IN THE SUPERIOR COURT OF DEKALB COUNTY STATE OF
Transcription
IN THE SUPERIOR COURT OF DEKALB COUNTY STATE OF
IN THE SUPERIOR COURT OF DEKALB COUNTY STATE OF GEORGIA OASIS GOODTIME EMPORIUM I, INC., d/b/a OASIS; and MPC, INC., d/b/a STROKERS; and ROOSTER'S BARNYARD ETC., INC., d/b/a ROOSTERS; and FREESE II, INC., d/b/a BLAZIN; SADDLES; and JANICE LOWE, d/b/a JAZZY T'S; Plaintiffs, CIVIL ACTION FILE NO. 99-CV-14075-1 VS. DEKALB COUNTY, GEORGIA; THE BOARD OF COMMISSIONERS OF DEKALB COUNTY, GEORGIA; ELAINE C. BOYER, GALE WALLDORFF, JACQUELINE SCOTT, KEN DAVIS, WILLIAM BROWN, JUDY YATES, and PORTER SANFORD, III, individually and in their official capacities as Commissioners of DeKalb County, Georgia; and LIANE LEVETAN, Chief Executive Officer of DeKalb County, Georgia, individually; and in her official capacity as Chief Executive Officer of ! DeKalb County, Georgia, Defendants. FIRST AMENDED AND EXTENDED SETTLEMENT AND RELEASE AGREEMENT ZO 39tici 2,13NO3O N3N9C1 5,C4/ P7/ :MCP, Ty :PT PC:1117 /PP I) P PART A: RELEASE FOR AND IN CONSIDERATION of the granting of certain "nonconforming status" as set forth in detail in Part B of this agreement by DeKalb County, Georgia, the receipt and sufficiency of which is hereby acknowledged, and for other good and valuable consideration, the undersigned Follies (Surrey R. White, Steven Youngelson, and Jade Grossman), Rooster's Barnyard (Barbara F. Archibald and Peter G. Archibald, Jr.), Oasis Goodtimes Emporium (Barbara J. Holcomb), The Pink Pony (Jack E. Galardi), Strokers Club (Terri Fischer), Shooter's Alley (Joaquin J. Ramu, Jr.), Blazin Saddles [now known as Club Blaze] (Maurine Whorton), and Pin Ups (Jessica R. Lee and James W. Lee, Jr.) (hereinafter jointly "Adult Clubs" or individually 'Adult Club') hereby acknowledge full accord, satisfaction and settlement of and hereby release any and all actions, causes of action, damages or claims for damages, demands, claims and rights of whatsoever kind and nature which are claimed against all DEFENDANTS, specifically including but not limited to DeKalb County, Georgia; The Board of Commissioners of DeKalb County, Georgia; Elaine C. Boyer; Gale Waldorff; Jacqueline Scott; Ken Davis; William Brown; Judy Yates; Porter Sanford, III; Jeff Rader; Larry Johnson; Burrell Ellis; Lee May; Kathie Gannon; Connie E 39t/d 213N93E{ el3N93E1 F.9)q7./ Fitglh T7 :Ca PrAt17 /Om n Stokes; Vernon Jones, Chief Executive Officer of DeKalb County, Georgia; Liane Levetan, Former Chief Executive Officer of DeKalb County, Georgia; The Alcoholic Beverage Review Board of DeKalb County, Georgia; Tom Black; Keith Moss; Morgan Wheeler; David Pike; Robert Johnson; Larry Songer, Former Alcohol License Manager of DeKalb County; Major Sadler, Foitter Deputy Finance Director; William J. Linkous, III, County Attorney; Jonathan Weintraub, Former County Attorney; Jane Doe's; and John Doe's; and all other officers, officials, employees, and agents of DeKalb County, individually and in their official capacities, (hereinafter "DEKALB"), in Civil Action File Numbers 99-CV14075-1, 00-CV-6749-1, 00-CV-6796-1, 00-CV-1459-1, 00-CV-6797-1, 00A74193-6, 1 99-CV-3301-RLV, 1 : 99-CV-3043-RLV, 1 : 99-CV-3328 - RLV, 1:00-CV-0043-RLV, styled as shown in the captions to this agreement and in any other pending or contemplated civil action by the above-referenced ADULT CLUBS. By entering into this Release, the ADULT CLUBS shall and do hereby release DEKALB for any and all state and federal claims which have been or could have been asserted or which in any way relate to or arise out of or could have related to or arisen from the ADULT CLUBS' existence, operation or doing business or engaging in activity of any kind within the boundaries of DeKalb County, for which it could have been claimed that DEKALB, or any of its officials, Pe 39Vd ei3N938 ei3,4032 PP+ C71Ptatth Tz :PT 01207 ./Ofn employees, officers or agents, are legally liable or subject to any claim whether for equitable or legal relief. In further consideration of the status granted hereunder, the undersigned intend, represent and warrant that any and all claims that were and/or could have been asserted by or on behalf of the ADULT CLUBS arising out of and by reason of the acts alleged in the Complaints filed in the referenced civil actions are hereby released, relinquished, dismissed with prejudice, settled and satisfied. Having received and acknowledged the above-stated consideration as full compensation for and on account of any and all alleged injuries and damages which it is claimed were sustained or could be claimed- to have been sustained as a result of the ADULT CLUBS' existence, operation, doing business or engaging in activity of any kind within the boundaries of DeKalb County, the ADULT CLUBS hereby satisfy and settle such claims and hereby release and forever discharge DEKALB, and its former and present officials, agents, servants, heirs, successors, administrators, officers, employees, directors, personal representatives and assigns, and all other departments, agencies, corporations, companies and persons from any and all claims, actions, demands and causes of action of whatsoever kind and nature arising out of the events alleged in the Complaints, including, but not limited to rights relating in Se 39Vel 2:13N938 b3N938 PP/ P7.) Rbnb 1-7 :PT PCICA7 /PP claims that the Adult Clubs may now have or ever had against DEKALB. PART B: ADULT NON-CONFORMING STATUS Whereas, DeKalb County (hereinafter "the County") ordinances currently prohibit the sale of alcohol in adult entertainment establishments and erotic entertainment/dance establishments, which prohibition is set forth in Code of DeKalb County § 15-402(0), ("Adult Entertainment Ordinance"), the County hereby individually and for its successors and assigns grants "non-conforming status" to the Adult Clubs, currently operating as such adult entertainment establishments and/or erotic entertainment/dance establishments as currently defined in the Code of DeKalb County § 15-401. This agreement shall be binding upon DeKalb County, its successors, transferees, assigns for the terms specified herein. This agreement shall be binding upon any governmental body to which the County transfers regulatory control over the matters herein, expressly including any municipality which obtains jurisdiction by incorporation or annexation. The allowable uses herein shall be considered as ongoing actual uses by any such successor or assign. For purposes of this agreement the term "non-conforming status" shall mean that the Adult Clubs will be permitted to sell alcoholic beverages (subject to all other laws and regulation of 93 39tIci 23N9391 H3N938 E9L571 Rb0t2 T7. :LIT Rfat17./P12 /)Pi alcohol) and to provide adult entertainment in the form of nude dancing or live nude performances. For the purpose of this agreement only the Adult Clubs shall be licensed with respect to the non-conforming status granted herein. The non-conforming status granted herein shall be for a term of fifteen (15) years