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STATE OF TEXAS § CITY SECRETARY L ,,
§ UONTRACT AKS.
COUNTIES OF TARRANT, §
DENTON, PARKER, WISE §
and JOHNSON §
COMPROMISE SETTLEMENT AGREEMENT AND RELEASE OF ALL CLAIMS
I.PARTIES
This Settlement Agreement and Release ("Agreement") is made and entered into by and
between the CITY OF FORT WORTH ("Fort Worth" or "City"), a home rule municipal
corporation located in the state of Texas and situated in portions of Tarrant, Wise, Parker,
Johnson and Denton Counties, acting by and through its duly authorized Assistant City Manager,
and Chrome Construction, LLC ("Chrome"), a Texas Limited Liability Company, acting by and
through Alex Veigel, a duly authorized Manager. The City and Chrome are collectively referred to
as the"Parties."
II.RECITAILS
WHEREAS, on October 30, 2015, Chrome purchased real property located at 2628
Boyd Avenue (the "Property"), within the City of Fort Worth. The Property is legally described
as Lot 16 & S45' 17,Block 24,University Place Addition, situated in Tarrant County, Texas;
WHEREAS, Chrome contends it purchased the Property for investment purposes, with
plans to build a second residence upon the Property as previously permitted in 2014. The second
residence would have been 3504 Cantey Street;
WHEREAS, at the time of Chrome's purchase, the Property's zoning classification was
"A-7.5 (One Family),"which precluded the construction of a second residence;
STATE OF TEXAS § CITY SECRETARY �L
§ 6"' 4TUCT M.
COUNTIES OF TARRANT, §
DENTON,PARKER, WISE §
and JOHNSON §
COMPROMISE SETTLEMENT AGREEMENT AND RELEASE OF ALL CLAIMS
I.PARTIES
This Settlement Agreement and Release ("Agreement") is made and entered into by and
between the CITY OF FORT WORTH ("Fort Worth" or "City"), a home rule municipal
corporation located in the state of Texas and situated in portions of Tarrant, Wise, Parker,
Johnson and Denton Counties, acting by and through its duly authorized Assistant City Manager,
and Chrome Construction, LLC ("Chrome"), a Texas Limited Liability Company, acting by and
through Alex Veigel, a duly authorized Manager. The City and Chrome are collectively referred to
as the"Parties."
II. RECITALS
WHEREAS, on October 30, 2015, Chrome purchased real property located at 2628
Boyd Avenue (the "Property"), within the City of Fort Worth. The Property is legally described
as Lot 16 & S45' 17,Block 24, University Place Addition, situated in Tarrant County, Texas;
WHEREAS, Chrome contends it purchased the Property for investment purposes, with
plans to build a second residence upon the Property as previously permitted in 2014. The second
residence would have been 3504 Cantey Street;
WHEREAS, at the time of Chrome's purchase, the Property's zoning classification was
"A-7.5 (One Family),"which precluded the construction of a second residence;
WHEREAS, on September 5, 2014, a third party company applied for a building permit
to construct a second residential structure at 3504 Cantey Street, and on September 18, 2014, the
City issued the permit. At that time the property was zoned "B (Two Family)," which allowed
for two residential structures on one lot;
WHEREAS, the City Council adopted Ordinance No. 21431-09-2014 (eff. date 10-7-
2014) rezoning the property from "B (Two Family)"to "A-7.5, One Family"residential district;
WHEREAS,AS, due to inactivity, the City expired the permit on October 8, 2015, which
thereafter subjected the Property to the zoning requirements of any new development in an "A-
7.5, One Family" residential district;
WHEREAS, on or about April 27, 2016, Chrome filed its claim for damages against the
City related to the expiration of the building permit and damages it allegedly sustained to the
Property as a result;
WHEREAS, the City and Chrome agree that bona fide disputes and controversies exist
between the Parties related to the Property;
WHEREAS, the Parties have engaged in considerable good faith negotiations and
discussions in an effort to amicably resolve all claims and matters that the Parties have raised
arising out of the issuance of permits, the changing of zoning classifications, or relating to the
Property in any way; and
WHEREAS, the Parties mutually wish to avoid litigation relating to the Property, and
therefore are desirous of a final negotiated settlement and compromise of their dispute, as more
fully set forth herein. The specifics of Chrome's release are outlined below, but generally
Chrome releases any claim against Fort Worth for the expiration of the building permit at issue
in this matter. Chrome releases any claim against Fort Worth that Chrome is entitled to construct
COMPROMISE SETTLEMENT AGREEMENT—CHROME CONSTRUCTION,LLC Page 2 of 6
two residential structures on the Property. Chrome releases Fort Worth from any claim for
damages to which Chrome contends it was entitled as a result of the zoning change at issue in
this matter. Finally, Chrome releases Fort Worth from any claim it has relating to the Property,
in any way arising from this dispute.
III. TERMS
NOW, THEREFORE, in consideration of the recitals set forth above, the mutual
promises and agreements made herein, and other valuable consideration, the receipt and
sufficiency of which is acknowledged, the City and Chrome agree as follows:
1. Releaseby Chrome Construction, LLC: For and in consideration of the recitals set
forth above and the actions to be taken under the terms of this Settlement Agreement
as described below, Chrome does hereby RELEASE, ACQUIT, and FOREVER
DISCHARGE the City, the City's agents, servants; contractors, employees,
executors, heirs, and assigns, and all persons, natural or corporate, in privity with it or
any of said persons from any and all claims, demands, or causes of action of any kind
whatsoever, at common law, statutory, or otherwise, which Chrome has now, known
or unknown, existing at the time of execution of this agreement, directly or indirectly
attributable to the City, related to the Property, including but not limited to: any
regulatory takings claim, Tort Claims Act claim, state or federal constitutional claim
or state statutory claim of any kind. It being intended by this Agreement to
RELEASE, ACQUIT, and FOREVER DISCHARGE all claims of any kind which
Chrome might have against the City relating to the Property or the expired building
permit. This release shall be a fully binding and complete settlement between the
Parties.
