Title
Dept/ Agency: Law
Action: ( ) Ratifying (X) Authorizing ( ) Amending
Purpose: Pre-Litigation Settlement Suit
Docket No.: N/A
Claimant: Mercury Public Affairs, LLC
Claimant's Attorney: N/A
Claimant's Address: 137 Fifth Avenue, New York, New York 10010-7103
Settlement Amount: $131,720.84
Funding Source: Insurance Trust Fund
Account Code Line: 2020 Budget/Department of Law/NW025-25T-7T25-A-96340-B2020
Additional Comments:
Mercury Public Affairs, LLC, 137 Fifth Avenue, New York, New York 10010-7103 with New Jersey offices at 220 Lenox Avenue, #101, Westfield, New Jersey 07090.
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WHEREAS, the Municipal Council adopted Resolution 7R1-l(AS) on December 19, 2018, which authorized the Mayor and/or his designee, the Business Administrator, on behalf of the City of Newark (the “City”) to enter into and execute a contract with Mercury Public Affairs, LLC, 137 Fifth Avenue, New York, New York 10010-7103 with New Jersey offices at 220 Lenox Avenue, #101, Westfield, New Jersey 07090, for certain Public Relations Services, for an amount not to exceed $225,500.00, for a period of six (6) months from the date of contract execution; and
WHEREAS, Mercury Public Affairs, LLC, provided services under the terms of the contract agreement and submitted invoices for the services rendered; and
WHEREAS, Mercury Public Affairs, LLC has outstanding invoices for services rendered in June, July, August, September and October 2019; and
WHEREAS, Mercury Public Affairs, LLC is now entitled to payment for rendering such services, but has exceeded the cap of the original contract in the amount of $225,500.00; and
WHEREAS, on March 10, 2020 a demand letter for payment of the outstanding invoices for services rendered in June, July, August, September and October 2019 are outstanding and the services have been provided; and
WHEREAS, the total amount of the outstanding invoices is One Hundred Thirty-One Thousand, Seven Hundred Twenty Dollars and Eighty-Four Cents ($131,720.84) for services rendered; and
WHEREAS, it is understood that the City agrees to pay Mercury Public Affairs, LLC (the “Parties”) a lump sum payment in the amount of One Hundred Thirty-One Thousand, Seven Hundred Twenty Dollars and Eighty-Four Cents ($131,720.84) (“Settlement Sum”) in exchange for the execution of this Settlement Agreement and General Release (the “Agreement”); and
WHEREAS, the within Settlement Agreement and General Release neither admits nor should it be construed as an admission of liability or a violation of any law, statute or regulation or a breach of any duty by the City, its agents, officers and/or employees whatsoever or by Mercury Public Affairs, LLC, or any of its agents, officers and/or employees whatsoever and is entered into in good faith based upon recommendations of counsel and to eliminate all risks and potential costs; and
WHEREAS, the above settlement shall apply to any successors or assignees of Mercury Public Affairs, LLC; and
WHEREAS, the Corporation Counsel believes it is in the best interest of the City to resolve this matter, without the need for litigation by executing the Settlement Agreement and General Release and paying the Settlement Sum.
NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF THE CITY OF NEWARK, NEW JERSEY, THAT:
1. The Mayor, and/or his designee, the Corporation Counsel, are hereby authorized on behalf of the City of Newark to enter into, execute and accept the terms of the Settlement Agreement and General Release between the City and Mercury Public Affairs, LLC, 137 Fifth Avenue, New York, New York 10010-7103 with New Jersey offices at 220 Lenox Avenue, #101, Westfield, New Jersey 07090.
2. The effective date of the Agreement shall be the date that it is adopted by the Municipal Council.
3. Pursuant to the Agreement, the City shall pay Mercury Public Affairs, the Settlement Sum of One Hundred Thirty-One Thousand, Seven Hundred Twenty Dollars and Eighty-Four Cents ($131,720.84) to be paid, via check made payable to: Mercury Public Affairs, LLC, 137 Fifth Avenue, New York, New York 10010-7103 with New Jersey offices at 220 Lenox Avenue, #101, Westfield, New Jersey 07090.
4. Mercury Public Affairs will release all claims again the City in accordance with the Settlement Agreement and General Release.
5. Attached hereto are the Certifications of the City Comptroller, which states that there are available sufficient legally appropriated funds for the purpose set forth hereinabove, and that the line appropriation of the Official Budget, which shall be charged, is the Insurance Fund Trust Account. A copy of the City Comptroller’s Certification shall be filed by the Corporation Counsel in the Office of the City Clerk along with a copy of this resolution.
6. The Mayor, and/or his designee, the Corporation Counsel shall file a fully executed copy of the resolution and Settlement Agreement in the Office of the City Clerk.
STATEMENT
This Resolution authorizes the Mayor, and/or his designee, the Corporation Counsel, on behalf of the City of Newark to enter into, execute and accept the terms of the Settlement Agreement and General Release between the City and Mercury Public Affairs, LLC, 137 Fifth Avenue, New York, New York 10010-7103 with New Jersey offices at 220 Lenox Avenue, #101, Westfield, New Jersey 07090 and pay the Settlement Sum of One Hundred Thirty-One Thousand, Seven Hundred Twenty Dollars and Eighty-Four Cents ($131,720.84), in return for a full release of all claims against the City and its agents