HomeMy WebLinkAboutAgreements/Contracts - Public WorkslleO / -0 ?
PURCHASE AND SALE AGREEMENT
This PURCHASE AND SALE AGREEMENT (this "Agreement"), dated as of October
19, 2021 (the "Effective Date"), is entered into between Grant County, a political subdivision of
the State of Washington ("Seller"), and City of Quincy, a Washington municipal corporation
("Purchaser").
p �
RECITALS
WHEREAS, Seller is the owner of the Property (as hereinafter defined); and
WHEREAS, Seller is interested in surplusing the Property and the Purchaser is
interested in purchasing the property for fair market value; and
WHEREAS, subject to the terms and conditions hereof, Seller desires to sell to
Purchaser the Property and Purchaser desires to purchase the Property from Seller; and
NOW, THEREFORE, in consideration of the mutual covenants and agreements
hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency of
p Y
which are hereby acknowledged, the parties hereto agree as follows:
ARTICLE I
CONVEYANCE OF THE PROPERTY
Section 1.01 Subject of Conveyance. Seller agrees to sell and convey to Purchaser and
Purchaser agrees to purchase from Seller, upon the terms and conditions hereinafter set forth' all
right, title, and interest of Seller in and to the following (collectivelyreferred to herein as the
"Property"):
(a) all that certain lot, piece, or parcel of land referred to as Sandlot Parcels
Parcel Nos. 040017000, 0400180005 040019000, and 040020000, County of Grant, and State of
Washington, as more particularly bounded and described in Exhibit A attached hereto
(b) all improvements that may be located on the Property and all of Seller's
right, title, and interest in and to any and all fixtures attached thereto (collectively, the
"Improvements");
(c) all equipment, machinery, apparatus, appliances, and other articles of
personal property located on and used in connection with the operation of the Improvements
(collectively, the "Personal Property");
(d) all rights appurtenant to the Property, if any, including without limitation
any strips and gores abutting the Property, and any land lying in the bed of any street, road or
avenue in front of, or adjoining the Property, to the center line thereof;
(e) all other rights, privileges, easements, licenses, appurtenances, and
hereditaments relating to the Property;
(f) any permit, entitlement, governmental approval, certificate of occupancy,
p Y,
license, or other form of authorization or approval issued by a government agency or authority
and legally required for the construction, ownership, operation, and use of the Property to the
extent transferable"Assumed
Y
with the sale of the Property (collectively, the Assumed Permits and
Licenses");
(g) any written warranty, guaranty, or other obligation from any contractor,
manufacturer, or vendor to any improvements, furnishings, fixture, orequipment located at the
.
Property, to the extent assignable in connection with the sale of the Property
, p Y
Warranties and Guaranties"); and
(h) all water rights, including but not limited to certificates,p ermits claims
and declarations, shares in irrigation districts, and rights to water of any kind or nature associated
with or appurtenant to the Property.
ARTICLE II
PURCHASE PRICE
Section 2.01 Purchase Price and Deposit. The purchasee rice to baid b
p p Y
Purchaser to Seller for the Property is Eighty -Four Thousand and 00/100 Dollars ($84,000)
"Purchase Price"). The Purchase Price shall be payable as follows:
Simultaneously with the execution and delivery of this Agreement by Purchaser, the sum of
$84,000. Dollars ($.00) (the "Deposit") by Purchaser's certified check or official bank check
subject to " collection, made payable to StewartTitle & Escrow, ("Escrow A entg ), orby wire
transfer of immediately available federal funds to an account at such bank as desi designated by
Escrow Agent.
g
ARTICLE III
DUE DILIGENCE INVESTIGATION
Section 3.01 Due Diligence Materials. Within fifteen 15 days after the
Effective Date (the "Due Diligence Delivery Date"), Seller shall, if not already made available to
Purchaser, deliver, cause to be delivered, or make available, copies of the followingdocuments
and materials
pertaining to the Property to the extent within Seller's possession or control: title
commitment/policy, site plans and specifications, architectural plans, inspections,
environmental/hazardous material reports, soils reports, governmental permits/a rovals zoning
g
information, tax information and utility letters, the Leases and all amendments rent roll copy of
service contracts, certificate(s) of occupancy, warranties and guaranties, commission agreements,
and copies of all correspondence related to the Leases, other similar materials relating to the
physical and environmental condition of the Property, and any other documents relatingto the
Property reasonably �� • • t
p y bly requested by Purchaser (collectively, the Due Diligence Materials"). The
Due Diligence Delivery Date shall be extended by one day for each day the Seller delays in
making the Due Diligence Materials available to Purchaser.
