1992-06-01 LOC Revised 23341
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701 Central Avenue E.
St. Michael. Minnesota 55376
(612) 497-2131
FAX (612) 497-4353
June 1, 1992
City of Albertville
Attn: Linda Houghton, City Clerk
P. O. Box 131
Albertville, MN 55301
Dear Ms. Houghton:
Attached please find an original revision of our Letter of
Credit #23341. This rev1sion is dated June 1, 1992 and is
meant to replace Letter of Credit #23341. We have
identified this revision as Letter of Credit #23341 (C). The
only change between the original Letter of Credit and the
attached revision is the reduction in the amount of $28,600
to $8,100. You will recall that the original Letter of
Credit was reduced from $28,600 to $20,000 by revision
#23341(B) dated October 21, 1991.
As I understand it, the original Letter of Credit #23341
issued April 20, 1988 has been destroyed, lost, or
misplaced. By signing below you are acknowledging in your
capacity as City Clerk that the revised Letter of Credit
#23341(C) is being issued and accepted in full replacement
and substitution for the original Letter of Credit #23341 as
well as the revised Letter of Credit #23341 (B) , (the original
of which you agree to return to us). You further
acknowledge that if the original Letter of Credit #23341 is
found it will be surrendered to Security Bank Northwest in
consideration for the issuance of this replacement Letter.
Finally, you acknowledge that the bank's total contingent
liability to' the City of Albertville will not exceed an
aggregate amount of $8,100 at the present time. If this is
agreeable please sign below and I will execute letter
23341(C) and we will exchange originals.
Date
OFFICES:
Albertville: 5882 Main Street Northeast. Albertville, Minnesota 55301. (612) 497-3525. Maple Grove: 13370 Grove Drive. Maple Grove. Minnesota 55369. (612) 420-3039
.
~I BAN(
\IIIlIlIlJll NORTHW=ST
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701 Central Avenue E.
St. Michael. Minnesota 55376
(612) 497-2131
FAX (612) 497-4353
City of Albertville
P.o. Box 131
Albertville, MN 55301
Attn: City Administrator
Re: Letter of Credit #23341(C)
Expiration Date: June 1, 1993 Amount: $8,100.00
Issue Date: June 1, 1992
Replaces Letter of Credit #23341 issued April 20, 1988 in the
amount of $28,600 and revised letter #23341(B) issued
October 21, 1991 in the amount of $20,000
Gentlemen:
At the request of John F. Darkenwald and George W. Yankoupe, and in
accordance with all applicable banking laws and regulations, we
authorize the City of Albertville to draw upon Security Bank
Northwest, a licensed and qualified banking or savings and loan
association in the state of Minnesota, up to an aggregate amount of
$8,100.00. It is understood that Security Bank Northwest has
agreed to provide this Letter of Credit as a surety to guarantee
that all of the terms and conditions relating to the escrow items
of the Developers Agreement for Westwind Addition (First Phase)
dated April 22, 1988, which is attached hereto and incorporated
herein by reference as Exhibit "A" are performed by the Developer
pursuant to the terms thereof.
This Letter of Credit is intended to be an Irrevocable Letter of
Credit signifying to the City of Albertville that the banking or
savings and loan association named herein has pledged to the City
the paYment of up to the aggregate amount set forth herein upon
there being any default by the Developer or any of the conditions
relating to the escrow items as set forth within the aforesaid
referred Developers Agreement. Said aggregate amount shall be
available to the City of Albertville upon presentment of a draft or
drafts signed by the officially designated officials acting in
behalf of the City of Albertville upon presentment of a draft or
drafts signed by the officially designated officials acting in
behalf of the City of Albertville and accompanied by the City'S
statement stating that John F. Darkenwald and George W. Yankoupe
have defaul ted in the performance of anyone or more of its
obligations to the city of Albertville and it shall be accompanied
by a copy of this Letter of Credit. The draft shall bear on its
fact the clause "Drawn Under Letter of Credit No. 23341(C) dated
June 1, 1992 and be presented for paYment during the normal
business hours of this institution at any time from the date hereof
OFFICES:
Albertville: 5882 Main Street Northeast, Albertville, Minnesota 55301, (612) 497-3525. Maple Grove: 13370 Grove Drive, Maple Grove, Minnesota 55369, (612) 420-3039
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City of Albertville
Letter of Credit #23341(C)
June 1, 1992
Page 2
until the undertakings within said Developers Agreement are fully
complete or the date of expiration of this Letter of Credit or
subsequent Letters of Credit issued pursuant to the terms herein,
which occurs first.
