Resolution No. 97101
2
3
4
5
6
7
8
9
10
11
12
13
Im
15
16
17
18
19
20
21
22
23
24
25
26
27
28
RESOLUTION NO. 9710
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
VERNON APPROVING AND AUTHORIZING THE EXECUTION OF A
CONFIDENTIALITY AGREEMENT BY AND BETWEEN THE CITY
OF VERNON AND CAL/AZ PORTFOLIO NO. 1, LLC REGARDING
PROPERTY LOCATED AT 4150-4174 BANDINI BOULEVARD IN
THE CITY OF VERNON
WHEREAS, the City of Vernon (the "City") is exploring the
possible purchase of property located at 4150-4174 Bandini Boulevard in
the City of Vernon (the "Property"); and
WHEREAS, the Property owner, Cal/AZ Portfolio No. 1, LLC
("Cal/AZ"), desires to preserve and protect its rights by entering
into a confidentiality agreement with the City in a manner that
preserves the confidentiality and protected status of the documents,
materials, and information to be exchanged, retained and used; and
WHEREAS, to facilitate discussions relating to the Property,
the City Council desires to approve the execution of a Confidentiality
Agreement with Cal/AZ; and
WHEREAS, the City Council of the City of Vernon has
determined that, pursuant to the provisions of subsection (a) of
Section 2.27 of the Vernon City Code, it is in the public interest and
necessity to enter into the Agreement with Cal/AZ.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF VERNON AS FOLLOWS:
SECTION 1: The City Council of the City of Vernon hereby
finds and determines that the recitals contained hereinabove are true
and correct.
SECTION 2: The City Council of, the City of Vernon hereby
1 approves the Confidentiality Agreement with Cal/AZ, in substantially
2 the same form as the copy which is attached hereto as Exhibit A and
3 incorporated by reference.
4 SECTION 3: The City Council of the City of Vernon hereby
5 authorizes the Mayor to execute the Agreement for, and on behalf of,
6 the City of Vernon and the City Clerk is hereby authorized to attest
7 thereto.
8 SECTION 4: The City Council of the City of Vernon hereby
9 authorizes the City Administrator, or his designee, to make whatever
10 nonsubstantive, administrative and/or text changes, upon advice of
11 counsel, to the Agreement.
12 SECTION 5: The City Council of the City of Vernon hereby
13 authorizes the City Administrator, or his designee, to take any and
14 all actions deemed necessary and to execute any and all documents as
15 shall be required pursuant to the terms of said Agreement.
16 SECTION 6: The City Clerk of the City of Vernon shall
17 certify to the passage of this resolution, and thereupon and
18 thereafter the same shall be in full force and effect.
19 APPROVED AND ADOPTED this 8th day of September, 2008.
20
21 Name Leonis Co Malburg
22
Title: Mayor /
23
24 ATTE T:
25
26 MAN ELA GIRON, C y lerk
27
28
- 2 -
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
STATE OF CALIFORNIA )
) ss
COUNTY OF LOS ANGELES )
I, MANUELA GIRON, City Clerk of the City of Vernon, do hereby
certify that the foregoing Resolution, being Resolution No. 9710, was
duly adopted by the City Council of the City of Vernon at a regular
meeting of the City Council duly held on Monday, September 8, 2008, and
thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of,
Vernon.
(SEAL)
MANUELA GIRbN, City Clerk
- 3 -
CONFIDENTIALITY AGREEMENT
THIS CONFIDENTIALITY AGREEMENT (this "Agreement") is made and entered into this
day of August, 2008, by , a ("Prospective Buyer"), in favor of
CAL/AZ PORTFOLIO NO. 1, LLC, a Delaware limited liability company ("Owner").
RECITALS
A. Owner is the owner of that certain real property located in the City of Vernon,
State of California commonly known as 4150-4174 Bandini Boulevard, Vernon,
California (the "Property").
B. Owner may provide Prospective Buyer with information concerning the Property
for the purpose of determining Prospective Buyer's possible interest in
purchasing the Property.
