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HomeMy WebLinkAboutC-6075(B) - License Agreement for the Construction and Maintenance of the Marina Park Monument Signe*—N Ica 6 LICENSE AGREEMENT FOR THE CONSTRUCTION AND Z MAINTENANCE OF THE MARINA PARK MONUMENT V SIGN BETWEEN THE CITY OF NEWPORT BEACH AND LIGHTHOUSE CAFE, LLC This License Agreement for the Construction and Maintenance of the Marina Park Monument Sign ("Agreement") is made and entered into this "i day of J V U—i , 2023 ("Effective Date"), by and between the CITY OF NEWPORT BEACH, a California municipal corporation and charter city ("Licensor" or "City"), and Lighthouse Cafe, LLC, a California limited liability company ("Licensee"). City and Licensee may be individually referred to herein as a "Party," and collectively referred to herein as the "Parties." 1:7=111591ir_\1&'? A. Licensor, by virtue of a 1978 legislative grant found in Chapter 74 of the Statutes of 1978, as amended ("Beacon Bay Bill"), acts on behalf of the State of California as the trustee of tidelands located within the City's limits. B. On November 3, 1992, a majority of the electors in the City approved Measure M authorizing the City Council to lease tidelands and waterfront property consistent with the provisions of state law. C. The California Legislature amended the Beacon Bay Bill in 2012 via State Senate Bill No. 1577 to include certain lands located in lower Newport Harbor between 15th Street and 18th Street on the Balboa Peninsula, commonly referred to as "Marina Park," which includes a public marina, public park with restrooms, public parking lot, a community center with offices, a sailing center, and a restaurant, all as depicted on Exhibit "A," incorporated herein by this reference ("Licensor Property"). D. On March 27, 2015, Licensor entered into that certain Marina Park Lease Agreement with Licensee, concerning a three thousand sixty-nine (3,069) square foot restaurant facility located at the Marina Park Community Center, with an address of 1600 West Balboa Boulevard, Newport Beach, California 92663, memorialized by a Memorandum of Lease Agreement recorded on May 8, 2015 as Instrument No. 2015000239402 in the Official Records of Orange County, California, incorporated herein by this reference ("Lease"). Lighthouse Cafe, LLC Page 1 E. Licensee desires to obtain non-exclusive access across that certain portion of the Licensor Property as more particularly depicted in Exhibit "B", incorporated herein by this reference ("License Area"), for the purpose of constructing and maintaining a monument sign as more particularly described herein and depicted in Exhibit "C," incorporated herein by this reference ("Monument Sign"). F. Licensor desires to permit Licensee non-exclusive access to the License Area in order to construct and maintain the Monument Sign according to the terms and conditions of this Agreement. NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: 1. Agreement Term. The term of this Agreement shall commence on the Effective Date and shall terminate commensurate with the termination or expiration of the Lease, as may be amended, restated, superseded, extended, or assigned, unless terminated earlier as provided for herein. 2. License. Subject to the requirements, assurances, and covenants of Licensee set forth in this Agreement, Licensor hereby issues to Licensee, a nonexclusive, nontransferable, revocable license, on, over, under, and across the License Area for: (1) construction activities to be performed by or on behalf of Licensee within the License Area for the purpose of construction of the Monument Sign, and (2) for maintenance and repair of the Monument Sign and related improvements as may be needed from time to time ("License"). 3. Monument Sign. 3.1. Approvals. Prior to construction of the Monument Sign, Licensee shall submit for review and obtain approval from Licensor of the final design plans for the Monument Sign. Licensee, at its sole cost and expense, shall be solely responsible for securing and obtaining all necessary entitlements, permits, licenses and approvals required by law from any applicable agency, including but not limited to, a building permit from the City of Newport Beach. Licensee shall be solely responsible for compliance with any covenants, conditions, or restrictions on Licensor Property that may pertain or apply to the Monument Sign. 3.2. Design. The Monument Sign shall be a freestanding monument sign in the location depicted in, and in substantial conformance with the depiction in Exhibit "C" attached hereto. Lighthouse Cafe, LLC Page 2 3.3. Aesthetic. The Monument Sign shall comply with the City's municipal code regulations, any approved sign program for the Property, the deed restrictions applicable to the Property, and shall conform to the existing design and aesthetic of Licensor Property, which may change from time to time. Upon Licensor's request, Licensee shall be solely responsible for updating the appearance and aesthetics of the Monument Sign to match the design and aesthetic of Licensor Property as it may change from time to time. 3.4. Illumination. Licensee shall not include illumination as part of the design or construction of the Monument Sign. Subject to Licensor approval, Licensee may design and install illumination consisting of solar powered uplighting of the Monument Sign in conformance with the City Municipal Code and the design aesthetic of Licensor Property. Illumination shall cease between the hours of 10:00 p.m. and 7:00 a.m. 3.5. Licensee Signage. Licensee may install and maintain signage on the Monument Sign in substantial conformance with the depiction in Exhibit "C." Licensee signage shall be limited to advertising Licensee's business located at Licensor Property and shall conform to the requirements and limitations included in the Lease. All signage placed by Licensee on the Monument Sign shall be removed by Licensee upon termination or expiration of this Agreement at Licensee's sole expense, and the Monument Sign shall be left in a good and workman like condition ready for installation of new signage. 3.6. Licensor Signage. Licensor may install, and may permit third parties to install, signage on the Monument Sign providing directions to, identification of, or notice of goods, services, concessions, businesses, activities, or events located at Licensor Property, or that pertain to City activities, events, or public messages generally. Licensee shall not be responsible for maintenance of signage installed pursuant to this subsection. 4. Costs of Construction. In conjunction with Section 8.3 of the Lease, Licensee shall bear all costs and expenses associated with the installation, construction and Work for the Monument Sign, including the foundation, sign, illumination, landscaping, landscaping irrigation, and/or hardscape. Licensee shall also perform Work to replace, revise, repair, and maintain a pre-existing panel on the monument sign near the driveway entrance to the Licensor Property, constructed under the terms of the Lease, and shall do so only under the same terms and conditions as set forth in this License. 5. Access. Licensee and its agents, employees, consultants, contractors and subcontractors (collectively, "Licensee's Agents") shall have the right to enter upon the License Area between the hours of 8 a.m. to 5 p.m. Monday to Friday, excluding City holidays, solely for the purposes permitted by this Agreement. Licensee shall provide Lighthouse Cafe, LLC Page 3 Licensor with a minimum of seven (7) days' advance notice prior to occupying any part of the License Area. Licensee's access to the License Area shall be subject to approval of Licensor, and may be curtailed or terminated at any time. 6. Reservation by Licensor. Notwithstanding anything to the contrary stated herein, Licensor hereby reserves the right to use, occupy, enter, and inspect the License Area for any purpose whatsoever, and reserves the right to grant or issue additional rights, licenses, easements or encumbrances to third parties to use or occupy the License Area for any purpose whatsoever, provided that such use does not materially prevent or impair the use or exercise of the License Area by Licensee. Licensee's access and use of the License Area pursuant to this Agreement shall be subordinate to any other grant or use by Licensor. 7. Use of License Area. Licensee covenants and agrees that Licensee shall: (a) only use the License Area in a careful and proper manner in accordance with the purpose of this Agreement; (b) not bring or use any Hazardous Materials, as defined by state or federal law, on the License Area in violation of applicable law; and (c) not use or permit the use of the License Area in any manner that creates a nuisance or violates any law. 8. Condition of License Area. Licensee accepts the License Area and all aspects thereof in its "AS IS," "WHERE IS" condition, without warranties, either express or implied, "WITH ALL FAULTS," including but not limited to both latent and patent defects, the existence of hazardous materials, if any, and subject to any other easements, rights, or other encumbrances affecting the License Area. Licensee hereby waives all warranties, express or implied, regarding the title, condition and use of the License Area, including, but not limited to any warranty of merchantability or fitness for a particular purpose. Without limiting the generality of the foregoing, the License is subject to all zoning regulations, restrictions, rules and ordinances, building restrictions and other laws and regulations now in effect or hereafter adopted by any governmental authority having jurisdiction, and reservations, easements, rights -of -way, covenants, conditions, restrictions, encroachments, liens, and encumbrances and all other matters of record or enforceable at law or in equity. Licensee shall obtain any and all consents, approvals, permissions, and agreements to cross, encumber or encroach upon any other easements or rights of others related to its use of the License. 9. Utilities. Licensee shall be solely responsible, at its sole cost, for the permitting, installation, and connection of utilities, if any, including but not limited to, electricity, necessary for of the Work to install the Monument Sign. Licensee shall require that all contractors of any level engaged by or on Licensee's behalf use their best efforts to minimize disruption of utilities to Licensor Property. It is understood that functional utilities are critical to the ongoing commercial operations of Licensor Property and that if Lighthouse Cafe, LLC Page 4 utilities are not operational then business operations may be disrupted. If Licensee requires interruption of utilities for installation or maintenance, Licensee shall provide Licensor and Licensor Property tenants at least seven (7) days advance notice thereof, including estimates of the length of time of the disruption, the nature of the disruption. Licensee shall instruct and direct all contractors of any level engaged by or on Licensee's behalf to minimize the length of time of such disruption. 10. Traffic Circulation. Licensee shall require that all contractors of any level engaged by or on Licensee's behalf use their best efforts to minimize disruption of traffic circulation on, over, and around Licensor Property. It is understood that circulation of traffic is critical to the ongoing commercial operations on Licensor Property and that if the License Area is not reasonably passable by traffic, business operations may be disrupted. If Licensee requires use of the License Area in a manner likely to disrupt traffic circulation, ingress or egress, Licensee shall provide Licensor's Project Administrator at least seven (7) days' advance notice thereof, including estimates of the length of time of the disruption and the nature of the disruption, as well as obtain the necessary permits and approvals of any such Work with City's Public Works Department. Licensee shall instruct and direct all contractors of any level engaged by or on Licensee's behalf to minimize the length of time of such disruption. Notwithstanding the foregoing, at no time during construction shall ingress, egress or traffic circulation on, over, or around Licensor Property be completely obstructed. Licensee shall be solely responsible to ensure that all vehicle and pedestrian traffic is prevented from entering or traversing construction zones or hazardous areas by erecting appropriate barriers, signage, and other directions or traffic devices, to ensure the safe redirection or detour of vehicle and pedestrian traffic around such areas for the safety of the general public, which shall be done in conformance with law. 11. Standard of Care. 11.1 Licensee, at its sole cost and expense, shall ensure Licensee and Licensee's Agents conduct all construction and maintenance activities in a good and workmanlike manner commensurate with community professional standards and with the ordinary degree of skill and care that would be used by other reasonably competent practitioners of the same discipline under similar circumstances. Licensee and Licensee's Agents shall perform all Work in a manner to minimize public inconvenience and possible hazard, to restore other work areas to their original condition and former usefulness as soon as possible, and to protect public and private property. Licensee shall be liable for any private or public property damage during the performance of the Work by Licensee or its agents. 