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HomeMy WebLinkAbout08-087 - Mohajer Sabour Hossein - Pacific Court Apartments Settlement Agreement a -a 1 7 d SETTLEMENT AGREEMENT AND RELEASE�Fc�\�``° THIS SETTLEMENT AGREEMENT AND RELEASE is made and entered into as of the date of the last party signing below, by and between the City of Tukwila (hereinafter "City" or "Tukwila and Hossein Sabour Mohajer "Mohajer RECITALS A. Tukwila filed a lawsuit against Mohajer alleging various claims relating to nuisance abatement and recovery of tenant relocation fees, costs and attorneys' fees concerning the apartments formerly known as the Pacific Court Apartments located at 4028 South 146 Street, Tukwila, Washington, on property legally described in Exhibit A attached hereto and incorporated by this reference "the Property Tukwila's lawsuit against Mohajer is pending in the Superior Court of the State of Washington for King County, Case No. 06 -2- 23940 -7 KNT (the "Lawsuit Mohajer denied and disputes the claims in the Lawsuit. B. In the Lawsuit, Mohajer asserted various counterclaims, alleging an unconstitutional taking and violations of procedural and substantive due process. The City denied and disputes the counterclaims in the Lawsuit. B. Given the uncertainty and cost of litigation, Tukwila and Mohajer now desire to settle and resolve all claims relating to the Lawsuit without further expense or delay. AGREEMENT In consideration of the mutual promises and agreements contained herein, Tukwila and Mohajer agree as follows: 1. Payment to Tukwila. In exchange for the release and other consideration described herein, and as partial reimbursement to Tukwila for the tenant relocation fees, attorneys' fees, costs and expenses incurred in the City's code enforcement process pertaining to the Pacific Court Apartments, Mohajer shall pay Tukwila the sum of one hundred thirty -five thousand dollars ($135,000.00), in accordance with the terms of a Promissory Note executed contemporaneously herewith in the form set forth in Exhibit B attached hereto and incorporated herein by reference. Page 1 of 1 Settlement Agreement and Release C' \Users\Alex\AppData \Local \Microsoft \Windows \Temporary Internet Files \Content.lE5 \6BVBJ7PK \k Final Settlement Agreement and Release.doc 2. Execution and Recording of Deed of Trust. To secure the payment obligation set forth in Section 1 above, Mohajer shall execute contemporaneously with this Settlement Agreement a Deed of Trust conveying property located at 8175 Juanita Drive in Kirkland, Washington "Juanita Drive Property Said Deed of Trust shall be in the form attached hereto as Exhibit C hereto and incorporated herein by this reference, and shall be recorded against the Juanita Drive Property. Mohajer represents and warrants, as a special inducement to Tukwila to enter into this Settlement Agreement, that there are no encumbrances against the Juanita Drive Property other than general taxes and a Deed of Trust in the amount of $1,670,000.00 in favor of Washington Mutual Bank recorded on April 28, 2008. 3. Failure to Tender Payment; Confession of Judgment. Simultaneously with execution of this Agreement, the parties shall execute a Confession of Judgment in substantially the form attached as Exhibit D hereto and incorporated by this reference. The Confession of Judgment shall be in the principal amount of One Hundred Thirty-Five Thousand and zero /100 Dollars ($135,000.00) plus any interest owed thereon as set forth in Section 1 above, and Tukwila shall be the Judgment Creditor and Mohajer shall be Judgment Debtor. The original of the Confession of Judgment shall remain in the possession of counsel for Tukwila and shall not be filed with the Court without prior Notice to Mohajer as further provided in this Section.. In the event that Mohjaer fails to make payment in the amounts or by the dates set forth in Section 1 above, or fails to complete construction as provided in Section 3 below, Tukwila may enter the original Confession of Judgment with the King County Superior Court and record the Confession of Judgment against any and all real property owned by Mohaj er. Tukwila must give notice to Mohaj er, through counsel, Mark Douglas Kimball P.S., 10900 NE 4` ST; Suite 2300, Bellevue, WA 98004, at least ten calendar days in advance of presentation of the Confession of Judgment, and the Confession shall not be entered if during said ten -day notice period Mohajer cures all alleged defaults and defects. Entry of the Confession of Judgment