HomeMy WebLinkAboutCC RES 93-087�
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A RS30LUTIOI�I Ol� TI� CITY COUNCIL OF TIiE
CITY� OF PP►L!i DB3SRT APPROVIIdG AN
$YGHANGS AGRSgl�1T
THR CITY COUNCIL OF THE CITY OF PALM D$SgRT HEREBY FINDS,
D$TERIrlIN$S, RSSOLVSS AND ORDERS AS FOLLOWS:
Section 1. Pursuant to notice duly given, the City
Council of the City of Palm Desert and the Palm Desert
Redevelopment Agency have held a full and fair joint public hearinq
on the disposition by the Agency to David Freed�an & Co., Inc., a
California Corporation, of certain real propeFty (the "Site")
located in Project Area No. 2 pursuant to the $xchanqe Aqreement
attached hereto as gxhibit A.
Section 2. The Aqency has made available to the public
throuqh the office of the City Clerk of the City of Pal■ Desert a
copy of such Bxchanqe Agreement toqether with a Susmary of the cost
thereof to the Aqency, which Summary is attached hereto as
$xhibit B. The Susaary delineates the costs of such $xchanqe
Aqreesent to the Aqency, including acquisition costs.
Section 3. The City Council hereby approves the
disposition of the subject property pursuant to such $xchange
Aqreesent.
PASSED, APPROVSD AND ADOPTBD this 9th day of Septenber,
1993.
AY83:
N0g3:
ASSEI�iT :
ABSTAIN:
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� sheila R.
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liqan,
CRITES, KBLLY, SNYDBA AND BSNSON
NONS
WILSON
NONE
J
�_
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ty Clerk
���
M. Benson, May+�r
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The followinq is a summary of the cost ot disposition
of certain real property owned by the Agency pursuant to that
certain Exchange Aqreement between the Palm Desert Redevelopment
Agency and David Freedman & Co., Inc., a California corporation
(the "Purchaser"), regarding the property (the "Property")
located easterly of, the intersection Portola Avenue and Gerald
Ford Drive, described in Exhibit "A" attached hereto and
incorporated by reference herein. Such real property consists of
two adjacent parcels. One parcel consists of approximately 113
acres and is northeast of the intersection of Portola Avenue and
Gerald Ford Drive. The second parcel consists of approximately
20 acres and is southeast of the intersection of Portola Avenue
and Gerald Ford Drive.
1. The Agency purchased the Property in 1990 for the
sum of $5,950,000�. The Agency is exchanqinq the Property with
the Purchaser, and the value the parties are placinq on the
Property tor the purpose of such exchanqe is the sum of
$5,950,000.00.
2. Thera ara no clearance costs to the Aqency
associated with tire disposition of the Property.
3. There ara no ralocation costs to tho Aqsncy
associated with tha disposition of the Property.
4. There are no improvements to ba provided by the
Aqency pursuant to the subject Exchanqe Aqreemant and the
disposition ot th4 Proparty.
5. There ara no interest costs bacause no loans or
bonds ot the Aqoncy w�r� bs mada or issuad to finance the
Aqency's obliqationa under the subject Exchanqe Aqreement.
6. Th4 estimated value of tha interast in the
Property to b• conv�yed, determined at the hiqhest uses permitted
under tha Redevelopmant Plan for Project Area No. 2 is
$5,950,000.
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Exhibit A
Leqal Description
PARCEL 1:
That portion of the Southwest quarter of Section 28, Township 4
South, Range 6 East, San Bernardino Base and Meridian, in the
City of Palm Desert, according to the Official Plat thereof,
which lies Southerly of the right of way of the Southern Pacific
Railroad Company;
EXCEPT 1/ 16th of all coal, oil, qas and other mineral deposits in
said lands, as reserved in Patent from the State ot California to
Ruth A. Clarke, recorded October 20, 1926 in Book 9 paqe 178, of
Patents, Records ot Riverside County, California;
AISO EXCEPT a one-half interest in and to any and all oil and
mineral riqhts, as reserved in deed from Ralph E. Wyer, et al, to
John J. Kovacevich and Heverly Ellen Kovacavich, husband and
wite, recorded Auqust 25, 1955 in Book 1785 paqe 467 of Official
Records oi Riverside County, California.
PARCEL 2:
That portion ot tha
South, Ranq� 6 East,
City o! Palm De�ert,
which li4s Southarly
Railroad Company.
PARCEL 3:
Southeast quarter ot Section 28, Township 4
San Hernardino Hasa and M�ridian, in the
as shown by United StatQa Government Survey,
oi the rig�iit ot way ot tha Southarn Pacific
That portion o! tha Nortwast Quarter of saction 33, Township a
South, Ranqa 6 East, more particularly described as tollows:
Heqinninq at the Nortwast corner o! tha Nortwest quarter ot said
Saction 33; thanc• alonq tha North line ot said S4ction 33, Nort
89'55'55" Eaat 2,647.98 teet; then South 00'04'07" East 329.01
teet; thonca, alonq a line parallel to said North line, South
89'55'55" Wast 2647.83 teet to the West lina ot said Section 33;
Thence, alonq said w�st line, North 00'05'40" West 329.01 teot to
the Point o! Beqinninq.
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6�9-327-8566 Fax 619-327-1��2
EXCHANGE AGREEMENT AND JOINT ESCROW INSTRUCTIONS
This Exchange Aqreement and Joint Escrow Instructions (��t::�s
Agreement" ) is made and entered into as of the ��t,`� day of ��.
�e*�ber , 1993, by and between the PALM DESERT REDEVELOP!�:�':
AGENCY, a public body, corporate and politic (hereinafter
referred to as the "Aqency"), on the one part, and MORTON B.
ULMAN and ANDREE ULMAN (sometimes collectively referred ta here:n
as "Ulman"), LIONEL STEINBERG (sometimes referred to herein as
"Steinberg"), and DAVID FREEDMAN & CO., INC., a California
corporation (aka "David Freedman Co., Inc."� (sometimes referred
to herein as "Dafco")(Ulman, Steinberq and Dafco hereinafter
being collectively referred to as "Freedman") on the other par�,
with respect to the followinq facts:
� _-
A. Daico and Ulman are the owners of certain real proper�-:
(the "Freedman Property") located in the City of Palm Desert,
County of Riverside, State of California, described in Exhibi�
"A" attached hereto and incorporated herein by this reference;
however, a portion of the property described as the "Dafco/Llran
Parcel" is owned by Datco and Ulman as tenants in contmon, and t::e
remainder of the property described as the Dafco/Ulman Parcel,
and the property described in Exhibit A as the "Cook Street
Extension" (Parcels 1 through 8� is owned by Dafco alone. T!�,e
Freedman Property consists of 9 parcels containing approximate:�:
215.875 acres.
B. Lionel Steinberq has an unrecorded option to purchase
certain portions o! the Freedman Property. Concurrently
herewith, Lionel Steinberq is exercisinq such option to purc::ase
certain portions ot the Freedman Property and shall be convey�-:�
same to the Agency.
C. The Aqoncy is the owner of certain real property (t:-:e
"Agency Property") located in the City of Palm Desert, county �_
Riverside, Stata of California, described in Exhibit ��B" attacr:e�
hereto and incorporatad herein by this reference. The Agency
Property consists ot 3 parcels containing approximately 133 ac:es
in the agqreqate.
D. Hoth th• Aqancy Property and the Freedman Property a_e
located in Proj4ct Ar4a No. 2 of the Palm Desart Redevelopmenc
Aqency.
E. By this Aqreement, Freedman is aqreeinq to exchange --.e
Freedman Property for the followinq: (i) receipt by Dafco of 3
grant deed to tha Aqsncy Property and (ii) receipt by Freedman
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from the Aqency of the sum of S5,000,000. The Aqency is agreeir.g
to convey the Aqency Property to Dafco by way of exchange, and ��
pay to Freedman the sum of 55,000,000 for the Freedman Proper-:r,
in accordance with the terms and provisions hereof.
NOW, THEREFORE, the parties hereto do hereby aqree as
follows:
* _ �. - ;. - -:�' �
Subject to and in accordance with the terms and
conditions hereinafter set forth, Freedman aqrees to convey t:�e
Freedman Property to tha Aqency in exchange for the sum of
S5,000,000 ("Cash Consideration") plus receipt by Dafco of a
grant deed to tha Aq�ncy Property, and the Aqency agrees to
convey to Daico the Agency Property and to pay the Cash
Consideration to Freedman in exchanqe for the Freedman Property.
For purposes of this exchanqe the parties acknowledge that the
aqreed value of the Freedman Prvperty is $11,097,703 and the
aqreed value of tha Aqency Property is $5,950,000. The Aqency
agrees that the total consideration (i.e., the Cash Consideration
plus the value of tho Aqency Property) is the aqreed price for
211.655 acres ot the Dafco/Ulman Parcel and Parcels 1, 3, 4, 5,
and 6(as described on Exhibit "A"). The remaininq 4.22 acres
described as Parcels 2, 7 and 8(the "qiit parcels") on Exhibit
"A" ars beinq qrantad by Freedman to the Aqency as a gitt, and -
the aqread valu� ot tho qiit parcels is tha sum of S147,702.So.
To this end, the qrant deed trom Freedman to the AqencY convey:.::a
the qift parcels shall contain a notation that "Grantor is
conveyinq to th4 Palm D�sert Redevelopment Aqency as a gift, a-:d
without consideration, tha real property described herein."
•._� �• -�. . �. . .
Concurrently h�rewith, an escrow shall be opened with The
Esc,row Connection ("Escrow Holder"), Kathy Kleindienst, Escrcw
oiticer, for tho purpos� oi causinq the exchanqe of the Freed�ar.
Property and the Aq�ncy Property and the payment by the Agenc�� ~:,
Freedman oi ths Cash Conaideration in the sum og $3,000,000. =��
the purposaa ot this Aqreament, openinq of Escrow shall mean �`:e
date on which Escrow Hold�r shall havQ received executed
counterparts ot this Agreement from the Aqency and Freedman, a:�d
Close oi Escrow shall b• th� date that a qrant daod for the
Freadman Prop�rty in lavor o! the Aqency and a qrant deed for =^e
Aqancy Prop�rty in tavor ot Dafco are recorded in the Riversi�e
Courity Recordar's O!lice. The Close of Escrow shalL.�cur on �_
bafor• Saptamb�r 30, 1993.
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(a) On the Close of Escrow, Freedman covenants
and agrees to cause to be delivered to the Agency a duly executed
and acknowledqed qrant deed conveyinq to the Agency all of
Freedman's interest in the Freedman Property subject only to the
Freedman Property Permitted Title Exceptions approved by the
Agency, as provided below.
(b) On the Closinq Date, the Agency covenants and
aqrees to cause to be delivered to Dafco a duly executed and
acknowledged grant deed conveying to Dafco all of the Agency's
interest in the Aqency Property subject only to the Agency
Property Permitted Title Exceptions approved by Dafco, as
provided below.
