2004-07-29 Notice of Default of DA
~
""Also !tcensed In Califorma
COURl, MACARTHUR &
RUPPE, P.L.L.P.
Attorneys at Law
705 Central Avenue East
PO Box 369
St MIchael. MN 55376-0369
(763) 497-1930
(763) 497-2599 (FAX)
courzandmacarthur@pobox com
M,chael C COUrt.
Andrew J. MacArthur
Robert T. Ruppe..
DavId R. Wendorf
"Also lIcensed In mlnOIS
July 29, 2004
VIA CERTIFIED MAIL. RETURN RECEIPT REQUESTED
Edma Land CorporatIon
700 Industry Avenue
Anoka, MN 55303
AttentIon RIck Lewondowskt
Edma Development
700 Bunker Lake Blvd
Anoka, MN 55303
AttentIOn MIke Thomas
Re: City of Albertville; Notice of Default of Developers Agreements:
Albert Villas dated August 11, 2000
Albert Villas Second Addition dated October 9, 2000
Albert Villas Third AdditIOn dated April 6, 2001
Albert Villas Fourth Addition dated April 1, 2002
Albert Villas Sixth Addition dated May 30, 2003
Dear Mr LewondowskI and Mr Thomas
On June 15, 2004, the CIty of AlbertvIlle notIfied you VIa certIfied maIl that Edma
Development was m default of the above descnbed Developer's Agreements for faIlure
to pay outstandmg CIty costs mcurred m processmg these developments m the amount of
$378,93577, and mformmg you that Edma Development had 30 days to cure thIS default
under the Developer's Agreements That same letter notIfied you that If the defaults were
not cured m 30 days, the CIty may refuse to Issue buIldmg permIts m the developments
covered by these Developer's Agreements
To date Edma Realty has not paId the amounts due under the Developer's
Agreements Because of Edma Realty's faIlure to pay the amounts owed under the
Developer's Agreements, the CIty WIll no longer Issue bUIldmg permIts for the
constructIOn of a home on any lots that are subject to the above-descnbed Developer's
.1
EdIna Development
July 29, 2004
Page 2
Agreements whIch remaIn In default I expect the CIty CouncIl to also authonze a
collectIOn actIOn agaInst EdIna Realty to collect the momes owed Please be advIsed that
under the terms of the Developer's Agreements, the CIty IS entitled to recover all costs of
enforcIng the agreements, IncludIng attorneys' fees
Please contact eIther myself or CIty AdmInIstrator Larry Kruse to make
arrangements to pay the outstandIng amounts due
;;;:; {~
MIchael C Coun
Couri, MacArthur & Ruppe, P.L.L.P.
Cc Larry Kruse
..
"Also lIcensed m CalifornIa
COURl, MACARTHUR &
RUPPE, P.L.L.P.
Attorneys at Law
705 Central Avenue East
PO Box 369
St Michael, MN 55376-0369
(763) 497-1930
(763) 497-2599 (FAX)
counandmacarthur@pobox com
MIchael C Coun.
Andrew J MacArthur
Robert T Ruppe..
Davzd R Wendorf
'Also lIcensed m IIImots
June 15, 2004
VIA CERTIFIED MAIL. RETURN RECEIPT REQUESTED
Edma Land CorporatIon
700 Industry Avenue
Anoka, MN 55303
AttentIon RIck Lewondowskt
Edma Development
700 Bunker Lake Blvd
Anoka, MN 55303
AttentIon MIke Thomas
Re: City of Albertville; Notice of Default of Developers Agreements:
Albert Villas dated August 11, 2000
Albert Villas Second Addition dated October 9, 2000
Albert Villas Third Addition dated April 6, 2001
Albert Villas Fourth Addition dated April 1, 2002
Albert Villas Sixth Addition dated May 30, 2003
Dear Mr Lewondowskt and Mr Thomas
It has recently come to the attentIon of the CIty of AlbertvIlle that Edma
Development IS not m comphance WIth Paragraph 8 of the Developer's Agreements for
the projects hsted above m that Edma Development has faIled to pay $378,93577 to the
CIty for the reasonable admm1stratIve, legal, plannmg, engmeermg and other profeSSIOnal
costs mcurred by the CIty as a result of the VarIOUS Albert VIllas projects Paragraph 8 of
each of the Developer's Agreements proVIdes that the developer, Edma Development, IS
to pay all of the CIty'S costs and expenses related to the subject projects The relevant
paragraph states as follows
Developer to Pay City's Costs and Expenses. It IS
understood and agreed that the Developer WIll reImburse the
CIty for all reasonable adm1mstratIve, legal, planmng,
'l.
Edma Development
June 15, 2004
Page 2
engmeenng and other professIonal costs mcurred m the
creatIOn, adnumstratIOn, enforcement or executlon of thIs
Agreement and the approval of SaId Plat, as well as all
reasonable engmeenng expenses mcurred by the CIty m
desIgmng, approVIng, mstallmg, and mspectlng saId
Improvements descnbed above Developer agrees to pay all
such costs WIthIn 30 days ofblllmg by the CIty If Developer
falls to pay saId amounts, then the CIty may specially assess
such costs agamst the lots WItlun SaId Plat Developer
knOWIngly and voluntanly Waives all nghts to appeal Said
speCIal assessments under Mmnesota Statutes Paragraph
429 081 Developer has the nght to request tlme sheets or work
records to venfy Said blllmg pnor to payment
The CIty has preVIously requested that you pay $378,93577 m expenses mcurred by the
CIty and wmch are relffibursable under the Developers' Agreements The CIty has
preVIously proVIded Edma Development With a worksheet and detaIled mVOlces outlmmg
the $378,935 77 m total CIty costs for the vanous Albert VIllas projects, wmch remam
due and payable to the CIty
Pursuant to Paragraph 24 of the vanous Developers' Agreements, thIs letter shall
serve as formal notlce to you that the CIty consIders you m default under the above-
descnbed Developer's Agreements and now requests that Edma Development pay the
amount requested WIthIn the 30 days allowed to cure a default pursuant to the varIOUS
Developer's Agreements
Please be adVIsed that pursuant to Paragraph 14 of the subject Developer's
Agreements, a breach of any of the terms of the Developer's Agreement by the
Developer may be grounds for demal ofbuIldmg pefffilts and/or revocatlon of the
CondItlonal Use Pefffilts
If you do not pay the amount owed to the CIty WIthIn 30 days, the CIty wIll
enforce the subject Developer's Agreements, most hkely drawmg on any avaIlable letter
of credit and through any necessary court actlon Please be adVIsed that under the terms
of the subject Developer's Agreements, your company Will be responSIble for any
expenses the CIty mcurs m enforcmg the prOVIsIOns of the vanous Developer's
Agreements As you are aware, these costs may mclude attorney's fees and court costs, 1f
necessary Please notlfy thIs office when you have paId the $378,935 77 to the CIty
Your cooperatlon m thIS matter IS greatly appreCIated If you have any questlons,
please do not heSItate to contact thIS office