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HomeMy WebLinkAboutCentral Community Development Center & Donald Lockhart - Settlement Agreement for dispute relating to two structures located at 345 S. Chestnut Avenue and 4820 East Laurel Avenue in Fresno, APN 463-120-17 SETTLEMENT AGREEMENT This SETTLEMENT AGREEMENT(Agreement) is made and entered into as of the date last written below (Effective Date) by and among Central Community Development Center and Donald Lockhart (Owners) and the City of Fresno (City) (collectively, Parties) and is based upon the following recitals of facts: RECITALS WHEREAS, a dispute arose between the Parties relating to two structures, a duplex and a 4-plex, located on certain real property owned by the Owners; namely, 345 South Chestnut Avenue/4820 East Laurel Avenue, Fresno, California,Assessor's Parcel Number 463-120-17 (Subject Property); WHEREAS, the dispute involves whether the Subject Property was in compliance with certain provisions of the Fresno Municipal Code and the California Health and Safety Code (the Dispute); WHEREAS, the City issued a Notice to Abate pursuant to Health and Safety Code sections 17980.6 and 17980.7 to the Owners on January 31, 2018; WHEREAS, the Owners failed to abate all of the violations cited in the Notice to Abate by the stated deadline of February 18, 2018; WHEREAS, the City filed its Complaint for Damages, Injunctive and Equitable Relief (Complaint) in the Superior Court of California, County of Fresno, on July 26, 2018, Case Number 18CECG02770; and the Owners filed an Answer to the Complaint that asserted various defenses on August 8, 2018; WHEREAS, without admitting liability, either expressly or impliedly, of any fact or liability with respect to any matter relating to the Agreement, except as expressly set forth in this Agreement, it is the mutual intention and desire of the Parties to settle, compromise, and resolve all of the differences, disputes, disagreements, and claims between them which exist or may hereafter exist arising out of the facts, circumstances, and events described in the subject matter of this "Recitals" section; WHEREAS, the Parties enter into this Agreement solely for the purpose of compromise and settlement and to avoid the further expense, delay, and risk of litigating the claims and defenses raised; WHEREAS, the Parties have reached terms of settlement and execute this Agreement in accordance therewith; NOW, THEREFORE, in consideration of the foregoing, and in consideration of the mutual promises and agreements as hereafter set forth, the parties hereto agree and compromise as follows: AGREEMENT 1. Action by Owners. The Owners agree to enter into a stipulated judgment for a permanent injunction (Permanent Injunction). A copy of the stipulated judgment that will be filed with the Court is attached hereto as Exhibit A, is incorporated herein as though set forth in full, and is made a part of this Settlement Agreement. The Parties agree that the 1 Permanent Injunction will be recorded against the Subject Property, will apply to the Owners and any of their assigns and/or successors, and will include the following: i a. Owners shall maintain the Subject Property in a manner that will prevent ingress to both the duplex and the 4-plex, which would require, at a minimum, the boarding of all windows and doors as well as keeping the gate locked. b. Owners shall not allow any persons, including the Owners, to enter, occupy, and/or reside at either the duplex or the 4-plex. The only exception shall be for the limited purpose of the Owners accompanying licensed realtors and/or contractors to enter the structures for a legitimate business purpose. C. Owners shall not allow any type of work whatsoever (e.g., repairs, construction, maintenance, etc.) to be conducted on either the duplex or the 4-plex until the proper permits have been obtained from the City. d. The Court will retain jurisdiction over the enforcement and/or interpretation of the permanent injunction. e. The City, or its representatives, shall be allowed to enter onto the Subject Property at any time between the hours of 