(c) - At the Close of Escrow, the Agency shall
receive a CLTA Owner's Standard Coverage Policy of Title
Insurance issued by Ste�art Title Company ("Title Company")
insurinq in the Aqency fee simple title to the Freedman Propert•:
free and clear ot all liens and encumbrances other than the
Freedman Property Permitted Title Exceptions, and Dafco shall
receive a CLTA Owner's Standard Coverage Policy of Title
Insurance issued by Title Company insurinq in Dafco fee simple
title to the Aqency Preperty free and clear of all liens and
encumbrances other than t2�e Agency Property Permitted Title
Exceptions.
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(a) The aqency has received from the Title
Company two preliminary title reports for a CLTA Standard
Coverage Owner's Polic�r of Title Insurance for the Freedman
Property, as follows:
� (i) One preliminary title report is dated
September 2," 1993 and is identitied as Order No. 1100'70-11 and
covers real property owned solely by Dafco. The Agency hereby
disapproves tho excaptions noted in paraqraphs 6, 7, 9, l0, 1*,
15, 21, 27 and 28 on Schedule B thereto. The exceptions
described tn paraqrapha A� B� C� D� r:� F� l� 2� 3� 4� 5� g� :_.
12, 13, 26, 17,= 18, 19, 2Q, 22, 23, 24, 25 and 26 on Schedule �
thereto ar9 haraby approved by the Aqency.
-- -(ii) One preliminary title report is dated
Auqust 27�,�•199�3 and is identified as Order No. 110059-11, and
covers oRly Y'�eal proparty owned by Ulman and Dafco, as tenants ..
common. The Aqency hereby disapproves the exceptions noted in
paraqraphs 8 and 9 Schedule B thereto. The exceptions describeo
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in paraqraphs A, B, C, D, E, F, 1, 2, 3, 4, 5, 6, and 7 on
5chedule B thereto are hereby approved by the Aqency.
(iii) The title exceptions approved by the
Aqency described above are hereinafter referred to as "Freedman
Property Permitted Title Exceptions."
(b) Freedman has received from the Title Company
a preliminary title report (the "Agency Property Preliminary
Title Report") for a CLTA Standard Coverage Owner's Policy of
Title Insurance for tha Aqency Property dated August 13, 1993,
Order No. 110019-11. Fraedman hereby disapproves the exception
noted in paragraph 18 on Schedule B thereto. The exceptions
deBcribed in paraqraphs A through and includinq F and
paraqraphs 1 tn�rouqh and includinq 17 on Schedule B thereto are
hereby approved by FrBedman (the "Agency Property Permitted T�tie
Exceptions"),
(c) As to any exception to title (each, a
"Disapproved Freedman Property Exception") disapproved by the
Aqency for the Freedman Property, Freedman shall use its best
efiorts to causa such Disapproved Freedman Property Exception to
be discharqed, satisfied, released, or terminated, as the case
may be, oi record, and in a form that is reasonably satisfactory
to the Aqency and Titla Company. Freedman authoriZes Escrow
Holder to disburs• irom tho cash portion of the Purchase Price
and proceads otherwise disbursable to Freedman upon closinq a su�
sutiicient to discharqo any Disapproved Freedman Property
Exception that may b• discharqsd only by the payment of money.
Such payment shall b• d�ducted tirst from Daico and the balance
shall ba deducted lrom Ulman, subject to the riqht of Dafco and
Ulman to diract Escrow Holder to make a different allocation
between them. It Freadman is unable to obtain a discharge,
satisfaction, releasa, or termination within the period speci�:e�
above, then the Aqoncy shall have the riqht to:
(A) waive the Disapproved Freedman
Proparty Excaption and proceed with Close of Escrow,
acceptinq titl• to tha Freedman Property subject to the
Disappro�ed Fr��dman Property Exception, or
"l (B) terminate this Aqreement, in wh��^
event bot2i �hs Aq�ncy and Freedman shall be relieved of ai:
furth�r obliqation and liability to each other under this
� Aqrs�msnt and all tho funds and documents deposited with
Escrow Holdtr shall be promptly relund�d or rQturned, as t^e
cass may ��,"�by Escrow Holder to the depositinq party.
(d)' As to any exception to title (each, a
"Disapproved Aqency Prop�rty Exception") disapproved by Freed�an
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for the Ager.�y Property, the Aqency shall use its best efforts ��
cause such Disapproved Agency Property Exception to be
discharqed, satisfied, released, or terminated, as the case :�ay
be, of record, and in a form that is reasonably satisfactory to
Freedman and Title Company. It the Aqency is unable to obtain a
discharqe, satisfaction, release, or tenaination within the
period specified above, then Freedman shall have the riqht to:
(A) waive the Disapproved Exception and
proceed with the Close of Escrow, acceptinq title to the
Aqency Property subject to the Disapproved Agency Propertl
Exception, or
(B) terminate this Agreement, in whic�
event both the Agency and Freec�man shall be relieved of a�l
further obliqation and: liability to each other under this
Aqreement and all the funds and documents deposited with
Escrow Holder sha�l be promptly rQfunded or returned, as �::e
case may be, by Escrow Holder to the depositinq party.
�-..- . �1. ��-� � .
(a) Freedman hereby covenants and agrees
deliver to Escrow Holder prior to the Close of Escrow the
followinq instruments and documonts, the dalivery of each
which shall be a condition ot the Close of Escrow:
to
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(i) A Grant Deed duly executed and ackno:�:-
edqed by Freedman qrantinq and convQyinq to the Aqency qood a:�d
marketable titls to tha Freedman Property. Said Grant Deed s::a::
be in a form satisfactory to the Aqency and its counsel, and
shall contain tha notation described in Section 1, above;
(ii) Freedman's affidavit as contemplated �.
California Revenue and Taxation Code §§18805 and 26131
("withholdinq Aftidavit");
(iii) A Certification of Non-Foreign
Status in accordance with I.R.C. Section 1445; and
(iv) Such proot of Freedman's authority 3^�
authorization to entar into this transaction as the Title C�-:��:-..
may reasonably requir4 in order to issue the Agency's policy �_
title inauranc�.
- (b) Th� Agancy covanants and aqreas to deliver �_
Escrow Hold�r prior to th� Close ot Escrow ror disbursement as
hereinaft�r provid�d, th� followinq instrum�nts and documents,
tha delivery o! each ot which shal�_ be a condition of the C�cse
of Escrow:
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(i} A Grant Deed duly executed and acknowl-
edged by the Aqency, qranting and conveyinq to Dafco good and
marketable title to the Agency Property. Said Grant Deed sha,�
be in a form satisfactory to Freedman and its counsel;
authorization
may reasonably
insurance.
6.
documents
under upon
conditions
(ii) Such proof of the Aqency's authority and
to enter into this transaction as the Title Company
require in order to issue Dafco's policy of tit�e
: �. .� . - . . �. u-� . � . -
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Escrow Holder is hereby authoriZed to record the
and disbursa the funds and documents called for here-
the Close ot Escrow, provided each of the followinq
has then been fulfilled:
(a) The Title Company can issue in favor of trie
Aqency a CLTA Owner's Standard Coverage Policy of Title
Insurance, with liability equal to the sum of 510,950,000.00
showinq the Freedman Property vested in the Agency subject only
to the Freedman Property Permitted Title Exceptions. In the
event Freedman has not removed all monetary liens or monetary
encumbrances, or i! a monetary claim is asserted by any third
party, in addition to all other remedies the Aqency may have at
law or equity, tha Aqancy may elect to consummate this
transaction and ottsat dollar for dollar aqainst the Cash
Consideration an amount equal to any such monetary encumbrances
and claims.
(b) Tha Title Company can issue in favor of Dafc�
a CLTA Standard Coveraqe Owner's Policy of Title Insurance, wi:::
liability equal to tho sum of $5,950,000, showinq the Aqency
Property vested in Datco subject only to the Aqency Property
Permitted Title Excoptions.
(c) Escrow Holder shall have received the
Aqency's notice o! approval or satisfaction or waiver of all o�
the continqoncies to ths Aqency's obligations hereunder, as
provided for in Ssction 13;
(d) Eacrow Holder shall have received Freedman's
notice ot approval or satisfaction or waiver ot all of the con-
tinqancias to Fre�dman's obligations heraundaz, as provided for
in Soction 14; and
(o) Froodman shall have deposited in Escrow the
documents requir�d pursuant to Section 5, and tha Aqency shall
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have d�pos_-ad in Eecrow the Cash conaidaration as provided i:�
Soction 2.
Unless otherwise inetructod in writinq, Escrow Holder is author-
ized to r�cord at the Clos• ot Escrow �ny inetrumant d�livered
throuqh this Eacrow i! n�c�ssary or prop�r ior issuance oP
policies of title insurance. Due to th• difierent percentage
ownershipB o� th• various paresls comprising the Fra�dman
Property, th• partiQs have aqrt�d that the Escrow Hold�r shall
diaburs• $1,257,489.60 0! tha net procaoda o! the Cnah
consideration to,ulman, and S3,742,513.40 of the net proce�d� of
th• Cash Considaration to Dafco, (less, in both cases, any
amounts n�c�saary to pay o!! any monotai•y liene ancumbaring the
Froedman Prop�rty)�_anc! Eecrow Hvld�r is so instructed.
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(a) Th� Aqancy and Fr�sdman shall each pay one-
half (1/Z) of th� �scrow faes and Escrow Holder�g customary
out-of-pocket axp�ns�s for messenqer s�rvic�s, long distance
telephon�, eta. The Ag�ncy shall pdy for tha coat ot th• CL:A
Standard Cov�raq• Owner's Policy o! Titl• Insurance on the Agency
Prop�rty, and !or rocordinq the Grant Deed thorato, th�
Preliminary Titl• R�port thereon. Fr��dman shall pay for the
cost o! a CLTA 3tandard Cov�raqe Owner's Poliey o! Titlo
Insuranc• on the Fr��dman Prop�rty, and far racording th• Grant
Deed therato, th• Preliminary Titls R�port thereon. Dafco a�ha�l
pay any docuin�ntary trin�l�r tax�s on the tranal�r o! tha Aqancy
Property to Dalco. Th• 71q�ncp is �s�tpt lro� tb� pap��nt o!
dooua�ntary traa�i�r ta�c�� oa th• tsaaat�r o! th� pr��dman
Prop�rt? to th• �q�noy �ursuant to R�v�u� a�llt Tuatioa Coa•
e�ctiott iilZZ, aad a aotatioa to tha! •lt�ot shall b• s�t lorth
on th• �rant D��a of th� lr��dsan �sop�rty to th• a►q�ncy. I f �he
escrow ahall lail to close throuqh no lault ot either party, aach
party shall pay ons-hal! (1/2) oP any Escrow canc�llation
charqa�.
(b) Ot asaroW charq�s and �o�te allocable to
Froedman, Dalco shall pay 88.s16= o! such charge4 and costs and
Ulman shall pay 11.484� o! auch charges costs, �xc�pt to the
extent �pacitically pravided her�in to th• contrary.