11.2 Licensee, at its sole cost and expense, shall comply with all Newport Beach Municipal Code requirements, including abiding by construction hours and ensuring noise generated by the Work performed does not create a nuisance. Further, Lighthouse Cafe, LLC Page 5 prior to the start of any Work, Licensee shall coordinate the construction schedule with the Project Administrator and on -site City Recreation Manager at the Property, to ensure the Work performed does not negatively impact the City's scheduled programs or events. 11.3 All Work shall be performed by qualified and experienced personnel who are not employed by City, nor have any contractual relationship with City. Upon completion of Work, Licensee shall provide Licensor with evidence reasonably satisfactory to Licensor of such completion. By delivery of completed Work, Licensee certifies that the work conforms to the requirements of this Agreement, all applicable federal, state and local laws, and legally recognized professional standards. 12. Compliance with Laws. Licensee shall, at its sole cost and expense, comply with all statutes, ordinances, regulations and requirements of all governmental entities, including federal, state, county or municipal, whether now in force or hereinafter enacted. In addition, all work prepared by Licensee shall conform to applicable City, county, state and federal laws, rules, regulations and permit requirements and be subject to approval of the Project Administrator and City. 13. Independent Contractor. It is understood that Licensee is an independent contractor and not an agent or employee of Licensor. The manner and means of contracting for and management of the construction of the Monument Sign, and thereafter, the maintenance thereof, shall be under the control of Licensee, except to the extent they are limited by statute, rule or regulation and the expressed terms of this Agreement. No civil service status or other right of employment shall accrue to Licensee's employees. Nothing in this Agreement shall be deemed to constitute approval for Licensee or any of Licensee's employees or agents, to be the agents or employees of Licensor. 14. Administration. This License shall be administered by the Community Development Department. City's Real Property Administrator, or designee, shall be the Project Administrator and shall have the authority to act for City under this License. The Project Administrator or designee shall represent City in all matters pertaining to the construction, maintenance, and repair ("Work") pursuant to this License. 15. Prevailing Wages. Pursuant to the applicable provisions of the Labor Code of the State of California, not less than the general prevailing rate of per diem wages including legal holidays and overtime work for each craft or type of workman needed to execute the work contemplated under this Agreement shall be paid to all workmen employed on the work to be done according to this Agreement by Licensee and any subcontractor. In accordance with the California Labor Code (Sections 1770 et seq.), the Director of Industrial Relations has ascertained the general prevailing rate of per diem wages in the locality in which the work is to be performed for each craft, classification, or type of workman or Lighthouse Cafe, LLC Page 6 mechanic needed to execute this Agreement. A copy of said determination is available by calling the prevailing wage hotline number 415-703-4774, and requesting one from the Department of Industrial Relations. Licensee is required to obtain the wage determinations from the Department of Industrial Relations and post at the job site the prevailing rate or per diem wages. It shall be the obligation of Licensee or any subcontractor under him/her to comply with all State of California labor laws, rules and regulations and the parties agree that the Licensor shall not be liable for any violation thereof. 16. Damage to Licensor Property. Should any part of Licensor Property or the improvements thereon, including buildings, driveways, walkways, curbs, sidewalks, irrigation systems, fences, walls, lawn areas, trees, or other landscaping or similar areas become damaged during the course of or in connection with Licensee's construction activities at the Licensor Property, Licensee shall repair and restore such improvements, at Licensee's sole expense, to an equivalent condition as existed prior to Licensee's activities. Prior to the commencement of work of reconstruction or replacement, plans shall be presented to Licensor for approval not more than thirty (30) calendar days after the damage or loss occurs and shall be subject to the written approval of Licensor, which approval shall not be unreasonably withheld or delayed. The License Area may be utilized by Licensor for the purpose of restoring, repairing, or conforming the improvements on Licensor Property as contemplated by this Section. Licensee hereby assigns to Licensor, on a non-exclusive basis and without limiting its own rights, any and all express or implied warranties received by Licensee in connection with conformance work on Licensor Property to be performed under this Section to the extent such warranties exist, are unexpired, and are assignable. In the event any such damage is not repaired and restored as required by this Section, Licensee will reimburse Licensor for any losses and expenses due to such damage. Any such work or repair, restoration or replacement shall be completed with due diligence, but not longer than one hundred eighty (180) calendar days after such work is commenced unless delay is due to force majeure or impossibility. 17. Ownership of Improvements. Subject to acceptance by the City, upon completion of the Work, the Monument Sign and all improvements in connection therewith located upon the Licensor Property shall become part of, included in, and appurtenant to the Licensor Property, such that the lawful owners of the Licensor Property shall own the Monument Sign all such improvements. This Section shall survive the termination of this Agreement. The Monument Sign shall become the City's property in its then existing "as - is" condition, with no payment owed to Licensee. Licensee shall execute any documents as may be required by City to cause the Monument Sign to transfer ownership to City. 18. General Maintenance of Improvements. For the duration of this Agreement, Licensee shall, at its sole cost and expense, keep the Monument Sign and all improvements related thereto in good condition and in strict compliance with all Lighthouse Cafe, LLC Page 7 management and maintenance plans applicable to Licensor Property, including updates and changes to such management and maintenance plans as may be adopted in the future from time to time. Such general maintenance shall include, but not be limited to, periodic cleaning, repair and replacement of lighting, painting or resurfacing of exterior surfaces, and general upkeep. At the conclusion of each workday within the License Area, Licensee shall ensure the cleanup and removal of debris so as to maintain the License Area in as neat and clean a condition as reasonably possible. If, in the judgment of Licensor, Licensee fails to perform general maintenance or repairs within five (5) calendar days of receipt of written notice from Licensor therefor, Licensor may perform the deficient general maintenance or repairs and Licensee shall reimburse Licensor for the cost and expenses incurred by Licensor therefor, except where such failure or delay is due to force majeure or impossibility. 19. Urgent Maintenance of Improvements. In the event of graffiti, vandalism, damage or destruction to the Monument Sign or related improvements, Licensee shall commence maintenance and repair without delay and as soon as possible, and in no event more than twenty-four (24) hours after such need arises. If, in the judgment of Licensor, Licensee fails to commence urgent maintenance or repairs as required by this Section, Licensor may, without prior notice to Licensee, perform the urgent maintenance or repairs and Licensee shall reimburse Licensor for the cost and expenses incurred by Licensor therefor, except where such failure or delay is due to force majeure or impossibility. 20. Liens. Licensee shall not permit to be imposed, recorded or enforced against the License Area, Licensor Property, any portion thereof or any structure or improvement thereon ("Protected Property"), any mechanics, materialmen's, contractors or other liens arising from, or any claims for damages growing out of, any work or repair, construction or alteration of improvements in connection with this Agreement. In the event any lien or stop notice is imposed or recorded on Protected Property, and such lien or stop notice arises out of, is related to or connected with, or based on, Licensee's conduct, Licensee shall pay or cause to be paid all such liens, claims or demands before any action is brought to enforce the same against Protected Property. Notwithstanding the foregoing, if Licensee in good faith contests the validity of any such lien, claim or demand, then Licensee shall, at its sole expense, may defend against such lien, claim or demand provided that Licensee provides Licensor full defense and indemnity therefrom, and provided Licensee shall pay and satisfy any adverse judgment that may be rendered in connection therewith before any enforcement against Licensor or Protected Property. 21. Insurance. Without limiting Licensee's duties of defense and indemnification under this Agreement, Licensee, and its contractors who perform work pursuant to this Agreement, shall obtain, provide and maintain at their own expense, prior Lighthouse Cafe, LLC Page 8 to commencement of any work, and for the duration of time that they are in the course of performing such work, policies of insurance of the type, amounts, terms and conditions described in the Insurance Requirements attached hereto as Exhibit "D," and incorporated herein by this reference. 22. Bonding. In the event that the total amount payable by Licensee for construction of the Monument Sign will exceed Twenty Five Thousand Dollars and 00/100 ($25,000.00), Licensee shall obtain, or cause its general contractor who performs the work to obtain, and provide and maintain at its own expense: (1) a Labor and Materials Payment Bond in the amount of one hundred percent (100%) of the total amount to be paid for the work, in substantial conformance with the form attached hereto as Exhibit E and incorporated herein by this reference; and, (2) a Faithful Performance Bond in the amount of one hundred percent (100%) of the total amount to be paid for the work, in substantial conformance with the form attached hereto as Exhibit F and incorporated herein by this reference. The Labor and Materials Payment Bond and the Faithful Performance Bond shall be issued by an insurance organization or surety: (1) currently authorized by the Insurance Commissioner to transact business of insurance in the State of California; (2) listed as an acceptable surety in the latest revision of the Federal Register Circular 570; and, (3) assigned a Policyholders' Rating A (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best's Key Rating Guide: Property Casualty. Licensee shall deliver to Licensor, concurrently with Licensee's execution of the agreement with the general contractor for the construction of the Monument Sign, a Labor and Materials Payment Bond and Faithful Performance Bond, a certified copy of the "Certificate of Authority" of the Insurer or Surety issued by the Insurance Commissioner which authorizes the Insurer or Surety to transact surety insurance in the State of California. 