meaning of California Civil Code 5 1542. All Inclusive Settlement Agreement Page 5 oP9 V 13. Parties Have Not Transferred Right Or Claims The PLu-ties hereto each represent and warrant to the other Party that they have not assigned, transferred or sublet to any third party any of the rights, claims, causes of action or items to be released or transferred which they are obligated to transfer or to release as part of this ASA. 14. Authority To Execute This Agreement Each Party executing this ASA represents that it is authorized to execute this ASA. Each Party executing this ASA on behalf of an entity, other than an individual executing this ASA on his or her own behalf, represents that he or she is authorized to execute this ASA on behalf of said entity. 15. Construction Each Party has cooperated in the drafting and preparation of this ASA. In any construction or interpretation to be made of this ASA, or of any of its terms, conditions and/or provisions, the same shall not be construed against any party. 16. Notices All notices, requests, demands and other communications required or permitted to be given under this ASA shall be in writing and shall either be delivered in writing personally or be sent by telegram or by regular or certified first class mail, postage prepaid, deposited in the United States mail, and properly addressed to the Party at its address as set forth below, or at any other address that such Party may designate by written notice to the other Party: To City: City of Santa Ana Public Works Agency 20 Civic Center Plaza, M-36 Santa Ana, CA 92702 Attention: Souri Amirani To Tenant: Raul Torres Clinica Medica San Miguel c/o Law Offices of Nick Mosich 2204 E. Fourth St., #100 Santa Ana, CA 92705 All Inclusive Settlement Agreement Page 6 of' 9 17. Counterparts This ASA may be executed in counterparts, each of which shall be deemed an original, and, when taken together with other signed counterparts, shall constitute one Agreement, which shall be binding upon and effective as to all Pal-ties. IN WITNESS WHEREOF, the Pau-ties have executed this All Inclusive Settlement Agreement as of the date first written above. TENANT: Clinica Medica San Miguel By: Date Its: CITY OF S 'N''A AN By: Date: Z- l/ 241-0-- - David N. Ream City Manager ATTEST: By: Maria D. Huizar Clerk of the Council Date:_ 4112671 ZOzI 20t-0--- APPROVED AS TO FORM: Joseph W. Fketetdr 11 City At'fora`y By: =41` _ Jost Sande3val Chii f Assistant City Attorney All Inclusive ScUlement Agreement Page 7 of 9 EXHIBIT "A" LEGAL DESCRIPTION PARCEL "A" That portion of Lot 1 of Block B, Goldsmith's Addition to the Town of Santa Ana, in the City of Santa Ana, County of Orange, State of California, per map filed in Book 31, Page 23 of Miscellaneous Records of Los Angeles County, California, described as follows: Commencing at the intersection of a line parallel with and 63.00 feet southerly of the centerline of Santa Ana Boulevard (formerly Fourth Street) with a line parallel with and 90.00 feet westerly of the centerline of Bristol Street, as said streets are shown on said Goldsmith's Addition; thence northeasterly along the bisector of a line perpendicular to said centerline of Santa Ana Boulevard and a line perpendicular to said centerline of Bristol Street, North 45°33'02" East, 21.00 feet; thence southeasterly and perpendicular to said bisector, South 44°26'58" East, 0.24 feet to the intersection with a line which is parallel with and 75.00 feet westerly of the centerline of said Bristol Street, said intersection being the True Point of Beginning; thence southerly along said parallel line, South 00°37'40" West, 116.67 feet to the southerly line of said Lot 1; thence westerly along said southerly line, North 89°31'36" West, 7.00 feet to the southwesterly corner of said Lot 1; thence northerly along the westerly line of said Lot 1, North 00°37'40" East, 123.67 feet to the intersection of said westerly line of Lot 1 with last said perpendicular line; thence South 44°26'58" East, 9.89 feet to the True Point of Beginning. Containing 841 square feet, more or less. All as shown on Exhibit "B", attached hereto and by this reference made a part hereof. Subject to all Covenants, Rights, Rights-of-Way and Easements of record, if any. Prepared by me, or under my direction on SNP` LAND ? s Raym?Jverra., LS 8324 0??