HomeMy WebLinkAboutDuggan, Michael; 2020-09-21;SETTLEMENT AGREEMENT AND RELEASE
This Settlement Agreement and Release ("Agreement") is made by and between Michael
Duggan ("Plaintiff') and the City of Carlsbad ("City"). The above-referenced individuals and/or entities
may also be collectively referenced as the "Parties." This Agreement is in full satisfaction of all matters
in controversy between the Parties, including, but not limited to, any and all claims or causes of action
which could have been or may be brought by Plaintiff, arising in any way out of the incidents described
and set forth in the lawsuit entitled Duggan v. City of Carlsbad, et al., United States District Court for
the Southern District of California Case No. 3:19-cv-01703-JM-WVG ("Lawsuit").
In consideration of the mutual covenants contained in this agreement, the Parties agree as
follows:
1. Settlement, Dismissal and Indemnity. Plaintiff shall dismiss the Lawsuit against all
defendants, with prejudice, each side to bear its own attorney fees and costs, and shall withdraw,
abandon, and cease to file any further claims, lawsuits, administrative charges, reports, or grievances of
any kind whatsoever against any of the defendants or their former or current employees, agents,
affiliates, insurers, and attorneys, in exchange for the total sum of Five Thousand Dollars ($5,000.00)
("Settlement Amount").
Payment of the settlement funds shall be transmitted not later than fourteen (14) days after full
execution of this Agreement by all Parties.
Within ten (10) days after the City transmits the settlement funds, the Parties shall jointly
prepare, execute, and file a joint motion to dismiss the Lawsuit, in its entirety, including all claims
against all defendants, with prejudice.
Plaintiff represents that the Settlement Amount makes him whole for any and all personal injury
suffered within the meaning of section 104(a) or section 130(c) of the Internal Revenue Code of 1986,
as amended, and specifically agrees that he alone is, and will be, fully responsible for the payment of
any and all amounts governmental or tax authorities may claim are due, if any. Plaintiff acknowledges
that the City is relying on, among other things, this specific provision in entering into this Agreement
and in paying the Settlement Amount, and that this Agreement is not contingent upon any particular tax
characterization or treatment of the Settlement Amount.
2. Release. Plaintiff, on behalf of himself, his heirs, executors, administrators, assigns, and
successors, irrevocably and unconditionally releases and forever discharges each of the defendants, their
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current or former officers, directors, employees, managers, agents, affiliates, City Council members,
heirs, successors, assigns, insurers, and attorneys (collectively "Releasees") from any and all claims,
charges, causes of action, or any other liability (herein collectively referred to as "claims"), whether in
contract or tort, by statute or common law, known or unknown, arising out of or relating in any way to
the incidents described and set forth in the Lawsuit.
3. Section 1542 Release. Section 1542 of the California Civil Code provides, generally,
that a release does not extend to unknown claims. Specifically, section 1542 states as follows:
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 14-F,R SETTLEMENT WITH THE
DEBTOR OR RELEASED PARTY.
For the purposes of implementing a full and complete release and discharge of this matter,
Plaintiff expressly waives and releases all rights and benefits afforded by section 1542 of the California
Civil Code and acknowledges that this Agreement is intended to include and discharge all claims which
the Parties do not know or suspect to exist at the time of execution, arising out of or relating in any way
to the incidents described and set forth in the Lawsuit.
4. No Admission of Liability. This Agreement is a compromise and settlement of disputed
claims being released herein, and therefore, this Agreement and the Settlement Amount do not constitute
an admission of liability on the part of Releasees, or an admission, directly or by implication, that they
have violated any law, rule, regulation, policy, or any contractual right or other obligation owed to
Plaintiff. Releasees specifically deny all allegations of improper or unlawful conduct made by Plaintiff
in the Lawsuit, and any or all administrative claims. Releasees enter into this agreement merely to avoid
further litigation.
5. Satisfaction of Liens. Plaintiff will satisfy out of the Settlement Amount any and all
liens by health care providers or insurance carriers, and recognizes that Releasees do not have control
over the payment of liens from the settlement proceeds to health care providers or insurers. Plaintiff
agrees to indemnify and hold harmless Releasees and/or their counsel of record in the event any legally
valid lien is not satisfied by Plaintiff. Plaintiff acknowledges that Releasees have expressly relied on
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this representation and warranty. Releasees would not have entered into this Agreement without this
representation and warranty.
6. Entire Agreement. This Agreement constitutes the entire written agreement of
compromise and settlement between the Parties. There are no other agreements, whether oral or written,
modifying its terms. The terms of this Agreement can be modified only by a writing signed by the
Parties, expressly stating that such modification is intended.
7. Advice of Counsel. In executing this Agreement, the Parties acknowledge that they have
consulted with and have been advised by their respective attorneys, and that they have executed this
Agreement after independent investigation and without fraud, duress, or undue influence. The Parties
further acknowledge and agree that they have had a reasonable period of time for deliberation before
executing this Agreement.
8. Venue. The Parties to this Agreement expressly agree that the only proper venue for any
lawsuit arising out of the breach of this Agreement shall be in the San Diego Superior Court.
9. Breach. No waiver of any breach by either party or their attorney of any condition or
provision of the Agreement to be performed by the other party or the party's counsel shall be deemed a
waiver of a similar or dissimilar condition or provision at the same or any prior or subsequent time.
10. Ambiguities. This Agreement has been reviewed by the Parties and their respective
attorneys, and the Parties have had a full opportunity to negotiate the contents thereof. The Parties
expressly waive any common law or statutory rule of construction that ambiguities should be construed
against the drafter of this Agreement, and agree that the language in all parts of this Agreement shall be
in all cases construed as a whole, according to its fair meaning.
11. Severability. Should any provision of this Agreement be declared or determined by any
court to be illegal or invalid, the validity of the remaining parts, terms, or provisions shall not be affected
by said illegal or invalid part, term, or provision, and shall be deemed not to be a part of this Agreement.
12. Signature in Counterparts. This Agreement may be executed in counterparts, and if
so executed, each such counterpart shall have the force and effect of an original. A photocopy or
facsimile copy of a signature will be deemed an original for all purposes.
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IN WITNESS WHEREOF, the Parties have executed this Agreement as of the dates set forth
below.
Dated. Sep 15, 203t90
Signature:
Email: michael@lagataxysd.com
2020 07:0/ 01)
Michael Duggan
Dated: .0 I
i, 2-1 ,2020 City of Carlsbad
Name: C,-(volie_K. HC-14akpil
Title: ASS IS Lt Ci Ak-bv V1
By:
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