shall not be deemed to satisfy or extinguish the obligation set forth in the Promissory Note, which shall remain in full force and effect until all principal, interest and other sums due thereunder have been fully paid. 4. Completion of Construction Work. Mohajer shall promptly complete any and all construction work to the buildings formerly known as the Pacific Court Apartments no later than the close of business on November 30, 2008. For purposes of this section, "complete" means: (a) all work has been constructed in accordance with the Washington State Building Code, as adopted and amended by the City of Tukwila, and all City of Tukwila codes, ordinances, regulations and policies; and (b) all work has been inspected and approved as required by applicable City of Tukwila codes, ordinances, regulations and policies, and a certificate of occupancy has been issued to permit habitation of all dwelling units in any building on the Property. 5. Release by Tukwila. Tukwila, on behalf of itself, its affiliates and its successors and assigns, releases and forever discharges and covenants not to sue with respect to any and all monetary claims, rights, demands, and causes of action, whether known or unknown, liquidated or unliquidated (including attorneys' fees and costs), which Tukwila has, had, or could have asserted against Mohajer, his affiliates, his past or present officers, directors, agents, contractors, Page 2 of 2 Settlement Agreement and Release representatives or employees and their respective heirs, executors, or administrators and assigns, and that arose prior to the date of this Agreement and which relate to the matters that were raised or that the City could have raised in the Lawsuit. This Section does not release any claims or causes of action Tukwila arising after the date of this Agreement, including specifically but not limited to any claims or causes of action to enforce City of Tukwila codes, ordinances, regulations and policies as part of implementation of Section 3 above. 6. Release by Mohaier. Mohajer, on behalf of himself, his affiliates and heirs, successors and assigns, releases and forever discharges and covenants not to sue with respect to any and all claims, rights, demands, and causes of action, whether known or unknown, liquidated or unliquidated (including attorneys' fees and costs), contingent or mature "Claims which Mohajer has, had, or could have asserted against Tukwila, its affiliates, its past or present officers, directors, agents, contractors, representatives or employees and their respective heirs, executors, or administrators and assigns, and that arose prior to the date of this Agreement and which relate in any way to the matters that Mohajer raised or could have raised in the Lawsuit. Mohajer represents to Tukwila, who relies thereon, that Mohajer does not intend to file bankruptcy at any time that could cause any payment made under this Agreement to be deemed a preference under the bankruptcy rules, regulations or statutes. Mohajer also represents and warrants to Tukwila that Mohajer has not assigned or transferred any interest in any of the Claims described and released herein or in the Property or any of it. party. 7. No Admission. This Agreement is not an admission of liability or wrongdoing by any 8. Dismissal of the Lawsuit. Upon payment by Mohajer as set forth in Section 1, and completion of construction as set forth in Section 2, the Lawsuit shall be dismissed with prejudice and without costs or fees to either party. 9. Costs. Except as otherwise provided in Section 1 above, Tukwila and Mohajer shall bear their own costs as they were originally incurred in connection with the matters covered by this Agreement. Tukwila and Mohajer shall each bear one -half (1/2) of any costs that may be billed by Judge Terry Lukens or the Judicial Arbitration and Mediation Service (JAMS) for services relating to mediation and resolution of the Lawsuit to the extent not previously paid by the parties.. 10. Choice of Law. This Agreement shall be governed by, and construed in accordance with, the laws of the State of Washington. 11. Free Will. Tukwila and Mohajer hereby represent and warrant that they have entered into this Agreement of their own free will and in accordance with their own judgment and upon advice of their own legal counsel, and state that they have not been induced to enter into this Agreement by any statement, act or representation of any kind or character on the part of anyone Page 3 of 3 Settlement Agreement and Release C \Users\AIex\AppData \Local \Microsoft\Windows \Temporary Internet Files \Content.IE5 \6BVBJ7PK \k Final Settlement Agreement and Release.doc except as expressly set forth in this Agreement. 