HomeMy WebLinkAbout11/5/2003 - STAFF REPORTS (17) LEGAL SERVICES AGREEMENT
BETWEEN THE CITY OF PALM SPRINGS, AND SULMEYER, KUPETZ,
BAUMANN & ROTHMAN, A PROFESSIONAL CORPORATION FOR LEGAL
SERVICES
THIS LEGAL SERVICES AGREEMENT ("Agreement") dated January 1,
2003, is made by and between the City of PALM SPRINGS ("CITY"), on one hand and
SULMEYER, KUPETZ, BAUMANN & ROTHMAN, a Professional Corporation
("CONTRACTOR").
WITNESSETH:
WHEREAS, CITY is in need of legal services with specific emphasis on
bankruptcy and bankruptcy related matters in the Desert Hot Springs, Chapter 9 Bankruptcy
matter, and
WHEREAS, CONTRACTOR possesses skill and ability in the field of law for
which CITY requires legal services, and
WHEREAS, CITY desires to engage the services of CONTRACTOR to provide
said legal services.
WHEREAS, the Cities of SIMI VALLEY, PALM SPRINGS, HEMET,
MORENO VALLEY, PALM DESERT, AND LA QUINTA desire to retain the services of
CONTRACTOR to share on a pre-arranged percentage basis the responsibility of payment to
CONTRACTOR.
WHEREAS, each city has agreed to enter into a separate agreement with the
CONTRACTOR
NOW THEREFORE, in consideration of their mutual promises, obligations and
covenants hereinafter contained, the parties hereto agree as follows:
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1. TERM. The term of this Agreement shall be from January 1, 2003,
through January 31, 2004.
2. CITY'S OBLIGATIONS. For providing services as specified in this
Agreement CITY will pay and CONTRACTOR shall receive therefor: payments based upon
the schedule of charges attached hereto on Exhibit A and made a part hereof by this reference.
The cities of SIMI VALLEY, PALM SPRINGS, HEMET, MORENO VALLEY, PALM
DESERT AND LA QUINTA will collectively participate in paying the CONTRACTOR for
fees generated under this agreement. However, each City has agreed to pay a pre-arranged
Percentage of Responsibility ONLY, which is specified in each separate agreement with the
cities and this Agreement at Section 14 below. The aggregate sum of CITY's obligation
(CITY's share only)to CONTRACTOR under this Agreement shall not exceed $40,000 unless
further authorized in writing by the City Attorney or his or her designee.
Payments to the CONTRACTOR shall be made within 30 days after receipt of
an original invoice from the CONTRACTOR and receipt of services by CITY.
3. CONTRACTOR'S OBLIGATION. For and in consideration of the
payments and agreements hereinbefore mentioned to be made and performed by CITY,
CONTRACTOR agrees with CITY to provide said services, which shall meet or exceed the
usual and customary professional standards applicable to the field of law, which is the subject
of those services. Upon receipt of a file, CONTRACTOR shall provide an independent written
evaluation of the litigation to the City Attorney. CONTRACTOR shall render interim verbal
evaluations and provide semi-annual written status reports on each active file on or about May
31 and November 30 of each year. CONTRACTOR shall assist in negotiating settlements of
cases as appropriate in cooperation with the City Attorney of CITY.
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4. INSURANCE AND INDEMNIFICATION.
4.1 The CONTRACTOR shall procure and maintain, at its sole cost
and expense, in a form and content satisfactory to CITY, during the entire term of this
Agreement including any extension thereof, the following policies of insurance:
4.1.1 Commercial General Liability Insurance.
A policy of commercial general liability insurance written on a per occurrence
basis with a combined single limit of at least $1,000,000 bodily injury and property damage
including coverages for contractual liability,personal injury, independent contractors,
broadform property damage, products and completed operations. The General Liability Policy
shall name the CITY as an additional insured in accordance with standard ISQ additional
insured endorsement form CG2010(1185) or equivalent language.
4.1.2 Worker's Compensation Insurance.
A policy of worker's compensation insurance in such amount as will fully
comply with the laws of the State of California and which will include $1,000,000 employer's
liability.
4.1.3 Business Automobile Insurance.
A policy of business automobile liability insurance written on a per occurrence
basis with a single limit liability in the amount of$1,000,000 bodily injury and property
damage. Said policy shall include coverage for owned, non-owned, lased and hired cars.
