HomeMy WebLinkAbout2006-07-11; City Council; 18635; Bank of America Dispute SettlementCITY OF CARLSBAD - AGENDA BILL 8
AB#
MTG.
DEPT.
18,635
7/11/06
CA
Title
REPORTING OUT THE TERMS AND
CONDITIONS OF THE SETTLEMENT AS
REQUIRED BY THE BROWN ACT IN
BANK OF AMERICA DISPUTE
DEPT. HEAD
CITY ATTY. Jfi
CITY MGFU-^\
RECOMMENDED ACTION:
There is no action the Council needs to take.
ITEM EXPLANATION:
Ms. Haylings purchased the property located at 1305 Verbena Court in 1999 for approximately
$146,000 from Cherry Tree Walk, LLC, as part of the For-Sale Affordable Income Housing
Program. In connection with that purchase, she executed notes and deeds of trust promising to
repay the City the financial assistance she was provided and to pay contingent interest if she
sold the property before the expiration of the specified holding period to a non-qualified
purchaser.
Ms. Haylings sold the property in 2005 but did not pay approximately $100,000 at that time due
and owing to the City. Bank of America, as the City's agent for loan services, was responsible
for a portion of that non-payment. The Bank of America did not provide First American Title
Company with a beneficiary demand in the correct amount. This settlement of 32,296.23
represents Bank of America's payment to the City for the deficiency.
FISCAL IMPACT:
The City received a check in the amount of $32,296.23 from the Bank of America.
EXHIBITS:
1. Release
DEPARTMENT CONTACT: Ronald R. Ball, (760) 434-2891
FOR CITY CLERKS USE ONLY.
COUNCIL ACTION: APPROVED
DENIED
CONTINUED
WITHDRAWN
AMENDED
^D
D
D
D
CONTINUED TO DATE SPECIFIC
CONTINUED TO DATE UNKNOWN
RETURNED TO STAFF
OTHER -SEE MINUTES
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RELEASE
THE UNDERSIGNED, as RELEASOR, for the sum of Thirty-Two Thousand
and Two Hundred and Ninety-Six Dollars and 23/100 ($32,296.23), and for other good and valuable
consideration, the receipt and sufficiency of which is hereby acknowledged, hereby releases and
discharges Bank of America, N.A., and its respective agents, attorneys, employees, subsidiaries,
parents, affiliates, predecessors, heirs, successors and assigns (collectively, "RELEASEE"), from
all actions, causes of action, suits, debts, dues, sums of money, accounts, reckonings, bonds, bills,
specialties, covenants, contracts, controversies, agreements, promises, variances, trespasses,
damages, judgments, extents, executions, claims, and demands whatsoever, in law, admiralty, or
equity, which the RELEASOR, its successors, heirs and assigns ever had, now have, or hereafter
can, shall or may have for, upon, by reason of any matter, cause or thing whatsoever from the
beginning of the world to the day of the date of this RELEASE relating to or arising out of (i) Bank
of America's failure to include the shared appreciation value of $23,096.23 (Shared Appreciation
Value) in its payoff on or about April 30, 2002 of a loan issued to Melissa Jean Haylings in
connection with the property known as 1305 Verbena Court, Carlsbad ("the Hayling Payoff) and
(ii) a claim related to any and all interest accruing from the Shared Appreciation Value of the
Hayling Payoff and (iii) any and all claims that were or could have been asserted by RELEASOR in
connection with the Carlsbad Home Buyer Assistant Program Operating Agreement as it relates to
said loan.
IN WITNESS WHEREOF, RELEASOR has caused this RELEASE to be
executed on May / ^, 2006.
STATE OF CALIFORNIA
COUNTY OF5AhS
On the j day of May, in the year 2006 before me, the undersigned, a Notary
Public in and for said State, personally appeared RfllMufr l?."feftLL personally known to me «*>
[""veil tr m~ "" tVig Hasjs of pf fifffag tnry py'^0'^0 to be the individual whose name is subscribed to
the within instrument and acknowledged to me that he executed the same in his capacity, and that by
his signature on the instrument, the individual, or the person upon behalf of vvjjiph the individual
acted, executed the instrument.
Notary Public
RANDEE HARLIB
COMM. # 1399035
NOTARY PUBLIC* CMJRMWM
SAN DIEGO COUNTY
Comm. Exp MARCH 5.2007 ,rv^^v^v-VNor'wvwn
4737S3.04/1593-359/KMB
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