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HomeMy WebLinkAboutContract 47507 X91011 ,cy 2 CIO r , , CAUSE N0. 2015-003161-3 RITA S ( I and NATHANIEL § IN THE COUNTY COURT AT LAW OF GALATA, Individually and as Next § Friend of JEREMIAH GALATA, § Plaintiffs, § § TARRANT COUNTY, TEXAS VS. § THE CITY OF FORT WORTH, § Defendant. § COURT NUMBER THREE SETTLEMENT AGREEMENT AND RELEASE FOFFICIALRECORD THE STATE OF TEXAS § RETARY § TH,TX COUNTY OF TARRANT § WHEREAS, in the above numbered and entitled cause, JEREMIAH GALATA, a Minor, by and through his Next of Friend, NATHANIEL GALATA, hereinafter referred to as "Plaintiffs," have sued THE CITY OF FORT WORTH,hereinafter referred to as "Defendant," in the County Court at Law Number 3 of Tarrant County, Texas; and WHEREAS, the Plaintiffs and the Defendant desire to and have agreed to compromise and settle all claims arising out of the automobile accident of April 20, 2014, at the intersection of Forest Park Boulevard and Cantey Street in Fort Worth, Tarrant County, Texas, all as described in Plaintiffs' Original Petition and reference is hereby made to Plaintiffs' Original Petition in Civil Action No. 2015-003161-3 for a full description of said transactions and allegations of Plaintiffs against Defendant; and WHEREAS, the parties have agreed to settle the lawsuit as follows and do bind themselves to this their agreement in compromise and settlement of any and all issues between them,to-wit: TERMS AND CONDITIONS 1. For and in consideration of the agreement of Plaintiff NATHANIEL GALATA AS NEXT FRIEND OF JEREMIAH GALATA to release, settle, compromise and discharge Defendant as set out herein, Defendant agrees to pay to or on behalf of Plaintiff the sum of FIVE THOUSAND and 00/100 ($5,000.00) DOLLARS to be paid as follows: a. Payment of $5,000.00 to NATHANIEL GALATA AS NEXT FRIEND OF JEREMIAH GALATA, a minor, of which sum $5,000.00 is to be paid to MetLife Tower Resources Group, Inc., for the purchase of an annuity to benefit the Minor Settlement Agreement and Release Rita Sanchez, et al vs. City of Fort Worth Page 1 of 8 Plaintiff that will commence July 1, 2025 after Minor is an adult, and that Jeremiah Galata be paid $686.65 semi-annually for four (4) years, for a total of $5,493.00, 8 payments guaranteed with the last guaranteed payment to be paid January 1, 2029. b. Payments'Not Income Releasing parties acknowledge that there is no factual or legal basis for the assertion or recovery of punitive damages or exemplary damages. All parties presently intend and contemplate that all of the payments made to the plaintiffs pursuant to this Settlement Agreement are for damages received on account of personal physical injuries or physical sickness within the meaning of Section 104(a)(2) and Section 130 of the Internal Revenue Code of 1986, as amended, and no portion of those amounts represent pre judgment interest, post judgment interest or punitive damages. Released parties further agree that they will not file a Form 1099 or any other form reporting the settlement amount to the Internal Revenue Service, except as required by the Internal Revenue Service for reporting payments to attorneys. PLAINTIFF'S RIGHT TO PAYMENTS Plaintiffs acknowledge that the rights to receive the future Periodic Payments described herein ("Periodic Payments") cannot be accelerated, deferred, increased or decreased by Plaintiff or any payee; nor shall Plaintiff or any payee have the power to sell, mortgage, pledge, encumber or anticipate the periodic payments or any part thereof, by assignment or otherwise. The rights to receive periodic payments granted to the minor Plaintiff may not be sold, transferred, hypothecated, pledged, or otherwise alienated in any manner, directly or indirectly, without the prior approval of the then-sitting Judge of this Court, as evidenced by an Order approving such transaction entered after compliance with all requirements of the Structured Settlement Protection Act, Section 141.001, Texas Civil Practice and Remedies Code, as it now exists or may hereafter be amended, or any successor to such statute. CONSENT TO QUALIFIED ASSIGNMENT The parties hereto acknowledge and agree that The City of Fort Worth ("Assignor") may make a "Qualified Assignment" to MetLife Tower Resources Group, Inc. ("Assignee") of the obligations to make the periodic payments set forth herein. Such assignment shall comply with the provisions of Section 130(c) of the Internal Revenue Code of 1986, as amended, ("the Code") regarding "Qualified Assignments." The assignment, if made is accepted by the Plaintiffs without right of rejection. The Assignee's obligation