2
Section 3.02 Due Diligence Period. Purchaser shall have a 90 -da period,
Y
commencing on the Effective Date through Closing (the "Due Diligence Period"), to conduct or
cause to be conducted any and all tests, studies, surveys, inspections, reviews, assessments or
evaluations of the Property, including without limitation engineering, topographic, access soils
>
zoning, wetlands, and environmental inspections (including Phase I and/or Phase II
environmental site assessments to be performed by an environmental consultant selected by
Purchaser) (the "Inspections"), as Purchaser deems necessary, desirable, or appropriate ro riate in its sole
and absolute discretion, and analysis of the Due Diligence Materials. Purchaser shall have the
unconditional right, for any of the aforesaid reasons, to terminate this Agreement upon written
notice to Seller delivered at any time prior to the last day of the Due Diligence Period. Purchaser
shall obtain the approval of the City Council to proceed to Closing prior to the last day of the
Due Diligence Period. If Purchaser does not timely notify Seller of its election to terminate this
Agreement prior to the last day of the Due Diligence Period, Purchaser shall be deemed to have
elected to proceed to Closing, subject to the terms and conditions of this Agreement. If Purchaser
elects to terminate this Agreement as provided in this Section 3.02, Escrow Agent shall return
the Deposit to Purchaser, upon such refund being made this Agreement shall terminate and the
parties shall have no further liability hereunder (except with respect to those obligations
hereunder which expressly survive the termination of this Agreement). Notwithstandinganything
Yt g
to the contrary contained in this Agreement, amendments to this Agreement to extend the Due
Diligence Period may be agreed upon in writing or email by each party or eachp
art 's respective
p Y
representative and notices to terminate this Agreement prior to the expiration of the Due
Diligence Period may be given, by Purchaser as provided in this Agreement orb Purchaser or
Purchaser'sY
attorney by fax or by email to Seller and/or Seller's attorney.
Section 3.03 Purchaser's Access. At any time prior to the Closing
during the Due Diligence Period), and at all times, subject to Section 3.04, Purchaser and its
agents, employees, consultants, inspectors, appraisers, engineers, and contractors (collectively,
"Purchaser's Representatives") shall have the right to enter upon and pass through the Pro ert
g p Y
during normal business hours to examine and inspect the same, as well as conduct reasonable
tests, studies, investigations, and surveys to assess utility availability,soil conditions
environmental conditions, physical condition, and the like of the Property.
Section 3.04 Purchaser's Right to Inspect.
(a) In conducting the Inspections or otherwise accessing the Property,
Purchaser shall at all times comply with all laws and regulations of all applicable governmental
authorities. In connection with such Inspections, neither Purchaser nor any of Purchaser's
Representatives shall: (i) unreasonably interfere with or permit unreasonable interference with
any person occupying or providing service at the Property; or (ii) unreasonably interfere with the
business of Seller (or any of its tenants) conducted at the Property or unreasonably disturb the
use or occupancy of any occupant of the Property.
(b) Purchaser shall schedule and coordinate all Inspections or other access
thereto with Seller and shall give Seller at least three (3) Business Days prior notice thereof.
Seller shall be entitled to have a representative present at all times during each such inspection or
other access. Seller shall allow the Purchaser's Representatives unlimited access to the Property
V
and to other information pertaining thereto in the possession or within the control of the
Seller
for the purpose of the Inspections.
Section 3.05 Seller Indemnification. Purchaser agrees to indemnify and hold
. g fy d
Seller harmless from and against any and all losses, costs, damages, liens claims liabilities,
. g � es, or
expenses (including, but not limited to, Seller's reasonable attorneys' fees, court costs and
disbursements but excluding consequential and indirect damages) g ) incurr ed by Seller arising from
or by reason of Purchaser's and/or Purchaser's Representatives' access to or Inspections o
p f, the
Property, except to the extent such losses, costs, damages, liens, claims liabilities or expenses
p es
are caused by or resulting from: (a) any acts or omissions of Seller;(b)Seller's negligence;.
and/or (c) any pre-existing, dangerous, illegal, or defective condition at the Property. The
provisions of this Section 3.05 shall survive Closing or earlier termination of this Agreement.
Section 4.01 Closing Date. The closing of the transaction contemplated b
p y this
Agreement (the "Closing") shall take place on or before December 31, 2021Closin D the ""
( g Date")
through an escrow closing with Stewart Title Company of Ephrata, WA the Escrow Agent.
p g t.
Section 4.02 Seller's Closing Deliverables. At Closing, Seller shall deliver
. g� or
cause to be delivered to Purchaser, the following executed, certified, and acknowledged by
Seller, as appropriate:
(a) One (1) original Statutory Warranty Deed (the "Deed") in substantially the
form attached hereto as Exhibit B , duly executed with the appropriate acknowled acknowledgment
g form
and otherwise in proper form for recording so as to convey title to the Property to Purchase
required by this Agreement.
p y r as
(b) A certification that Seller is not a "foreign person" as such term is defined
in Section 1445 of the Internal Revenue Code, as amended and the regulations thereunder
(collectively, the "Code"), which certification shall be signed underenalt of
p Y perjury.
