HomeMy WebLinkAboutResolution 9800RESOLUTION NO.9800
CITY OF MOUNDS VIEW
COUNTY OF RAMSEY
STATE OF MINNESOTA
RESOLUTION APPROVING SETTLEMENT AGREEMENT
AND GENERAL RELEASE WITH AE2S LLC
WHEREAS, effective March 26, 2019, Mounds View and AE2S INC. entered into an
Agreement Between Owner and Engineering for Professional Services (the "Engineer Contract")
for AE2S to provide engineering and related services for the 2019 Water Treatment Plant ("WTP")
Rehabilitation Project, which included WTP Facilities Nos.: 1, 2, and 3 and the water pressure
Booster Station Facility located in the City of Mounds View, Minnesota (collectively, the
"Property");
WHEREAS, the 2019 Water Treatment Plant Rehabilitation Project was divided into two
phases to be separately put out for bid, with the first phase comprising, among other things, the
rehabilitation and construction of WTP Facilities 2 and 3 ("Project");
WHEREAS, on or about December 31, 2019, following a Public Bid, Mounds View
awarded the Project's contract for construction to Shank Constructors, Inc. ("Shank") pursuant to
which Shank would serve as the Project's General Contractor (the "Construction Contract");
WHEREAS, effective January 31, 2020, Mounds View and AE2S INC. entered into an
Amendment to Owner -Engineer Agreement for additional services to be performed by AE2S INC.
regarding the Project's Construction Phase, Post -Construction Phase, and Construction Phase
Instrumentation and Control Services (the "Amendment");
WHEREAS, by letter dated November 25, 2020, from Mounds View to Shank, Mounds
View sought a recovery schedule for the ongoing delay of completion of the Project;
WHEREAS, by letter dated December 18, 2020, to AE2S INC., Shank requested an
equitable adjustment in the Contract Time and reserved its right to seek one in the Contract Price.
Shank contended that the Project was delayed, in part, due to numerous design changes and their
impact on the sequencing of Shank's work;
WHEREAS, effective January 22, 2021, Mounds View and Shank entered into a Tolling
Agreement regarding the Project;
WHEREAS, following start-up of the Project, Mounds View experienced issues with
media loss in WTP Nos.: 2 and 3; and, in or about August 2021, Mounds View found media in
the distribution system and in the backwash collection tank (collectively, the "Media Issue");
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WHEREAS, in or about October 2021, Frontier Precision performed a floor inspection
survey in the WTP No. 2 filter cells, which showed that the underdrain nozzles installed at varying
elevation in cells 1 and 3 (the "Underdrain Issue");
WHEREAS, in or about 2022, Mounds View retained Barr Engineering Co. (`Barr") to
conduct testing on the WTP filters to measure media loss in same;
WHEREAS, on May 19, 2022, Shank served Mounds View with a Summons and
Complaint (the "Action"), which asserted Causes of Action against Mounds View for Breach of
Contract, Breach of Implied Warranties, and Unjust Enrichment regarding the Project. In the
Action, Shank alleged that AE2S Inc.'s Specifications were deficient, which purportedly caused
damage to the WTP that Shank was required to repair. Shank contended that it was owed a sum
from the Construction Contract and additional Work performed due to AE2S INC'S alleged errors
and/or omissions;
WHEREAS, effective June 27, 2022, AE2S LLC and Mounds View signed a Tolling and
Mutual Cooperation Agreement to pause the running of the applicable Statute of Limitations with
respect to Mounds View's potential claims against AE2S INC. and/or AE2S LLC (the "AE2S
Tolling Agreement");
WHEREAS, Barr performed testing in 2022 and 2023; and, on April 14, 2023, Barr issued
a Water Treatment Plans 2 and 3 Filter Evaluation to Mounds View in which Barr opined: (1) on
the root cause of the Media Issue, (2) that air was entering the underdrain during backwash, which
was disrupting the gravel, (3) on the insufficient drain down of cells prior to the air and water
backwash, and (4) the improper installation of the underdrain laterals, which were canted to one
side (the "Barr Report");
WHEREAS, on April 14, 2023, Shank filed the Action with the District Court, Second
Judicial District, Ramsey County, Minnesota. Neither Shank nor Mounds View named AE2S
INC. and/or AE2S LLC as a party to the Action;
WHEREAS, the Parties have engaged in settlement negotiations in an attempt to resolve
their respective claims against each other without the need for further legal action and expense; and
WHEREAS, the Parties have determined that it is in their best interest to avoid further costs
and delays in resolving the claims, disputes, causes of action, and potential causes of action
between them involving the Media Issues, Underdrain Issues and the Action and in the AE2S
Tolling Agreement (collectively, the "Released Claims," as defined in the Settlement Agreement).
