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Resolution No. 2010-074RESOLUTION NO 2010-74 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON APPROVING AND AUTHORIZING THE EXECUTION OF AN OFFICE LEASE AGREEMENT BY AND BETWEEN THE CITY OF VERNON AND THE LAW OFFICES OF ERIC T. FRESCH, LTD FOR A PORTION OF CITY PROPERTY LOCATED AT 2724 LEONIS BOULEVARD IN VERNON, CALIFORNIA WHEREAS, the City of Vernon ("City") owns property in the City of Vernon _located at 2724 Leonis Boulevard (the "Property"); and WHEREAS, the Law Offices of Eric T. Fresch, LTD ("FreschLaw") desires to lease a portion of the Property for office purposes; and WHEREAS, by memo dated June 10, 2010, the City Administrator has recommended approval of an office lease agreement for a portion of the Property located at 2724 Leonis Boulevard (the "Agreement"). 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 approves the Agreement with FreschLaw, a copy of which is attached SECTION 3: The City Council of the City of Vernon hereby authorizes the Mayor or Mayor Pro-Tem to execute said Agreement for, and on behalf of, the City of,Vernon and the City Clerk or Deputy City Clerk is hereby authorized to attest thereto. SECTION 4: The City Council of the City of Vernon hereby authorizes the City Administrator, or his designee, to take whatever actions are deemed necessary or desirable for the purpose of implementing and carrying out the purposes of this Resolution and the transactions herein approved or authorized. SECTION 5: The City Council of the Vernon hereby directs the City Clerk, or the City Clerk's designee, to send a fully executed Agreement to FreschLaw. SECTION 6: The City Clerk of the City,of Vernon shall certify to the passage, approval and adoption of this resolution, and the City Clerk of the City of Vernon shall cause this resolution and the City Clerk's certification to be entered in the File of Resolutions of the Council of this City. APPROVED AND ADOPTED this 14th day of June, 2010. Hila io Gonzales Name: Title: Mayor 2 STATE OF CALIFORNIA ) ss COUNTY OF LOS ANGELES ) I, Willard G. Yamaguchi, City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 2010-74, was duly passed, approved and adopted by the City Council of the City of Vernon at a regular meeting of the City Council duly held on Monday, June 14, 2010, and thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of Vernon. Executed this day of June, 2010, at Vernon, California. W lla d G. a a hi, City Clerk (SEAL) -3_ EXHIBIT A OFFICE LEASE 1. DATE; PARTIES. This Office Lease ("Lease") is dated as of . , 2010 and is entered into by and between the City of Vernon, a California charter city_ and municipal corporation ("City") and the Law Offices of Eric T. Fresch, Ltd. (`Tenant"). 2. PREMISES; PERSONAL PROPERTY, COMMON AREA. A. City hereby leases to Tenant, and Tenant hereby leases from City, the premises ("Premises") described on Exhibit "A' -attached hereto located in the building at 2724 Leonis Boulevard, Vernon, California (the "Building") and the personal property,owned by City and currently located in the Premises and more specifically described in Exhibit `B" (the "Personal Property"). City makes no warranties or representations, express or implied, regarding the condition of the Premises or Personal Property and Tenant has taken possession of the Premises and Personal Property in their current "as is" condition. City has no obligation to replace any Personal Property if it becomes inoperable or unusable and replacement of the Personal Property shall be at Tenant's sole expense. Tenant shall not enter areas of the Building designated by the City for City employees only or occupied by other lessees or occupants. B. Exclusion of Persons. The City may exclude any person from Premises for cause (including, without limitation, a good faith belief by the City or its employees or agents that the person is or may be engaged in illegal activity). 3. TERM; TERMINATION. The term of this Lease ("Term") shall continue from month -to -month, commencing on , 2010 (the "Commencement Date'). Either party may terminate this lease upon thirty (30) days prior written notice to the other, for any reason or no reason, in its sole and absolute discretion. 4. RENT. Tenant shall pay to City as monthly rent, without deduction, setoff, notice or demand, the sum of five hundred dollars ($500.00) per month, in advance, on the first day of each calendar month. 5. USE. Tenant shall use said Premises solely as administrative offices for the conduct of the Tenant's business. Tenant)shall not use or permit the Premises to be used for any other purpose without the prior written consent of City, which may be withheld in the City's sole and absolute discretion. 6. USES PROHIBITED. Tenant must not create or permit excessive noise or play music unless approved by the City, which permission may be withheld in the City's sole and absolute discretion. Tenant shall not store trash or waste at any location outside the Premises except in areas specified by City in writing. Tenant shall not perform any cooking that requires venting or results in fumes; however, this provision is not intended to prohibit the brewing of coffee. Tenant shall not do or permit anything to be done in or about the Premises nor bring or keep anything therein which will in any way increase the existing rate of or affect any fire or other insurance upon the Building or any of its contents, or cause a cancellation of any insurance policy covering the Building or any part thereof or any of its contents. Tenant shall not do or permit anything to be done in or about the Premises which will in any way obstruct or interfere with the rights of other tenants or occupants of the Building or injure or annoy them or use or allow the Premises to be used for any improper, immoral, unlawful or objectionable purpose; nor shall Tenant cause, maintain or permit any nuisance in, on or about the'Premises. Tenant shall not commit or allow to be committed any waste in or upon the Premises. Tenant shall not conduct or permit to be conducted any sale by auction, in, upon or from the Premises whether said auction be voluntary, involuntary, pursuant to any assignment for the payment of creditors or pursuant to any bankruptcy or other insolvency proceeding. Tenant shall not compromise; alter or disturb any City installed security system or security alarm equipment installed in the Building. 7. ALTERATIONS AND IMPROVEMENTS. Tenant must obtain City's written approval with respect to (i) any changes, alterations or additions to the Premises, or (ii) the removal or replacement of any Personal Property. City's approval process will be in addition to any municipal code, regulatory and legal requirements. City, in its sole discretion, may deny any or all such changes, alterations, additions, removal or replacement. All alterations, additions, or changes to be made to the structure or improvements on the Premises shall be under the supervision of a competent architect or competent licensed structural engineer and made in accordance with the plans and specifications with respect thereto, and all work must be done in a good and workmanlike manner and diligently prosecuted to completion and shall become the property of the owner on termination of the lease. 8. MAINTENANCE. City shall, at its sole cost and expense, maintain the Premises (including plumbing, heating, HVAC, electrical systems and the replacement of light bulbs) in good order, condition, and repair. City shall provide janitorial services in accordance with the City's janitorial service contract for the Building, as amended from time to time, and Tenant hereby gives permission for the City's contractor to enter the Premises for purposes of providing janitorial services. Tenant agrees City will not be liable for acts or omissions of the independent janitorial contractors. City shall provide information technology maintenance support for computers and Internet access provided by City. 9. ASSIGNMENT AND SUBLETTING. Tenant shall not either voluntarily, or by operation of law, assign, transfer, mortgage, pledge, hypothecate or encumber this Lease or any interest herein, or any right or privilege appurtenant hereto, or allow any other person (the employees, agents, servants and invitees of Tenant excepted) to occupy or use the Personal Property or the Premises, or any portion thereof, without first obtaining the written consent of City, which consent may be withheld in the City's sole and absolute discretion. A consent to one assignment, subletting, occupation or use by any other person shall not be deemed to be a consent to any subsequent assignment, subletting, occupation or use by another person. Consent to any such assignment or subletting shall in no way relieve Tenant of any liability under this Lease, whether or not the term of the Lease is extended by the assignee or sublessee. Any such assignment or subletting without such consent shall be void, and shall, at the option of the City, constitute a default under this Lease. 