(c) Originals, or copies certified by Seller as being complete, of all applicable
p pp
bills, invoices, fuel readings, and other items that shall be apportioned as of the Closing D
p g ate.
(d) An original seller's affidavit in a form reasonably acceptable to the Title
Insurance Company.
(e) All keys, key cards, and access codes to any portion of the Property.
(fl All other documents reasonably necessary or otherwise required by the
Escrow Agent and Title Insurance Company to consummate the transaction contemplated by this
Agreement.
Section 4.03 Purchaser's Closing Deliverables. On the Closing Date
Purchaser shall deliver or cause to be delivered to Seller, the following,executed certified, led, and
acknowledged by Purchaser, as appropriate:
adjusted. (b), y(a) The balance of the Purchase Price as set forth in Section 2.01as may be
(b) Purchaser shall, where applicable, join with Seller in the execution and
delivery of the closing documents and instruments required under Section 4.02 of this
s
Agreement.
(c) All other documents reasonably necessary or otherwise required by the
Escrow Agent or the Title Company to consummate the transactions contemplated by this
Agreement.
Section 4.04 Closing Costs.
(a) Seller and Purchaser shall each pay the fees and expenses of its own
counsel in connection with the preparation and negotiation of this Agreement. The deed and
d
other agreements and instruments related to the transaction contemplated b this
p Y Agreement and
such
legal costs shall not be part of the closing costs; provided, however, that if an legal � Y g action
is instituted under
this Agreement, the prevailing party in such action shall be entitled to recover
from the other party costs related to such legal action, including reasonable attorneys'
. g ys fees and
costs in all trial, appellate, post judgment, and bankruptcy proceedings.
(b) Seller shall pay:
(i) Any transfer taxes and sales taxes payable in connection with the
transaction contemplated by this Agreement
(ii) all recording fees for the release of any liens on the Property, as
required pursuant to the terms of this Agreement; and
(c) Purchaser shall pay:
(i) the costs charged by Purchaser's Title Insurance Company,
p Y'
including, without limitation, costs related to the Title Commitment an premiums, title
' any e
endorsements, and affirmative insurance,
(ii) Escrow Agent's fees;
and diligence (ill) any other fees or costs related to Purchaser's due ' reviews•
(iv) all costs related to the recording fees payable in connection with
the recording of the deed and Purchaser's lender's security instruments, if any.
5
Section 4.05 Apportionments. The following shall be apportioned as of 11:59
p.m. of the date immediately preceding the Closing Date, unless expressly provided for
otherwise:
p Y
(a) All real estate taxes based on the fiscal year for which they are assessed
and any assessments, provided, however, that if any such charges are payable by any Tenant
under the Leases, such charges shall not be apportioned. If the Closingshall occur before
anew
tax rate is fixed, the apportionment of real estate taxes shall be upon the basis of the tax rate for
the preceding fiscal period applied to the latest assessed valuation. If the Property shall be
. p y , or has
been, affected by any assessments or special assessments payable in a lump sum or which
. p Y p hare, or
may become, payable in installments, of which the first installment is then a charge or lien, , or
has already been paid, then at the Closing such amounts shall beaid in full b Seller.
p y
(b) Utilities, fuel, gas, and electric charges based on most recently s issued bills,
unless the meters are read on the date immediately preceding e thClosingDate.
(c) All other items customarily apportioned in connection with sales of
property substantially similar to the Property in the State of Washington.
ARTICLE V
TITLE MATTERS AND REVIEW
Section 5.01 Acceptable Title. Seller shall convey, and Purchaser shall accept,
pt'
such
title to the Property that any title insurance company authorized and licensed to do business
��
in Washington State (the "Title Insurance Company) would be willingto insure at regular r
sub • ec g rates,
subject to the matters set forth in this Agreement. Seller shall convey, and Purchaser shall accept,
p9
fee simple title to the Property in accordance with the terms and conditions of this Agreement,
gr ent,
and subject only to:
(a) the Permitted Exceptions; and
(b) such other matters as any Title Insurance Company shall be willing to omit
as exceptions to coverage or to except with insurance against collection out of or enforcement
against the Property.
Section 5.02 Permitted Exceptions. The Property shall be sold, assigned, and
conveyed by Seller to Purchaser, and Purchaser shall accept and assume same subject onlyto
the following matters (collectively, the "Permitted Exceptions"):
(a) Any and all present and future zoning, building, environmental and other
laws, statutes, ordinances, codes, rules, regulations, requirements, or executive mandates of all
governmental authorities having jurisdiction with respect to the Property,gincluding, without
limitation, landmark designations and all zoning variances ands special exceptions, if an
p p � Y,
provided, however, that the same are not violated by the Improvements orrohibit or materially
y
impair the continued use of the Property as it is being used on the date of this Agreement.
no
(b) Possible encroachments and/or projections of fences, coping walls
p g
(including retaining walls and yard walls) and the like, if any, on, under, or above any street or
highway, the Property, or any adjoining property, provided, however, that the same do not
materially impact the value of the Property or impair the continued use of the Property as it is
p Y
being used on the date of this Agreement.
