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HomeMy WebLinkAboutRDA RES 287RESOLUTION NO.287 PASSBD, APPROVBD AND ADOPTBD this 9th day of September, A RBSOLUTIOI i OF Ti PALM DBSBRT RBDSV$LOPI I i'1' AGSNCY APPROVING AN B%CHAI IGB AGR$BI NT THE PALM DESERT REDEVELOPMENT AGENCY HEREBY FINDS, DETERMINES, RESOLVES 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 hearing on the disposition by the Agency to David Freedman & Co., Inc., a California Corporation, of certain real property (the "Site") located in Project Area No. 2 pursuant to the Exchange Agreement attached hereto as Exhibit A. Section 2. The Agency has made available to the public throuqh the office of the City Clerk of the City of Palm Desert a copy of such Bxchange Aqreement together with a Summary of the cost thereof to the Agency, which Summary is attached hereto as gxhibit B. The Swamary delineates the costs of such Exchanqe Aqreement to the Aqency, includinq acquisition costs. Section 3. The Aqency hereby approves the disposition of the subject property pursuant to such Bxchanqe Aqreement. 1993. AYLS: NO$S: ABSSNT: RBSOLUTION NO. 287 CRITES, K$LLY, SNYDBR AND B$NSON NONE WILSON ' ABSTAIN: NONE 1 fi K.' / l i ,' 1 Ag'TEST : , . / / r % ' ,LL Sheila R. Yiqan, Se etary 0 M. Benson, Chairperson S L::T =`"7 V0. 237 SUMMARY The followinq is a summary of the cost of disposition of certain real property owned by the Aqency pursuant to that certain Exchange Aqreement between the Palm Desert Redevelopment Agency and David Freedman & Co., Inc., a California corporation (the "Purchaser"), regardinq 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 ot approximately 20 acres and is southeast of the intersection of Portola Avenue and Gerald Ford Drive. 1. The Aqency purchased the Property in 1990 for the sum of 55,950,000. The Aqency is exchanging the Property with the Purchaser, and the value the parties are placinq on the Property for the purpose of such exchanqe is tha sum of $5,950,000.00. 2. There are no clearance costs to the Aqency associated with the disposition of the Property. 3. There ars no relocation costs to the Aqency associated with the disposition of the Property. 4. There ar4 no improvements to be provided by the Agency pursuant to the subject Exchanqe Agreement and the disposition of tha Property. 5. There are no interest costs because no loans or bonds of the Aqency wory be made or issued to finance tha Aqency's obliqations under the subject Exchanqe Aqreement. 6. The estimated value of the interast in tha Property to ba conv y d, determined at the hiqhest uses permitted under the Redevelopm nt Plan for Project Area No. 2 is $5,950,000. 930a20 j r b998.ja 0 0 Exhibit A Legal Description PARCEL 1: That portion of the Southwest quarter of Section 28, Township 4 South, Range 6 Ea5 t',"S n Bernardino Base and Meridian, in the City of Palm Desert, according to the Official Plat thereof, wh ich lies Southe ly,of the riqht of way of the Southern Pacific R ►ilroad Company ; ' EXCEPT lf l6th of all coal, oil, gas and other mineral deposits in said lands, as reserved in Patent from the State of California to Ruth A. Clarke,. zecorded October 20, 1926 in Book 9 paqe 178, of P tents, Records of Riverside County, California; ALSO 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 Beverly Ellen Kovacevich, husband and wife, recorded Auqust 25, 1955 in Book 1785 page 467 of Official Records ot Riverside County, California. PARCEL 2: That portion ot the South, Ranqa 6 East, City ot Palm Desert, which lies Southarly Railroad Company. PARCEL 3: • Southeast quarter oi Section 28, Township 4 San Bernardino Base and Meridian, in the as shown by United States Government Survey, of tha rigiit of way ot the Southern Pacific That portion ot th Nortwest Quarter ot section 33, Township 4 South, Ranqa 6 East, mor• particularly described as follows: Beqinninq at th Nortwost corrrer of tha Nortwest quarter oi said Section 33; thanc alonq tha North line ot said Section 33, Nort 89'55'55" Eaat 2,647.98 teot; then South 00'04'07" East 329.01 feet; thanc , alonq a line parallel to said North line, South 89'55'55" W st 2647.83 ieet to the West line of said Section 33; Thencs, alonq eaid w st line, North 00'05'40" West 329.01 test to the Point o! Baqinninq. 1' •T " -2- 930820 iar b99d.1ar �soL'JTI�N �o, z�� =SCF�7 # 16 0 6 2:�'� • t � ,r -___ E. �,:.� �z �:a.r�;c^ �r , �te. _ _ _ ?a,�.^� Sbri:^qs, Ca. 322 519-327-8�ci6 Fax 6i9-3�7-13�2 EXL:ANGE AGREEMENT AND JOINT ESCROW INSTRUCTZONS This Exchanqe Aqreement and Joint Escrow Instructions ;'��h�s Agreement") is made and entered into as of the �;r�;day of ��. te�*iber , 1993 , by and between the PALM DESERT REDEVELOP*�E�;'=' 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 to r.erein as "Ulman"), LIONEL STEINBERG (sometimes referred to herein as "Steinberq"), and DAVID FREEDMAN & CO., INC., a California corporation (aka "David Freedman Co., Inc.") (sometimes referred to herein as "Dafco")(Ulman, Steinberg and Dafco hereinafter beinq collectively referred to as "Freedman") on the other par�, with respect to the followinq facts: ��• � . A. Dafco and Ulman are the owner.s of certain real proper�: (the "Freedman Property") located in the City of Palm Desert, County of Riverside, State of California, de$cr.ibed in Exhibit "A" attached hereto and incorporated herein by this reference; however, a portion ot the property described as. the "Dafco/Ulman Parcel" is owned by Datco and Ulman as tena�ts in common, and t�e remainder oi the proparty described as tha Dafco/Ulman Parcel, and the property described in Exhibit A as the "Cook Street Extension" (Parcels 1 throuqh 8) is owned by Dafco alone. The Freedman Property consists of 9 parcels containinq approximateiy 215.875 acres. B. Lionel Steinberq has an unrecorded �ption to purchase certain portions o! the Freedman Property. concurrently herewith, Lionel Steinberg is exercising such option to purchase certain portions oi the Freedman Property and shall be conveyinq same to the Agency. .��C. The Aq�ncy is the owner of certain real property (t?�e "Aqency Proparty"j located ir} the City of Palm Desert, County cf Riversida, Stato of California, described in Exhibit "B" attac:�ed hereto and incorporatad herein by this reference. The Agency Property consists ot 3 parcels containinq approximately 133 acres in the aqqreqate. D. Both th• Aqoncy Property and the Freedman Property are located in Projsct Ar�a No. 2 oi the Palm Desart Redevelopment Aqency. E. By this Aqr�amant, Freedman is aqreeinq to exchange t::e Freedman Proparty tor the following: (i) receipt by Dafco of a grant daad to tha Aq4ncy Property and (ii) receipt by Freedman �1� r i, 930913 j�r b98S-6.j�� '�� .� . � from the Age::cy of the sum of S5,000,000. The Aqency is aqreeir.q to convey the Aqency Property to Dafco by way of exchange, and to pay to Freedman the sum of S5,000,000 for the Freedman Prope�•:, in accordance with the terms and provisions hereof. NOW, THEREFORE, the parties hereto do hereby aqree as follows: ���*-t.- ;. --��-� Subject to and in accordance with the terms and conditions hareinafter set forth, Fresdman aqrees to convey t::e Freedman PropQrty to the Aqency in exchanqe for the sum of 55,000,000 ("Cash Consideration"� plus receipt by Dafco of a qrant deed to the Aqancy Property, and the Aqency agzees to convey to Dafco the Aqency Proparty and to pay the Cash Consideration to Freadman in exchanqe for the Freedman Property. For purposes of this exchanqe the parties acknowledqe that the aqreed value ot the Freedman Property is $11,097,703 and the aqreed value ot the Aqency Property is S5,95�,000. The Aqency aqrees that tha total consideration (i.e., th� Cash Consideration plus the value oi the Aqency Property) is the aqreed price for 211.b55 acras o! th• Dafco/Ulman Parcel and Parcels 1, 3, 4, 5, and 6(as describad on Exhibit "A"). Tho remaininq 4.22 acres deacrib�d as Parcals 2, 7 and 8(the "qift parcals") on Exhibi:. "A" ar• b�inq qrant�d by Freedman to the Aqency as a qift, and � tha aqraed valu4 ot ths qi�t parcels is tha sum of 5147,702.80. To this and, tha qrant do�d from Freedman to th• AqencY convey:r,a the qift parcels shall contain a notation that "Grantor is conveyinq to tha Palm Des�rt Redovalopment Aqancy as a gift, �-:� without consideration, th4 real property described herein." •. � �- - �. . �. . - . Concurrently herawith, an escrow shall be opened with The Escrow Connection ("Escrow Holder"), Kathy Kleindienst, Escrcw Otticer, tor tho purpos• oi causinq the exchanqe of tha FreedWan Property and the Aq�ncy Property and tha payment by tha Aqenc•� r� Freodman of th� Cash Consideration in th� sum or SS,000,000. =�r tho purpos�s of this Aqra�m4nt, openinq ot Escrow shall mean �~e data on which E�crow Holdar shall have rsc�ivad axacuted counterparts ot this Aqreament from th0 Aqency and Freedman, and Clos• o! Escrow shall b• the date that a qrant d�d for the Fraadman Prop�rty in lavor ot tha Agancy and a qrant deed for =:�e Aq�nc�r Prop�rty in tavor ot Dafco are record�d in th� Riverside County�Record�r's Otlic�. The Close of Escrow shal L.a�cur on �. b�ior• S�pt�mb�r 30, 1993. „ . .. -2- � 1 � � 930913 1a� b48S-6.j�r �S�L�TI�� VO. 237 .