10. INDEMNIFICATION. Tenant shall indemnify and hold harmless City, the City Council and each member thereof, and City's officers, employees, agents, and volunteers (each an "Indemnitee", and all collectively referred to as " Indemnitees") against and from any and all claims, losses, damages, liabilities, costs and expenses (including without limitation, interest, attorneys' fees and costs) arising from Tenant's use of the Premises or from the conduct of its business or from any 2 activity, work, or other things done, suffered by the Tenant in or about the Premises, and Tenant shall further indemnify and hold harmless Indemnitees against and from any and all claims, losses, damages, liabilities, costs and expenses (including without limitation, interest, attorneys' fees and costs) arising from any breach or default in the performance of any obligations on Tenant's part to be performed under the terms of this Lease, or arising from any act or negligence of the Tenant, or any officer, agent, employee, guest, contractor or invitee of Tenant. If any action or proceeding is brought against Indemnitees by reason of any such claim, Tenant, upon notice from any Indemnitee, shall defend Indemnitees at Tenant's expense, by counsel reasonably satisfactory to Indemnitees. Tenant, as a material part of the consideration to City, hereby assumes all risk of damage to property or injury to persons in, upon or about the Premises, from any cause other than City's negligence and Tenant hereby waives all claims in respect thereof against City. Tenant shall give prompt notice to City in case of casualty or accidents in the Premises. Neither City nor its agents shall be liable for any loss or damage to persons or property resulting from fire, explosion, falling plaster, steam, gas, electricity, water or any other cause whatsoever, unless caused by or due to the negligence of City, its agents, servants or employees. Neither City nor its agents shall be liable for interference with the light, air, or for any latent defect in the Premises. THE PROVISIONS OF THIS SECTION SHALL NOT TERMINATE OR EXPIRE, SHALL BE GIVEN THE BROADEST POSSIBLE INTERPRETATION, AND SHALL SURVIVE THE EXPIRATION OR EARLIER TERMINATION OF THIS LEASE. The obligations in this Section are in addition to Tenant's duty to provide insurance and shall not be limited by any limitation on the amount or type of insurance coverage carried by Tenant. 11. INSURANCE. A. Liability. Tenant agrees that at all times during the term of this Lease and any renewal or extension thereof, it shall at Tenant's expense maintain in force insurance policies which will insure and indemnify the Tenant, City and the other Indemnitees against liability or financial loss resulting from any suits, claims or actions and from all costs and expenses of litigation, in an amount of not less than Two Million Dollars ($2,000,000.00) combined single limit for any injury to persons and/or damage to property in or about the Premises by reason of the use and occupation by Tenant or by any other person or persons of the Premises together with an endorsement as set forth in the standard City Certificate of Insurance. Such insurance shall include contractual liability coverage with respect to Tenant's obligations under Section 10 above. B. Workers' Compensation Coverage. Tenant shall maintain worker's compensation coverage in an amount adequate to comply with law, and employer's liability coverage with a limit of not less than One Million Dollars ($1,000,000.00). C. Fire/Casualty. Tenant shall, at Tenant's cost and expense, obtain and at all times during the term hereof maintain in effect, insurance covering (1) the improvements to the Premises made by or on behalf of Tenant; (2) Tenant's personal property and business materials, if any; (3) trade fixtures, furnishings, equipment, and inventory of merchandise located in the Premises; (4) all alterations, additions, and changes made in or to the Premises during the term of this Lease; and (5) all plate glass, providing protection to the extent of not less than ninety percent (90%) of the insurable value of all said items against any peril included under insurance industry practices in the jurisdiction of the Premises within the classification "fire and extended coverage," together with insurance against vandalism, malicious mischief, and sprinkler leakage or other sprinkler damage, and including "use and occupancy" and/or "business interruption" coverage. Tenant hereby waives any and all rights of recovery against City for any loss occurring to such items on account of fire or other casualty, and the aforesaid policies of insurance shall contain appropriate provision recognizing this release by Tenant and waiving all right of subrogation by the insurance carrier. The proceeds of such insurance, so long as this Lease remains in effect, shall be used to repair or replace the items so insured in the event of loss on account of fire or other casualty. D. Certificates. Said policies shall be issued by an insurer rated in Best's Insurance Guide with a financial rating of A X or better. Said policies shall provide that the insurance coverage shall not be cancelled or reduced by the insurance carrier without the City having been given forty-five (45) days' prior written notice thereof by such carrier. The Tenant agrees that it will not cancel or reduce said insurance coverage. At all times during the term of this Lease and prior to taking possession of the Premises, Tenant shall provide the Risk Manager of the City a Certificate from the insurance carrier or carriers showing the aforesaid insurance policies are in effect in the amounts above provided, and if requested, a copy of each insurance policy. Notwithstanding any other provision to the contrary contained in this Lease, Tenant shall be in default if such certificate or certificates and insurance policies are not filed with the Risk Manager within seven (7) days of the execution of this Lease. E. Lapsed Insurance. Tenant agrees that if it does not keep the aforesaid insurance in full force and effect, the City may take out the necessary insurance and pay the premium thereon, and the repayment thereof shall be deemed to be a part of the rental of said Premises in addition to the usual monthly rent and payable as such on the next day after the payment by the City for said insurance policy upon which rent becomes due hereunder. 12. . UTILITIES. City shall provide the utilities currently provided to the Premises and pay for such utilities Tenant shall not use any City telephones lines except those specifically provided to it by the City. 13. SIGNS. Tenant shall not, without City's prior written approval, install or affix any lighting or plumbing fixtures, shades, awnings, or decorations (including exterior painting), signs, lettering, placards, or the like on the exterior of Premises; display or sell merchandise on, or otherwise obstruct, any area outside the exterior walls of the Premises; or cause or permit to be used any advertising, loudspeakers, unusually bright or flashing lights, and similar devices which may be seen or heard outside the Premises. 14. COMPLIANCE WITH LAW. Tenant, at its expense, shall comply promptly with all applicable laws, ordinances, regulations, and orders of any governmental authority pertaining to the Premises or Tenant's use or occupancy of the Premises or improvement of the Premises (including laws, ordinances, regulations and orders pertaining to non-structural improvements required by law, the location and maintenance of trade fixtures, equipment, and other personal property; the conduct of Tenant's employees; preparation, storage, and service of food and drink, and the like, but excluding new laws or changes in laws that require improvements to the structural components of the Premises). 15. RIGHT OF ACCESS. The City and City's officers, employees, and agents shall at all reasonable times have the right to enter the Premises for the purpose of inspecting the same, posting notices of non -responsibility or any other notices required by law for the protection of the City, doing any work that City is permitted or required to perform under this Lease, and making any reasonable repairs which the City determines may be required. Tenant shall furnish City with a pass key to the Premises which the City shall use only in case of emergency to prevent or investigate a crime, or in such cases where access is necessary to prevent damage to the Building or to the Premises or to make repairs necessary to ensure continuous operation of the Building. In conducting its activities on the Premises as allowed in this section City shall use good faith efforts to attempt to minimize the inconvenience, annoyance, or disturbance to Tenant. 16. TAXES. Tenant shall pay or cause to be paid, before delinquency, any and all taxes levied and assessed which become payable during the term hereof against its interest in the Premises, upon improvements made by Tenant, or any equipment, furniture, fixtures, and any other personal property located in or on the Premises, or which become a lien against the Premises or Tenant's interest therein. TENANT RECOGNIZES AND UNDERSTANDS THAT THIS LEASE MAY CREATE A POSSESSORY INTEREST SUBJECT TO PROPERTY TAXES LEVIED UPON SUCH INTEREST, AND THAT IN SUCH EVENT TENANT SHALL BE OBLIGATED TO PAY SUCH TAX OR PURSUE AN EXEMPTION. 