DISPOSITION AND SETTLEMENT OF VIOLETTE LAWSUIT
Parties
A. Sunrise Desert Vistas Property Owners Association, Inc. (“Association”)
B. Grace Violette; Jerry R. Carpenter and Carolyn Carpenter, as Trustees of the Carpenter Trust, dated 4 September 2003; Joy B. Gallimore, as Trustee of the Joy B. Gallimore Revocable Trust; Ronald D. Gregg, Sr.; Judy E. Gregg; Raymond E. Given; Wendy L. Dickerman; Wayne A. Futch, as Trustee of The Wayne A. Futch Family Living Trust, dated 12 May 2008; Michael Christensen; Gina M. Mure; Jason H. Henry; Jamie M. Thompson; Danny L. Bennett; Rebecca A. Bennett; Edward F. Biszantz; Shirley Henry-Biszantz; and, Thomas M. Mack (collectively, “the Violette Plaintiffs”)
The persons and entities listed above may be referred to individually as “Party” or jointly as “Parties.”
Recitals
I. The Association is an Arizona non-profit corporation whose purpose is to uphold the recorded Declaration of Covenants, Conditions and Restrictions Affecting Real Property (“CC&Rs”). All property owners in the Sunrise Desert Vistas subdivision are members of the Association.
II. On August 19, 2009, the Violette Plaintiffs filed a complaint against the Association in the Maricopa County Superior Court, CV2009-053748 (“the Violette Lawsuit”). The complaint included, among other things, claims regarding certain assessments issued by the Association and assessment liens recorded by the Association against some of the property owners (“the Assessments”).
III. The Parties to this Agreement have recently settled related claims involving additional former and current Board members currently being heard in a companion lawsuit, case No. CV2010-002012 (“the Related Settlement”).
IV. The Parties have reached a settlement regarding all claims asserted in the Lawsuit, or that could have been asserted in the Lawsuit, without any Party admitting fault, and desire to set forth herein the terms and conditions under which these claims may be fully settled and resolved.
Covenants
In consideration of mutual covenants and promises set forth herein and for good and valuable consideration, receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows:2 Y:\CRK\Clients\Sunrise Desert Vistas\Sunrise - Viollette Settlement Agreement (Final 2 21 11).doc
1. Disposition of the Violette Lawsuit. The parties to file a stipulation dismissing with prejudice all claims, actions, counterclaim or disputes raised in the Violette Lawsuit and exonerating and releasing to The Davidson Law Firm, P.C., the deposit previously posted by means of Compass Bank Cashier’s Check No. 40518397 on 26 October 2009, in the total amount of $5,473.20; with each party to bear its own attorneys’ fees, costs and expenses. In addition, as a condition precedent to the dismissal, the Association agrees as follows:
a. Not to assess any further or additional $400 Initial Regular Assessment as referenced in Paragraph 4.G of the CC&Rs against any past, present or future Association member and not to collect or attempt to collect the aforementioned $400 Initial Regular Assessment previously assessed but not paid;
b. Not to collect or attempt to collect from any past, present or future Association member a Regular Assessment in an amount greater than $5.00 per acre for calendar year 2009 pursuant to Paragraph 4.G of the CC&Rs;
c. Not to collect or attempt to collect from any past, present or future Association member the $284.34 assessment imposed by the Association against all Association members for calendar year 2009;
d. Not to preclude any Association member from attending an Association meeting, in person or by proxy, voting at such meeting by written ballot or otherwise, or running for elective office due to that Association member’s failure to remit payment to the Association of any assessments issued by the Association.
These obligations shall not preclude the Association from amending its CC&Rs to expressly provide for any such future assessments as agreed to by the Association.
2. Mutual Releases. Except as otherwise provided for in this Agreement, the Parties mutually release and discharge each other and their present and former officers, directors, employees, servants, agents, heirs, representatives, spouses, insurers, attorneys, shareholders, partners, members, successors and assigns from and against any and all known or unknown, claims, demands, actions, liens, causes of action, or suits of whatsoever kind or nature arising from or relating directly or indirectly to: (a) the Violette Lawsuit; or (b) the Assessments.
3. Costs and Fees. Except as otherwise provided for in this Agreement, the Parties shall bear their own costs and attorneys’ fees incurred in defending and prosecuting all claims in the Lawsuit and/or the Violette Lawsuit.
4. Acknowledgment of Authority; Full Agreement. Each Party executing this Agreement warrants that he or she has read the Agreement; has obtained the advice of legal counsel with respect to the terms of the Agreement; and is legally empowered and authorized to execute the Agreement on behalf of the Party for which he or she acts. This Agreement is to be read in conjunction with the related Settlement. Those two Agreements constitute the complete agreement among the Parties. There are no other understandings or agreements between the Parties with respect to the matter set forth herein.
5. Counterparts. This Agreement may be executed in counterparts and may be executed and delivered by facsimile signature.
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Date: ______
SUNRISE DESERT VISTAS PROPERTY
OWNERS ASSOCIATION, INC.