(c) All covenants, restrictions and rights of record, and all easements and
agreements of record for the erection and/or maintenance of water, gas, steam electric
telephone, sewer or other utility pipelines, poles, wires, conduits, or other like facilities and
appurtenances thereto, over, across, and under the Property, provided, however, that the same are
not violated by the Improvements and do not impose any monetary obligation ation on the owner of
the Property.
Section 5.03 Title.
(a) within five (5) days following the Effective Date, Seller shall cause the
Title Company to deliver to Purchaser: (i) a commitment for title insurance from the Title
Insurance Company, together with true, legible (to the extent co complete , and available) p copies ies of
any tax search, departmental or municipal searches, and all instrumentsiving ran rise to defects
y
or exceptions to title to the Property (collectively, the "Title Commitment"), which Title
Commitment shall be delivered to counsel for both Purchaser and Seller concurrently;
(b) Purchaser or Purchaser's attorney shall deliver to Seller, and Seller's
attorney, in writing (the "Title Objection Notice"), any objections to the exceptions to title set
forth in the Title p
Commitment or Purchasers Survey, other than the Pen-nitted Exceptions(each a
• p
"Title Objection," and collectively, hereinafter the "Title Objections"), within ten(10)da s aft. ) y after
Purchasers receipt of the Title Commitment and Survey (or an subsequent update thereof).
. Y q p f) If,
after giving the Title Objection Notice to Seller and Seller's attorney, Purchaser receives an
amen Y Y .
amendment or update to the Title Commitment or to the Survey showing an title defects which
. g y ch
Purchaser claims are not Permitted Exceptions, Purchaser shallg ive written notice thereof to
Seller promptly after the date Purchaser receives such evidence(unless an additional matter
shown on such subsequent update first arises on the Closing Date, in which event notice of same
may be given on the Closing Date and the Closing Date shall be extended da for da without
y y u
need for additional action by either party). Except for those items which Seller is obligated to
cure pursuant to the terms of this Agreement, any such matter not the subject of a time) Title
� y
Objection Notice shall be deemed a Permitted Exception. Notwithstanding anything an thin to the
contrary contained herein, Purchaser shall have no need to object to any Mandatory Title
Removal Item, which Mandatory Title Removal Items shall be automatically deemed Title
Objections.
Section 5.04 Seller's Inability to Convey.
(a) Seller shall use commercially reasonable efforts to eliminate all Title
Objections by the Closing Date. If Seller is unable to eliminate any � Y Title Objection b the
Closing Date, Seller shall provide written notice of same to Purchaser and then unless the sal
ne
is waived by Purchaser in writing, in its sole and absolute discretion, Purchaser may either: i
terminate this Agreement by written notice to Seller and Escrow Agent delivered on or before
9
the Closing Date, in which event Purchaser shall be entitled to a return of the Deposit, and this
p
Agreement shall thereupon be deemed terminated and of no further effect, and neitherart
p Y
hereto shall have any obligations to the other hereunder or by reason hereof, 'except for the
provisions hereof that expressly survive termination of this Agreement; or (ii) complete the
purchase (with no reduction in the Purchase Price) with such title as Seller is able to convey on
the Closing Date.
ARTICLE VI
REPRESENTATIONS AND WARRANTIES
Section 6.01 Seller's Representations and. Warranties. Seller represents and
warrants to Purchaser on and as of the date of this Agreement and on and as of the Closing Date
as follows:
(a) The execution, delivery, and performance of this Agreement by Seller and
all agreements, instruments, and documents herein provided to be executed b Seller on the
ClosingY
Date: (i) do not violate the trust agreement of Seller, or any contract, agreement
commitment, lease, order, judgment, or decree to which Seller is a party. The individual(s)
executing this Agreement and the instruments referenced herein on behalf of Seller have the
legal power, right, and actual authority to bind Seller to the terms and conditions hereof and
thereof. This Agreement is valid and binding upon Seller, subject to bankruptcy, reorganization,
p Y�
and other similar laws affecting the enforcement of creditors' rights generally.
Y
(b) Neither the execution, delivery, or performance of this Agreement nor the
consummation of the transactions contemplated hereby is prohibited by, or requires Seller to
obtain any consent, authorization, approval, or registration under any law, statute rule, 9
regulation, judgment, order, writ, injunction, or decree which is binding upon Seller which has
not been previously obtained.