� �- - y . �• t�-1 •! �" • �. �� - (a) On the Close of Escrow, Freedman covenants and aqrees to cause to be delivered to the Aqency a duly execuced and acknowledqed grant deed conveyinq to the Aqency all of Freedman's interest in the Freedman Property subject only to �::e Freedman Property Permitted Title Exceptions approved by the Aqency, as provided below. Eb) Ort the Closinq Date, the Aqency covenants and aqrees to cause to ba delivered to Dafco a duly executed and acknowledqed grant deed cortveyinq to.;Dafco all of the Aqency�s interest in the Aqency Property subject only to the Agency Property Permitted Tit2e Exceptions approved by Dafco, as provided below. (c)�� At �he Close of Esczow, the Aqency shall recei�ve a CLT� O�r's 3tandard Coveraqe Policy of Title Insurance:iss�aed.by Stewart Title Company ("Title Company��) insuring in the Aqency fee simple title to the Freedman Proper�•: free and clear o! all liens and encumbrances other than the Freedman Property Permitted Title Exceptions, and Dafco shall receive a_CLTA Owner's Standard Coveraqe Policy of Title Insuranca isaued by Title Company insurinq in Dafco fee simple title to tha Aqency Proparty free and clear of all liens and encumbrances other than tRe Aqency Property Permitted Title Exceptions. _ - �• _ * - + - (a) Th� l�qency has recaived from the Title Company two preliminary title reports for a CLTA Standard Coveraqa Owner's Polie�r of Title Insurance for the Freedman Property, as lollows: (i) One preliminary title report is dated September 2,- 1993 and is identiiied as Order No. 110070-i1 ar.d covers real prop�rty owned solely by Daico. The Aqency hereDy disapproves tha excaptions noted in paraqraph� 6, 7, 9, 10, ��, 15, 21, 27 and 28 on Schsduls B thereto. Tha exceptions described tn paraqraphs A, B, C, D, E, F, 1, 2, 3, 4, 5, 8, ::, 12, 13, 26, 17,='I8, 19, 20, 22, 23, 24, 25 and 26 on Schedule 3 thereto aYa h�riby approved by the Agency. -•-� -(ii) One preliminary titlQ report is date� Auqust 27•r• •19�9�3 and is identified as Ord�r No. 110059-11, and covars ortly rral prop�rty owned by Ulman and Datco, as tenants :-. common. Th� Aq�ncy h�r�by disapprov�s the exceptions noted :n paraqraphs S and 9 Schedule B thareto. The exceptions descr=�e� �� � 930913 j�� b�S-b.j�r _..- in paraqraphs A, H, C, D, E, F, 1, 2, 3, 4, 5, 6, and 7 on Schedule B thereto are hereby approved by the Agency. (iii) The title exceptions approved by t::e 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 "Aqency Property Preliminary Title Report") for a CLTA Standard Coverage Owner's Policy of Title Insuranca for the Aqency Property dated Auqust 13, 1993, Order No. 110019-11. Fraedman hareby disapproves the exception noted in paraqraph 18 on Schedule B thereto. The exceptions described in paraqraphs A throuqh and includinq F and paragraphs 1 through and including 17 on Schedi�Ie B thereto are hereby approved by Freadman (the "Aqency Property Permitted Tit�e 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 efforts to cause such Disapproved Freedman.Property Exception to be discharqed, satistied, released, or terminated, as the case may be, ot rscord, and in a form that is reasonably satisfactory to tho AqQncy and Title Company. Freedman authoriZes Escrow Holder to disbursa from tha cash portion of the Purchase Price - and proceads otharwisa disbursabla to Freedman upon closing a su:� sulficient to discharqo any Disapproved Freadman Property Exception that may bo discharqed only by the payment of money. Such payment shall b� d�ducted tirst from Dafco and the balance shall be deducted from Ulman, subject to the riqht of Dafco an� Ulman to direct Escrow Holder to make a difterent allocation between them. Ii Freedman is unable to obtain a discharge, satisfaction, releaae, or termination within the period speci�:e�. above, then th4 Aqency shall have the right to: (A) waive the Disapproved Freedman Prop4rty Excoption and proceed with Closs of Escrow, acceptinq titl• to ths Freedman Property subject to the Disapproved Frsedman Property Exception, or (H) terminate this Aqreement, in wh��:z event both the Aqency and Freedman shall be relieved of a:: furth�r obliqation and liability to each other under this Aqro�,�nt and all th� iunds and documents deposited with Escrow Hold�r ahall b� promptly r�iund�d or returned, as �:�:e cass may b�, by Escrow Holder to the depositing party. (d) As to any exception to title (each, a "Di�approved Agoncy Prop�rty Exception") disapproved by Freedman -4- -, 930913 ja� b9aS-b.ja� RESOLL"I'��N ti0. 287 0 for the Aqency property, the Aqency shall use its best efforts �� cause such Disapproved Agency Property Exception to be discharqed, satisfied, released, or terminated, as the case way 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 termination within the period specified above, then Freedman shall have the right to: (A) waive the Disapproved Exception and proceed with the Close of Escrow, acceptinq title to the Aqency Property subject to the Disapproved Agency Property Exception, or (B) terminate this Agreement, in whic:� event both the Agency and Freedman shall be relieved of ail further obliqation and liability to each other under this Aqreement and all the funds and documents deposited with Escrow Holder shall be promptly refunded or returned, as �::e case may be, by Escrow Holder to the depositing party. �-.. . �. ��-f - � - . (a) Freedman hereby covenants and agrees deliver to Escrow Holder prior to the Clos� of Escrow the tollowinq instrumants and documants, tha delivery of each which shall be a condition oi tha Close of Escrow: to � (i) A Grant Deed duly exscuted and acknowi- edqed by Fresdman qrantinq and convQyinq to the Aqency good and marketable titla to tho Freedman Property. Said Grant Deed shai� be in a form sati�tactory to tha Aqency and its counsel, and shall contain the notation described in Section 1, above; (ii) Freedman's affidavit as contemplated �•: California Revenua and Taxation Code §§18805 and 26131 ("withholdinq Altidavit"�; (iii) -A Certification of Non-Foreign Status in accordance with I.R.C. Section 1445; and (iv) Such proof ot Freadman's authority and authorization to entar into this transaction as the Title Compar.�: may reasonably rnquir• in order to issus tha Aqency's policy c: title insuranc�. (b) Th• Aqoncy covenants and aqr��s to deliver c� Escrow Hold�r prior to th• Close ot Escrow !or disbursement as hereinaft�r provid�d, th� followinq instrum�nts and documents, the delivery o!•-each�•o! which shall bo a condition of the Close ot Escrov: . ,....,...,, . .,. -5- � 930913 j�r 1�65-b.jar � (i) A Grant Deed duly executed and acknowl- edqed by the Aqency, qrantinq and conveying to Dafco good and marketable title to the Aqency Property. Said Grant Deed shall be in a form satisfactory to Freedman and its counsel; (ii) Such proof of the Aqency's authority and authorization to enter into this transaction as the Title Company may reasonably require in order to issue Dafco's policy of tit�e insurance. 6, Agthgri�xtiOR to ReCord Do�u,�}gnts and Disburse Funds• Escrow Holder is hereby authorized to record t�e documents and disburse the funds and documents called for here- under upon the Closa �f Escrow, provided each of the following conditions has than been fulfilled: (a� The Title Company can issue in favor of the Aqency a CLTA Owner's Standard Coveraqe Policy of Title Insurance, with liability equal to tha sum of S10,950,000.00 showinq the Freedman Property vested in the Aqency subject only to the Freedman Proparty Permitted Title Exceptions. In the event Fraedman has not removed all monetary liens or monetary encumbrances, or i! a monatary claim is asserted by any third party, in addition to all other remedies the Aqency may have at � law or equity, tha Aqsncy may elact to consummate this transaction and ottset dollar ior 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 Coveraqs Owner's Policy of Title Insurance, wi�� liability equal to ths sum o! $5,950,000, showinq the Aqency Property vested in Dalco subject only to the Aqency Property Permitted Title Excaptions. (cj Escrow Hvlder shall have received the Aqency's notica ot approval or satisfaction or waiver of all c� the continqoncies to tha Aqancy's obliqations hereunder, as provided ior in S�ction 13; (d) Escrow Holder shall have received Freedman's notice ot approval or satisfaction or waiver of all of the con- tinqencias to Fraadman's obliqations hareunder, as provided for in Saction 14s and (e) Fre�dman shall hav deposited in Escrow the documants r�quir�d pursuant to Section 5, and the Aqancy shall -6- ', -, 930913 j�r b98S•6.jar �soL�Tz�rr vo. �a; have d�posited in Escrcw the Caah conaidaration as provided in S�ction 2. Unl�ss otherwise inatructod in writinq, Escrow Holder is author- ized to record at the Clos� o! Escrow any inetrumsnt d�livered throuqh this �acrow it n�c�ssary or proper for isavance of policies of title in�urance. Due to th• difterent percentage ownerships of th� various paresls comprisinq the Fra�dman Property, th• partioa have aqr��d that the Escrow xold�r shall di�burs• $1,257,489.60 ot the nat procaoda o! th• Caah Consideration to Ulman, and S3,742,513.40 oP the net proc��ds oR tha Cash Considaration to Dafco, (less, in both case�, dny amounts n�c�ssary to pay ott any men�tary liena encumbaring the Froedman Prop�rty), and Escrow Hold�r is so instructed. �- •_- +• �� (a) Th� Aqency and Fr�adman shall each pay one- half (1/z) of th� •scrow faes and Escrow Aolder�e custamary out-of-pocket axp�ns�s for messenqer s�rvic�s, �ong dietance talaphon�, eta. Tha Aq�ncy shall p�y for tha cost of th• CL:A Standard Cov�raq• Owner'• policy o! Titl� Insurance on the Agency �rop�rty, and !or rocording the Grant �ead tKarato, th• Preliminary