1 17. RULES AND REGULATIONS. Tenant shall faithfully observe and comply with the, rules and regulations that City shall from time to time promulgate and/or modify. The rules and regulations shall be binding upon the Tenant upon delivery of a copy of them to Tenant. City shall not be responsible to Tenant for the nonperformance of any said rules and regulations by any other lessees or occupants of the Building. 18. TENANT'S DEFAULT. The occurrence of any one or more of the following events shall constitute a default and breach of this Lease by Tenant: (a) the failure by Tenant to make any payment of rent or any other payment required to be made by Tenant hereunder, as and when due, where such failure shall continue for a period of three (3) days after written notice thereof by City to Tenant; (b) the failure by Tenant to observe or perform any of the covenants, conditions or provisions of this Lease to be observed or performed by the Tenant, other than described in subsections (a), (c) or (d), where such failure shall continue for a period of thirty (30) days after written notice thereof by City to Tenant; provided, however, that if the nature of Tenant's default is such that more than thirty (30) days are reasonably required for its cure, then Tenant shall not be deemed to be in default if Tenant commences such cure within said thirty (30) day period and thereafter diligently prosecutes such cure to completion; (c) the making by Tenant of any general assignment or general arrangement for the benefit of creditors; or, unless prohibited by Bankruptcy Law or other paramount law, the filing by or against Tenant of a petition to have Tenant adjudged a bankrupt, or a petition or reorganization or arrangement under any law relating to bankruptcy (unless, in the case of a petition filed against Tenant, the same is dismissed within sixty (60) days); or the appointment of a trustee or a receiver to take possession of substantially all of Tenant's assets located at the Premises or of Tenant's interest in this Lease, where possession is not restored to Tenant within thirty (30) days; or the attachment, execution or other judicial seizure of substantially all of Tenant's assets located at the Premises or of Tenant's interest in this Lease, where such seizure is not discharged within thirty (30) days; or (d) a violation by Tenant of Section 9 (or the occurrence of an event which is described in Section 9 as a default by Tenant). 5 19. REMEDIES UPON TENANT DEFAULT. In the event of any such default or breach by Tenant, City may at any time thereafter, in its sole discretion, with or without notice or demand and without limiting City in the exercise of a right or remedy which City may have by reason of such default or breach terminate Tenant's right to possession of the Premises by written notice to Tenant, in which case this Lease shall terminate and Tenant shall immediately surrender possession of the Premises to City. City may also pursue any other remedy now or hereafter available to City under the laws or judicial decisions of the State of California. 20. DEFAULT BY CITY. City shall not be in default unless City fails to perform obligations required of City within thirty (30) days after written notice by Tenant to City specifying wherein City has failed to perform such obligation; provided, however, that if the nature of City's obligation is such that more than thirty (30) days are required for performance then City shall not be in default if City commences performance within such thirty (30) day period and thereafter diligently prosecutes the same to completion. 21. DAMAGE; RECONSTRUCTION. In the event the Premises are damaged by fire or other perils, City may terminate this Lease by written notice to Tenant. 22. EMINENT DOMAIN. If any portion of the Building or the Premises shall be taken or appropriated by any authority under the power of eminent domain, City may terminate this Lease by written notice to Tenant. 23. PAYMENTS AND NOTICES. All rental payments hereunder shall be paid by Tenant to the Office of the City Treasurer of the City at 4305 Santa Fe Avenue, Vernon, California 90058 or at such other address or to such other'persons as the City may from time to time designate in writing, and all notices shall be delivered (separately) to the City Administrator of City and to the City Clerk of City at 4305 Santa Fe Avenue, Vernon, California 90058, or at such other addresses or to such other persons as the City may from time to time designate in writing. All notices given by City to Tenant hereunder shall be in writing and delivered to Tenant at the Premises. 24. SUCCESSORS. Each and every one of the terms, covenants, and conditions of this Lease shall inure to the benefit of and shall bind, as the case may be, not only the parties hereto but each and everyone of the heirs, executors, administrators, successors, assigns, and legal representatives of the parties hereto; provided, however, that any subletting or assignment by Tenant of the whole or any part of the Premises or any interest therein shall be subject to the provisions of Section 9 of this Lease. 25, HOLDING OVER. If Tenant, with City's prior written consent, remains in possession of the Premises after expiration or termination of the term, or after the date in any notice given by City to Tenant terminating this Lease, such possession by Tenant shall be deemed to be tenancy at will (or as otherwise expressly agreed by City in its written consent), terminable upon notice given at any time by either Party, at a monthly rental equal to the fair rental value of the Premises, as determined by City in its good faith discretion. All provisions of this Lease except those pertaining to rent and term shall apply to the tenancy. 26. NOTICE PRIOR TO EXPIRATION; SURRENDER. At the expiration or termination of the term of this Lease, Tenant shall surrender the Premises and Personal Property to the City in the same condition as received, reasonable wear and tear excepted; provided, however, 6 that: (i) all of Tenant's machinery, equipment and other trade fixtures, personal property and business materials shall remain Tenant's property and Tenant may remove such items, provided Tenant removes such machinery, equipment, trade fixtures, personal property and business materials at Tenant's cost prior to the expiration of the Term or within thirty (30) days after any earlier termination of the Term; and (ii) City may require Tenant to remove all fixtures, personal property and alterations installed by Tenant by written notice given at least thirty (30) days prior to the expiration of the Term or concurrently with City's termination notice, as applicable. 27. GENERAL PROVISIONS. A. Waiver. The waiver by City of any term, covenant or condition herein contained shall not be deemed to be a waiver of such term, covenant or condition or any subsequent breach of the same or any other term, -covenant or condition herein contained. The acceptance of rent hereunder by City shall not be deemed to be a waiver of any default by Tenant of any term, covenant or condition herein contained, regardless of City's knowledge of such default at the time of the acceptance of such rent. B. Time. Time is of the essence of this Lease and each and all of its provisions. C. Prior Agreements. This Lease contains all of the agreements of the parties hereto with respect to any matter covered or mentioned in this Lease, and no prior agreements or understanding pertaining to any such matters shall be effective for any purpose. D. Inability to Perform. This Lease and the obligations of the Tenant hereunder shall not be affected or impaired because the City is unable to fulfill any of its obligations hereunder or is delayed in doing so, if such inability or delay is caused by reason of strike, labor troubles, acts of nature, or any cause beyond the reasonable control of the City. E. Partial Invalidity. Any provision of this Lease which shall prove to be invalid, void, or illegal shall in no way affect, impair or invalidate any other provision hereof and such other provision shall remain in full force and effect. F. City's Approvals. Neither City's execution of this Lease nor any consent or approval given by City hereunder in its capacity as City shall waive, abridge, impair or otherwise affect City's powers and duties as a governmental body. Any requirements under this Lease that Tenant obtain consents or approvals of City are in addition to and not in lieu of any requirements of law that Tenant obtain approvals or permits. G. Memorandum of Lease. Concurrently with Tenant's execution of this Lease, Tenant shall execute, acknowledge and deliver to City a memorandum of lease in the form attached as Exhibit "C". H. Brokers. Tenant represents and warrants that it has not had any dealings with realtors, brokers or agents in connection with the negotiation of this Lease. [SIGNATURES FOLLOW ON NEXT PAGE] 7 Executed as of the date first written above. CITY: City of Vernon, a California charter city and municipal corporation I� HILARIO GONZALES Mayor ATTEST: WILLARD G. YAMAGUCHI, City Clerk APPROVED AS TO FORM: LAURENCE