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HomeMy WebLinkAboutCity Council Resolutions (R-00-1678)-06/20/2000 RESOLUTION R-OO-1678 A RESOLUTION APPROVING A SETTLEMENT AGREEMENT BETWEEN THE CITY OF COLLEYVILLE AND MURRAY CONSTRUCTION COMPANY WHEREAS, Murray Construction Company, Inc., has agreed to pay to the City of Colleyville the sum of $345,000 in return for a release from the lawsuit titled City of Colleyville versus Murray Construction Company, Inc., et. aI., and; WHEREAS, this is a fair settlement of the obligation of Murray Construction Company, Inc., to the City of Colleyville. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COLLEYVILLE, TEXAS: Sec. 1. THAT the Settlement Agreement as attached is hereby approved. AND IT IS SO RESOLVED. Passed, by a vote of ~ ~ ayes, ::2o~ day of \. )\ n L o nays, and ,2000 o abstentions on this the ATTEST: CITY OF COLLEYVILLE )d~ ~ Je n Harris, TRMC, CMC City Secretary Mayor CAUSE NO. 236-160297-95 CITY OF COLLEYVILLE, Plaintiff, ~ ~ ~ ~ ~ ~ ~ S S ~ TARRANT COUNTY, TEXAS IN THE DISTRICT COURT vs. MURRA Y CONSTRUCTION COMPANY, INC., et aI., Defendants. 236TH JUDICIAL DISTRICT SETTLEMENT AGREEMENT 1. This settlement agreement is made by and between Plaintiff, the City of Colleyville ("Colleyville"), on the one hand, and Defendants Murray Construction Company, Inc. ("Murray") and Safeco Insurance Company of America ("Safeco "), on the other hand. 2. The parties hereto agree that this lawsuit and all related claims and controversies between them, asserted or assertable in this case, are hereby settled in accordance with the following terms of this Settlement Agreement. The parties agree to supplement this Agreement, if needed, with further settlement documents. 3. Murray will pay in installments to Colleyville as consideration for this settlement, the total sum of$345,000. The fIrst four installments will be $65,000 each and the fIfth installment will be in the amount of $85,000. The payment dates for the installments will be as follow: (1) June 30, 2000; (2) July 31, 2000; (3) August 31, 2000; (4) September 30,2000; and (5) October 31, 2000. 4. All payments will be made payable to Colleyville and will be delivered to C. Robert Stripling, City Manager, 5400 Bransford Road, Colleyville, Texas 76034. Deliver may be made by CertifIed Mail Return Receipt Requested, in which case, delivery shall occur when the payment is mailed. SElTLEMENT AGREEMENT G:\Evans\OO-038\OO-038.024. wpd DLEIkm Page I 5. During the payout of the settlement, the city will not execute, abstract, or engage in post-judgment discovery, take any further steps to collect the judgment, or take any other action to collect the judgment except in accordance with the provisions hereof. 6. All parties agree that they will not appeal the judgment in this cause and shall allow the judgment to become fmal subject to release pursuant to the provisions hereof. 7. In the event Murray fails to make a payment, the Defendants will be given notice of default and opportunity to cure within ten (10) days of receipt of notice of default. Notice of default will be delivered to Frank Gilstrap at Hill Gilstrap, 1400 West Abram Street, Arlington, Texas 76013. The notice shall be deemed delivered three (3) days after it is placed in the U.S. Mail, Postage Prepaid, Return Receipt Requested. 8. In the event Murray fails to timely cure, Colleyville may proceed with execution on the judgment provided that any and all payments will be applied against the judgment amount. 9. Upon receipt of the fmal payment, the City ofColleyville will execute a release of judgment and deliver the same to Frank Gilstrap. 10. Colleyville agrees to release, discharge, and forever hold Defendants harmless from any and all claims, demands, or suits, known or unknown, fixed or contingent, liquidated or unliquidated, whether or not asserted in the above case, as of this date of any kind, whether known or unknown, including but not limited to all claims, demands, or suits arising from or related to (a) ~y construction work performed for or in the City ofColleyville; (b) the following subdivisions: Ross Downs Estates ill, Ross Downs Estates IV, and Longwood at Ross Downs, Phases I through IV; and (c) all claims that were asserted or should have been asserted in this suit. These releases and indemnifications run to the benefit of all attorneys, agents, employees, officers, directors, shareholders, partners, principals, heirs, assigns, legal representatives, and any predecessor and successor firms of the Defendant. 11. Murray agrees to release, discharge, and forever hold Colleyville harmless from any and all claims, demands, or suits, known or unknown, fixed or contingent, liquidated or unliquidated, whether or not asserted in the above case, as of this date, arising from or related to the events and transactions which are the subject matter of this case. These releases and indemnifications run to the benefit of all attorneys, agents, employees, officers, directors, shareholders, partners, principals, heirs, assigns, legal representatives, and any predecessor and successor firms of Colleyville. SETTLEMENT AGREEMENT G:\Evans\OO-038\OO-038.024.wpd DLEIkm Page 2 12. Safeco agrees to release, discharge, and forever hold Colleyville harmless from any and all claims, demands, or suits, known or unknown, fixed or contingent, liquidated or unliquidated, whether or not asserted in the above case, as of this date, arising from or related to the events and transactions which are the subject matter of this case. These releases and indemnifications run to the benefit of all attorneys, agents, employees, officers, directors, shareholders, partners, principals, heirs, assigns, legal representatives, and any predecessor and successor firms of Colleyville. "Party", as used in this release, includes all named parties to this case, and all related and affiliated entities of the parties - including, but not limited to tenants, lessees, insurors, attorneys, officers, directors, or employees of such parties. 