for payment of the Periodic Payments shall be no greater than that of Released Parties and/or their Insurer (whether by judgment or agreement) immediately preceding the assignment of the Periodic payments obligation. Upon assignment, MetLife Tower Resources Group, Inc. or its designee shall mail future payments directly to the Plaintiffs. Plaintiffs shall be responsible for maintaining proper mailing address with MetLife Tower Resources Group, Inc., Structured Settlement Unit, P.O. Box 14403, Lexington, KY 40512-4403. Settlement Agreement and Release Rita Sanchez, et al vs. City of Fort Worth Page 2 of 8 RIGHT TO PURCHASE AN ANNUITY MetLife Tower Resources Group, Inc. may fund the Periodic Payments by purchasing a "Qualified Funding Asset," within the meaning of Section 130(d) of the Code, in the form of an annuity policy from Metropolitan Life Insurance Company. All rights of ownership and control of such annuity policy shall be vested in the Assignee, but MetLife Tower Resources Group, Inc. may have Metropolitan Life Insurance Company make payments directly to the Plaintiffs for Assignee's convenience. The annuity premium check(s) shall be delivered to Structured Annuities, Inca at 2525 Ridgmar Boulevard, Ste. #200, Fort Worth, Texas 76116. RELEASE OF OBLIGATIONS Upon making such a "Qualified Assignment," Assignor shall be fully and completely released from all obligations to make the Periodic Payments, and Plaintiffs acknowledge that only MetLife Tower Resources Group, Inc. shall be obligated to make the Periodic Payments. Assignee's obligation to make each Periodic Payment shall be discharged upon the mailing of a valid check, or its electronic equivalent to a U.S. Bank account in the amount due to the address or account so designated by the Payee. c. Beneficiaries Any payments to be made after the death of the Payee(s) pursuant to the terms of this Agreement shall be made to such person or entity as shall be designated in writing by the said Payee(s), upon reaching the age of majority, to the Assignee. If no such entity is so designated by said Payee(s), such payments shall be made to the Estate of the Payee(s). No such designation, or any revocation thereof, shall be effective unless it is in writing and delivered to Assignee in a form acceptable to Assignee, but in no event shall the request of the Payee(s) be unreasonably withheld or denied. 2. In consideration of the terms and provisions of this settlement agreement and release, as herein stated, and upon the dismissal of the lawsuit, herein described, by the County Court at Law Number 3 of Tarrant County, Texas, Plaintiffs agree and do hereby release, acquit and forever discharge Defendant, The City of Fort Worth, and its employees, attorneys, and council members, in their official and individual capacities, including their successors and assigns, from any and all claims, demands, suits, debts, promises, damages,judgments, executions, guaranties or warranties whatsoever in law or in equity, actions and causes of action of whatever kind and character whether in contract or in tort, known or unknown, presently existing or which might ever accrue to Plaintiff JEREMIAH GALATA, arising out of or having to do with the claims, causes of action or allegations described in Plaintiffs' pleadings of any claims, demands, suits, debts, promises, damages, judgments, executions, guaranties or warranties whatsoever which might arise as a result of any actions or conduct of The City of Fort Worth. 3. For the same consideration as herein set out, Plaintiff, NATHANIEL GALATA, as Next Friend of JEREMIAH GALATA, a minor, does in his representative capacity, his heirs, executors, administrators, successors and assigns, hereby release, acquit and forever discharge Settlement Agreement and Release Rita Sanchez, et al vs. City of Fort Worth Page 3 of 8 Defendant, the City of Fort Worth, and its employees, attorneys, and council members, in their official and individual capacities, including their successors and assigns, from any and all claims, demands, attorney's fees, penalties, actions and causes of action of whatever kind and character, whether in contract or in tort, known or unknown, presently existing or which may accrue in the future, arising as described in Plaintiffs' Original Petition, in regards to JEREMIAH GALATA, in the lawsuit being Civil Action No. 2015-003161-3, in the County Court at Law Number 3 of Tarrant County, Texas. 4. This Release is intended to extinguish any and all debts, obligations or causes of action existing between Plaintiff JEREMIAH GALATA and Defendant concerning the lawsuit being Civil Action No. 2015-003161-3 in the County Court at Law Number 3 of Tarrant County, Texas. 