(c) Real •stats and p�rso�al property tax�s an�
any other qovarnn�ntal charges, assassmsnts or impositione
against the Fr�oaaan Prop�rty or tho l►qonoy prop�rty shall not �e
pro�at�d at the Clos• ot Escrow. Instead, Esarcar Holdar is
instructad to vithhold th� sum of 510,000 lrom th• Cash
Considaration ur�til iesuanc• o! th� 1993-1994 tax bill, at which
time tax�s shall ba prorated throuqh th� date o! the Cloee ot
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Eacrow nnd s-'i � Holdsr ahall disburae tt.� neceaaary amount :�
the county tax collactor. I� such 510,000 aum withheld pursuazt
to this paragraph ie insufficient to pay ths tax�s that accruea
through th• Closa ot Escrow, th�n Freadman shall promptly provide
to t�e Agency tunds in the nmount ot the detici�ncy.
'• - •�• �� • � •- �
Fre�dman h�r�by agraes to clean up and remov• all ma�-
made dabris and trash dump�d on the Freedman Property as
described in the phase One Environmontal Assassm�nt dated August,
1993, gr�parad by Maini�ro, Smith and Associateg, Inc., within 3�
daye atter the Close o! Escrow; however, Fro�dman shall not be
rQquir�d to r�mov• any natural orqanic debris su�h �s shrubbQry,
vines, trees, weede, and eimilar organic r�mnants of the farminq
aperation arieinq �rom the previous uee of the Fr��dman Property.
9. j,omir dl
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(a) Freedman heraby aqra�s to ind4mnify tha
Agency aqai�at, �nd to hold th� 1►g�ncy harml�ee and, �t the
option of th• l�g�ncy, d�land tha Aqency with couns�l approv�d by
the Aqency, irom all linbiliti�s, losses, damaqes, costs and
expenses, includinq without limitation l�qal lasa and disburse-
m�nts, incurr�d by th• I�qancy by reason oP any claims or
litiqation ralatinq�to the FreeQman Prvp�rty and arisinq irom �
acte, occurrences or matt�r• that took plaoa prior to the Clo�e
o! Escrow.
(b) Ths Agency hereby agrees to ind�mnity Darco
aqaindt, and to hold Dalco harml�s• and, at the optivn vt Datco,
d�t�nd Dalco with ooun�ol apprcv�d by Dalco, lrom all
liabilitio�, loss��, danaq��, ccste and expensea, includinq
without lintitation legdl lees and disbursam�nts, incurred by
Dalco by r�ason o! any alaima or litigation ralating to ths
Agency Property and arising lroa acta, occurrences or mattars
that toak place prior to the Clos� oi Escrow.
(c� Each party aqrees to giv� to th• other
written notice ot any third party ciaim that may qive rise to a
claim =er indomnilieation hereunder within thirty (�0) dayB after
laarninq o! euoh third party cl�imt providad, how�ver, that the
failure tv qive tim�ly notic� aa har�inabove provided shall not
detea�t any claia !or ind�anitication hareundar axcopt to th�
ext�nt that th� party ee whom euch nvtice was owinq is prtjudiced
by the laak o! �uch tim�ly rotic�.
�041] J� bqeS-�.7��
•8-
tr
:�S�L� � � ��"i ti0. 93-87
-� -' -t. -. - -� •� . --.
Freedman hereby represents and warr�nts to the
Aqency the followinq, it beinq expressly understood and agreed
that all such representations and warranties are to be true and
correct as oi the Close of Escrow, all of which shall survive t:�e
Close of Escrow:
:- .. . � -
(i} To the best of Freedman's knowledqe, the
Freedman Property is free and has always been free from Hazardous
Substances (as defined in Exhibit C) and is not and has never
been in violation of any Environmental Laws (as defined in
Exhibit C).
(ii) To the best of Freedman's knowledge,
there are no buried or partially buried storage tanks located cn
the Freedman Property.
(iii) Freedman has received no notice,
warning, notico ot violation, administrative complaint, judicial
complaint, or other formal or inionaal notico alleqinq that
conditions on the FreQdman Property are or have been in violation
of any Environmental Law, or informinq Freedman�that the Freedman
Proparty is subject to investiqation or inquiry reqarding
Hazardous Substances on the Freedman Property or the potential
violation ot any Environmental Law.
(iv) There is no mortitorinq proqram required
by the Environmental Protection Aqancy ("EPA"� or any similar
state aqency concerninq the Freedman Property.
(v) To the best of Freedman's knowledge, -:..
toxic or hazardous chemicals, waste, or substances of any kir.d
have ever been spilled, disposed of, or stored orL, under, or at
the�Freedman Property, whether by accident, buryinq, drainage, =�
storaqe in containers, tanks, �or holdinq areas, or by any other
means.
(vi) To the best of Rreedman's knowledge, =::e
Freedman Property has never been used as a dump or landfill.
{vii) Freedman has disclosed to the
Aqancy all inlormation, racords, and studies maintained by
Fraedman in conn�ction with tho Fr�odman Pi-op�rty concerning
Hazardous Subatancss. �
(b) To the best oi Freedman's�knowledqe, no
condition on the Fr�edman Property violates any health, safety,
-9-
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, �,
�
930913 jar b9aS-6.jar
fire, enviro:_�ental, sewaqe, buildinq, or other federal, state,
or local law, code, ordinance, or requlation.
(c) To the best of Freedman's knowledqe, Free�ar.
is the sole owner of the Freedman Property, free and clear of a�i
liens, claims, encumbrances, easements, encroachments on the
Freedman Property from adjacent properties, encroachments by
improvements or vegetation on the Freedman Property onto adjacent
property, or rights of way of any nature, other than those that
may appear on the Preliminary Title Report. Freedman shall noc
further encumbar tha Freedman Property or allow the Freedman
Property to be further encumbered prior to the Close of Escrow.
(d) Any information that Freedman has delivered
to the Agency, either directly or through Freedman's aqents, �s
accurate and Freedman has disclosed all material facts with
respect to the Freedman Property.
(e) To the best of Freedman's knowledge, there �s
no pendinq litigation or threatened litiqation, which does or
will adversely afiect the Freedman Property, other than
litigation involving claims that are covered by insurance and �or
which the Aqency will have no liability.
(t) To the best of Freedman's knowledge, there
are no actions or prxsedinge pendinq or threatened aqainst �
Freedman, belora a�y court or administrative aqency in any way
connected with or relatinq to the Freedman Proporty, or affect���
Freedman's ability to fulfill all of its obliqations under this
Aqreement. .
(g} Thdre are no written or oral commitments ��
or agreements with any qovernmental authority or agency mater�-
ally and advorsQly af�ectinq the Freedman Property, or any par-
thereof or any interast therein, which will survive the
conveyance thereoi. Freedman has entered into no understandi-�
or agreement with any taxing or assessinq authority respecting
the imposition or d�tarment of any taxes or assessments
respectinq tha Freadman Property.
(h) N4ither this Aqreement nor anything prov��e�
to be dons haraundar includinq the transfer of title to the
Freedman Proptrty to ths Aqency, violates or shall violate
articles ot-incorporation or any contract, aqreement or
instrument to which Frsadman is a party, or which aftects the
Freedman Prop�rty or any part thsrsot, and th� sal• of the
Fr��dman Prop�rty h�r�in contemplated does not require the
consant of any party not a signato�cy herato. The execution,
delivery and performanco ot this Aqreement has been duly and
valid�y authoriz�d, and no other action by Freedman is requis��e
-10-
930913 jar b98S-b.j�r
_�Lc..J�JLJ�i IJI�I :VC. 93-�37
to the valid and bindinq execution, delivery, and performance c�
this Agreement by Freedman.
(i) Freedman is not in default of its obliqaticns
under any contract, aqreement or instrument to which Freedman �s
a party which would adversely affect the value vf the Freedman
Property or Freedman's ability to perform its obligations
hereunder.
(j) To the best of the Freedman's knowledge,
there are no natural or artificial conditions upon the Freedman
Property or any part of the Freedman Property that could result
in a material and adverse change in the condition of the FreedWan
Property.
(k) There are no mechanics', materialmen's or
similar claims or liens presently claimed or which will be
claimed against the Freedman Property for work performed or
commenced prior to the date of this Agreement. Freedman agrees
to hold the Aqency harmless from all costs, expenses,
liabilities, losses, charqes and fees, includinq without
limitation attorneys' fees, arisinq from or relatinq to any such
lien or any similar lien claimed against the Freedman Property
and arisinq from work performed or commenced prior to the Close
of Escrow except when such work was undertaken by or at the
Aqency's request.
(1) There will be no contracts, licenses,
commitments, or undertakinqs respectinq maintenance of the
Freedman Property or equipment on the Freedman Property, or t�:e
performance ot services on the Freedman Property, or the use oL
the Freedman Property or any part of it by which the Agency wcu�:
become obliqated or liable to any person.
(m) There are no written or oral leases or con-
tractual riqht or option to leasa, purchasa, or otherwise enjoy
possassion, riqhts or interest of any nature in and to the
Freedman Property or any part thereof, and no persons have any
riqht ot possession to the Freedman Property or any part thereot.
Freedman shall daliv�r possession of the Freedman Property to t.~.e
Aqency on ths Clos• ot Escrow fres of all tenants and shall
indemnily and hold th• Aqency harmless from the claims of any
tenants claiminq a riqht to possession arisinq before the close
ot Escrow.
-11-
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930913 jar b±�S-6.jar _
Freedman shall notify the Agency of any facts that
would cause any of the representations contained in this
Aqreement to be untrue as of the Close of Escrow. If the Aqer.c:;
reasonably concludes that a fact materially and adversely affects
the Freedman Property, the Aqency shall have the option to
terminate this Agreem�nt by deliverinq written notice to Freed�an
and Escrow Holder. It the Agency terminates this Aqreement
pursuant to this Section, Escrow Holder shall, within 3 days
followinq receipt of the Aqency's notice to tenainate, cancel the
escrow.
Freedman aqrees to indemnify the Aqency and agrees t�
defend and hold the Aqency harmless from all loss, cost,
liability, expense, damage, or other injury, including withou�
limitaticn,. attorney fees and expenses, to the fullest extent ���
prohibited by applicable law, and all other costs and expenses
incurred by reason of, or in any manner resultinq from the breac^
of any warranties and representations in this Section 11.
-� -- _�. -. - -: .� . �- ;.-i
Tha Agency hereby represents and warrants to
Freedman tha followinq, it being expressly understood and aqreed
that all such representations and warranties are to be true and
correct as of tho Close o! Escrow, all of which shall survive the
Close of Escrow: s
t _ .. - . _ � - -
(i) To the best of the Aqency's knowledge,
the Aqency Property is frea from Hazardous Substances (as def��e�
in Exhibit C) and is not and has never been in violation of ar.•:
Environmental Laws (as deiined in Exhibit C).
(ii) To the best of the Aqency's knowledge,
the�e ara no buriad or partially buried storaqe tanks located �..
the Aqency Proparty. �
(iii) The Aqency has received no not�=e,
warninq, notic• ot violation, administrative complaint, judic:a:
complaint, or oth�r tormal or informal notica alleqinq that
conditions on tha Aqency Property are or have been in violatic:;
of any Environm�ntal Law, or intorminq tha Aqency that the Aqer.c•:
Proparty is subjact to investiqation or inquiry reqardinq
Hazardous Substanc�s on the Aqency Property or the potential
vio�ation o! any Environmental Law.