As such, AE2S LLC and Mounds View now desire to, and have agreed to, compromise and fully and
completely settle and resolve any and all of the claims, disputes, causes of action, and potential
causes of action by, between and/or among them including, but not limited to, any and all claims
that either Party asserted, could have asserted, or should have asserted against the other Party
relating to, regarding and/or arising out of the Released Claims; and, wish to memorialize the
terms and conditions in this Agreement.
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NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Mounds
View, Minnesota that the Settlement Agreement and General Release is approved in substantially
the form presented to the City Council on the date of this Resolution, subject only to modifications
that are approved by the City Attorney and do not alter the general substance of the agreement.
NOW, THEREFORE, BE IT FURTHER RESOLVED, by the City Council of the City
of Mounds View, Minnesota that the proper City staff and officials are authorized to execute the
final version of the Settlement Agreement and General Release and take all actions necessary to
perform the City's obligations under the Contract as a whole, including without limitation, the
execution of any documents to which the City is a party referenced in or attached to the Settlement
Agreement and General Release, and any deed or other documents necessary, all as described in
the Settlement Agreement and General Release.
Adopted by the City Council of the City of Mounds View this 141h day of August, 2023.
Gary le lhause, Acting Mayor
ATTEST:
VAJ
yle Zi und, City Administrator
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SETTLEMENT AGREEMENT AND MUTUAL GENERAL RELEASES
This SETTLEMENT AGREEMENT AND MUTUAL GENERAL RELEASES (the
"Agreement") is made by and between the City of Mounds View, Minnesota ("Mounds View") and
Advanced Engineering and Environmental Services, LLC ("AE2S LLC") f/k/a Advanced
Engineering and Environmental Services, Inc. ("AE2S INC.")'. AE2S INC., AE2S LLC, and
Mounds View are each individually a "Party" and collectively the "Parties".
I. RECITALS
WHEREAS, effective March 26, 2019, Mounds View and AE2S INC. entered into an Agreement
Between Owner and Engineer for Professional Services (the "Engineer Contract") for AE2S to
provide engineering and related services for the 2019 Water Treatment Plant ("WTP") Rehabilitation
Project (the "Rehabilitation Project"), which included WTP Facilities Nos.: 1, 2, and 3 and the water
pressure Booster Station Facility located in the City of Mounds View, Minnesota (collectively, the
"Property");
WHEREAS, the Rehabilitation Project was divided into two phases that Mounds View separately
put out for public bidding, with the first phase including, but not limited to, the rehabilitation and
construction of WTP Nos.: 2 and 3 (the "Project");
WHEREAS, on or about December 31, 2019, following the public bidding for the Project, Mounds
View awarded the Project's contract for construction to Shank Constructors, Inc. ("Shank") pursuant
to which Shank would serve as the Project's General Contractor (the "Construction Contract");
WHEREAS, effective January 31, 2020, Mounds View and AE2S INC. entered into an Amendment
to Owner -Engineer Agreement for additional services to be performed by AE2S INC. regarding the
Project's Construction Phase, Post -Construction Phase, and Construction Phase Instrumentation and
Control Services (the "Amendment");
WHEREAS, by letter dated November 25, 2020, to Shank, Mounds View sought a recovery
schedule for the ongoing delay of completion of the Project;
WHEREAS, by letter dated December 18, 2020, to AE2S INC., Shank requested an equitable
adjustment in the Contract Time and reserved its right to seek one in the Contract Price. Shank
contended that the Project was delayed, in part, due to numerous design changes and their impact on
the sequencing of Shank's work;
WHEREAS, effective January 22, 2021, Mounds View and Shank entered into a Tolling Agreement
regarding the Project;
' Effective January 1, 2021, Advanced Engineering and Environmental Services, Inc. converted from a Corporation to a
Limited Liability Company; and, henceforth was known as Advanced Engineering and Environmental Services, LLC.
