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HomeMy WebLinkAbout1979-09-04; City Council; 4098-3; Settlement-Bristol Cove Property Owner AssocCITY OF CARLSBAD AGENDA BILL NO . J^JL^^dLJ^^ DATE: __ September At Ifl^ -- C. Atty.\/fS> DEPARTMENT: __ City Attorney __ C* Mgr* Subject: SETTLEMENT—BRISTOL COVE PROPERTY OWNERS ASSOCIATION V. JANSS CORPORATION, ET AL. . ' Statement of the Matter The parties to the above-referenced litigation, which include the City of Carlsbad, have arrived at a negoti- ated settlement. The settlement is contingent upon the formation and approval of an assessment district to construct certain improvements in the Bristol Cove area. The initial steps to form the district have been taken and the project is being designed. All the other parties to the suit have approved and executed the settlement. It is now appropriate for the Council to act in that regard. Exhibit Stipulation Re Contribution to Costs of Formation of Drainage District and Settlement of Proceeding Recommendation That the City Council by motion approve the settlement of the above-referenced litigation and authorize the Mayor to execute it. Council Action: 9-4-79 Council approved the settlement of the Bristol Cove Property Owners Association v. Janss Corporation, et al, and authorized the Mayorto execute same. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 (SPACF ' HERVEY, MITCHELL, ASHWORTH K KEENEY A PARTNERSHIP INCLUDING PROFESSIONAL CORPORATIONS ATTORNEYS AT LAW 5 2O WEST ASH STREE1T. SUITE 2OO SAN DIEGO. CALIFORNIA 92IO1 (7t4) 238-1234 Attorneys for Defendant and Cross- Complainant JANSS CORPORATION SUPERIOR COURT OF THE STATE OF ^LOW FOR FILING STAMP ONLY) CALIFORNIA FOR THE COUNTY OF SAN DIEGO BRISTOL COVE PROPERTY OWNERS ) ASSOCIATION, a California ) corporation, ) .Plaintiff ) vs. ) ) JANSS CORPORATION, a Delaware ) corporation, and DOES I through ) X, inclusive, )} Defendants ) JANSS CORPORATION, a Delaware ) corporation, ) Cross-Complainant ) vs . ) CITY OF CARLSBAD, and DOES I through ) C, inclusive, ) Cross-Defendants ) ) No. N 8007 STIPULATION RE CONTRIBUTION TO COSTS OF FORMATION OF DRAINAGE DISTRICT AND SETTLE- MENT OF PROCEEDING The parties to the above-entitled cause, together with certain insurance companies, by and through their respective counsel of record, hereby stipulate as follows: 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 HERVEY. MITCHELL ASHWORTH a KEENEV A PARTNERSHIP INCLUDING PROFESSIONAL COHFOaATION j SUITE 200 520 WEST ASH STREET SAN DIEGO. CA 92101 (714) 230-1234 1. The terms of stipulation and settlement hereinafter set forth are contingent upon the formation and approval of a Drainage Assessment District (the "District") by the City of Carlsbad and the completion of certain improvements more particu- larly described in the Debt Report prepared by Bement, Dainwood & Sturgeon which is titled "Bristol Cove Assessment District" ("The Report"). 2. Janss Corporation will pay the Bristol Cove Property Owners Association's assigned contribution to the District as set forth in The Report in the sum of $75,000.00, and a portion of the assessment assigned to the City of Carlsbad in the sum of $13,000.00. 3. The combined insurance companies, namely, Insurance Company of North America, Chubb/Pacific, Hartford, Insurance Company of Pacific Coast/Gulf Group, Jefferson Insurance Company and Allianz Insurance Company, all on behalf of the City of Carlsbad, will contribute the balance of assessment assigned to the City of Carlsbad as set forth in The Report in the sum of $62,000.00, of which sum Allianz Insurance Company will contribute $12,000.00 and the remaining named insurance companies will each contribute $10,000.00. 4. The foregoing contributions total $150,000.00 and it is contemplated that as a part of the implementation of the District the upstream owners who are not parties to this action will contribute $128,272.00 as set forth in The Report. 5. The amounts to be contributed by Janss Corporation and the insurance companies as hereinabove set forth will be committed by letter of credit, but will not be drawn down until the District -2- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 HERVEY. MITCHELL ASHWORTH a KEENEY A PABINPBJHIP INCLUDING PflO?EssioHii. CORPORATIONS SUITE 200 520 WEST ASH STREET ; SAN DIEGO. CA 92101 i (714) 23B.l?^j has been confirmed by the City Council of the City of Carlsbad. In the event the assessment district proceedings and improvements are not completed, any such monies that have been drawn down by the City of Carlsbad will be returned to Janss Corporation and to the insurance companies, respectively; provided, however, the City of Carlsbad shall be reimbursed for all out of pocket monies actually expended by it directly attributable to the formation of the District pursuant to an allocation to be agreed upon by the parties to this stipulation or in the absence of such an agreement, pursuant to an allocation determined by the presiding judge of the above-entitled court. 6. The contributions set forth in this stipulation are subject to adjustment by the Engineering Department of the City of Carlsbad; provided, however, any party to this stipulation may withdraw from this stipulation, without prejudice, should the adjustment be found unacceptable to that withdrawing party. 7. Janss Corporation will contribute the sum of $73,500.00 to the Bristol Cove Property Owners Association for dredging of Bristol Cove. The Bristol Cove Property Owners Association will assume all remaining costs of dredging and removal of silt or debris from Bristol Cove, whenever such costs may be incurred; provided, however, Janss shall not be obligated to actually pay said sum to Bristol Cove Property Owners Association until the improvements delineated in The Report have been completed and until said Association and Janss Corporation shall have dismissed this action with prejudice as to all parties and mutual releases as to the matters raised by the pleadings herein have been -3- •v 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 HERVEY. MITCHELL ASHWORTH a KEENEY SUITE 200 520 wesr ASH STREET SAN DIEGO. CA 9Z101 (714) 238-1234 .- executed by all parties, which to California Civil Code §1542. 8 . Upon the completion of _ shall include a release pursuant the improvements described in The Report, the settlement herein set forth shall be deemed performed and this action shall be dismissed and releases executed as set forth in the preceding paragraph 7. DATED : BRISTOL COVE PROPERTY OWNERS ASSOCIATION FEIST, VETTER, KNAUF & LOY /n /; ^- ,7, )j /By //,.— /^/?.A U ' / j /PZfLt''-£> CITY OF CARLSBAD By JANSS CORPORATION Sin y ^ ^^^^^^^^^Z^^ HARTFORD INSURANCE COMPANY x By 'Jv^^^-^^XT/^,^^ ^( JEFFERSON INSURANCE COMPANY ^ s? s? // / Tf7 //f••^7"n'/ 4s /^y / /tr - /^ ALL I AN Z INSURANCE COMPANY C^f rf^-rC vBy S-r <— ' ^ INSURANCE COMPANY OF NORTH AMERICA / By '^TM^^/^/r S^S ^-61 , ' ^ CHUBB/PACIFIC V ^ By f^2^^^^:^^A^C/^, _ t ~. ,^ INSURANCE COMPANY OF PACIFIC COAST/GULF GROUP ^ By ^/^^£S^/P/J^/f A^^' ^l ' ^ -4-" ^, /