Stowell, Zeilenga, Ruth, Vaughn/Shea Homes Legal 07DAVID T. STOWELL
RICHARD S. ZEILENGA
DAVID C RUTH
JAMES D. VAUGHN
ADAM K. TREIGER
SAMUEL E. GASOWSKI
� 'i
STOWELL, ZEILENGA, RUTH,
VAUGHN & TREIGER LLP
ATTORNEYS AT LAW
2815 TOWNSGATE ROAD • SUITE 330
WESTLAKE VILLAGE, CA 91361
TEL: (805) 446-1496 • FAX (805) 446-1490
www szrlaw com
OF COUNSEL
GREGG HOMER
CARY W. SPENCER Privileged and Confidential
Attorney Client Communication
August 27, 2007
Ira E-Mail and Federal Express
Mr. Thomas P. Genovese
City Manager
City of La Quinta
78-495 Calle Tampico
La Quinta, CA 92253
Re: Agreement For Legal Services
Dear Mr. Genovese:
C1C
AUG 2 8 2007
j
- 499 N CANON -DRIVE,
FOURTH FLOOR
BEVERLY_HIL1-S-SA_90210
TEL (310) 473J775
It is our pleasure to represent the City of La Quinta (the "City"). To ensure its
complete understanding and approval, this letter contains the terms of our representation.
Firm Policy. Under our fi m's policy and, in some instances, under California
law, we are required to have a written agreement with the City for our services.
Nature of our Services and Responsibilities. We will represent the City with
respect to the pending dispute with Shea Homes, involving Avenue 62 Conditions of Approval
for Tentative Tract Map No. 30023, in the Trilogy Project. In the event that Shea Homes files
a lawsuit with respect to the Avenue 62 dispute, we will defend the City in any such action.
Your Responsibilities. The City agrees to cooperate with us and to disclose to
us all information which we may need. The City agrees to perform its obligations under this
agreement. Upon written notice, we shall have the right to cease rendering services and to
withdraw as its counsel in the event the City fails to fulfill any of its obligations under this
agreement. The City may at any time, upon written notice, discharge us for any reason
whatsoever, which shall become effective upon our receipt. The City acknowledges that
following such termination, the City shall remain obligated to pay for all attorneys' fees and
costs owed us as required by the terms of this agreement.
August 27, 2007
Page -2-
Fees and Rates. We will bill the City monthly for services on an hourly basis at
our then -current hourly rates. Currently, our hourly rates range from $125.00 for our
paralegal assistants to $450.00 for our most experienced attorneys. My regular hourly rate is
now $450.00. My partner James Vaughn frequently works with me on the firm's land use
matters, particularly in the event of litigation. Mr. Vaughn's hourly rate is $395.00.
I shall personally perform many of the services for the City's case, including
management and supervisory services. When efficient and economic, other members of the
firm will be utilized as resources, including paralegals and associates.
We charge in minimum increments of one quarter-hour. All time spent on the
matter by me, other attorneys, paralegals, and paralegal assistants will be billed to the City.
This includes, for example, time spent waiting in court, in travel, and in office conferences. If
it is necessary for more than one of our personnel to attend a meeting, court hearing or other
proceeding, or if more than one person participates in an office conference, each will charge
for his time.
Costs and Standard Charges. The City will be responsible to pay directly for
any out-of-pocket costs and expenses incurred in connection with this matter and to reimburse
us for costs or expenses that we elect to advance. These costs and expenses may include, for
example, long-distance telephone calls, delivery charges, postage, travel expenses (such as
mileage, parking, air fare, meals, and hotel accommodations), charges assessed by courts and
other public agencies (including, but not limited to, sanctions, if not due to our fault), court
reporter's fees, expert's or consultant's fees and other similar items. Reimbursement to us for
services provided by our staff shall be at standard rates adopted by us from time to time. For
example our current rates include: photocopying - $0.10 per page; fax - $.25 per page;
messengers - according to destination and time; and secretarial overtime - $40.00 per hour.
Retainer. We have waived our standard retainer requirement in light of our prior
longstanding relationship with the City.