Titl• R�port thereon. Frs�dman shall pa�-for the cost of a CLTA Standard Cov�raqe Owtier'e Policy o! Tftla Insuranc• on the Fri�dman Prop�rty, and tor r�cordinq th• Grant Deed tharato, th• Preliminary Titls R�port thereon. Dafco aha�l pay any docuia�ntary trsn�l�r tax�s on the tranel�r o! tha Aqancy Property to Dalco. TII• �q�acy is �z�pt lros Lh� pay��nt o! dooua�atarp tranat�r tas�s on tb• tsaa�l�r o! th� rr��dman Prop�rtt to th� �q�aay purauant to A�vanu� ana Tazatioa Coa� 8�ctiou il9Z�, aad a aotatioa to that •!l�ot �hall b• s�� lOrth on th• Orant D��4 0! ts� �=���aa psop�rtp to th� a►q�nay. If :.he escrow shall lail to clore throuqh no lault o! either party, Qach party shall pay ons-hal! (1/2} o! ariy Escro�r canc�llation charqs�. (b) Ot e�crow eharq�s and coe�ts allocable to Fr�edma�n, Datco shall pay 88.516� o! auch charqes and costs and Ulman shall pay 11.484� o! such cherqes costs, �xc�pt to the extent epscitically providsd her�in to th� contrary. (c) Raal •stata and p�rao�al proparty tax�s and any other qovsrnn�ntal charges, ae�s��n�nta or impositians against th� l�r�oaman Prop�rty or tha Aq�noy Prop�rty ahall r.ot �e proxat�d at th� Clo�� o! Eacrow. Instead, Esvro�r Hold4r is instructsd to vithhold th� su�e of 510,000 lrom th• Cash Considaration �til i�suanc• o! th� 1993-1994 tax bill, at wh:�h time tnx�� shall ba proratad throuqh th• date ot ths Close ot 9309t3 l�r b9�-6. jw -7- � �� � Escrow nnd E:row Hold�r ahall disburse the rtecesaary amount =o tha county tax collsctvr. It auch $10,000 Bum withheld pursua�t to thi� par�graph ie insufricient to pay th• tax�� that accrued throuqh th• Closa ot Escrow, th�n Fraadman shall promptly provide to the Agency tunds in the amount ot the deticisncy. •� .�. .� . � .. � Fre�dman h�r�by aqraes to clean up and ramov� all ma�- mad� debrig and trash dump�d on the Freedman Property as described in the Phase One Environmontal Asssssm�nt dated Auqust, 1993, pr�par�d by Maini�ro, Smith and A�sociates, Inc., within 3� dayd atter the Close ot Escrow; however, Froedman shall not be rQquirsd to r�mov� any natural orqanic debrie su�h as shrubbQry, vines, trees, weeds, and similar organie r�mr�anta of the faraing operation arisinq trom the previcus use of the Fra�dman Property. 9. fomittedl • �•. �.�t - �• (a) Freedman heraby aqr��s to indamnify the Agency aqainst, and to hold th� Ag�ncy harml�as and, at the option of th• ag�ncy, d�fand the Aqency with cour�a�l approv�d by the Aqency, from all linbilitiss, losses, damaqes, costs and expenses, includinq without limitation l�qal lasa and disburse- m�nts, incurr�d by th• Aqaney by reason oE dny claims or litiqation ralatinq to the Freedman Prvporty and arisinq rrom acts, occurrences or mstt�rs that took plaaa pricr to the C1osG ot Eserow. (b) Ths Agency hereby agrees to ind�mnity Darco against, and to hold Dalco harml�ss and, at the option or Dalco, d���nd Dalco with counaol approv�d by Dalco, lrom all li�biliti��, loss��, danaq�s, costs and expenses, including without limitation leqal fees and disburs�m�nt�, incurred by Dafco by r�ason ot any olaims or litigation rolatinq to ths Agnhcy Property and srisinq tYom acts, oacurrences or mattara that toak place prior to tha elas� o� Escrow. (c) Each party aqrees to qiv� to th• other written notice ot ary third party claim that may give rise to a claim =or indomnitioation hereundar within thirty (�0) deys after laarninq o! �uoh third party claimt pzovidad, how�ver, that the Pailure to qiva tim�ly notic• as har�inabov� provided shall not dePea�t ar�y claia !or ind�anitication hareundar except to th� ext�nt th�t th�.�arty to whom auch nvtica was owing is pr�judiced by the laak o� iuch �im�ly notic�. � �, . ua < ._..�.. . 930413 ju b9`S-i.J�� -8- � , ��,r �� �.S�L:;^'Z,"7 VC. 287 _� -- _*. ;-. -� .� . --. .� Freedman hereby represents and warrants to the Aqency the followinq, it being expressly understood and aqreed that all such representations and warranties are to be true and correct as of the Close of Escrow, all of which shall survive the close of Escrow: . - . . . -. � - (i) To the best of Freedman's knowledge, t:�e 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.partial�y buried storaqe tanks located on the Freedman P�oparty. , (3.ii) Fre�dman haa received no notice, warninq, r�o�iCe o! violation, administrativ� complaint, judicial complaint, or other iormal or intormal notica alleqinq that conditions qn the Freadman Property are or hava been in violation of any Environmental Law, or iniorminq Freedman�that the Freedman PropQrty is subjact to investiqation or inquiry reqarding Hazardous Substances on the Freadman Property or the potential violation ot any Environmental Law. (iv) Thare is no monitorinq proqram required by the Environmantal Protection Aqency ("EPA") or any similar state agency concerninq the Freedman Property. (v) To the best of Freedman's knowledqe, -:� toxic or hazardous chsmicals, waste, or substances of any kind have evar been spilled, disposed of, or stored on, under, or at tha'Freedman Proparty, whether by accident, buryinq, drainage, =_ storage in containars, tanks, cr holdinq areas, or by any other means. (vi) To the best of Rreedman's knowledge, �~e Freedman Prop�rty has n�ver been used as a dump or landfill. (vii) Freedman has disclosed to the Aqancy all iniormation, racords, and studias maintained by Fra�dman in conn�ction with tho Frs�dman P3rop�rty concerning Hazardous Substancas. . ��- (b) To tha best ot Freadman's�knowledqe, no condition on the Fr4�dman Property violates any health, safety, -9- ,� 950413 j�r t�6S•b.js� C fire, environmental, sewage, buildinq, or other federal, state, or local law, code, ordinance, or requlation. (c) To the best of Freedman's knowledge, Freed�an is the sole owner of the Freedman Property, free and clear of all liens, claims, encumbrances, easements, encroachments on the Freedman Property from adjacent properties, encroachments by improvements or veqetation on the Freedman Property onto adjaceat property, or rights of way of any nature, other than those thac may appear on the Preliminary Title Report. Freedman shall not further encumber tha Freedman Property or allow the Freedman Property to be further encumbered prior to the Close of Escrcw. (d) Any information that Freedman has delivered to the Aqency, either directly or throuqh Freedman's aqents, is accurate and Freedman has disclosed all material facts with respect to the Freedman Property. (e) To the best of Freedman's knowledqe, there is no pendinq litiqation or threatened litiqation, which does or will adversely affect the Freedman Property, other than litigation involvinq 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 actiona or procsedinqs pendinq or threatened aqainst - Freedman, betore ar�y court or administrative aqency in any way connected with or relatinq to the Freedman Property, or affecc:::q Freedmam's ability to fultill all of its obliqations under this Aqreement. • (gy Thdre are no written or oral commitments c� or agreements with any qovernmental authority or agency mater�- ally and adversoly af�ectinq the Freedman Property, or any par- thereof or any interest therein, which will survive the conveyance thereot. Freedman has entered into no understandi::� or aqreement with any taxinq or assessinq authority respectinq the inposition or d�t�rmsnt of any taxes or assessments respectinq the Fre�dman Property. (h) Neither this Aqreement nor anythinq provi�e� to ba dona heraund�r including the transter of title to the Freadman Prop�rty to th� Aqency, violatas or shall violate articles o!-incorporation or any contract, aqreement or instrument to which Fraedman is a party, or which aftects the Frsadman Prop�rty or any part ther�ot, and th� sal� of the Fr��dman Prop�rty h�r�in contemplated does not require the consent ot any party not a siqnatory hareto. Ths execution, deliv�ry and portormanco ot this Aqreem�nt has been duly and valid�y authoriz�d, and no other action by Fraedman is requisi�e -10- , ,, 930913 jar b90S-6.j�� — �ES�'Li.;TIO".1 VO. ��' to the valid and binding execution, delivery, and performance c� this Agreement by Freedman. (i} Freedman is not in default of its obliqaticns under any contract, agreement or instrument to which Freedman �s a party which would adversely affect the value of 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 Freedr�an Property or any part of the Freedman Property that could result in a material and adverse change in the condition of the Freedman Property. (k) There are no mechanics', materialmen's or similar claims or liens presently claimed or which will be claimed aqainst the Fresdman 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, lossas, charqes and fees, includinq without limitation attorneys' fees, arising from or relating to any such lien or any similar lien claimed against the Freedman Property and arisinq from work performed or commenced prior to the Close ot Escrow except when such work was undertakert by or at the Aqency's request. (1) There will be no contracts, licenses, commitments, or undertakinqs respecting maintenance of the Freedman Property or equipment on the Freedman Property, or the perfonaance ot sarvic4s on the Freedman Fropezty, or the use of the Freedman Property or any part of it by which the Agency wou�3 become obligated or liable to any person. (m) Thara are no written or oral leases or con- tra�tual riqht or option to lease, purchase, or otherwise enjoy possession, riqhts or intetest of any nature in and to the Freedman Property or aay part-•thereof, and no persons have any riqht of poasesaion to the Freedman Property or any part thereof. Freedman shall deliv�r possession of the Freedman Property to t�e Aqency on th• Clos• ot Escrow free of all tenants and shall indemnity and hold th• Aqancy harmless from tha claims of any tenants claiminq a riqht to possession arisinq before the Close ot Escrcw. 