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SETTLEMENT AGREEMENT AND GENERAL RELEASE <br />This Settlement Agreement and General Release ("Agreement") is entered into on this 5th <br />day of Sept, 2000by and between Leopold Wenzel, individually and dba Loma Linda Towing <br />(collectively "Wenzel."), and Allen Wenzel, on the one hand, and the City of Redlands <br />("Redlands"), on the other. <br />RECITALS <br />A. On or about March 17, 1992, Redlands granted Wenzel a franchise to provide <br />certain towing services within the City limits (the "Franchise"). On or about March 18, 1997, the <br />City Council of the City of Redlands passed Resolution No. 5362 (the "Resolution") revoking the <br />Franchise. <br />B. On June 25, 1997, Wenzel submitted a written administrative claim (the "Claim") <br />to Redlands asserting that he was entitled to compensation or damages from Redlands as a result <br />of the revocation of the Franchise and the passage of the Resolution. In or about1998, Wenzel <br />and Allen Wenzel commenced that certain legal action in the San Bernardino Superior Court, case <br />number SCV 43189, entitled Leopold Wenzel etc. et al. v. City of Redlands (the "Action"). <br />Wenzel originally asserted six causes of action against Redlands and certain of its employees <br />including Cletus Hyman ("Hyman") and Brad Kloepfer ("Kloepfer"), all of which concerned the <br />revocation of the Franchise and the passage of the Resolution. As a result of various demurrers <br />filed by Redlands, Wenzel was ultimately allowed to prosecute only a single claim for mandamus. <br />RVLIT\HBG\574572 <br />