5. It is the intention of Plaintiffs and Defendant that this release shall be effective as a full and final accord and satisfaction and as a bar to all actions, causes of action, costs, expenses, attorney's fees, damages, claims, and liabilities whatsoever, whether or not known, suspected, claimed or concealed. Plaintiffs expressly waive and relinquish any and all rights and benefits which they may have under Texas and Federal statute or common law principal, to the fullest extent that they may lawfully waive such rights or benefits pertaining to the release of claims against Defendant. In connection with such waiver and relinquishment, Plaintiffs acknowledge that they are aware that they may hereafter discover claims, liens, or facts in addition to or different from those which they now know or believe to exist with respect to the subject matter of this release, but it is their intention to fully, finally and forever settle and release all of the disputes and differences known or unknown, suspected or unsuspected which do now exist, which may exist in the future, or have existed between Plaintiffs and Defendant arising out of or in connection with the released claims. 6. Plaintiff, NATHANIEL GALATA, warrants and represents he is the natural parent, guardian and next friend of the minor Plaintiff, JEREMIAH GALATA., herein, and no other party or entity owns or holds any claim or cause of action by, for or through the minor Plaintiff regarding the circumstances arising from the matters contained in this Release and Settlement Agreement. Plaintiff, NATHANIEL GALATA, represents and testifies that this settlement and agreement is in the best interest of the minor Plaintiff, JEREMIAH GALATA. 7. Plaintiff, NATHANIEL GALATA, in his representative capacity, does for the minor Plaintiff, and his successors, heirs, executors, administrators, representatives, insurers, agents, and assigns covenants and agrees that they will not institute any suit or action, or prosecute or in any manner voluntarily aid in the institution or prosecution of any claim, demand, suit, action or cause of action, State or Federal, against Defendant The City of Fort Worth, and its employees, attorneys, and council members, in their official and individual capacities, including their successors and assigns, with respect to any matter, cause or thing whatsoever arising out of, based in whole or in part upon, relating to, or existing, by reason of the transaction, events, occurrences, acts, omissions or failures to act, of whatever kind or character whatsoever, alleged or which could have been alleged, in this litigation with regards to JEREMIAH GALATA. Settlement Agreement and Release Rita Sanchez, et al vs. City of Fort Worth Page 4 of 8 8. The purpose of this Agreement is to accomplish the compromise and settlement of disputed and contested claims, and nothing in this agreement shall be construed as an admission by any party to this agreement of any liability of any kind to any other party to this agreement. Defendant denies the allegations set out in the Plaintiffs' Original Petition and further denies Defendant is liable to Plaintiffs in any respect whatsoever. 9. Plaintiffs specifically agree that they will indemnify and hold Defendant The City of Fort Worth and its attorneys harmless against any and all losses, costs, expenses, and liabilities (including reasonable attorney's fees) arising out of any suit filed against Defendant The City of Fart Worth or their attorneys as a result of any claim for damages from Plaintiffs, including but not limited to any lien or debt under the Texas Hospital Lien statutes or Medicare/Medicaid Lien or a valid subrogation interest. PLAINTIFFS WILL DEFEND, HOLD HARMLESS AND INDEMNIFY THE DEFENDANT, THE CITY OF FORT WORTH AND ITS ATTORNEYS OF AND FROM ANY AND ALL SUCH CLAIMS ARISING FROM THE LAWSUIT, AND EXPRESSLY WITH REFERENCE TO ANY LIENS UNDER STATE OR FEDERAL LIEN LAW. SUCH INDEMNIFICATION IS INTENDED TO BE EFFECTIVE AND IN FULL FORCE, EVEN IF SUCH CLAIMS ARISE OUT OF THE PARTIAL OR COMPLETE NEGLIGENCE, GROSS NEGLIGENCE, OR OTHER WRONGFUL CONDUCT OF THE DEFENDANT. Plaintiffs acknowledge and warrant that they are solely responsible for any and all amounts paid to or by any provider of medical care or service of supplies, including, but not limited to,prescription and non-prescription medications. 