8:00 a.m. and 6:00 p.m. for the purpose of conducting inspections to ensure compliance with the terms of the permanent injunction, and that the inspections are to be permitted without warrant or notice for a period of three years after the stipulated judgment is signed by the Judge and entered by the Court. The fees for the inspections will be determined after the inspections have taken place, and will be due and payable within thirty days of the date of the City's invoice related to the inspections. f. Any violation of the terms of the Permanent Injunction will result in a finding of contempt with sanctions of$1,000 per violation per day upon application by the City to the Court. g. In the event Owners fail to comply with the terms of the Permanent Injunction, the City may petition the Court for an order that a receiver be appointed for the Subject Property to correct conditions, refurbish, sell and/or demolish the Subject Property as may be appropriate; and that the costs and fees of the receiver be paid from income from the property, proceeds of the sale (as a first lien), and/or from Owners. h. If any party is required to petition the Court in order to enforce the Permanent Injunction (including a petition for a receiver), the prevailing party will be entitled to reimbursement of their reasonable attorneys' fees and costs. 2. Action by City. Upon execution of this Agreement, and contingent upon the conditions set forth in Paragraph 1 above, the City agrees to dismiss its Complaint in its entirety and waive all of its attorneys' fees and court costs to date. 3. Breach. In the event of a breach of this Agreement, the City may, in its sole discretion and without any further notice, reinstate any and all issued Citations, and issue additional Citations as authorized by the Fresno Municipal Code. In addition, the City may take steps necessary to enforce this Agreement, including, but not limited to, petitioning the Court for the appointment of a receiver over the Subject Property. 2 i f CITY: OWNERS: CITY OF FRESNO Central Community Development Center a municipal corporation B : Lockhart, President at Quarut6 a City Mana By:60j, 7" D ockhart, Individual Wel ATTEST: YVONNE SPENCE, MMC City Clerk By:9 1a Deputy KIKk��� Date APPROVED AS TO FORM: DOUGLAS T. SLOAN City Attorney Travis A. Sto es Date Deputy City Attorney Attachment: Exhibit A— Permanent Injunction 4 EXHIBIT A 1 DOUGLAS T. SLOAN, City Attorney 2 CITY OF FRESNO By: Christina A. Roberson, Supervising Deputy City Attorney(284512) 3 Travis R. Stokes, Deputy City Attorney(225122) 2600 Fresno Street, Room 2031 4 Fresno, California 93721-3602 5 Telephone: (559) 621-7500 Facsimile: (559)488-1084 Exemptfromfilingfees pursuant 6 to Government Code section 6103. 7 Attorneys for CITY OF FRESNO and PEOPLE OF THE STATE OF CALIFORNIA 8 9 IN THE SUPERIOR COURT OF THE STATE OF CALIFORNIA 10 IN AND FOR THE COUNTY OF FRESNO 11 CITY OF FRESNO, a municipal corporation, 12 PEOPLE OF THE STATE OF CALIFORNIA Case No. 18CECG02770 STIPULATED FINAL JUDGMENT AND 13 Plaintiffs, PERMANENT INJUNCTION 14 vs. 15 CENTRAL COMMUNITY DEVELOPMENT 16 CENTER; DONALD LOCKffART; AND } 17 DOES 1 THROUGH 50, inclusive } 18 Defendants. Action Filed: 7/26/2018 } 19 20 Plaintiff CITY OF FRESNO (Plaintiff or City) having filed its Complaint (Complaint) 21 herein; and Defendants CENTRAL COMMUNITY DEVELOPMENT CENTER and DONALD 22 LOCKHART (Defendants) (all referenced parties hereafter collectively referred to as the 23 Parties), having acknowledged service of the Complaint; and Plaintiff appearing through its 24 attorney, Deputy City Attorney Travis R. Stokes; and Defendants appearing in pro per, and 25 pursuant to a written stipulation for entry of this Final Judgment and Permanent Injunction 26 (Judgment), these parties having waived the right to trial, and good cause appearing; 27 IT IS HEREBY ORDERED, ADJUDGED AND DECREED that judgment shall be 28 entered in favor of Plaintiff and against Defendants, as follows: CITY ATTORNEY I CITY HALL City of Fresno;et al.v. Central Community Development Center;et al. FRESNO,CA 93721 Case No. 18CECGO2770 Stipulated Judgment