23. Indemnification. To the fullest extent permitted by law, Licensee shall indemnify, defend and hold harmless Licensor, its City Council, boards and commissions, officers, agents, volunteers, employees and any person or entity owning or otherwise in legal control of the property upon which Licensee performs the work contemplated by this Agreement (collectively, the "Indemnified Parties") from and against any and all claims (including, without limitation, claims for bodily injury, death or damage to property), demands, obligations, damages, actions, causes of action, suits, losses, judgments, fines, penalties, liabilities, costs and expenses (including, without limitation, attorneys' fees, disbursements and court costs) of every kind and nature whatsoever (individually, a Claim; collectively, "Claims"), which may arise from or in any manner relate (directly or indirectly) to any breach of the terms and conditions of this Agreement, any Work performed under this Agreement including, without limitation, defects in workmanship or materials or Licensee's presence or activities (including the negligent, reckless, and/or willful acts, errors and/or omissions of Licensee, its principals, officers, agents, employees, vendors, suppliers, consultants, subcontractors, anyone employed directly or indirectly by any of them or for Lighthouse Cafe, LLC Page 9 whose acts they may be liable, or any or all of them). Notwithstanding the foregoing, nothing herein shall be construed to require Licensee to indemnify the Indemnified Parties from any Claim arising from the sole negligence or willful misconduct of the Indemnified Parties. Nothing in this indemnity shall be construed as authorizing any award of attorneys' fees in any action on or to enforce the terms of this Agreement. This indemnity shall apply to all claims and liability regardless of whether any insurance policies are applicable. The policy limits do not act as a limitation upon the amount of indemnification to be provided by Licensee. 24. Notices. All notices, demands, requests or approvals, including any change in mailing address, to be given under the terms of this Agreement shall be given in writing, and conclusively shall be deemed served when delivered personally, or on the third business day after the deposit thereof in the United States mail, postage prepaid, first- class mail, addressed as hereinafter provided. 24.1. All notices, demands, requests or approvals from Licensee to Licensor shall be addressed to Licensor at: Attn: Real Property Administrator City of Newport Beach 100 Civic Center Drive Newport Beach, CA 92660 24.2. All notices, demands, requests or approvals from Licensor to Licensee shall be addressed to Licensee at: Attn: Doug Cavanaugh Lighthouse Cafe, LLC 32565 Golden Lantern, Suite B #1028 Dana Point, CA 92629 25. Termination. This Agreement may be terminated by Licensor at any time in its sole and absolute discretion upon seven (7) calendar days prior written notice to Licensee. Additionally, both parties may agree, in writing, to terminate this Agreement at any time in their collective discretion. Licensee may terminate this Agreement upon prior written notice to Licensor of a material breach by Licensor which Licensor fails to cure within thirty (30) calendar days of receipt of notice thereof. 26. Assignment. Neither this Agreement, nor the License issued hereunder, shall be assigned or transferred without the prior written approval of Licensor. Any Lighthouse Cafe, LLC Page 10 proposed assignment shall require prior written approval of Licensor, which Licensor may grant or deny in its sole and absolute discretion. Any of the following shall be construed as an assignment: the sale, assignment, transfer or other disposition of any of the issued and outstanding capital stock of Licensee, or of the interest of any general partner or joint venturer or syndicate member or cotenant if Licensee is a partnership or joint -venture or syndicate or co -tenancy, which shall result in changing the control of Licensee. Control means fifty percent (50%) or more of the voting power or twenty-five percent (25%) or more of the assets of the corporation, partnership or joint -venture. Such assignment shall be by written assignment executed by Licensee, which memorandum thereof recorded in the Official Records. 27. Binding. This Agreement shall be binding upon and inure to the benefit of the parties, their legal representatives, successors, and assigns (collectively, "successors"). Licensee shall provide timely notice of this Agreement to any potential successors, and in particular, the duty to maintain the Monument Sign in accordance with the terms of this Agreement by Licensee's successors. 28. Further Assurances. Each party shall act in good faith to take, or cause to be taken, and to do, or cause to be done, all reasonable actions necessary or proper, and to assist and cooperate with the other party, to carry out the intent and purposes of this Agreement, including but not limited to, the execution of documents. 29. Hazardous Substance. 29.1. Hazardous Substance means: (i) any substance, product, waste or other material of any nature whatsoever which is or becomes listed, regulated, or addressed pursuant to the Comprehensive Environmental Response, Compensation and Liability Act, 42 U.S.C. Section 9601 et seq. ("CERLCA"); the Hazardous Materials Transportation Act, 49 U.S.C. Section 1801, et seq.; the Resource Conversation and Recovery Act, 42 U.S.C. Section 6901 et seq. "RCRA"); the Toxic Substances Control Act, 15 U.S.C. Section 2601 et seq.; the Clean Water Act, 33 U.S.C. Section 1251 et seq.; the California Hazardous Waste Control Act, Health and Safety Code Section 25100 et seq.; the California Hazardous Substance Account Act, Health and Safety Code Sections 25330 et seq.; the California Safe Drinking Water and Toxic Enforcement Act, Health and Safety Code Sections 25249.5 et seq.; California Health and Safety Code Sections 25280 et seq. (Underground Storage of Hazardous Substances); the California Hazardous Waste of Concern and Public Safety Act, Health and Safety Code Sections 25169.5 et seq.; California Health and Safety Code Sections 25501 et seq. (Hazardous Materials Response Plans and Inventory); or the Porter -Cologne Water Quality Control Act, Water Code Sections 13000 et seq., all as they, from time -to -time may be amended or re -codified, (the above -cited statutes are here collectively referred to as the "Hazardous Lighthouse Cafe, LLC Page 11 Substances Laws") or any other Federal, State or local statute, law, ordinance, resolution, code, rule, regulation, order or decree regulating, relating to, or imposing liability or standards of conduct concerning, any hazardous, toxic or dangerous waste, substance or material, as now or at any time hereafter in effect; (ii) any substance, product, waste or other material of any nature whatsoever which may give rise to liability under any of the above statutes or under any statutory or common law theory, including but not limited to negligence, trespass, intentional tort, nuisance, waste or strict liability or under any reported decisions of a state or federal court; (iii) petroleum or crude oil; and (iv) asbestos. 29.2. From the Effective Date and throughout the Term, Licensee shall not use, occupy, or permit any portion of the License Area to be used or occupied in violation of any Hazardous Substance laws. Notwithstanding any other provision in this Section, Licensee is not responsible or liable for any Hazardous Substances that are brought on to the License Area, through migration or other means, by third -parties not associated with Licensee. 29.3. Notwithstanding any contrary provision of this Agreement, and in addition to the indemnification duties of Licensee set forth elsewhere in this Agreement, Licensee indemnifies, defends with counsel reasonably acceptable to City, protects, and holds harmless City and its elected and appointed officials, boards and commissions, officers, employees, agents, and volunteers from and against any and all losses, fines, penalties, claims, demands, obligations, actions, causes of action, suits, costs and expenses (including, without limitation, attorneys' fees, disbursements and court costs), damages, judgments, or liabilities, including, but not limited to, any repair, cleanup, detoxification, or preparation and implementation of any remedial, response, closure or other plan of any kind or nature which the City and its elected or appointed officials, boards and commissions, officers, employees, agents or volunteers may sustain or incur, or which may be imposed upon them, in connection with any breach of Licensee's obligations or representations in this Agreement or the use of the License Area under this Agreement, arising from or attributable to the Licensee Parties (defined below) storage or deposit of Hazardous Substances in violation of applicable laws. This section is intended to operate as an agreement pursuant to Section 107(e) of CERCLA, 42 USC Section 9607(e), and California Health and Safety Code Section 25364, to insure, protect, hold harmless, and indemnify City for any claim pursuant to the Hazardous Substance laws or the common law. 29.4. Licensee does not, and shall not, authorize any third party to use, generate, manufacture, maintain, permit, store, or dispose of any Hazardous Substances in violation of applicable laws on, under, about or within the License Area. Lighthouse Cafe, LLC Page 12 29.5. Upon expiration or earlier termination of this Agreement, Licensee shall deliver possession of the License Area in compliance with Hazardous Substance laws. 29.6. If during the Term of this Agreement, Licensee becomes aware of (i) any actual or threatened release of any Hazardous Substances on, in, under, from, or about the License Area in violation of Hazardous Substance laws; or (ii) any inquiry, investigation, proceeding, or claim by any government agency or other person regarding the presence of any Hazardous Substances in violation of Hazardous Substance laws on, in, under, from or about the License Area, Licensee shall give City written notice of the release or inquiry within five (5) calendar days after Licensee becomes aware or first has reason to believe there has been a release or inquiry and shall simultaneously furnish to City copies of any claims, notices of violation, reports, warning or other writings received by Licensee that concern the release or inquiry. 29.7. If the presence of any Hazardous Substances brought onto the License Area by Licensee or Licensee's employees, agents, sublessees, licensees, concessionaires, contractors, or invitees ("Licensee Parties"), or generated by same during the Term of this Agreement, results in contamination of the License Area or adjacent properties in violation of Hazardous Substance laws, Licensee shall promptly take all necessary actions, at Licensee's sole expense, to remove or remediate such Hazardous Substances in full compliance with applicable laws. Licensee shall provide notice to City prior to performing any removal or remedial action. Licensee shall not propose nor agree to any covenant of use restriction as part of any removal or remediation required as a result of this provision without City's written consent. Licensee shall pay any costs City incurs in performing Licensee's obligation to clean-up contamination resulting from Licensee's operations or use of the License Area. 29.8. Should any clean-up of Hazardous Substances for which Licensee is responsible not be completed prior to the expiration or sooner termination of the Agreement, including any extensions thereof, then Licensee shall transfer the amounts required to complete clean-up into an escrow account, together with City -approved instructions for the disbursement of such amount in payment of the costs of any remaining clean-up as it is completed, and (Ji) if the nature of the contamination or clean-up required of Licensee is of such a nature as to make the License Area untenable or unlicensable, then Licensee shall be liable to City as a holdover licensee until the clean-up has been sufficiently completed to make the License Area suitable for license to third parties. The estimated cost of the clean-up shall require approval of the City. Lighthouse Cafe, LLC Page 13 29.9. If City determines, in its reasonable discretion, that Licensee does not have insurance or other financial resources sufficient to enable Licensee to fulfill its obligations under this provision, whether or not accrued, liquidated, conditional, or contingent, then Licensee shall, at the request of City, procure and thereafter maintain in full force and effect such environmental impairment liability and/or pollution liability insurance policies and endorsements, or shall otherwise provide such collateral or security reasonably acceptable to City as is appropriate to assure that Licensee will be able to perform its duties and obligations hereunder. 29.10. Licensee's obligations in this Section shall survive the expiration or earlier termination of this Agreement. 30. Payment of Obligations. Licensee shall promptly pay, when due, any and all bills, debts, liabilities and obligations incurred by Licensee in connection with, arising out of, or related to this Agreement. 31. Miscellaneous. 31.1. Recitals. Both parties acknowledge that the above Recitals are true and correct and are hereby incorporated by reference into this Agreement. 