Invoices and Service Charges. We will send a monthly invoice which shows
how our fees have been computed. Invoices must be paid within twenty (20) days of being
sent to the City. We will also provide the City with a copy of any invoice within ten (10) days
after it requests one. The City agrees to promptly notify us if any charges are in dispute.
Participation in Other Proceedings. If we are called upon to give testimony or
produce documents in any legal or administrative proceedings which concern the City in any
way, whether before or after our representation and rendition of legal services to it terminates,
August 27, 2007
Page -3-
the City agrees to pay us, at our then regular hourly rates, for our time in preparing for and in
giving testimony and/or in producing documents, and for all expenses incurred in connection
with doing so.
Arbitration. The City and we agree that any dispute relating to attorneys' fees
under this contract may, upon agreement of the parties, be submitted to arbitration before the
Los Angeles County Bar Association pursuant to California Business and Professions Code
§6200, et sect., or, should that organization decline to arbitrate the dispute, before the State Bar
of California pursuant to California Business and Professions Code §6200, et seq. The City
and we agree to the appointment of a three (3) person arbitration panel to hear any dispute
relating to attorneys' fees that may arise between us.
Any and all other disputes (other than attorneys' fees) between the City and us
arising out of or relating to this contract or attorneys' professional services rendered to or for
you, including but not limited to any claim you may have for malpractice, may, upon
agreement of the parties, be resolved by binding arbitration before the Judicial Arbitration And
Mediation Service ("JAMS") in Los Angeles, California, in accordance with the Commercial
Rules of the American Arbitration Association prevailing at the time of the arbitration. The
City and we agree to the appointment of a three (3) person arbitration panel to hear any dispute
arising out of this contract or any attorney's professional services, that may arise between us.
THE CITY AND WE ACKNOWLEDGE THAT THE REMEDIES OF
BINDING ARBITRATION, AS SET FORTH IN THIS CONTRACT, ARE THE
EXCLUSIVE REMEDIES OF IT AND US FOR ANY AND ALL DISPUTES THAT WE
MAY HAVE ARISING OUT OF THIS CONTRACT AND/OR ARISING OUT OF OUR
PROFESSIONAL SERVICES PROVIDED TO YOU. THE CITY AND WE EXPRESSLY
ACKNOWLEDGE THAT WE ARE WAIVING OUR RIGHTS TO TRIAL BY JURY BY
ENTERING INTO THIS CONTRACT.
In the event of arbitration, the City and we agree that the cost of arbitration will
be bom by the non -prevailing party. Each of us further acknowledge that we have read and
understand, this section of the Contract concerning binding arbitration, and have had the
opportunity to consult with separate legal counsel concerning the legal affect of these
provisions as either of us deem necessary or appropriate.
Other Matters. The terms of this agreement shall apply to: (a) any other legal
services we perform on existing matters and to future matters in which we represent the City
unless we enter into a new written agreement; and (b) to any legal services performed for or on
behalf of any other entity of which the City is the controlling entity.
August 27, 2007
Page -4-
Miscellaneous. If we provide the City with any estimates of our fees and costs,
we cannot guarantee that the actual fees and costs will not be higher -- perhaps even a multiple
of the estimate -- due to a variety of reasons, including, but not limited to, the actions taken by
any opposing parties or their attorneys.
We have not made and cannot make any promises or guarantees to the City
about the outcome of any matter. This firm is covered by malpractice insurance for the
services to be rendered hereunder, with limits of not less than $5,000,000.
Upon written notice to you, we may destroy each client's legal files seven years
after the closing of such files unless the City otherwise directs. If the City desires to retain its
files for a longer period, please so advise us in writing and we will make arrangements with
you for the transfer of your files.
We agree to keep you appraised of the status of your case, including important
developments, in a timely fashion.
If these arrangements are satisfactory, kindly indicate the City's approval in the
appropriate space on the enclosed copy of this letter agreement and return it to us in the
envelope provided for your convenience. This letter will then constitute a binding agreement
between us.
We appreciate the opportunity to represent the City.
Best regards,
Richard S.
For the Fn
THE FOREGOING IS AGREED TO AND
ACCEPTED ON a/7k , 2007
CITY OF LA QUINTA
B( y /a, o
Thomas P. Genovese
City Manager
;a