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HomeMy WebLinkAbout82-154 - Settlement Memorandum - Armstrong Mobil OilRESOLUTION NO., 82 -154 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH APPROVING A MEMORANDUM OF SETTLEMENT AND AUTHORIZING THE MAYOR TO EXECUTE (ARMSTRONG - MOBIL OIL) WHEREAS, the City of Newport Beach (the City), Armstrong Petroleum Corporation (Armstrong) and Mobil Oil Company (Mobil) have negotiated the resolution of various disputes that have evolved into litigation as set forth in the attached Memorandum of Settlement; and WHEREAS, the Memorandum of Settlement has been reviewed by the parties and has been deemed to be to the mutual benefit of all conerned; and WHEREAS, the Memorandum of Settlement is intended to resolve with finality all disputes between City, Armstrong and Mobil related to subject litigation; and WHEREAS, implementation of the Memorandum of Settlement requires execution of various other documents which are necessary to complete the settlement; and interest; WHEREAS, such settlement is deemed to be in the public NOW, THEREFORE, the City Council of the City of Newport Beach does hereby resolve as follows: 1. The Memorandum of Settlement attached as Exhibit A is approved and the Mayor and City Clerk are authorized to sign on behalf of the City. 2. The Mayor, City Clerk and other officers who may be required to sign are hereby authorized to sign on behalf of the City all other agreements and documents necessary for the implementation of the Memorandum of Settlement, including all necessary certificates of acceptance for property conveyances, • subject to prior approval of said documents and agreements by the City Attorney as signified by his written approval as to form. ADOPTED this 13th day of December , 1982. ay A T ST: - City Clerk MEMORANDUM OF SETTLEMENT THIS AGREEMENT, entered into on December 13, 1982 - by and between the CITY OF NEWPORT BEACH, a chartered municipal corporation ( "the City "), ARMSTRONG PETROLEUM CORPORATION, a California corporation ( "Armstrong "), and MOBIL OIL COMPANY, a corporation ( "Mobil "), all of whom • agree as follows: 1. Armstrong and the City acknowledge their mutual desire to conclude their disputes which have resulted in the litigation entitled "Armstrong Petroleum Corporation v. City_ of Newport Beach, et al." (and related cross- action)., Orange County Superior Court Action No. 35- 58 -16, and "Armstrong Petroleum Corporation v..City of Newport Beach, et al." (and related cross - action), Orange County Superior Court Action No. 34 -98 -43 (which actions were consolidated for purposes of trial and are collectively referred to as the "contract cases "), and the City and Armstrong expressly agree to resolve and settle the contract cases as follows: (a) Armstrong shall abandon and dismiss its appeal of the judgment of the Orange County Superior Court in the contract cases; (b) Armstrong shall convey to the City all of the rights and interests in the real property which the Orange County Superior Court, in its judgment entered in the con- tract cases, awarded to the City and ordered Armstrong to convey to the City; (c) Armstrong shall convey to the City all of the above - surface oil production equipment which the Orange,County Superior Court, in its judgment entered in the contract cases, awarded to the City and ordered Armstrong to convey to the City; (d) Armstrong acknowledges and agrees not to contest the City's ownership and title to the subsurface oil production equipment which the Orange County Superior Court:, in its judgment in the contract cases, determined were owned by the City. EXHIBIT A (e) The City shall pay to Armstrong the sum of Two Hundred Twenty -Six Thousand Five Hun- dred and Seven Dollars ($226,507.00) as pay- ment for the above - surface oil production equipment to be conveyed by Armstrong to the City; (f) The City shall waive any and all costs and damages, including compensatory damages, court costs and attorneys' fees, to which the City is or may be entitled from Armstrong • , by virtue of the judgment entered by the Orange ' County Superior Court in the contract cases. (g) The City shall be entitled to withdraw any monies deposited with the Orange County Superior Court in connection with the con- tract-cases. 2. Armstrong, the City and Mobil acknowledge their joint desire to conclude their disputes which have resulted in the litigation entitled "City of` Newport Beach, etc., et al. v. Beeco, etc., et al.," Orange County Superior Court Action No. 35 -79 -89 (referred to as the "eminent domain case "), and the City, Armstrong and Mobil expressly agree to resolve and settle the eminent domain case as follows: (a) The City shall dismiss, without prejudice, the eminent domain case as against Armstrong and Mobil, and Armstrong and Mobil shall con- sent in writing to the dismissal of the eminent domain case as against them. (b) Armstrong and Mobil shall waive any and all costs and damages, including, but not limited to, all abandonment costs, litigation expenses, attorneys' fees, court costs, interim damages, and all costs which might or could be claimed pursuant to California Code of Civil Procedure Sections 1036, 1245.010 et seq., 1250.410 et seq., 1255.410 et seq., 1263.205 et seq., 1263.310 et seq., 1263.410 et seq., 1263.510 et seq., 1263.610 et seq., 1265.110 et seq., 1265.210 et seq., 1265.410 et seq., 1268.310 et seq., 1268.410 et seq., 1268.510 et seq., 1268.610 et seq., 1268.620, and 1268.710 et seq., to which Mobil and /or Armstrong are or may in any manner be entitled by virtue of the filing, prosecution, trial, dismissal or abandonment by the City of the eminent domain case, or any action taken by the City with respect to, or in any manner related to, the eminent domain case. -2- (c) The City shall be entitled to withdraw any sums deposited by the City in the Orange County Superior Court as probable compensation in the eminent domain case. 3. Armstrong and the City shall execute mutual releases waiving any and all claims and damages in any way relating to the eminent domain case or the contract cases (which releases shall not relate to the pending disputes involving Armstrong, the City, Kern County Refinery, Inc_., and the United States Department of Energy, designated as Case Nos. BRX -0129, DRO -0150, and DRH -0150, which are the subject of separate negotiations between the parties) . 4. :Mobil and the City shall execute mutual releases waiving any and all claims and damages in any way relating to the eminent domain case. 5. Armstrong, Mobil and the City agree to execute any and all instruments necessary to carry out or effectuate the purposes and intent of this Memorandum of Settlement. 6. This Agreement shall be binding upon and inure to the benefit of the City, Armstrong and Mobil, and their re- spective successors and assigns. WHEREFORE, the parties hereto have executed this Memo- random of Settlement as of the date set forth above. APPROVED AS TO FORM: City Attorney MOBIL OIL COMPANY By By CITY OF NEWPORT BEACH Mayor By City Clerk ARMSTRONG PETROLEUM CORPORATION By President By -3-