effective January 1, 2007, unless determined otherwise by a court of competent jurisdiction, and shall be renewable by consent of the parties for an additional ten (10) year term following the expiration of the initial term. At the end of such term the parties shall no longer be bound by the terms of this agreement, and this agreement shall automatically terminate no later than December 31, 2021 or December 31, 2031 if extended by the parties. However, the parties may agree to extend the agreement on its current terms or on other mutually agreed terms in writing upon approval by the governing authority of DeKalb County. The term "non-conforming status" shall be strictly limited to the meaning specifically set forth in this agreement, and should have no other meaning or create no other right than to allow alcohol to be served or sold at the same location as the adult nude performances. Sections 16-60 to 16-64 of DeKallo County's Code of Ordinances currently prohibit public nudity in DeKalb County, and the County hereby grants the Adult Clubs non-conforming L0 39t0c1 213N939 ei3NS39 PciiQ7inbtab Tz :PT POGO' iOn status as defined in this agreement with respect to such ordinance and any other ordinance banning public nudity, which shall render the Adult Clubs exempt from the application of such prohibition to run concurrently with the period of time that the Adult Clubs are permitted to sell alcohol pursuant to the nonconforming status. Non-conforming status is not extended by this agreement to any adult entertainment establishment that is not currently operating in DeKalb County and that is not a party to this Settlement. As further consideration for the granting of non-conforming status the parties agree as follows: 1. The Adult Clubs shall remain subject to all applicable provisions in the Adult Entertainment Ordinance and the DeKalb County Code of Ordinances unless specified otherwise in this Agreement. 2. Pursuant to Code of DeKalb County § 4-1 et. seq. ("Alcoholic Beverage Ordinance"), the Adult Clubs shall pay the maximum annual license fee allowed by st te law for acquiring the necessary alcoholic beverage license. For year 2007, the fee shall be the -8- tiki 39Vd 2331193E4 d3N93£1 Q7.1RtatTh Tz :crr CMInz /On t 3r1 ma i um amount allowed by Georgia Law and shall be due on June 1, 2007. In order to retain non-conforming status Adult Clubs are required to maintain a current alcohol license. 3. If any Adult Club changes its location, use or size as it existed on January 1, 2007, in any manner other than as explicitly and specifically allowed by this Agreement, then the Adult Club shall no longer be entitled to non-conforming status under this agreement. 4. The non-conforming status granted hereunder may not be sold, given, transferred or assigned by the current ownership of any Adult Club. The Adult Clubs granted non-conforming status herein may change ownership if the new owner meets the requirements of the County ordinances, including the Alcoholic Beverage Ordinance, and if the new ownership agrees to be bound by the terms of the settlement agreement. 5. 60 39Vd In the event of the repeal of the Adult Entertainment 253N939 213N939 rq'c7Iflht1, T7 :MT gtflt17 ;CM /1 n Ordinance in any manner, any new ownership of an Adult Club, if desired by the new owner and approved by the County, shall be granted the non-conforming status pursuant to the terms of this Agreement. Non- conforming status will not be extended to any new ownership of an Adult Club where any individual having an interest either as owner, partner, principal stockholder, directly or indirectly beneficial or absolute, shall have been convicted within ten (10) years immediately prior to the acquisition of ownership for any felony or misdemeanor of moral turpitude under any federal or state law of the United States or any municipal ordinance except traffic violations or for whom an outstanding warrant exists on which service has not been effected. 6. Any new ownership of an Adult Club seeking a license to operate must comply with the current regulatory scheme. In the event of the repeal of the Adult Entertainment Ordinance in any manner, the requirements set forth therein will apply to any new ownership of an Adult Club. Accordingly, the provisions of DeKalb County Code § 15-407, 15- --10- 01 39Vd d34938 W d3N930 ESLSZLBV0V TZ:RT RAP7/R2//A 409 (a) (1) through (a) (9) and 15-409 (a) (11) through § 15-409(b) are incorporated herein by re erence as specific requirements of this agreement. The Adult Clubs shall pay an annual fee during the term of this agreement. This fee shall be paid in equal quarterly installments due on January 1, April 1, July 1, and October 1 of each year. The fees tor each calendar year of this agreement shall be as follows: $100,000 per adult club per year for the first ten years of this agreement, and $150,000.00 per adult club per year for the remaining five years of this agreement. For year 2007, the Adult Clubs shall each pay $100,000.00, made retroactive to January 1, 2007. The Adult Clubs shall have a ten (10) day grace period from the due date of each payment in which to tender the fee without interest or penalty. Payment compliance with this Settlement Agreement means actual rece pt of funds by the County. Receipt of any portion of the annual tee payment by the County more than ten (10) days late shall result in the Adult Club having its adult entertainment establishment license and alcohol license immediately suspended by operation IT 39Vd 31,f935 ? d9N0:9 rqiC7/P.1,12b T7 !CAT Onfl7 lon n of this agreement until the quarterly payment is made. DeKalb County may take all steps to prohibit entrance into or operation of any Adult Club that fails to make timely payment, and the Adult Club hereby agrees to cease operation until payment is made. Said late payment shall also incur interest of 12$ annually, from the date due until date paid. Upon tendering the late payment, including all penalties, within thirty (30) days of the due date, the suspension shall automatically end and the Adult Club may immediately resume operation. In the event that the fees become more than thirty (30) days past due, the Adult Club shall immediately and irrevocably lose its nonconforming status. No written notice of the Adult Club's failure to pay is required. 8. A certificate of non-conforming status shall be issued on payment of the first installment of the annual fee. 9. In the event that the Adult Entertainment Ordinance is repealed in any manner, the Adult Clubs shall remain liable to pay the annual fee pursuant to the terms of this aoreement. All Adult Clubs shall be required to -12 - Z T 39Vd 213N99H e13frre353 Rcii q 7./ Rbnb 17 :c4 T ontaz di 0f) I 11 renew their licenses annually on forms nrescribed by the County. A certificate of non-conforming status shall be issued as long as the Adult Club is current with its annual fee obligation and has not violated any other provision of this agreement. 