R-98-17?. RESOLUTION NO. R -98- 17
A RESOLUTION AUTHORIZING THE SETTLEMENT OF
LITIGATION AND PURCHASE OF REAL ESTATE WITHIN THE
SOUTHWEST QUADRANT OF THE VILLAGE CENTER PROJECT AREA
WHEREAS, the Village of Deerfield is authorized to acquire real estate, including
the right to exercise eminent domain if necessary, for the purpose of acquiring real estate
for downtown redevelopment purposes pursuant to the provisions of 5/11 -61 -1 and 5/11-
74.4-4 of the Chapter 65 of the 1996 Illinois Compiled Statutes; and
WHEREAS, by Ordinance No. 0- 98 -07, the Village of Deerfield authorized the
acquisition of certain real estate within the southwest quadrant of the Village Center
Project Area for the purposes of downtown redevelopment; and
WHEREAS, pursuant to Ordinance No. 0- 98 -07, an action in eminent domain was
filed to acquire a certain parcel of land described in Ordinance No. 0 -98 -07 and commonly
known as 768 Osterman Avenue, Deerfield, Illinois (One Osterman Plaza); and
WHEREAS, said eminent domain action is currently pending in the Circuit Court of
Lake County, Illinois, as Village of Deerfield v. Galvani, et al., No. 98 ED 11 (hereinafter
"Litigation "); and
WHEREAS, all matters at issue in the Litigation have been resolved between the
parties thereon upon the terms and conditions more specifically set forth in Exhibit A
attached hereto and made a part hereof, and the corporate authorities of the Village of
Deerfield desire to approve said terms and conditions.
NOW THEREFORE, BE IT RESOLVED BY THE PRESIDENT AND BOARD OF
TRUSTEES OF THE VILLAGE OF DEERFIELD, LAKE AND COOK COUNTIES, ILLINOIS,
AS FOLLOWS:
SECTION The terms and conditions of the settlement of the Litigation
ONE: known as 98 ED 11, as set forth in the Settlement Stipulation
attached hereto as Exhibit A, are hereby approved and Special
Counsel for the Village of Deerfield, Joseph T. Morrison, is
authorized to execute this Settlement Stipulation on behalf of
the Village of Deerfield. The Village of Deerfield shall acquire
the real estate described in the litigation for $1,650,000.00,
according to the terms of the Settlement Stipulation.
SECTION Special Counsel for the Village of Deerfield, Joseph T.
TWO: Morrison, is hereby authorized and directed to obtain a final
judgment order in the Litigation consistent with the terms and
conditions set forth on Exhibit A attached hereto.
SECTION Village Manager and Special Counsel for the Village of
THREE: Deerfield, Joseph T. Morrison, are hereby authorized and
directed to take such other actions as may be required to fully
effectuate the terms and conditions of the settlement of the
Litigation as set forth on Exhibit A attached hereto to assure
proper title be vested in the Village of Deerfield.
AYES: Heuberger, Rosenthal, Seidman, Swanson, Swartz (5)
NAYS: None (0 )
ABSENT: Ehlers (1)
PASSED this 6' day of July, A.D., 1998.
APPROVED this 61 day of July, A.D., 1998.
VILLAGE PRESIDENT
, p� -...� ,h-- ov" j "C'Z. W Z
I&LAGE CLERK 4M
IN THE CIRCUIT COURT OF THE NINETEENTH
JUDICIAL CIRCUIT, LAKE COUNTY, ILLINOIS
VILLAGE OF DEERFIELD, a municipal
corporation,
Plaintiff,
vs.
No. 98 ED 11
THE GALVANI FAMILY LIMITED
PARTNERSHIP; THEODORE J. GALVANI;
MARY ANN GALVANI; FIRST MIDWEST
BANK, N.A.; et al.,
Defendants.
SETTLEMENT STIPULATION
NOW COMES the VILLAGE OF DEERFIELD, a municipal corporation, by and
through its attorneys, MORRISON & MORRISON, P.C., and the Defendants, THE
GALVANI FAMILY LIMITED PARTNERSHIP; THEODORE J. GALVANI; MARY ANN
GALVANI (hereinafter the GALVANI Defendants) by their attorneys, Burke and Ryan; and
Defendant DESIGNER KITCHENS & BATHS, INC., by their attorneys, Margaret Calk
Sauser, and hereby state and agree that the total just compensation to be paid for the
taking of the property described in the Complaint for Condemnation shall be ONE MILLION
SIX HUNDRED FIFTY THOUSAND AND NO /100 DOLLARS ($1,650,000.00). No costs
or interest shall be allowed or added thereto, all costs and interests having been waived,
and the Parties waive view of the premises, waive trial by jury, and consent to the entry of
a Judgment Order in accordance with this Stipulation.
