Chautaugua Pl/FP-CS 920112 ~54 ~4
0i-12-g2 05'53PM FROM SALLINGER NICHOLS ?0 93930948 PO017002
NICHOLS, JACKSON, KIRK & DILLARD
(Formerly Sa[linger, Nichols, J~ckson, Kirk & Dillard)
Attorneys & Counselors at Law
1800 Lincoln Plaza
500 N. Akard
Dallas, Texas 75201
(~14) 954-3333
Facsimile (214) 954-3B34
COVER SHEET & TELECOPY (FAX) TRANSMISSION LETTER
DELIVER TO:
FAX NO.
FROM:
GARY SIEB, City of Coppell, Texas
393-0948
Lawrence W. Jackson
NO. of pages Including this page: 2
PLEASE ADVISE IF TRANSMISSION ERROR OCCURS (214) 954-,3,.333
January 12, 1992
Dear Gary:
I have reviewed the 23 page document "ROAD IMPROVEMENTS CONSTRUCTION
AND ESCROW AGREEMEN'P' between City of Coppell, Matthews Investments Southwest,
Inc. and H.D. Ardinger, Jr. and Chicago Title Company.
The agreement does not require the City to make any money contribution except
an amount equal to but not greater than the amount deposited by Centex Development
for the construction of similar improvements to Bethel School Road. [Paragraph 3.1 (a)]
I assume that the City still has these funds on deposit.
However, the City does Incur the obligation to obtain (within 3 months) any
necessary right-of-way (if any) abutting Bethel School Road between Point A and point
E that is not owned or controlled by Ardinger or Matthews. [Paragraph 1.2] If there is
any such needed right-of-way or easements, the city will have to obtain these by gift,
purchase or condemnation. This unknown factor is the only real problem I see in the
agreement and depending on the facts it may not be a problem. Paragraph 5.1 does,
however, provide that if any party (Including the City) fails to provide the right-of-way as
per the agreement, the other parties may force specific performance in through the courts
and such failure would be considered a default under the agreement.
I think we should have some language in the agreement that shows that the city
is not a party to the construction contracts which witl be undertaken by Ardinger and
Matthews through their contractors. We don't want to be involved with a contract that
has not been acquired through the proper bidding process. I would suggest some
modification to paragraph 1.4 (c) to make this clear. The contract between Ardinger and
Matthews and their Engineer and Contractors should have the usual provisions for
insurance and indemnification for the city and this section should be amended to make
this clear. Aisc, it should be noted that construction will be in accordance with the street
01-12-92 05:53PM FROM SALLINGER NICHOLS TO 93930948 P002/002
specifications required by the City of Coppell.
I think that if we can get these points cleared up the agreement will meet with my
approval,
Very truly yours,
SALLINGER, NICHOLS, JACKSON,
KIRK & DILLARD