10. All licenses granted under DeKalb County Code § 15-400 et. seq. and preserved under this agreement in the event of repeal shall remain a mere grant of privilege to carry on business during the term of the license subject to all terms and conditions imposed by § 15400 et. seq. and related laws, applicable provisions of the DeKalb County Code, other ordinances and the terms of this agreement. In the event that § 15-406 is repealed in any manner, the requirements set forth therein will continue to govern the Adult Clubs. Accordingly, the provisions of DeKalb County Code § 15-406, with the exception of herein incorporated by § 15-406(i) reference as are specific requirements of this agreement. 11. The Adult Clubs shall comply with the provisions of the Code of DeKalb County § 15-402, which prohibits -13- CI 39Vd Wi4FRPIR rqiC7/Ahrib 17:MT POM7n7ntiM certain activities as it existed at the time that the parties signed the May, 2001 Agreement. In the event that said provision is repealed in any manner, then the prohibited activities set forth in the repealed § 15-402 shall be made a part of this agreement and shall remain prohibited by this Agreement in all of the Adult Clubs. Accordingly, the prohibitions stated in Code of DeKalb County § 15-402 at the time of the execution of the May, 2001 Agreement, including subsections (b), (d) through (k), (n), and (p) are incorporated herein by reference as specific conduct that is prohibited from occurring on the premises of any Adult Club. Should any Adult Club be found by DeKalb County (in the sole discretion of the police chief of DeKalb County) to have engaged in any activity prohibited by § 15 - 402, then that Adult Club shall be informed by the police chief of the violation, A hearing before the DeKalb County Governing Authority will thereafter be scheduled as soon as reasonably practicable to consider whether there is due cause for suspending or revoking the nonconforming status granted under this agreement. The hearing provided shall incorporate the procedures set -14 ° PT 39tfd 3493A KINFRFI rqf c7 Pt,(41, T7 telt Cnin7 tOn Ha forth in Code of DeKalb County, §15-418(c) merely for the purpose of this contract, and shall create no other legal right or interest. The decision of the Governing Authority shall be final and not subject to appeal or review except by certiorari to the DeKalb County Superior Court. 12. The Adult Clubs shall remain governed by the provisions of the Code of DeKalb County § 15-405, including those which mandate that any and all employees of such establishments shall be eighteen years of age or older, be permitted and satisfy certain requirements set forth therein. In the event that said provision is repealed in any manner, the requirements will continue to govern the Adult Clubs, Accordingly, the provisions of DeKalb County Code § 15-405 are incorporated herein by reference as specific requirements of this agreement. Should any Adult Club be found by DeKalb County (in the sole discretion of the police chief of DeKalb County) to have engaged in any activity prohibited by § 15-405, then that Adult Club shall be informed by the police chief of the violation. A hearing before the DeKalb -15 - 51 3ENcl d3N932 H3NFRP1 Pnle7i Phnt, T7 :nT gmn7 icara fl County Governing Authority will thereafter be scheduled as soon as reasonably practicable to consider whether there is due cause for suspending or revoking the non-conforming status granted under this agreement. The hearing provided shall incorporate the procedures set forth in Code of DeKalb County, §15418(c) merely for the purpose of this contract, and shall create no other legal right or interest. The decision of the Governing Authority shall be final and not subject to appeal or review. 13, Code of DeKalb County, § 15-405 shall be amended to provide for the issuance of a single annually renewable permit to an employee of the Adult Clubs. Such permit will authorize the employee to work in any of the Adult Clubs in any capacity whatsoever, including but not limited to performers, entertainers, waiters, bouncers, bartenders, disc-jockeys In consideration of musicians. afforded convenience by the the above and increased referenced amendment, the fees for the permit will be increased in the sole discretion of DeKalb County. Specifically, the permit fee for dancers, performers - 16 - 9 1 39Vd ?134039 el3NO39 PA) C7) Rbfatt Tz 01207 /CM or other providers of entertainment for 2007 is $200. The fee for bartenders and waiters for 2007 is $100. The County reserves the right to impose increases in said fees during the term of this agreement and any subsequent renewal period. 14. The Adult Clubs shall not employ or otherwise allow any person who does not hold a valid permit, whether under the current regulatory scheme in § 15-405 or otherwise, to work or perform in an Adult Club. Should any Adult Club be found by DeKalb County (in the sole discretion of the police chief of DeKalb County) to have violated this term the Adult Club will be given written notice of such incident of failure to secure or renew an employee permit. Said notice shall be given within thirty (30) days of the County's discovery of the same. On the occasion of the third incident within any twelve-month period the Adult Club shall be informed of the violation by the police chief. A hearing before the DeKalb County Governing Authority will thereafter be scheduled as soon as reasonably practicable to consider whether there is due cause for suspending or revoking the non- -17 - LT MVcri 24RI•nuIR NRNFRP1 “41 C71 PSI+, T7 'NIT OflflV/OflHfl conforming status granted under this agreement. The hearing provided shall incorporate the procedures set forth in Code of DeKalb County, §15-418(c) merely for the purpose of this contract, and shall create no other legal right or interest. The decision of the DeKalb County Governing Authority shall be final and not subject to appeal or review. 16. Landscaping and sign changes or requirements shall be required as they are deemed necessary by the County's governing authority or its representative. Upon written notification of a sign or landscaping change that is required under this agreement, the Adult Club shall make the change within forty-five (45) days of such written notice. Should any Adult Club fail to make the required change, then that Adult Club shall immediately and irrevocably lose the non-conforming status granted under this agreement and cease Only landscaping changes that are deemed operation. necessary for the reasonable benefit of neighboring businesses and residents shall be requested. - 18 - 81 39tid 2:13N93€1 83NFRR rgic7/54htlt, TZnT clian7 ion n The Adult Clubs may with the appropriate building, 17. development and other permits where required by the Code of DeKalb County, renovate and reconstruct their premises as necessary, however, except as allowed in paragraph 21 below, the amount of space devoted to adult entertainment shall not be enlarged, consistent with Part B, Paragraph 3 herein. The Adult Clubs nonetheless, shall be required to comply with all permitting and regulatory requirements of DeKalb County, except as to the non-conforming status specifically set forth in the agreement. 