12. Authority. The individual signatories to this Agreement represent that they have been duly authorized to execute this agreement on behalf of the parties they purport to represent herein. 13. Amendments. This Agreement may not be amended or modified except by a writing, signed by the parties to be bound thereby, or signed by their respective attorneys as authorized. 14. Entire Agreement. This Agreement constitutes the final written expression of all the terms of this Agreement and is a complete and exclusive statement of the ten of the Agreement. In the event that either party resorts to litigation to enforce any term of this Agreement, the substantially prevailing party in any such litigation shall be entitled to an award of reasonable attorney fees and expert witness fees, together with actual court costs, expended in such litigation. 15. Counterparts. This Agreement may be executed in counterparts by one or more of the parties named herein and all such counterparts once so executed shall together be deemed to constitute one final agreement, as if one document had been signed by all parties hereto; and each such counterpart, upon execution and delivery, shall be deemed a complete original, binding the parties to this Agreement. Faxed signatures shall be treated as originals. 16. Effectiveness. This Agreement shall become effective immediately following execution by all of the parties; provided, however, that the releases as described in this Agreement shall not take effect until Tukwila has received from Mohaj er the settlement payment described in Section 1. 17. Captions. The captions contained in the paragraphs of this Agreement are for convenience of reference only and do not in any ways limit, expand or modify the terms or provisions of this Agreement. 18. Successor and Assigns. Because the terms and conditions of this Agreement concern resolution of claims relating to nuisances alleged to have existed at the Pacific Court Apartments, and to construction work required to be performed therein, this Agreement touches and concerns the land, and its terms and conditions shall inure to the benefit of and be binding upon the parties' respective successors, heirs and assigns. 19. Enforcement. The parties agree that damages are not an adequate remedy for breach of this Agreement, and that a party claiming breach is entitled to specific performance of this Agreement. Specific performance shall be in addition to, and not in lieu of, any other remedies available by law or equity. In the event that this Agreement is referred to an attorney for enforcement, the prevailing party shall be awarded its costs and reasonable attorneys' fees incurred in the matter. 20. Notice of Settlement. Acting through their respective counsel, the Parties shall execute simultaneously with execution of this Agreement a Notice of Settlement Without Dismissal in the form attached hereto and incorporated by this reference as Exhibit E. Within two (2) judicial days of Page 4 of 4 Settlement Agreement and Release execution of the Notice, the City shall send the Notice to the Court for filing. CIJ-Y OF TUKWILA er M» HOSSE A UR MO. JER STATE OF WASHINGTON COUNTY OF /Z.] r J ss: Dated: 0� Dated: Page 5 of 5 Settlement Agreement and Release I certify that I knew or have satisfactory evidence that Hossein Sabour Mohajer is the person who appeared before me, and said person acknowledged that Hossein Sabour Mohajer signed this instrument and acknowledged it to be his free and voluntary act and deed for the uses and purposes therein mentioned. DATED: /2)+ Printed Name: 6.461.1_1 NOTARY PUBLIC in and for the State of Washingon, residing at My Commission Expires: C' \Users\Alex\AppData \Local \Microsoft\Windows \Temporary Internet Files \Content.IE5 \6BVBJ7PK \k Final Settlement Agreement and Release.doc State of Washington) ss. County of King Z 0 0 14 ariPti 17u441 e On this \in day of Se teabe 2008, before me personally appeared Ja_____ gg_._____, to me known to be the Mayor h the municipal corporation that executed the within and foregoing instrument, and acknowledged said instrument to be the free and voluntary act and deed of said corporation, for the uses and purposes therein mentioned, and on oath stated that she was authorized to execute said instrument and that the seal affixed