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WHEREAS, following start-up of the Project, Mounds View experienced issues with media loss in
WTP Nos.: 2 and 3; and, in or about August 2021, Mounds View found media in the distribution
system and in the backwash collection tank (collectively, the "Media Issue");
WHEREAS, in or about October 2021, Frontier Precision performed a floor inspection survey in
the WTP No. 2 filter cells, which showed that the underdrain nozzles had been installed at varying
elevations in cells 1 and 3 (the "Underdrain Issue");
WHEREAS, in or about 2022, Mounds View retained Barr Engineering Co. ("Barr") to conduct
testing on the WTP filters to measure media loss in same;
WHEREAS, on January 20, 2022, Shank submitted a certified claim (i.e., PCO No. 25) for
additional compensation to Mounds View, which demanded payment for alleged delay, disruption,
acceleration costs, and costs for extra work that Shank performed on the Project;
WHEREAS, on May 19, 2022, Shank served Mounds View with a Summons and Complaint (the
"Action"), which asserted causes of action against Mounds View for Breach of Contract, Breach of
Implied Warranties, and Unjust Enrichment regarding the Project. In the Action, Shank alleged that
AE2S INC.'s Plans and Specifications were deficient; and, as a result of said improper design, the
Project's air vents do not properly operate, which purportedly caused damage to the WTP that
Mounds View then required Shank to repair. Shank contended that it was owed a sum from the
Construction Contract and additional work performed due to AE2S INC.'S and AE2S LLC's alleged
errors and/or omissions;
WHEREAS, effective June 27, 2022, AE2S LLC and Mounds View signed a Tolling and Mutual
Cooperation Agreement to pause the running of the applicable Statute of Limitations with respect to
Mounds View's potential claims against AE2S INC. and/or AE2S LLC (the "AE2S Tolling
Agreement");
WHEREAS, Barr performed testing in 2022 and 2023; and, on April 14, 2023, Barr issued a "Water
Treatment Plants 2 and 3 Filter Evaluation" to Mounds View in which Barr opined: (1) on the root
cause of the Media Issue, (2) that air was entering the underdrain during backwash, which was
disrupting the gravel, (3) on the insufficient drain down of cells prior to the air and water backwash,
and (4) the improper installation of the underdrain laterals, which were canted to one side (the "Barr
Report");
WHEREAS, on April 14, 2023, Shank filed the Action with the District Court, Second Judicial
District, Ramsey County, Minnesota. Neither Shank nor Mounds View named AE2S INC. and/or
AE2S LLC as a party to the Action;
WHEREAS, the Parties have engaged in settlement negotiations in an attempt to resolve their
respective claims against each other without the need for further legal action and expense; and
WHEREAS, the Parties have determined that it is in their best interest to avoid further costs and
delays in resolving all of the claims, disputes, causes of action, and potential causes of action
between them involving the Media Issues and the Underdrain Issues, and as alleged in the Action,
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the AE2S Tolling Agreement, and the Barr Report (collectively, the "Settled Claims"). As such,
the Parties now desire to, and have agreed to, compromise and fully and completely settle and resolve
any and all of the claims, disputes, causes of action, and potential causes of action by, between and/or
among them including, but not limited to, any and all claims that any Party asserted, could have
asserted, or should have asserted against the other Parties relating to, regarding and/or arising out of
the Settled Claims; and, wish to memorialize the terms and conditions in this Agreement.
NOW, THEREFORE, in exchange for the mutual agreements, covenants, promises, conditions,
representations, and warranties contained herein, and in consideration for the execution of this
Agreement and payment in the amount set forth herein, as well as for good and valuable
consideration, the receipt and sufficiency of which are all hereby acknowledged, the Parties do each
hereby stipulate and freely and voluntarily agree by and between themselves as follows:
IL SETTLEMENT AGREEMENT
1. INCORPORATION OF RECITALS. The Recitals set forth above are made a part of
this Agreement. The undersigned Parties acknowledge that all facts set forth above in the Recitals
are true and correct to the best of the Parties' knowledge; they shall be binding in any future
proceeding(s); and, they are incorporated herein as if set forth herein in their entirety.