950913 jar b9SS-6.lar ��� � `�l � � Freedman shall notify the Aqency of any facts that would cause any of the representations contained in this Agreement to be untrue as of the Close af Escrow. If the Aqency reasonably concludes that a fact materially and adversely affects the Freedman Property, the Aqency shall have the option to terminate this Aqreement by deliverinq written notice to Freedman and Escrow Holder. If the Aqency terminates this Agreement pursuant to this Section, Escrow Holder shall, within 3 days followinq receipt of the Agency's notice to terminate, cancel the escrow. Freedman aqrees to indemnify the Agency and agrees t� defend and hold the Agency harmless from all Toss, cost, liability, expense, damaqe, or other injury, includinq without limitation, attorney fees and expenses, to the fullest extent nct prohibited by applicabl� law, and ail other costs and expenses incurred by reason of, or in any manner resulting from the breac� of any warranties and�representations in this Section 11. -e -- _�. -. ---� .� . �- �.- The Aqency hereby represents and warrants to Freedman tha t011owinq, it beinq expressly understood and agreed that all such representations and warranties are to be true and correct as oi the Closo or Escrow, all of which shall survive the Close ot Escrow: ' � (a) Kazardous Substances. (i) To the best ot the Aqency's knowledge, the Aqency Proparty is lree from Hazardous Substances (as defi�ed in Exhibit C) and is not and has never baen in violation of any Environmental Laws (as deiined in Exhibit C). (ii) To the best of the Aqency's knowledge, there are no buriad or partially buried storaqe tanks located cn the Aqency Property. (iii) The Agency has received no notice, warning, notice o! violation, administrative complaint, judic�a� complaint, or oth�r tormal or intormal notice alleqinq that conditions on th• Aqency Property are or hava been in violation of any Environmantal Law, or informinq the Aqency that the Agenc•; Property is subj�ct to investiqation or inquiry reqarding Nazardous Substancas on tha Aqency Property or the potential violation o! any Environmental Law. (iv� There is no monitorinq proqram required by the EPA or any similar state aqancy concarninq the Aqency Property.. ��� � 930913 j�r b9i-6.j�r �ESvL�TI�N NO. 2d7 0 (v) To the best of the Agency's knowledge, no toxic or hazardous chemicals, waste, or substances of any ��r.� have ever been spilled, disposed of, or stored on, under, or a� the Agency Property, whether by accident, burying, drainaqe, �r storaqe in containers, tanks, on c�lding areas, or by any other means. (vi) To the best of the Agency's knowledqe, the Aqency Property has never been used as a dump or land�ill. (vii) The Agency has disclosed to Freedman all information, records, and studies maintained by ��e Aqency in connection with the Aqency concerninq Hazardous Substances. (b) To the best of the Aqency's knowledqe, no condition on the Aqency Property violates any health, safety, fire, environmental, sowage, buildinq, or other federal, state, or local law, cod�, ordinance, or requlation. (c) To the best of the Agency's knowledqe, the Aqency is th� sole cwner of the Agency Property, free and clear of all liens, claims, encumbrances, easements, covenants, encroachments on the Agancy Property from adjacent properties, encroachmants by improvements or veqetation on the Aqency Property onto adjacont proporty, or riqhts o! way of any nature, other than thosa that may appear on tho Praliminary Title Reper=. The Aqency shall not lurther encumber the Aqancy Property or allow tba Aqency Proparty to be further encumbered prior to t:-:e Close ot Escrow. (d) Any iniormation that the Aqency has deli•:e:e� to Freedman, eithor diractly or through Freedman's agents, is accurate and Freodman has disclosed all material facts with respect to ths Aqoncy PropQrty. (e) Th�re is no pendinq litiqation or, to the best ot the Aqency's knowledqe, threatened litigation, which :�es or will advorsoly �lftqct tha Agency Property, other than litigation involvinq claima that are covered by insurance and °__ which Frsedman will hava no liability. (!) To th4 best o! tha Aqoncy's knowledge, t!-:e:e are no actions or.__proce�dings pendinq or threatened aqainst t�.e Agency, b�tort any court or administrativa aqency in any way connect�d with or r�la�tinq to tha Agsncy Propsrty, or affect�::� th• �►g�ncy's �ility to lulfill al� ot its obliqations under -:-. _� Aqreement. • � -13- �Q913 j�� b93S-6.ja� ,� (q) There are no written or oral commitments �� or agreements with any qovernmental authority or aqency mater�- ally and adversely affectinq the Agency Property, or any part thereof, or any interest therein which will survive the Close �f Escrow. The Aqency has entered into no understanding or agreement with any taxing or assessinq authority respectinq t�e imposition or deferment of any taxes or assessments respectir,g the Aqency Prope�ty. (h} Neither this Agreement nor anythinq provi�ed to be done hereunder includinq the transfer of title to the Aqency Property to Freedman violates or shall violate any contract, �qreement or instrument to which the Agency is a par��.�, or which affects the Aqency Property or any part thereof, and ��e sale of the Aqency Property herein contemplated does not reqt:ire the consent of any party not a signatory hereto other than the County oi Riverside (as described below). The execution, delivery and performance of this Aqreement has been duly and validly authorized, and no other action by the Aqency is requisite to the valid and binding execution, delivery, and performance of this Aqreement by the Aqency. (i) The Aqency is not in default of its obligations under any contract, agreement or instrument to which tha Aqency is a party which would adversaly affect the value cf the Aqency Prop�rty or tha Aqency's ability to perfona its obliqations hereund�r. (j) To the best of the Aqency's knowledge, the:e are no natural or artiticial conditions upon the Agency Proper=•: or any part of the Agancy Praperty that could result in a material and advarse chanqe in the condition of the Agency Property. (k) There are no mechanics', materialmen's or similar claims or liens presently claimed or which will be claimed aqainst tho Aq�ncy Proparty for work performed or commenced prior to the date o�f this Agreement. The Agency ag:ees to hold Freedman harmlass from all costs, expenses, liabilit�es, losses, charqes and ieos, includinq without limitation attor:,e•.•s� fees, arisinq trom or relatinq to any such lien or any similar lien claim�d aqainst the Aqency Property and arisinq from worK perform�d or comm�nc4d prior to the Close of Escrow except whe^ undertak�n at Fre�dman's request. � (1) Th�re will b• no contracts, licenses, commitmenta, or und�rtakinqs respectinq maintenance cf the Aqerc�: Proparty or equipm�nt on the Aqency Pro�rty�. or tha performar,ce ot services on ths Aqancy Proper�y, or ths use of the Aqency -14- 0 930913 j�r D9aS•6.jar R:.SCL:;': I�N VC . 287 � Property or any part of it by which Freedman would become obliqated or liable to any person. (m) 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 Aqency Property or any part thereof, and no persons have any right of possession tv the Aqency Property or any part the�eof. The Aqency shall deliver possession of the Aqency P,roperty 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 Aqency shall notify Freedman of any facts that would causa any ot the represontation8 cantainad in this Aqreement on the part ot the Agoncy to bs untrue as of the close of Escrow. Ii Fraedmar► reasonably cor�cludes�prior ta the Close of Escrow that a lact materially.and advorsaly affects the Agency Property, then Freedman shall hava the option to terminate this Aqreement by deliverinq written notice to the Agency and Escro�r Holder. The Agency aqrees to indemniiy Freedman and agrees to defend and hold Freedman harmless from all loss, cost, liability, expense, damaqe, or o�hQr injury, includinq without limitation attorneys' tees and expenses, to the fullest extent not prohibited by applicable law, and all other costs and expenses incurred by reason of, or in any manner resulting from the breacr. of any warranties and rspresentations in this Section 12. � = = � - • � t • _ � - For th• banafit ot tho Aqency, the Aqency's obliqat:.�n to consummate tha purchasa,of Frsedman Property shall be continqent upon and aubject to wzitt4n notica to Escrow Holder �•r the Aqency o! tht occurtencQ o! all ot ths following (or the Aqency's writtan waiv�r thereoi, it boing agraed that the Aqency can waiva any ar all such contingencies) on or before the Close oE Escrow: (a) That as of thQ Close of Escrow the represen- tations and warrantiea ot Freedman contained in this Agreemen� are all tru� and corract. (b� Freedman's delivery oi all documents pursuar.