4.1.4 Additional hisurance.
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Policies of such other insurance, including professional liability insurance in a
minimal amount of$1,000,000 if contract has professional liability exposure, as may be
required in the Special Requirements.
All of the above policies of insurance shall be primary insurance and shall name
the CITY, its officers, employees and agents as additional insureds. The insurer shall waive all
rights of subrogation and contribution it may have against the CITY, its officers, employees
and agents and their respective insurers. In the event any of said policies of insurance are
canceled, the CONSULTANT shall, prior to cancellation date, submit new evidence of
insurance in conformance with this Section 4.1 to Contract Officer. No work or services under
this Agreement shall commence until the CONSULTANT has provided the CITY with
Certificates of Insurance or appropriate insurance binders evidencing the above insurance
coverages and said Certificates of Insurance or binders are approved by the CITY.
The CONTRACTOR agrees that the provisions of this Section 4.1 shall not be
construed as limiting in any way the extent to which the CONSULTANT may be held
responsible for the payment of damages to any persons or property resulting from the
CONSULTANT'S activities or the activities of any person or persons for which the
CONSULTANT is otherwise responsible.
In the event the CONSULTANT subcontracts any portion of the work in
compliance with Section 11 of this Agreement, the contract between the CONSULTANT and
each subcontractor shall require the subcontractor to maintain the same policies of insurance
that the CONSULTANT is required to maintain pursuant to this Section 4.1.
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5. AMENDMENTS. Any amendment, modification, or variation from the
terms of this Agreement shall be in writing and shall be effective only upon approval by the
City Manager and City Attorney of CITY.
6. TERMINATION. CITY may terminate this Agreement immediately
with or without cause by written notice to CONTRACTOR to said effect. CONTRACTOR
may terminate this Agreement with or without cause on 30 days written notice, except,
however,that this notice period shall be extended if CITY'S interests may be prejudiced
thereby. In the event of termination by either party hereto, CONTRACTOR shall be entitled to
the reasonable value of its services performed prior to said termination, and shall promptly
forward, together with a written closing report, all files, including but not limited to,pleadings,
exhibits and notes, to CITY or its designee. The closing report shall describe the facts of the
case(s), discuss all applicable laws thereto, evaluate the liability or prospects of recovery or
other relief, probable estimated damages/recovery, aggregate fees and costs to date, and list and
describe all future scheduled appearances and filings/pleadings due dates.
7. CONFLICT OF INTEREST. CONTRACTOR agrees that it shall
scrupulously avoid performing services for any party or entering into any contractual or other
relationship with any party which might create a conflict with the rendering of services
hereunder, and CITY shall immediately be informed by CONTRACTOR of any conflict of
interest or potential conflict of interest which may arise during the term hereof by virtue of any
past, present, or prospective act or omission of CONTRACTOR. Upon receiving said
notification, or otherwise learning of such a conflict or potential conflict, CITY may exercise
its rights under Section 6 hereof, or resolve said conflict by any other reasonable means in its
sole discretion.
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8. INCORPORATION BY REFERENCE. Exhibit A attached hereto
and made a part hereof shall be incorporated herein. Any conflict between Exhibit A or any
other writings incorporated herein and this Agreement shall be resolved by the ternis of this
Agreement without reference to Exhibit A or such other writings.
9. COMPLETE AGREEMENT. This written Agreement, including all
writings specifically incorporated herein by reference, shall constitute the complete agreement
between the parties hereto. No oral agreement, understanding, or representation not reduced to
writing and specifically incorporated herein shall be of any force or effect, nor shall any such
oral agreement, understanding or representation be binding upon the parties hereto.
10. INDEPENDENT CONTRACTOR. CONTRACTOR shall be deemed
to be acting as an independent contractor. The employees of CONTRACTOR shall not be
deemed or construed to be the agents or employees of CITY for any ptupose, including, but not
limited to, tort liability or to employee benefits such as retirement, worker's compensation, or
disability insurance.
11. ASSIGNMENT. This Agreement or any provision hereof or any right
or obligation arising hereunder is not assignable in whole or part, without the express written
consent of CITY. Any attempt by CONTRACTOR to assign or subcontract any performance
of the services to be rendered pursuant to this Agreement without the consent of CITY shall be
null and void, shall create no financial obligation on the part of CITY, and shall constitute a
material breach of this Agreement.