31.2. Compliance with all Laws. Licensee shall, at its own cost and expense, comply with all statutes, ordinances, regulations and requirements of all governmental entities, including federal, state, county or municipal, whether now in force or hereinafter enacted. In addition, all work performed by Licensee shall conform to applicable City, county, state and federal laws, rules, regulations and permit requirements and be subject to approval of the Project Administrator and Licensor. 31.3. Force Majeure. The performance of both Parties (except for the payment of monies earned and/or accrued) shall be excused during the period, and to the extent, that such performance is rendered impossible, impracticable or unduly burdensome due to force majeure (as defined below). The term "force majeure" shall mean acts of God, strikes, lockouts, or labor difficulty; unavailability of parts, equipment or materials through normal supply sources; or the failure of any utility to supply its services for reasons beyond the control of the Party whose performance is to be excused. 31.4. Waiver. A waiver by either party of any breach, of any term, covenant or condition contained herein shall not be deemed to be a waiver of any subsequent breach of the same or any other term, covenant or condition contained herein, whether of the same or a different character. Lighthouse Cafe, LLC Page 14 31.5. Integrated Contract. This Agreement represents the full and complete understanding of every kind or nature whatsoever between the parties hereto, and all preliminary negotiations and agreements of whatsoever kind or nature are merged herein. No verbal agreement or implied covenant shall be held to vary the provisions herein. 31.6. Conflicts or Inconsistencies. In the event there are any conflicts or inconsistencies between this Agreement and any attachments attached hereto, the terms of this Agreement shall govern. 31.7. Interpretation. The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either party by reason of the authorship of the Agreement or any other rule of construction which might otherwise apply. 31.8. Amendments. This Agreement may be modified or amended only by a written document executed by both parties and approved as to form by the City Attorney. 31.9. Severability. If any term or portion of this Agreement is held to be invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions of this Agreement shall continue in full force and effect. 31.10. Controlling Law and Venue. The laws of the State of California shall govern this Agreement and all matters relating to it and any action brought relating to this Agreement shall be adjudicated in a court of competent jurisdiction in the County of Orange, State of California. 31.11. Equal Opportunity Employment. Licensee represents that it is an equal opportunity employer and it shall not discriminate against any subcontractor, employee or applicant for employment because race, religious creed, color, national origin, ancestry, physical handicap, medical condition, marital status, sex, sexual orientation, age or any other impermissible basis under law. 31.12. No Attorneys' Fees. In the event of any dispute or legal action arising under this Agreement, the prevailing party shall not be entitled to attorneys' fees. 31.13. Counterparts. This Agreement may be executed in two (2) or more counterparts, each of which shall be deemed an original and all of which together shall constitute one (1) and the same instrument. Lighthouse Cafe, LLC Page 15 31.14. Relationship of the Parties. Nothing contained herein shall be construed to make the parties hereto partners or joint venturers, or render any of such parties liable for the debts or obligations of the other party hereto. 31.15. No Third -Party Rights. The parties do not intent to create rights in or grant remedies to, any third party as a beneficiary of this License, or of any duty, covenant, obligation or undertaking established herein. 31.16. Further Assurances. The parties agree to perform all further and other acts reasonably necessary to effectuate the purposes and intent of this Agreement. 31.17. Authority to Sign. Each person signing this Agreement on behalf of a party hereto represents and warrants that they are fully authorized to execute this Agreement on behalf of the party on whose behalf such individual has signed this Agreement, and that by signing this Agreement such party shall be bound by the terms contained in this Agreement. [SIGNATURES ON NEXT PAGE] Lighthouse Cafe, LLC Page 16 IN WITNESS WHEREOF, the parties have executed this Agreement on the day and year first above written. APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE Date: it 1 z3 By: (P'.; ) on C. Harp City Attorney da. ATTEST: Date - LICENSOR: CITY OF NEWPORT BEACH, a California municipal corporation Date: By: Gr c . Leung C Manager LICENSEE: Lighthouse Cafe, LLC, a California limited liability company Date: By: _,4 By: Signed in Counterpart Leilani I. Brown Douglas S. Cavanaugh City Clerk Manager ®� Date. �- =3� 1�k By: Signed in Counterpart ot�N�P Tad Belshe Manager ATTACHMENTS: Exhibit A — Legal Description and Depiction of Licensor Property Exhibit B — Depiction of License Area Exhibit C — Monument Sign Exhibit D — Insurance Requirements Exhibit E — Labor and Materials Payment Bond Exhibit F — Faithful Performance Bond Lighthouse Cafe, LLC Page 17 IN WITNESS WHEREOF, the parties have executed this Agreement on the day and year first above written. APPROVED AS TO FORM: LICENSOR: CITY OF NEWPORT CITY ATTORNEY'S OFFICE BEACH, a California municipal corporation Date: i-! / ll /Z3 Date: By: Q m' ) on C. Harp City Attorney Ufa. ATTEST: Date: By.. Grace K. Leung City Manager LICENSEE: Lighthouse Cafe, LLC, a California limited liability company Date: 61�A I O ''L% By: By: Leilani I. Brown Douglas S. Cavanaugh City Clerk Manager ATTACHMENTS Date: q-/ 7- By: � Tad Belshe Manager Exhibit A — Legal Description and Depiction of Licensor Property Exhibit B — Depiction of License Area Exhibit C — Monument Sign Exhibit D — Insurance Requirements Exhibit E — Labor and Materials Payment Bond Exhibit F — Faithful Performance Bond Lighthouse Cafe, LLC Page 17 EXHIBIT A LEGAL DESCRIPTION AND DEPICTION OF LICENSOR PROPERTY LAND DESCRIPTION TRUST TERMINATION PARCELS THREE PARCELS OF FILLED TIDE AND SUBMERGED LAND AND A PORTION OF SWAMP AND OVERFLOWED LANDS LOCATION NUMBER 3089 PATENT TO JAMES MCFADDEN ON MAY 16, 1892, SITUATE IN THE CITY OF NEWPORT BEACH, COUNTY OF ORANGE, STATE OF CALIFORNIA, AS DESCRIBED AS FOLLOWS: PARCEL1 BEGINNING AT THE SOUTHWEST CORNER OF LOT 16 OF BLOCK 117, SECTION B, NEWPORT BEACH AS SHOWN ON A MAP FILED IN BOOK 4, PAGE 27 OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY; THENCE ALONG THE SOUTHWESTERLY LINE OF SAID BLOCK 117, ALSO BEING THE NORTHEASTERLY RIGHT OF WAY LINE OF BALBOA BOULEVARD (100 FEET WIDE) SOUTH 79°22'58" EAST 178.20 FEET; THENCE NORTH 10037'02" EAST 219.64 FEET TO THE BEGINNING OF A NONTANGENT CURVE CONCAVE NORTHEASTERLY HAVING A RADIUS OF 52.74 FEET, A RADIAL BEARING TO SAID CURVE BEARS SOUTH 15022'54" WEST; THENCE NORTHWESTERLY, NORTHERLY AND NORTHEASTERLY 93.91 FEET ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 102001'22" TO A POINT OF CUSP WITH A NONTANGENT CURVE CONCAVE NORTHEASTERLY HAVING A RADIUS OF 72.54 FEET, A RADIAL BEARING TO SAID CURVE 'BEARS SOUTH 00047'02" EAST; THENCE NORTHWESTERLY 42.46 FEET ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 33°31'53" TO THE BEGINNING OF A REVERSE CURVE CONCAVE SOUTHWESTERLY HAVING A RADIUS OF 72.01 FEET, A RADIAL BEARING THROUGH SAID POINT BEARS NORTH 32044'52" EAST; THENCE SOUTHWESTERLY 54.01 FEET ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 42058'25" TO THE BEGINNING OF A REVERSE CURVE CONCAVE NORTHWESTERLY HAVING A RADIUS OF 81 .24 FEET, A RADIAL BEARING THROUGH SAID POINT BEARS SOUTH 10013'33" EAST; THENCE SOUTHWESTERL Y 38.37 FEET ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 27003'38" TO THE EASTERLY RIGHT OF WAY LINE OF 18TH STREET (40 FEET WIDE); THENCE ALONG SAID EASTERLY RIGHT OF WAY LINE SOUTH 10036'36" WEST 287.10 FEET TO THE POINT OF BEGINNING. CONTAINING 1.124 ACRES, MORE OR LESS. Lighthouse Cafe, LLC Page A-1 PARCEL2 BEGINNING AT THE INTERSECTION OF THE CENTERLINE OF 16TH STREET (40 FEET WIDE. NOW ABANDONED) AND THE NORTHERLY RIGHT OF WAY LINE OF BALBOA BOULEVARD (100 FEET WIDE) AS SHOWN ON TRACT NUMBER 234 AS SHOWN ON A MAP FILED IN BOOK 13, PAGES 36 AND 37 OF MISCELLANEOUS MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY; THENCE ALONG THENCE ALONG SAID CENTERLINE NORTH 10"38'49" EAST 70.87 FEET; THENCE NORTH 79015'11" WEST 236.74 FEET; THENCE NORTH 10°44'49" EAST 199.43 FEET TO THE BEGINNING OF A NONTANGENT CURVE CONCAVE SOUTHEASTERLY HAVING A RADIUS OF 168.54 FEET, A RADIAL BEARING TO SAID CURVE BEARS NORTH 15020'21" EAST; THENCE SOUTHWESTERLY 143.27 FEET ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 48042'13" TO THE BEGINNING OF A COMPOUND CURVE CONCAVE SOUTHEASTERLY HAVING A RADIUS OF 373.41 FEET, A RADIAL BEARING TO SAID POINT BEARS NORTH 33021 '52" WEST; THENCE SOUTHWESTERLY 79.01 FEET ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 12°07'24" TO THE BEGINNING OF A COMPOUND CURVE CONCAVE SOUTHEASTERLY HAVING A RADIUS OF 239.54 FEET, A RADIAL BEARING TO SAID POINT BEARS NORTH 45029'16" WEST; THENCE SOUTHWESTERLY 94.65 FEET ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 22"38'22" TO THE BEGINNING OF A COMPOUND CURVE CONCAVE SOUTHEASTERLY HAVING A RADIUS OF 113.22 FEET, A RADIAL BEARING TO SAID POINT BEARS NORTH 68007'38" WEST; THENCE SOUTHWESTERLY 22.09 FEET ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 11 °10'47"; THENCE SOUTH 10041'35" WEST 54.92 FEET TO THE NORTHERLY RIGHT OF WAY LINE OF BALBOA BOULEVARD; THENCE ALONG SAID NORTHERLY RIGHT OF WAY LINE THE FOLLOWING TWO COURSES: 1. SOUTH 79022'58" EAST 16.13 FEET; 2. SOUTH 79"23'02" EAST 440.04 FEET TO THE POINT OF BEGINNING. CONTAINING 1.499 ACRES, MORE OR LESS. Lighthouse Cafe, LLC Page A-2 PARCEL3 BEGINNING AT A POINT ON THE NORTHERLY PROLONGATION OF THE WESTERLY RIGHT OF WAY LINE OF 15TH STREET, AS SHOWN ON A MAP OF TRACT 234, AS PER MAP FILED IN BOOK 13, PAGES 36 AND 37 OF MISCELLANEOUS MAPS, IN THE OFFICE OF SAID COUNTY RECORDER, SAID POINT BEING NORTH 10040'10" EAST 160.00 FEET NORTHERLY FROM THE NORTHEASTERLY CORNER OF LOT 4, BLOCK 115 OF SAID TRACT NO. 234; THENCE NORTH 79020'30" WEST 146.30 FEET; THENCE SOUTH 10039'30" WEST 140.00 FEET TO A LINE PARALLEL WITH AND 20.00 FEET NORTH OF THE NORTHERLY LINE OF SAID BLOCK 115; THENCE ALONG SAID PARALLEL LINE SOUTH 79020'30" EAST 146.27 FEET TO SAID WESTERLY RIGHT OF WAY LINE OF 15TH STREET; THENCE ALONG SAID WESTERLY RIGHT OF WAY LINE NORTH 10040'10" EAST 140.00 FEET TO THE POINT OF BEGINNING. CONTAINING 0.470 ACRES, MORE OR LESS. END OF DESCRIPTION Lighthouse Caf6, LLC Page A-3 zoo vNtLCF P� o„ Marina Park m c ►— 7,oc o W tit ••. rcory� -') t acr€Y tiW �• I^ ep wN m ocaN FRon,r IN r_ Marina Park (Docks) MARINA PARK COMMUNITY CENTER Vetera ns Memorial :. (A -k) 1(2 737p __ NEI-J! Disclaimer: NEWP ORT BEACH Every reasonable effort has been made to assure the accuracy of the data provided, however, The City of �EWP0 Newport Beach and its employees and agents o� @ 0 200 400 disclaim any and all responsibility from or relating to any results obtained in its use. ` CgGiFOFN�P Feet 9/28i2022 EXHIBIT B DEPICTION OF LICENSE AREA Lighthouse Cafe, LLC Page B-1 S m 5 F j W W loins s W- a OEM'Ci 1 H ffill ■ I Ip Y; w W�� YY V n3 Ciiv� �- , I � , . 4 1 11 . 1. Jim; L 0 g� �� �� �ld��r �_..■ ��1 a m d e m e r Er f9 CL l9 C O e r O G 6f a a o e 'N •� O A W A d 10 i+ C � N N •� 7 � � a :: to m o m " •e—+ r y m d E m O L CO a w O O � 4O N y 7T l0 = a.� a a o "r ev w � e m m �p r C VJ O N C7 O M m wCo as — a r c — a as ea M as s 3 C i ++ e N d O m o m m.r aw C +r O A 61 l0 m as � ,fl �• a Q L ` C - Y d a w C a N O C a cu v .e.« ems:; c c a aaaaaaio EXHIBIT C MONUMENT SIGN Lighthouse Cafe, LLC Page C-1 AA cc cc G" Q C2 o Ca Q W m CD Z m �i O m r Q m 0 co cc r W 04ma o Q J iR P n O O C P M VGWV -. `+V.0 CCTV ap WV a F = d Z W z �o 3� �3 a N W n3 n N o:S v�i d n u _ ,2y, �.§ -- »| � |■�■§� ■k =- � _` �§(|!! � . . >■ .�� . - . - --- -- ---- Gam\ah g;24 '� � ■�- - --- —= s ; ����2 §�§_ )2#§Sq)l ) ( [ eeeee—e��_ (�_6Q3 /2;;\ § : ) § :;_ b _ 9 _ _-�'c C a� mwp N �c- - - = 9a82 n 6�v�W6 - �N a =Hz. Z. i h''^. 7 9� og= a A WU� W' _ -�u3t" va��iq ? ECw-rvEw N W N n ed u�i �+ v E"o � a�m ---='_ 3ZSE_-_ F e a= bw�`m��=3w 2_§ / / �/ '�_=/� ! \���! - _- = = // # !R § ■b 9a! ■- - § •_�� al } EM . a _I ;N! �_ f G! Ala; Qg @!. - 2!!!�2! _ _ �� .taw cv = _ 1 2k9 3�) _ (� Ale; la@-I•� § } � & £«;E u:E q§[qz=2 ��■;�i22 � 2§2&!u ¥ §)q2=!\2 �} )()§\2\\ )\ . 0!2 §$k¥UzZ -� �Bau<2Kf 2\ pM■a��=2 `6Gu z< 3§ Gz § 2 k § \ \ 3: B e @ � k § / §Rf..