2. EFFECTIVE DATE OF THIS AGREEMENT. The effective date of this Agreement is
the date last executed by a Party (the "Effective Date").
3. CONSIDERATION. Without making any admission of liability, and in consideration of
the Parties' resolution of the Settled Claims, AE2S shall cause to be delivered to Mounds View's
Counsel, Kennedy & Graven, Chartered ("K&G"), the total sum of Fifty -Nine Thousand Eight
Hundred Thirty and 00/XX Dollars ($59,830.00) (the "Settlement Payment"), for the benefit of
Mounds View, which Mounds View acknowledges as good and valuable consideration for this
Agreement and the resolution of the Settled Claims. Within 30 days of the Effective Date of this
Agreement, AE2S shall tender the Settlement Payment to K&G in a single installment unless the
Parties agree to an alternative payment method and structure that satisfies the terms of this Agreement
and that does not further alter any of the material terms set forth herein.
4. RELEASE OF CLAIMS.
A. MUTUAL GENERAL RELEASES. In consideration for the terms of this Agreement,
the Parties, for themselves and their respective predecessors, successors, assigns, parents,
subsidiaries, affiliates, officers, directors, managers, partners, members, board members,
shareholders, insurers, reinsurers, employees, consultants, agents, representatives, heirs,
executors, and administrators, release and discharge each other Party and all of its
respective predecessors, successors, assigns, parents, subsidiaries, affiliates, officers,
directors, managers, partners, members, board members, shareholders, insurers,
reinsurers, employees, consultants, agents, representatives, heirs, executors, and
administrators, from the Settled Claims and any and all past, present, and future claims,
demands, obligations, controversies, monies, actions, causes of action, lawsuits,
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liabilities, damages, costs, expenses, and remedies based on any acts, errors, and
omissions, whether foreseen or unforeseen, matured or unmatured, known or unknown,
accrued or not accrued, direct or indirect, fixed or contingent disclosed or undisclosed,
claimed or concealed, latent or patent, asserted or unasserted, arising out of or in any way
related to the Settled Claims (collectively the "Released Claims").
B. CARVE -OUT. This Agreement shall not operate as a waiver or release of any rights
and/or claims that may arise after the date of this Agreement unrelated to the Released
Claims or that are based on breaches of this Agreement. Additionally, the Released
Claims do not include future services rendered by AE2S LLC for Mounds View regarding
the Property.
C. INDEMNIFCATION AND HOLD HARMLESS. Further, in exchange for and as part
of the consideration provided herein, and to the fullest extent permitted by law, Mounds
View agrees to indemnify and hold harmless AE2S INC. and AE2S LLC and their
respective past, present, and future employees, officers, directors, professionals, agents,
managers, members, board members, stockholders, shareholders, attorneys,
representatives, legal representatives, predecessors -in -interest, successors -in -interest,
parents, affiliates, related entities, general and limited partners, assignees, insurers,
reinsurers, consultants, sub -consultants, heirs, executors, administrators, and any others
acting by or on behalf of AE2S INC. and/or AE2S LLC as their interests may appear,
from any against all losses, costs, expenses, claims, actions, damages and/or other
liabilities, known or unknown, liquidated or unliquidated, now or in the future, by any
person or entity that is not a party to this Agreement including, but not limited to, Shank,
arising out of or related to the Released Claims.
D. FULL AND FINAL SATISFACTION. It is the intention of the Parties in executing
this Agreement that this instrument shall be deemed effective as a full and final accord
and satisfaction and release in regards to the Released Claims.
The Parties acknowledge that they are aware that they may hereafter discover facts in
addition to or different from those that they now know or believe to be true with respect
to the subject matter of this Agreement; but, that it is their intention hereby to fully,
finally, and forever settle and release any and all actions, claims, proceedings, matters,
disputes and differences, known or unknown, arising from the Project.