`'?J RIVE?9 GPI Expires 12/31/11 o * PLS 6324 EXP. 12-31-11 ??9T? 1 ???\? r EXHBIT "A" I LOT1'1,CBLOCK B PARCEL "A" M.R. 31/23 841 SQ FT -?-- N89'31'36"W o SANTA ANA o L6 BOULEVARD NE CORNER (formerly Fourth Street) N89'31'36"W LOT 1, BLOCK B kt LAND r 52.0' M.R. 31/23 L 4 RI VE,? o 0 30 0 ? y (D ?O rh --j- _ 7.0' T. P. 0. B. ° PLS 8324 CC) r') , 0 075' "_ is N J EXP. 12-31-11 Q o? o LLJ OF C ° A??F \ PARCEL p?? o N N I o N. T. S. ) Li w C:) CD DETAIL - NTS C M Z SW CORNER o i? co Z i? LOT 1, BLOCK B Qj?? M.R. 31/23 z o a SANTA ANA BL. 7.0' 45.0' 30-?1 NW CORNER LOT 1 ?? 7.0' N89'31'36"W _ 14 T. P. 0. B.' c 52.0' 36 ORNER I?\\? 007-1 3023 LOTE1 C, BLOCK B Li J L21 O ?Q M.R. 31/23 O O 13 w z 1? oU J CID 75.00' 75' o m 7.0' 90.00' N NOTE P. 0. C. WILY LINE OF STREET IMPROVEMENTS PER IMPROVEMENT PLAN #1-024-D5, DATED 1955, DETAIL - NTS FILED IN THE CITY OF SANTA ANA'S CENTRAL FILES. SANTA ANA BL. 0 o NW CORNER o L6 LOT 1 `r - <i N00'37'40"E -?- N89'31'36"W w 1.34' THIRD STREET CD ?Q T. P. 0. B. Z LINE DATA o N J ° o L1= N44"26'58W, 1.9' L4= N44'26'58"W, z Z L2=N44"26'58"W, 9.7' L5=N45'33'02"E, 21.00' L3=N44'2G'58"W, 0.2' L6=N89'31'36"W, '1.3' 7 0' EXHIBIT "B>, SAWTA ANA A.P. NO. 007-183-24 PP' W? 1 SKETCH TO ACCOMPANY PA??'GE', LEGAL DESCRIPTION EXHIBIT "B" LEGAL DESCRIPTION PARCEL "A" Lot 17 of Block B, Goldsmith's Addition to the Town of Santa Ana, in the City of Santa Ana, County of Orange, State of California, per map filed in Book 31, Page 23 of Miscellaneous Records of Los Angeles County, California. Containing 6,500 square feet, more or less. PARCEL "B" That portion of Lot 18 of Block B, Goldsmith's Addition to the Town of Santa Ana, in the City of Santa Ana, County of Orange, State of California, per map filed in Book 31, Page 23 of Miscellaneous Records of Los Angeles County, California, lying westerly of a line parallel with and 75.00 feet westerly of the centerline of Bristol Street, as said street is shown on said Goldsmith's Addition. Containing 875 square feet, more or less. All as shown on Exhibit "B", attached hereto and by this reference made a part hereof Subject to all Covenants, Rights, Rights-of-Way and Easements of record, if any. Prepared by me, or under my direction on -,?,P,? ??PL LAIVp RI V6,,, sG?, Raymond J. ivera, PLS 8324 0 9 0 Expires 12/31/11 * PLS 8324 0P. 12-31-11 f OF EXHIBIT "B" NW CORNER LOT 1, BLOCK B M.R. 31/23 N89'31'36"W - o SANTA ANA BOULEVARD (formerly Fourth Street) O n 75' NE CORNER LOT 1, BLOCK B LAND M.R. 31/23 , RIVE SG CD * PLS 8324 EXP. 12-31-11 ° 1o\ 1 N o W ?fgTF OF CAS\F???\P 1O ) 1 coco rn I N ( N. T. S. C\j CO T 30 F- 0 0 I Cn NW CORNER o LOT 18, BLOCK B o o ?X? Z? M. R. 31/23 L2 10 0' N89'31'36"W N89'31'36"W . - 0 52.0' 52.0' 0\ ' ' PARCEL 3s. o 40 „B.' Y 7.0' ?? 0 10 0' \ ^?` PARCEL N . 306 ° o Z o O , N 00 00 75' I ?' 0 007-183-23 ?? ? W d ?0 o SW CORNER - o LOT 18, 304 Z n o BLOCK B 0 ° z M.R. 31/23 0 7.0' o o O 10.0' 40' 007-183-22 35.0' 0 N8931'36'"W N89-31'36"W 52.0' 52.0' o L 2 --- - "' ?- N89 '31'36"W T HIRD STREET EXHIBIT "B" I SANTA ANA A.P. NO. 007-183-22 & 23 SKETCH TO ACCOMPANY ?alc?"", LEGAL DESCRIPTION NE CORNER LOT 18, BLOCK B M.R. 31/23 W O C U) r? O m O z PARCEL "A" 6,500 SO FT PARCEL "B" 875 SO FT N1 NOTE: WWLY R/W LINE PER 2988/221 O.R. N2 NOTE W'LY R/W LINE PER 2992/360 O.R. SE CORNER LOT 18, BLOCK B M.R. 31/23 LINE DATA L1=N00'37'40"E, 125.01' L2= N89'31'36"E, 7.00' ,n