Title
Dept/ Agency: Law
Action: ( ) Ratifying (X) Authorizing ( ) Amending
Purpose: Settlement of Civil Litigation
Docket No.: ESX-C-000134-19
Claimant: Macasegri, LLC
Claimant's Attorney: Russel M. Finestein, Esq.
Attorney's Address: Finestein & Malloy, LLC, 6 Commerce Drive, Suite 304, Cranford, New Jersey 07016
Settlement Amount: $12,500.00
Funding Source:
Additional Comments:
Invitation: Corporation Counsel
Deferred 7R6-a 032420
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WHEREAS, a lawsuit was filed in the Chancery Division of the Superior Court of New Jersey, Essex Vicinage, captioned, Macasegri, LLC v. City of Newark, et al., DOCKET NO. ESX-C-000134-19, in which the Plaintiff, Macasegri, LLC sought the cancellation of a DCA Mortgage in favor of the City of Newark ("the City"); and
WHEREAS, said mortgage contained a Declaration of Covenants, Conditions and Restrictions ("Affordable Housing Agreement") dated September 18, 2002, restricting the use of the subject property to affordable housing; and
WHEREAS, the Affordable Housing Agreement provided that prior to conveyance of the subject property, the City is to provide documented evidence that the unit has been released from the restrictions of the Affordable Housing Agreement; and
WHEREAS, Plaintiff, Macasegri, LLC, was conveyed the unit by way of a short sale approved by co-Defendant Wells Fargo Bank, N.A., absent release of the restrictions of the Affordable Housing Agreement; and
WHEREAS, a genuine issue of fact exists as to the applicability and enforceability of the Affordable Housing Agreement; and
WHEREAS, a proposal has been made to resolve this litigation in its entirety by payment from Plaintiff Macasegri, LLC and Co-Defendant, Wells Fargo Bank, N.A., in the total amount of $12,500.00 (Twelve Thousand Five Hundred Dollars and Zero Cents) and execution of the Settlement Agreement and Release; and;
WHEREAS, in order to settle the mat...
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