(c) Seller is not a "foreign person" within the meaning of Section 1445 of the
Code.
(d) There is no litigation, arbitration, or other legal or administrative suit
action, proceeding, or investigation pending or threatened against or involving Seller or the
ownership or operation of the Property, including, but not limited to, any condemnation action
relating to the Property.
(e) Seller has not entered into any service, maintenance, supply, leasing,
brokerage, and listing and/or other contracts relating to the Property (along with all amendments
and modifications thereof, the "Service Contracts") which will be binding upon the Purchaser
after the Closing, other than the Leases and the Assumed Contracts. Each of the Service
Contracts can and, at Purchaser's option, will be terminated by Seller on or before the Closing
Date. The Seller has performed all of its obligations under each of the Service Contracts and no
fact or circumstance has occurred which, by itself or with the passage of time or theivin of
g g
notice or both, would constitute a default by any party under any of the Service Contracts. Seller
has delivered to Purchaser true, correct, and complete copies of all Service Contracts.
n
(f) Seller has not received notice of any material violation of any law or
municipal ordinance, order, or requirement noted or issued against the Property b
p Y Y any
governmental authority having jurisdiction over the Property, that has not been cured corrected
or waived as of the Effective Date.
(g) Seller has or will deliver or make available to Purchaser complete copies of
all the Due Dili p p
Bence Materials to the extent in Seller's possession or under Seller's control with
regard to the Property, and there are no other documents or information included within the
definition of Due Diligence Materials that have not been provided to the Purchaser. To Seller's
knowledge, none of such Due Diligence Materials contains any untrue statement of a material
fact or omits to state a fact necessary to make the statement of fact contained therein not
misleading in any material respect.
(h) Seller has not placed any, and to Seller's knowledge, there are no
Hazardous Materials installed, stored in, or otherwise existing at, on, in, or under the Property in
violation of any Environmental Enviro ►► ++ +,
Laws. Hazardous Materials means Hazardous Material,
"Hazardous Substance," "Pollutant or Contaminant," and "Petroleum" and "Natural Gas
Liquids," as those terms are defined or used in CERCLA, and any other substances regulated
because of their effect or potential effect on public health and the environment including PCBs
lead paint, asbestos, urea formaldehyde, radioactive materials, putrescible materials, and
infectious materials. "Environmental Laws" means, without limitation, the Resource
Conservation and Recovery Act and the Comprehensive Environmental Response Compensation
and p p
Liability Act and other federal, state, county, municipal, and other local lawsovernin or
g g
relating to Hazardous Materials or the environment together with their implementing regulations,
p g
ordinances, and guidelines.
(i) Seller has not: (i) filed any voluntary or had involuntarily filed against it in
any court or with any governmental body pursuant to any statute either of the United States or of
any State, a petition in bankruptcy or insolvency or seeking to effect any plan or other
arrangement with creditors, or seeking the appointment of a receiver; (ii) had a receiver,
conservator, or liquidating agent or similar person appointed for all or a substantialp ortion of its
assets; (iii) suffered the attachment or other judicial seizure of all, or substantially all of its
assets; (iv) given notice to any person or governmental body of insolvency; or v made an
assignment for the benefit of its creditors or taken any other similar action for thep rotection or
benefit of its creditors. Seller is not insolvent and will not be rendered insolvent by the
performance of its obligations under this Agreement.
(j) The improvements on the Property are not within an area determined to be
flood -prone under the Federal Flood Protection Act of 1973.
(k) The current lease is for the entire site, is not in writing, is a month-to-
month arrangement, and terminable at the end of any month. This representation and warranty
. p
shall survive the Closing and will not be affected by any investigation, verification or approval
by any party or anyone on behalf of any party to this Agreement.
(1) All personal property is on site by or through the tenant (by sublease or
storage agreement), that said agreements are month-to-month, and that no third party(other than
A
by or through the tenant) has any personal property stored on the property. This representation
p
and warranty shall survive the Closing and will not be affected by any investigation, verification
or approval by any party or anyone on behalf of any party to this Agreement.
Section 6.02 Purchaser's Representations and Warranties. Purchaser
represents and warrants that:
(a) Purchaser is a municipality duly organized, validly existing, and in good
standing under the laws of the State of Washington, is qualified to conduct business in the State
of Washington, and has the requisite power and authority to enter into this Agreement and the
instruments referenced herein, and to consummate the transactions contemplated hereby.
Y
(b) The execution, delivery, and performance of this Agreement by Purchaser
and all agreements, instruments, and documents herein provided to be executed by Purchaser on
the Closing Date hereby provided to be execute by the Purchaser on the closing date and has
been duly authorized by the City Council of Purchaser and the appropriate and necessary action
has been taken. The individual(s) executing this Agreement and the instruments referenced
herein on behalf of Purchaser have the legal power, right, and actual authority to bind Purchaser
to the terms and conditions hereof and thereof. This Agreement is valid and binding upon
on
Purchaser, subject to bankruptcy, reorganization, and other similar laws affecting the
enforcement of creditors' rights generally.