S. WIENER, City Attorney TENANT: LAW OFFICES OF ERIC T. FRESCH, LTD. By: Name: Title: EXHIBIT "A" DESCRIPTION OF LEASED PREMISES Real property in the City of Vernon, County of Los Angeles, State of California, identified by Los Angeles County Assessor's Parcel Number (APN) 6308-002-010 and described as follows: THE EAST 100 FEET OF LOT 10 OF TRACT 6452, IN THE CITY OF VERNON, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 94, PAGES 77 AND 78 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. The leased Premises is that portion of the above -described property as shown on the attached schematic. A-1 "MMA 10 i-IVHdSV ONIlSIX3 1171177Tl 171171717 71Tllrrr — 3a n N nU N ¢ v8 ci BCl n�i cy n m QpO Y3 SC 0 g r�/ w —I i N go N O N O N S q S 9� z Q II w � J a J — .s•s� in LL jE � riair l.'JT7lJ� 1iTriiirl� w v ,i r W s•ti� �o s'c xo L n VO,1 L N O -71 J s eL ,c t s•u a m L _ n GQt 0 EXHIBIT "B" DESCRIPTION OF PERSONAL PROPERTY FURNITURE AND ELECTRONIC EQUIPMENT Quantity: Description: Serial Number: 1 Large conference table (oval) 1 Large conference table (diamond) 7 Brown leather chairs (old City Council chairs) 1 each Matching desk and credenza (cherry wood) 1 Large brown leather chair 2 Reddish wooden desks (from City Hall 3ra floor) I Blue couch (from City Warehouse) 3 5-drawer file cabinets I 3-drawer lateral file cabinet 1 Gavina coffee maker with 2 glass pots (including coffee, cream and sugar) 1 Dell Computer Precision 360 G9MJP31 1 Dell Computer Optiplex 745 DW7HNC 1 1 Mitel 5020 IP Phone ASAAN5158 1 Mitel 5220 IP Phone GIAAGO495 1 Mitel 5220 IP Phone GIAAF9934 1 Dell Monitor - Flat Panel CN-OJ6643-71618-611-AC2K 1 Dell Monitor - Flat Panel CN-OCC280-7'1618-723-ACRY 1 Panasonic Fax KX FL511 ACJFAIOBX-FL511 1 HP Printer - Color Laserjet CP1518NI CNCC93802P 1 Netgear Switch FS 108 - 8 Port 1D42933900176C 1 Netgear Switch FS105 - 5 Port ID52963ROIF04 I Omnitron I Converter Stand Alone Classic 551276 8240 1 Dell Keyboard L100 CN-ORH659-7351.7-945-08H7 1 Dell Keyboard L100 CN-ORH659-73517-71Q-0802 1 Dell Mouse L2914000P 18 1 Dell Mouse HC6460BOMBD II EXHIBIT "C" MEMORANDUM OF LEASE [Attached.] C-1 RECORDING REQUESTED BY: WHEN RECORDED RETURN TO: City of Vernon 4305 Santa Fe Avenue Vernon, California 90058 Attention: City Clerk [Space Above For Recorder's Use Only] The undersigned declare that this Memorandum of Lease is exempt from Recording Fees pursuant to California Government Code Section 27383 and exempt from Documentary Transfer Tax pursuant to California Revenue and Taxation CodeSection 11922. MEMORANDUM OF LEASE THIS MEMORANDUM OF LEASE (this "Memorandum") is made as of 2010, by and between the CITY OF VERNON ("City"), and the Law Offices of Eric T. Fresch, Ltd.' (collectively, "Tenant"). RECITALS A. Tenant and City have entered into that certain Lease of substantially even date herewith (the "Lease"), pursuant to which City has agreed to lease and demise to Tenant, and Tenant has agreed to lease and accept from City the premises ("Premises") described in Exhibit "A" attached hereto located in the building at 2724 Leonis Boulevard, in the City of Vernon, California. B. Tenant and City now desire to enter into this Memorandum to comply with applicable law requiring that the lease be recorded. AGREEMENT NOW, THEREFORE, in consideration of the foregoing and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, Tenant and City agree as follows: 1. Lease. City hereby leases and demises to Tenant, and Tenant hereby leases and accepts from City, the Premises for a term that continues from month -to -month, commencing on 2010, unless terminated earlier as more particularly described in the Lease. The rental and other terms and conditions of the Lease are set forth in the Lease, which terms and conditions are. incorporated herein by this reference. 2. Purpose. This Memorandum is prepared for the purposes of recordation only and in no way modifies the terms and conditions of the Lease. In the event any provision of this Memorandum is inconsistent with any term or condition of the Lease, the term or condition of the Lease shall prevail. 3. Counterparts. This Memorandum may be executed in any number of counterparts, each of which, when executed and delivered, shall be deemed to be an original, and all of which, taken together, shall be deemed to be one and the same instrument. IN WITNESS WHEREOF, the parties hereto have executed this Memorandum of Lease as of the date first written above. CITY: TENANT: City of Vernon, a California charter city and municipal Law Offices of Eric T. Fresch; Ltd. corporation By: Name: 0.0 HILARIO GONZALES Mayor ATTEST: WILLARD G. YAMAGUCHI, City Clerk Title: [ALL SIGNATURES MUST BE ACKNOWLEDGED BY A NOTARY PUBLIC] 2 ACKNOWLEDGMENT State of California County of On personally appeared before me, (insert name and title of the officer) who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (Seal) Signature of Notary Public State of California County of On ACKNOWLEDGMENT before me, (insert name and title of the officer) personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (Seal) Signature of Notary Public 3 ACKNOWLEDGMENT State of California ) County of ) On before me, (insert name and title of the officer) personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signatu Signature of Notary Public State of California County of (Seal) ACKNOWLEDGMENT On, before me, (insert name and title of the officer) personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (Seal) Signature of Notary Public H EXHIBIT "A" DESCRIPTION OF LEASED PREMISES Real property in the City of Vernon, County of Los Angeles, State of California, identified by Los Angeles County Assessor's Parcel Number (APN).6308-002-010 and described as follows: THE EAST 100 FEET OF LOT 10 OF TRACT 6452, IN THE CITY OF VERNON, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 94, PAGES 77 AND 78 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. The leased Premises is that portion of the above -described property as shown on the attached schematic. 5 Q� o WI ),VM3AWG 1'1HHdSd SNUSIX3 -� ///TllAl iMW 7/7//7/// — o `R � N nv ;b x u A _ d s•m n a o S� mzp JH z �og O —I o N o g \ R ��S g o � � x � O Z II ..I J a — ,rat (n //////117 — .0 L n X�. z s z O' 71 J W a A N g R .C•Cl L_ alf TILA, OFFICE OF THE CITY CLERK 4305 Santa Fe Avenue, Vernon, California 90058 Telephone (323) 583-8811 June 21, 2010 Eric T. Fresch, Esq. FreschLaw - Eric T. Fresch, Ltd. 33 New Montgomery, Sixth Floor San Francisco, CA 94105-4537 Re: Office Lease Agreement Dear Mr. Fresch: Transmitted herewith are two partially executed office lease agreements approved through Resolution No. 2010-74, approved by City Council on June 14, 2010. Please return one fully executed original amendment to the undersigned. If you have any questions regarding this matter, please call Mr. Donal O'Callaghan at (323) 583- 8811 ext. 834. Very t ly yours, WIL *ARD G C I City WGY:dj Enclosure c: Donal O'Callaghan Resolution No. 2010-74 Agreement File No. 10-038 E�,-cfusivefy Industriaf ' ' Juarez, Debbie From: Muro, Evangelina Sent: Tuesday, June 15, 2010 3:09 PM. To: Juarez, Debbie Subject: FW:'Fresch Law lease FYI -- --Original Message----- From: Laurence S. Wiener [mailto:LWiener@rwglaw.com] Sent: Tuesday, June 15, 2010 2:46 PM To: Muro, Evangelina Subject: Fresch'Law lease I have spoken to Eric. The start date on the lease should be May 1. Thanks. NOTICE: This communication may contain privileged or other confidential information. If you are not the intended recipient of this communication, or an employee or agent responsible for delivering this communication to the intended recipient, please advise the sender by reply email and immediately delete the message and any attachments without copying or disclosing the contents. Thank ,you, OFFICE LEASE I . DATE; PARTIES. This Office Lease ("Lease") is dated as of Jvn e l , 2010 and is entered into by and between the City of Vernon, a California charter city, and municipal corporation ("City") and the Law Offices of Eric T. Fresch Ltd. ('Tenant"). 2. PREMISES; PERSONAL PROPERTY, COMMON AREA., A. City hereby leases to Tenant, and Tenant hereby leases from City, the premises ("Premises") described on Exhibit "A" attached hereto locatedin the building at 2724 Leonis Boulevard, Vernon, California (the "Building") and the personal property owned by City and currently located in the Premises and more specifically described in Exhibit `B" (the "Personal Property"). City makes no warranties or representations, express or implied, regarding the condition of the Premises or Personal Property and Tenant has taken possession of the Premises and Personal Property in their current "as is" condition. City has no obligation to replace any Personal Property if it becomes inoperable or unusable and replacement of the Personal Property shall be at Tenant's sole expense. Tenant shall not enter areas of the Building designated by the City for City employees only or occupied by other lessees or occupants. B. Exclusion of Persons.. The City may exclude any person from Premises for cause (including, without limitation, a good faith belief by the City or its employees or agents that the person is or may be engaged in illegal activity). 