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HomeMy WebLinkAboutOCSD 98-45RESOLUTION NO.OCSD 98-45 AUTHORIZING GENERAL COUNSEL TO APPEAR AND REPRESENT DISTRICT IN ALL LITIGATION RELATING TO CONSTRUCTION STOP NOTICE PROCEEDINGS A RESOLUTION OF THE BOARD OF DIRECTORS OF ORANGE COUNTY SANITATION DISTRICT,AUTHORIZING THE GENERAL COUNSEL TO APPEAR AND REPRESENT THE DISTRICT IN ALL LITIGATION RELATING TO CONSTRUCTION STOP NOTICE PROCEEDINGS WHEREAS,the District awards a considerable number of construction contracts each year to individuals and privately-owned companies in accordance with applicable provisions of state law;and, WHEREAS,as a public agency,the award of its public works contract provides a legal remedy to laborers,materialmen,and other suppliers and subcontractors of the District’s general contractor,by allowing the filing of stop notices pursuant to California Civil Code Section 3179;and, WHEREAS,the District routinely adheres to statutory procedures and the District’s own administrative procedures in withholding funds pursuant to a stop notice;and, WHEREAS,the parties to the dispute,on occasion,are not able to resolve their differences,with the result that the District is required,by litigation procedures,to be included in any litigation between the claimant and the District’s construction contractor;and, WHEREAS,the District is allowed by law to recover all of its legal and other administrative/clerical expenses related to the processing of stop notices and appearing as a party to any litigation to enforce a stop notice;and, WHEREAS,the District is required to comply with court rules of procedure and file its responsive pleading and make necessary appearances before the Court of proper jurisdiction,and in many instances,to do so prior to a regularly scheduled Board Meeting. NOW,THEREFORE,the Board of Directors of Orange County Sanitation District, DOES HEREBY RESOLVE,DETERMINE AND ORDER: Section 1 The General Counsel is authorized to appear on behalf of the District when named as a party to any litigation relating to the enforcement of a statutory stop notice relating to a construction project of the District without further action by the Board of Directors. Section 2 The General Counsel shall take all measures available to seek to recover all expenses incurred by the District,including but not limited to, attorneys’fees,court costs,and clerical/administrative expenses relating to the processing of stop notices and the appearance in the litigation. Section 3 The General Counsel shall provide to the Board of Directors status reports during the course of said litigation and a closing report upon termination of the legal proceedings. PASSED AND ADOPTED at a regular meeting held August 26,1998. ATTES Board Secr~J~ry H:\wp.dta~admin~BS\ResoIutions\1 998\OCSD98-45.DOC sIb.