5. NO ADMISSION OF LIABILITY. The Parties recognize and agree that this Settlement is
the compromise of disputed claims and that the Settlement Payment, the compromise of claims
hereunder, and this Agreement and the performances hereunder, are not intended nor shall they be
construed or considered by anyone to be: (A.) an admission of liability by or on behalf of a Party,
by whom all such liability is expressly denied, or (B.) a declaration against interest on the part of a
Party; the Parties intending by this Settlement merely to avoid expensive, time-consuming, and
uncertain Litigation.
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6. STATUTES OF LIMITATION AND REPOSE. With respect to the Project and the
Property, nothing in this Agreement is intended to, nor shall it: (A.) revive any Statutes of
Limitation or Repose that have expired, or (B.) extend any Statutes of Limitation or Repose that
may not have expired.
7. NON -ASSIGNMENT OF CLAIMS. The Parties warrant and represent to each other that
there has been no assignment of all or part of any interest in any claim, right, or cause of action that
is being resolved and released herein or is in any way related to, the Released Claims.
8. ENTIRE AGREEMENT. The Parties understand and agree that this Agreement contains
the entire understanding of the Parties. This Agreement supersedes, merges, and replaces all written
and oral agreements, express or implied, previously made or contemporaneously existing between the
Parties, with respect to the subject matters addressed in the Agreement. Additionally, this Agreement
is offered and accepted as final, mutual, and binding upon the Parties, regardless of whether a Party
later contends that either too much or too little money and/or consideration was paid or received.
Each Party agrees that it has not relied upon any statement, representation, promise, guarantee, or
warrantee whatsoever, express or implied, of any other Party (or any officer, agent, partner,
employee, representative, or attorney for any other Party) not contained in this Agreement in deciding
to and inducing them to execute this Agreement and be bound its terms and conditions.
9. CHOICE OF LAW AND FORUM. This Agreement shall constitute a contract made under
the laws of the State of Minnesota; and, in all respects is governed by the laws of the State of
Minnesota. The language of this Agreement shall be construed as a whole according to its fair
meaning.
Venue and jurisdiction with respect to any dispute arising out of this Agreement shall be exclusively
within the courts of the State of Minnesota. If a dispute arises between the Parties related to this
Agreement, the Parties agree to use the following procedures to resolve the dispute:
A. Negotiation. A meeting shall be held between representatives of the Parties with
decision -making authority regarding the dispute to attempt in good faith to negotiate a
resolution of any dispute involving the enforcement or interpretation of this Agreement.
Such meeting shall be held within fourteen (14) calendar days of a Party's written request
for such a meeting;
B. Mediation. If the Parties fail to negotiate a resolution of the dispute, they shall
submit the dispute to non -binding Mediation as a condition precedent to Litigation and
shall bear equally the costs of the Mediation, which Mediation is to be convened within
ninety (90) days of the meeting just noted in (A.) above; and
C. Litigation. If the Parties fail to resolve the dispute through Mediation, then a Party
may elect to file Litigation.
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10. NO THIRD -PARTY BENEFICIARIES. This Agreement is made for the sole benefit of
the Parties and those persons and entities released in Section 4(A.) of this Agreement. Thus, except
for the Parties and those released in Section 4(A.) of this Agreement, no other person or entity not
described herein shall have any rights, remedies, or privileges whatsoever under or by reason of this
Agreement, either as a third -party beneficiary or otherwise.
11. WAIVER. No waiver of any of the terms and provisions of this Agreement shall be deemed,
or shall constitute, a waiver of any other term or provision, nor shall any waiver constitute a
continuing waiver. No waiver of any breach or default hereunder shall be considered valid and
binding unless in writing and signed by an authorized representative of the Party consenting to and
giving such waiver; and no such waiver shall be deemed a waiver of any subsequent breach or default
of the same or similar nature. Further, any failure to enforce any terms or conditions of this
Agreement by a Party shall not constitute a waiver of any right to assert any of the terms and
conditions of this Agreement.
12. MODIFICATION. This Agreement or any provision thereof may only be modified or
amended by an agreement in writing and signed by an authorized representative of the Parties hereto.
The Parties will execute all further and additional documents as shall be reasonable and necessary to
carry out the provisions and terms of this Agreement.