3. TERM; TERMINATION. The term of this Lease ("Term") shall continue from month -to -month, commencing on ,M-,&q / 2010 (the "Commencement Date"). Either party may terminate this lease upon thirty (30) days prior written notice to the other, for any reason or no reason, in its sole and absolute discretion. 4. RENT. Tenant shall pay to City as monthly rent, without deduction, setoff, notice or demand, the sum of five hundred dollars ($500.00) per month, in advance, on the first day of each calendar month. 5. USE. Tenant shall use said Premises solely as administrative offices for the conduct of the Tenant's business. Tenant shall not use or permit the Premises to be used for any other purpose without the prior written consent of City, which may be withheld in the'City's sole and absolute discretion. 6. USES PROHIBITED. Tenant must not create or permit excessive noise or play music unless approved by the City, which permission may be withheld in the City's sole and absolute discretion. Tenant shall not store trash or waste at any location outside the Premises except in areas specified by City in writing. Tenant shall not perform any cooking that requires venting or results in fumes; however, this provision is not intended to prohibit the brewing of coffee. Tenant shall not do or permit anything to be done in or about the Premises nor bring or keep anything therein which will in any way increase the existing rate of or affect any fire or other insurance upon the Building or any of its contents, or cause a cancellation of any insurance policy covering the Building or any part thereof or any of its contents. Tenant shall not do or permit anything to be done in or about the Premises which will in any way obstruct or interfere with the rights of other tenants or occupants of the Building or injure or annoy them or use or allow the Premises to be used for any improper, immoral, unlawful or objectionable purpose; nor shall Tenant cause, maintain or permit any nuisance in, on or about the Premises. Tenant shall not commit or allow to be committed any waste in or upon the Premises. Tenant shall not conduct or permit to be conducted any sale by auction, in, upon or from the Premises whether said auction be voluntary, involuntary, pursuant to any assignment for the payment of creditors or pursuant to any bankruptcy or other insolvency proceeding. Tenant shall not compromise, alter or disturb any City installed security system or security alarm equipment installed in the Building. 7. ALTERATIONS AND IMPROVEMENTS. Tenant must obtain City's written approval with respect to (i) any changes, alterations or additions to the Premises, or (ii) the removal or replacement of any Personal Property. City's approval process will be in addition to any municipal code, regulatory and legal requirements. City, in its sole discretion, may deny any or all such changes; alterations, additions, removal or replacement. All alterations, additions, or changes to be made to the structure or improvements on the Premises shall be under the supervision of a competent architect or competent licensed structural engineer and made in accordance with the plans and specifications with respect thereto, and all work must be done in a good and workmanlike manner and diligently prosecuted to completion and shall become the property of the owner on termination of the lease. 8. MAINTENANCE. City shall, at its sole cost and expense, maintain the Premises (including plumbing, heating, HVAC, electrical systems and the replacement of light bulbs) in good order, condition, and repair. City shall provide janitorial services in accordance with the City's janitorial service contract for the Building, as amended from time to time, and Tenant hereby gives permission for the City's contractor to enter the Premises for purposes of providing janitorial services. Tenant agrees City will not be liable for acts or omissions of the independent janitorial contractors. City shall provide information technology maintenance support for computers and Internet access provided by City. 9. ASSIGNMENT AND SUBLETTING. Tenant shall not either voluntarily, or by operation of law, assign, transfer, mortgage, pledge, hypothecate or encumber this Lease or any interest herein, or any right or privilege appurtenant hereto, or allow any other person (the employees, agents, servants and invitees of Tenant excepted) to occupy or use the Personal Property or the Premises, or any portion thereof, without first obtaining the written consent of City, which consent may be withheld in the City's sole and absolute discretion. A consent to one assignment, subletting, occupation or use by any other person shall not be deemed to be a consent to any subsequent assignment, subletting, occupation or use by another person. Consent to any such assignment or subletting shall in no way relieve Tenant of any liability under this Lease; whether or not the term of the Lease is extended by the assignee or sublessee. Any such assignment or subletting without such consent shall be void, and shall, at the option of the City, constitute a default under this Lease. 10. INDEMNIFICATION. Tenant shall indemnify and hold harmless City, the City Council and each member thereof, and City's officers, employees, agents, and volunteers (each an "Indemnitee", and all collectively referred to as "Indemnitees") against and from any and all claims, losses, damages, liabilities, costs and expenses (including without limitation, interest, attorneys' fees_ and costs) arising from Tenant's use of the Premises or from the conduct of its business or from any 2 activity, work, or other things done, suffered by the Tenant in or about the Premises, and Tenant shall further indemnify and hold harmless Indemnitees against, and from any and all claims, losses, damages, liabilities, costs and expenses (including without limitation, interest, attorneys' fees and costs) arising from any breach or default in the performance of any obligations on Tenant's part to be performed under the terms of this Lease, or arising from any act or negligence of the Tenant, or any officer, agent, employee, guest, contractor or invitee of Tenant. If any action or proceeding is brought against Indemnitees by reason of any such claim, Tenant; upon notice from any Indemnitee, shall defend Indemnitees at Tenant's expense, by counsel reasonably satisfactory to Indemnitees. Tenant, as a material part of the consideration to City, hereby, assumes all risk of damage to property or injury to persons in, upon or about the Premises, from any cause other than City's negligence and Tenant hereby waives all claims in respect thereof against City. Tenant shall give prompt notice to City in case of casualty or accidents in the Premises. Neither City nor its agents shall be liable for any loss or damage to persons or property resulting from fire, explosion, falling plaster, steam, gas, electricity, water or any other cause whatsoever, unless caused by or due to the negligence of City, its agents, servants or employees. Neither City nor its agents shall be liable for interference with the light, air, or for any latent defect in the Premises. THE PROVISIONS OF THIS SECTION SHALL NOT TERMINATE OR EXPIRE, SHALL BE GIVEN THE BROADEST POSSIBLE INTERPRETATION, AND SHALL SURVIVE THE EXPIRATION OR EARLIER TERMINATION OF THIS LEASE. The obligations in this Section are in addition to Tenant's duty to provide insurance and shall not be limited by any limitation on the amount or type of insurance coverage carried by Tenant. 11. INSURANCE. A. Liability. Tenant agrees that at all times during the term of this Lease and any renewal or extension thereof, it shall at Tenant's expense maintain in force insurance policies which will insure and indemnify the Tenant, City and the other Indemnitees against liability or financial loss resulting from any suits, claims or actions and from all costs and expenses of litigation, in an amount of not less than Two Million Dollars ($2,000,000.00) combined single limit for any injury to persons and/or damage to property in or about the Premises by reason of the use and occupation by Tenant or by any other person or persons of the Premises together with an endorsement as set forth in the standard City Certificate of Insurance. Such insurance shall include contractual liability coverage with respect to Tenant's obligations under Section 10 above. B. Workers' Compensation Coverage. Tenant shall maintain worker's compensation coverage in an amount adequate to comply with law, and employer's liability coverage with a limit of not less than One Million Dollars ($1,000,000.00). C. Fire/Casualty. Tenant shall, at Tenant's cost and expense, obtain and at all times during the term hereof maintain in effect, insurance covering (1) the improvements to the Premises made by or on behalf of Tenant; (2) Tenant's personal property and business materials, if any; (3) trade fixtures, furnishings, equipment, and inventory of merchandise located in the Premises; (4) all alterations, additions, and changes made in or to the Premises during the term of this Lease; and (5) all plate glass, providing protection to the