(c) Neither the execution, delivery, or performance of this Agreement, nor the
consummation of the transactions contemplated hereby is prohibited by, or requires Purchaser to
obtain any consent, authorization, approval, or registration under any law, statute, rule,
regulation, judgment, order, writ, injunction, or decree which is binding upon Purchaser which
has not been previously obtained.
(d) To the best of its knowledge, there are no judgments, orders, or decrees of
any kind against Purchaser unpaid or unsatisfied of record, nor any actions, suits, or other legal
or administrative proceedings pending or, to the best of Purchaser's actual knowledge, threatened
against Purchaser, which would have any material adverse effect on the business or assets or the
condition, financial or otherwise, of Purchaser or the ability of Purchaser to consummate the
transactions contemplated by this Agreement.
(e) The representations and warranties set forth in this Section shall be
continuing and shall be true and correct in all material respects as of the Closing Date with the
same force and effect as if made at that time. The representations and warranties set forth in this
Section 6.02 shall survive the Closing and will not be affected by any investigation, verification
or approval by any party or anyone on behalf of any party to this Agreement.
10
ARTICLE VII
RISK OF LOSS
Section 7.01 Major Taking or Casualty. If prior to the ClosingDate
any
portion of the Property shall be: (a) taken by any condemnation or eminent domain which
permanently and materially impairs the current use of the Property; or (b) or damaged destroyed
g Y
by fire or other casualty, then Purchaser may terminate this Agreement by giving Seller and
g
Escrow Agent written notice thereof ("Purchaser's Termination Notice") within ten 10 days
from the date Purchaser receives written notice of any such taking, fire, or other . casualtY Upon
on
receipt of Purchaser's Termination Notice, the Escrow Agent shall refund to Purchaser the
Deposit and upon such refund being made, this Agreement shall terminate and neitherart shall
p Y
have any further rights and/or obligations with respect to each other or this Agreement, except
for any obligations that expressly -survive termination of this Agreement.
ARTICLE VIII
NOTICES
Section 8.01 Delivery of Notices. Unless specifically stated otherwise in this
Agreement, all notices, demands, consents, approvals, waivers, or other communications(for
purposes of this Section 8.01 collectively referred to as "Notices") shall be in writing and
delivered to Purchaser, Seller, or Escrow Agent, at the addresses set forth in Section 9.02 by
one of the following methods:
(a) personal delivery, whereby delivery is deemed to have occurred at the time
of delivery;
(b) overnight delivery by a nationally [or regionally] recognized overnight
courier company, whereby delivery is deemed to have occurred the Business Day following
deposit with the courier;
(c) registered or certified snail, postage -prepaid, return receipt requested,
d � '
whereby delivery is deemed to have occurred on the third Business Day following deposit with
the Unitedg p
States Postal Service; or
(d) electronic transmission (facsimile or email) provided that the transmission
is completed no later than 5:00 pm on a Business Day and the original also is sent by personal
delivery, overnight delivery or by mail in the manner previously described, whereby delivery is
deemed to have occurred at the end of the Business Day on which electronic transmission is
completed.
Section 8.02 Parties Addresses.
(a) Unless changed in accordance with Section 9.02(b) of this Agreement, the
addresses for all communications and notices shall be as follows:
11
If to Seller:
Name: Chair Commissioner, Cindy Carter
Address: PO Box 37
35 C Street NW — Ephrata, WA 98823
Attention: Barb Vasquez
Email: bvasquez@grantcountywa.gov
Facsimile:
With a copy to:
Name: Sam Castro
Address: 124 Enterprise St. SE —Ephrata WA 98823
Attention: Loc Ohl
Email: samcastro@grantcountywa.gov
Facsimile:
If to Purchaser:
Name: City of Quincy
Address: 104 B Street S.W.Quincy, WA 98848
Attention: City Administrator
Email:
Facsimile:
With a copy to:
Name: Quentin Batjer c/o Davis Arneil Law Firm
Address: 617 Washington Street, Wenatchee, WA
98801
Email: quentin@dadkp.com
Facsimile: (509) 682-9074
(b) Any party may, by notice given in accordance with this Article, designate
a different address or person for receipt of all communications or notices.
(c) Any notice under this Agreement may be given by the attorneys of the
respective parties who are hereby authorized to do so on their behalf.
M
ARTICLE IX
REMEDIES
Section 9.01 Remedies.