13. DRAFTING. Each Party has participated, cooperated, or contributed to the drafting and
preparation of this Agreement. The Parties agree that this Agreement was negotiated and drafted
jointly by the Parties and that no inferences or presumptions regarding the interpretation of this
Agreement shall be drawn or made by or against a Party as the author of this Agreement. This
Agreement shall not be construed for or against any Party but shall be construed fairly, according to
its plain meaning.
14. SEVERABILITY. This Agreement is intended to be performed in accordance with, and only
to the extent permitted by, all applicable laws, ordinances, rules, and regulations. The Parties agree
that if any of the provisions or terms of this Agreement or the application thereof to any person or
circumstance shall, for any reason and to any extent, be declared or held to be invalid or
unenforceable such determination shall not affect any of the other provisions or terms hereof, and
such remaining provisions and terms shall remain in full force and effect, and only that provision,
term or portion thereof shall be deemed omitted or severed from this Agreement, and this Agreement
shall be construed as if such invalid or unenforceable provision or term had never been contained
herein; provided, however, that it shall be construed in such a matter so as to enable the Parties to
obtain a practical realization of all benefits contemplated to be acquired by them hereunder.
15. EXECUTION IN COUNTERPARTS. This Agreement may be executed simultaneously
or in counterparts and when each Party has signed and delivered at least one counterpart, each
counterpart shall be deemed an original and, when taken together with other signed counterparts,
shall constitute one and the same agreement, which shall be binding and effective as to all Parties
thereto. The Parties hereto agree that they may use an electronic record to make, transmit, and keep
this Agreement. An Agreement containing the signature of a Party is binding on that Party once said
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Party sends same to the other Parties. However, this Agreement will become effective only upon the
execution of the Agreement by all of the Parties.
16. ATTORNEYS' FEES. The Parties shall bear their own costs of suit, consultant fees,
engineering fees, expert fees, attorneys' fees, and other costs and expenses, of every kind or character,
arising out of or relating in any way to this Agreement and the Released Claims.
17. NOTICES. All Notices permitted or required to be given under this Agreement shall be in
writing and will be deemed sufficient if and when: (A.) hand delivered; (B.) sent via nationally -
recognized express / overnight carrier; (C.) placed in the United States Postal Service Mail postage
prepaid or by registered or certified mail, return receipt requested, postage and registration or
certification charges prepaid; (D.) sent via facsimile if sent during regular business hours between
9:00 A.M. and 5:00 P.M. Central Standard Time ("CST") / Central Daylight Time ("CDT") with
proof of delivery and transmission; or (E.) sent via e-mail if sent during regular business hours
between 9:00 A.M. and 5:00 P.M. CST / CDT with proof of delivery and transmission, addressed as
follows to the following persons / entities:
If to Mounds View:
City of Mounds View
City Hall
2401 County Road 10
Mounds View, Minnesota 55112
ATTN: Nyle Zikmund, City Administrator
If to AE2S INC. and/or AE2S LLC:
With a copy to:
Michelle Ellen Weinberg, Esquire
Kennedy & Graven, Chartered
150 South 5 h Street, Suite #700
Minneapolis, Minnesota 55402
Advanced Engineering and Environmental Services, LLC Steven J. Sheridan, Esquire
4050 Garden View Drive, Suite #200 Fisher, Bren & Sheridan, LLP
Grand Forks, North Dakota 58201 920 2nd Avenue S., Suite #975
ATTN: Jonathan L. Sickler, Chief Legal Officer Minneapolis, Minnesota 55402
18. DEFINITIONS AND HEADINGS. All capitalized terms shall have the definitions set forth
in this Agreement.
The Section Headings as used herein are inserted as a matter of convenience and reference only.
The Headings of the various Sections of this Agreement have been included only in order to make
it easier to locate the subject matter covered by each provision. The Headings shall not be deemed
to: (A.) vary the content of this Agreement or the covenants, agreements and/or representations set
forth herein; (B.) in any way affect the terms and provisions hereof, and (C.) define, limit and/or
describe the provisions, scope and/or intent of any Section herein. Further, they are not to be used
in construing this Agreement and/or in ascertaining its meaning.