18. Nothing in this Agreement shall prohibit DeKalb County from adopting, amending or otherwise regulating any and all matters relating to the operation of Adult Clubs. Only the specific exclusions set forth in this Agreement apply to the operation of the Adult Clubs, and the Adult Clubs will be required to comply with all current and future laws unless stated otherwise. 19. Nothing in this Agreement shall create any vested rights in the Adult Clubs to operate. -19- 6 T 39Wci N3N93W W ?.i Ntn-48 fig, C7 ) Rhfah 77 !PT OtIt17 ion 13r2 20. For the purpose of this Agreement, any and all notices to be given hereunder shall be in writing and shall be deemed given when deposited in the United States Mail, post prepaid, cer ified and addressed to current address of the respective Adult Club, as reflected in the Adult Club's most recent business license application on file. 21. Although the provisions of this agreement bar any of the Adult Clubs from increasing the square footage of their business or the amount of floor space devoted to adult entertainment, any Adult Club that wishes to increase either the square footage of its business or the amount of floor space devoted to adult entertainment may do so with the express approval of the Dexalb County Governing Authority, and upon obtaining all of the necessary permits and licenses from the County. The County's Governing Authority will have sole discretion to determine whether such approval shall be granted to any such Adult Club based upon any factors it deems relevant, and such approval will be granted via written amendment to this agreement. -20- Oa 39Vd H3N934 N.R1÷1RPI Pqi C7? Pi,db T7 !CAT ono, iar) sr a PART C: DENIAL OF LIABILITY The parties released under this settlement and Release Agreement, agree that this settlement is to resolve all claims of one against the other. The parties agree that this Settlement and Release Agreement is entered into by DEKALB solely to avoid the further nuisance and expense of litigation. This Settlement and Release Agreement shall not be construed to indicate or to imply any wrongdoing or admission of liability on the part of DEKALB and any and all liability for the ADULT CLUBS' claims and the incidents described in this Settlement and Release Agreement and surrounding events are expressly denied by DEKALB. PART D: CONFIDENTIALITY In further consideration of the payment hereunder, the parties agree to use their best efforts to treat this Settlement and Release Agreement as strictly confidential and not to discuss or to comment on this Settlement and Release Agreement or che litigation, except to say that the matter was settled between the parties without reference to the conditions of the settlement and that the case was voluntarily dismissed by the ADULT CLUBS with a complete denial of liability by DEKALB. The -21- TB 39Vd el3N932 2 ef3f4035 MG7lAhMh C WT QOM>. !OM 1)0 confidentiality provisions of this Settlement and Release Agreement shall remain in full force and effect at all times. This provision is subject to disclosure requirements under state and federal law such as the Georgia Open Records Act, 0.C.G.A. 50-18-70 et. seq. PART E: DISMISSAL Further, for the consideration granted hereunder, the undersigned hereby agree to consent to and/or obtain an Order to Dismiss With Prejudice or voluntary dismissal with prejudice of each of the above-captioned lawsuits being Civil Action File Numbers 99-CV-14075-1, 00-0 11-6749-1, 00-CV-6796-1, 00-CV-1459-1, 00-CV-6797-1, 00A74193-6, 1:99-CV-3301-RLV, 1:99-CV-3043-RLV, 1:99-CV-3328-RLV, 1:00-CV-0043-RLV, by requesting the Judge to sign said Order and/or directing the Clerk to enter said Order showing said action to be dismissed with prejudice, with all liability denied by the parties and to further consent to the entry of an Order whereby the Court specifically declines to award costs or attorneys' fees or by executing a voluntary dismissal with prejudice as prepared by DEKALB. -22- ZO 39Vd N3N932 W N3N98A PCl/C71Pbnb PC!QT ontrionhin PART F: ENTIRE UNDERSTANDING The parties understand and agree that this Settlement and Release Agreement constitutes the entire understanding between the parties released hereunder, and supersedes any and all verbal or written discussions, proposals, and/or offers of compromise or settlement made in this case. The undersigned agree that this Settlement and Release Agreement is in compromise of doubtful and disputed claims and potential claims both as to questions of liability and as to the nature and extent of injuries and damages, and that the status granted hereunder is not to be construed as an admission of liability by any party released hereunder and that liability is expressly denied. PART C: SUPERCEDES PRIOR AGREEMENT This First Amended and Extended Settlement and Release Agreement supercedes and supplants the prior (June 2001) agreement between the Adult Clubs and DeKalb. That prior agreement specifically gave the parties the authority to "agree to extend the agreement on its [then] current terms or on other mutually agreed terms in writing and upon approval by the governing authority of DeKalb County". This First Amended and extended Agreement is executed under the above-referenced -23- Ea 39Vd 2131493F1 'A N-oNFE*1 fig C77 PC011> CC !fl T 91,(17 /0f2 CI authority of the ptior Agreement, and is meant to supplant and superdede 'that prior AgreemeriL This Amended and Extended Agreement shall extend for a fifteen (15) year period as contained herein, and may be renewable by the parties for an additional ten (10) year period under the financial terms existing at the end of the initial fifteen (15) year period (or -24 - pe 39tici 213N933 83NS3F1 re41c7) t, ‘'`C :OT Oar27 Vol .4CMCt ICJ; 3,1 (4343 143 ft1,1 baiNER & BEGNER PAGE 0 5 39Vc1 a3NS3E1 d?6/5R2 rqi c7) Pbcit, ct !MT S2Mn7 -2B LO "it'd E34932 T H3N9flg rgiczintrAb Oaf', Mt, ./ f t CM/ GEItItI 1 IQ; 0,5 4W4thrifbi BEGNER E BEGNER PAGE 08 modified, amended, or extended by consent of the parties with permission of the governing authority of DeKalb County) as contained herein. If there is any challenge to the enforceability of the duration of this agreement, this agreement shall be automatically construed as an agreement for fifteen (15) consecutive one (1) year periods (or 25 consecutive one year periods if extended by the parties) with automatic renewal on January 1 of each year absent objection. THE UNDERSIGNED HAVE READ THE FOREGOING SETTLEMENT AND RELEASE AGREEMENT, UNDERSTAND IT FULLY AND SIGN IT VOLUNTARILY. WITNESS, whereof the ADULT CLUBS set their hands and affix day of their signatures this 2007. [SIGNATURES CONTINUED ON PAGES 29, 30, 31, and 32]. FOLLIES: By. Surre R. ite Sworn to and subsc ibed before me this ftJ day of , 2007. -30- 63N935 ef31,4930 pq )C7 n Phnb M !MT 0=7 ion nil ▪ ROOSTER'S BARNYARD: By: Barbara F. Archibald N y Public • g n to and sub c bed be ore me this jjJday of , 2007. Notary Public, Cherokee MyGOffimiSSion EXpkesMay lZ Notary Pubtic, Cherokee County, Georgia My Conwnission Swims May 12, 2011 Sworn to and subscrited before me di' day of , 2007. THE PINK PONY : /27 Ei Y;/ Jack E. Gala di it AAL, C ary Public Sworn to and subsc ed before me th' day of , 2007, -31- 0 T T./yi d eL3N930 2:13N930 Pq/ezinbilt, PC T 01107 /00 0 Notary Public Sworn to and subscribed day before me this , 2007. of SADDLES"]: - CE‘0.04 EUGENE EN 'USN N TARYPUEL _OYU OU --'S ATE -aka o and subscribed day be`fore , 2007. of Sw17.1 PIN LIPS: By: Jessica R. Lee By: James W Lee, Jr. Notary Public Sworn to and subscribed before me this day of , 2007. -31-A TT 3E/Vd 63N93E1 2 N3ND3B r clIc7/Abni, PC:OT OMM7/011,70 STRO _, ic ChemkeeCOUfltY,GQOtQlt MvCommlESiOfl Expires May 12, 2011 S Sworn to and subs ed before me this day of , 2007. SHOOTER'S ALLEY: By: No fry At Public stud Sworn to and subscribed before me this day of , 2007. CLUB BLAZE [FORMERLY KNOWN AS "BLAZIN SADDLES"]: By: Maurine Whorton Notary Public Sworn to and subscribed before me this day of , 2007. PIN UPS: -32- ZI 39Vd d3NO39 W H3N939 Pc:nr ciam7icionn By: Jessica R. Lee By/James W. Lee, Georgie Public, Chesnkee County, Commission Expires May 12,2011 Sworn to and subscri ed before me this day 2007 . of Amy , APPROVED: Date: Attorney Saddles] kers, Roosters, and Club Blaze (Blazin icers thereof Date: + CAR WIGGINS, ESQ. Attorney for Follies and Shooter's Alley and owners and officers thereof TE, ESQ. Pin Ups and Great American Dream and owners and ereof G T LTnO . Attorney for Pink Pony and ,jairzlr —Tte-s and owners and officers thereo Date: 6-23 -497 -3- ET 39Vd ei3N93F1 Hi•• ERR P qj c7iRt7P+7 "'.0 7.MT RfliA7 eon ra WILLIAM J. LINICOUS, III Attorney for Defendants -34- T "*Ikt-4 air= P waltvac C,71C710111,41 CI, T OrAt17 Jon fl IN THE SUPERIOR COURT OF DEKALB COUNTY STATE OF GEORGIA OASIS GOODTIME EMPORIUM I, INC., d/b/a OASIS; and MPC, INC., d/b/a STROKERS; and ROOSTER'S BARNYARD ETC., INC., d/b/a ROOSTERS; and FREESE II, INC., d/b/a BLAZINI SADDLES; and JANICE LOWE, d/b/a JAZZY T'S; Plaintiffs, CIVIL ACTION FILE NO. 99-CV-14075-1 VS. DEKALB COUNTY, GEORGIA; THE BOARD OF COMMISSIONERS OF DEKALB COUNTY, GEORGIA ELAINE C. BOYER, GALE ALLDORFF, JACQUELINE SCOTT, DAVIS, WILLIAM BROWN, JUDY YATES, and PORTER SANFORD, III, individually and in their official capacities as Commissioners of DeKalb County, Georgia; and LIAM LEVETAN, Chief Executive Officer of DeKalb County, Georgia, individually and in her official capacity as Chief Executive Officer of DeKalb County, Georgia, Defendants. IN THE SUPERIOR COURT OF DEKALB COUNTY STATE OF GEORGIA OASIS GOODTIME EMPORIUM I, INC., d/b/a OASIS; and MPC, INC., d/b/a STROKERS; and ROOSTER'S BARNYARD ETC., INC., d/b/a ROOSTERS; and FREESE II, INC., d/b/a BLAZIN Pq/c7iPbCfb PT:TT POMPIPMilP SADDLES; and JAN C 0 d/b/a JAZZY T'S, Plaintiffs, CIVIL ACTION FILE NO. 00-CV-6749-1 VS. DEKALB COUNTY, GEORGIA; and THE ALCOHOLIC BEVERAGE REVIEW! BOARD OF DEKALB COUNTY, Defendants. IN THE SUPERIOR COURT OF DEKALB COUNTY STATE OF GEORGIA TROP, INC., d/b/a PINK PONY MUSEUM AND THEATER, Petitioner, vs. CIVIL ACTION FILE NO. 00-CV-6796-1 TOM BLACK; KEITH MOSS; MORGAN! WHEELER; DAVID PIKE; and ROBERT JOHNSON, all in their official capacitites as members of the DeKalb Alcoholic Beverage Review Board, Respondents, DEKALB COUNTY, GEORGIA, Defendant. ZO 39t/ci FQ Q7 I Rtr,Cki, T !TT oflfr' tat, IN THE SUPERIOR CO URT OF DEKALB COUNTY STATE OF GEORGIA d WBY, INC., d/ 0 SHOOTER ALLEY, INC., d/b/a SHOOTER ALLEY; TROP, INC.; THE PINK PONY; and THE GREAT CAN DREAM, d/b/a PIN UPS, Plaintiffs, CIVIL ACTION FILE NO. 00-CV-1459-1 vs. DEKALB COUNTY, GEORGIA; and LARRY SONGER, Alcohol License Manager of DeKalb County, Defendants. IN THE SUPERIOR COURT OF DEKALB COUNTY STATE OF GEORGIA WBY, INC„ d/b/a FOLLIES COMMUNITY THEATRE & MUSEUM; SURREY WHITE, in his capacity; as licensee for WBY, Inc.; SHOOTER ALLEY, INC., d/b/a SHOOTER ALLEY COMMUNITY THEATRE & MUSEUM; JOAQUIN J. RAMU, JR., in his capacity as licensee for Shooter Alley, Inc., CIVIL ACTION FILE NO. 00-CV-6797-1 Petitioners, v s. KEITH MOSS; MORGAN WHEELER; DAVID PIKE; and ROBERT JOHNSON, all in their official capacities as members of the DeKalb W-41,,ILT4c1 >alecZa C"0/C7)04,Mh CT.TT onn7)on.orn Alcoholic Beverage Review Board; and MAJOR SADLER, as Deputy Finance Director, Re pendants. DEKALB COUNTY, GEORGIA, Defendant. IN THE STATE COURT OF DEKALB COUNTY STATE OF GEORGIA GREAT AMERICAN DREAM, INC., d/b/a P/N UPS, Plaintiff. CIVIL ACTION FILE NO. 00A74193-6 VS. DEKALB COUNTY, GEORGIA; THE BOARD OF COMMISSIONERS OF DEKALB COUNTY; JONATHAN WEINTRAUB, County Attorney; LIANE LEVETAN; JANE DOE'S; JOHN DOE'S, individually and severally, Defendants. IN THE UN/TED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF GEORGIA ATLANTA DIVISION GREAT AMERICAN DREAM, INC., d/b/a PIN UPS, f/k/a GUYS AND DOLLS, Plaintiff, CIVIL ACTION FILE NO. 1:99-CV-3301-RLV VS. -4- 00 39Vd H3N930 N3N939 7/Abilb PT:TT QrAM7 /On h/r) JONATHAN WEINTRAUB, County Attorney, individually and ini his capacity as the county i attorney of DeKalb County, Georgia; DEKALB COUNTY, GEORGIA; THE BOARD OF COMMISSIONERS OF DEKALB COUNTY, GEORGIA; ELAINE C. BOYER, GALE WALLDORFF, JACQUELINE SCOTT, KEN DAVIS, WILLIAM BROWN, JUDY YATES, and PORTER SANFORD, III, individually and in their official capacities as Commissioners of DeKalb County, Defendants. IN THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF GEORGIA ATLANTA DIVISION TROP, INC., d/b/a PINK PONY, Plaintiff, CIVIL ACTION FILE NO. l:99-CV-3O43.RtV vs. DEKALB COUNTY, GEORGIA, Defendant. IN THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF GEORGIA ATLANTA DIVISION WBY, INC., d/b/a FOLLIES; and SHOOTER ALLEY, INC., d/b/a SHOOTER ALLEY, Plaintiffs, vs. 5O 3go'cl CIVIL ACTION FILE NO. 1:99-CV-3228-RLV Pg iC7InhAh TT 011in ittra n DEKALB COUNTY, GEORGIA; THE BOARD OF COMMI SSIONERS OF DEKALB COUNTY, GEORGIA; C. BOYER, GALE ORFF, JACQUELINE SCOTT, DAVIS, WILLIAM BROWN, Y YATES, and PORTER SANFORD, III, individually and in their official capacities as Commissioners of DeKalb County, Georgia, Defendants. IN THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF GEORGIA ATLANTA DIVISION MARIA D. WILLIAMS; TAFANIKA NGLETARY; LATONYA MCGILL; TANEKA WASHINGTON; SABRINA LUMPKIN; and STEVE SIMPSON, Plaintiffs, C/VIL ACTION FILE NO. 1:00-CV-0043-RLV VS. DEKALB COUNTY, GEORGIA, Defendant. FIRST AMENDED AND EXTENDED SETTLEMENT AND RELEASE AGREEMENT PART A: RELEASE FOR AND IN CONSIDERATION of the granting of certain "nonconforming status" as set forth in detail in Part B of this agreement by DeKalb County, Georgia, the receipt and sufficiency 90 39to d eRN9?fl R NRNFIRR pq )C71PtiM4, C'T t TT onn7 l0f2 )7 CI of which is hereby acknowledged, and for other good and valuable consideration, the undersigned Follies (Surrey R. White, Steven Youngelson, and Jade Grossman), Rooster's Barnyard (Barbara F. Archibald and Peter