(iv) Thore is no monitorinq proqram requ�red
by the EPA or any similar state aqency concerning the Agency
Prop�rty.
-12-
�
930913 jar b9dS-6.ja�
�ESOL�T��� vo. �3-a�
(v) To the best of the Agency's knowledge,
no toxic or hazardous chemicals, waste, or substances af any :1ind
have ever been spilled, disposed of, or stored on, under, or a�
the Aqency Property, whether by accident, burying, drainage, cr
storaqe in containers, tanks, or holding areas, or by any other
means.
(vi) To the best of the Agency�s knowledge,
the Agency Property has never been used as a dump or landfill.
(vii) The Agency has disclosed to
Freedman all information, records, and studies maintained by ��e
Aqency in connection with the Agency concerning Hazardous
Substances.
(b) To the best of the Aqency's knowledqe, no
condition on the Aqency Property violates any health, safety,
fire, environmental, sawage, buildinq, or other federal, state,
or local law, code, ordinance, or regulation.
(c) Ta the best of the Aqency�s knowledqe, the
Aqency is the sola owner oi the Agency Property, free and clear
of all liens, claims, encumbrances, easements, covenants,
encroachments on the Agency Property from adjacent properties,
encroachments by improvements or veqetation on the Aqency
Proparty onto adjacant property, or riqhts ot way of any nature,
other than thosa that may appear on the Preliminary Title Repor�.
The Agency shall not iurther encumber the Aqency Property or
allow the Agency Property to be further encumbered prior to t::e
Close of Escrow.
{d) Any iniormation that the Agency has delivered
to Freedman, either directly or through Freedman's agents, is
accurate and Freedman haa disclosed all material facts with
respect to the Aqency Proparty.
(e) Thare is �o pendinq litiqation or, to the
best ot the Aqency's knowledqe, threatened litigation, which �ces
or will adversaly �ttoct the Agency Property, other than
litiqation involvinq claims that are covered by insurance and ��:
which Freodman will have no liability.
(!) To ths best of the Aqency's knowledqe, there
are no actions or_proceedinqs pendinq or threatened aqainst the
Aqency, b�loro any court or administrative aqency in any way
connected with o� rel�tinq to the Agency Proporty, or affectinq
th• 7�q�ncy's ability to lultill all of its obliqations under �:::s
Aqreement. �
-13-
�
.,
930913 jar Cr9�i•6.j�r
(g) There are no written or oral comraitments t�
or agreements with any governmental authority or aqency mater:-
ally and adversely affectinq the Aqency Property, or any part
thereof, or any interest therein which will survive the Close of
Escrow. The Aqency has entered into no understandinq or
aqreement with any taxing or assessinq authority respectinq t�e
imposition or deferment of any taxes or assessments respectinq
the Aqency Property.
(h) Neither this Aqreement nor anythinq provi�ed
to be done hereunder includinq the transfer of title to the
Agency Property to Freedman violates or shall violate any
contract, aqreement or instrument to which the Aqency is a partl,
or which affects the Aqency Property or any part thereof, and �:�e
sale of the Agency Property herein contemplated does not requ��e
the consent of any party not a siqnatory hereto other than tre
County of Riverside (as described below). The execution,
delivery and performance of this Agreement has been duly and
validly authorized, and no other action by the Aqency is
requisite to the valid and bindinq execution, delivery, and
performance of this Agreement by the Aqency.
(i) The Agency is not in degault of its
obliqations under any contract, aqreement or instrument to wh�cn
the Aqency is a party which would adversely affect the value c�
the Agency Property or tha Agency's ability to perform its
obliqations hereunder.
(j) To the best o� the Agency's knowledge, t�e�e
are no natural or artificial conditions upon the Agency Prope_-•:
or any part of the Aqency Property that could result in a
material and adverse changa in the condition of the Agency
Property.
(k) There are no mechanics', materialmen's c:
similar claims or liens presently claimed or which will be
claimed aqainst tha Aqsncy Property for work performed or
commenced prior to tha date ot this Aqreement. The Agency ag:ees
to hold Freedman harmlass irom all costs, expenses, liabilit�es,
losses, charges and taos, includinq without limitation attorne,�s�
fees, arisinq trom or relatinq to any such lien or any similar
lien claim�d aqainst the Aqency Property and arisinq from wor.K
performQd or commanced prior to the Close of Escrow except wre^
undertaken at Fre�dman's request.
� (1) Thar� will b� no contract9, licens4s,
commitm�nts, or und�rtakinqs respectinq maintenance of the Aqe^c.
Property or equipmant on tho Aqency Property, or the performar.ce
ot services on tha Aqency Property, or the use of the Aqency
-14-
930913 lar b9�S-b.jar
2ESOi�'� I �:d `10. a3-37
Prcperty or any part of it by which Freedman would become
obligated or liable to any person.
(mj There are no written or oral leases or con-
tractual riqht or option to lease, purchase, or otherwise enjoy
possession, riqhts or interest of any nature in and to the Agency
Property or any part thereof, and no persons have any right of
possession to the Agency Property or any part thereof. The
Aqency shall deliver possession of the Aqency Property to
Freedman on the Close of Escrow free of all tenants and shall
indemnify and hold Freedman harmless from the claims of any
tenants claiminq a riqht to possession arisinq before the Close
of Escrow.
The Agency shall notify Freedman of any facts that
would causa any of the representations contained in this
Aqreement on tha part ot the Agency to be untrue as of the close
of Escrow. It Fra�dman reasonably concludes prior to the Close
of Escrow that a tact materially and adversely affects the Agency
Property, then Freedman shall have the option to terminate this
Aqreement by deliverinq written notice to the Aqency and Escrc:�
Holder.
The Agency agrees to indemnify Freedman and agrees to
defend and hold Freedman harmless from all loss, cost, liability,
expensa, damaqe, or other injury, includinq without limitation
attorneys' tees and axpensas. to tha fullest extent not
prohibited by applicable law, and all other costs and expenses
incurred by reason of, or in any manner resultinq from the breac::
of any warranties and rapresentations in this Section 12.
� �_ ;•_+ _ •� �•:� _
For the benofit of the Aqency, the Aqency's obligat:�-;
to consummate tho purchasa,of Freedman Proparty shall be
continqent upon and subject to writtan notica to Escrow Holder �•:
the Aqency o! tho occurrence ot all of the following (or the
Agency's written waivar thareof, it bsinq agreed that the Aqenc•r
can waive any or all such continqencies) on or before the C�ose
of Escrow:
(a) That as of the Close of Escrow the represe�-
tations and warrantiss of Freedman contained in this Aqreemen=
are all true and correct.
� (b) Freodman's delivery of all documents purs;:ar.�
to Section 5(a) h�r�ol.
(c) Tha Aqency's approval, prior to the Close ��
Escrow, of all insp�ctions, tests, surveys, and other studies ��
-15-
n
930913 i•� �-6.i��
C
be conducted by the Agency, includinq any environmental site
assessments. The Aqency's appzoval of any such inspections of
the Freedman Property shall not alter or diminish Freedman�s
representations or warranties under this Aqreement, and Freeci�an
acknowledqes and aqrees that the Aqency is nonetheless relying or.
Freedman's representations and warranties made herein, unless
such representation or warranty is specifically waived in who:e
or in part by the Agency in writinq.
(d) The Title Company's commitment to issue i:�
favor of the Aqency of a CLTA Standard Coveraqe owner's Policy o:
Title Insurance with liability equal to 510,950,000.0o insuring
the Aqency's fee interest in the Freedman Property subject only
to the Freedman Property Permitted Title Exceptions.
=_•�!-� - .� �.-� -
For the benefit of Freedman, the Close of Escrow and
Dafco's obliqation to consummate the acquisition of the Aqency
Property shall be contingent upon and subject to written notice
to Escrow Holder by Freedman or Dafco, as the case may be, of �he
occurrence of all of the followinq (or Freedman's written waiver
thereof, it beinq aqreed that Freedman can waive any or all such
contingencies) on or before the Close of Escrow:
(a) That as of the Close of Esczow the represen- �
tations and warranti�s of the Aqertcy contained in this Agreement
are all true and correct.
(b) Aqency's delivery of all documents pursuar.�
to Section 5(b) hereot.
(c) Dafco's approval, prior to the close of
Escrow, of all inspections, tests, surveys, and other studies ��
be conducted by Dalco, including any environmental site
asse�smants. Dalco's approval of any such inspections of the
Agency Proparty shall not alter or diminish tha Agency's
representations or �arranties under this Aqreement, and the
Aqency acknowladq�s and aqrees that Dafco is nonetheless rely��q
on tha Aqoncy's rapreaentations and warranties made herein,
unless such repra�entation or warranty is specifically waived �n
whole or in part by Dalco in writinq.
-16-
�
� /,
93G913 ja� b48S-b.jar �
RESOL;_;TIO:V VC. 33-37
�
(d) The Title Company's commitment to issue in
favor ot Dalco ot a CLTA Standard Coveraqe owner's Policy of
Title Insurance with liability equal to the S5,95o,000.0o sho�inq
Dafco's fee interest in the Aqency Property subject only to t:�e
Aqency Property Permitted Title Exceptions.
15. D�fault.
In the event of a breach or default under this
Aqreement by either Freedman or the Agency, the non-defaulting
party shall hava the right to terminate this Aqreement and the
escrow for the exchange of the properties by deliverinq written
notice thereot to tho dafaultinq party and to Escrow Holder, and
it the Agency is the non-defaulting party, the Aqency shall
thereupon promptly receivo a refund of all prior deposit,s, if
any, and accrued interest. Such termination of the escroW by a
non-dalaultinq party shall be without prejudice to the non-
deiaultinq party's rights and remedies against the defaultinq
party at law or equity.
16. Notices.
All notices a
certified mail, postaqe
by personal delivery.
earlier of (a} p�rsortal
followinq depos�it• in t
certified or reqistara
notices shal� bQ sent
addressed as p�ovidad
that if any garty qives notice
address, noticas to such party
demanded in that notice:
be given in writinq by
eturn receipt requested,
e considered given upon
two (2) business days
mail, postage prepaid,
t requested. A copy of
Notices shall be
spective party; provided
in writinq of a chanqe of name
shall thereafter be given as
or
the
a1�
c�
The Aqency: Palm Desert Redevelopment Aqency
73-510 Fred Warinq Drive
Palm Desert, California 92260
Attn: Carlos Orteqa
Copy to: Richards, Watson & Gershon
333 So. Hope St., 38th F1.
Los Anqeles, Caliiornia 90071
Attn.: Jeffrey A. Rabin
Freedman: David Freedman & Company, Snc.
Post Ofiice Box 501
Th�rmal, Calitornia 92274
Attn.: Lionel Steinberq, Pres.