� to section 5(a) h�r�ol. (c) Tha Aqency's approval, prior to the Close of Escrow, ot all inspectiona, tests, surveys, and other studies :� -15- 930913 jar b9aS-6.jar � � be conducted by the Aqency, includinq any environmental site assessments. The Aqency's approval of any such inspections of the Freedman Property shall not alter or diminish Freedman�s representations or warranties under this Aqreement, and Freed�an acknowledqes and aqrees that the Agency is nonetheless relying on 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 of Title Insurance with liability equal to $10,950,000.00 insuring the Aqency's fea interest in the Freedman Property subject only to the Freedman Property Permitted Title Exceptions. � • - -.��. � .� t•-� - For the benefit of Freedman, the Close of Escrow and Dafco's obligation to consummate the acquisition of the Aqency Property shall ba continqent upvn and subject to written notice to Escrow Holder by Freadman or Dafco, as the case may be, of �::e occurrence ot all of tha followinq (or Freedman's written waiver therevi, it beinq agreed that Freedman can waive any or all such continqencies) on or betore the Close of Escrow: (a) That as of the Close of Escrow the represen- � tations and warranties of the Agency contained in this Aqreemer.t are all true and corrsct. (b) Agency's delivery of all documents pursuar.� to Section 5(b) hereot. (c) Datco's approval, prior to the Close of Escrow, of all inspections, tests, surveys, and other studies �., be conducted by Dalco, includinq any environmental site asse$sments. Datco's approval ot any such inspections of the Aqoncy Property shall not a1tQr or diminish the Agency's representations or warranties under this Aqreement, and the Aqency acknowlsdq�s and agrees that Dafco is nonetheless rely:�q on the Aqancy's rapres�ntations and warranties made herein, unless such repras�ntation or warranty is specifically waived :.. whole or in part by Datco in writinq. -16- , , �� � 930913 j�r b98S-6.jar RES^vL�TI�N �G. 287 (d) The Title Company's commitment to issue in favor o! Datco of a CLTA Standard Coveraqe Owner's Policy of Title Insurance with liability equal to the S5,950,000.00 show�:.� Dafco's fe� interest in the Agency Property subject only to t�e Aqency Property Permitted Title Exceptions. 15. Default. In the event of a breach or default under this Agreement by either Freedman or the Aqency, the non-defaulting party shall have tho riqht to terminate this Aqreement and the escrow for'the exahanqe of the properties by deliverinq written notice thereot to tho dotaultinq party and to Escrow Halder, and it the Aqency is the non-defaultinq party, the Aqency shall thereupon promptly receiva a refund of all prior deposits, if any, and acCrued intarest. Such termination of the escrow by a non-delaulting party shall be without prejudice to the non- defaultinq �arty's riqhts and remedies aqainst the defaulting party at law or equity. 16. gotices. All notices a certified mail, postaqe by personal delivary. earlier ot (a} p�rsonal followinq �eposit� in t certitied or reqistara notices shs21. bo s��t addressed as �rovidsd that if any party qivae notice address, notic4s to such party demanded in that notica: be qiven in writinq by eturn receipt requested, e considered qiven upon two (2� business days mail, pvstage prepaid, t requested. A copy of Noti�es shall be spectiva party; provided in writinq of a chanqe of name shall thereafter be given as The AqQncy: Palm Desert Redevelopmant Aqency 73-510 Fred Warinq Driva Palm Desert, Calitornia 92260 Attn: Carlos Orteqa Copy to: Richards, watson & Gershon 333 So. Hopa St., 38th F1. Loa Anqeles, California 90071 Attn.: Jetirey A. Rabin Freedman: David Freedman & Company�..Inc. Post Oifice Box 501 , Th�s�aal, Calitorrtia 922'�4' _ _ Attn.: Lionel Steinberq, Pre�E -17- 930415 i+r b483-6.js� �� t:: e a_:. �� . . , ^ - �. f nd demands shall prepaid, and r Notices shall b delivery or (b} h• United States d, raturn receip to Escrow Holder. b�low for thQ re ESCROW hOLDER: Escrow Connection 1111 East Tahquitz-McCallum Way Palm Springs, California 92262 Attn.: Kathy Kleindienst, Escrow Officer (619) 327-8566 17. Broker's Commissions. Aqency represents and warrants to Freedman that the Aqency has used no broker, aqent, finder or other person �z connection with the transactions contemplated hereby to whom a brokeraqe or other commission or fee may be payable, other than West World Properties. Freedman represents and warrants to the 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 and aqrees 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. •�- Each party aqrees to execute Escrow Holder's such other � reasonable standard inatructions as may ba necessary or proper :n ordar to consummata tha transaction contemplated by this Aqreemant; provided, however, in the event oi a conflict between the terms hereot and the terms of such standard instructions, =^e terms hereof shall control. 19. Amendments. Any amendments to this Aqreement only. when duly executad by Freedman and the with Escrow Hold�r. . • � - -��. - shall be effective Aqency and deposited (a) Counteruarts. This Aqreement may be executed simultaneously or in counterparts, each of which shall be deemed an oriqinal, but all o! which together shall constitute one and the same Aqraemont. (b) ADDlicable Law. This Aqreement shall be con- stru�d and iAt�rpr�t�d und�r, and qov�rned and entorced accordir.q to th� laws o! th• Stato of California. 930413 j�r b9aS-b.j�� -28- ^ � � �ESCi,�.:T=JN �i�:. 2.87 (c) Entire Acreeme�r, This Agreement supersedes any prior aqreement, oral or written, and toqether with the Exhibits, it any, hereto and any agreements delivered pursuant hereto, contains the entire aqreement between the Agency and Freedman on the subject matter hereof. No subsequent aqreement, representation or promise made by either party hereto, or by or to any employee, otficer, agent or representative of either party, shall be of any etfect unless it is in writing and executed by the party to be bound thereby. No person is authorized to makQ, and by execution hereof the Aqency and Freedman acknowledge that no person has made, any representation, warranty, quaranty or promise except as sat forth herein; and no aqreemant, statem�nt, rspresontation or promise made by any such person which is not contained herein shall be valid or binding on the Aqency or Freedman. (d) Further pocuments. Each party will, wherever and as often as it shall b� requested by the other party, execute, acknowledqe and deliver, or cause to be executed, acknowledqed and deliver�d, such further instruments and docu- ments, includinq escrow instzuctions, 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, acknowledqa and deliver any and all documents as may be requested in order to carry out the intent and purposa of this Aqreement. (s) Successors and Assians. This Aqreement sha1� ba bindinq upon and inuro to th4 beneiit of the heirs, executors, administrators, successors and assiqns of the parties hereto. (t) Survival. The provisions hereof shall not terminate but rath�r shall survive any conveyance hereunder ar.d the delivery of all consideration. (q) Exhibits. All exhibits attached hereto, :� any, and/or r4ierred to in this Aqreement are incorporated here:.n as thouqh sat torth in full. (h} R�medies Not Exclusive and Waivers. No remedy cont�rr�d by any ot th� spacitic provisions of this Aqreement i� int�ndsd to b• exclusivs of any other remedy and each and ev�ry r�m�dy shall be cumulative and sha�l i�e in addition to avary othsr remedy qiven hareundar or now or here- after existinq at latr or in equity or by statuta or otherwise. The election o! any ons or more remedies shall not constitute a waiver ot tha riqht to pursue other availabl• r�mediea. (i� Joint and Several Liabilitv. 'fhe obligat:�r:s ot Datco, Stainb�rq and Ulman shall be joint and several. -19- i� 930913 js� b9bS-6.j�� � � 0 � -y. - .� -�� �:- �. • (i) Construction. This Aqreement, includir.g all exhibits attached hereto and by this reference incorporated herein, shall be construed as a whole and in accordance with �ts fair meaninq. The parties aqree that each pazty and its counsel have reviewed and revised this Agreement and that any rule of construction to the etrect that ambiquities are to be resolveci aqainst the draltinq party shall not apply in the interpretation of this Aqreement or any amendments or exhibits thereto. (�i) Irtter�retation. In this Agreement the neuter qender includes the feminine and masculine, and singular number includes tha plural, and the words "person" and "party" include corporatiar, partnership, firm, trust, or association whenever the context�so requires. (iii) Recitals and Cagtions. The recitals and captions of tha 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 meaning of the pro- visions of this Aqreement. (k) Attornevs' Fees. It either party hereto incurs attorneys' fees in order to enforce, defend or interpret . any of the terms, provisions or conditions of this Aqreement cr because of a br4ach o! this Aqreement by the other party, the prevailinq party, whetha= by suit, neqotiation, arbitration or settlement shall be entitled to recover reasonable attorneys' fees from tha other party. (1) AD�licable Law. This Aqreement shall be construed and interpreted under, and qoverned and enforced accordinq to th• laws ot the State of California. ' (m) Relocation Assistance. Freedman hereby waives and reloasas th• Aqancy�from any riqht which it may have to relocation assistanc• undar the Uniform Relocation Assistance and Real Prop�rty Acquisition Policies Act ot 1970 (42 U.S.c. 4601, et s�q.