« 32 =k �l.. EXHIBIT D INSURANCE REQUIREMENTS Provision of Insurance. Without limiting Licensee's indemnification of City, Licensee, and its contractors who perform work pursuant to this Agreement, prior to commencement of any work, and for the duration of time that they are in the course of performing such work, provide and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and in a form satisfactory to City. Licensee agrees to provide insurance in accordance with requirements set forth here. If Licensee uses existing coverage to comply and that coverage does not meet these requirements, Licensee agrees to amend, supplement or endorse the existing coverage. 2. Acceptable Insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance in the State of California, with an assigned policyholders' Rating of A- (or higher) and Financial Size Category Class VI (or larger) in accordance with the latest edition of Best's Key Rating Guide, unless otherwise approved by the City's Risk Manager. 3. Coverage Requirements. A. Workers' Compensation Insurance. Licensee shall maintain Workers' Compensation Insurance providing statutory benefits and Employer's Liability Insurance with limits of at least one million dollars ($1,000,000) each employee for bodily injury by accident and each employee for bodily injury by disease in accordance with the laws of the State of California, Section 3700 of the Labor Code. In addition, Licensee shall require each subcontractor to similarly maintain Workers' Compensation Insurance and Employer's Liability Insurance in accordance with California law for all of the subcontractor's employees. The insurer issuing the Workers' Compensation insurance shall amend its policy by endorsement to waive all rights of subrogation against City, its elected or appointed officers, agents, officials, employees, volunteers, and any person or entity owning or otherwise in legal control of the property upon which Licensee performs the Project and/or Services contemplated by this Agreement. Licensee shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of City, its elected or appointed officers, agents, officials, employees, volunteers, and any person or entity owning or otherwise in legal control of the property upon which Licensee performs the Project and/or Services contemplated by this Agreement. B. General Liability Insurance. Licensee shall maintain commercial general liability insurance, and if necessary umbrella liability insurance, with coverage at least as broad as provided by Insurance Services Office form CG 00 01, in an amount not less than one million dollars ($1,000,000) per occurrence, two Lighthouse Cafe, LLC Page D-1 million dollars ($2,000,000) general aggregate and two million dollars ($2,000,000) completed operations aggregate. The policy shall cover liability arising from premises, operations, products -completed operations, personal and advertising injury, and liability assumed under an insured contract (including the tort liability of another assumed in a business contract). C. Automobile Liability Insurance. Licensee shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of Licensee arising out of or in connection with Work to be performed under this Agreement, including coverage for any owned, hired, non -owned or rented vehicles, in an amount not less than one million dollars ($1,000,000) combined single limit for each accident. 4. Other Insurance Requirements. The policies are to contain, or be endorsed to contain, the following provisions: A. Waiver of Subrogation. All insurance coverage maintained or procured pursuant to this Agreement shall be endorsed to waive subrogation against City, its elected or appointed officers, agents, officials, employees, volunteers, and any person or entity owning or otherwise in legal control of the property upon which Licensee performs the Project and/or Services contemplated by this Agreement or shall specifically allow Licensee or others providing insurance evidence in compliance with these requirements to waive their right of recovery prior to a loss. Licensee hereby waives its own right of recovery against City, and shall require similar written express waivers and insurance clauses from each of its subcontractors. B. Additional Insured Status All liability policies including general liability, products and completed operations, excess liability, pollution liability, and automobile liability, if required, shall provide or be endorsed to provide that City, its elected or appointed officers, agents, officials, employees, volunteers, and any person or entity owning or otherwise in legal control of the property upon which Licensee performs the Project and/or Services contemplated by this Agreement shall be included as additional insureds under such policies. C. Primary and Non Contributory. Licensee's insurance coverage shall be primary insurance and/or the primary source of recovery with respect to City, its elected or appointed officers, agents, officials, employees, volunteers, and any person or entity owning or otherwise in legal control of the property upon which Licensee performs the Project and/or Services contemplated by this Agreement. Any insurance or self-insurance maintained by City shall be excess of Licensee's insurance and shall not contribute with it. D. Notice of Cancellation. All policies shall provide City with thirty (30) calendar days notice of cancellation or nonrenewal of coverage (except for nonpayment for which ten (10) calendar days notice is required) for each Lighthouse Cafe, LLC Page D-2 required coverage except Builders Risk Insurance, which shall contain an endorsement with said required notices. 5. Additional Agreements Between the Parties. The parties hereby agree to the following: A. In the event City determines that (i) the Tenant's activities on the Property creates an increased or decreased risk of loss to the City, (ii) greater insurance coverage is required due to the passage of time, or (iii) changes in the industry require different coverage be obtained, Tenant agrees that the minimum limits of any insurance policy required to be obtained by Tenant or Tenant's consultants, contractors or subcontractors, may be changed accordingly upon receipt of written notice from City. With respect to changes in insurance requirements that are available from Tenant's then -existing insurance carrier, Tenant shall deposit certificates evidencing acceptable insurance policies with City incorporating such changes within thirty (30) calendar days of receipt of such notice. With respect to changes in insurance requirements that are not available from Tenant's then- existing insurance carrier, Tenant shall deposit certificates evidencing acceptable insurance policies with City, incorporating such changes, within ninety (90) calendar days of receipt of such notice. B. Any deductibles applicable to the commercial property or insurance purchased in compliance with the requirements of this section shall be approved by City. C. Evidence of Insurance. Licensee shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers' compensation and other endorsements as specified herein for each coverage. All of the executed documents referenced in this Agreement must be returned to City within ten (10) regular City business days after the date on the "Notification of Award". Insurance certificates and endorsements must be approved by City's Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this Agreement. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf. At least fifteen (15) days prior to the expiration of any such policy, evidence of insurance showing that such insurance coverage has been renewed or extended shall be filed with the City. If such coverage is cancelled or reduced, Licensee shall, within ten (10) days after receipt of written notice of such cancellation or reduction of coverage, file with the City evidence of insurance showing that the required insurance has been reinstated or has been provided through another insurance company or companies. City reserves the right to require complete, certified copies of all required insurance policies, at any time. Lighthouse Cafe, LLC Page D-3 D. City's Right to Revise Requirements. The City reserves the right at any time during the term of the Agreement to change the amounts and types of insurance required by giving Licensee ninety (90) calendar days advance written notice of such change. If such change results in substantial additional cost to Licensee, City and Licensee may renegotiate Licensee's compensation. E. Right to Review Subcontracts. Licensee agrees that upon request, all agreements with subcontractors or others with whom Licensee enters into contracts with on behalf of City will be submitted to City for review. Failure of City to request copies of such agreements will not impose any liability on City, or its employees. Licensee shall require and verify that all subcontractors maintain insurance meeting all the requirements stated herein, and Licensee shall ensure that City is an additional insured on insurance required from subcontractors. For CGL coverage, subcontractors shall provide coverage with a format at least as broad as CG 20 38 04 13. F. Enforcement of Agreement Provisions. Licensee acknowledges and agrees that any actual or alleged failure on the part of City to inform Licensee of non- compliance with any requirement imposes no additional obligations on City nor does it waive any rights hereunder. G. Requirements not Limiting. Requirements of specific coverage features or limits contained in this Exhibit A are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the Licensee maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for higher limits maintained by the Licensee. Any available proceeds in excess of specified minimum limits of insurance and coverage shall be available to the City. H. Self -Insured Retentions. Licensee agrees not to self -insure or to use any self - insured retentions on any portion of the insurance required herein and further agrees that it will not allow any indemnifying party to self -insure its obligations to City. If Licensee's existing coverage includes a self -insured retention, the self -insured retention must be declared to City. City may review options with Licensee, which may include reduction or elimination of the self -insured retention, substitution of other coverage, or other solutions. Licensee agrees to be responsible for payment of any deductibles on their policies. City Remedies for Non Compliance. If Licensee or any subcontractor fails to provide and maintain insurance as required herein, then City shall have the right but not the obligation, to purchase such insurance, to terminate this Agreement, or to suspend Licensee's right to proceed until proper evidence Lighthouse Cafe, LLC Page D-4 of insurance is provided. Any amounts paid by City shall, at City's sole option, be deducted from amounts payable to Licensee or reimbursed by Licensee upon demand. J. Timely Notice of Claims. Licensee shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Licensee's performance under this Agreement, and that involve or may involve coverage under any of the required liability policies. City assumes no obligation or liability by such notice, but has the right (but not the duty) to monitor the handling of any such claim or claims if they are likely to involve City. K. Coverage not Limited. All insurance coverage and limits provided by Licensee and available or applicable to this Agreement are intended to apply to the full extent of the policies. Nothing contained in this Agreement or any other agreement relating to City or its operations limits the application of such insurance coverage. L. Coverage Renewal. Licensee will renew the coverage required here annually as long as Licensee continues to provide any Work under this or any other Agreement or agreement with City. Licensee shall provide proof that policies of insurance required herein expiring during the term of this Agreement have been renewed or replaced with other policies providing at least the same coverage. Proof that such coverage has been ordered shall be submitted prior to expiration. A coverage binder or letter from Licensee's insurance agent to this effect is acceptable. A certificate of insurance and/or additional insured endorsement as required in these specifications applicable to the renewing or new coverage must be provided to City with five (5) calendar days of the expiration of the coverages. M. Maintenance of General Liability Coverage. Licensee agrees to maintain commercial general liability coverage for a period of ten (10) years after completion of the Project or to obtain coverage for completed operations liability for an equivalent period. Lighthouse Cafe, LLC Page D-5 EXHIBIT E CITY OF NEWPORT BEACH BOND NO. LABOR AND MATERIALS PAYMENT BOND WHEREAS, the City of Newport Beach, State of California, has entered into with LIGHTHOUSE CAFE, LLC, hereinafter designated as the "Principal," a license agreement for construction of a monument sign at Marina Park, in the City of Newport Beach, in strict conformity with the Agreement on file with the office of the City Clerk of the City of Newport Beach, which