C. Such information would not be made available to Prospective Buyer without its
execution of this Agreement.
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of
which are hereby acknowledged, Prospective Buyer hereby agrees as follows:
Confidential Information. As used herein, confidential information means all data and documents
Prospective Buyer may, from time to time, directly or indirectly, receive relating to the Owner or
the Property, whether provided orally or in writing, including, but not limited to, environmental
studies and analyses, reports, opinions, studies, projections, analyses, compilations, internal
documents and records, and other similar materials, and including all materials which contain or
otherwise reflect or are generated from such information (in whatever form maintained whether
documentary, computer storage or otherwise) (the "Confidential Information").
2. Agreement to Treat Information Confidentially. The Confidential Information is owned solely by
Owner and is provided to Prospective Buyer solely to aid Prospective Buyer in its analysis of
whether to make an offer to purchase the Property. The Confidential Information will be treated
as confidential and will not be disclosed to any other person or entity, nor used for any purpose
not related to the possible purchase of the Property by the Prospective Buyer, or in any fashion
detrimental to the interest of the Owner or its affiliates. Prospective Buyer is strictly prohibited
from disclosing any of the Confidential Information to any other party without Owner's prior
written authorization, provided that the Confidential Information may be disclosed to employees,
attorneys and consultants of Prospective Buyer (collectively, "Related Parties") only to the
extent such parties are involved in, and need to know such information for the purpose of,
preparing an offer for the purchase of the Property by Prospective Buyer and conducting due
diligence in connection therewith; provided, however, such Related Parties must be informed of
the confidential nature of the Confidential Information, such Related Parties must agree to keep
the Confidential Information and to use the Confidential Information strictly confidential in
accordance with the terms of this Agreement, and Prospective Buyer will be responsible if any of
the Related Parties fails to do so. Without limiting the generality of the above, information
regarding tenants of the Property shall not be disclosed to employees involved in marketing or
leasing other properties in the general geographic area of the Property.
55709341
No Copying of Confidential Information and Return of Confidential Information. No
Confidential Information will be used by Prospective Buyer or any of its Related Parties other
than in connection with the possible acquisition of the Property. Prospective Buyer agrees that it
will not make any copies of any portion of the Confidential Information nor summarize or refer to
any part of the Confidential Information in any public document or, except as expressly permitted
in this Agreement, provide such Confidential Information to any other person or entity without
the Owner's prior written consent, which may be given or withheld in Owner's sole and absolute
discretion. Prospective Buyer will make all necessary and appropriate efforts to safeguard the
Confidential Information from disclosure to anyone other than as permitted hereby. Prospective
Buyer further agrees that, upon request of Owner, it will return to Owner all Confidential
Information provided to it and all copies of such Confidential Information , including all
materials prepared by them or their Related Parties that embody any of the Confidential
Information.
4. Nonexclusive Negotiations. Prospective Buyer acknowledges that Owner may decide to sell
some or all of the Property to another party, or to refrain from selling or offering to sell the
Property, all at Owner's sole and absolute discretion, and Owner may, at any time, withdraw from
negotiations with Prospective Buyer for any reason whatsoever. This Agreement shall not
provide Prospective Buyer any rights of any nature with respect to the Property. Furthermore,
this Agreement shall not constitute a contract to negotiate or any commitment of any kind
whatsoever by Owner.
5. Acknowledgment of Prospective Buyer. Prospective Buyer agrees that neither Owner nor any of
its representatives has made or makes any express or implied representation or warranty as to the
accuracy, completeness or current status of the Confidential Information, and shall have no
liability to Prospective Buyer or its Related Parties or successors and assigns resulting from the
use of the Confidential Information by any of such parties (including as the basis on which to
make an offer to purchase, or to actually purchase, the Property), or any errors therein or
omissions therefrom. Prospective Buyer acknowledges that Owner has not undertaken to review
or verify the accuracy or completeness of the Confidential Information. Any reports and studies
prepared by or for Owner, or otherwise in Owner's possession that Owner may provide to
Prospective Buyer are for information purposes only. Prospective Buyer shall have no right to
rely upon any of such information or upon the conclusions, assumptions or other data set forth in
any reports, studies or other Confidential Information, and shall have no recourse against Owner
or its advisors, attorneys or agents, including the preparers of such reports, in the event of any
errors therein or omissions therefrom.