Notwithstanding these general provisions, CONTRACTOR may retain such
geoteclmical, engineering and other consultants and experts as CONTRACTOR may from time
to time deem appropriate and make disbursements therefor (eg. witness, expert, and consulting
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fees, etc.) which shall be included with monthly billings, subject to the provisions of Section 13
hereof. CONTRACTOR shall require that all consultants and experts shall submit invoices
detailing case name and the identity, schedule and description of the work performed.
12. ANTI-DISCRIMINATION. In the performance of the terms of this
Agreement, CONTRACTOR agrees that it will not engage in, nor permit such subcontractors
as it may employ, to engage in discrimination in employment of persons because of the age,
race, color, sex, national origin or ancestry, or religion of such persons.
13. AUDIT. CITY or its designee shall have the option of inspecting and/or
auditing all records and other written material used by CONTRACTOR in preparing its
statements to CITY as a condition precedent to any payment to CONTRACTOR.
CONTRACTOR shall make no charge for time expended in providing information necessary
for auditing records. No monthly billings hereunder shall exceed $15,000 nor shall any single
cost item in excess of$1,000 be billed in any month without prior authorization for the
rendering of said services or the incurring of said costs by the City Attorney or his or her
designee.
14. NOTICE. All written notices to the parties hereto shall be sent by
United States mail,postage prepaid by registered or certified mail addressed as follows:
CITY: Percentage of Responsibility
David Hirsch
City Attorney, City of Simi Valley 30.0566%
2929 Tape Canyon Road
Simi Valley, California 93063-2199
Dawn Honeywell
City Attorney, City of Palm Springs 22. 62940
Aleshire, Wynder & Sylva, LLP
18881 Von Karman Avenue, Suite 400
Irvine, California 92612
Julie Biggs
Amy Morgan
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City Attorney, Hemet 12.2046%
Burke, Williams & Sorensen
3403 loth Street, Suite 300
Riverside, California 92502
Robert Herrick
City Attorney, City of Moreno Valley 22. 1844%
14177 Frederick Street
Post Office Box 88005
Moreno Valley, California 92552-0805
David J. Erwin
City Attorney, Palm Desert 08. 3271%
Best, Best & Krieger
P.O. Box 13650
Palm Desert, California 92255
Kathy Jenson
City Attorney, La Quinta 04 .5979%
Rutan & Tucker
611 Anton Boulevard, Suite 1400
Costa Mesa, California 92628-1950
CONTRACTOR Frank V. Zerunyan, Member
SULMEYER, KUPETZ, BAUMANN &
ROTHMAN
300 South Grand Avenue, 141h Floor
Los Angeles, California 90071
15. SEVERABILITY. Should any section, subsection, or provision hereof
be found invalid or unenforceable by any court of competent jurisdiction, such ruling shall not
affect the remainder hereof, which shall remain in full force and effect.
16. AUTHORITY TO EXECUTE AGREEMENT. Both CITY and
CONTRACTOR do covenant that each individual executing this Agreement on behalf of each
party is a person duly authorized and empowered to execute agreements for such party.
17. COUNTERPARTS. This Agreement may be executed in two (2)
counterparts, each of which shall be deemed an original, but taken together shall constitute one
instrument.
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IN WITNESS WHEREOF, the parties hereto have caused this instrument to be
executed the day and year first above written.
ATTEST: CITY OF PALM SPRINGS
A Municipal Corporation
By:
David H. Ready, City Manager
APPROVED AS TO FORM: SULMEYER KUPETZ BA &
ROTHMA
ALESHIR/E, WYNDER& SYLVA, LLP
By
David Aleshire, City Attorney FrankT. Zeruny
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EXHIBIT A
1. The aggregate sum of CITY'S obligation (CITY's share only)to CONTRACTOR
under this Agreement shall not exceed $40,000 unless further authorized in writing by the City
Attorney or his or her designee.
2. Time will be billed in six-minute increments. In addition to the hourly fees,
CONTRACTOR shall be reimbursed for its actual out-of-pocket expenses for filing fees,
postage, messenger service, travel, contractor reproduction of documents, etc. but without any
additional cost for having advanced the funds. CONTRACTOR shall not be reimbursed for
utilities, insurance or for staff time or overtime in performing secretarial/clerical functions or
word processing.
3. CONTRACTOR'S billings shall be segregated by case name and shall be itemized and
state all out-of-pocket expenses described above as well as identify each attorney providing
service,the nature of the service rendered,the time consumed in rendering such services, the
hourly rates for the services, and the total billings (expenses and time) for each case. Billings
shall be submitted not more frequently than monthly.
