Ordinance No. 7,910970227 -8
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ORDINANCE N0. 7910
® AN ORDINANCE AUTHORIZING AND DIRECTING THE CITY MANAGER TO
EXECUTE AND THE CITY CLERK TO ATTEST TO A RELEASE AND
CONTRACT OF SETTLEMENT WITH SMITH, MURDAUGH, LITTLE &
BONHAM, L.L.P.; AND PROVIDING FOR THE EFFECTIVE DATE THEREOF.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS:
Section 1: That the City Council of the City of Baytown, Texas, hereby authorizes and
directs the City Manager and City Clerk of the City of Baytown to execute and attest to a Release
and Contract of Settlement with Smith, Murdaugh, Little & Bonham, L.L.P. A copy of said
Agreement .is attached hereto, marked Exhibit "A," and made a part hereof for all intents and
purposes.
Section 2: This ordinance shall take effect immediately from and after its passage by the
City Council of the City of Baytown.
INTRODUCED, READ and PASSED by the affirmative vote of the City Council of the City
of Baytown this the 27th day of February, 1997.
PETE C. ALFARO, Mayor
ATTEST:
EILEEN P. HALL, City Clerk
APPROVED AS TO FORM:
czaoe'-D 44�- -
ACIO RAMIREZ, S ), City Attorney
0 c: klh291 Councih0rdinances \SmithMurdaughSettlement.Ord
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SMITH, MURDAUGH, LITTLE &
BONHAM, L.L.P.,
Plaintiff
VS.
THE CITY OF BAYTOWN, TEXAS,
Defendant
CAUSE NO. 671908
§
§
§
IN THE COUNTY CIVIL COURT
AT LAW NO. 1
HARRIS COUNTY, TEXAS
RELEASE AND CONTRACT OF SETTLEMENT
WHEREAS, the Parties to this Release and Contract of Settlement ( "Agreement ") are Smith,
Murdaugh, Little & Bonham, L.L.P., hereinafter referred to as "Plaintiff," and the City of Baytown,
its officers, agents, and employees, and hereinafter referred to as "Defendant," collectively referred
to as the "Parties;" and
WHEREAS, Plaintiff has filed the above - entitled and numbered cause against the Defendant
claiming Plaintiff is entitled to recover from the Defendant approximately $99,223.50 plus interest
for legal services allegedly performed for the Harris County Municipal Utility District No. 3 based
upon the theories of contract and quantum meruit; and
WHEREAS, the Defendant has expressly denied and continues to deny any liability to
Plaintiff whatsoever for any of the charges asserted or otherwise; and
WHEREAS, nevertheless, mindful of the cost and expense associated with litigation, the
Parties have agreed to compromise and settle the claims on the terms set out in this Agreement;
NOW THEREFORE
In consideration of the foregoing recitals, the mutual promises contained below, and the sum
of FIFTY THOUSAND AND N01100 DOLLARS ($50,000.00) paid directly to Attorney for
Plaintiff, the receipt and sufficiency of which is hereby acknowledged, Plaintiff does hereby, for
itself, its officers, employees, successors, assigns, personal representatives, heirs, executors, and
administrators RELEASE, ACQUIT, and FOREVER DISCHARGE, INDEMNIFY, HOLD
HARMLESS, and DEFEND the Defendant, all of its public officials, whether elected or appointed,
agents, employees, attorneys, officers, successors in interest, and all of their respective heirs,
executors, administrators, personal representatives, successors and assigns of and from any and all
debts, damages, claims, causes of action, suits, liabilities, and demands of whatever nature, known
or unknown, past, present, or future, whether contractual, statutory or in tort or otherwise, which
Plaintiff might now have or that might subsequently accrue by reason of any matter or thing
EXHIBIT A
® whatsoever. and particularly growing out of or in anyway connected with, directly or indirectly,
compensation allegedly due for legal services performed, including, but not limited to, (1) any claims
arising out of the agreement between Plaintiff and Harris County Municipal Utility District No. 3,
dated June 25, 1981; (2) any claims concerning work allegedly performed on behalf of the Harris
County Municipal Utility District No. 3 prior to the Defendant's assuming its obligations; (3) any
claims conceming any work allegedly performed on behalf, at the request, or at the insistence of the
Defendant in anyway related to the annexation of the Harris County Municipal Utility District No.
3; (3) any and all breach of any express or implied contractual claims; (4) any and all existing or
future common law, statutes, civil rights, or constitutional claims based upon or in anyway connected
with the annexation of Harris County Municipal Utility District No. 3; (5) any tort claims of any
nature; (6) any and all existing or future rights and claims, whether at law, in equity, in contract or
otherwise, that have been or that could have been asserted, to which reference is expressly made,
regardless of the negligence or culpability of the Defendant. It is the expressed intention of the
Parties hereto that the indemnity provided for in this paragraph is an indemnity by the Plaintiff to
indemnify, protect, and defend the Defendant from the consequences of the Defendant's own
negligence whether that negligence is the sole or a concurring cause of any debts, damages, claims,
causes of action, suits, liabilities, and demands of whatever nature, known or unknown, past, present,
or future, whether contractual, statutory or in tort or otherwise. It is further expressly agreed and
understood by the Parties hereto that this release applies not only to all claims presently asserted
against the Defendant in the above - captioned lawsuit but also to any and all other claims and causes
of action that the Plaintiff has or may have against any of the persons or entities hereby released,
including any claims for injuries or damages of any kind that at this time are unknown and
unanticipated but that may develop in the future arising out of or connected in any manner with
compensation for legal services arising out of the annexation by the Defendant of the Harris County
Municipal Utility District No. 3.