is the corporate seal of said corporation. In Witness Whereof I have hereunto set my hand and affixed my official seal the day and year first above written. DATED: G I- 6- OF c t1. T11 Print Name: sb r' 6 (cc h 41 /ti) NOTARY PUBLIC in and for the State of Washington, residing at svtmnl P(' My commission expires: --°I j- Page 6 of 6 Settlement Agreement and Release EXHIBIT A Property Legal Description Lot 23 of Block 2 in Adams Home Tracts, according to the plat recorded in Volume 11 of Plats at Page 31, in King County, Washington. C \Documents and Settings \Owner\Local Settings \Temporary Internet Files \Content.IE5 \OXGLIJCT\k Settlement Agreement Exhibit A.doc EXHIBIT A Property Legal Description Lot 23 of Block 2 in Adams Home Tracts, according to the plat recorded in Volume 11 of Plats at Page 31, in King County, Washington. C:\Documents and Settings \Owner\Local Settings \Temporary Internet Piles \Content.1E516XGLIIC \k Settlement Agreement Exhibit A.doc PROMISSORY NOTE $135,000.00 September 9, 2008 Bellevue, Washington Hossein Sabour Mohajer "Undersigned promises to pay to the order of the City of Tukwila "Holder at 6200 Southcenter Boulevard, Tukwila, Washington 98188, or such other place as may be designated in writing by Holder or its assigns, the principal sum of One Hundred Thirty-five Thousand Dollars ($135,000.00), with interest thereon until fully paid at the rate of 5.00% per annum, with interest first accruing on September 9, 2008, the date that Undersigned and Holder executed a Settlement Agreement and Release. Such principal and interest shall be payable monthly in an amount equal to or exceeding $10,000.00, with the first installment of principal and interest due September 20, 2008 and subsequent installments of principal and interest due on the same day each month of each year thereafter through October 20, 2009, at which time the remaining balance of principal and interest must be paid in full. If monthly installments are not so paid by the twentieth day of each month, all principal and interest, at the option of Holder, or its assigns, shall become immediately due and payable. Monthly installments shall be paid by cashier's check delivered by the close of business on the date due to the City of Tukwila, 6200 Southcenter Boulevard, Tukwila, Washington 98188. Interest shall be computed on the basis of a 365 -day year or 366 -day year as applicable, and actual days lapsed. Undersigned shall have the privilege of prepaying the principal under this Note in whole or in part, without penalty or premium at any time. All payments hereunder shall be applied first to interest, then to principal, then to late charges. Upon this Promissory Note's maturity or after failure by Undersigned to pay any installment as set forth in the previous paragraph, this Note shall bear interest at the rate of 12% per annum. This Promissory Note shall not necessarily constitute the Undersigned's full and complete financial obligation to Holder. In all events, the Undersigned remains responsible to perform such other obligations as set forth in the Settlement Agreement and Release, including but not limited to completion of construction as more fully set forth in Section 3 of said Agreement Release, which is incorporated herein as if fully set forth. Undersigned shall pay upon demand any and all expenses, including reasonable attorney fees, incurred or paid by Holder without suit or action in attempting to collect funds due under this Note. In the event an action is instituted to enforce or interpret any of the terms of this Note including but not limited to any action or participation by Undersigned in, or in connection with, a case or proceeding under the Bankruptcy Code or any successor statute, the prevailing party shall be entitled to recover all expenses reasonably incurred at, before, and after trial, appeal, or review 1 whether or not taxable as costs, including, without limitation, attorney fees, witness fees (expert and otherwise), deposition costs, copying charges and other expenses. Undersigned agrees that it shall be liable herein jointly and severally, and waives demand, presentment for payment, protest, notice of protest, and notice of nonpayment. This Note has been executed and delivered in the State of Washington and shall be governed and construed in accordance with the laws of the State of Washington. Hossein Sabour Mohajer STATE OF WASHINGTON COUNTY OF DATED: I ss: I oworh I certify that have satisfactory evidence that Hossein Sabour Mohajer is the person who appeared before me, and said person acknowledged that Hossein Sabour Mohajer signed this instrument and acknowledged it to be his free and voluntary act and deed for the uses and purposes therein mentioned. 