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4387
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WASTE MANAGEMENT OF WASHINGTON INC
SETTLEMENT - UTILITY TAXES
ADMIN SVCS
LGL
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Insurance
Type Amount
Amount
Begin Date
End Date
Review Date
$5000.00
09/12/2003
08/31/2003
02/15/2005
Insurance Total
Insurance Review Date
$0.00
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+
Comments
END DATE REPRESENTS EXPIRATION TO SERVE ANNEXED AREAS
VAULT 01/01/2005
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WASTE MANAGEMENT OF WASHINGTON INC
SETTLEMENT - UTILITY TAXES
ADMIN SVCS
LGL
Insurance
Type Amount
Amount
Begin Date
End Date
Review Date
n
$5000.00
09/12/2003
08/31/2003 ..
02/15/2005 n
..
..
$0.00 o-
n
Press Fl for
- - valid insurance
.. type codes
Insurance Total
Insurance Review Date
Comments
END DATE REPRESENTS EXPIRATION TO SERVE ANNEXED AREAS
VAULT 01/01/2005
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SETTLEMENT AGREEMENT
This agreement is entered into this /~;~2 day of
~..~.F~.4J , 2003, by and between the Cit~ Bremerton
("B~%mer66n") and Waste Management of Washington, Inc. "WM").
Recitals
The parties hereby expressly acknowledge that they are
entering into this agreement for good and valuable consideration,
sufficiency of which consideration is hereby acknowledged by the
parties.
Whereas, Bremerton and WM are parties to a certain Contract
for Solid Waste Collection, as amended which expired on December
31, 2001.
Whereas, Bremerton has undertaken an audit of utility taxes
for WM as of December 31, 2001, and asserted that WM has back
utility tax and interest owing in excess of ten thousand dollars
as of December 31, 2001 ("Tax Claims").
Whereas, WM disputes the Tax Claims.
Whereas, WM has asserted various claims against Bremerton
related to Bremerton's annexation of certain geographic areas,
and the resulting effect on WM's WUTC certificate, and their now
expired agreement with Bremerton. These claims are set out in
correspondence dated March 31, 2003, and May 19, 2003 attached
hereto as Exhibit A and incorporated by reference herein ("WM
Claims").
Whereas, subsequent to the expiration of their contract with
Bremerton, WM has retained rights to service within areas of
recently annexed sections within the City limits pursuant to
statute. These areas include the Werner Road (Ordinance No.
4581), Oyster Bay (Ordinance No. 4594), and Sheridan Heights
(Ordinance No. 4638) annexation areas ("Annexation Areas"}.
There exists a potential dispute as to when WM's rights with
respect to these Annexation Areas will expire.
Whereas, both parties recognize that it is in their best
interest to resolve those claims and liabilities that relate to
the above-referenced issues.
Now, Therefore, the parties hereby covenant and agree as
follows:
SETTLEMENT AGREEMENT - 1
(1) Payment: WM agrees to pay Bremerton the sum of Five
Thousand Dollars ($5000.00), payable upon execution of this
agreement.
(2) Mutual Release: This agreement shall constitute a full
and final settlement between Bremerton and W~4 for all claims,
expenses, attorneys fees, causes of action, and suits of any kind
or nature W~4 presently has or may later have on account of, or in
any way arising out of, or related to the WM Claims as referenced
in Exhibit A, or which could have been alleged, whether or not so
alleged, and whether presently known or unknown, which may have
arisen or may later arise out of, or be related to the WM Claims
including, without limitation, all past, present and future
claims related to the Annexation Areas by the City, including,
but not limited to claims for "measurable damages" as set forth
in RCW 35.13.280 and the holding of Dahl-Smyth, Inc. v. City of
Walla Walla,64 P.23d 15 (2003).
WM understands and recognizes that the future value of present
damages for the WM Claims cannot be predicted with certainty. WM
assumes the risk that the damages for the WM Claims may grow in
the future and/or that new damages for the WM Claims that are not
presently known may develop. WM acknowledges that its
information regarding the WM Claims is sufficient to enter into
this agreement.
