03-02-12-Resolution-Settlement Agreement and Release Reliable Paving Inc-03/19/2012RESOLUTION 03-02-12
A RESOLUTION OF THE CITY OF SANGER, TEXAS9
i"'' ; fi INTHE' TERMS MAND CONDITIONS OF A COMPROMISE
SETTLEMENT AGREEMENT AND RELEASE S RELIABLE
PAVINGNC., V' I III 1 I IS ATTACHE'Ih HI i'_ ! O AND INCORPORATED
1EREIN AS I` l l i:; I i A, AND AUTHORIZING Ti ;11 ,' TO
IT XECUTETHE 1 SAME; : AND PROVIDING AN EFFECTIVE I I I IVI DATE.
I
J IER>EAS, Reliable Paving, Inc, instituted a lawsuit against the City of Sanger, claiming
extras on a construction contract for the Downtown Sanger Streetscape Project; and
I EREA S, the Court ordered mediation between the parties and during such mediation,
the parties tentatively entered into an agreement of settlement, subject to approval of the governing
bodies of the parties; and
IIIEREAS, after review and consideration, the City Council hereby approves the terms
and conditions of the Compromise Settlement Agreement and Release and authorizes the City
Manager to execute the same on behalf of the City of Sanger.
)F SANGER, TEXAS, THAT:
SECTIGhI 1. The terms and conditions of the Compromise Settlement Agreement and
Release, which is attached hereto and incorporated herein as Exhibit A, are hereby approved and the
City Manager is hereby authorized to execute the same on behalf of the City of Sanger.
SECTION
2. This Resolution shall become effective immediately from and after its
passage.
on this the 19th day of March 2012.
CITY ®F BANGER, TEXAS
I
ATTEST:
CITY
Y
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WHERIEAS, The City of Sanger ("Sanger") contracted with Reliable Paving, Inc.
("RPI") to provide construction services for the project identified as the Downtown Sanger
Streetscape Project (the "Project"); and
WHEREAS, RPI alleges that its work for the Project was properly performed and
completed, and in connection therewith, it was directed by Sanger to perform additional
irrigation installations at a cost of $23,405.80 (the "Extras"); and
WHEREAS, Sanger contends that the Extras were part of the original agreement and any
such Extras were performed without authorization and therefore not owed; and
WHEAS, due to Sanger's withholding of the retainage during the parties' dispute and
refusal to pay RPI for the Extras, RPI filed the lawsuit identified as Cause No. 201M0367-393;
Reliable Paving; Inc. v. City of Sanger (the "Lawsuit") to recover the unpaid retainage and
compensation for the Extras on the Project; and
WHEREAS, in order to resolve the disputed positions held by Sanger and RPI as
summarily recited above, and thus avoid the time, trouble, expense and uncertainty of litigation,
both Sanger and RPI have agreed to filly and finally settle all disputes between them which have
been, could have been, or should have been raised 'in the Lawsuit, whether known or unknown,
related to the Project, as follows:
leT® 'V 'TH>EIZEF®RE, for and in consideration of the agreements contained herein, as
well as other good and valuable and sufficient consideration, the receipt and sufficiency of which
is hereby acknowledged, all parties hereto agree as follows:
1. Within three (3) days of approval and execution of this agreement by the City Council of
the City of Sanger, Sanger shall pay to RPI the sum of Twelve Thousand and NO/100 Dollars
($12,000.00) (the "Settlement Amount").
2. Within three (3) days of payment as recited in item number 1 above, Sanger and RPI will,
through respective counsel, file with the Court W. the Lawsuit, an Agreed Motion and Order of
Dismissal With Prejudice of all claims.
3. Sanger and RPI, being all parties to the dispute and this agreement hereby expressly
release each other, as well as their agents, principals, servants, employees, officers, directors,
attorneys, trustees, insurers, parent or subsidiary companies, predecessors, successors, assigns,
and representatives from any and all claims, demands, actions, causes of action, or suits in equity
of any kind or nature, accruing before or after the date of this agreement, and whether known or
unknown on this date, for or because of any matter or thing done, omitted, or suffered to be done
or omitted, in any way directly or indirectly relating to the Project which have been raised, or
could have been raised, it being the intention of the parties to release each other of each and
every claim of every kind which they might possibly possess against them to the fullest extent
permitted by law.
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