Disclosure with Protective Orders. If Prospective Buyer is required by subpoenas, or other legal
processes to disclose any Confidential Information, Prospective Buyer will provide Owner with
prompt notice of any such requirement prior to disclosing such Confidential Information and shall
fully cooperate with Owner in connection with the same.
7. Indemnification Remedies for Breach. Prospective Buyer agrees to indemnify, defend and hold
Owner and its partners, officers, members, directors, employees, advisors, agents and
shareholders harmless from and against any and all claims, losses, damages and liabilities, and all
other costs and expenses relating thereto, including, without limitation, reasonable attorneys' fees,
suffered or incurred by Owner in connection with any breach by Prospective Buyer or its Related
Parties of any of the provisions of this Agreement. It is also further understood and agreed that
unauthorized use or disclosure of the Confidential Information could cause irreparable harm and
5570934v1
significant injury to the Owner that may be difficult to ascertain or quantify and that, accordingly,
money damages would not be a sufficient remedy for any breach of this Agreement. Therefore,
Prospective Buyer agrees that the Owner shall be entitled to injunctive relief and/or specific
performance, without the necessity to post a bond or other security, as a remedy for any such
breach. Such remedy shall not be deemed to be the exclusive remedy for the breach of this
Agreement but shall be in addition to all other remedies available at law or equity to the Owner.
No Waiver. It is further understood and agreed that no failure or delay in exercising any right,
power or privilege hereunder shall operate as a waiver thereof, nor shall any single or partial
exercise thereof preclude any other or further exercise thereof or the exercise of any right, power
or privilege hereunder. Any waiver of any of the rights of Owner hereunder must be in a writing
signed by Owner.
9. No Contact. Prospective Buyer shall not communicate with or otherwise disclose, in any manner
whatsoever, to any third party, including, without limitation, any governmental authority or any
previous owner of the Property relating to any matters with respect to the Property.
10. Miscellaneous. This Agreement shall be governed in all respects by the laws of the State of
California. If any party to this Agreement brings any action against another party to this
Agreement for the enforcement or interpretation of this Agreement, the losing party shall pay to
the prevailing party a reasonable sum for attorneys' fees. The "prevailing party", will be
determined by the court before whom the action was brought based upon an assessment of which
party's major arguments or positions taken in the suit or proceeding could fairly be said to have
prevailed over the other party's major arguments or positions on major disputed issues in the
court's decision. This Agreement constitutes the entire agreement and understanding between the
parties hereto with respect to the subject matter hereof and supersedes all prior agreements and
understanding, both written and oral, pertaining to the subject matter hereof. This Agreement
will be interpreted according to the fair meaning of its terms and not strictly for or against any
party hereto. The provisions of this Agreement may only be amended, modified or waived by
written agreement executed by each of the parties hereto.. If any provision of this Agreement is
held to be invalid or unenforceable for any reason, the remaining provisions shall continue in fall
force and effect without being impaired or invalidated in any way, and Owner shall have the right
to replace any invalid or unenforceable provision with a valid enforceable provision. Prospective
Buyer shall not assign this Agreement nor any rights hereunder without the prior written consent
of Owner, which may be given or withheld in the Owner's sole and absolute discretion. Each
party hereto, and their respective successors and assigns shall be authorized to rely upon the
signatures of all of the parties hereto on this Agreement which are delivered by facsimile as
constituting a duly authorized, irrevocable, actual, current delivery of this Agreement with
original ink signatures of each person and entity. This Agreement may be executed in
counterparts, each of which shall be deemed an original part and all of which together shall
constitute a single agreement.