G. Archibald, Jr.), Oasis Goodtimes Emporium (Barbara J. Holcomb), The Pink Pony (Jack E. Galardi), Strokers Club (Terr Fischer), Shooter's Alley (Joaquin J. Ramu, Jr.), Blazin Saddles [now known as Club Blaze] (Maurine Whorton), and Pin Ups (Jessica R. Lee and James W. Lee, Jr.) (hereinafter y "Adult Clubs" or individually 'Adult Club') hereby acknowledge full accord, satisfaction and settlement of and hereby release any and all actions, causes of action, damages or claims for damages, demands, claims and rights of whatsoever kind and nature which are claimed against all DEFENDANTS, specifically including but not limited to DeKalb County, Georgia; The Board of Commissioners of DeKalb County, Georgia; Elaine C. Boyer; Gale Waldorff; Jacqueline Scott; Ken Davis; William Brown; Judy Yates; Porter Sanford, III; Jeff Rader; Larry Johnson; Burrell Ellis; Lee May; Kathie Gannon; Connie Stokes; Vernon Jones, Chief Executive Officer of DeKalb County, Georgia; Liane Levetan, Former Chief Executive Officer of DeKalb County, Georgia; The Alcoholic Beverage Review Board of DeKalb County, Georgia; Tom Black; Keith Moss; Morgan Wheeler; David LB 30Vci PC41 C71 a+, nt, c'T !TT OtIra7 ion it es Pike; Robert Johnson; Larry Songer, Former Alcohol License Manager of DeKalb County; Major Sadler, Former Deputy Finance Director; William J. Linkous, III, County Attorney; Jonathan Weintraub, Former County Attorney; Jane Doe's; and John Doe's; and all other officers, officials, employees, and agents of DeKalb County, individually and in their official capacities, (hereinafter "DEKALB"), in Civil Action File Numbers 99-CV14075-1, 00-CV-6749-1, 00-CV-6796-1, 00-CV-1459-1, 00-CV-6797-1, 00A74193-6, 1:99-CV-3301-RLV, 1:99-CV-3043-RLV, 1:99-CV-3328- RLV, 1 :00-CV-0043-RLV, styled as shown in the capti ns to this agreement and in any other pending or contemplated civil action by the above-referenced ADULT CLUBS. By entering into this Release, the ADULT CLUBS shall and do hereby release DEKALB for any and all state and federal claims which have been or could have been asserted or which in any way relate to or arise out of or could have related to or arisen from the ADULT CLUBS' existence, operation or doing business or engaging in activity of any kind within the boundaries of DeKalb County, for which it could have been claimed that DEKALB, or any of its officials, employees, officers or agents, are legally liable or subject to any claim whether for equitable or legal relief. so 39Vd 3N493Et N-RhirnR fig) C7 ) 0i7011 CT *TT ono', Ion / In further consideration of the status granted hereunder, the undersigned intend, represent and warrant that any and all claims that were and/or could have been asserted by or on behalf of the ADULT CLUBS arising out of and by reason of the acts alleged in the Complaints filed in the referenced civil actions are hereby released, relinquished, dismissed with prejudice, settled and satisfied. Having received and acknowledged the above-stated consideration as full compensation for and on account of any and all alleged injuries and damages which it is claimed were sustained or could be claimed to have been sustained as a result of the ADULT CLUBS' existence, operation, doing business or engaging in activity of any kind within the boundaries of DeKalb County, the ADULT CLUBS hereby satisfy and settle such claims and hereby release and forever discharge DEKALB, and its former and present officials, agents, servants, heirs, successors, administrators, officers, employees, directors, personal representatives and assigns, and all other departments, agencies, corporations, companies and persons from any and all claims, actions, demands and causes of action of whatsoever kind and nature arising out of the events alleged in the Complaints, including, but not limited to rights relating in any way to any licensing or permitting by DEKALE; personal 50 39tici N3Na3E1 NRN5nR rq i C7 Sthata c'T !T T 41M27 !Of, II fa injury; loss of consortium; loss of services; lost wages; lost property; back pay; promotion; injunctive relief; attorneys' fees and punitive damages; employment rights and benefits; pension benefits; damage to reputation; all other claims and expenses incidental to the terms, conditions and benefits of the ADULT CLUBS' existence, operation, doing business or engaging in activity of any kind within the boundaries of DeKalb County; deprivation of any and all rights secured under the Constitution and laws of the United States of America or of the State of Georgia or the ordinances of DeKalb County, Georgia, including but not limited to, those rights secured under the First Amendment of the Constitution of the United States of America, 42 U.S.C. §§ 1981, 1983, 1985, 1986, 1988, 2000e and 12101; attorneys' fees, costs and expenses of litigation incurred in this action; punitive damages; and any other damages or expenses arising out of said matter. Any promises made or actions taken under this Settlement and Release Agreement shall not be construed to limit or waive the sovereign, official or qualified immunity of DEKALB, and this settlement is not made to resolve any claims that are barred by sovereign immunity. This release is intended to and does completely bar and foreclose any and all -10- OT 39Vd N3N926,E3N922 E9L9ZLE14017 ET:TT 9ORZ/REI/2P claims that the Adult Clubs may now have or ever had against DERALB . PART B1 ADULT NON-CONFORMING STATUS Whereas, DeKalb County (hereinafter "the County") ordinances currently prohibit the sale of alcohol in adult entertainment establishments and erotic entertainment/dance establishments, which prohibition is set forth in Code of DeKalb County § 15-402(o), ("Adult Entertainment Ordinance"), the County hereby individually and for its successors and assigns grants "non-conforming status" to the Adult Clubs, currently operating as such adult entertainment establishments and/or erotic entertainment/dance establishments as currently defined in the Code of DeKalb County § 15-401. This agreement shall be binding upon DeKalb County, its successors, transferees, assigns for the terms specified herein. This agreement shall be binding upon any governmental body to which the County transfers regulatory control over the matters herein, expressly including any municipality which obtains jurisdiction by incorporation or annexation. The allowable uses herein shall be considered as ongoing actual uses by any such successor or assign. For purposes of this agreement the term "non-conforming status" shall mean that the Adult Clubs will be permitted to sell T T grIVA mlwnlg ,2 NliQnqq i'4) C7 / T !TT CkM117 ion 1J II alcoholic beverages (subject to all other laws and regulation of alcohol) and to provide adult entertainment in the form of nude dancing or live nude performances. For the purpose of this agreement only the Adult Clubs shall be licensed with respect to the non-conforming status granted herein. The non-conforming status granted herein shall be for a term of fifteen (15) years effective January 1, 2007, unless determined otherwise by a court of competent jurisdiction, and shall be renewable by consent of the parties for an additional ten (10) year term following the expiration of the initial term. At the end of such term the parties shall no longer be bound by the terms of this agreement, and this agreement shall automatically terminate no later than December 31, 2021 or December 31, 2031 if extended by the parties. However, the par ies may agree to extend the agreement on its current terms or on other mutually agreed terms in writing upon approval by the governing authority of Dekalb County. The term "non-conforming status" shall be strictly limited to the meaning specifically set forth in this agreement, and should have no other meaning or create no other right than to allow alcohol to be served or sold at the same location as the adult nude performances. 