extent of not less than ninety percent (90%) of the insurable value of all said items against any peril included under insurance industry practices in the 3 jurisdiction of the Premises within the classification "fire and extended coverage," together with insurance against vandalism, malicious mischief, and sprinkler leakage or other sprinkler damage, and including "use and occupancy and/or "business interruption" coverage. Tenant hereby waives any and all rights of recovery against City for any loss occurring to such items on account of fire or other casualty, and the aforesaid policies, of insurance shall contain appropriate provision recognizing this release by Tenant and waiving all right of subrogation by the insurance carrier. The proceeds of such insurance, so long as this Lease remains in effect, shall be used to repair or replace the items so insured in the event of loss on account of fire or other casualty. D. Certificates. Said policies shall be issued by an insurer rated in Best's Insurance Guide with a financial rating of A X or better. Said policies shall provide that the insurance coverage shall not be cancelled or reduced by the insurance carrier without the City having been given forty-five (45) days' prior written notice thereof by such carrier. The Tenant agrees that it will not cancel or reduce said insurance coverage. At all times during the term of this Lease and prior to taking possession of the Premises, Tenant shall provide the Risk Manager of the City a Certificate from the insurance carrier or carriers showing the aforesaid insurance policies are in effect in the amounts above provided, and if requested, a copy of each insurance policy. Notwithstanding any other provision to the contrary contained in this Lease, Tenant shall be in default if such certificate or certificates and insurance policies are not filed with the Risk Manager within seven (7) days of the execution of this Lease. E. Lapsed Insurance. Tenant agrees that if it does not keep the aforesaid insurance in full force and effect, the City may take out the necessary insurance and pay the premium thereon, and the repayment thereof shall be deemed to be a part of the rental of said Premises in addition to the usual monthly rent and payable as such on the next day after the payment by the City for said insurance policy upon which rent becomes due hereunder. 12. UTILITIES. City shall provide the utilities currently provided to the Premises and pay for such utilities Tenant shall not use any City telephones lines except those specifically provided to it by the City. 13. SIGNS. Tenant shall not, without City's prior written approval, install or affix any lighting or plumbing fixtures, shades, awnings, or decorations (including exterior painting), signs, lettering, placards, or the like on the exterior of Premises; display or sell merchandise on, or otherwise obstruct, any area outside the exterior walls of the Premises; or cause or permit to be used any advertising, loudspeakers, unusually bright or flashing lights, and. similar devices which may be seen or heard outside the Premises. 14. COMPLIANCE WITH LAW. Tenant, at its expense, shall comply promptly with all applicable laws, ordinances, regulations, and orders of any governmental authority pertaining to the Premises or Tenant's use or occupancy of the Premises or improvement of the Premises (including laws, ordinances, regulations and orders pertaining to non-structural improvements required by law, the location and maintenance of trade fixtures, equipment, and other personal property; the conduct of Tenant's employees; preparation, storage, and service of food and drink, and the like, but excluding new laws or changes in laws that require improvements to the structural components of the Premises). M 1 15. RIGHT OF ACCESS. The City and City's officers, employees, and agents shall at all reasonable times have the right to enter the Premises for the purpose of inspecting the same, posting notices of non -responsibility or any other notices required by law for the protection of the City, doing any work that City is permitted or required to perform under this Lease, and making any reasonable repairs which the City determines maybe required. Tenant shall furnish City with a pass key to the Premises which the City shall use only in case of emergency to prevent or investigate a crime, or in such cases where access is necessary to prevent damage to the Building or to the Premises or to make repairs necessary to ensure continuous operation of the Building. In conducting its activities on the Premises as allowed in this section City shall use good faith efforts to attempt to minimize the inconvenience, annoyance, or disturbance to Tenant. 16. TAXES. Tenant shall pay or cause to be paid, before delinquency, any and all taxes levied and assessed which become payable during the term hereof against its interest in the Premises, upon improvements made by Tenant, or any equipment,' furniture, fixtures, and any other personal property located in or on the Premises, or which become a lien against the Premises or Tenant's interest therein. TENANT RECOGNIZES AND UNDERSTANDS THAT THIS LEASE MAY CREATE A POSSESSORY INTEREST SUBJECT TO PROPERTY TAXES LEVIED UPON SUCH INTEREST, AND THAT IN SUCH EVENT TENANT SHALL BE OBLIGATED TO PAY SUCH TAX OR PURSUE AN EXEMPTION. 17. RULES AND REGULATIONS. Tenant shall faithfully observe and comply with the, rules and regulations that City shall from time to time promulgate and/or modify. The rules and regulations shall be binding upon the Tenant upon delivery of a copy of them to Tenant. City shall not be responsible to Tenant for the nonperformance of any said rules and regulations by any other lessees or occupants of the Building. 18. TENANT'S DEFAULT. The occurrence of any one or more of the following events shall constitute a default and breach of this Lease by Tenant: (a) the failure by Tenant to make any payment of rent or any other payment required to be made by Tenant hereunder, as and when due, where such failure shall continue for a period of three (3) days after written notice thereof by City to Tenant; (b) the failure by Tenant to observe or perform any of the covenants, conditions or provisions of this Lease to be observed or performed by the Tenant, other than described in subsections (a), (c) or (d), where such failure shall continue for a period of thirty (30) days after written notice thereof by City to Tenant; provided, however, that if the nature of Tenant's default is such that more than thirty (30) days are reasonably required for its cure, then Tenant shall not be deemed to be in default if Tenant commences such cure within said thirty (30) day period and thereafter diligently prosecutes such cure to completion; (c) the making by Tenant of any general assignment or general arrangement for the benefit of creditors; or, unless prohibited by Bankruptcy Law or other paramount law, the filing by or against Tenant of a petition to have Tenant adjudged a bankrupt, or a petition or reorganization or arrangement under any law relating to bankruptcy (unless, in the case of a petition filed against Tenant, the same is dismissed within sixty (60) days); or the appointment of a trustee or a receiver to take possession of substantially all of Tenant's assets located at the Premises or of Tenant's interest in this Lease, where possession is not restored to Tenant within thirty (30) days; or the attachment, execution or other judicial seizure of substantially all of Tenant's assets located at the Premises or of Tenant's interest in this Lease, where such seizure is not discharged within thirty (30) days; or (d) a violation by Tenant of Section 9;(or the occurrence of an event which is described in Section 9 as a default by Tenant). 5 19. REMEDIES UPON TENANT DEFAULT. In the event of any such default or breach by Tenant, City may at any time thereafter, in its sole discretion, with or without notice or demand and without limiting City in the exercise of aright or remedy which City may have by reason of such default or breach terminate Tenant's right to possession of the Premises by written notice to Tenant, in which case this Lease shall terminate and Tenant shall immediately surrender possession of the Premises to City. City may also pursue any other remedy now or hereafter available to City under the laws or judicial decisions of the State of California. 20. DEFAULT BY CITY City shall not be in default unless City fails to perform obligations required of City within thirty (30) days after written notice by Tenant to City specifying wherein City has failed to perform such obligation; provided, however, that if the nature of City's obligation is such that more than thirty (30) days are required for performance then City shall not be in default if City commences performance within such thirty (30) day period and thereafter diligently prosecutes the same to completion. 21. DAMAGE; ,RECONSTRUCTION. In the event the Premises are damaged by fire or other perils, City may terminate this Lease by written notice to Tenant. 