(a) If Purchaser shall default in the observance or performance of Purchaser's
obligations under this Agreement and the Closing does not occur as a result thereof(a "Purchaser
Default"), Seller's sole and exclusive remedy shall be to retain the Deposit, and any interest
earned thereon, as liquidated damages for Purchaser's Default. Upon payment of the Deposit and
an inter p
y est earned thereon to Seller, this Agreement shall be terminated and the parties shall be
released from further liability to each other hereunder, except for those obligations and liabilities
that are expressly stated to survive termination of this Agreement. SELLER AND PURCHASER
AGREE THAT IT WOULD BE IMPRACTICAL AND EXTREMELY DIFFICULT TO
ESTIMATE THE DAMAGES WHICH SELLER MAY SUFFER UPON A PURCHASER
DEFAULT AND THAT THE DEPOSIT AND ANY INTEREST EARNED THEREON, AS
THE CASE MAY BE, REPRESENTS A REASONABLE ESTIMATE OF THE TOTAL NET
DETRIMENT THAT SELLER WOULD SUFFER UPON A PURCHASER DEFAULT. SUCH
LIQUIDATED AND AGREED DAMAGES ARE NOT INTENDED AS A FORFEITURE OR
A PENALTY WITHIN THE MEANING OF APPLICABLE LAW.
(b) If Seller shall default in the performance of any of Seller's obligations to be
performed under this Agreement and the Closing does not occur as a result thereof(a "Seller
Default"), Purchaser's sole and exclusive remedy shall be to either: (i) terminate this Agreement
by delivery of written notice to Seller and Escrow Agent, and Escrow Agent or Seller, as
applicable, shall return the Deposit to Purchaser, with the interest earned thereon, if any,
when y
whereupon this Agreement shall terminate and neither party shall have any further rights or
obligations with respect to each other or this Agreement, except those that are Y
ex ressl provided
p
in this Agreement to survive the termination hereof; or (ii) continue this Agreement and seek
specific performance of Seller's obligations hereunder, provided that any such action fors specific
performance p
p ance must be commenced within twenty (20) days after such default, and if Purchaser
prevails thereunder, Seller shall reimburse Purchaser for all reasonable legal fees, court costs
and all other reasonable costs of such action. Notwithstanding the foregoing, if Seller shall
willfully default in its obligation to close the transaction hereunder on the Closing Date and
specific performance shall not be a legally available remedy to Purchaser as a result thereof, then
Purchaser shall: (x) have the right to receive a return of the Deposit; and (y) be entitled to(and
Seller shall reimburse Purchaser for) Purchaser's Costs (which reimbursement obligation shall
g
survive the termination of this Agreement). The term "Purchaser's Costs" is defined for the
purpose of this Agreement as the expenses, if any, actually incurred by Purchaser for: i title
examination, survey, and municipal searches, including the issuance of Purchaser's Title
Commitment and any continuation thereof, without issuance of a title insurance policy(ii)
fees
paid to Purchaser's engineer for preparing any environmental and engineering reports with
respect to the Property; and (iii) the actual and reasonable third -party costs incurred by Purchaser
in connection with the negotiation of this Agreement and Purchaser's due diligence with respect
to the Pro p
Property, including, without limitation, reasonable attorneys' fees.
(c) Upon the release of the Deposit, and any interest accrued thereon, to either
Purchaser or Seller, as the case may be, and reimbursement of Purchaser's Costs (if applicable),
pp )
13
this Agreement shall be deemed null and void and no party hereto shall have any obligations ations to
,
or rights against, the other hereunder, except as expressly provided herein.
ARTICLE
:��.
Section 10.01 Brokers. There is no broker.
ARTICLE XI
MISCELLANEOUS
Section 11.01 Governing Lave. This Agreement shall be governed and
construed in accordance with the laws of the State of Washington.
Section 11.02 Merger; No Representations. This Agreement constitutes
the sole and entire agreement of the parties to this Agreement with respect to the subject matter
contain �
ed herein and supersedes all prior and contemporaneous understandings and agreements,
g '
both
written and oral, with respect to such subject matter. This Agreement is entered into after
full investigation, no party is relying upon any statement or representation, not set forth in this
Agreement, made by any other party.
Section 11.03 No Survival. Except as otherwise provided in this
Agreement, no representations, warranties, covenants, or other obligations of Seller set forth in
this Agreement shall survive the Closing and no action based thereon shall be commenced after
the Closing.
Section 11.04 Business ]Days. Whenever any action must be taken
(including the giving of notices) under this Agreement during a certain time period(orb a
. Y
particular date) that ends or occurs on a non -business day, then such period (or date) shall be
extended until the next succeeding business day. As used herein, the term "Business Day" shall
mean any day other than a Saturday, a Sunday, or a legal holiday on which national banks are not
open for general business in the State of Washington.
