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HomeMy WebLinkAbout1993-04-13; City Council; 12158; Settlementn 9 % 0 II: 0, .. Z 0 F 0 a d 0 Z 3 8 “# g! ’” ATG. 4/13/93 AMERICA CORPORATION SETTLEMENT OF CLAIM - MITSUGI IEPT. RM CITY MGZQ-, RECOMMENDED ACTION: Adopt Resolution No. 9 3 -88 approving the settlement of a claim for damages filed by Mitsugi America Corporation. ITEM EXPLANATION In 1991, the Water District was involved in a capital project to replace the waterline in El Camino Real from Chestnut Avenue to Hosp Way. CMWD believes that although care is taken to keep foreign material out of pipelines during construction, sand inadvertently entered this new pipeline during the construction process. In July of 1991, existing waterlines in Carlsbad Village Drive were connected to the newly installed waterline in El Camino Real. In August of that year, a pressure regulating valve, located at the intersection of Carlsbad Village Drive and El Camino Real, failed in the open position, causing a large volume of water to flow from El Camino Real to Carlsbad Village Drive and the Rising Glen Apartments area. It is the opinion of CMWD that the sand in the El Camino Real waterline entered the pipes at the apartment complex at this time, and that to have prevented this, the lines should have been flushed prior to being put into service. As a result of this introduction of sand into the water pipes of the Rising Glen Apartments, the backflow preventers at the complex were damaged and the owner of the building, Mitsugi America Corporation, had to have them replaced. The backflow devices were replaced by Pacific Backflow Company at a cost of $10,365. Mitsugi America Corporation has made partial payment of the total bill. Staff is asking the City Council to adopt the attached resolution accepting the proposed settlement, and authorizing the City Manager to issue a check for $10,365 to Mitsugi America Corporation and Pacific Backflow Company. A signed Release of All Claim agreement is attached as Exhibit 2. FISCAL, IMPACT The amount of this claim will be paid from the City’s Liability Self-Insurance Fund. Sufficient funds exist to covcr this payment. EXHIBITS 1. 2. Resolution No. 9 3 -8 8 approving the settlement of a claim for damages filed by Mitsugi America Corporation. Release of All Claims agreement. .- A 1 2 3 4 5 6 7 a 9 10 11 12 13 14 15 16 17 la 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO. 9 3 - 8 8 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING THE SETTLEMENT OF A CLAIM FOR DAMAGES FILED BY MITSUGI AMERICA CORPORATION WHEREAS, Mitsugi America Corporation has filed a claim for damages to the backflow preventers at the Rising Glen Apartments complex, and WHEREAS, the damages can be attributed to sand which entered the new waterline in El Camino Real during the construction process, and WHEREAS, the claim for damages amounting to $10,365 for replacement of backflow devices has been determined to be both reasonable and timely, and, NOW, THEREFORE, be it resolved by the City Council of the City of Carlsbad, California that the City Manager is hereby authorized to issue a check in the amount of $10,365 in settlement of the above claim. PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 13th day of APRIL 1993, by the following vote, to wit: AYES? Council Members Lewis, Stanton, Nygaard,' Finnila NOES: None ABSENT: Council ,- e EXHIBIT 2 RELEASE OF ALL CLAIMS KNOW ALL MEN BY THESE PRESENTS: That the Undersigned, being of lawful age, for sole consideration of ) Risinq Glen Apartments / Mitsuqi America Corp. and Pacific Backflor Company , ten thousand three hundred sixty five and 00/100-------------- Dollars ($ 10 I 365 00 to be Daid to do/does hereby and for m /our/its heirs, executocs, administrators, successors and assigns release, acquit and forever discharge the City 0: Cartsbad, Its officers and employees and his, her, their, or its agents, servants, successors, heirs, executors, administrators and all other persons, firms, corporations, associations or partnerships of and from any and all claims, actions, causes of action, demands, rights, damages, costs, loss of service, expenses and compensation whatsoever, which the undersigned now has/ have or which may hereafter accrue on account of or in any way growing out of any and all known and unknown, foreseen and unforeseen bodily and personal injuries and property damage and the consequences thereof resulting or to result from the accidao!, casualty or event which occurred on or aboutthe 1st dayof Auqust 19 92 , atornear 2300 Risinq Glen Way, Carlsbad, CA It is understood and agreed that this settlement is the compromise of a doubtful and disputed claim, and that the payment made is not to be construed as an admission of liability on the part of the party or parties hereby released, and that said releasees deny liability therefor and intend merely to avoid litigation and buy their peace. It is further understood and agreed that all rights under Section 1542 of the Civil Code of California and any similar law of any state or territory of the United States are hereby expressly waived. Said section reads as follows: “1 542. Certain claims not affected by general release. A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settlement with the debtor.” The undersigned herebydeclare(s) and represent@) that the injuries sustained are or may be permanent and progressive and that recovery therefrom is uncertain and indefinite and in making this Release it is understood and agreed, that the undersigned rely(ies) wholly upon the undersigned’s judgement, belief and knowledge of the nature, extent, effect, and duration of said injuries and liability therefor and is made without reliance upon any statement or representation of the party or parties hereby released or their representatives or by any physician or surgeon by them employed. The undersigned further declare(s) and represent(s) that no promise, inducement or agreement not herein expressed has been made to the undersigned, and that this Release contains the entire agreement between the parties hereto, and that the terms of this Release are contractual and not a mere recital. I hereby represent that at the time I sign this Release I am not hospitalized in a medical facility nor was I admitted to a medical facility within the past 15 days. THE UNDERSIGNED HAS READ THE ABOVE AND FULLY UNDERSTANDS IT TO BE A FULL AND FINAL RELEASE OF ALL CLAIMS. Signed, sealed and delivered this 36w dayof hAw+ ,19-. 43 72bm. I Address oGiness ’ CAUTION: READ BOTH SIDES BEFORE SIGNING. ’ Sigiiature Signature Signature TURN OVER CW-10 (6183)