is incorporated herein by this reference. WHEREAS, Principal has executed or is about to execute the Agreement and the terms thereof require the furnishing of a bond, providing that if Principal or any of Principal's subcontractors, shall fail to pay for any materials, provisions, or other supplies used in, upon, for, or about the performance of the Work agreed to be done, or for any work or labor done thereon of any kind, the Surety on this bond will pay the same to the extent hereinafter set forth. NOW, THEREFORE, We the undersigned Principal, and, duly authorized to transact business under the laws of the State of California, as Surety, (referred to herein as "Surety") are held and firmly bound unto the City of Newport Beach, in the sum of Dollars ( ), lawful money of the United States of America, said sum being equal to 100% of the total amount payable for completion of the Monument Sign, and being over Twenty Five Thousand Dollars and 00/100 ($25,000.00), payable by the City of Newport Beach under the terms of the Agreement; for which payment well and truly to be made, we bind ourselves, our heirs, executors and administrators, successors, or assigns, jointly and severally, firmly by these present. THE CONDITION OF THIS OBLIGATION IS SUCH, that if the Principal or the Principal's subcontractors, fail to pay for any materials, provisions, or other supplies, implements or machinery used in, upon, for, or about the performance of the Work contracted to be done, or for any other work or labor thereon of any kind, or for amounts due under the Unemployment Insurance Code with respect to such work or labor, or for any amounts required to be deducted, withheld and paid over to the Employment Development Department from the wages of employees of the Principal and subcontractors pursuant to Section 13020 of the Unemployment Insurance Code with respect to such work and labor, then the Surety will pay for the same, in an amount not exceeding the sum specified in this Bond, and also, in case suit is brought to enforce the obligations of this Bond, a reasonable attorneys' fee, to be fixed by the Court as required by the provisions of Section 9554 of the Civil Code of the State of California. The Bond shall inure to the benefit of any and all persons, companies, and corporations entitled to file claims under Section 9100 of the California Civil Code so as to give a right of action to them or their assigns in any suit brought upon this Bond, as required by and in accordance with the provisions of Sections 9500 et seq. of the Civil Code of the State of California. And Surety, for value received, hereby stipulates and agrees that no change, extension of time, alterations or additions to the terms of the Agreement or to the Work to be performed thereunder shall in any wise affect its obligations on this Bond, and it does Lighthouse Cafe, LLC Page E-1 hereby waive notice of any such change, extension of time, alterations or additions to the terms of the Agreement or to the Work or to the specifications. In the event that any principal above named executed this Bond as an individual, it is agreed that the death of any such principal shall not exonerate the Surety from its obligations under this Bond. IN WITNESS WHEREOF, this instrument has been duly executed by the above named Principal and Surety, on the day of , 20 Name of Contractor (Principal) Name of Surety Address of Surety Telephone APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE Date: Aaron C. Harp City Attorney Authorized Signature/Title Authorized Agent Signature Print Name and Title NOTARY ACKNOWLEDGMENTS OF CONTRACTOR AND SURETY MUST BE ATTACHED Lighthouse Cafe, LLC Page E-2 ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of } ss. On 20 before me, Notary Public, personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signatures(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. (seal) State of California County of } ss. On 20 before me, Notary Public, personally appeared proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signatures(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (seal) Lighthouse Cafe, LLC Page E-3 EXHIBIT F CITY OF NEWPORT BEACH BOND NO. FAITHFUL PERFORMANCE BOND The premium charges on this Bond is $ , being at the rate of $ thousand of the Agreement price. WHEREAS, the City of Newport Beach, State of California, has entered into with LIGHTHOUSE CAFE, LLC, hereinafter designated as the "Principal," an agreement for the construction of a monument sign at Marina Park, in the City of Newport Beach, in strict conformity with the Agreement on file with the office of the City Clerk of the City of Newport Beach, which is incorporated herein by this reference. WHEREAS, Principal has executed or is about to execute the Agreement and the terms thereof require the furnishing of a Bond for the faithful performance of the Agreement. NOW, THEREFORE, we, the Principal, and duly authorized to transact business under the laws of the State of California as Surety (hereinafter "Surety"), are held and firmly bound unto the City of Newport Beach, in the sum of ( ) lawful money of the United States of America, said sum being equal to 100% of the total amount payable for completion of the monument sign, and over Twenty Five Thousand Dollars and 00/100 ($25,000.00), to be paid to the City of Newport Beach, its successors, and assigns; for which payment well and truly to be made, we bind ourselves, our heirs, executors and administrators, successors, or assigns, jointly and severally, firmly by these present. THE CONDITION OF THIS OBLIGATION IS SUCH, that if the Principal, or the Principal's heirs, executors, administrators, successors, or assigns, fail to abide by, and well and truly keep and perform any or all the Work, covenants, conditions, and agreements in the Agreement and any alteration thereof made as therein provided on its part, to be kept and performed at the time and in the manner therein specified, and in all respects according to its true intent and meaning, or fails to indemnify, defend, and save harmless the City of Newport Beach, its officers, employees and agents, as therein stipulated, then, Surety will faithfully perform the same, in an amount not exceeding the sum specified in this Bond; otherwise this obligation shall become null and void. As a part of the obligation secured hereby, and in addition to the face amount specified in this Performance Bond, there shall be included costs and reasonable expenses and fees, including reasonable attorneys fees, incurred by City, only in the event City is required to bring an action in law or equity against Surety to enforce the obligations of this Bond. Surety, for value received, stipulates and agrees that no change, extension of time, alterations or additions to the terms of the Agreement or to the Work to be performed thereunder shall in any way affect its obligations on this Bond, and it does hereby waive Lighthouse Cafe, LLC Page F-1 notice of any such change, extension of time, alterations or additions of the Agreement or to the Work or to the specifications. This Faithful Performance Bond shall be extended and maintained by the Principal in full force and effect for one (1) year following the date of formal acceptance of the Project by City. In the event that the Principal executed this bond as an individual, it is agreed that the death of any such Principal shall not exonerate the Surety from its obligations under this Bond. IN WITNESS WHEREOF, this instrument has been duly executed by the Principal and Surety above named, on the day of , 20 Name of Contractor (Principal) Name of Surety Address of Surety Telephone APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE Date: in Aaron C. Harp City Attorney Authorized Signature/Title Authorized Agent Signature Print Name and Title NOTARY ACKNOWLEDGMENTS OF CONTRACTOR AND SURETY MUST BE ATTACHED Lighthouse Cafe, LLC Page F-2 ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of } ss. On 20 before me, Notary Public, personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signatures(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. (seal) State of California County of } ss. On 20 before me, Notary Public, personally appeared proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signatures(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (seal) Lighthouse Cafe, LLC Page F-3 q 2 189 P+ 29 ® C Q Search -t& Insured Insured Name Name: Lighthouse Cafe, LLC (FV00000990) Q Account Number: Address: (2751) (FV00000081) Active Records Only Status: Advance Search 1 Insured Tasks Admin Tools View sZs Insured RNotes ') History Deficiencies Coverages -* Requirements Add Edit Help Video Tutorials Lighthouse Cafe, LLC FV00000990 32565 Golden Latern, Suite B 1028, Dana Point, CA, USA, 92629 Referral Compliant with Waived Deficiencies. Insured Business Unit(s) Print Insured Info Account Information Account Number: Risk Type: Do Not Call: Address Information Mailing Address Insured: Address 1: Address 2: City: State: FV00000990 Professional Services Agreement Address Updated: Physical Address Lighthouse Lighthouse Cafe, LLC Cafe, LLC 32565 1600 W. Balboa Boulevard Golden Latern, Suite B 1028 Dana Point Newport Beach CA CA Country: USA USA Contract Information Contract Number: C-6075 Contract Start Date: Contract End Date: Contract Effective Date: Contract Expiration Date: Description of Services: Lease Safety Form II: Agreement Contact Information Contact Name: Joan Misc: Sormanti Phone Number: 3239547055 Alt Phone Number: Fax Number: E-Mail Address: Joan_Sormanti@ajg.com Approval Date: Rush: No Contract on File: Yes Certificate Received: Yes Indemnification Agreement: No Tax Id: This Account created by f26 on 04/19/2023. Lighthouse Cafe 32565 Golden Lantern Suite B #1028 Dana Point, CA 92629 PHONE 949 302-5288 ATTENTION Mr. Tad Belshe •0; Proposal /Estimate DATE: February 14, 2023 JOB ADDRESS Lighthouse Cafe 1600 W Balboa Blvd. Newport Beach, CA 92663 or theIshe@lighthousenb.com 21-07-8369 Manufacture One (1) 7'-1'/2" overall height by 6'-6" overall length custom fabricated $7,373.82 non illuminated double face monument sign. Prevailing wages Digginghole.......................................................... Setpipe............................................................. Concrete............................................................. Sign installation ........................................................ $6,880.25 Special Conditions otes omments: Total: $14,254.07 Sales Tax: $1,354.14 Subtotal: $15,608.21 Grand Total: $15,608.21 Customer Approval v-�r �� Date: X 13-,'I-Z-5 Title: X plklp Delivery & Installation Approximate number of working days after Order, Deposit & Permits are obtained: ONCE ESTIMATE HAS BEEN APPROVED, CUSTOMER WILL RECEIVED ORIGINAL PURCHASE ORDER REVISED PURCHASE ORDER DATE: February 1, 2023 • - - - CALIFORNIA STATE LICENSED SIGN CONTRACTOR C45-351019 701 Lakme Avenue I Wilmington, California 90744 / Tel: (310) 549-4661 I Fax: 310-549-2482 Lighthouse Cafe 32565 Golden Lantern Suite B #1028 Dana Point, CA 92629 PHONE 949 302-5288 ATTENTION Mr. Tad Belshe DESCRIPTION OF WORK TO BE PERFORMED JOB ADDRESS Lighthouse Cafe 1600 W Balboa Blvd. Newport Beach, CA 92663 HONE tbelshe@lighthousenb.com ('FL I. PHONE APPROVED DESIGN NUMBERS 949 308-5288 21-07-8369 NEW NON -ILLUMINATED MONUMENT SIGN Prevailing wages: Manufacture and install the following: One (1) 7'-11/2" overall height by 6-6" overall length custom fabricated non illuminated double face monument sign with two cabinet sections as follows: Top sign cabinet 4'-0" x 6-6" with clear acrylic faces with 2nd surface applied translucent vinyl copy, 11/2" reveals and painted metallic silver Mathews paint satin finish. Bottom sign cabinet 2'-0" x 6'-6" with wood blank porcelain tile "Soft Chestnut" around the cabinet, and s/4" flat cut out city logo and letters reading "MARINA PARK" painted Mathews paint metallic silver satin finish and city logo to have digital printed first surface with 1'-0" aluminum base with painted Mathews paint metallic silver satin finish. A per customer approved sign drawing SPECIFICATIONS 1. Sign cabinets shall be custom fabricated with a minimum of 11/2" x 11/2" x 3/16" angle iron internal frame supports or as required by civil engineering. 2. All dimensions are close approximations and may vary due to existing conditions at the job site. 3. SPESCO shall not be responsible for damage to plants, landscaping, irrigation systems and/or obstacle caused by hole digging/auger and/or installation equipment. Customer to be responsible for earth removal 4. Buyer shall have landscaped area cleared out prior to hole excavation. 5. Footing installation is assumed to be in normal sandy clay soil with no underground obstructions. Should other conditions be discovered, the buyer, if available, will be notified, in any event, the buyer will be billed for the extra charges at actual cost. Should soil report or 3rd party inspections be required, cost will be adjusted accordingly. 