Except as provided above, this Agreement shall be binding upon the parties hereto and
inure to the benefit of Prospective Buyer and Owner and each such party's respective permitted successors
and assigns.
[Signatures on Following Page]
55709341
IN WITNESS WHEREOF, the undersigned has executed this Agreement as of the date written
above.
Prospective Buyer:
a
By:
Name:
Position:
Name:
Position:
5570934v1
OFFICE OF THE CITY ATTORNEY
Jeff A. Harrison, City Attorney
4305 Santa Fe Avenue, Vernon, California 90058
Telephone (323) 583-8811 Fax (323) 826-1438
September 10, 2008
VIA FEDERAL EXPRESS
Mr. John L. Privett
c/o Ms. Janice Diaz
CB Richard Ellis
500 Citadel Drive, Suite 301
Commerce, CA 90040
Re: Confidentialitv Agreement
Dear John:
Enclosed please find two duplicate originals of the aforementioned
Agreement, which need to be signed by the appropriate parties.
Please keep one original copy and mail one original to the City to
the attention of Judy Lehr, City Attorney's Office, as soon as
possible.
Please refer to the enclosed "City of Vernon Signature Requirements
for a Corporation for All City Agreements and Contracts" and comply
with the requirements set forth therein.
Since4arA.rison
ity Attorney
JH:em
Enclosures
CC: Ms. Nelly Giron, City Clerk (w/o encls.) (Resolution No. 9710)
Exclusively Industrial
CONFIDENTIALITY AGREEMENT
THIS CONFIDENTIALITY AGREEMENT (this "Agreement") is made and entered into
this 8th day of September, 2008, by CITY OF VERNON, a municipal corporation,
("Prospective Buyer"), in favor of CAL/AZ PORTFOLIO NO. 1, LLC, a Delaware limited
liability company ("Owner").
RECITALS
A. Owner is the owner of that certain real property located in the City of
Vernon, State of California commonly known as 4150-4174 Bandini
Boulevard, Vernon, California (the "Property").
B. Owner may provide Prospective Buyer with information concerning
the Property for the purpose of determining Prospective Buyer's
possible interest in purchasing the Property.
C. Such information would not be made available to Prospective Buyer
without its execution of this Agreement.
NOW, THEREFORE, for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, Prospective Buyer hereby agrees as follows:
Confidential Information. As used herein, confidential information means all data and
documents Prospective Buyer may, from time to time, directly or indirectly, receive
relating to the Owner or the Property, whether provided orally or in writing, including,
but not limited to, environmental studies and analyses, reports, opinions, studies,
projections, analyses, compilations, internal documents and records, and other similar
materials, and including all materials which contain or otherwise reflect or are
generated from such information (in whatever form maintained whether documentary,
computer storage or otherwise) (the "Confidential Information").
2. Agreement to Treat Information Confidentially. The Confidential Information is
owned solely by Owner and is provided to Prospective Buyer solely to aid
Prospective Buyer in its analysis of whether to make an offer to purchase the
Property. The Confidential Information will be treated as confidential and will not be
disclosed to any other person or entity, nor used for any purpose not related to the
possible purchase of the Property by the Prospective Buyer, or in any fashion
detrimental to the interest ofthe Owner or its affiliates. Prospective Buyer is strictly
prohibited from disclosing any of the Confidential Information to any other party
without Owner's prior written authorization, provided that the Confidential
Information may be disclosed to employees, attorneys and consultants of Prospective
Buyer (collectively, "Related Parties") only to the extent such parties are involved in,
and need to know such information for the purpose of, preparing an offer for the
purchase of the Property by Prospective Buyer and conducting due diligence in
connection therewith; provided, however, such Related Parties must be informed of
the confidential nature of the Confidential Information, such Related Parties must
agree to keep the Confidential Information and to use the Confidential Information
strictly confidential in accordance with the terms of this Agreement, and Prospective
Buyer will be responsible if any of the Related Parties fails to do so. Without limiting
the generality of the above, information regarding tenants of the Property shall not be
disclosed to employees involved in marketing or leasing other properties in the
general geographic area of the Property.
