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CITY COUNCIL OF THE CITY OF PLEASANTON <br /> <br /> ALAMEDA COUNTY, CALIFORNIA <br /> <br /> RESOLUTION NO. 88-51 <br /> <br /> RESOLUTION AUTHORIZING LAWSUIT AGAINST FAVELA <br /> CONSTRUCTION AND DECLARING IT 'A NON-RESPONSIBLE BIDDER <br /> FOR PUBLIC WORKS PROJECTS <br /> <br />WHEREAS, the City contracted with Favela Construction, Inc. for <br /> replacement of sanitary sewer lines on various city <br /> streets, which contract included a hold harmless and <br /> indemnity clause for any claims arising from the acts of <br /> the contractor; and <br /> <br />WHEREAS, a lawsuit was filed against the City by Kimberly McFate, <br /> who allegedly fell due to a depression left by Favela <br /> Construction; and <br /> <br />WHEREAS, Favela Construction and its insurance company refused to <br /> accept the City's tender of defense of this action and <br /> the City's only remedy is a lawsuit for breach of <br /> contract, declaratory relief, bad faith, and related <br /> causes of action; <br /> <br />NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PLEASANTON <br />RESOLVES AS FOLLOWS: <br /> <br />Section 1: The City Council authorizes the City Attorney to file <br /> a lawsuit against Favela Construction, Inc. <br /> <br />Section 2: Favela Construction, Inc. is declared a non- <br /> responsible bidder for future City public works <br /> projects. <br /> <br />Section 3: This resolution shall become effective immediately <br /> upon its passage and adoption. <br /> <br />THIS RESOLUTION ADOPTED FEBRUARY 2, 1988 BY THE FOLLOWING VOTE: <br /> <br />AYES: Councilmembers - Brandes, Butler, Mohr, Wilson and Mayor <br /> Mercer <br />NOES: None <br />ABSENT: None ~~]~{ <br />ABSTAIN: None ~. <br />ATTEST: <br />KEN MERCER, MAYOR <br />ames R. Walker Clty Clerk''~ <br />By Doris George, Deputy City Clerk <br /> <br />~e~rvDl ~faeD nal ~ i Attorney <br /> <br /> <br />