19. GENERAL INTERPRETATION. Where the context of this Agreement requires, the use
herein of the singular number shall be deemed to mean the plural, and the plural number shall be
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deemed to mean the singular. Any references to gender shall be deemed to mean whichever is
appropriate under the circumstances of the usage.
This Agreement shall at all times be interpreted in accordance with its fair meaning.
20. AUTHORITY TO EXECUTE. The Parties hereby declare and represent that in
effectuating this Settlement and executing this Agreement, each Party and/or its responsible officer
has: (A.) had the opportunity to consult with legal counsel of its choice, and has in fact received
independent legal advice from its Attorney(s) with respect to its rights and liabilities, all matters
settled and resolved herein, and the advisability of executing this Agreement and being bound by its
terms and conditions; (B.) made such investigation of the facts pertaining to this Agreement and of
all matters pertaining thereto as it has independently deemed necessary; and (C.) carefully read this
Agreement and understands the contents hereof. Each signatory to this Agreement represents and
warrants that they are: (A.) of legal age; (B.) legally competent to execute and deliver this
Agreement; (C.) duly empowered with the authority to execute and deliver this Agreement on behalf
of their respective Party, thereby legally binding that Party on whose behalf they are signing; and
(D.) has obtained any consent or authorization required to bind their Party to this Agreement. The
Parties further warrant and represent to each other that they are legally authorized and entitled to
settle and release every claim, right, or cause of action herein referred to and released and to give a
valid, full, and final acquittance therefor.
The Parties acknowledge and agree that this Agreement is fully and adequately supported by
consideration and it is fair and reasonable.
21. LIMITATIONS ON DISCLOSURE. The Parties agree that, except as required by law
(including, without limitation, Minnesota's Data Practices Act and Open Records Law (Minn.
Statutes 13.01 et seq.)) or otherwise specifically permitted under this Agreement, they shall not
discuss or otherwise disclose to any third party, the terms and conditions of this Agreement, the
amount of the Settlement (including any reference to the range of settlement, demands, offers and/or
counteroffers and all other aspects ofnegotiations between the Parties), and all non -publicly disclosed
information, documents, and details about the Released Claims.
The Parties further agree that, except as required by law (including without limitation, Minnesota's
Data Practices Act and Open Records Law (Minn. Statutes 13.01 et seq.)) or otherwise specifically
permitted under this Agreement, they and their Attorney(s) will not, directly or indirectly, discuss
or otherwise disclose any of the non -publicly disclosed facts underlying this matter or the terms of
the Settlement to any wire -service, newspaper, radio or television reporter, any other media
representative, any legal periodical, journal, or case / settlement gathering source; and, nor will the
Parties transmit any press release or other information to the media about the Agreement or its terms,
and will not otherwise publish any information about the Agreement or its terms. The Parties hereto
agree that they shall respond to any inquiry regarding the resolution of the matter by saying "[t]he
matter was resolved to the mutual satisfaction of the parties."
The Parties expressly agree that the financial terms and conditions of this Agreement may only be
disclosed, on or after the Effective Date, under the following limited situations:
A. by any Party if mandated by a: (i) Court Order issued by a Court of competent
jurisdiction, or (ii.) tribunal, governmental or administrative agency, and the like, or as
otherwise required by law including pursuant to a Public Records Request under
Minnesota's Data Practices Act and Open Records Law (Minn. Statutes 13.01 et seq.),
provided that the Party required to disclose or produce this Agreement or any part
thereof gives the other Parties and/or their Attorney(s) immediate written notice thereof
in order to afford such other Parties a reasonable opportunity to oppose a motion or request
and/or enable it to seek a protective order;
B. as may be necessary in the normal course of a Party's business operations and/or to
accomplish necessary accounting and/or financial requirements including, but not
limited to, to its attorneys, tax attorneys, accountants, auditors, business advisors,
financial advisers, financial planners, insurers, and potential investors, under the terms of
this Agreement; and
C. by the Parties if necessary to enforce any of the Agreement's terms or to litigate over any
provision of this Agreement. In that event, a Party may offer the Agreement as evidence
in any judicial or other proceeding to enforce said terms and/or provisions against another
Party.