Furthermore, as part of this Stipulation, the Parties have agreed as follows:
-1- EXHIBIT A
1. The just compensation shall be deposited by the Plaintiff with the Treasurer
of Lake County, Illinois, within 30 days after the entry of judgment order.
2. The Plaintiff will default Defendants FIRST MIDWEST BANK, N.A., QUE
THAN ROAN, individually and d /b /a NEW CHINA CHOP SUEY, PHUONG HOANG,
individually and d/b /a NEW CHINA CHOP SUEY, DOMINIC SIDARI, individually and d /b /a
DOMINIC'S BARER SHOP, JUNG K. SUH, individually and d /b /a OSTERMAN DRY
CLEANERS, IL FORNO GROUP, INC., INDECOR GROUP, INC., individually and d /b /a
J.C. LICHT COMPANY and AZGOCO, LTD. for failure to appear after being duly served
with summons.
3. The Plaintiff will default "UNKNOWN OWNERS" for failure to appear after
due notice by publication.
4. GALVANI Defendants represent and agree that all leases and leasehold
interests have been terminated pursuant to the provisions of the lease between GALVANI
Defendants and Lessees. Notwithstanding this termination, the following tenants shall be
allowed to remain in possession of a portion of the property pursuant to an agreement with
the Plaintiff:
DESIGNER KITCHENS & BATHS
5. Upon the deposit of just compensation, Plaintiff will be vested with fee simple
title to the real estate, and will be entitled to exclusive possession of the property
described in the Complaint to Condemn, except as hereinafter set forth.
6. GALVANI Defendants and DESIGNER KITCHENS & BATHS, INC. represent
and agree that any fees for work done on or at the property described in the Complaint to
Condemn have been paid, and DESIGNER KITCHENS & BATHS, INC. have taken no
-2-
action, or will take no actions, which might result in a possible mechanic's lien or other
liens being asserted against the property.
7. DESIGNER KITCHENS & BATHS will be allowed to remain in possession of
that portion of the building which it currently occupies, subject to the following:
a. DESIGNER KITCHENS & BATHS shall be allowed to remain in
possession of the property until the earlier to occur of (a) the date on
which DESIGNER KITCHENS & BATHS vacates the subject property;
or (b) January 31, 1999.
b. DESIGNER KITCHENS & BATHS acknowledges that it has
knowledge of the subject property and agrees to continue its
occupancy in full knowledge of its current condition. DESIGNER
KITCHENS & BATHS understands and agrees that it is accepting the
condition of the real estate in an "as is" condition.
C. DESIGNER KITCHENS & BATHS shall have no right to lease or
sublease any portion of the real estate during its period of
possession. DESIGNER KITCHENS & BATHS shall only have the
right to use the real estate to conduct its current business and for no
other use.
d. DESIGNER KITCHENS & BATHS understands and agrees that the
Plaintiff will not be required to make any type of repairs whatsoever
to the subject property during its period of possession. DESIGNER
KITCHENS & BATHS understands and agrees the Plaintiff will not be
making any repairs to the interior or exterior of the building.
Therefore, DESIGNER KITCHENS & BATHS understands and agrees
that any repairs which may be required in order for it to continue to
operate its business in the real estate will be the sole and separate
responsibility of DESIGNER KITCHENS & BATHS.
e. DESIGNER KITCHENS & BATHS shall maintain complete insurance
for liability concerning their use of the premises, and for any of the
personal property of the DESIGNER KITCHENS & BATHS in a form
acceptable to the Plaintiff. DESIGNER KITCHENS & BATHS shall
have provided proof of such insurance prior the withdrawal of just
compensation.
f. The Plaintiff or its designated officers, agents, employees or
contractors shall have the right to enter upon and into the building
located on the subject property, after 24 hours prior notice to
-3-
DESIGNER KITCHENS & BATHS , and at reasonable times, to
conduct surveys, soil tests or borings, environmental studies, or other
similar tests or investigations.