22. EMINENT DOMAIN. If any portion of the Building or the Premises shall be taken or appropriated by any authority under the power of eminent domain, City may terminate this Lease by written notice to Tenant. 23. PAYMENTS AND NOTICES. All rental payments hereunder shall be paid by Tenant to the Office of the City Treasurer of the City at 4305 Santa Fe Avenue, Vernon, California 90058 or at such other address or to such other persons as the City may from time to time designate in writing, and all notices shall be delivered (separately) to the City Administrator of City and to the City Clerk of City at 4305 Santa Fe Avenue, Vernon,` California 90058, or at such other addresses or to such other persons`as the City may from time to time designate in writing. All notices given by City to Tenant hereunder shall be in writing and delivered to Tenant at the Premises. 24. SUCCESSORS. Each and every one of the terms, covenants, and conditions of this Lease shall inure to the benefit of and shall bind, as the case may be, not only the parties hereto but each and everyone of the heirs, executors, administrators, successors, assigns, and legal representatives of the parties hereto; provided, however, that any subletting or assignment by Tenant of the whole or any part of the Premises or any interest therein shall be subject to the provisions of Section 9 of this Leaser 25. HOLDING OVER. If Tenant, with City's prior written consent, remains in possession of the Premises after expiration or termination of the term, or after the date in any notice given by City to Tenant terminating this Lease, such possession by Tenant shall be deemed to be tenancy at will (or as otherwise expressly agreed by City in its written consent), terminable upon notice given at any time by either Party, at a monthly rental equal to the fair rental value of the Premises, as determined by City in its good faith' discretion. All provisions of this Lease except those pertaining to rent and term shall apply to the tenancy. 26. NOTICE PRIOR TO EXPIRATION; SURRENDER. At the expiration or termination of the term of this Lease, Tenant shall surrender the Premises and Personal Property to the City in the same condition as received, reasonable wear and tear excepted provided, however, 6 that: (i) all of Tenant's machinery, equipment and other trade fixtures, personal property and business materials shall remain Tenant's property and Tenant may remove such items, provided Tenant removes such machinery, equipment, trade fixtures, personalpropertyand business materials at Tenant's cost prior to the expiration of the Term or within thirty (30) days after any earlier termination of the Term; and (ii) City may require Tenant to remove all fixtures, personal property and alterations installed by Tenant by written notice given at least thirty (30) days prior to the expiration of the Term or concurrently with City's termination notice, as applicable. 27, GENERAL PROVISIONS. A. Waiver. The waiver by City of any term, covenant or condition herein contained shall not be deemed to be a waiver of such term, covenant or condition or any subsequent breach of the same or any other term, covenant or condition herein contained. The acceptance of rent hereunder by City shall not be deemed to be a waiver of any default by Tenant of any term, covenant or condition herein contained, regardless of City's knowledge of such default at the time of the acceptance of such rent.' B. Time. Time is of the essence of this Lease and each and all of its provisions. C. Prior Agreements. This Lease contains all of the agreements of the parties hereto with respect to any matter covered or mentioned in this Lease, and no prior agreements or understanding pertaining to any such matters shall be effective for any purpose. D. Inability to Perform. This Lease and the obligations of the Tenant hereunder shall not be affected or impaired because the City is unable to fulfill any of its obligations hereunder or is delayed in doing so, if such inability or delay is caused by reason of strike, labor troubles, acts of nature, or any cause beyond the reasonable control of the City. E. Partial Invalidity. Any provision of this Lease which shall prove to be invalid, void, or illegal shall in no way affect, impair or invalidate any other provision hereof and such other provision shall remain in full force and effect. F. City's Approvals. Neither City's execution of this Lease nor any consent or approval given by City hereunder in its capacity as City shall waive, abridge, impair or otherwise affect City's powers and duties as a governmental body. Any requirements under this Lease that Tenant obtain consents or approvals of City are in addition to and not in lieu of any requirements of law that Tenant obtain approvals or permits. G. Memorandum of Lease. Concurrently with Tenant's execution of this Lease, Tenant shall execute, acknowledge and deliver to City a memorandum of lease in the form attached as Exhibit "C„ H. Brokers. Tenant represents and warrants that it has not had any dealings with realtors, brokers or agents in connection with the negotiation of this Lease. [SIGNATURES FOLLOW ON NEXT PAGE] 7 Executed as of the date first written above. CITY: TENANT: City of Vernon, LAW OFFICES OF ERIC T. RESCH, LTD. a California charter city and municipal corporation By: Name: ` kt CG Fib SC By; Title: C c"'+tve. IHLARIO GONZAL � Mayor ATTES WTLL G. Y AG City Clerk APPR D TO FO �1 LA E S. WIENER, City Attorney 8 EXHIBIT A EXHIBIT "A" DESCRIPTION OF LEASED PREMISES Real property in the City of Vernon, County of Los Angeles, State of California, identified by Los Angeles County Assessor's Parcel Number (APN) 6308-002-010 and described as follows`. THE EAST 1.00 FEET OF LOT 10 OF TRACT 6452, IN THE CITY OF VERNON, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 94, PAGES 77 AND 78 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. The leased Premises is that portion of the above -described property as shown on the attached schematic. EXHIBIT B EXHIBIT "B" DESCRIPTION OF PERSONAL PROPERTY FURNITURE AND ELECTRONIC EQUIPMENT Quantity: Description: Serial Number: 1 Large conference table (oval) 1 Large conference table (diamond) 7 Brown leather chairs (old City Council chairs) 1 each Matching desk and credenza (cherry wood) 1 Large brown leather chair 2 Reddish wooden desks (from City Hall 3ra floor) 1 Blue couch (from City Warehouse) 3 5-drawer file cabinets 1 3-drawer lateral file cabinet 1 Gavina`coffee maker with 2 glass pots (including coffee, cream and sugar) 1 Dell Computer Precision 360 G9MJP31 1 Dell Computer Optiplex 745 DW7HNC 1 1 Mitel 5020 IP Phone ASAAN5158 l Mitel 5220 IP Phone GIAAGO495 1 Mitel 5220 IP Phone GIAAF9934 1 Dell Monitor- Flat Panel CN-OJ6643 -71618-611 -AC2K 1 Dell Monitor - Flat Panel CN-OCC280-71618=723-ACRY 1 Panasonic Fax KX FL511 ACJFAI OBX-FL511 1 HP Printer - Color Laserj et CP 1518NI CNCC93 802P 1 Netgear Switch FS108 - 8Port 1D42933900F6C 1 Netgear Switch FS105 - 5 Port 1D52963R01F04 1 Omnitron I Converter Stand Alone Classic 551276 8240 1 Dell Keyboard L100 CN=ORH659-73517-945-08H7 1 Dell Keyboard L100 CN-ORH659-73517-71Q-0802 1 Dell Mouse L2914000P 18 1 Dell Mouse HC64'60BOMBD EXHIBIT C RECORDING REQUESTED BY: WHEN RECORDED RETURN TO: City of Vernon 4305 Santa Fe Avenue Vernon, California 90058 Attention: City Clerk [Space Above For Recorder's Use Only] The undersigned declare that this Memorandum of Lease is exempt from Recording Fees pursuant to California Government Code Section 27383 and exempt from Documentary Transfer Tax pursuant to California Revenue and Taxation Code Section 11922: MEMORANDUM OF LEASE THIS MEMORANDUM OF LEASE (this "Memorandum") is made as of '2010, by and between the CITY OF VERNON ("City"), and the Law Offices of Eric T. Fresch, Ltd. (collectively, "Tenant" ). RECITALS A. Tenant and City have entered into that certain Lease of substantially even date, herewith (the "Lease"), pursuant to which City has agreed to lease and demise to Tenant, and Tenant has agreed to lease and accept from City the premises ("Premises") described in Exhibit "A attached hereto located in the building at 2724 Leonis Boulevard, in the City of Vernon, California: B. Tenant and City now desire to enter into this Memorandum to comply with applicable law requiring that the lease be recorded. AGREEMENT NOW, THEREFORE, in consideration of the foregoing and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, Tenant and City agree as follows: 1. Lease. City hereby leases and demises to Tenant, and Tenant hereby leases and accepts from City, the Premises for a term that continues from month -to -month, commencing on 2010, unless terminated earlier as more particularly described in the Lease. The rental and other terms and conditions of the Lease are set forth in the Lease; which terms and conditions are incorporated herein by this reference: 2. Purpose. This Memorandum is prepared for the purposes of recordation only and in no way modifies the terms and conditions of the Lease. In the event any provision of this 1 Memorandum is inconsistent with any term or condition of the Lease, the term or condition of the Lease shall prevail. 