5570934v1
3. No Copying of Confidential Information and Return of Confidential
Information. No Confidential Information will be used by Prospective Buyer or
any of its Related Parties other than in connection with the possible acquisition
of the Property. Prospective Buyer agrees that it will not make any copies of any
portion of the Confidential Information nor summarize or refer to any part of the
Confidential Information in any public document or, except as expressly
permitted in this Agreement, provide such Confidential Information to any other
person or entity without the Owner's prior written consent, which may be given
or withheld in Owner's sole and absolute discretion. Prospective Buyer will
make all necessary and appropriate efforts to safeguard the Confidential
Information from disclosure to anyone other than as permitted hereby.
Prospective Buyer further agrees that, upon request of Owner, it will return to
Owner all Confidential Information provided to it and all copies of such
Confidential Information, including all materials prepared by them or their
Related Parties that embody any of the Confidential Information.
4. Nonexclusive Negotiations. Prospective Buyer acknowledges that Owner may
decide to sell some or all of the Property to another party, or to refrain from
selling or offering to sell the Property, all at Owner's sole and absolute
discretion, and Owner may, at any time, withdraw from negotiations with
Prospective Buyer for any reason whatsoever. This Agreement shall not provide
Prospective Buyer any rights of any nature with respect to the Property.
Furthermore, this Agreement shall not constitute a contract to negotiate or any
commitment of any kind whatsoever by Owner.
5. Acknowledgment of Prospective Buyer. Prospective Buyer agrees that neither
Owner nor any of its representatives has made or makes any express or implied
representation or warranty as to the accuracy, completeness or current status
ofthe Confidential Information, and shall have no liability to Prospective Buyer
or its Related Parties or successors and assigns resulting from the use of the
Confidential Information by any of such parties (including as the basis on which
to make an offer to purchase, or to actually purchase, the Property), or any
errors therein or omissions therefrom. Prospective Buyer acknowledges that
Owner has not undertaken to review or verify the accuracy or completeness of
the Confidential Information. Any reports and studies prepared by or for Owner,
or otherwise in Owner's possession that Owner may provide to Prospective
Buyer are for information purposes only. Prospective Buyer shall have no right
to rely upon any of such information or upon the conclusions, assumptions or
other data set forth in any reports, studies or other Confidential Information, and
shall have no recourse against Owner or its advisors, attorneys or agents,
including the preparers of such reports, in the event of any errors therein or
omissions therefrom.
6. Disclosure with Protective Orders. If Prospective Buyer is required by
subpoenas, or other legal processes to disclose any Confidential Information,
Prospective Buyer will provide Owner with prompt notice of any such
requirement prior to disclosing such Confidential Information and shall fully
cooperate with Owner in connection with the same.
7. Indemnification Remedies for Breach. Prospective Buyer agrees to indemnify,
defend and hold Owner and its partners, officers, members, directors,
2
5570934vl
employees, advisors, agents and shareholders harmless from and against any and
all claims, losses, damages and liabilities, and all other costs and expenses
relating thereto, including, without limitation, reasonable attorneys' fees,
suffered or incurred by Owner in connection with any breach by Prospective
Buyer or its Related Parties of any of the provisions of this Agreement. It is also
further understood and agreed that unauthorized use or disclosure of the
Confidential Information could cause irreparable harm and significant injury to
the Owner that may be difficult to ascertain or quantify and that, accordingly,
money damages would not be a sufficient remedy for any breach of this
Agreement. Therefore, Prospective Buyer agrees that the Owner shall be entitled
to injunctive relief and/or specific performance, without the necessity to post a
bond or other security, as a remedy for any such breach. Such remedy shall not
be deemed to be the exclusive remedy for the breach of this Agreement but shall
be in addition to all other remedies available at law or equity to the Owner.