6. Any special insurance requirements/endorsements require additional premium and is not included in cost. 7. DESIGN REVIEW FEES DUE UPON SUBMITTAL. ENGINEERING COST, PERMIT COST, PERMIT SERVICE FEES AT A RATE OF $85.00 PER HOUR AND 3RD PARTY INSPECTIONS (IF REQUIRED) ARE NOT INCLUDED IN THIS PURCHASE ORDER AND WILL BE BILLED AFTER PERMIT HAS BEEN OBTAINED, AS PER SECTION "E" ON THIS CONTRACT. SIGN PERMITS AND PERMIT SERVICE FEES ARE NOT INCLUDED IN THIS CONTRACT UNLESS OTHERWISE NOTED THESE FEES WILL BE BILLED AT DEPOSIT $7,804.10 ACTUAL COST UPON OBTAINING THE PERMITS. BALANCE DUE UPON INSTALLATION $7,804.10 SELLER RETAINS TITLE TO THE ABOVE -DESCRIBED ADVERTISING DISPLAY UNTIL BUYER HAS PERFORMED ALL OF BUYER'S OBLIGATIONS UNDER THIS AGREEMENTAND THE PURCHASE PRICE OF THE ADVERTISING DISPLAY HAS TOTAL $15,608.21 BEEN FULLY PAID. REPRESENTATIVE Kevin McConnell ACCEPTED (DATE) AT WILMINGTON, CALIF. BY (EXECUTIVE OFFICER) TITLE NOTICE DELIVERY & INSTALLATION: APPROXIMATE NUMBER OF WORKING DAYS AFTER PERMITS HAVE BEEN OBTAINED 25-30 working days THIS PURCHASE ORDER IS SUBJECT TO THE TERMS AND CONDITIONS ON REVERSE SIDE. INDIVIDUAL/ PARTNERSHIP/ CORPORATION Qght Ouse Cafe BY _ TITLE �� Ct [1 i1 V r I V11�tiU11. The undersigned guarantees rompt payment, on or before the due date, of all sums to become due under the foregoing agreement, waives notice of default by the principal obliger, and waives any requirements that the firm to whom this guaranty is given, or its successors or assigns, seek recovery from the principal, as a condition concurrent or precedent to action on this guaranty, All default and litigation provisions of the foregoing agreement apply to this guaranty, and the undersigned hereby waives notice of and agrees to, any extensions of time of payment which may hereafter e granted the principal. Date: - L r Z Wilmington, Calif 1a,-- i GUARANTOR 2 b iNAI UKt, KtIjUIKtU RM A. SELLER: Agrees to sell and buyer agrees to purchase, subject to the terms and conditions hereinafter set forth, and Advertising Display hereinafter called the "Display" inconformity with the specifications hereinafter set forth and with the approved designs, if any. (This Display shall at all times be deemed personal property, and shall not by reason of attachment or connection to any realty, become or be deemed a fixture or appurtenance to such realty). Buyer shall obtain the necessary permission from owner of the premises, which is requisite for the installation of the Display, as personal property (in writing). Buyer also agrees to secure all permission from owner or landlord of the premises for which installation of Display or work to be done. This shall be in writing to seller at the time of agreement. This is Buyer's responsibility! Unless otherwise noted, SPESCO normal installation is within 50 land miles from Wilmington. Over 50 miles is considered "Out of town" install. SPESCO installation HOURS ARE BETWEEN 8 a.m. - 5 p.m. Monday - Friday, holidays not included. Any other time or day requested will be overtime basis and will be billed at extra cost B. WARRANTY: Seller warrants the Display sold hereunder for one (1) year. Incandescent lamps are excluded from this warranty. This shall be the limit of Sellers liability for any breach of warranty. Buyer must notify Seller by registered or certified mail, return receipt request, postage prepaid, of any breach of warranty, within 30 days after discovery thereof, but not laterthat the expiration of the warranty period, otherwise, such claims shall be deemed waived. Also if such display is serviced, repaired, opened for any reason by someone other than San Pedro Sign Company or assigned agent, WARRANTEE IS VOID. SELLER SPECIFICALLY DISCLAIMS ALL OTHER WARRANTIES, EXPRESSED OR IMPLIED, INCLUDING BUT NOT LIMITED TO LIMITED TO IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE. IN NO EVENT SHALL SELLER BE LIABLE FOR INCIDENTAL OR CONSEQUENTIAL DAMAGES, LOSSES OR EXPENSES, INCLUDING LOSS OF PROFIT. C. DAMAGE: Should any loss damage or injury result to said Display, from any cause whatsoever, while in possession of Buyer or his agents, such loss, damage, or injury shall not relieve the Buyer from the obligation to pay for the same according to the terms of this contract. D. TITLE: Tale to Display remains with Seller until full payment is received, any installation prior to complete payment, being solely for the convenience of Buyer and Seller in testing the equipment Should Buyer fail to pay upon installation/completion, the Seller shall have the right to either (1) retake said Display and cause the same to be sold in a reasonable commercial manner, and if the amount realized from such a sale together with any payment or payments therefore received from buyer shall not total the entire purchase price hereunder which shall include expenses for retaking possession and selling said Display, Buyer agrees to pay any such deficiency to seller or demand or (2) without retaking said display, to bring suit for the balance due under this contract. In either case, buyer agrees to pay interest in any amounts so due and owing at the maximum rate allowed by the law (10 % minimum) and reasonable attorney fees and court costs in the event that legal action is commenced. E. PERMITS, LICENSES, FEES AND TAXES: If installation is part of this Agreement, Buyer shall advise Seller of any governmental easements, setbacks or restrictions affecting the location of sign(s). Buyer shall be responsible for securing and maintaining in force all necessary permits from the owner of the premises upon which Display is to be installed, for all other private permissions necessary for the installation, use and existence of the Display, and any cost for, variance permits due to restrictions by governmental agencies. Unless otherwise specified buyer shall pay as an extra cost on 3rd party inspections/special inspections, design review, engineering (if required) and permits and permit service fees. F. AUTHORITY OF AGENT: It is further understood and agreed that this contract is not subject to countermand, and cancels all previous understandings either written or verbal, and does not become binding upon the Seller until approved byt rye executive officer ofthe Sel e� — G. SERVICE WIRING: COST OF ELECTRICITY: REINFORCEMENT OF BUILDING: PHYSICAL CONDITIONS: Buyer shall bring feed wire of suitable capacity and approved type to the location of Display. Unless otherwise specified, sign -operating voltage is 120 volts single-phase common house current Buyer shall pay for all electric energy used by Display and shall be responsible for the supply thereof, unless specifically stated in writing to the contrary. Buyer shall provide all necessary reinforcements to the building on which Display is installed. Buyer shall pay for cost of relocating power lines, for securing all building access to location of Display, or other obstacles, to comply with law of Federal, State, or Municipal agencies, the price fixed herein is base on the assumption that installation will be in normal soil. In the event adverse soil conditions or underground obstructions are encountered, the parties agree to adjust the extra installation cost based on Seller's additional cost. H. FURTHER REMEDIES OF SELLER: Seller may exercise any and all of its rights and remedies under the Califomia Commercial Code. In addition, Seller may enter on Buyers premises to take possession of, assemble and collect the display or render it unusable. All rights and remedies of Seller shall be cumulative and may be exercised successively or concurrently without impairing Seller's security interest in the Display. Seller may charge Buyer for all expenses to render Display useable if action to render Display useable is instituted under terms of this paragraph. I. MISCELLANEOUS PROVISIONS: 1) Timely payment to Seller by Buyer is of the essence of this agreement 2) No waiver by either party hereto the non-performance or breach of any term, provision or agreement hereof, or of any default hereunder, shall be constructed to be or operated as a waiver of any subsequent non-performance or breach. 3) This agreement shall be constructed in accordance with, and governed by, the laws of the State of California. 4) In the event this order relates only to labor. equipment and incidental materials required by connection with the removal, installation, modification, repair, and/or storage of an advertising display(s), provisions in paragraphs A and B hereof that are enclosed in parentheses shall be deemed deleted and the "sale' and "purchase" shall relate to the furnishing by 'Seller" of the items described herein. This agreement shall be deemed to have been made at the time and place when and where executed by Seller and shall constitute the entire agreement between the Buyer and Seller. No waivers, modifications, or amendments shall be valid unless executed in writing by both parties, and there are no other warranties, expressed or implied, with respect to the equipment and services supplied to Buyer by Seller, other than those expressly contained herein. 5) All of the terms provisions and agreements hereof shall be binding upon the successors, assigns, and personal representatives of the respective parties hereto; provided, however this agreement cannot be assigned by Buyer without the Sellers prior written consent. 6) It is hereby declared, agreed and understood that there are no prior oral or written negotiations, understandings, representations or agreements between Seller and Buyer not herein expressed. J. FINAL INSPECTIONS: Under California state law, It is the obligation of the contractor that has performed the installation to obtain final inspection from the authority having jurisdiction. Should reasons beyond control of SPESCO for final inspections is not obtained and a special return trip is required, Buyer agrees to pay additional labor costs required to return to job site to obtain final inspection from authority having jurisdiction. K. CONTRACTOR: Contractors are required by law to be licensed and regulated by the Contractors State Licensing Board, 1020'N" Street., Sacramento, CA. 95814. San Pedro Electric Sign Co., holds California Contractors License number C-45, C-10 351019 L. NOTICE:'Underthe Mechanics Lien Law, any contractor, subcontractor, laborer or other person who helps to improve your property but not paid for his work or supplies, has a right to enforce a claim against your property. This means that after a court hearing could be sold by a court officer and the proceed of the sale used to satisfy the indebtedness. This can happen even if you own contract in full, if the subcontractor, laborer, or supplier remains unpaid'. FINAL CONTRACT AMOUNTS THAT EXCEED THE ORIGINAL CONTRACT AMOUNT WILL BE CHARGED ADDITIONAL PREMIUM AND FEE. INCLUDE THESE CHARGES IN YOUR CHANGE ORDERS. Exhibit "I" CITY OF NEWPORT BEACH BOND NO. 0848057 FAITHFUL PERFORMANCE BOND The premium charges on this Bond is $ 3,375.00 , being at the rate of $ 25.00 thousand of the Contract price. WHEREAS, Tenant LIGHTHOUSE CAFE, LLC, as Tenant of the City of Newport Beach, State of California, has awarded to Wilson Construction [Contractor] hereinafter designated as the "Principal," a contract for the work necessary for the completion of this contract consists of: Lighthouse Cafe Renovations at 16020 West Balboa Blvd, Newport Beach, CA 92663 It is CONTRACTOR's responsibility to verify all controlling field dimensions before ordering or fabricating any material in the City of Newport Beach, in strict conformity with the Contract on file with Tenant/LIGHTHOUSE CAFE, LLC and the office of the City Clerk of the City of Newport Beach, which is incorporated herein by this reference. WHEREAS, Principal has executed or is about to execute the Contract and the terms thereof require the furnishing of a Bond for the faithful performance of the Contract. NOW, THEREFORE, we, the Principal, and Harco National Insurance Company , duly authorized to "Surety"), are held and firmly bound unto the City of Newport Beach, in the sum of One Hundred Thirty Five Thousand Dollars and 00 /100 ($135,000.00 lawful money of the United States of America, said sum being equal to 100% of the estimated amount of the Contract, to be paid to the City of Newport Beach, its successors, and assigns; for which payment well and truly to be made, we bind ourselves, our heirs, executors and administrators, successors, or assigns, jointly and severally, firmly by these present. THE CONDITION OF THIS OBLIGATION IS SUCH, that if the Principal, or the Principal's heirs, executors, administrators, successors, or assigns, fail to abide by, and well and truly keep and perform any or all the Work, covenants, conditions, and agreements in the Contract and any alteration thereof made as therein provided on its part, to