22. NON -DISPARAGEMENT. Subject to applicable law, the Parties covenant and agree that
neither it nor any of its respective agents, subsidiaries, affiliates, successors, assigns, officers, and
key employees or directors, shall in any way disparage, call into disrepute, criticize, or otherwise
defame or slander the other Parties or such other Parties' subsidiaries, affiliates, successors, assigns,
officers, directors, employees, stockholders, agents, attorneys or representatives, or any of its
products or services, in any manner that would damage the business or reputation of such other
Parties, their products or services, or their subsidiaries, affiliates, successors, assigns, officers or
former officers, directors or former directors, employees, stockholders, agents, attorneys or
representatives. This Section shall not be construed to prohibit any person from responding publicly
to incorrect statements or from making truthful statements when required by law, subpoena, court
order, or the like.
[SIGNATURE PAGES FOLLOW]
9
IN WITNESS WHEREOF, idividually and on behalf of Mounds View,
intending to be legally bound, have h eunto set his / her hand and seal on this.S day of4_,
2023. cc!!
U i READ BEFORE ,'I Y
CITY OF MOUNDS VIEW, MINNESOTA
BY:
PRINT: Gary Meehlhause
TITLE: A cti
STATE OF MINNESOTA
COUNTY OF
The FOREGOING INSTRUMENT was acknowledged before me this a 8 day of ��-
20235 by g who is personally known to me or had f9oduced
as identification anTwho did take an or ah, acknowledging that the above and foregoing is true and
correct and that he / she executed it freely and voluntarily on his / her own behalf and on behalf of
Mounds View,
F ARA A BENESCH
(Se Noj •,rPUBLIC •MINNEWTA
1 Art Con nuss+an Expires fan. 31, 2021
Personally known: X
OR Produced Identification: _
Type of Identification Produced:
IN
Notary Public:r�jG�
Print / Type / Stamp Name of Notary
IN WITNESS WHE+`,ItE;OIi,Vkree�_4
ikb dividually and on behalf of Mounds View,
intending to be legally bound, haunto set his /1►er hand and seal on this R Y davof.Owar,
2023.
CAjjrrI0N: READ BE I, SIGNING
CITY OF MOUNDS VIEW, MINNESOTA
PRINT:
TITLE: Git Admi►�istrator
STATE OF MINNESOTA
COUNTY OF
The FOREGOING INSTRUMENT was acknowledged before me this 2 S day ❑f'��
20235 by who is personally known to me or had produced
as identifica ' an h❑ did take an oath, acknowledging that the above and foregoing is true and
correct and that he / she executed it freely and voluntarily on his / her own behalf and on behalf of
Mounds View.
�rmrti ---
'�` BARBARA A SENESCH
NOTARY PUS LIC-MINNESMA
H►Y Commission E rfy Jan. 31, 2W4
Personally known: 'C
OR Produced Identification: _
Type of Identification Produced:
11
Notary Public:
Print / Type / Stamp Name of Notary
IN WITNESS WHEREOF, G+f c%v%} Mt 4 " Individually and on behalf of AE2S INC. and
AE2S Ug, intending to be legally bound, have hereunto set his / her hand and seal on this ZS day
of AV u , 2023.
CAUTION: READ BEFORE SIGNING
ADVANCED ENGINEERING AND ENVIRONMENTAL SERVICES, LLC f/k/a
ADVANCED ENGINEERING AND ENVIRONMENTAL SERVICES, INC.
PRINT:
cca
COUNTY OF �►M i �
The FOREGOING INSTRUMENT was acknowledged before me this
2S
2023, by C-a�ay,I- �1.t•,,e.�' who is personally known , to me or had produced
as identification and who did take an oath, acknowledging that the above and foregoing is true and
correct and that he / she executed it freely and voluntarily on his / her own behalf and on behalf of
AE2S INC. and AE2S LLC.
(Seal)
Personally known:
EVELYN CLAIlA SLUITER
Notary Public
Minnesota
My Commission Expires
Jan 31, 2026
OR Produced Identification:
Type of Identification Produced:
12
a
Print / Type / Stamp Name of Notary