4. ALL ATTORNEY AND PARALEGAL TIME shall be billed at the rates attached
hereto as Exhibit Al (as a courtesy CONTRACTOR shall honor 2002 rates as opposed to
increased 2003 rates, which are also attached for information purposes only). Provided that
CONTRACTOR's Invoices are paid in a timely manner as provided herein, CITY shall be
entitled to a 10% Discount on all the 2002 rates stated on Exhibit Al.
The billing rates shall be subject to annual review and adjustment as maybe
agreed between the parties to this Agreement. Any rate increase will require amendment to this
Agreement.
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SULMEYER, KUPETZ, BAUMANN &ROTHMAN
2003 RATES FOR PROFESSIONAL SERVICES
ATTORNEYS INITIALS RATE
Abrams, J. G. JGA 325
Avery, W. H. WHA 325
Baumann, R. G. RGB 400
Davis, J. R. JRD 350
Ehrenberg, H. M. HME 400
Gordon, R. E. REG 500
Horoupian, M. S. MSH 325
Kilbride, W. K. WKK 300
Kupetz, A. L. ALK 500
Kupetz, D. S. DSK 425
Lev, D. A. DAL 350
Madris, H. N. HNM 325
Miller, E. D. EDM 350
Pomerance, J. M. JMP 325
Rallis, D. G. DGR 375
Sahn, V. A. VAS 425
Saperstein, I. ISS 375
Shaham, Y. YXS 200
Simons, L. D. LDS 275
Sousa, A. M. AMS 375
Sparer, L. LXS 275
Stanfield, D. C. DCS 350
Sulmeyer, I. IS 550
Tippie, A. G. AGT 425
Tompkins, M. A. MAT 225
Wainess, S. R. SRW 375
Walden, L. A. LAW 285
Zerunyan, F. V. FVZ 350
LAW CLERK
Stuhl, S. A. SAS 150
PARALEGALS
Iturrizaga, J. I. JII 120
Kennedy, R. G. RGK 130
Mann-Wooten, T. TMW 65
DOCUMENTCLERK
Thompson, M. MT 60
Members 325-550
Of Counsel 325-500
Associates 200-325
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SULMEYER, KUPETZ, BAUMANN &ROTHMAN EXHIBIT A 1
2002 RATES FOR PROFESSIONAL SERVICES
ATTORNEYS INITIALS RATE
Abrams,J, G. JGA 300
Avery,W. H. WHA 300
Baumann, R. G. RGB 400
Davis,J.R. JRD 300
Ehrenberg, H. M. HME 375
Gordon, R. E. REG 450
Horoupian, M. S. MSH 275
Kilbride,W. K. WKK 275
Kupetz,A. L. ALK 500
Kupetz, D, S. DSK 375
Lev, D.A. DAL 300
Madris, H. N. HNM 275
Miller, E. D. EDM 300
Pomerance, J. M. JMP 300
Rallis, D. G. DGR 350
Sahn,V.A. VAS 400
Saperstein, I. ISS 375
Shaham,Y. YXS 175
Sousa,A. M. AMS 325
Sparer, L. LXS 250
Stanfield, D. C. DCS 325
Sulmeyer, I. IS 550
Tippie,A. G. AGT 400
Tompkins, M.A. MAT 195
Wainess, S. R. SRW 350
Zerunyan, F. V. FVZ 325
LAW CLERK
Stub[, S.A. SAS 150
PARALEGALS
Franklin,Y. D. YDF 110
Iturrizaga, J. I. JII 110
Kennedy, R. G. RGK 120
Mann-Wooten, T. TMW 60
DOCUMENT CLERK
Thompson, M. MT 60
Members 295-550
Of Counsel 275-450
Associates 180-275 ✓J 1
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MINUTE ORDER NO.
APPROVING AN AGREEMENT WITH SULMEYER,
KUPETZ, BAUMANN & ROTHMAN, A PROFESSIONAL
CORPORATION, FOR LEGAL SERVICES IN AN
AMOUNT NOT-TO-EXCEED $40,000.
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I HEREBY CERTIFY that this Minute Order, approving an agreement with Sulmeyer,
Kupetz, Baumann & Rothman, a professional corporation, for legal services in an
amount not-to-exceed $40,000 was adopted by the City Council of the City of Palm
Springs, California, in a meeting thereof held on the 51h day of November, 2003.
PATRICIA A. SANDERS
City Clerk