-17-
, ^
,n
,
930913 j�r b9aS-6.j�r
nd demands shall
prepaid, and r
Notices shall b
delivery or (b)
ha United States
d, return receip
to Escrow Holder.
bslow for tha re
0
ESCROW HOLpER: Escrow Connection
1111 East Tahquitz-McCallwn Way
Palm Springs, California 92262
Attn.: Kathy Kleindienst, Escrow Officer
(619) 327-8566
., - .,i�, .!
Aqency represents and warrants to Freedman that
the Aqency has used no broker, agent, finder or other person ::�
connection with.the transactions contemplated hereby to whom a
brokerage or other commission or fee may be payable, other than
West World Properties. Freedman represents and warrants to t::e
Aqency that Freedman has used no broker, aqent, finder or other
person in connection with the transactions contemplated hereby t�
whom a brokerage�or other commission or fee may be payable, other
than West World Properties. Freedman shall pay the commission,
if any, due to West World Properties. Each party indemnifies a�d
agrees to defend and hold the other harmless from any claims
resultinq from any breach by the indemnifyinq party of the
warranties, representations and covenants in this Section.
_. *. . . t � �_ • t
Each party aqrees to execute Escrow Holder's such other �
reasonable standard instructions as may be necessary or proper :..
order to consummat� tho transaction contemplated by this
Aqreement; provided, howover, in the event of a conflict between
the terms hereo! and the terms of such standard instructions, :�-:e
terms hereof shall control.
19. A�endments.
Any amandments to this Aqreement shall be effective
only when duly executed by Freedman and the Aqency and deposi�ed
with Escrow Holdor.
• Y - -�-. -
(a) Counterflarts. This Agreement may be execu�e�
simultaneously or in countezparts, each of which shall be deer�e�
an oriqinal, but all ot which toqether shall constitute one ar,�
the same Aqreament.
(b) Aeelicable Law. This Aqreement shall be c�-:-
struod and int�rpt�t�d und�r, and qov�rned and eniorced accord::-�
to the laws of the Stata of California.
m
-18-
i�
930913 j�r b98S-6.ja�
�soL�T��� �c. a3-a�
(c) Entire Aareement. This Aqreement supersedes
any prior aqreement, oral or written, and toqether with the
Exhibits, ir any, hereto and any aqreements delivered pursuant
hereto, Contains the entire aq=eement between the Agency and
Freedman on the subject matter hereof. No subsequent agreement,
representation or promise made by either party hereto, or by or
to any employee, ofiicer, agent or representative of either
party, shall be of any eflect untess it is in writinq and
executed by the party to be bound thereby. No•person is
authorized to make, and by execution hereof the Aqency and
Freedman acknowledqe that no person has made, any representation,
warranty, quaranty or promiso except as set forth herein; and no
aqreemant, statem�nt, r�preaentation or promise made by any such
person which is not contained herein shall be v'�lid or bindinq on
the Agency or Freedman. ' " � �- -
(d) Furth�r pocuments. Each party will, wherever
and as often as it shall be requested by the other party,
execute, acknowledq� and deliver, or cause to be executed,
acknowledqed and delivered, such further instruments and docu-
mants, includinq �escrow instructions, as may reasonably be neces-
sary in order to complete the sale, conveyance and transfer
herein provided and to do any and all other acts and to execute,
acknowledqe and daliver any and all documents as may be requested
in order to carry out the intent and purpose of this Aqreement.
(e) Successors and Assiqns. This Agreement shall
be bindinq upon and inur• to th• benelit of tha heirs, executors,
administrators, successors and assiqns of the parties hereto.
(f) Survival. The provisions hereof shall not
terminate but rather shall survive any conveyance hereunder and
the delivery of all conaideration.
(q) EYhih;re, All exhibits attached hereto, ��
any, and/or reterrad to in this Aqreement are incorporated here�n
as thouqh set torth in iull.
(h) . Remedies Not Exclusive and waivers. No
remedy contorr�c3�b� any ot tho specitic provisions of this
Aqreement is int�rta�d to ba exclusive of any other remedy and
each and �v�ry rimidy shall be cumulative and sha�l be in
addition to evory otA+sr remQdy qiven hereunder or now or here-
after axiatinq at'law or in equity or by statute or otherwise.
The election ot any on� or more remedies shall not constitute a
waiver oi th� riqht to pursue other availabla rem�dies.
(i) Joint and Several Liabilitv. '�he obliqaticns
o! Oarco, Stainbarq and Ulman shall be joint and several.
-19-
_ ,�
�f;
930913 ja� b9'8S-6.j�r
� - y� - - • � ' �• • � i. •!
{i) Construction. This Aqreement, includirq
all exhibits attached hereto and by this reference incorporated
herein, shall be construed as a whole and in accordance with its
fair meaninq. The parties agree that each party and its counsel
have reviewed and revised this Aqreement and that any rule of
construction to the effect that ambiquities are to be resolved
aqainst the drafting party shall not apply in the interpretat��n
of this Aqreement or any amendments or exhibits thereto.
(ii) Intercretation. In this Agreement the
neuter qender includes the feminine and masculine, and sinqular
number includes the plural, and the words "person" and "party"
include corporation, partnership, firm, trust, or association
whenever the context so requires.
(iii) Recitals and CaDtions. The recitals
and captions of the sections and subsections of this Aqreement
are for convenience and reference only, and the words contained
therein shall in no way be held to explain, modify, amplify or
aid in the interpretation, construction or meaninq of the pro-
visions of this Aqreement.
(k) Attorneys' Fees. If either party hereto
incurs attorneys' fees in order to enforce, defend or interpret �
any of the terms, provisiona or conditions of this Agreement c:
because ot a breach of this Aqreement by the other party, the
prevailinq party, whether by suit, neqotiation, arbitration or
settlement shall be entitled to recover reasonable attorneys'
fees from the other party.
(1) �pplicable Law. This Agreement shall be
construed and interpYeted under, and governed and enforced
according to tho laws of the State of California.
� (m) Relocation Assistance. Freedman hereby
waives and releases the Agency•from any riqht which it may have
to relocation assistanca under the Uniform Relocation Assistar.ce
and Real Proparty Acquisition Policies Act ot 1970 (42 U.S.C.
4601, et s�q.j or und�r Title 1, Division 7, Chapter 1 of the
Government Codo ot th• State ot California (Section 7260, et
seq.). Freedman heraby acknowledqes that the Aqency has advised
Freedman ot-th� possible availability of such riqhts to Freedr„an
and tho waiv�= ot such riqhts by Freedman herein set forth is
free and vo�untary. Fresdman hereby releases the Aqency from 3::
claims for s�v�rancs damaqes, loss of good will, just compen-
sation, pra-coridamnation damaqes, and interest, costs, litigat:�n
expenses and attorneys' fees arising from the matters described
in this Seotion.
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930913 j�r b9aS•6.j�r
RES,�r �'� I �f] `1C . 33-37
�
IN WZTNESS WHEREOF, the parties have caused this Agreemer,t
to be executed as of the date first above written.
MORTON B . UL�MAN
ANDREE ULMAN
LIONEL STEINBERG
DAVID FREEDMAN & CO., INC.
By:
Lionel Steinberq, Pres.
"Freedman"
PALM DESERT REDEVELOPMENT AGENCY, a
public body, corporate and politic
� ,� � �r��,�� �, v �.•
By
, Chair.^an
A�test• �
�� ..% . ,
'-�/_/iii�;
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430913 is� b98S-6.j�r
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"Agency"
, Secretary
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EXHIBIT "A"
LEGAL DESCRIPTIONS OF FREEDMAN PROPERTY
Dl1FC0/ULM]1N PARCEL
(PROPOSED COOK STREET AND GERALD FORD DRZVE PARCEL
WITHIN SECTIONS 33 & 34, T4S, R6E, S.B.B. & M.)
That certain parcel of land situated in the City of
Palm Desert, County of Riverside, State of California, beinq
portions of the southwest and northwest one-quarters of
Section 34, the northeast one-quarter of Section 33, Tvwnship �
South, Ranqe 6 East, S.B.B. & M., and all of Parcel "C" descr�bed
in a document recorded January 30, 1991 as Instrument No. 034443
of Official Records, records of Riverside County, described as
follows:
BEGINNING at the southerly terminus of that certain
course in the westerly line of said Parcel "C"
described as "North O1' 12' 29" East 2619.53 feet",
said point beinq on the northerly riqht-of-way of Frar.k
Sinatra Drive, 88.00 feet wide, per a document recorded
June 4, 1992 as Instrument No. 51897 of Official
Records; thence along said westerly line of Parcel "�" —
North O1' 12' 29" East 2619.53 feet to the northerly
terminus thereoi; thence continuinq alonq the norther::
prolonqation thereof North O1' 12' 29" East 566.16
feet; thence South 88• 47' 31" East 884.86 feet to ��:e
beqinninq of a tanqent curve concave southwesterly and
havinq a radius ot 1000.00 feet; thence alonq said
curve south�asterly 597.79 feet through a central ar.q�e
ot 34' 15' 04" to a tanqent intersection with a line
parallal with and 550.00 feet southwesterly of the
southerly line of the Southern Pacific Railroad Rign�-
ot-Way; thenca tanqent from said curve and alonq sa�d
parallel line South�54' 32' 27" East 184�.00 feet t�
tha beginninq ot a tangent curve concave southweste::�:
and havinq a radius of 1000.00 feet; thence along sa:=
curve southeastQrly 948.32 feet through a central anq:e
of 54' 20' 05" to a tanqent intersection with the eas�
line ot th� southwest one-quarter of Section 34,
Township 4 South, Ranqe 6 East, S.B.B. & M.; thence
alonq said east line of Section 34 South 00' 12' 22"
Ea�t 109Z.00 teet to said northerly riqht-of-way lir.e
o! Frank Sinatra Drive; thence alonq said northerly
riqht-ol-way line South 89' S0' 37" West 2652.74 feec
and South 89' 49' 59" West 782.37 feet tc the POINT ::
BEGINNING.
Containinq 206.837 Acres, more or less. �^
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930910 P6402-00001 sa 0760lba 0
�SCL�T=�N VO. 93-37
0
SUBJECT TO all Covenants, Riqhts, Rights-of-way and
Easements of Record.
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�to vaaot-0000t sas o7� o - 2-
EXHIBIT "A"
LEGAL DESCRIPTZON OF FREEDMAN PROPERTY
COOK STREET EXTENSION
Those certain parcels of land situated in the City of
Palm Desert, County of Riverside, State of California, beinq a
portion of the northeast one-quarter of Section 33, Township 4
South, Ranqe 6 East, S.B.B. & M. described as follows:
��
A strip of land of variable width, the reference line
is described as follows:
BEGINNING at the northerly terminus of that certain
course in the east line of Parcel "B" of Lot Line
Adjustment No. P.M.W. 90-16 recorded January 30, 1991
as Instrument No. 034443 of Official Records of said
Riverside County shown as North O1' 12' 29" East
2663.54 teet", said northerly terminus beinq
hereinatter referred to as Point "A"; thence continuing
alonq the northerly prolonqation of said east line of
Parcel "B" •North O1' 12' 29" East 566.16 feet to a
point herainaiter referred to as Point "B"; thence
continuinq North Ol' 12' 29" East 236.00 feet to a
point hereinafter referred to as Point "C"; thence
continuinq North O1' 12' 29" East 523.10 feet to the
beqinning ot a tanqant curve concave southeasterly ar.d
having a radius ot 1400.00 ieet; thence alonq said
cuzve northoaaterly 4.98 feet throuqh a central angle
of 00• 12' 14" to a point in the north line of the
south ona-half of said northeast one-quarter of
Section 33 Townahip 4 South, Range 6 East, S.B.B. & u.,
safd point beinq hereinafter referred to as Point "���.