� or und�r Title 1, Division 7, Chapter 1 of the Government Codo o! th� State of Calitornia (Section 7260, et seq.). Freedsan h�reby acknowledqes that the Agency has advised Freedman o!-th� possibls availability ot such riqhts to Freedman and tho waiv�= oi.such riqhts by Freedman herein s�t forth is free and vo�untarY. Freedman hereby releases the Agency from a:: claims tor s�v�ranc• damaqes, loss of qood will, just compen- sation, prs-ccndamnaticn damaqes, and intereat, costs, litiqat:on expansss and mttorn�ys' tees arisinq trom the matters described in thia Section. . . -20- . � 930915 j�r b9aS-6.j�� :�SCL��TIJ^i NC. �S i IN WZTNESS WHEREOF, the parties have caused this Agree:*,er.� to be executed as of the date first above written. MORTON 8. ULMAN ANDREE ULMAN LIONEL STEINBERG DAVZD FREEDMAN & CO., INC. By: Lionel Steinberg, Pres. "Freedman" PALM DESERT REDEVEI�PMENT AGENCY, a public body, corporate and politic ey �► tV �,�.� �� �/-'v ./ , Chair:�an A"�tes� • � � �/ L� . , �.� /_/� t�� / - , j , Secretary �i "Aqency" -ai- n -� ,� 930913 iar b48s•6.ja� � i � � EXHIBIT "A" LEGAL DESCRIPTIONS OF FREEDMAN PROPERTY DAFCO/III.M]►N P1IRCEL (PROPOSED COOK STREET AND GERALD FORD DRIVE PA.RCEL 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, being portions of the southwest and northwest one-quarters of Section 34, the northeast one-quarter of Section 33, Township � South, Range 6 East, S.H.B. & M., and all of Parcel "C" descr�bed in a document recorded January 30, 1991 as Znstrument No. 0344a3 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 Frank Sinatra Drive, 88.00 feet wide, per a docwaent recorded Juna 4, 1992 as Instrument No. 51897 of Ofiicial Racords; thence alonq said westerly line of Parcel "C" . North O1' 12' 29" East 2619.53 feet to the northerly terminus tharaof; thence continuinq alonq the norther:y prolonqation thereof North O1' 12' 29" East 566.16 feet; thenca South 88' 47' 31" East 884.86 feet to t`:e beqinninq o! a tangent curve concave southwesterly and havinq a radius ot 1000.00 feet; thence along said curve southeasterly 597.79 feet through a central angle of 34' 15' 04" to a tanqent intersection with a line parallal with and 550.00 feet southwesterly of the southerly line ot the Southern Pacific Railroad Right- of-Way; thencs tangent from said curve and along said parallel lina South 54' 32' 27�� East 1842.00 feet to tho beqinninq of a tangent curve concave southwester:f and havinq a radius of 1000.00 feet; thence along said curve southeasterly 948.32 feet through a central anq:e ot 54' 20' 05" to a tangent intersection with the east line of tha southwest one-quarter of Section 34, Township 4 South, Ranqe 6 East, S.B.B. & M.; thence a-lonq said east line of section 34 South o0' 12� 22„ � East 1092.00 feat to said northerly riqht-of-way line �o! Frank 3inatra Drive; thence alonq said northerly riqht-�oi-way line South 89' S0' 37" Wast 2652.74 feet and South 89' 49' S9" West 782.37 feet to the POINT ^F ' ,"SEGINN.YNG�. Containinq 206.837 Acres, more or less. ,,� /� �. � 930910 P6�►02-00001 sa� 0760e6s 0 � h�.g .ir'r � r.- a'd IN WITNESS WHEREOF, the parties have caused this Agreement to be executed as of the date first above written. �� !- t -, : � � : �-d �"•. � �S!�vy1a.,^-� �- � �"�' L1 Y.l ,i� r►..n v►�- r���/ �" MfJRTON B. ULMAN d� � f� G�-�,d�p-e,� ��� "� �� � ��;� ANDREE UI�+lAN � �1 ��j, �r . � ' ' � DAVID FREEDMAN & CO., INC. By. • Lion e , res. � � �,�� ' � � . "Freedman" PALM DESERT REDEVELOPMENT AGENCY, a public body, corporate and politic By , Chairman Attest: , Secretary "Agency" / -21- 930913 jar b985-6.jar :�scL,.Tro�r �o. �a� SUBJECT TO all Covenants, Riqhts, Rights-of-way and Easements of Record. 930910 06402-00001 sas OT60b68 0 2 + EXHIBIT "A" LEGAL DESCRIPTION OF FREEDMAN PROPERTY COOK STREET EXTENSION Those certain parcels of land situated in the City of Palm Desert, County of Riverside, State of California, being a portion of the northeast one-quarter of Section 33, Township 4 South, Ranqe 6 East, S.B.H. & M. described as follows: parcel 1 A strip of land of variable width, the reference line is described as follows: BEGINNING at the northerly terminus of that certain coursa in the east line of Parcel "B" of Lot Line Adjustment No. P.M.W. 90-16 recorded January 3Q, 1991 as Instrumant No. 034443 of Ofticial Records af�said Riverside County shown as North 01'.12' 29" East 2663.54 teat", said northerly terminus beinq hareinafter referred to as Point "A"; thence continuing alonq th� northarly prolonqation of said east line of Parcel "8" North O1' 12' 29" East 566.16 feet to a point hareinaiter refQrred to as Point "B"; thence continuinq North 01' 12' 29" East 236.00 feet to a point hareinattar reterred to as Point "C"; thence continuinq North 01' 12' 29" East 523.10 feet to the beqinninq ot a tanqent curve concave southeasterly ar.a havinq a radius ot 1400.00 ieet; thence along said curve northaasterly 4.98 feet throuqh a central ang�e ot 00' 12' 14" to a point in the north line of the south ona-halt of said northeast one-quarter of Section 33 Township 4 South, Ranga 6 East, S.B.B. &�!., said point b4inq hereinafter referred to as Point '����. Said strip ot land shall be 67.00 feet wide, lying 67.00 fast westerly of said reference line between Points "�i" and "H"; 142.00 fest wide, lyinq 75.0o Fee� w�st�rly and 67.00 feet eastarly of said reference :::-.e b�tw��n Points "H" and "C"; 134.00 feat wide, lyinq 67.00 t��t w�starly and eastarly of said reference :::-.e b�tw��n Points "C" and "D". Said strip o! land shall be lenqthened or shortened s� as to terminats south�rly in th� south line of said northaast on�-quarter of Saction 33 and northerly �n said north line of the south one-half of the northeas_ ono-quart�r o! Section 33. Containinq 3.266 Acres, more or less. ^ . 93ovto v�-0000� sas O��a o - 3- �S :L�TI�"1 'JO. 23 i � 0 A strip of land, 134.00 feet wide, the centerline cf which is dascribed as follows: BEGINNZNG at Point "0" hereinbefore described, said point beinq on a non-tanqent curve concave southeasterly and having a radius of 1400.0o feet, a radial bearinq of said curve from said point bears South 88' 35' 17" East; thence alonq said curve northeasterly 621.30 feet throuqh a central anqle of 25' 25' 36"; thence tanqent from said curve North 26' 50' 19" East 21.11 feet to a point on the southerls line of the Southern Pacific Railroad Right-of-way. Said strip of land shall be lengthened or shortened so as to terminate southerly in the north line of the south one-half of the northeast one-quarter of Section 33 and northerly in the southerly line of t::e Southern Paciiic Railroad Riqht-of-Way. Containinq 1.976 Acres, more or less. Parcel 3 C�i4SENCING at Point "B", h�reinbetore described in Parcal 1; thanca South SS' 4?' 31" East 67.00 feet �� a point in ths Qast line of said Parcel 1, said point beinq the TRUE POINT OF BEGINNING; thence continuing South 88' 4?' 31" East 169.00 feat; thence North O1' 12' 29" East 75.00 fe�t; thence North 88' 47� 3:�� Wast 135.00 teet; thence North 43' 47' 31" West 48.�: feet to said Qast line of said Parcel 1; thence alc�� said east lin• of Parcel 1 South O1' 12' 29" West 109.00 lsat to the TRUE POINT OF BEGINNING. Containinq 0.304 Acres, more or less. Par� COIrIIrlENCING at Point "B" harQinb�iore described in Parc�l 1; thence North 88' 47' 31" West 67.00 feet ::. 3 point in ths west line or said Paresl 1, said point b�inq th� Tl2UL POINT OF BEGINNING; th�nce along said w��t lin� o! Parcel 1 South 01• 12' 29" west 1o9.Qo te�t; th�11C• North 43' 47' 31" W�st 48.08 feet; ther,ce North 88' 47' 31" Wast 135.00 l��t; thence North 01• 12' Z9" Ea�t 13?.00 i��t; th�nc• South 88' 47' ::" East 122.00 t�st; th�nc• North 46' 12' 29" East 55.:5 l��t to aaid v�at line oi Parc41 1; th�nce alonq sa�d w�st lin� o! Parcel 1 South 01• 12' 29" west loi.00 ^ 930910 P6i02-00001 sas 0�60td�! 0 —� � � feet and South 88' 47' 31" East 8.00 feet to the TRL'E POINT OF BEGINNING. Containinq 0.551 Acres, more or less. 0 COI�IIKENCING at Point "C" hereinbefare descri�bed in Parcel 1; thence South 88' 47' 31" East fi7.00 feet �� a point in the easterly line of said Parcel 1, said point beinq tha TRUE POINT OF BEGINNING; thence alonq said east line throuqh the followinq courses: North O1' 12! 29" East 523.10 fset to the beqinning of a tangeat curve concave southeasterly and havinq a radius of 1333.00 feet; thence alonq said curve northeasterly 6.51 feet_�hro�gh a central anqle of 00' 16' 47" to a point in tha north line of the south one-half of the northaas� one-quarter of Section 33, Township 4 Sout:�, Ranga 6 East S.B.B. & M.; thence alonq said north line North 89' 53' 56" East 53.80 feet to a point on a non- tanqent curva concave southeasterly and having a radius o! 1520.00 feat, a radial line of said curve from said point bears South 82' 42' 48" East; thence along said curve southarly 7.78 feet throuqh a central anqle of 00• 17' 36"; thence tanqent from said curve South - 06' S9' 36" Wost 525.78 ia4t to tha TRUE POINT OF HEGZNNING. Containinq 0.327 Acres, more or less. Parcel 6 COI�ENCING at Point "C" hereinbafore described in Paresl 1; thence North 88' 47� 31" West 75.00 feet �� a point in tha w�sterly, line of said Parcel 1, said poin-. beinq th• TRUE POIN'I� OF BEGINNZNG; thence along said w�starly lin� throuqh the followinq courses: South 88' 47' 31" East 8.00 feet; thence North 01' 12' 29" Ea�t 523.10 leat to the beqinninq of a tangent curve concave south�asterly and havinq a radius of 1467.00 fs�t; th�nc• alonq said curve northeasterly 3.45 feec throuqh a c�ntral anqle oi 00• 08' 05" to a point in th� north lin� oi the south ons-half of the northeasc on�-quart�r ot Section 33, Township 4 South, Ranqe 5 East 8.8.8. i M.s th�nc� alonq aaid north line South 89' S3' S6" W�st 53.21 fa�t to a point on a non-tanqent curv� concav� southeaaterly and havinq a radius of 1360.00 la�t, a radial lino of said curve from said point b4ars South 86' 23' OS" East; thence alonq sa�d cury southerly 2.24 fest throuqh a central anqle o: � 00• 05' 40"; thance tanq�nt trom said curve south � _ r� 930910 06�.02-00001 �ss 0760l6� 0 — 5— �S��LCiTI��1 ti0. 