77 gfltIA WqMW4g Nflmn-= c"0 07 g:lbOh TTT 4Q07 MO 1! in Sections 16-60 to 16-64 of DeKalb County's Code of Ordinances currently prohibit public nudity in DeKalb County, and the County hereby grants the Adult Clubs non-conforming status as defined in this agreement with respect to such ordinance and any other ordinance banning public nudity, which shall render the Adult Clubs exempt from the application of such prohibition to run concurrently with the period of time that the Adult Clubs are permitted to sell alcohol pursuant to the nonconforming status. Non-conforming status is not extended by this agreement to any adult entertainment establishment that is not currently operating in DeKalb County and that is not a party to this Settlement. As further consideration for the granting of non-conforming status the parties agree as follows: 1. The Adult Clubs shall remain subject to all applicable provisions in the Adult Entertainment Ordinance and the DeKalb County Code of Ordinances unless specified otherwise in this Agreement. 2. Pursuant to Code of DeKalb County § 4-1 et. seq. 13 ° T "qcltiri gqi•Jrnct >,MKICMCI C'O)C7/O4,fl4, CT . TT Onn7 /On //n ("Alcoholic Beverage Ordinance"), the Adult Clubs shall pay the maximum annual license fee allowed by state law for acquiring the necessary alcoholic beverage license. For year 2007, the fee shall be the maximum amount allowed by Georgia Law and shall be due on June 1, 2007 *In order to retain non-conforming status Adult Clubs are required to maintain a current alcohol license. 3. If any Adult Club changes its location, use or size as it existed on January 1, 2007, in any manner other than as explicitly and specifically allowed by this Agreement, then the Adult Club shall no longer be entitled to non-conforming status under this agreement. 4. The non-conforming status granted hereunder may not be sold, given, transferred or assigned by the current ownership of any Adult Club, The Adult Clubs granted non-conforming status herein may change ownership if the new owner meets the requirements of the County ordinances, including the Alcoholic Beverage -14- bT. qnWA MgWri4g AghIngq PQ/C7/Pb1Ab PT:TT PMEI7M1//d Ordinance, and if the new ownership agrees to be bound by the terms of the settlement agreement. S. In the event of the repeal of the Adult Entertainment Ordinance in any manner, any new ownership of an Adult Club, if desired by the new owner and approved by the County, shall be granted the non-conforming status pursuant to the terms of this Agreement. Non- conforming status will not be extended to any new ownership of an Adult Club where any individual having an interest either as owner, partner, principal stockholder, directly or indirectly beneficial or absolute, shall have been convicted within ten (10) years immediately prior to the acquisition of ownership for any felony or misdemeanor of moral turpitude under any federal or state law of the United States or any municipal ordinance except traffic violations or for whom an outstanding warrant exists on which service has not been effected. 6. Any new ownership of an Adult Club seeking a license to operate must comply with the current regulatory 15 - q F1'cl.-1 Warcat 15?flwcnq r`Q / C7/ iThrA4, C'T !T T OtAn7 .19/2 I scheme. In the event of the repeal of the Adult Entertainment Ordinance in any manner, the requirements set forth therein will apply to any new ownership of an Adult Club. Accordingly, the provisions of Dekalb County Code § 15 7 407, 15409(a) (1) through (a)(9) and 15-409(a)(11) through § 15-409(b) are incorporated herein by reference as specific requirements of this agreement. 7. The Adult Clubs shall pay an annual fee during the term of this agreement. This fee shall be paid in equal quarterly installments due on January 1, April 1, July 1, and October 1 of each year. The fees for each calendar year of this agreement shall be as follows: $100,000 per adult club per year for the first ten years of this agreement, and $150,000.00 per adult club per year for the remaining five years of this agreement. For year 2007, the Adult Clubs shall each pay $100,000.00, made retroactive to January 1, 2007. The Adult Clubs shall have a ten (10) day grace period from the due date of each payment in which to tender the fee without interest or penalty. Payment -16- TO 39Ved ?-i Ng11 C't4f C7 Rtnts T T aain7 tan it* compliance with this Settlement Agreement means actual receipt of funds by the County. Receipt of any portion of the annual fee payment by the County more than ten (10) days late shall result in the Adult Club having its adult entertainment establishment license and alcohol license immediately suspended by operation of this agreement until the quarterly payment is made. DeKalb County may take all steps to prohibit entrance into or operation of any Adult Club that fails to make timely payment, and the Adult Club hereby agrees to cease operation until payment is made. Said late payment shall also incur interest of 12% annually, from the date due until date paid. Upon tendering the late payment, including all penalties, within thirty (30) days of the due date, the suspension shall automatically end and the Adult Club may immediately resume operation. In the event that the fees become more than thirty (30) days past due, the Adult Club shall immediately and irrevocably lose its nonconforming status. No written notice of the Adult Club's failure to pay is required. -17- ZO 39Vd NR/1cfl91 ?-PNr1 C1 PP/C7/Pbab PP:TT PMM7iPMIJD 8. A certificate of non-conforming status shall be issued on payment of the first installment of the annual fee. 9. In the event that the Adult Entertainment Ordinance is repealed in any manner, the Adult Clubs shall remain liable to pay the annual fee pursuant to the terms of this agreement. All Adul t Clubs shall be required to renew their licenses annually on forms prescribed by the County. A certificate of non-conforming status shall be issued as long as the Adult Club is current with its annual fee obligation and has not violated any other provision of this agreement. 