40, ,kze Et 1 41 0 r` dal dly 1ler +1 Zr4r.V 01.4 476 1 (1 g 3fr�� .o G, `r r 'i B \:Zi;i4.42::C.;? Printed Name: ky)-4. F°f NOTARY PUBLIC in and of Washir ton, residing at My Commission Expires: for the State 421941 1/099999.00012 SHORT FORM DEED OF TRUST THIS DEED OF TRUST is made this 1 day of September, 2008, BETWEEN Hossein Sabour Mohajer, as Grantor, whose address is 8175 Juanita Drive, Kirkland, Washington, 98034 -3532; and First American Title Insurance Company, as Trustee, whose address is 2101 Fourth Avenue, Suite 800, Seattle, Washington 98121; and the City of Tukwila, Washington, as Beneficiary, whose address is 6200 Southcenter Boulevard, Tukwila, Washington, 98188. Grantor hereby irrevocably grants, bargains, sells and conveys to Trustee in trust, with power of sale, the following described property in King County, Washington: Tract 54 of Juanita Point, a Residence Park, as per Plat recorded in Volume 25 of Plats, Page 27, Records of King County, Washington; and amended by instrument recorded under King County Recording No. 2607577; together with Second Class Shorelands adjacent thereto; all situate in the County of King, State of Washington. TOGETHER WITH all the tenements, hereditaments and appurtenances, now or hereafter thereunto belonging or in anywise appertaining, and the rents, issues and profits thereof and all other property or rights of any kind or nature whatsoever further set forth in the Master Form Deed of Trust hereinafter referred to, SUBJECT, HOWEVER, to the right, power and authority hereinafter given to and conferred upon Beneficiary to collect and apply such rents, issues and profits. THIS DEED IS FOR THE PURPOSE OF SECURING PERFORMANCE of each agreement of Grantor incorporated by reference or contained herein and payment of the sum of ONE HUNDRED THIRTY -FIVE THOUSAND and 00 /100 DOLLARS ($135,000.00) with interest thereon according to the terms of a Settlement Agreement and Release and promissory note of even date herewith, payable to Beneficiary or order and made by Grantor, all renewals, modifications or extensions thereof, and also such further sums as may be advanced or loaned by Beneficiary to Grantor, or any of their successors or assigns, together with interest thereon at such rate as shall be agreed upon. By executing and delivering this Deed of Trust and the Note secured hereby, the parties agree that all provisions of Paragraphs 1 through 35, inclusive, of the Master Form Deed of Trust hereinafter referred to, except such paragraphs as are specifically excluded or modified herein, are hereby incorporated herein by reference and made an integral part hereof for all purposes the same as if set forth herein at length, and the Grantor hereby makes said covenants and agrees to fully perform all of said provisions. The Master Form Deed of Trust above referred to was recorded on the twenty -fifth (25th) day of July, 1 1968, in the Official Records of the offices of the County Auditors of the following counties in Washington in the book, and at the page designated after the name of each county, to wit: COUNTY Adams Asotin Benton Chelan Clallam Clark Columbia Cowlitz Douglas Ferry Franklin Garfield Grant Grays Harbor Island Jefferson King Kitsap Kittitas Klickitat 421941.1/099999.00012 BOOK OR VOL. 1 PAGE NO. 2 or Record. Instr. 1 513 -16 Microfilmed Under Auditor's No. 241 of Official Rec. 695A -C 688 of Official Rec. 1682 -1685 315 of Official Rec. 195 -198 Aud. Microfilm No. 702859- 702862 49 of Deeds 198.201 747 of Official Rec. 234 -237 125 of Mortgages 120 -123 28 of Deeds 413 -416 11 of Official Rec. 138 -141 Microfilmed under Auditor's No. 44 of Rec. Doc. 21 of General 1 81 of Official Rec. 4 of Official Rec. 5690 of Mtgs. 929 of Official Rec. 111 of Mortgages 101 of Mortgages A copy of such Master Form Deed of Trust is hereby furnished to the person executing this Deed of Trust and by executing this Deed of Trust the Grantor acknowledges receipt of such Master Form Deed of Trust. The property which is the subject of this Deed of Trust is not used principally or primarily for agricultural or farming purposes. The undersigned Grantor requests that a copy of any Notice of Default and of any Notice of Sale hereunder be mailed to him at the address hereinbefore set forth. 