287 o3' 42' 32" East 525.04 feet to the TRUE POINT OF BEGINNING. Containinq 0.370 Acres, more or less. Parcel 7 COI�IENCING at Point "D" hereinbefore described in Parcel 1, said point being in the north line of the south one-halt of the northeast one-quarter of Section 33, To�rnship 4 South, Ranqe 6 East, S.H.B. & M.; thence alonq said north line North 89' 53' 56" East 67.02 fest to a point in the easter�y line o! Parcel 2 hareinbQfore described, said point also bsing on a non-tangent curve concave southeasterl� and havinq a radius ot 1333.00 teet, a radial line of said curve irom said point bears South 88• 30' 44" East, said point beinq the TRUE POINT OF HEGINNING; thence alonq said easterly line of Parcel 2 northsaatsrly 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 the Southern Pacitic Railroad Riqht-of-Way; thence alonq said�southerly line South 54• 32' 2�" East go.:i teet to a point on a non-tanqent curve concave southeasterly and havinq a radius of 1520.0o feet, a radial lin• ot� aaid curve from said point bears South 61' S0' 14" East; thenc� alonq said curve southwesterl•. 553.82 ls�t throuqh a central anqle of 20' Sz' 34�� t� said north line oi the south one-half of the northeas� ona-quart�r o� Section 33; thence alonq said north '_:-:e South 89' 53' S6" West 53.80 feet to the TRUE POINT �: BEGINNING. Containinq o.994 Acres, more or less. F��� CO1�II�IENCING at Point "0" hereinbefore described in Parc�l 1, said point beinq on the north line of the south on�-hal! o! ths northeast one-quarter of S�ction 33, Township 4 South, Ranqe 6 East, S.B.B. i M.; th�nce alonq said north lina South 89' S3' S6" W�st 67.03 ta�t to a point in the wester:•t Zin� o! Parcel 2 hereinbefore daacribed, said point alao bsinq on a non-tanqant curve concave southeaster:•; and havinq a radius ot 1467.0o faat, a radial line of said curv� lrom �aid point bsars South 88' 39' 2b" �East, said point boinq the TRUE POINT OF BEGINNING; th�nc• a�ong said wasterly line ot Parc�l 2 north�asterly 652.�0 feet throuqh a central angle of 25' 29' 45a; thance tanqent from said curve North 930910 P6i02•00001 ta� 0�60�6� 0 - 6 - � . � �. y � � 26' 50' 19" East 31.27 feet to the southerly line of the Southern Pacific Railroad Riqht-of-way; thence along said southerly line North 54• 32' 27" west 93.19 teet 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 throuqh 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 =ine North 89' S3' S6" East 53.21 feet to the TRUE POINT OF BEGINNING. Containinq 1.250 Acres, more or less. SUBJECT TO all Covenants, Riqhts, Rights-of-way and Eaaements of Record. � 0 n / 9309iG ib�►02'C0001 sii G%60e6d 0 — � — 2:.S��L:: i'iCN '�10. �'37 EXHIHIT B LEGAL DESCRIPTZON OF AGENCY PROPERTY PARCEL 1: That portion of the Southwest quarter of Section 28, Tvwnship 4 South, Ranqe 6 East, San Bernardino Base and Meridian, in the City of Palm Desert, accordinq to the Official Plat thereof, which lies Southerly of the riqht of way of the Southern Paci:�c Railroad Company; EXCEPT 1/16th ot all coal, oil, gas and other mineral deposits in said lands, as resarved in Patent from thQ State of California to Ruth A. Clarke, recorded october 20, 1926 in Book 9 paqe 178, of Patents, Records of Riverside County, California; ALSO EXCEPT a one-half interast in and to any and all oil and mineral riqhts, as reserved in deed from Ralph E. wyer, et a1, t� John J. Kovacavic3�� and-8averly Ellen Kovacevich, husband and wife, recorded Auqust 2S, 1955. in Book 1785 page 467 of official Records oi Riveraida County; California. PARCEL 2: ---• That portion o! tha Southeast quarter of South, Range 6 East, San Barnardino Bass City o! Palm Oesert, as shown by United which lies Southorly ot tha riqht of way Railroad Company. PARCEL 3: Section 28, Township 4 and Meridian, in the States Government Sur✓ey of the Southern Paci�ic That portion of th4 Northwast Quarter of section 33, Township South, Range 6 East, mora particularly described as follows: Beqinninq at th� Northw�st corner ot th• Northwest quarter of said SQction 33; th�nca along the North line of said Section JJ, North 89'55'S5" East 2,647.98 feet; then South 00'04'07" East 329.01 fe�t; thanc�, alonq a lina parallel to said North line, South 89'S5'SS" W�st 2,647.83 feet to the West line of said Section 33; Th�nce, alonq said west line, North o0•05�40�� wesc 329.01 tast to th� Point of Baginninq. -1- 930913 j�� b+D�S•6.j�r � C EXHIBIT C CERTAIN DEFINITIONS Environm�atal LaMs means all federal, state, local, or � municipal laws, rules, ozders, requlations, statutes, ordinances, codes, decrees, or requirements of any government authority requlatinq, relatinq to, or imposinq liability or standards cf conduct concerninq any Hazardous Substance (as later defined), �r pertaining to occupational health or industrial hygiene (and cn�y to the extent that the occupational health or industrial hygier.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, includinq without limitation, the Comprehensive Environmental Response, Compensation and Liability Act of 1980 (CERCLA) L42 USCS 64 9601 et sea.l; the Resource Conservaticn and Recovery Act of 1976 (RCRA) �42 USCS §§ 6901 et sec.1; the Clean Water Act, also known as the Federal Water Pollution Control Act (FWPCA) f33 USCS �4 1251 et sec.1; tiie Toxic Substances Control Act (TSCA) f15 USCS 66 2601 et seQ.'; the Httzardous Materials Transportation Act (HIKTAj [49 USCS 6§ 1801 et �gq�; the Insecticide, Funqicide, Rodenticide Act y% USCS 5S 136 et sec.l; the Superfund Amendments and ReauthoriZation Act f42 USCS 66 6901 et sec.l; the Clean Air Act L42 USCS §S 7401 et seq.l; ths Safe Drinking Water Act j,42 LTSCS � 6S 300! et sac.l; th� Solid Waste Disposal Act L42 USCS 44 6901 et sea.l; th� Surtace Mininq Control and Reclamation Act L30 �.'s�s g�f 1201 et sea.l; the Em�rqency Planninq and Community Right t� Know Act [42 USCS �S 11001 et sea.l; the Occupational Safety a:;d Health Act j29 USCS 66 655 and 6571; the California Underqrour.� Storage of Hazardous Substances Act LH & S C 6& 25280 et sea.�: the California Hazardous Substances Account Act fH & S C 6§ ����:� et seq.l; th4 California Hazardous Wasta Control Act fH & S�. aa 25100 et seq.l; tha Calitornia Safe Drinkinq Water and Toxic Enforcement Act jH & S C 4§ 24249.5 et sec.l; the Porter-Coloq^e Water Quality Act fWat C 4� 13000 et sec.l toqether with any amendments ot or requlations promulqated under the statutes c;-e•� above and any oth�r ledoral, state, or local law, statute, ordinanca, or r�qulation now in eftect or later enacted that pertains to occupational health or industrial hyqiene, and oni•: to the extsnt that th� occupational health or industrial hygiene laws, ordinances, or raqulations relate to Hazardous Substances on, undor, or about tho Property, or the requlation or protecc:�r o� the environm�nt, includinq ambient air, soil, soil vapor, qroundwat�r, surtac• water, or land us�. Hasudoua 8ubstsna�s includes without limitation: (a) Thosa substancas included within tha detinitions of hazardous substanc�, hazardous waste, hazardous material, tox:� substanco, solid waat�, or pollutant or contaminant in CERCI.�, RCRA, TSCA, i�lTA, or under any other Environmsntal Law; . ,�. RES�L�TION �Q. 287 (b) Those substances listed in the United States Depart�ent of Transportation (DOT) Table j49 CFR 172.1011, or by the Environmental Protection Aqency (EPA), ar any successor agency, as hazardous substances f40 CFR Part 3021; (c) Other substances, materials, and wastes that are or become requlated or classified as hazardous or toxic under federal, state, or local laws or requlations; and (d) A,ny 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 § I321 or listed pursuant tc 33 USCS § 1317, (v) a flammable explosive, or (vi) a radioactivo material. 930913 l�r �•b.ja� -2- �^� � l � � F GENERAL �40vi5�C'v5 - .- �s : T.�s esc•ow na.� no� oe�n camoi�eo .�in �r�or •o re ]�ie eiaieo = - - -' i-, r, .�s : -� . . . � . ess . .. _ exrow as soon aa •.n� cana,i,ona. �uw� aa �o i�ma nava oeen _omo�,ec � � .,.css � - -- �- - .• ... . - . se ^-a,e =e_ .�a �oon rou no� �o coni�nue procesa�np , �:� ca,��ee •�.��n�r aq�ee. io�niiy ana se�erauv io aav on OemanC as wen aa io ��aemn��v aro ^��a ,c� ^a:T. ess _ .:��a � .a��aqes :uaqe�+e��s. aiio.�eye �ees. aaoenses. obi�qa��one ana ��aa�i�i�es oi e�e�v +��o or ^a,,,,e s..�ie�ea c� �c_•�^.�.: _: .. . - a•.s.�g ou� o� Ihi3 Q7CfOW �OV ]�711 ��v� a iusi ��C� On I�e O�ODQrIY J�O Oi0ff3 �CIQ �n in�s escro+, �or s�cn co�^oensa: �^ a•: e_.-... e�e�� ���e escrow �s �ot comp�eieC. �he ou���� hereio ia�nuv ana s��er�u� �q�ee �o oar rour ,,s,:a� an�e� ai�on ee "-••s esc :.. - s. ._ a�� c•c��+siances oe :a�ceuea or resunaao. �or sn�u any co�s�aeni�o� con�evea io escrow :e re�.�r�ea ;o ar.� car:, .,. ;,,,� ;� �r aTe^ameni ne�eio e.ecuiea oy ai� parii�e io eecrow. 