3. Counterparts. This Memorandum may be executed in any number of counterparts, each of which, when executed and delivered, shall be deemed to be an original, and all of which, taken together, shall be deemed to be one and the same instrument. IN WITNESS WHEREOF, the parties hereto have executed this Memorandum of Lease as of the date first written above. CITY: TENANT: City of Vernon, a California charter city and municipal Law Offices of Eric T. Fresch, Ltd. corporation By: Name: By: Title: HILARIO GONZALES Mayor ATTEST: WILLARD G. YAMAGUCHI, City Clerk [ALL SIGNATURES MUST BE ACKNOWLEDGED BY A NOTARY PUBLIC] ACKNOWLEDGMENT State of California ) County of ) On before me, (insert name and title of the officer) personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity,upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal, Signature (Seal) Signature of Notary Public ACKNOWLEDGMENT State of California ) County of ) On before me, (insert name and title of the officer) personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that: by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal Signature (Seal) Signature of Notary Public ACKNOWLEDGMENT State of California ) County of ) ; On before me, (insert name and title of the officer) personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (Seal) Signature of Notary Public ACKNOWLEDGMENT State of California ) County of ) On before me, (insert name and title of the officer) personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. - WITNESS my hand and official seal. Signature (Seal) Signature of Notary Public EXHIBIT «A» DESCRIPTION OF LEASED PREMISES Real property in the City of Vernon, County of Los Angeles, State of California, identified by Los Angeles County Assessor's Parcel Number (APN) 6308-002-010 and described as follows: THE EAST 100 FEET OF LOT 10 OF TRACT 6452, IN THE CITY OF VERNON, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 94, PAGES 77 AND 78 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. The leased Premises is that portion of the above -described property as shown on the attached schematic. RECEIVED JUN 1 0 2010 CITY CLERK'S OFFICE STAFF REPORT CITY ADMINISTRATION OFFICE DATE: June 10, 2010 Oo I �0 ` TO: Honorable Mayor and City Council FROM: Donal O'Callaghan, City Administrator RE: OFFICE LEASE BY AND BETWEEN THE CITY OF VERNON AND THE LAW OFFICES OF ERIC T. FRESCH, LTD The Law Offices of Eric T. Fresch, Ltd. requests to enter into an office lease with the City of Vernon to lease the premises located in the' building at 2724 Leonis Boulevard, Vernon, California. Recommendation: It is recommended that City Council approve the attached Office Lease by and between the City of Vernon and the Law Offices of Eric T. Fresch, Ltd. at the June 14, 2010 City Council meeting. DO:rmt Attachment Page 1 of 1 Juarez, Debbie From: Enomoto, Kristen Sent: Monday, December 27, 2010 10:09 AM To: Juarez; Debbie Cc: Muro, Evangelina; Yamaguchi, Willard Subject; Leonis Street Office Hi Debbie, Please file copies of the attached email with Resolution Nos 2010-74 and 2010-163, the two resolutions relating to the office leases. Thank you. Kristen From: e.fresch@comcast.net [mailto:e.fresch@comcast.net] Sent: Monday, December 27, 2010 10:00 AM To: Whitworth, Mark Cc: Enomoto, Kristen; Salas, Shirley Subject: Leonis Street Office Dear Mark: Last Fall I ceased using this office for my law firm, Law Offices of Eric T. Fresch. My Associated Energy Partners company never used the space. Because of confusion around this space, I paid the rent through December 31, 2010. Please accept this e-mail as memorializing the termination of the lease of Leonis Street office. Thank you. eric Shirley please drop both companies from the active business license list. 12/27/2010 OFFICE OF THE CITY CLERK 4305 Santa Fe Avenue, Vernon, California 90058 Telephone (323) 583-8811 October 13, 2010 Eric T. Fresch, Esq. FreschLaw - Eric T. Fresch, Ltd. 33 New Montgomery, Sixth Floor San Francisco, CA 94105-4537 Re: Office Lease Agreement — Memorandum of Lease Dear Mr. Fre Transmitted herewith is a Memorandum of Lease for your execution, approved through Resolution No. 2010-74, approved by City Council on June 14, 2010. Please return the executed original Memorandum of Lease to the undersigned. If you have any questions regarding this.matter, please call Mr. Mark Whitworth at (323) 583- 8811 ext. 398. Very ruly yours, WILLARD G. YA A/OUCHU City Clerk WGY:dj Enclosure c: Mark Whitworth Resolution No. 2010-74 Agreement File No. 10-038 Excfusivefy Industriaf RECORDING REQUESTED BY: WHEN RECORDED RETURN TO: City of Vernon 4305 Santa Fe Avenue Vernon, California 90058 Attention: City Clerk [Space Above. For Recorder's Use Only] The undersigned declare that this Memorandum of Lease is exempt from Recording Fees pursuant to California Government Code Section 27383 and exempt from Documentary Transfer Tax pursuant to California Revenue and Taxation Code Section 11922. MEMORANDUM OF LEASE THIS MEMORANDUM OF LEASE (this "Memorandum") is made as of t/I lle / 2010, by and between the CITY OF VERNON ("City"), and the Law Offices of Eric T. Fresch, Ltd: (collectively, "Tenant"). RECITALS A. Tenant and City have entered into that certain Lease of substantially even date herewith (the "Lease"), pursuant to which City has agreed to lease and demise to Tenant, and Tenant has agreed to lease and accept from City the premises ("Premises") described in Exhibit "A" attached hereto located in the building at 2724 Leonis Boulevard, in the City of Vernon, California. B. Tenant and City now desire to enter into this Memorandum to comply with applicable law requiring that the lease be recorded. AGREEMENT NOW, THEREFORE, in consideration of the foregoing and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, Tenant and City agree as follows: I. Lease. City hereby leases and demises to Tenant, and Tenant hereby leases and accepts from City, the Premises for a term that continues from month -to -month, commencing on 2010, unless terminated earlier as more particularly described in the Lease. The rental and other terms and conditions of the Lease are set forth in the Lease, which terms and conditions are incorporated herein by this reference. 2. Purpose. This Memorandum is prepared for the purposes of recordation only and in no way modifies the terms and conditions of the Lease. In the event any provision of this _ 1 Memorandum is inconsistent with any term or condition of the Lease, the term or condition of the Lease shall prevail. 3. Counterparts. This Memorandum may be executed in any number of counterparts, each of which, when executed and delivered, shall be deemed to be an original, and all of which, taken together, shall be deemed to be one and the same instrument. IN WITNESS WHEREOF, the parties hereto have executed this Memorandum of Lease as of the date first written above. Cam: TENANT: City of Vernon, Law Offices of Eric T. Fresch, Ltd. a California charter city and municipal corporation By: / Name: By:Title: HILARIO GONZALES Mayor ATTEST' WTLLARdG. VGUCity Clerk [ALL SIGNATURES MUST BE ACKNOWLEDGED BY A NOTARY PUBLIC] 2 ACKNOWLEDGMENT State of California ) LOS ANGELES ) County of ) On before me, OCTOBER 20: 2010 ANA KARINA RUEDA, NOTARY PUBLIC (insert name and title of the officer) personally appeared HILARIO GONZALES who proved to on basis of satisfactory evidence to be the person whose namex is/y=e subscribed to the within instrument and acknowledged to me that he/s a/tly executed the same in his/ tlt�r authorized capacdylps), and that by his/f)etwir signature on the instrument the per onf,�J, or the entity upon be alf of which the persons') acted, executed the instrument. certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. re ANA KARINA RUEDA Commission #t 1900284 WITNESS my hand and official seal. Notary Public - California Los Angeles County M Comm. Expires Aug19, 2014 Signatur (Seal) ,,'S'ignature,df Notary Public ACKNOWLEDGMENT State of California ) LOS ANGELES ) County of ) OCTOBER 20, 2010 ANA KARINA RUEDA, NOTARY PUBLIC On before me, (insert name and title of the officer) personally appeared WILLARD G. YAMAGUCHI who proved to me on the basis of satisfactory evidence to be the person I whose namef4 is//e subscribed to the within instrument and acknowledged to me that he/s /toy executed the same in his"r1tWir authorized capacitygA, and that by his/bAr/ttir signature(A on the instrument the personlaa4, or the entity upon behalf of which the pers5nxi acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. rA ANA KARINA RUEDA Commission #t 1900284 WITNESS my hand and official seal. �� Notary Public- California z Los Angeles County D My Comm. Ex Tres Aug19, 2014 Signature - (Seal) S'lgriduff'edf Notary Public 4 EXH 11 «A» DESCRIPTION OF LEASED PREMISES Real property in the City of Vernon, County of Los Angeles, State of California, identified by Los Angeles County Assessor's Parcel Number (APN) 6308-002-010 and described as follows: THE EAST 100 FEET OF LOT 10 OF TRACT 6452, IN THE CITY OF VERNON, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 94, PAGES 77 AND 78 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. The leased Premises is that portion of the above -described property as shown on the attached schematic. 5