Said strip ot land shall be 67.00 feet wide, lyinq
67.00 ts�t westerly of said reference line between
Points "l�" and "H"; 142.00 feet wide, lying 75.00 feet
wostarly and 67.00 feet easterly of said reference :::-e
bstvaen Points "H" and "C"; 134.00 feet wide, lyinq
67.00 t�st wosterly and eastarly ot said reference ::-:e
botv��n Pofnts "C" and "D".
Said strip o! land shall be lenqthaned or shortened s�
as to torminata south�rly in th� south lino ot said
north�ast ona-quarter of Section 33 and northerly :n
said north lina of the south ona-half ot the northeas�
on�-quart�r ot Section 33.
Containinq 3.266 Acres, more or less.
:�
:
v3aqto obr►o2-0000t �as o�� o - 3 -
�soL�mT�� vo. 93—a7
P�rcel 2
A atrip of land, 134.00 feet wide, the centerline of
which is described as follows:
HEGINNING at Point "D" hereinbefore described, said
point beinq on a non-tanqent curve concave
southeasterly and having a radius of 1400.00 feet, a
radial bearinq of said curve from said point bears
South 88' 35' 17�� East; thence alonq said curve
northeasterly 621.30 feet through a central angle cf
25' 25' 36"; thence tanqent from said curve North
26• 50' 19" East 21.11 feet to a point on the southerl�
line of the Southern Pacific Railroad Right-of-way.
Said strip ot land shall be lenqthened or shortened so
as to terminate southerly in the north line of the
south ona-hal! of the northeast one-quarter of
Section 33 and northerly in the southerly line of t::e
Southern Pacitic Railroad Riqht-of-Way.
Containinq 1.976 Acres, more or less.
Parcel 3
CO1�QiENCING at Point "8", h�reinbelore described in
Parcel 1; th�nc� South 88' 47' 31" East 67.00 feet �� a
point in tho sast lino of said Parcel 1, said point
beinq tha TRUE POINT OF BEGINNING; thence continuir.q
South 88' 4?' 31" Eaat 169.00 feet; thence North
01' 12' 29" East 75.00 feat; thence North 88' 47' 3:��
West 135.00 fa�t; thence North 43' 47' 31" West 48.�?
feat to said east line of said Parcel 1; thence alc;.:.
said •ast lin� ot Parcal 1 South 01' 12' 29�� west
109.00 t��t to th• TRUE POINT OF BEGINNING.
Containinq 0.304 Acres, more or less.
�����
CO1�IIrIENCING at Point "H" h�r�inb�fore described in
Parc�l 1; th�nc• North 88' 47� 31" West 67.00 feet �..
point in tha waat lins ot said Parcol 1, said point
b�inq tha TRUE POINT OF BEGINNING; th�nce along said
wa�t lins o! Parcel 1 South 01' 12' 29" West 109.00
tsat; th�nc� North 43' 47� 31" W�st 48.08 te�t; ther.c.
North 88' 47' 31" W�it 135.00 ts�t; thance North
01' 12' 29" East 13?.00 te�t; thsnc• South 88• 4�� ::��
East 122.00 tast; thanca North 46' 12' 29" East 55.::
l��t to said w�st line o! Parc�l 1; th�nco alonq sal�
west lin� o! Parc�l 1 South 01' 12' 29" West 101.00
�
93o9to v64o2•0000t sas o76o�ebi o — 4 —
�
feet and South 88' 47' 31" East 8.00 feet to the :R�E
POINT OF BEGINNING.
Containinq 0.551 Acres, more or less.
����
COI�IIr1ENCING at Point "C" hereinbefore described in
Parcel 1; thence South 88' 47' 31" East 67.00 feet �o a
point in the easterly line of said Parcel 1, said po�:.t
bainq tha TRUE POINT OF HEGINNING; thence along said
east line throuqh the followinq courses: North
O1' 12' 29" East 523.10 feet to the beqinning of a
tanqent curve concave southeasterly and havinq a rad�us
of 1333.00 feet; thence along said curve northeasterly
6.51 feet throuqh a central anqle of 00' 16' 47�' to a
point in the north line of the south one-half of the
northeast one-quarter of Section 33, Township 4 South,
Ranga 6 East S.8.8. & M.; thence alonq said north l�ne
North 89' S3' S6" East 53.80 feet to a point on a non-
tanqent curva concave southeasterly and having a radius
oi 1520.00 feat, a radial line of said curve from said
point bears South 82' 42' 48" East; thence alonq said
curva southarly 7.78 feet throuqh a central angle of
00' 17' 36"; thence tanqent from said curve South -
06' 59' 36" Wost 525.78 feet to tha TRUE POINT OF
BEGINNING. �
Containinq 0.327 Acres, more or less.
Parcel 6
COT+�IENCING at Point "C" hereinbefore described in
ParCal 1; thoncQ North 88' 47' 31" West 75.00 feet �� a
point in th• westerly, line of said Parcel 1, said point
beinq th� TRUE POZNT OF HEGZNNING; thence along said
w�sterly lin� through the followinq courses: South
88' 4?' 31" East 8.00 feet; thence North O1' 12' 29"
East 523.10 loQt to the beqinninq of a tangent curve
concave southeasterly and havinq a radius of 1467.00
feat; th�nc• alonq said curve northeasterly 3.45 feet
through a csntral angle of 00' O8.' 05" to a point in
th� north lin� of the south one-half of ths northeast
on�-quart�r ot Section 33, Township 4 South, Ranqe 6
Ea�t B.B.B. i M.t th�nc• alonq said north line South
89' S3' S6" W�st 53.21 feet to a point�on a non-tangent
curv• concav southeasterly and ha�inq a radius of
136�.00 t��t, a radial line ot said curve from said
point bears South 86• 23' 08" East; thence alonq said
curve southerly 2.24 feet throuqh a central anqle of
00• 05' 40"; thence tanqent from said��c��rve South � �
�;
�,
9�to Pbco2-0000t sas o7�e o - 5- \�
RESOLUTION NO. 93-37
0
03• 42' 32" East 525.04 feet to the TRUE POINT OF
BEGINNING.
Containinq 0.370 Acres, more or less.
Parcel 7
COI�NCING at Point "D" hereinbefore described in
Parcel l, said point beinq in the north line of the
south one-half of the northeast one-quarter of
Section 33, Township 4 South, Range 6 East,
S.8.8. & M.; thence alonq said north line North
89' 53' 56" East 67.02 feet to a point in the easterly
line o! Parcel 2 hereinbefore described, said point
also beinq on a non-tanqent curvo concave southeasterly
and havinq a radius ot 1333.00 leet, a radial line of
said curve trom said point bears South 88' 30' 44"
Eaat, said point beinq the TRUE POINT OF BEGINNING;
thence alonq said easterly line of Parcel 2
northaasterly 589.79 feet throuqh a central angle of
25• 21' 03"; thence tanqent from said curve North
26• 50' 19" East 10.96 feet to the southerly line of
th� Southern Pacific Railroad Riqht-of-Way; thence
alcnq said southQrly line South 54• 32' 27" East 90.11
l4�t to a point on a non-tanqent curve concave
southeasterly and havinq a radius ot 1520.00 feet, a
radial lin• o!• said curve trom said point bears South
61' 50' 14" East; thQnce alonq said curve southwesterly
553.82 le�t throuqh a central anqle oi 20' S2' 34" to
said north iine ot the south one-half of the northeast
one-quart�r oi Section 33; thence alonq said north iine
South 8l• 53' S6" West 53.80 feet to the TRUE POINT OF
BEGINNING.
Containinq 0.994 Acres, more or less.
Par=�_
CO�ENCING at Point "D" hereinbefore described in
Parc�l l, said point beinq on the north line of the
south on�-hal! ot tha northeast ona-quarter of
S�ction 33, Township 4 South, Ranqe 6 East,
S.B.H. i M.; thanca alonq said north line South
89• S3' S6" W�=t 67.03 ra�t to a point in the westerly
lin� ot Parc�l 2 hereinbeiore describod, said point
also b�inq on a non-tanqent curva concave southeaster:f
and havinq a radius ot 1467.00 fe�t, a radial line of
aaid curv� trom said point bears South 88' 39' 26"
East, said point beinq tha TRUE POINT OF BEGINNING;
th�nc• a�onq said westarly lin• ot Parc41 2
north�ast�rly 652.80 teet throuqh a central anqle of
25' 29' 45�; thenca tanq4nt from said curve North
9309to r64o2-o00ot � o76o�b� o — 6—
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26' 50' 19" East 31.27 feet to the southerly line of
the Southern Pacific Railroad Riqht-of-Way; thence
alonq said southerly line North 54• 32� 27" west 93.��
ieet to a point on a non-tanqent curve concave
southeasterly and havinq a radius of 1360.00 feet, a
radial line of said curve from said point bears South
62' 40' 33" East; thence alonq said curve southerly
734.37 feet through a central angle of 30' S6' 19" to
said north line of the south one-half of the northeast
one-quarter of Section 33, thence along said north line
North 89' 53' S6" East 53.21 feet to the TRL'E POZNT OF
BEGINNING.
Containinq 1.250 Acres, more or less.
SUHJECT TO all Covenants, Rights, Rights-of-way and
Easaments of Record.
930910 P6402-00001 fas 07bOdbi 0 — 7—
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RESOL�TIJN VO. 93-37
EXHIBIT B
LEGAL DESCRIPTION OF AGENCY PROPERTY
PARCEL 1:
That portion of the Southwest quarter of Section 28, Township 4
South, Ranqe 6 East, San Bernardino Base and Meridian, in the
City ot Palm Desert, accordinq to the Otficial Plat thereof,
which lies Southerly of the riqht of way of the Southern Pacific
Railroad Company;
EXCEPT 1/16th ot all coal, oil, qas and other mineral deposits in
said lands, as reserved in Patent from the State of California to
Ruth A. Clarka, recordad Octobar 20, 1926 in Book 9 paqe 178, of
Patents, Records of Riverside County, Calitornia;
ALSO EXCEPT a one-halt interest in and to any and all oil and
mineral riqhts, as reserved in deed from Ralph E. Wyer, et al, to
John J. Kovacovich and Beverly Ellen Kovacevich, husband and
wile, racorded Auqust 25, 1955 in Book 1785 paqe 467 of Official
Records ot Rivarsida County, Calitornia.