Section 11.05 Modifications and Amendments. This Agreement cannot under
any circumstance be modified or amended orally and no agreement shall be effective to waive
change, modify, terminate, or discharge this Agreement, in whole or in part, unless such
agreement is in writing and is signed by both Seller and Purchaser.
Section 11.06 Successors and Assigns; Assignment. This Agreement
shall �
111 b e binding upon and shall inure to the benefit of the parties hereto and their respective ective heirs
or successors and permitted assigns. Purchaser shall have the right to assign, transfer, or convey
its rights and obligations under this Agreement or in the Property without the prior written
consent of Seller, provided that any assignee shall assume all of Purchaser's obligations
hereunder and succeed to all of Purchaser's rights and remedies hereunder and written notice to
Seller of the assignment and assumption must be delivered to Seller prior to the Closing. If an
assignee • � g
g assumes all of Purchasers obligations under this Agreement in writing, then upon the
14
effective date of the assignment of this Agreement to such assignee, Purchaser shall be released
from all obligations under this Agreement.
Section 11.07 Severability. If any term or provision of this Agreement is
invalid, illegal, or unenforceable in any jurisdiction, such invalidity, illegality, or
unenforceability shall not affect, invalidate, or render unenforceable any other term orp rovision
of this Agreement. Upon such determination that any term or other provision is invalid illegal,
or unenforceable, the parties hereto shall negotiate in good faith to modify this Agreement so as
to effect the original intent of the parties as closely as possible in a mutually acceptable manner
in order that the transactions contemplated by this Agreement be consummated as originally
g y
contemplated to the greatest extent possible.
Section 11.08 Further Assurances. Each of the parties hereto shall
execute and deliver such additional documents, instruments, conveyances, and assurances and
take such further actions as may be reasonably required to carry out the provisions of this
Agreement and give effect to the transactions contemplated hereby, provided such documents are
customarily delivered in real estate transactions in the State of Washington and do not impose
any material obligations upon any party hereunder except as set forth in this Agreement.
Section 11.09 Counterparts. This Agreement may be executed by the
parties in separate counterparts, each of which when so executed and delivered shall be an
original for all purposes, but all such counterparts shall together constitute but one and the same
instrument.
Section 11.10 Headings. The captions or paragraph titles contained in
this Agreement are for convenience and reference only and shall not be deemed apart of the text
of this Agreement.
Section 11.11 No waivers. No waiver by any party of any of the
provisions hereof shall be effective unless explicitly set forth in writing and signed b theart
Y party
providing the waiver. No waiver by either party of any failure or refusal to comply with
pY any
obligations under this Agreement shall be deemed a waiver of any other or subsequent failure or
refusal to so comply.
Section 11.12 No Offer. This Agreement shall not be deemed an offer or
binding upon Seller or Purchaser until this Agreement is fully executed and delivered by Seller
and Purchaser.
Section 11.13 Waiver of Jury Trial. SELLER AND PURCHASER
HEREBY WAIVE TRIAL BY JURY IN ANY ACTION, PROCEEDING, OR
COUNTERCLAIM (WHETHER ARISING IN TORT OR CONTRACT) BROUGHT BY
SUCH PARTY AGAINST THE OTHER ON ANY MATTER ARISING OUT OF OR IN ANY
WAY CONNECTED WITH THIS AGREEMENT.
Section 11.14 Time of the Essence. The parties hereto acknowledge and
agree that, except as otherwise expressly provided in this Agreement, TIME IS OF THE
ESSENCE for the performance of all actions (including, without limitation, the giving of notices
15
the delivery of documents, and the funding of money) required or permitted to be taken under
this Agreement.
IN WITNESS WHEREOF, the parties have caused this Agreement to be executed
as of the date first written above.
SELLER:
GRANT COUNTY, a political subdivision of
the State of Washingto
By.
Name: Cindy_ rter 7 t
Title: Chair, Board of County Commissioners
(Printed Name)
-y1i A -
(Signed)
Deputy Prosecuting Attorney
16
PURCHASER:
CITY OF QUINCY, a Washington
municipality
Exhibit A
[LEGAL DESCRIPTION]
Parcel 040017000, known as Lot 1 Block 3 Quincy Original Plat; and
Parcel 040018000, known as Lot 2 Block 3 Quincy Original Plat; and
Parcel 040019000, known as Lot 3 Block 3 Quincy Original Plat, and
Parcel 040020000, known as Lot 4 Block 3 Quincy Original Plat.
17
Exhibit B
Section 11.15 Seller's Closing Deliverables. At Closing, Seller shall
deliver or cause to be delivered to Purchaser, the following executed, certified, and
acknowledged by Seller, as appropriate:
(a) One (1) original Statutory Warranty Deed (the "Deed") in substantially the
form attached hereto as Exhibit B , duly executed with the appropriate acknowledgment form
and otherwise in proper form for recording so as to convey title to the Property to Purchaser as
required by this Agreement.