be kept and performed at the time and in the manner therein specified, and in all respects according to its true intent and meaning, or fails to indemnify, defend, and save harmless Tenant /LIGHTHOUSE CAFE, LLC, and the City of Newport Beach, its officers, employees and agents, as therein stipulated, then, Surety will faithfully perform the same, in an amount not exceeding the sum specified in this Bond; otherwise this obligation shall become null and void. Lighthouse Cafe Page -1 As a part of the obligation secured hereby, and in addition to the face amount specified in this Performance Bond, there shall be included costs and reasonable expenses and fees, including reasonable attorneys fees, incurred by City, only in the event City is required to bring an action in law or equity against Surety to enforce the obligations of this Bond. Surety, for value received, stipulates and agrees that no change, extension of time, alterations or additions to the terms of the Contract or to the Work to be performed thereunder shall in any way affect its obligations on this Bond, and it does hereby waive notice of any such change, extension of time, alterations or additions of the Contract or to the Work or to the specifications. This Faithful Performance Bond shall be extended and maintained by the Principal in full force and effect for one (1) year following the date of formal acceptance of the Project by Tenant and City. In the event that the Principal executed this bond as an individual, it is agreed that the death of any such Principal shall not exonerate the Surety from its obligations under this Bond. IN WITNESS WHEREOF, this instrument has been duly executed by the Principal and Surety above named, on the 11th day of January ,20 24 . Wilson Construction Name of Contractor (Principal) Harco National Insurance Company Name of Surety 702 Oberlin Rd., Raleigh, NC 27605 Address of Surety (919)833-1600 Telephone Authorized Signature/Title Michael Wilson, President Authorized ent re Jeremy Crawford, Attorney -In -Fact Print Name and Title NOTARY ACKNOWLEDGMENTS OF CONTRACTOR AND SURETY MUST BE ATTACHED Lighthouse Cafe Page 1-2 FINAL. CONTRACT AMOUNTS THAT EXCEED THE ORIGINAL CONTRACT AMOUNT WILL HE CHARGED ADDITIONAL PREMIUM AND PEE. INCLUDETHF.SE CHARGES IN YOUR CHANGE ORDERS. Exhibit "J" CITY OF NEWPORT BEACH BOND NO. 0848057 LABOR AND MATERIALS PAYMENT BOND WHEREAS, Tenant /LIGHTHOUSE CAFE, LLC, as Tenant of the City of Newport Beach, State of California, has awarded to Wilson Construction [Contractor] hereinafter designated as the "Principal," a contract for the work necessary for the completion of this contract consists of: Lighthouse Cafe Renovations at 16020 West Balboa Blvd Newport Beach CA 92663 It is CONTRACTOR's responsibility to verify all controlling field dimensions before ordering or fabricating any material in the City of Newport Beach, in strict conformity with the Contract on file with Tenant /LIGHTHOUSE CAFE, LLC and the office of the City Clerk of the City of Newport Beach, which is incorporated herein by this reference. WHEREAS, Principal has executed or is about to execute the Contract and the terms thereof require the furnishing of a bond, providing that if Principal or any of Principal's subcontractors, shall fail to pay for any materials, provisions, or other supplies used in, upon, for, or about the performance of the Work agreed to be done, or for any work or labor done thereon of any kind, the Surety on this bond will pay the same to the extent hereinafter set forth. NOW, THEREFORE, We the undersigned Principal, and, Harco National Insurance Company duly authorized to transact business under the laws of the State of California, as Surety, (referred to herein as "Surety") are held and firmly bound unto the City of Newport Beach, in the sum of One Hundred Thirty Five Thousand Dollars and 00 /100 135,000.00 ) lawful money of the United States of America, said sum being equal to 100% of the estimated amount payable by the Tenant /LIGHTHOUSE CAFE, LLC, of the City of Newport Beach under the terms of the Contract; for which payment well and truly to be made, we bind ourselves, our heirs, executors and administrators, successors, or assigns, jointly and severally, firmly by these present. THE CONDITION OF THIS OBLIGATION IS SUCH, that if the Principal or the Principal's subcontractors, fail to pay for any materials, provisions, or other supplies, implements or machinery used in, upon, for, or about the performance of the Work contracted to be done, or for any other work or labor thereon of any kind, or for amounts due under the Unemployment Insurance Code with respect to such work or labor, or for any amounts required to be deducted, withheld and paid over to the Employment Development Department from the wages of employees of the Principal and subcontractors pursuant to Section 13020 of the Unemployment Insurance Code with respect to such work and labor, then the Surety will pay for the same, in an amount not exceeding the sum specified in this Bond, and also, in case suit is brought to enforce Lighthouse Cafe Page J-1 the obligations of this Bond, a reasonable attorneys' fee, to be fixed by the Court as required by the provisions of Section 9554 of the Civil Code of the State of California. The Bond shall inure to the benefit of any and all persons, companies, and corporations entitled to file claims under Section 9100 of the California Civil Code so as to give a right of action to them or their assigns in any suit brought upon this Bond, as required by and in accordance with the provisions of Sections 9500 et seq. of the Civil Code of the State of California. And Surety, for value received, hereby stipulates and agrees that no change, extension of time, alterations or additions to the terms of the Contract or to the Work to be performed thereunder shall in any wise affect its obligations on this Bond, and it does hereby waive notice of any such change, extension of time, alterations or additions to the terms of the Contract or to the Work or to the specifications. In the event that any principal above named executed this Bond as an individual, it is agreed that the death of any such principal shall not exonerate the Surety from its obligations under this Bond. IN WITNESS WHEREOF, this instrument has been duly executed by the above named Principal and Surety, on the Ilth day of January 20 24 Wilson Construction Name of Contractor (Principal) Authorized Signature/Title Michael Wilson, President , Harco National Insurance Company Name of Surety Authorize -Agent SITTature 1 ; 702 Oberlin Rd„ Raleigh, NC 27605 Jeremy Crawford, Attorney -In -Fact Address of Surety Print Name and Title (919)833-1600 Telephone NOTARY ACKNOWLEDGMENTS OF CONTRACTOR AND SURETY MUST BE ATTACHED Lighthouse Cafe Page J-2 POWER OF ATTORNEY Bond# 0848057 HARCO NATIONAL INSURANCE COMPANY INTERNATIONAL FIDELITY INSURANCE COMPANY Member companies of IAT Insurance Group, Headquartered: 702 Oberlin Road, Raleigh, North Carolina 27606 KNOW ALL MEN BY THESE PRESENTS: That HARCO NATIONAL INSURANCE COMPANY, a corporation organized and existing under the laws of the State of Illinois, and INTERNATIONAL FIDELITY INSURANCE COMPANY, a corporation organized and existing under the laws of the State of New Jersey, and having their principal offices located respectively in the cities of Rolling Meadows, Illinois and Newark, New Jersey, do hereby constitute and appoint MICHAEL D. WILLAMS, JEREMY CRAWFORD Golden Valley, MN their true and lawful attorney(s)-in-fact to execute, seal and deliver for and on its behalf as surety, any and all bonds and undertakings, contracts of indemnity and other writings obligatory in the nature thereof, which are or may be allowed, required or permitted by law, statute, rule, regulation, contract or otherwise, and the execution of such instrument(s) in pursuance of these presents, shall be as binding upon the said HARCO NATIONAL INSURANCE COMPANY and INTERNATIONAL FIDELITY INSURANCE COMPANY, as fully and amply, to all intents and purposes, as if the same had been duly executed and acknowledged by their regularly elected officers at their principal offices. This Power of Attorney is executed, and may be revoked, pursuant to and by authority of the By -Laws of HARCO NATIONAL INSURANCE COMPANY and INTERNATIONAL FIDELITY INSURANCE COMPANY and is granted under and by authority of the following resolution adopted by the Board of Directors of INTERNATIONAL FIDELITY INSURANCE COMPANY at a meeting duly held on the 13th day of December, 2018 and by the Board of Directors of HARCO NATIONAL INSURANCE COMPANY at a meeting held on the 13th day of December, 2018. "RESOLVED, that (1) the Chief Executive Officer, President, Executive Vice President, Senior Vice President, Vice President, or Secretary of the Corporation shall have the power to appoint, and to revoke the appointments of, Attorneys -in -Fact or agents with power and authority as defined or limited in their respective powers of attorney, and to execute on behalf of the Corporation and affix the Corporation's seal thereto, bonds, undertakings, recognizances, contracts of indemnity and other written obligations in the nature thereof or related thereto; and (2) any such Officers of the Corporation may appoint and revoke the appointments of joint -control custodians, agents for acceptance of process, and Attorneys -in -fact with authority to execute waivers and consents on behalf of the Corporation; and (3) the signature of any such Officer of the Corporation and the Corporation's seal may be affixed by facsimile to any power of attorney or certification given for the execution of any bond, undertaking, recognizance, contract of indemnity or other written obligation in the nature thereof or related thereto, such signature and seals when so used whether heretofore or hereafter, being hereby adopted by the Corporation as the original signature of such officer and the original seal of the Corporation, to be valid and binding upon the Corporation with the same force and effect as though manually affixed." IN WITNESS WHEREOF, HARCO NATIONAL INSURANCE COMPANY and INTERNATIONAL FIDELITY INSURANCE COMPANY have each executed and attested these presents on this 31st day of December, 2018 rsltiYly t ,.,,.,,.., 4�0 SG STATE OF NEW JERSEY STATE OF ILLINOIS ; o;4oavougr��,� y ypPPOq�� �9y County of Essex County of CookSEAL i rAL a n c 1904 s m r. J iflD4 �' d JER Kenneth Chapman Executive Vice President, Harco National Insurance Company and International Fidelity Insurance Company On this 31 st day of December, 2018 , before me came the individual who executed the preceding instrument, to me personally known, and, being by me duly sworn, said he is the therein described and authorized officer of HARCO NATIONAL INSURANCE COMPANY and INTERNATIONAL FIDELITY INSURANCE COMPANY; that the seals affixed to said instrument are the Corporate Seals of said Companies; that the said Corporate Seals and his signature were duly affixed by order of the Boards of Directors of said Companies. �q' IN TESTIMONY WHEREOF, I have hereunto set my hand affixed my Official Seal, at the City of Newark, \'E' oG�'' �•a New Jersey the day and year first above written. oy, ` ; Boo W JERS�+`w Shireile A.Out`leyy a Notary Public of New Jersey ' My Commission Expires April 4, 2023 CERTIFICATION I, the undersigned officer of HARCO NATIONAL INSURANCE COMPANY and INTERNATIONAL FIDELITY INSURANCE COMPANY do hereby certify that I have compared the foregoing copy of the Power of Attorney and affidavit, and the copy of the Sections of the By -Laws of said Companies as set forth in said Power of Attorney, with the originals on file in the home office of said companies, and that the same are correct transcripts thereof, and of the whole of the said originals, and that the said Power of Attorney has not been revoked and is now in full force and effect. IN TESTIMONY WHEREOF, I have hereunto set my hand on''this day, January 11, 2024 A02712 Irene Martins, Assistant Secretary ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State Of Minnesota County of Hennepin ) On 1/11/2024 before me, Maira Rasmussen (insert name and title of the officer) personally appeared Jeremy Crawford, Attorney -In -Fact who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. o tf�88T, WITNESS my hand and official seal.'-rs'`. MAIRAMOTTAGOMESRASMUSSEN � , Notary Public -Minnesota ���-�'M Commiselon Ex Tres Jan 31, 2027 w'iao- Y P Signatures (Seal) ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State Of Minnesota County of Hennepin ) On 1/11/2024 before me, Maira Rasmussen (insert name and title of the officer) personally appeared Jeremy Crawford, Attorney -In -Fact , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. w �'" MAIRA MOTTA GOMES RASMUSSEN WITNESS my hand and official seal. ��°�'.. '.,� Notary Public- Minnesota `p°�, N!¢, F °6 My Commission Expires Jan 31, 2027 vw��l Signature Wk& � (Seal)