No Waiver. It is further understood and agreed that no failure or delay in
exercising any right, power or privilege hereunder shall operate as a waiver
thereof, nor shall any single or partial exercise thereof preclude any other or
further exercise thereof or the exercise of any right, power or privilege
hereunder. Any waiver of any of the rights of Owner hereunder must be in a
writing signed by Owner.
9. No Contact. Prospective Buyer shall not communicate with or otherwise
disclose, in any manner whatsoever, to any third party, including, without
limitation, any governmental authority or any previous owner of the Property
relating to any matters with respect to the Property.
10. Miscellaneous. This Agreement shall be governed in all respects by the laws
ofthe State of California. If any party to this Agreement brings any action
against another party to this Agreement for the enforcement or interpretation of
this Agreement, the losing party shall pay to the prevailing party a reasonable
sum for attorneys' fees. The "prevailing party" will be determined by the court
before whom the action was brought based upon an assessment of which party's
major arguments or positions taken in the suit or proceeding could fairly be said
to have prevailed over the other party's major arguments or positions on major
disputed issues in the court's decision. This Agreement constitutes the entire
agreement and understanding between the parties hereto with respect to the
subject matter hereof and supersedes all prior agreements and understanding,
both written and oral, pertaining to the subject matter hereof. This Agreement
will be interpreted according to the fair meaning of its terms and not strictly for
or against any party hereto. The provisions of this Agreement may only be
amended, modified or waived by written agreement executed by each of the
parties hereto. If any provision of this Agreement is held to be invalid or
unenforceable for any reason, the remaining provisions shall continue in fall
force and effect without being impaired or invalidated in any way, and Owner
shall have the right to replace any invalid or unenforceable provision with a
valid enforceable provision. Prospective Buyer shall not assign this Agreement
nor any rights hereunder without the prior written consent of Owner, which may
be given or withheld in the Owner's sole and absolute discretion. Each party
hereto, and their respective successors and assigns shall be authorized to rely
upon the signatures of all of the parties hereto on this Agreement which are
3
5570934v1
delivered by facsimile as constituting a duly authorized, irrevocable, actual,
current delivery of this Agreement with original ink signatures of each person
and entity. This Agreement may be executed in counterparts, each of which
shall be deemed an original part and all of which together shall constitute a
single agreement.
Except as provided above, this Agreement shall be binding upon the parties
hereto and inure to the benefit of Prospective Buyer and Owner and each such party's
respective permitted successors and assigns.
[Signatures on Following Page]
4
5570934vl
IN WITNESS WHEREOF, the undersigned has executed this Agreement as of the
date written above.
Prospective Buyer:
City of Vernon, a Municipal Corporation
By:
Le nis C. Malburg, NNyor
ATT
By:
Manuela Giron, rty c1lerk
APPROVED AS TO FORM
i
Pi� --
If. Vrrson, City Attorney
Owner:
CAL/AZ PORTFOLIO NO. 1, LLC, a Delaware limited
liability company
Name:
Title:
Name:
Title:
5
5570934v1
AGREEMENT NOT
RECEIVED - LEGAL
DOES NOT HAVE A
COPY IN THEIR FILE
Page 1 of 1
Juarez, Debbie
From: Muro, Evangelina
Sent: Monday, November 09, 2009 9:39 AM
To: Juarez, Debbie
Cc: Lehr, Judy
Subject: RE: Resolution No. 9710 CAL/AZ Portfolio No. 1, LLC. - Confidentiality Agreement
Debbie,
I have looked through our file and did not find a fully executed agreement.
From: Juarez, Debbie
Sent: Tuesday, October 13, 2009 2:08 PM
To: Muro, Evangelina; Lehr, Judy
Subject: Resolution No. 9710 CAL/AZ Portfolio No. 1, LLC. - Confidentiality Agreement
Please let me know if you have the fully executed agreement in your file. Thank you
1Worah Juarez
1§cords WanagementAssistant
City of Vernon - City CferCs Office
4305 Santa Te Avenue
Vernon, CA 90058
(323) 583-8811
11 /9/2009