g. DESIGNER KITCHENS & BATHS agrees to notify the Plaintiff as to
the date it intends, to vacate and surrender possession of the real
estate, and it agrees that the real estate will be left secure,
reasonably free of trash and debris, and in a reasonably clean
condition on the date of vacation of possession. Any and all property
remaining in the property after the date that DESIGNER KITCHENS
& BATHS vacates possession will become the sole and exclusive
property of the Plaintiff.
h. DESIGNER KITCHENS & BATHS has agreed to assume sole and
entire responsibility for any and all loss of life, injury to persons or
damage to property that may be sustained directly or indirectly due
to the condition of the subject property, or the activities, operations or
use of the subject property by DESIGNER KITCHENS & BATHS, its
employees, successors, invitees, assigns and agents. Furthermore,
DESIGNER KITCHENS & BATHS, on behalf of itself and its
employees, successors, assigns and agents, and for those claiming
by, through or under any of them, hereby release the Plaintiff, its
officers, elected officials, employees and agents from any and all
claims and demands for loss, liability, expense, cost or damage,
whether to person or property, including without limitation, reasonable
attorney's fees and litigation costs which may be incurred in
connection herewith, that may arise from the operations on,
occupation of, or use of the subject property by DESIGNER
KITCHENS & BATHS, their successors, employees, invitees, and
agents. DESIGNER KITCHENS & BATHS hereby agrees to
indemnify, defend and hold harmless the Plaintiff from any and all
liability, loss, claim, demand, lien, or other cost or expense, including
without limitation, reasonable attorney's fees and litigation costs,
incurred by the Plaintiff for injuries to person (including, without
limitation, loss of life) and for damage, destruction, or theft of property
which is directly or indirectly due to any activity, work or thing done,
or the possession of the real estate by DESIGNER KITCHENS &
BATHS in and about the subject property. DESIGNER KITCHENS &
BATHS shall consult the Plaintiff in defense of any such claim,
including without limitation to, the employment, at the sole expense
of DESIGNER KITCHENS & BATHS, of legal counsel satisfactory to
the Plaintiff.
i. DESIGNER KITCHENS & BATHS shall be responsible for any and all
charges, costs and expenses incurred by DESIGNER KITCHENS &
-4-
BATHS, in connection with its use of the subject property, including
but not limited to gas, electric, water, sewer, garbage collection, and
all other fees and costs associated with the occupancy and use of the
subject property. DESIGNER KITCHENS & BATHS agrees that any
and all costs and expenses which are incurred by the Sellers which
are associated with the occupancy and residence of the subject
property, shall be paid in full at the time of the vacation of the
premises.
DESIGNER KITCHENS & BATHS understands that the Plaintiff may
incur substantial costs and damages in the event that possession of
the subject property is not vacated and tendered to the Plaintiff by
January 31, 1999, or if DESIGNER KITCHENS & BATHS breaches
any provisions contained in this Settlement Agreement. Therefore,
the Trial Court will retain jurisdiction to enforce the terms of this
Settlement Stipulation, and DESIGNER KITCHENS & BATHS agrees
that if such legal action is taken by the Plaintiff to enforce the terms
of this Settlement Stipulation, then the Plaintiff will be entitled to be
paid all reasonable costs and attorney's fees associated with
enforcing the terms of this Settlement Stipulation.
k. DESIGNER KITCHENS & BATHS, INC. understands that the terms
of this agreement may be assigned by the VILLAGE OF DEERFIELD
and consents to that assignment.
DESIGNER KITCHENS & BATHS, INC. shall pay tohe VILLAGE OF
DEERFIELD or its assigns a reasonable rental in the amount of TWO
THOUSAND FIVE HUNDRED DOLLARS ($2,500.00) for each month
of possession. The first payment will be due seven days after the date
of deposit, and the following each monthly payments will be made on
the same day of each successive month.
Joseph T. Morrison William Ryan
Attorney for VILLAGE OF DEERFIELD Attorney for Certain Owners
Margaret Calk Sauser
Attorney for Certain Owners
-5-
Prepared By:
MORRISON & MORRISON, P.C.
32 N. West Street
Waukegan, IL 60085
847 - 244 -2660
Attorney No. 6182078
0
DESIGNER KITCHENS & BATHS