373 -376 31 -34 710-713 316 -319 436 -439 480 -483 361 -364 107 -110 HOSSEIN SABOUR- MOHA3ER, Grantor AUDITOR'S FILE NO. COUNTY 122987 Lewis 101896 Lincoln 592931 Mason 681844 Okanogan 383176 Pacific 0- 519253 Pend Oreille F -3115 Pierce 675475 San Juan 151893 Skagit 153150 Skamania 3009636 Snohomish 13044 Spokane 538241 Stevens 207544 Thurston 211628 Wahkiakum 196853 Walla Walla 6382309 Whatcom 934770 Whitman 348693 Yakima 131095 2 BOOK OR VOL. 7 of Official Rec. 107 of Mortgages Reel 48 121 of Mortgages 213 of Official Rec 27 of Mtgs. 1254 of Mtgs. 28 of Mtgs. 19 of Official Rec. 47 of Mtgs. 233 of Official Rec. 14 of Official Rec. 109 of Mtgs. 454 of Official Rec. 17 of Mortgages 308 ofMtgs. 82 of Official Rec. 1 ofMisc. 712 of Official Rec. PAGE NO. 839 -842 776 -779 Frame 835 -838 517 -519A 649 -652 8 -11 707 -710 459 -462 80 -83 41-44 540 -543 1048 -1051 394-397 731 -734 89 -92 711 -714 855 -858 291 -294 147 -150 he hand an al of the Grantor on the day and year first above AUDTTOR'S FILE NO. 1 725562 316596 1 236038 560658 1 55707 126854 2250799 69282 1 .716277 1 70197 1 2043549 1 376267C 390635 1 785350 1 24732 495721 L 1047522 1. 382282 i 2170555 STATE OF WASHINGTON ss: COUNTY OF ,f')_^. 1 certify that Iriow or have satisfactory evidence that Hossein Sabour -Mohaj er is the person who appeared before me, and said person acknowledged that Hossein Sabour Mohajer signed this instrument and acknowledged it to be his free and voluntary act and deed for the uses and purposes therein mentioned. DATED: 421941 1/099999 00012 may %�y +i +r +r ri OA i fit v 4- Puil\" 100,f I tet i l t iE OF Il Printed Name: ,o l NOTARY PUBLIC in and for the State of Washin ton, resng at My Commission E xpires: REQUEST FOR RECONVEYANCE To be used only when all obligations have been paid under the note and this Deed of Trust. TO: TRUSTEE. The undersigned is the legal owner and holder of the note and all other indebtedness secured by the within Deed of Trust. Said note, together with all other indebtedness secured by said Deed of Trust, has been fully paid and satisfied; and you are hereby requested and directed, on payment to you of any sums owing to you under the terms of said Deed of Trust, to cancel said note above mentioned, and all other evidence of indebtedness secured by said Deed of Trust delivered to you herewith, together with the said Deed of Trust, and to reconvey, without warranty, to the parties designated by the terms of said Deed of Trust, all the estate now held by you thereunder. DATED: 20 Mail reconveyance to: Do not lose or destroy this Deed of Trust OR THE NOTE which it secures. Both must be delivered to the Trustee before cancellation will be made. 3 Bucklin Evens PLLC 7525 SE 24th Street, Suite 600 Mercer Island, WA 98040 Phone: (206) 230 -5777 Fax: (206) 230 -8444 Board Form No. 20) dated Grantor is Trustee is and Beneficiary is INITIALS: BUYER: BUYER: DEED OF TRUST RIDER DATE: DATE: Copyright 1999 Commercial Brokers Association All Rights Reserved SELLER: DATE: SELLER: DATE: CBA Form DTR Deed of Trust Rider Rev. 12/99 Page 1 of 1 This Deed of Trust Rider is attached and made a part of that Short Form Deed of Trust (Limited Practice in which The following modifications to the Master Form Deed of Trust are hereby incorporated: (1) New Subsection 1(e). The following new Subsection 1(e) is hereby added: "(e)- All inventory, equipment, goods, supplies and materials now or hereafter owned by Grantor and located at or on or used in connection with the property, and all present and future accounts, general intangibles, chattel paper, documents, instruments, deposits accounts, money, contract rights, insurance policies, and all proceeds, products, substitutions and accessions therefor and thereto. This Deed of Trust is intended to constitute a security agreement under the Uniform Commercial Code of Washington, and a UCC -2 Fixture Filing." (2) Section 5. This Section is amended to provide that the amount of late charge shall be five cents ($0.05) per dollar, but if any different amount is provided in the promissory note, the amount in the promissory note shall control. (3) Section 25. Subsection 25(c) is amended to read: "(c) the property is sold or transferred without the Holder's consent." The following new subsection 25(e) is also added: "or (e) in one or more transaction, fifty percent (50 or more of the stock, ownership, or partnership interests in, or the right to control, the Grantor is sold or transferred without the Holder's consent." 