PARCEL 2:
That portion ot th� Southeast quartar of Section 28, Township a
South, Ranq� 6 East, San Barnardino Basa and M4ridian, in the
City o! Palm Dasart, as shown by Unitsd States Government Survey,
which lies South�rly ot th• riqht of way of tha Southern Pacific
Railroad Company.
PARCEL 3:
That portion oi th� Northwest Quarter of saction 33, Township a
South, Ranq• 6 East, mors particularly de�cribed as follows:
Haqinninq at th� Northwast co;n�r ot tho Northwest quarter of
said Saction 33; thsnc• alonq tha North line ot said Section 33,
North 89'SS'SS" East 2,647.98 te�t; then South 00'04'07" East
329.01 t��t; th�nc�, alonq a line parallel to said North line,
South 89'S5'SS" W�st 2,647.83 feet to the West line of said
Section 33; Th�nc�, alonq said west line, North 00•05'40" west
329.01 �a�t to th� Point ot Beginninq.
-1-
930pt3 j�r b96S-b.j�r �
EXHIBIT C
CERTAIN DEFINITIONS
Eavironm�ntal Lays means all federal, state, local, or
municipal laws, rules, orders, requlations, statutes, ordinances,
codes, decrees, or requirements of any qovernment authority
regulating, relating to, or imposinq liability or standards of
conduct concerninq any Hazardous Substance (as later defined), �r
pertaininq to occupational health or industrial hygiene (and cnly
to the extent that the occupational health or industrial hygie.^.e
laws, ordinances, or requlations relate to Hazardous Substances
on, under, or about the Property), occupational or environmental
conditions on, under, or about the Property, as now or may at any
later time be in effect, including without limitation, the
Comprehensive Environmental Response, Compensation and Liabi:ity
Act of 1980 (CERCLA) j42 USCS �4 9601 et sea.l; the Resource
Conservation and Recovery Act of 1976 (RCRA) [42 USCS §� 6901 et
sec.l; the Clean Water Act, also known as the.Federal Water
Pollution Control Act (FWPCA) f33 USCS 6§ 1251 et seg.1; the
Toxic Sub�tances Control Act (TSCA) f15 USCS 46 2601 et seq.�;
the Hazardous Materials Transportation Act (i�II�'TA) j49 USCS 64
�801 et sec.l; the Insecticide, Fungicide, Rodenticide Act L
USCS s6 136 et sea.l; the Superfund Amendments and
Reauthorization Act j,42 USCS §� 6901 et sec,l; the Clean Air Act
f42 USCS 6� 7401 et sea.l; tha Sate Drinkinq Watar Act j �'.�S ••
6c 300f et sea.l; th� Solid Waste Disposal Act j42 USCS b� 690�
et sec.l; th� Surtacs Mining Control and Reclamation Act L30 '�s�s
&i 12 1 et sec.l; tha Emerqency Planninq and Community Right t�
Know Act j42 USCS 6c 11001 et sec.l; the Occupational Safety a:;d
Health Act f29 USCS 6i 655 and 6571; the California Underqrour.�
Storaqe of Hazardous Substances Act fH & S C&& 25280 et sea.':
the California Hazardous Substances Account Act LH & S C 6§ 2�3�:�
et sec.l; the Calilornia Hazardous Waste Control Act jH & S c 3s
�,5100 et sea.l; th� Calitornia Safe Drinkinq Water and Toxic
EnlorCamant Act SH & S C si 24249.5 et sea.l; the Porter-Cologr.e
Water Quality Act jWat C 4� 13000 et sec.1 toqether with any
amendments ot or r�qulations promulqated under the statutes c:�ed
abova and any oth�r tedaral, state, or local law, statute,
ordinancs, or r�qulation now in eiiact or later enacted that
pertaina to occupational health or industrial hyqiene, and oni•I
to the axt�nt that th� occupational health or industrial hyg:er,e
laws, ordinancss, or raqulations relate to Hazardous Substances
on, under, or about th4 Proparty, or the requlation or protecc:�n
ot th� environm�nt, includinq ambient air, soil, soil vapor,
qroundwat�r, surtac• water, or land us�.
8asudous 8ub�tana�• includes without limitation:
(a) Thos• substancas included within tha definitions of
hazardous subatanc4, hazardous waste, hazardous material, tox:�
substanca, solid waata, or pollutant or contaminant in CERCLA,
RCRA, TSCA, i�TA, or under any other Environmental Law;
?W:.OL�T � �"1 VG . 3 3-87
�
� (b) Tho�e substances listed in the United States Depart:nent of
Transportation (DOT) Table j49 CFR 172.1011, or by the
Environmental Protection Aqency (EPA), or any successor agency,
as hazardous substances [40 CFR Part 3021;
(c) Other substances, materials, and wastes that are or become
regulated or classified as hazardous or toxic under federal,
state, or local laws or requlations; and
(d) Any material, waste, or substance that is
(i) a petroleum or refined petroleum product,
(ii) asbestos,
(iii) polychlorinated biphenyl,
(iv) desiqnated as a hazardous substance pursuant to 33
USCS § 1321 or listed pursuant to 33 USCS § 1317,
(v) a flammable explosive, or
(vi) a radioactive material.
0
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930913 j�r b9AS-b.j�r
-2�
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7 'o oay on aem�n0. v.netnei or no� in�� eurow cioe�a. �nr c.^.arpe� �ncunea or rou on ou� oe�a�� a�a ,-�� s.:a =s- -„ ees a-. :- e:
� Feee ana cn��pe� ,��u pe ca�C �e �enows: ��i Bv Burer_ia �ecora��q Ceea. r��i�nq �n acKr,ow;eaq �� a^c �ec-�- - - . .s .e� • a . . , .
Te��s �ecessary on n�� p��t. �Q�O�i 3 a33um01�On Or C���Q� oi recoros iee. oenal�c�ary s s�a�emem �ee a�a '-� esvow ee 3�� �__. ,—.
�•iie oo��cy. a�mano�, documeni�ry �ran�iu i�a on oeeo. ��iiinq �n. ��knOwi�Cqinq in0 recoro�nq anr �oc,::nen;s �ecessa-.y:^ - s:�' ,.
esc�ow 'ee
S Use an� ��Us company or your uswi io�m ana �n�en Oa�es ana'erm� on �netrumente •1 s:ec�ie: n��mp:e�e n s,.cr -a�• :_ a s:. -.
^Sen�Cns �Ompiy uviln pur arnll�n �nlVUCtiOnl. � '
7 � C� d'! �UIhOn2f0 l0 O�Irv�f C00�a! 01 iil •n]I��C��O�! 7ntl C:O3i�Q 71�itm�ny Ii1 �hi! !SC'Cw :0 .^� 'Cd: ?S;d;� _;+C" 7-: _• 3'?' ,.
e�cu. enaers aQent, buya«s�ilu u�om�y, FHl, pr vA, aCon ;h��r �eGu�sl �
7 �ou ira nOt IO 0� Concf�neQ wiln t�� IO��pwinQ- It� T�e Q�v�nQ 01 7ny ,�i�Uolure3 !e0u�reC Ov �e^.e'a� ?r S:a'? _ati s-4: �-.3 . � .. ;
°equ�a�:o� Z. �n�cn mar ar snou�a ns.e aeen p�.en ouirae oi in,� escrow 12� tn� ei�eu oi ton�nq ore�nances
6 '�e oo��cy o� uue ��ewa�c� io oa ee���uea IMpuQh I�i3 eecrow w�u oe �ssuea suoiec� !O CaC�O��OnS a,�a r. , c s;a . ,
company s prmfetl torm, wn�en uCeO��Onf i�d Ce�drti0n� �r� nereOY aDO�Ov�O No cn�ii�i or ser.: �r ^'e�esi sea�c� s�.: ,;e :-�a�-e^ :.- -,
cer70.'+ai D�oO�r�y. il �ny. O��nQ lrint101�RC I��O�Q� i17i! !lCtOw Bd� oi S�i� �I anv reauu�d. �s �o oe oe���.e�ee .^.rer�_ec a� -_ ... .-.. .
9 �cu sna�� mak� oavrt+eni i0 Or IOr Cr 0llivN COCumenl3 to Or �p� �ny O��tY Onty it �n y0u� �YC�uS�r� �u0c�a�"eni S�C" �a, ?- , , � -.
�e �*aCe w�rnout your mcurring any i�ab�inv an0 icu s^�au ^ave �.o oDh�at�on �o oav any cos�s or c�ar,es '�� +�e acc=�.:-•. :• ��. ��� .- .
e.ceoi "=T !U�43 17010 M !lCfOw A> > �O�tlilqn �O C'OSs � !]CiOw y0U m�y �eduiro inat �n �nieresiea ;.ari,e� acc��.e � .. , � .
Te��s a�o ��s�rumenis io oe deu�erea �lrtuntll� A�i a�sounemenis ar� io be maoe oy rour c�acK ana .o� a�e '_ __ �_� 3... , .. .
Te��s io ��e oa�iiee emdi�a �ner��o rov m�v use �equisr mad !c �ns Oarl�n' reSpaclive �Ctlr��3�S ShOw� ^ere n�ec p�a �- :;. >
:e���erea �nrouqn m�� �scrow. �I necesoary or proo�r �n ins ��ewnc� oi in� poiKy oi �a+e �nsurance ca��ea �or. s au.r�cr ze: -s .. .--
Aeco�oei �o mad recoraeG ��3VUT1f1if 10 I�! pari�ea e�i�iie0 inereio.
i0 E.ecuie on bMail o� �h� p�/IN� NHNO �O/T NlrQnTfM� 01 In(!ry!1 �n anv �nwanea oouev �o oe �ss�q�ea +0 9utie� "e• �� a' ::. e: s a:
ilS�qnment! uPon cioft oi �strow io e�ine� in1 �p�n+ p� i�� :n3u�anC� COmOiny. 71 y0u� OOIiOn. �eaua�i��Q :ne �sure, �: .. .. •..._-
!�anS��r, !O m�k� luCh O�Mr �O011ion! ar COn�CUan3 ea�til�c���v r�Quu�tl. �I anv. and lo lorwara sucn Dohc:as to •^e :ar• rs a... .e�: -.. _
E�ecu��on and IorwarOinp o� we� �orm aa��qnmeni� u� your oniy resoo�a�ou�i��s m�onn�pion «�in any ,nsur�nce pe��c ee _a e: :-�- s
eecrow
i+ it �onn�ctinq O�m�nOs u� mW�a �alcva emetl uDon you w�in ���O�c1 io ihq ���row, ine ou��ee �eroto aqree t�ai ,.•.. s-3 =_,- ...
�eiuse �o compry wnn any wcn ciam o� a�mand �ne �o wnnnaia ana s�op au �urtn�r proc�ea��qs �n ana oar�ormynce a�,� es���� �. ;�_.
suc� aisaqr�eman� �n�u conunw; in �o oo��p you s�au nai b� or becom� ua01� lor oamaqee or :ni�resi io coni�nue so :o �ei�a�^ 3^c �... ..
u� unid �al t�t rphla al ths aAwrs� elairt+ame nav� bNn i�n�ny �IUGie�tW �n a couri aawm�nq ana ��av�np :ur�sa�c�w� ;� -a _a� �� ; .