10. Plaintiffs shall take all necessary steps to have the pending litigation discontinued and dismissed with prejudice as to Defendants pursuant to Texas Rule of Civil Procedure 162. These steps shall include, without limitation, execution of the Judgment of the Court in the form annexed hereto as Exhibit "A." In the event that the pending litigation is not discontinued and dismissed with prejudice, this Release and Settlement Agreement shall be null and void and of no effect. 11. This Agreement and the attached Exhibit shall be governed by, interpreted, and enforced in accordance with the laws of the State of Texas applied to contracts made in Texas to be wholly performed in Texas by Texas domiciliaries. 12. Waiver of any one breach of the provisions of this agreement shall not be deemed a waiver of any other breach of the same or other provisions of this Agreement. 13. All parties to this Agreement and their counsel, if any, have reviewed and revised this agreement, and the normal rule of construction to the effect that any ambiguities in this Agreement are to be resolved against the drafting party shall not be employed in the interpretation of this Agreement. Settlement Agreement and Release Rita Sanchez, et al vs. City of Fort Worth Page 5 of 8 14. This Agreement and the attached Exhibit constitute the complete expressions of the terms of the settlement. All prior and contemporaneous agreements, representations, and negotiations are superseded. 15. If any provision of this Agreement is illegal or unenforceable,then that provision shall be deemed stricken and all remaining provisions shall remain in force and effect. 16. No amendment to this Agreement shall be effective unless it is reflected in writing and signed by a duly authorized representative of all parties to this Agreement. 17. Plaintiffs represent and warrant with respect to the Settlement Agreement and all matters covered by and related to it, that they have been fully advised by an attorney of their choice, if any, with respect to their rights and obligations and with respect to the execution of this Settlement Agreement. Plaintiffs declare that they know and understand the contents of the Settlement Agreement and that this Settlement Agreement has been executed voluntarily. 18. KAREN SCHROEDER is the GUARDIAN AD LITEM for the minor, JEREMIAH GALATA, with respect to the Settlement Agreement and all matters covered by and related to it and has had the opportunity to review and advise the minor with respect to the minor's rights and obligations with respect to the execution of this Settlement Agreement. By execution of this Agreement the guardian ad litem states that the settlement stated herein is in the best interest of the minor Plaintiff, JEREMIAH GALATA, and should be approved by the court. 19. Costs of court incurred by each party and assessed by the County Court at Law Number 3 of Tarrant County, Texas in Civil Action No. 2015-003161-3 shall be paid by the party incurring same and Defendant will pay any reasonable Guardian ad litem fee(s) awarded. 20. This Agreement and release shall become final, effective and consummated when the Court approves the dismissal of the above numbered and entitled cause and enters final judgment thereon. It is contemplated herein that this document may be signed by the parties at different locations in order to bring this matter to an expeditious conclusion. EXECUTED in multiple originals of equal dignity on this date being the day of February, 2016. NATHANIEL GALATA, as Next Friend of JEREMIAH GALATA, a Minor Settlement Agreement and Release Rita Sanchez, et al vs. City of Fort Worth Page 6 of 8 THE STATE OF TEXAS § § COUNTY OF TARRANT § This instrument was acknowledged before me on the 06 day of , 2016, by NATHANIEL GALATA as Next Friend of JEREMIAH GALATA, a Minor. �o�Yp�s CARLA PHELPS 2° NotaryPublic, State of Texas �iiy Commission Expires J Fexuary 23,2018 My Commission Expires: o'9Bd^iF'6660'®4't�N)9T�+o'sP�'ri']� � APPROVED: The undersigned guardian ad litem for the minor, JEREMIAH GALATA, approves this Settlement Agreement, to the extent provided therein, and represents that the terms of it are fair and equitable and in the best interest of the minor. KA DER Guardian Ad Litem APPROVED AS TO SUBSTANCE AND FORM: ZA Wade A.Barrow,fead Attorney State Bar No. 24031844 LAW OFFICES OF STEVEN C.LAIRD,P.C. 1824 8th Avenue 69 Fort Worth, Texas 76110 Attorney for Plaintiff Nathaniel Galata a/n/f of Jeremiah Galata CITY OF FORT WORTH: Valerie Washington, Assistant City Manager Settlement Agreement and Release Rita Sanchez, et al vs. City of Fort Worth Page 7 of 8 APPROVED AS TO FORM: Brandon Carr, Assistant City Attorney ® ATTEST: ® . M y Kayser ecretary �o � OFFICIAL RECORD CITY SECRETARY 'a wowMv TX Settlement Agreement and Release Rita Sanchez, et al vs. City of Fort Worth Page 8 of 8