7 'o oay o� asm�no. +�n��nar or not ih�a �acrow uos��, i�Y c�ar9a� inCu�rlC DY YOu On pu� :lndil �r.d vo:,r „s,:a� BSC'J+� 'B25 d"= :"3 ; < <eee ana cnupe� �,�u De ea�o u lonow�: �a� Br Buver—ior �ecorainp asea. ����nq �r ac��ow�e�q�ng ana �ecor r- .;,,s : � a-. :. -- -e�is �ecessary o� n�s oari. �entlers aasumpi�on or cnanQ� ol recoras ���. b�nsl�c�ary s siaiemem �ee ane '�r escrow :ee a�c �?:_ .—. ��! e poi�tv. d�msn0e. Cocum�niary Vanet�r iax on OeeO. IilnnQ m, acKnawi�Oqinq �ntl recorCmq any tlocument� neceseuY :�^. ^ o.a a�: . escrow 'ee . 5 use a�� i�tld comOinY 0� y0ur Wual IOrm �nC �naan aaias �na itrma on �netrumenis �� e+ecu;ea .ncomp�eie n e�cn �an,.,, a•� :. .... -se�t C^�S =JmP�Y wiln Our wrilt�R in3�ruCliOn7. 5 _�, aro w��o��zea io aei��u coo�e� oI BII �nS��UCIiO�S ]�tl C:OSi�Q 7litlTerlU �n In�! eSGrow 10 :�'Q ��dl Q5�21! ��^.K2' 3'J 7' 3;°' a-� e�ce�^e�aer s+pent, burenesiiu ai�om�y, FMA Or VA, u00� Ih�u r�du�si. _ T �ou i�R �Ot t0 0� tO�CtMld w�1h 1�� 10110w�n0' 1ti1 Tns p�v�np o� a�y a�ec+oeures npu��eC �y :eee�ai �� S,a�e •_aw sce: c n. -._.-, Fe^,�iai�on Z. w�iC� m�y Of S�OWC �/�d bQl� Qivl� OU�7�0! 0� in�� aecrow i2) 7�e ellstl ol IOn�nq O�d��a�ce! 9 T^e �o��cy o� ��ue inwranu io o� aairv�roa i�roupn ih�s eacrow w�U 0� �sau�tl suDieci io e:ceo��ons a�a c�r��;.c^s ;e :. - - c.mCi�y 3 D����ed �Oim, wniC� lxCED��On7 7�C COnCitiOn! �« �ere0y apprOvetl. NO C��II�I or seCut,iY �nieresi searc❑ s'� 'e '^'a--e^ :- J=� �, ce�eo�ai o•ooa��v. �I sny, oe�rp iransier�aC tnrouqn im� eacrow 8�ii ol Saie �I any roawntl. �s io oe tlei��ereo :.�reco�cec a;V ^e = csz :�<.: .. 9 v.;� Snan n+akt Oarmenl io or lor. ar Oel�ver aocumenls io or �or �nY Oarly O�ly d m your exclus�re iu0ge�*ont sucn ,^ar^'e-� ::r .. -, :e Taae ���noui yow �ncurnnq �ny !�aCditv ana you snau na�e no oo��Qat�on io par �ny COlt3 Or :har�E! 'or !�e acc��ni =� 3-• -a .� e,:eo� ,.;m �untls ne�d �n eecrow ne s eontl�uon io c'ose ol eurow ya� mar rsCwro mai a�i �n�eres�eC d#n�ee aco�o.e � �. � . Te�ts a�o ��s��umanis io os aei��areC nereunoer Au a�sbursements an io Ds maC� DY Your.�nacx ana rou are �o ce��.e� a� c-�e:• s,� .. . �+e��s �o �^e ou�iee emnie0 �nera�o vou mav uee requ�ar ma�� ro ine oarti��� respec�wa �oar�sse� s�ewn nere�� Qeccrca� on �i 3-• -s ..-, :e�,•e�ea i'+rou9h ;hu escraw. d n�csSasry ar prooa� �n tne �ewanc� o� �h� Poucy of une msur�nu cau�0 !w. �s aui�oncea ics.,_-� -. --- QeCOrOlr to m�d r�corGlO �n�trum�nis io tn� parue� eni�uea �nereio. .. �0 ErlCu1Q O� bfh�ll OI Ih� p�rh�f �fr�l0 �Orm �!liQnTfnl! 0� InlQt�il �n any msuranc� pa�cy io o� aes�9^� �o Bare� "2�t�n d"� '�� � 3' : 5 3 ; � aSs�q��*+enif u0on CIOf� Ot �SCtOw IQ filll�r Ihe �9dM Of th� in3uranc� com0�ny, si your oolron. reCuast�nQ I�! �nSWlr t� �:^Ser' "... � ir�n3��r, !O m�k� fuCll Ot��/ iGGlt�On! Or CO�r��tiOn3 lD�Ci��C711y redu�rb, �I any, �ntl to IOrwarO such poi�c:se t0 �ha ;,ari�es e�: �_. ... E■ecut�on antl �orwaroinp ol euth lorm as��p�menta are your onry �a300�3�Od�IN! �� CO�n�CLOn wilh if1Y mSu���C! pO�iG�3 _d ��, ,' S exrow. i i il conn�cunp d�m�nCs u� m�Qfo� �otle�7 e�rv�C upon YOu w�lh issp�tt to Ih�a �aCrOw, I�e par�u� nereto apree inai �ou s^a�� '^ ^�� �^� : �e�use �o comply witl+ �ny fueh C�slm or O�manG �n0 �o w�lnnoitl anC �toD ��� �wtnar D�oe�o0�nq� �n anC oeriormance oi �.me es:��« s: -- ;�s sucn Cis�q��emenl snail cOni�nu�: in io Oo�nq you jn�il n01 D� Or bfCom� iiabl� lor asm�q�e or �nisresi ta con��nue so io �eira�� a�� •�• .<- �. . i aci unid ;al Tn� riqhl3 of ih� a0v�rf� el��manb haw DNn lin�ily �Cluaieai�C m a wurt assuminfl �na n�vmq wnsa�ct�on oi �^e �a�• es �- ., � :re mon�r. PaO��f. snC Proputy InvOW�O n��n Or all�etW h�r�by: anWOr101 all O�Il�i�ne�s enaU har� D1an �GI�St�O Oy muiva� aq�ee—a a-: you snan nav� b��n no�illb Ih�r�ol in wnllnp �ipnW by all ol tn� Oufa+a im���st�C. in in� �itunaur�. You maY III� a�wt In m���plpd�r ipr Oa�araiory �uaq�rt+�nt tor tn� purpos� ol nav�nq ine reeo�cuve nqn�� o� ��e = a.�,^ s � a0jutliut�0, a�0 d�pW11 �rflh 1�� Court all dotum�n�a �n0 Droputy Mltl n�r�ul+0u anC th� u�Ov�ipnW io�miy antl fevenur oq•ee �a :a• a CO3t7. �:O�n71f �ntl i�ifOMDI� �ItO�n�y'7 I��f �nCurrb py YOu. Ih� �mpuRl Ih���01 10 N IItfO �nG i IuUQem�nt Ih�r�Ot i0 0! � e�:e�e�: :. -�` COUfI i� ]UCh �W�. �Y. vou aei n�r�unaN as a O�oosuuY oroy ana u� no� rqDOnsibl� or uabl� m�ny msnn�r wn���v�r lor t�+� ��n�u�ncy. cor�e_�-ees ;-. . ��1! Ot v���Glly 01 �f1y if171fUTMt O�pOf11�0 w��N y0U h�flUROlI. 01 wi111 rypKt t0 �MT M�YfCulian Of Simf. 0� It+� itlQnlilv �u�^c'"r : ' ot �nY P�rson �:�euunq a O�posilinp tn� aam�. You u� n�i�h�r a Oany �o nar boun0 Oy �ay �qn�rn�n� wn�en may 0� C�Oo��ieC u�ae• e. : e�+. by, or �ri�� put of thl� ��CrOw. �3. vou 7MII haw no rNpOn�10111ty ol n011lylnq a�y al ln� Oartl�! lo Ihla �serow o1 any sa4. rs]ala. �oan. �:cn�np�. 0� otnei •.a^sac• -' - . �nq any pro0�rty hrt�n OHerIWO W ol �ny prolU r��tu�0 bY �^Y oaaon. hrm or corporauo� IOroker. �p�nt anC Dan��s to in�e a�c. �� --e� +s :: �nCiuG�d1 �� COnMCt10� Ih���wllb, rparONst o1 ins i�et tnst suen tnnaaet�oMs1 may o� nanai�C Dy y0u �� �hi! �lCrow o� n a,� .: "e� !s' -• prOr�OlC SUCh litt! CO nOt O��vMt yOYf COfn01NnC� wi1R lh�f� InliruCiiOnf. � i. rou �nail nol b� Ilabl� lor �ny pror ot �udp�m�m or lor �nY ac� Can� or om�l�ed Dy you m pooC �a�ih, or ior �ny m�siaKe oi �a: �: n. -.. your Own w�lllul mi�COfWutl. �nd y0U �luq �W� no Cutl�t lo �nyon� ��C�DI t�Of� liQmnq t��7� in3truC1i0ns. 1 S. TheS� inS1�UC�1011/ T�y D� �=�CUIW Ifl COYni�/pitif. �iCh 01 w�tCh !O �tKYNO 7h�ll, Ir10lO�Clrv� Of 1�� tl7t1 Of ii3 lY�C�'�O^ 7-' :e .• 0� tllCmfO i! OnQIMI. �fW 7�10 COYf11�IpU17 IUQ�I�N �h�ll CUnStllut� OM �nC IR� liT� If1lttuminl. All p7rtiy Mf�tO UndNfl�fW �fW �Q�N Ih�! IMl� IMVYCUOnf. duly �Y�C�ItO DY Ihf O��Uff hf��l0. D�cOme 9UlCtrve on�� ..�e� '-•. . o��n a�0o��t�0 wlth aeW atC�D�W bY Ya+. Eferow hoid�r naf �M npn� �o d��lroy tn�f� �nstruetlons sn0 atlm0ani pa0�rf �uer ��.e 5� . ea� e. ��t�. �6. No nolle� or d�matW fh�ll p� ol �ny Nl�tl Uf11�!! If1 wfI11nQ; �O Cllanp� ol Instruetionf fhall b� ol anY �Il�ct unle3! �n wr�1,nG 5:"C' "� p�rt��f ta t��� �ft�Ow. SuC� w�llloy� �N�II b� fublK< <O Ih1 �onpO�nQ COnOillon� �n0 prov�sians inC wiU n01 b� �Il�ctiv� u��ess ;-•e^ : . Eurow O���cer ol �n� Auxlallon N df Olfk� nam�0 0� paQ• �. t7. ��Trusi ONO" sha11 �bo mtan malpapr. "�neumor�ne�" �nau m�an ��in�r ot m� onv�ous. aa wai as i��ns oi anr �yoe �na•e:e.• finpulsr. 1�� Plural wortl a rk� wrs�, "CION ol �fCrow" sha11 m��n th� Oay ��7trum�n�f ar� r�eortlW. M�k� �aen proral�on on :^e :as �_ .. O�y mOnlh. �e. Pra�l� uYu and IwN� on IM bas4 of In� eurrem y�ub ��puref, sauP� ounnq in� pmoa tn�y u� no� avad�b�e rou ue :.,e -• �mmfGiit�ly Of�C�dlnq y�Y'� IIQu�M: Y tY��ifhW YOu OY Ih� titl� COmD�ny. t9. Prar�l� r�nlf MW ChHp� fNIN �+�tl W�OIt buY�r wilh �ny C�p0711! Dib �/� idv�nC� G1 IM bi3�i 01 � S��Ifm�n� IurniS��d Cr S�� e• :• •• r�0��f�nt� IR/1 M wlll COINtt �II r�ntf whkt� I�II Gu� Or�or lo �M c10�� ol �aerow. Mak� n0 �tllufuMnl ap�insl Ouy�r on uneoi�ec i�a ��r�+ .�••+ ot��nvis� Inflfutt�d. 20. Praal� Drtnwumf On IN� MWnne� po11N�1 0� ImD�ov�mM�a, wn�en s�NK MnOs Y�s or whKr b�nNielary mlorms You h� ^ae� a++ ;� ooUewa d prwnWm lo b� ptatl�0; rpwst Inwra's �p�nl lo �r�n�lp ih� po1Ky to DuY�r, �eW It�w mor�q�p�� e4u�p. Tran�ur ��a ��o�. .. OtNN infWN1C� p01k1�1. �I �ppfOvW by OYYN. S�II�t r�pf�llnl! Ih�l th� p01Kl�f M� in IOfG�, n01 t1yp01MC�IW. �nG O��mium! :��C it. WhM prOpNty bNl�q CO�1hy�0 b Mld I� j0�nt t�n�nCy �nY Cish C�iwW IAM�ItOT In lh�t ��CtOw fMll b� IOinl I�nufcy lun6f +r��f1 : •� •.•�s� InflrGetW M w►Nlnq Iroen Mo �OMt tNuney puup. t2. S�ou10 yau D�la� a�Il�r clos� OI ae►ow. r�e�rv� or b�eom� �wu� ol any eonllktlnq O�manOs or ela�ms witn nf0�et �o tn�� �u�o� • nQ�lf OI inY OI tIN pMt W hH�lO. O► Y�Y �1' Oi OrOpuly C�pOfd�C Mr�ln 0� �H�CtfO IMr�. YOu fh�ll R�W 1�� rlphl 10 tl�lconimw �r. .-.� i�rfMr �tf on your parl unlN �ueh eonll�e� b r�solwC lo you� aaUi�ac�bn. �na You sn+a n�w tM �w�nu np�l io eomm�ne� or a���� �� •=. p�otNO�nq� fa IIN d�tMminalqn ol fuefl CO�NkI. BuY�r snd MIb� pmtl� and i�wr�lly aqrN to pay W eofli, Oamaq��. wo��^v^�+ �-; •ap�nNf, meh�Ok�q tNiOM�N �11pMy'� IN�, w11h rpu010 �ny wth proCN0lnqf G OlffMw� suHH�O Or �nCuaW OY Y� �^ Co�nK• c^ � or �ri�InQ oyt OI tIN� „CfOw. 2]. T�� D�rtlh fyw prNd ou1�IN HCrOw. Ilyl 1�� Ir�nf�elbn, In all OMtInMt raOKt�, tOmDli�s wil� tM Unllorm Fir� OrOinanc� :� -• :. ot P�Im $p�w�qf, �n0 �serow No10M H �ol 10 W n�pon�10N IMrNa�. Z�. vurw�m to S�alons t4�t� uW t��t�.S o1 tn� Caulornu �nwrane� Cod�, di�etlw Janwry �. �i�S, �ny u11� Insur�nu eomo�n. .� :r .•� n11� com0�ny w ContralNd �serow Comp�ey N�nObnQ luntls �n � fubl�erow upatlly In ConMCUon vnth Iln� ��erow musi n�v� a�� :++^ -• •� �nC Ordl! r�OrH�Minp W�Ourf�m�nlf 10 0� n��0� by il O�pOfu�O inlo �u �uO�sCro+O�poN�ory �eeoum D�lor� �l C�n maR� �ny o��o., ,�— • Ih�s �fdOw �nA/a� rKWO y0u1 IfM�Ktb�. To wa�0 fubflantl�l tlN�y m IM ONOurffT�nl OI IunOf hOm fuen fubffCrOw �CCOUM �n0 lM ��fWuny O�I�Y �n eiosinq m�� �s: •-. .•�,• (11 ut� Ch�Ckf. f11�t� 4fiN� Of TpNy O�dMs Otfwn On Or �sfuf0 bY OIt1Nt Ol (M�f1G1�1 �MUWUOfN IpC�iM w�IMn th� Sl�t� 01 Ca���o• ^.• . �. . vs�nq �ny Qf�it�. Otf1M Ih�fl fMf� d��ll�. �fW (�) �ny If�nst�r� ol IunOs I�OT IiMRC��I �nsl�lul�onf oullitl� IR� $1�1� OI CalilOrm� w.�� ��:. •' ', . IN�fif�f , , Tn�� No��e� i� p�va+ a you Dy Tn� Eurow Con��euo� �� � court�sy Th� btrow COnn�euon �s not r�sponslbl� tor any •�•���+ • '� ( �osfa. ��p�Ma O� CM�yf �n 0lsburNin�ntf wnith may D� cwfW or oetaf�on�d OY �ny a1�Y n�epf�ta�W by �n� n�w iaw �