It is expressly understood and agreed that the terms hereof are contractual and not merely
recitals and that the agreements herein contained and the consideration transferred is to compromise
doubtful and disputed claims, avoid litigation, and buy peace, and that no payments made nor
releases or other consideration given shall be construed as an admission of liability, all liability being
expressly denied.
It is further understood and agreed that the Plaintiff will present to the court above designated
a motion for nonsuit and an agreed order of dismissal in the form attached hereto and labeled Exhibit
"A," dismissing such cause in all respects with regard to Plaintiff and with prejudice to the rights of
Plaintiff to refile same or any part thereof, and that all costs of suit are to be taxed against Plaintiff.
The Parties hereby agree to be responsible for their own attorney's fees as well as any and all other
costs and expenses incurred in connection with the above - referenced litigation. The Plaintiff
expressly waives any claim to seek attorney's fees under any federal or state authority.
Plaintiff represents and warrants that Plaintiff has been given an opportunity to consider this
Agreement and to be fully advised by the counsel of Plaintiffs choosing regarding the meaning and
the effect of this Agreement, that Plaintiff relies after consultation with his counsel wholly upon its
® own judgment, belief, and knowledge of the nature and extent of the damages alleged and the
liability questions involved in the claim, and covenants that he has not been influenced to any extent
whatsoever or induced to enter into this Agreement in reliance upon any statement, promise or
representation of the Defendant or any of the other parties hereby released. Plaintiff, by his signature
below, acknowledges that he has read this agreement, and that he fully understands the same, and
that he has executed the Agreement of his own free will and accord. Plaintiff further represents and
warrants that:
(a) Plaintiff has not conveyed, transferred, assigned, pledged or otherwise encumbered
any of his rights in the claims and that all of his interests are being completely
released and discharged by this Agreement;
(b) Plaintiff has the authority to enter into this Agreement and is doing so only after full
understanding of the meaning and intent of this Agreement and all of its terms; and
(c) Plaintiff shall be solely responsible for any and all federal, state and local tax
consequences that result from his receipt of the settlement funds paid in accordance
with this Agreement.
It is further expressly understood that by entering into this Agreement, the Defendant makes
no admission of liability of any sort to Plaintiff, which liability is expressly denied. Instead, this
Agreement represents a full and complete settlement of any and all disputes among the Parties, to
resolve once and for all every disputed claim that Plaintiff has asserted or could assert against the
Defendant or the released parties. This Agreement represents the complete agreement of the Parties,
and the Defendant has not agreed to do or omit to do anything not expressly set forth in this
Agreement.
This Agreement contains the entire agreemerit between the parties and constitutes the
complete, final and exclusive embodiment of their agreement with respect to the subject matter
herein.
If any provision, section, exception, subsection, paragraph, sentence, clause or phrase of this
Agreement shall for any reason be held unconstitutional, void or invalid, such invalidity shall not
affect the validity of the remaining provisions of this Agreement, which shall remain in full force
and effect, and to this end all provisions of this Agreement are declared to be severable.
This Agreement shall become effective and enforceable immediately upon its execution by
the parties hereto.
This Agreement shall in all respects be interpreted and construed in accordance with and
governed by the laws of the State of Texas and the City, regardless of the place of its execution or
performance. The place of making and the place of performance for all purposes shall be Baytown,
Harris County, Texas.
0 Signed on this the day of February, 1997.
.ITI O T
0
El
PLAINTIFF
Signature
Printed Name
Title
Signed on this the day of February, 1997.
APPROVED AS TO FORM AND SUBSTANCE:
C. Charles Dippel
Attorney for Plaintiff
55 Waugh Drive, Suite 603
Houston, TX 77007 -5836
Karen L. Homer
Assistant City Attorney, City of Baytown
Attorney for Defendant
P.O. Box 424
Baytown, TX 77522
! I - 't . &.101 u '
DEFENDANT
Bobby Rountree
City Manager
City of Baytown, Texas
0 STATE OF TEXAS
C
COUNTY OF HARRIS
Before me on this day personally appeared , known
to me to be the person whose name is subscribed to the foregoing instrument and acknowledged to
me that he executed the same for the purposes and consideration therein expressed; that he executed
the same as his free and voluntary act and deed after having it fully explained to him, and after
having read it fully, and after realizing the effect thereof to be a full and final release and discharge
of the City of Baytown, its officers, agents, and employees for any matter or thing dealt with in the
foregoing instrument; and that the same was executed by him without any threat, force, fraud, duress,
or representation of any kind by any person whomsoever.
SUBSCRIBED AND SWORN before me on this day of February, 1997.
Notary Public in and for
the State of Texas
STATE OF TEXAS §
COUNTY OF HARRIS §
Before me on this day personally appeared Bobby Rountree, City Manager of the City of
Baytown, known to me to be the person whose name is subscribed to the foregoing instrument and
acknowledged to me that he executed the same for the purposes and consideration therein expressed.
SUBSCRIBED AND SWORN before me on this day of February, 1997.
cAk-I h28\ 1egaMmith Murdaugh.SettlementAgreemcnt
Release and Contract of Settlement -- Pace 5
Notary Public in and for
the State of Texas