Title
Dept/ Agency: Law
Action: ( ) Ratifying (X) Authorizing ( ) Amending
Purpose: Settlement of Pre-Suit Demand for Payment
Docket No.: None - Pre-Suit
Claimant: Axion of North Jersey LLC, One Gateway Center, Newark, New Jersey 07102
Claimant's Attorney: Daniel Gammerman, Esq.
Attorney's Address: 6800 Jericho Turnpike, Suite 110W, Syosset, New York 11791
Settlement Amount: $368,113.35
Funding Source: City of Newark Budget, Department of Child and Family Well Being
Additional Comments:
Invitation: Corporation Counsel, December 4, 2012
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WHEREAS, the City of Newark, 920 Broad Street, Newark, New Jersey 07102 was in need of Temporary Staffing in varied positions relating to health and social service delivery and engaged Axion of New Jersey LLC, One Gateway Center, Newark, New Jersey 07102 by Emergency Contract Award (E18-2010), for the term of October 1, 2010 through September 30, 2011; and
WHEREAS, the City of Newark, Department of Child and Family Well-Being, administratively extended the emergency contract term for these critical, essential public health services; and
WHEREAS, Axion of New Jersey LLC, has continued to provide Temporary Staffing from the expiration of the emergency contract declarations and administrative extensions; and
WHEREAS, Axion of New Jersey LLC, has demanded payment of outstanding monies due for services rendered, which monies have not been paid because there is no currently approved contract, emergency or otherwise; and
WHEREAS, the City of Newark, Department of Child and Family Well-Being, acknowledges having received the Temporary Staffing from Axion of New Jersey LLC; and
WHEREAS, the parties have agreed to settle the matter for the payment by the City of Newark of the sum of $368,113.35 (Three Hundred Sixty Eight Thousand One Hundred Thirteen Dollars and Thirty Five Cents), in one lump sum, in exchange for the execution of a Settlement Agreement and General Release as a full and complete settlement of all of Axion of New Jersey LLC's claims, including any claims for attorney's fees for services provided through and including October 2012; and
WHEREAS, the within settlement and release does not admit nor should it be construed as an admission of liability or violation of any law, statute or regulation or a breach of any duty by the City of Newark, its agents, officers and/or employees whatsoever and is entered into to resolve this matter and prevent the incurring of additional costs and fees; and
WHEREAS, the City of Newark has determined that it is in the best interest of the taxpayers to settle and avoid the cost, expense, delay and uncertainty of litigation; and
WHEREAS, the Director of the Department of Finance has certified that there are adequate, appropriated monies available to pay the settlement.
NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF THE CITY OF NEWARK, NEW JERSEY, THAT:
1. The Corporation Counsel is hereby authorized on behalf of the City of Newark to negotiate and execute a Settlement Agreement and Release any other documents, sufficient in form and content to Corporation Counsel and to take whatever actions are necessary to effectuate the terms of the within resolution and settlement of this matter pursuant to the terms contained in the within Resolution.
2. The Municipal Council of the City of Newark hereby authorizes the payment for the benefit of Axion of New Jersey LLC, One Gateway Center, Newark, New Jersey 07102, in the amount of $368,113.35 (Three Hundred Sixty Eight Thousand One Hundred Thirteen Dollars and Thirty Five Cents), by ACH wire transfer to Wells Fargo Bank, N.A., San Francisco, CA ABA#121000248, Beneficiary: Wells Fargo Credit-Texas Office, Acct# 4121418198, as consideration of and pursuant to the terms and conditions contained in the Settlement Agreement and Release annexed hereto.
3. In exchange for the execution by Axion of New Jersey LLC, of the Settlement Agreement and Release, acceptable in form to the Corporation Counsel and after passage of this resolution and upon receipt by the Corporation Counsel and the Director of Finance of any and all other documents deemed necessary, the Director of Finance of the City of Newark is hereby authorized to make the payment for the benefit of Axion of New Jersey LLC.
4. The within settlement and resolution does not admit nor should it be construed as an admission of liability or violation of any law, statute or regulation or a breach of any duty by the City of Newark, its agents, officers and/or employees whatsoever and is entered into based upon recommendations of counsel and to eliminate all risks and future litigation costs.
5. Attached hereto is a certification of funds issued by the Director of Finance, City of Newark, which states that there are available sufficient, legally appropriated funds of $368,113.35 (Three Hundred Sixty Eight Thousand One Hundred Thirteen Dollars and Thirty Five Cents), for the purposes set forth hereinabove. A copy of the certification of funds issued shall be filed in the Office of the City Clerk together with this Resolution by the Corporation Counsel.
6. A fully executed copy of the Settlement Agreement and Release shall be filed in the office of the City Clerk by Corporation Counsel.
7. This Resolution shall be effective upon adoption in accordance with applicable State law.
STATEMENT
This resolution authorizes the settlement of a demand for payment from Axion of New Jersey LLC, One Gateway Center, Newark, New Jersey 07102 for Temporary Staffing, through the payment of the lump sum of $368,113.35 (Three Hundred Sixty Eight Thousand One Hundred Thirteen Dollars and Thirty Five Cents), in exchange for the execution of a Settlement Agreement and Release.