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 Judgment Debtor: IN THE SUPERIOR COURT OF THE STATE OF WASHINGTON IN AND FOR THE COUNTY OF KING THE CITY OF TUKWILA, a municipal corporation, vs. HOSSEIN SABOUR MOHAJER, Defendant. Judgment Creditor: Attorney for Judgment Creditor: Plaintiff, CONFESSION OF JUDGMENT DECLARATION OF PLAINTIFF'S COUNSEL PAGE 1 TUDGMENT SUMMARY CAUSE NO. 06 -2- 23940 -7 KNT CONFESSION OF JUDGMENT AND DECLARATION OF PLAINTIFF'S COUNSEL City of Tukwila, a municipal corporation. Bob C. Sterbank of Kenyon Disend PLLC' 11 Front St S Issaquah, WA, 98027 -3820 Hossein Sabour Mohajer; c/o Mark Douglas Kimball, P.S., Suite 2300 Skyline Tower, 10900 Northeast Fourth Street, Bellevue, WA 98004, (425) 455-9610 KENYON DISEND, PLLC THE MUNICIPAL LAW Filth 11 FRONT STREET SOUTH ISSAQUAH, WASHINGTON 98027 -3820 (425) 392 -7090 FAX (425) 392 -7071 1 Amount of Judgment: $135,000.00, plus accrued interest as of date of entry hereof per the terms of the promissory note executed by 2 judgment debtor 1, less payments made as of date of entry hereof 1, for amount 3 judgment amount of 4 Judgment Interest Rate: Judgment amount shall bear interest at the rate of 12 5 6 7 CONFESSION OF JUDGMENT 8 In accord with and subject to the terms of that certain Settlement Agreement and Release 9 10 dated September 2008, defendant Hossein Sabour Mohajer "Mohajer hereby confesses 11 judgment in favor of plaintiff in the sum of $135,000.00, and hereby authorizes this Court to 12 enter judgment for said sum, plus interest thereon according to the terms of a promissory note 13 executed by Mohajer, less any payments made prior to the date of entry hereof, against Mohajer 14 and in favor of plaintiff. 15 1. This action arose as a result of Mohajer's operation of the Pacific Court Apartments 16 located at 4028 South 146 Street, Tukwila, Washington, on property legally described in 17 Exhibit A attached hereto and incorporated by this reference "the Property"). Tukwila filed 18 1 this action against Mohajer alleging various claims relating to nuisance abatement on the 20 Property, and recovery of tenant relocation fees, costs and attorneys' fees. The factual 21 allegations regarding the Property are set forth in the pleadings previously filed with this Court 22 and are contained in the court record. Defendant denied Plaintiff's allegations and filed a 23 Counterclaim against Plaintiff. 24 25 26 CONFESSION OF JUDGMENT DECLARATION OF PLAINTIFF'S COUNSEL PAGE -2 KENYON DISEND, PLLC THE MUNICIPA/. LAW FIRM 11 FRONT STREET SOUTH ISSAQUAH, WASHINGTON 98027 3820 (425) 392 -7090 FAX (425) 392 -7071 1 2 3 4 5 6 7 8 9 more specifically in the Agreement) on the Property no later than October 31, 2008. 10 11 12 2. On or about September 2008, plaintiff and Mohajer, through their respective counsel, negotiated and entered into a Settlement Agreement and Release "Settlement Agreement upon the following terms and conditions: a. Mohajer shall pay plaintiff the sum of $135,000.00, plus interest at the rate of five percent (5 in monthly installments of no less than $10,000.00, commencing on September 20, 2008. See annexed declaration of plaintiff's counsel. b. Mohajer will complete construction of required improvements (defined c. Simultaneously with the execution of the Settlement Agreement, the parties executed a Notice of Settlement Without Dismissal, which provided that this matter would be dismissed with prejudice and without attorneys' fees or costs following Tukwila's 13 receipt of the payment of $135,000.00 plus interest from Mohajer (described above) and 14 Mohajer's completion of construction of required improvements on the Property. 15 16 d. In partial consideration for plaintiff forbearing on its rights to proceed 17 with its litigation against Mohajer, and to secure his performance of the obligation to pay Tukwila 18 $135,000.00 plus interest and complete construction of required improvements by October 31, 19 2008, Mohajer gave this confession of judgment to plaintiff, for the amount of $135,000.00 plus 20 interest, less payments made prior to date of entry hereof, to be utilized in the event that Mohaer 21 defaults upon his promises to pay and complete construction of requirement improvements as 22 set forth in the Settlement Agreement. 