This agreement shall constitute a full and final settlement
between WM and Bremerton for all claims, expenses, attorneys
fees, causes of action, and suits of any kind or nature Bremerton
presently has or may later have on account of, or in any way
arising out of, or related to the Tax Claims, or which could have
been alleged, whether or not so alleged, and whether presently
known or unknown, which may have arisen or may later arise out
of, or be related to the Tax Claims.
Bremerton assumes the risk that the amounts due for the Tax
Claims may increase in the future and/or that new unpaid taxes
which are not presently known may develop. Bremerton
acknowledges that its information regarding the Tax Claims is
sufficient to enter into this agreement.
(3) Expiration of Right to Annexed Areas: WM right to
service Annexation Areas will expire August 31, 2003.
(4) Execution: Execution of this agreement is not to be
construed as an admission of liability or responsibility on the
part of any party hereto. The parties released expressly deny
liability for such claims. Regardless of the adequacy of the
above consideration, the acceptance of this release shall not
operate as an admission of liability on the part of the persons
released.
SETTLEMENT AGREEMENT - 2
(5) Warranty: The undersigned warrant that no other person
or entity has or has had any interest in the claim or causes of
action referred to in this agreement, and that they have the sole
right and exclusive authority to execute this agreement and
receive any sums specified in it. Each party hereto shall defend
and indemnify the other party hereto should any other person
prevail on a claim to have an interest in the claims and injuries
described in this agreement.
(6) Bindinq Effect: This agreement shall be binding upon and
inure to the benefit of the parties hereto and their respective
heirs, personal representatives, successors or assigns.
(7) Entire Aqreement: This agreement represents the entire
agreement between the parties with respect to the subject matter
hereof. All prior negotiations, agreements, representations,
warranties or other matters of like or any other nature shall be
of no further force or effect and are superseded by this
agreement. Each party acknowledges that it enters into this
agreement in reliance solely on the terms herein, without reliance
on any other promises, representations or warranties.
(8) Severabilit¥: In the event that one or more provisions
of this agreement shall be determined to be invalid by any court
of competent jurisdiction or agency having jurisdiction thereof,
the remainder of the agreement shall remain in full force and
effect and the invalid provisions shall be deemed deleted.
(9) Construction: This agreement shall be construed and
interpreted pursuant to Washington law, and any controversy or
interpretation hereof shall be by state courts of Washington. The
captions throughout this agreement are for convenience and
reference only and shall not be held to expand, modify, amplify or
aid in the interpretation, construction or meaning of this
agreement. This agreement has been jointly drafted by the parties
following negotiations between them. It shall be construed
according to the fair intent of the language as a whole, and not
for or against either party.
(10) Prevailinq Party: In any action or litigation brought
to enforce or construe this agreement, the court shall award
reasonable attorney's fees, expenses and costs to the prevailing
party.
(11) Notice: All notices under this agreement shall be given
by serving, by first class mail, return receipt requested, postage
prepaid, addressed as follows:
City of Bremerton Waste Management of
City Attorney Washington, Inc.
439 4th Street c/o Polly McNeill
Bremerton, WA 98337 Summit Law Group
315 Fifth Ave S
Suite 1000
SE~LEMENT AGREEMENT - 3
Seattle, WA 98104
The undersigned hereby declare that the terms of this
agreement have been completely read and are fully understood and
voluntarily accepted. The undersigned further declare that they
have been given a full and fair opportunity to consider this
agreement, know that this agreement releases potentially unknown
claims and/or claims about which they have limited knowledge, and
that they are relying on the advice of legal counsel with respect
to this agreement.
CITY OF BREMERTON
Dated
By:
Its:
(~~TE GEMENT OF WASHINGTON, INC. Dated~
Its:
City Attomey
SETTLEMENT AGREEMENT - 4