Should the Developer fail to comply with all of the terms and
conditions of said Developers Agreement relating to said escrow
items, City may draw, if drawn prior to its expiration, the entire
aggregate amount of this Letter of Credit. It is our intention and
agreement herein that upon the expiration date of this Letter of
Credit that until all of the terms and conditions of said
Developers Agreement are fully satisfied, a new and continuing
Letter of Credit and subsequent new Letters of Credit, as are
necessary, will be issued to the City of Albertville in a like
amount and under the same terms and conditions (with exception of
the expiration date). Should we elect, however, for any reason not
to issue such a new Letter of Credit upon expiration of this or a
subsequently issued Letter of credit, we will notify the City of
Albertville of that decision thirty (30) days prior to the
expiration date thereof. Said notifications shall be sent by
registered mail addressed to the City Clerk of the City of
Albertville, P.o. Box 131, Albertville, Minnesota 55301. Upon
receipt of such notice, the City of Albertville shall be entitled
to draw at site, by presentment of a draft or drafts prior to the
date of expiration of the Letter of Credit, pursuant to the terms
hereof, up to the full aggregate amount as set forth herein. A
failure to deliver a notice of intent not to issue a new Letter of
Credi t pursuant to the terms hereof to the City of Albertville
shall be deemed to automatically be a reissuance or extension of
this instrument in all terms and conditions for a period of one (l)
year. In the event of a withdrawal of all or a portion of the
aggregate funds referred to herein, it is understood that the city
of Albertville shall use such funds solely for the purpose of
meeting the Developer's obligation pursuant to the aforesaid
referred Developers Agreement. Any excess funds drawn by the city
to meet the Developer's obligations of the said Developers
Agreement, shall be returned to this institution after the total
fulfillment of the Developer's obligations as set forth in the said
Developers Agreement.
We further represent to you that all drafts drawn under and in
compliance with the terms of this Letter of Credit will be duly
honored on or before the expiration date of the first day of June,
1993 or any subsequent expiration date of an automatically renewed
or subsequently issued Letter of Credit as referred to herein. We
confirm this instrument and any subsequently issued instruments as
Irrevocable Letters of Credit and thereby undertake that all drafts
drawn or negotiated as above specified will be duly honored by us.
We further confirm to you that this instrument is issued in
re
(e
Albertville
Letters of Credit #23341(C)
June 1, 1992
Page 3
accordance with the International Chamber of Commerce Brochure
No.400.
Your rights under this Letter of Credit are not assignable or
otherwise transferable.
Sincerely,
(?e~*. W!t:",,-At
Gerald A. Manville
Sr. Vice President
GAM/ce
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\ ?'; BAN(
(((((UII))'" NORTHW=ST
701 Central Avenue E.
St. Michael. Minnesota 55376
(612) 497-2131
FAX (612) 497-4353
June 1, 1992
City of Albertville
Attn: Linda Houghton, City Clerk
P. o. Box 131
Albertville, MN 55301
Dear Ms. Houghton:
Attached please find an original revision of our Letter of
Credit #23341. This rev~s~on is dated June 1, 1992 and is
meant to replace Letter of Credit #23341. We have
identified this revision as Letter of Credit #23341 (C). The
only change between the original Letter of Credit and the
attached revision is the reduction in the amount of $28,600
to $8,100. You will recall that the original Letter of
Credit was reduced from $28,600 to $20,000 by revision
#23341(B) dated October 21, 1991.
As I understand it, the original Letter of Credit #23341
issued April 20, 1988 has been destroyed, lost, or
misplaced. By signing below you are acknowledging in your
capacity as City Clerk that the revised Letter of Credit
#23341(C) is being issued and accepted in full replacement
and substitution for the original Letter of Credit #23341 as
well as the revised Letter of Credit #23341 (B) , (the original
of which you agree to return to us). You further
acknowledge that if the original Letter of Credit #23341 is
found it will be surrendered to Security Bank Northwest in
consideration for the issuance of this replacement Letter.
Finally, you acknowledge that the bank's total contingent
liability to' the City of Albertville will not exceed an
aggregate amount of $8,100 at the present time. If this is
agreeable please sign below and I will execute letter
23341(C) and we will exchange originals.
Date
OFFICES:
Albertville: 5882 Main Street Northeast. Albertville, Minnesota 55301, (612) 497-3525. Maple Grove: 13370 Grove Drive, Maple Grove, Minnesota 55369, (612) 420-3039