Settlement Agreement - BEC Bowls - 2011-04-20 •
SETTLEMENT AGREEMENT
This Settlement Agreement is made and entered into this o2D" day of
1 rI , 2011, by and between the Costa Mesa Sanitary District
(hereinafter "District") and BEC Bowls (hereinafter "Contractor') with reference to the
following facts:
RECITALS
WHEREAS, District and Contractor entered into Letter Agreement for Public
Works Project for Replacement of Discharge Bases, Installing New Pumps, Installing
New Piping at South Coast Plaza Pumping Station (hereinafter referred to as "Letter
Agreement"); and
WHEREAS, a dispute arose about the performance of that Letter Agreement
and District provided Contractor a Notice of Termination dated March 18, 2011; and
WHEREAS, the parties disagree about whether that termination should have
been for cause; and
WHEREAS, the District hired a takeover contractor to finish the work and has
paid that contractor in full; and
WHEREAS, as part of that takeover work, District agreed to pay certain invoices
for equipment and materials that Contractor incurred prior to being terminated; and
WHEREAS, the parties do hereby desire to settle their dispute and resolve all
their differences without admitting fault;
In consideration of the above, the parties do now AGREE as follows:
1. Payment to Contractor. District agrees to pay Contractor the total sum of
Seventeen Thousand Dollars ($17,000.00) as full settlement of all amounts due owing
and unpaid or that might be claimed in the future arising out of the work described in
the Letter Agreement (hereinafter the "project") and all arrangements and obligations
arising therefrom. Contractor agrees that this sum shall settle all known and unknown
claims and is knowledgeable with 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 his or her favor at the time of
executing the release, which if known by him or her must have materially
affected his or her settlement with the debtor.
Contractor intends to release and waive known and unknown claims.
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2. District's obligations. In addition to paying the above amount, District shall also
pay for obligations arising out of certain rentals beginning on March 18, 2011, when the
District took over the project, including the following:
a. rental of three sewer plugs,
b. rental of two Godwin bypass pumps,
c. rental of chain link fence and portable outhouse
G(. rpn-fa(of-f'wo hoses {orvt God Wi#i
Other than the above items, each party shall be responsible for its own
obligations incurred related to the project. District's payment of Seventeen Thousand
Dollars ($17,000.00) in compensation to Contractor includes payment for stainless steel
bolts, piping and flanges originally purchased by Contractor but used by District's
takeover contractor.
3. Payment of materialmen and laborers.
(a) Contractor represents that it has paid all materials providers, laborers and
other subcontractors and that all of its employees and agents have been paid for work
performed on this job. Contractor shall indemnify, defend and hold District harmless
from any claim or litigation arising from its obligations with respect to the project.
(b) District shall indemnify, defend and hold Contractor harmless from any
claims for money from obligations District has agreed to takeover, including, but not
limited, to the items described in Section 2, above.
4. Termination for convenience. In consideration of the above, and the remaining
provisions of this Settlement Agreement, the parties agree that this termination shall be
considered for the convenience of the District.
5. Authority. Each person signing warrants that they have the authority to bind the
party on whose behalf they are signing.
IN WITNESS WHEREOF, the parties hereto have caused this Amendment to
Agreement to be executed the day and year first above written.
COSTA MESA SANITARY DISTRICT BEC BOWLS
Generi?I Manager _ = JI.nature /
---- � .` By.`:-Tma 117 SilAteSera �r
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APPROVED AS TO FORM:
a/L 1.4/kA--/'
District Counsel
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