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RESOLUTION NO. 235-91
AUTHORIZING TOWN MANAGER TO EXECUTE
A SETTLEMENT AGREEMENT AND ASSIGNMENTS
WITH EXPLORERS INSURANCE COMPANY
I/
WHEREAS, the Town of Danville entered into a Subdivision Improvement Agreement with
Kennerley Development Company for the construction of certain off-site improvements
to Minor Subdivision 87-3 on or about July 23, 1987; and
WHEREAS, on September 16, 1987, The Explorer Insurance Company issued its
Performance Bond in the amount of $76,500.00, for performance of said off-site
improvements with the Town of Danville as obligee and Kennerley Development Company
as principal on September 16, 1987; and
WHEREAS, Kennerley Development Company has defaulted on said Subdivision and
Agreement and has failed to complete said subdivision off-site improvements; and
WHEREAS, the cost of completing the off-site subdivision improvements will equal or
exceed the penal sum of the Performance Bond; and
WHEREAS, the Town of Danville has made a demand on The Explorer Insurance
Company for the penal sum of its Performance Bond; and
WHEREAS, The Explorer Insurance Company has agreed to pay the penal sum of its
Performance Bond, conditioned upon the execution of a Settlement Agreement specifying
the manner and method by which such payment will be made and utilized; and
WHEREAS, both parties desire to enter into such Agreement; now, therefore, be it
RESOLVED, by the Town Council of the Town of Danville that the Town Manager is
hereby authorized to execute, on behalf of the Town, a Setdement Agreement and
Assignments with The Explorer Insurance Company in the form as lodged with the City
PAGE 1 OF RESOLUTION NO. 235-91
Attorney, together with such changes as may hereafter become necessary, provided such
changes do not materially increase the obligations of the Town hereunder.
APPROVED by the Danville Town Council at a Regular Meeting held on Tuesday,
December 17, '1991, by the following vote:
AYES:
NOES:
ABSTAINED:
ABSENT:
(.
MAYOR
~PPROVED AS_TO FORM:
CITY ATTORNEY
I
ATrEST:
CITY CLERK
Ulllllllllll I I
UNABLE TO LOCATE
ORIGINAL SIGNED DOCUMENT
PAGE 2 OF RESOLIYI'ION NO. 235-91