13. Each signatory hereto warrants and represents that: 1. He or she has the authority to bind the party or persons for whom such person acts; provided that the authority of C. Robert Stripling, City Manager of the City of Colleyville, to act is subject to the ratification and approval of this settlement by the City Council of the City of Colleyville. 2. The claims, suits, rights and/or interests which are the subject matter hereto are owned by the party asserting same, have not been assigned, transferred or sold, and are free from any encumbrance. 14. The parties and their counsel agree to cooperate with each other in the drafting and execution of such additional documents as are reasonably requested to implement the provisions and spirit of this Settlement Agreement. Notwithstanding such additional documents, the parties confirm that this is a Written agreement as contemplated by Section 154.071 of the Texas Civil Practice & Remedies Code. 15. If one or more disputes arise with regard to the interpretation and/or performance of this Agreement or any of its provisions, the parties agree to attempt to resolve same by telephone conference with David Evans, the mediator in this case. If the parties cannot resolve their differences by telephone conference, then each agrees to schedule one day mediation with such Mediator within 30 days to resolve the dispute and to share the costs of same equally. If a party refuses to mediate, then that party may not recover attorney's fees and costs in any litigation brought to construe or enforce this Agreement. Otherwise, if mediation is unsuccessful and litigation is brought to construe or enforce this agreement, then the prevailing party or parties shall be entitled to recover reasonable attorney's fees, court costs, and expenses, including the cost of the mediation. SETTLEMENT AGREEMENT G:\Evans\OO-038\OO-038.024.wpd DLf1km Page 3 16. Other terms of this settlement are: 1. Each party will pay its own attorney's fees. 2. Costs of court will be paid by the party who incurred the same. 17. This settlement Agreement is made and performable in Tarrant County, Texas, and shall be construed in accordance with the laws of the State of Texas. 18. Each signatory to this Settlement Agreement has entered into same freely and without duress after having consulted with counsel of his or her choice. Each'party hereto has been advised by the Mediator that the Mediator is not the attorney for any party and that each party should have this Agreement reviewed by that party's counsel prior to executing same. All signatories to this Agreement hereby release the Mediator from any and all responsibility from the drafting of this Settlement Agreement. 19. The parties hereto agree, stipulate, covenant, warrant, and represent that neither they nor their attorneys, representatives, employees or agents understand and acknowledge that payment of the sums set forth in the agreement shall not be construed as an admission of liability by the Defendants, by whom liability is expressly denied. 20. This agreement will be submitted to the City Council of the City ofColleyville on June 20,2000 for approval. Upon approval of the settlement document, counsel for the City ofColleyville will notify counsel for the Defendants in writing that the same has been approved. Upon preparation of the minutes for the meeting of June 20, 2000, the Defendants will be provided with a copy of the minutes of the meeting of June 20, 2000 when the same have been approved by the City Council or a signed resolution approving the agreement. Should the City Council of the City of Colleyville fail to approve the settlement at its meeting on June 20, 2000, counsel for the City of Colleyville will promptly notify counsel for Defendants and this agreement will be considered void. The failure of the City ofColleyville to consider this settlement on June 20, 2000 will have the same affect as a vote to disapprove the settlement and will void this agreement, and therefore any obligations of the Defendants under this document. Upon approval by the City Council of the City of Colleyville, this settlement will become fmal and may not be modified except in writing signed by the parties. SETTLEMENT AGREEMENT G:\Evans\OO-038\OO-038.024. wpd DLEIkm Page 4 JrJ!/ Signed this ~ day of June, 2000. PLAINTIFF: C ~~Q. C. ROBERT STRIPLING, City an~ of the City of Colleyville PLAINTIFF'S ATTORNEY: nJL State Bar No. 07295500 DEFENDANTS: ~i ~NrIffTION COMPANY, INe. BY:~ MIKE LAM}3, President SAFECO INSURANCE COl\1P ANY OF AMERICA By: Authorized Representative F STRAP State Bar o. 07964000 SETTLEMENT AGREEMENT G:\Evans\OO-038\OO-038.024.wpd DLEIkm Page 5