�re mon�r. OaQ�r�, �nC Dr00�ny Invalr�tl Mr�in or all�ctW h�reOY. anC/or 101 ail Q�U�nnc�f l�ai� nave be�n �diusietl DY ^+���a- a,-�r �- 3-:
y0u 7nall nav� bNn nOtiIIW Ih�rf01 In wriUnQ 7�pnW by �II 01 ih� O�r�on! inl�i�flb.
In Ih� �It�m�thf, ypv may fil� � w�t i� ��Il�D���tl�� �Of O�CI�r�tOfy IuCQ�TM� fo� tM Ourpos� o� �av�nq me r��p�ei��e -�qr• 7 �� •^e " a^ a^ � 5
:ClutliC�t1O. in0 d�p0�1� wflR IR� COu/t �II COCVm��I! in0 D�OO�rty ��Id h���unC�f i�10 Ih� unOf�fiQnfC iO�nlly �nC ltver7;iv a�'!e :_ a, a:
CO317. ls0�nlq �fW t�ilOfl�plf �IIOf��y'f �Nf �nCUfr�p py YOu. IRI �TOunl Ih���01 10 C� IIaW ��0 i IuOQlmfnt Ih�reO� •c �e '!'^s,e: ^. �'�
courc �n �ucn swi.
�2. rou u� nownON u a O�poiilary oniy an0 ar� no� ryDons�Ci� or nabi� iR �Ify TM�N w�il�v�� �or ine w+neunc� _�: •e_ -e es ;_ ..
��f! 0� v�iWl�y 01 �y IR�IfYT�Rt O�pOlIIW wilh YOU h��eUnCQr. Or wilh ��lO�Ct 10 10/T Of �ylCUliO� Of �im�. Or �ti� :tllr! .. a.. '- . : .
al �nY D�rson �a�tutlnp W O�pO�ilinp ih� slme. You ��� n�i1Mr a Oarry io nor bauntl Dy �ny aprpmrm wn�cn may Oa ae0os.�.e� _� .e� �_.- .
or. o� m�� ou� or mi� �urow.
t I rou fnsll �aw no r�spOn�l0lUty ol no�llyinq any o< <M oun�s io �ny ��erow ol am ea��, rosau. ioan. �■enanpe. or :.re, a. ti�- -- ..
�np any OroO�rty NK�m tl��Cnb�O Or of any Oroht i��iinC OY �nr O��son. tum p� Corporal�On lbrck�r. ap�nt a�0 oar�.�es �o �.�.�s a� =_• �-� .._ ..
�ne�ua�01 �� eonn�etbn thKwvllh. rpuONss ol tn� �aet m�t fuen trsnsae��oMsl msy 0� �•anC�ea nY You �n �ms �fc�o+� �� - a�.: .
prO�iG�O 7uth I�lt CO �OI pl�vMt y0u� COmpli�nCf wi�� Ih�f� inllruCUOnf.
1{. Y01! Shil) q01 C� Ilibl� IOf �IIY �f10/ 01 �UCQ�T��I Of 10� ��y �CI OOM 0/ OTi�ilC O� y0U �O QOOC ���Ih. Or Ip� iny m.y;dM! ;' .3:. '. f� ,. _
your awn wdllul ml�eoiWue6 and you �haU �aw no Ouu�s �o ��yon� �eupi inos� s�pmnp �n�a �ns�ruct�ons.
�S. Tn��� �nftruttbn� m�y b� u�eW�d In eoum�rv�rts. ��en o1 wn�en fa a�wtW �nau. uroeotttrv� ol tns Caie o! :ts e,e: _;- ��:+
oa Ceemea a� o«ptr+��, uW sa10 count�rp�ris �ua�m� sna�� cvrouw�� ons �nC �n. aam� �navum�nt.
All Oirti�f Mf�tO UnCNf1�f1G �nd �QtN Ihil IR�f� In���uCt�Ont. O�ly �xfCUIW DY lP1 put��! n�r�10. b�Came dilec;�.e :� .��� .. ,
b��n QlpOf��W wllll MW �CC�pl�d Cy yOY. EfCtOw hoiC�t �af tM nqht t0 ClfltOy th�f� mslruCtwnf antl ittenCan� pa0trs a��e� -•e `. �•!e s :
Oil�.
16. NO �o1lCf ot OMfifW fhMl 0� OI iny NI�Ct urn�ff 1n wtltlnp; n0 C�anp� 01 In11tuCU0n7 1hi1V b� ot iny �H�Ct unieDs .r. .' �- ';:; .- -
Oa�tqs 10 ���i �ft►Ow. SuCr wrqlnq� lMII 0� fu0lkt io in� �or�qomq eona�uons ana D�ov�s�on� an0 w�u no� 0� �iiec:�.e ..- eee :. - -
Eferow 011Kp ol IM ApottNbn �t its ollle� nam�d on paQ� �
17. "T�u31 O��d" �hdl �Ifp nN�n rtfWlpaQ�: "lnCumOrint�" �Mil m��n ��IhH 01 th� Or�viOw. a7 w�il af h�M ol anv �.ce �'a-° ���� .
sinputir, iM pWta►wOW Ot r1C� Wtfi, "Uos� ol �aUOw' Sh�ll T�i11111� O�y +n�itum�nit �t� tKOr0�0. MaM� �aC� proral�on :� -a :as �.,..
Cay mOnth.
�S. Prast� �u�s an0 NvNs a+ 1M oas�� ol in� curren� ���r� ��pur��. ete�oi ou��np IB� Dfn00 iMY an not avaa�o�e .;� i e .. -.
�mm�Ci�tNy pne�dlnq y�Y'� IIpwN; �i tu�nb�ftl YOu by Ih� tili� COmpMy.
�9. Pras1� nnN snd C1wp� NIIN �n0 er�0it ouY�� w�tn any O�posib DaW in �tivant� on Ih� bae�� ol � ful�m�ni !um�s^ea :. se e-
r�pnt�nlf Ihal ff� wlll �WNCt �q r�nls wffle� 1�I1 Ou� Orior to t�� Cios� OI �iCrOw. M�k� n0 W�u�IrMnl spain�t Duy�r On unc��,ec ae e-' �_-+� s
olnfrwlf� Inl1►YCNO.
20. P�an� prNnN�rta an IM� infunne� eouei.� on �moro�•m.���. wnKn s.u« narwi rou a Wn�en an��kian inl0rm3 +Ou �� ^c :f �ss ;'
polkl�f �i a«n+uT �o b� aaaae: ��Ou�fl In�urW'f sQ�nt to �r�nflN �M pOlieY IO buY�r. YW I��u� mortp�p�� tlau��s. Trsne�a� a^c � �• � s �
OIhK Intur�nt� pOMCIp. 11 �pQfdY�d by BUYN. S�I��f r�0��i�n1! I��I �P� pO1�CNf �/� in Ipt�, n01 �ypO1tNC�1�0. �nO O��miuma :a�C
1t. WMn prop�rty p�M�q eonwy�0 h MW In �omi I�nancy �ny caen O�nr�d thu�lrom In tAli �serow sha�l D� toint t�n�ncy �unas ,� e+s :.,
•.v+N Int�ruet�d In nMtkq I►onf tt�a �olnt t�naney a�����.
22. SnouW you pNa� a �Il�r elos� ol ��erOw, r�e�rv� or O�tom� �war� ol any ConlNelle►p OM�anCf or C�f wilh r�sNct to ���� esc� o.. :- � e
r�pms o� any o� tM o�rtNs hK�w. or vn moewy or o�oo�r�Y a�oos�s�a nkNn or an�eae na�ar. rou inari nsw in� r�pn� w a,seo�� ��,.• .�. : a�
�u�ihN �Ct� On yOYI p�A uniM �YCfI CO�IIiCt If r��olvtd lo yOvr falifl�tlbn. �ntl �OY fhW f1�N ��N IurihN ripHl lo tommtnc� or ����nc a- •:=_� �
OrpCNQU1Qt IOf IIN d�lMTM1�110f1 O� lYCQ tWtllltl. 9uyH !fW Nll�f p�n�W anA s�aNy ptN l0 ¢�Y �II COttf. d�ffuq�7. .�C��"��^�t +--�
•:p�nHf. inChWklO r�NpybN �IIpMy'� I��f, wll� r�p�r0 10 My 7ut� pfOCN01�Q� W OIM/w�M �u11M�0 Of i�Cuf�W DY Ya+'n c�nn��..o_ �`
Or lfitlna OYI 01 IIM� MpO�M.
27. TM partMf hM prNd out�fd� ae►ow, ���f IM uanNelbn. In all pMtlnMt rqp�tts. tompbp w1t� tM Unilorm Fn� Ora�narc� �, ��:'•
OI P�Im $OtHq�. �IW NCtOw 11010M b t101 t0 b� r�spOn{�ON tMr�lOt�.
2�. PW W�n110 S�CtlOn! 1Q�1� �fW 1211�.5 01 th� Californl� Inf�r�nt� COO�. �II�CIM J�nYYy t, INJ. MY tl�t� Infuf�nC� COmC�n �.� _�• - +^
tiU� CWnO�ny p CMI►Otlb NtrOv► ComP�ny h�n011nq luntli In � fuW�Crow C�PaC�tY In COnfNCt�On vntb Ih1s �sCrow must ns•� �•� _�e^ -.•+
�nQ Ortllf r�OrH�nllnq Olsburf�en�nit �O b� m�d� Oy d O�po�MC �mo di �u0�ferOw 01pOM1aY Keount O�lor� i� c�n m��� �nr a� �o� �r+ ,-
th�! �tttOw �fWfOf fKptO yOYf tf�npCllOrt.
To sra0 tubltinll�l CM�y �n IM dbburt�m�nt ot �unOf Irom fuen fub��erOw �eeO�Ml �nC t�� nsultinq O�I�y �n clotinq �n e�s: -:. :•� Se
( 11 ut� C��Ck1, sM�� df�fb O/ TOn�y Wd��� C��wn On O� iffYfO by OIIIC�� 01 I�Mf�Cl�l UIN�IYIIOnt IOC�IW wilh�n IN1 SI�t� 0� Ca��: �•��a , e. .
us�nq �ny Or�lb. ptnM Inan Mu� dqll�. �nd (JI any �n���Nf ol iuno� trWn hnanual in�4tuuonf oubie� �n� Slal� al Gi��orn�a «..� •e:. e-+
uan���r�
TN�f NOIiC� i� QivM 10 YOY DY Th� EtCrOw COnMCdO� �f � COurq�y. TM EiC�Ory ir011MCliOQ �f n01 rqOOnl�01� 10r any �•e�es :' +;�s
�OtNf. ftp�ll�ff Of OMlyt �fl Oi/OY�NIR�M! wh1CN T�y D� CW1ld 0/ OCC�l10f1W bY M�Y ANW 11K�ffrt�IW OY �R� n�•w ��w