23 3. This confession of judgment shall be entered only if Mohajer defaults on his 24 25 obligations to timely pay the sum of $135,000.00 plus interest, or fails to complete construction 26 of improvements on the Property as set forth in the Settlement Agreement and above. The fact CONFESSION OF JUDGMENT DECLARATION OF PLAINTIFF'S COUNSEL PAGE 3 KENYON DISEND, PLLC THE MUNICIPAL LAW FIRM 1] FRONT STREET SOUTH ISSAQUAH, WASHINGTON 98027 -3820 (425) 392 -7090 FAX (425) 392 -7071 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 that Mohajer has not timely made payment or completed construction of required improvements as set forth m the Settlement Agreement shall be verified and authenticated by Declaration of Plaintiff's counsel or plaintiff's agent, in a form substantially similar to that subjoined below, at the time plaintiff seeks entry of an order on this Confession of Judgment. DATED this 4 day of c7J 2008. DECLARATION OF PLAINTIFF'S COUNSEL ANNEXED CONFESSION OF JUDGMENT DECLARATION OF PLAINTIFF'S COUNSEL PAGE -4 HOSSEIN SABOUR MOHAJER l 13y: Hossein Sabour- Mohajer KENYON DISEND, PLLC THE MUNICIPAL LAW P111 1 1 FRONT STREET SOUTH ISSAQUAH, WASHINGTON 98027 -3820 (425) 392-7090 FAX (425) 392 -7071 1 DECLARATION OF BOB C. STERBANK 2 3 I, Bob C. Sterbank, make the following declaration 4 1. I am an attorney with KENYON DISEND PLLC attorneys of record for plaintiff, City 5 of Tukwila "City"). I am over the age of eighteen (18) years and I am an attorney duly hcensed 6 7 to practice in the State of Washington. I am competent to testify and would testify to the 8 following facts, which are within my personal knowledge. 9 2. This action arose as a result of Mohajer's operation of the Pacific Court 10 Apartments located at 4028 South 146 Street, Tukwila, Washington, on property legally 11 described in Exhibit A attached hereto and incorporated by this reference "the Property 12 Tukwila filed this action against Mohajer alleging various claims relating to nuisance 13 abatement on the Property, and recovery of tenant relocation fees, costs and attorneys' fees. 14 15 The factual allegations regarding the Property are set forth in the pleadings previously filed with 16 this Court and are contained in the court record. 17 3. On or about September 2008, plaintiff and Mohajer, through their respective 18 counsel, negotiated and entered into a Settlement Agreement and Release "Settlement 19 Agreement wherein Mohajer agreed to pay the City $135,000.00 plus interest at the rate of five 20 percent (5 per annum, in monthly installments of no less than $10,000.00, and agreed to 21 complete construction of certain required improvements, all as provided more specifically in the 22 Settlement Agreement. 23 ")4 4. Mohajer has failed to timely pay the sum of $135,000.00 plus interest, or any 25 installment or portion thereof, and /or complete construction of required improvements as 26 agreed. The City is now entitled to entry of this Confession of judgment in the amount of CONFESSION OF JUDGMENT DECLARATION OF PLAINTIFF'S COUNSEL PAGE 5 KENYON DISEND, PLLC THE MUNICIPAL LAW FIRA I 1 FRONT STREET SOUTH ISSAQUAH, WASHINGTON 98027 -3820 (425) 392-7090 FAX (425) 392 -7071 1 $135,000.00, plus interest thereon at a rate of 5% less payments made prior to 2 date of entry hereof for a total judgment amount of 3 4 Y declare under penalty of perjury under the laws of the State of Washington that the 5 foregoing is true and correct. 6 7 8 9 10 By: 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 DATED 200 at Washington. CONFESSION OF JUDGMENT DECLARATION OF PLAINTIFF'S COUNSEL PAGE 6 Bob C. Sterbank ORDER FOR ENTRY ANNEXED KENYON DISEND, PLGC THE MUNICIPAL LAW Fifa 11 FRONT STREET SOUTH ISSAQUAH, WASHINGTON 98027 -3820 (425) 392 -7090 FAX (425) 392 -7071 1 ORDER FOR ENTRY 2 3 In accordance with the foregoing Confession of Judgment executed by the parties hereto, 4 it is hereby, 5 ORDERED that the Clerk of this Court shall enter judgment in favor of City ofTukwila, 6 plaintiff herein, against Hossein Sabour- Mohajer for the sum of $135,000,00, plus interest 7 thereon at the rate of five percent (5 0 /6) less (payments made 8 by Hossein Sabour- Mohaler as of the date of entry hereof and authenticated by Plaintiffs 9 counsel), for a total judgment amount of The judgment amount shall bear 10 interest at the rate of twelve percent (12 per annum. 11 12' DATED this day of 200_. 13 14 JUDGE /COURT COMMISSIONER 15 16 Presented by: 17 KENYON DISEND "'c 18 19 20 B 21 Bob C. Sterbank, WSBA No. 19514 Attorneys for the City of Tukwila 22 23 24 25 26 KENYON DISEND, PLLC CONFESSION OF JUDGMENT DECLARATION I NE MUNICIPAL LAW FJRD OF PLAINTIFF'S COUNSEL I I FRONT STREET SOUTH ISSAQUAH, WASHINGTON 98027 -3820 PAGE 7 (425) 392 -7090 FAX (425) 392 -7071