COMPROMISE SETTLEMENT AGREEMENT—CHROME CONSTRUCTION,LLC Page 3 of 6
2. Consideration: The City agrees to pay $90,000.00 to Chrome Construction, LLC in
settlement of Chrome's claim against the City, under this Agreement. This amount is
the total monetary compensation due under the Agreement.
3. Entire Agreement and Successors in Interest: This Agreement contains the entire
agreement between the City and Chrome regarding the matters set forth herein, and it
shall be binding upon and inure to the benefit of the administrators, executives,
personal representatives, heirs, successors, and assigns of each.
4. Representations: The City has relied on the representations of Chrome and its
representatives to reach this settlement. The parties agree that these representations
survive this settlement agreement.
5. Texas Law to Appy: This Settlement Agreement shall be construed under, and in
accordance with, the laws of the State of Texas, and all obligations of the Parties
created by this Settlement Agreement are performable in Tarrant County, Texas.
6. Severability: If any of the provisions contained in this Settlement Agreement shall
for any reason be held to be invalid, illegal, or unenforceable, the invalidity, illegality,
or unenforceability shall not affect any other provision of the Settlement Agreement,
and this Settlement Agreement shall be construed as if the invalid, illegal, or
unenforceable provision had not been included in the Settlement Agreement.
7. Amendment: No amendment, modification, or alteration of the terms of this
Settlement Agreement shall be binding unless it is in writing, dated subsequent to the
date of this Settlement Agreement, and duly executed by the City and Chrome.
8. No Admission of Liability: It is understood and expressly agreed that neither the
payment of the settlement amount nor anything contained within this Agreement shall
COMPROMISE SETTLEMENT AGREEMENT—CHROME CONSTRUCTION LLC Page 4 of 6
be construed as an admission of any liability whatsoever on the part of the City. The
Parties acknowledge and agree that this Agreement is made in compromise and
settlement of a disputed claim and that by entering into this Agreement neither party
intends to admit the correctness of the other party's contentions.
9. Effective Date: This Agreement shall become effective immediately following
execution by all of the Parties.
EXECUTED h-i duplicate originals on the date hereinafter indicated.
By:
Alex Veige , Mana
CHROME CONS UCTION,LLC
a Texas Limit �,iability Company
Date:
THE STATE OF TEXAS §
§ KELLY R.BECK
* Notary Public,State of Tvws
COUNTY OF TARRANT § t: ,T �, comm.Expires 06-16-2019
OF� Notary ID 3957285
BEFORE ME,the undersigned authoff Lite State of Texas
on this day personally appeared Alex Veigel, known to me to be the person whose name is
subscribed to the foregoing instrument, and acknowledged to me that they executed the same for
the purpose therein expressed, and in the capacity therein stated.
Given under my hand and seal of office this a / day of DC� , 2016.
Notary P blic ' and for The State of Texas
My Commission Expires:
COMPROMISE SETTLEMENT AGREEMENT—CHROME CONSTRUCTION,LLC Page 5 of
APPROVED AS TO SUBSTANCE AND FORP\d.-
Date: �D Z
L. Kelly Jones
JONES HASSET
440 North Center
Arlington, Texas 76011
k'oJ nesrar•rantbusinesslaw.com
ATTORNEY FOR CHROME CONSTRUCTION, LLC
THE CITY OF FORT WORTH
Date:
Fernando Costa,Assistant City Manager
APPROVED,AS.FORM ND LEGALITY
Date: 2
Gerald Pruitt
Deputy City Attorney, City of Fort Worth
ATTEST: @
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ate:
ary J. Ka , C S etary {< °' a
COMPROMISE SETTLEMENT AGREEMENT—CHROME CONSTRUCTION,LLC Page 6 of 6
CERTIFICATE OF INTERESTED PARTIES
FORM 1295
1 of 1
Complete Nos.1-4 and 6 if there are interested parties. OFFICE USE ONLY
Complete Nos. 1,2,3,5,and 6 if there are no interested parties. CERTIFICATION OF FILING
1 Name of business entity filing form,and the city,state and country of the business entity's place Certificate Number:
of business. 2016-137743
Chrome Construction
Fort Worth, TX United States Date Filed:
2 Name of governmental entity or state agency that is a party to the contract for which the form is 11/16/2016
being filed.
City of Fort Worth Date Acknowled ed:
1 //30
3 Provide the identification number used by the governmental entity or state agency to track or identify the contract,and provide a
description of the services,goods,or other property to be provided under the contract.
14Chrorne Construction LLC
Settlement of a Clairn
Nature of interest
4
Name of Interested Party City,State,Country(place of business) (check applicable)
Controlling Intermediary
Sunrise Construction Corp. Fort Worth, TX United States X
Overcomer Energy , LLC Wichita Falls, TX United States X
5 Check only if there is NO Interested Party. ❑
6 AFFIDAVIT I swear,or affirm,under penalty of perjury,that the above disclosure is true and correct.
G* *
KELLY R.BECK
Notary PubNc,State of TexasComm.Expires 06.16.2019
Notary ID 3997285 Signatu e of autl riz nt of contracting business entity
AFFIX NOTARY STAMP/SEAL ABOVE n 1 I n
Sworn to and subscribed before me, by the said /-1 V�i t GIS' this the day of
20 to certify which,witness my hand and seal of office.
Signatu e of off ie administering oath Printed name of r administering oath Title of officer adistering oath
Forms provided by Texas Ethics Commission www.ethics.state.tx.us Version V1.0.277