10. All licenses granted under DeKalb County Code 15-400 et. seq. and preserved under this agreement in the event of repeal shall remain a mere grant of p ivilege to carry on business during the term of the license subject to all terms and conditions imposed by 15400 et. seq. and related laws, applicable provisions of the DeKalb County Code, other ordinances and the terms of this agreement. In the event that 15-406 is repealed in any manner, the requirements set forth CO 39Vd d3NO38 8 63NO38 C9L5ZL80012 8E:TT 800Z/80/40 chief of DeKalb County) to have engaged in any activity prohibited by § 15-402, then that Adult Club shall be informed by the police chief of the violation. A hearing before the DeKalb County Governing Authority will thereafter be scheduled as soon as reasonably practicable to consider whether there is due cause for suspending or revoking the nonconforming status granted under this agreement. The hearing provided shall incorporate the procedures set forth in Code of DeKalb County, §15-418(c) merely for the purpose of this contract, and shall create no other legal right or interest. The decision of the Governing Authority shall be final and not subject to appeal or review except by certiorari to the DeKalb County Superior Court. 12. The Adult Clubs shall remain governed by the provisions of the Code of DeKalb County § 15-405, including those which mandate that any and all employees of such establishments shall be eighteen years of age or older, be permitted and satisfy certain requirements set forth therein. In the event -20- PO 39Vd ei3N932 W 213N938 E9LSZLRVcit RP:TI RAW/RAM:I that said provision is repealed in any manner, the requirements will continue to govern the Adult Clubs. Accordingly, the provisions of DeKalb County Code § 15-405 are incorporated herein by reference as specific requirements of this agreement. Should any Adult Club be found by DeKalb County (in the sole discretion of the police chief of DeKalb County) to have engaged in any activity prohibited by § 15-405, then that Adult Club shall be informed by the police chief of the violation. A hearing before the DeKalb County Governing Authority will thereafter be scheduled as soon as reasonably practicable to consider whether there is due cause for suspending or revoking the non-conforming status granted under this agreement. The hearing provided shall incorporate the procedures set forth in Code of DeKalb County, §15418(c) merely for the purpose of this contract, and shall create no other legal right or interest. The decision of the Governing Authority shall be final and not subject to appeal or review. -21- GO rid 2:134936 2:i3N932 q7) Rbilb : TT RAW IPG1 11 13, Code of DeKalb County, § 15-405 shall be amended to provide the issuance of a single annually renewable perMit to an employee of the Adult Clubs. Such permit will authorize the employee to work in any of the Adult Clubs in any capacity whatsoever, including but not limited to performers, entertainers, waiters, musicians. convenience bartenders, bouncers, disc-jockeys and In consideration of the increased afforded by the above referenced amendment, the fees for the permit will be increased in the sole discretion of DeKalb County, Specifically, the permit fee for dancers, performers or other providers of entertainment for 2007 is $200. The fee for bartenders and waiters for 2007 is $100. The County reserves the right to impose increases in said fees during the term of this agreement and any subsequent renewal period, 14. The Adult Clubs shall not employ or otherwise allow any person who does not hold a valid permit, whether under the current regulatory scheme in § 15-405 or otherwise, to work or perform in an Adult Club. - 22 - 90 39Vel HRNFflCi ?fli•Enq PCI / C71 ot,mh ! T T ()nen ?on J 1M Should any Adult Club be found by DeKalb County (in the so e discretion of the police chief of DeKalb County) to have violated this term the Adult Club will be given written notice of such incident of failure to secure or renew an employee permit * Said notice shall be given within thirty (30) days of the County's discovery of the same. On the occasion of the third incident within any twelve-month period the Adult Club shall be informed of the violation by the police chief. A hearing before the DeKalb County Governing Authority will thereafter be scheduled as soon as reasonably practicable to consider whether there is due cause for suspending or revoking the nonconforming status granted under this agreement. The hearing provided shall incorporate the procedures set forth in Code of DeKalb County, §15-418(c) merely for the purpose of this contract, and shall create no other legal right or interest. The decision of the DeKalb County Governing Authority shall be final and not subject to appeal or review. -23- LO 30Vd d3NO313: 2 d3N932 E9L9ZL8V012 8E:11 800Z/80/40 164 Landscaping and sign changes or requirements shall be required as they are deemed necessary by the County's governing authority or its representative. Upon written notification of a sign or landscaping Change that is required under this agreement, the Adult Club shall make the change within fo y-five (45) days of Should any Adult Club fail to such written notice. make the required change, then that Adult Club shall immediately and irrevocably lose the non-conforming status granted under this agreement and cease operation. Only landscaping changes that are deemed necessary for the reasonable benefit of neighboring businesses and residents shall be requested. 17. The Adult Clubs may with the appropriate building, development and other permits where required by the Code of DeKalb County, renovate and reconstruct their premises as necessary, however, except as allowed in paragraph 21 below, the amount of space devoted to adult entertainment shall not be enlarged, consistent with Part B, Paragraph 3 herein. The Adult Clubs nonetheless, shall be required to comply with all - 24 - BO 39tld 2:13N932 ea/MOM rq I C71 brat OC" T T QOM> Mr/ ilea permitting and regulatory requirements of DeKalb County, except as to the non-conforming status specifically set forth in the agreement. 18. Nothing in this Agreement shall prohibit DeKalb County from adopting, amending or otherwise regulating any and all matters relating to the operation of Adult Clubs. Only the specific exclusions set forth in this Agreement apply to the operation of the Adult ClUbs, and the Adult Clubs will be required to comply with all current and future laws unless stated otherwise. 19. Nothing in this Agreement shall create any vested rights in the Adult Clubs to operate. 20. For the purpose of this Agreement, any and all not ices to be given hereunder shall be in writing and shall be deemed given when deposited in the United States Mail, post prepaid, certified and addressed to current address of the respective Adult Club, as reflected in the Adult Club's most recent business license application on file. -25- 60 rid d3N9394 B H3Ne39 E9L54840t, 8E:IT 800Z/80/L0 21. Although the provisions of this agreement bar any of the Adult Clubs from increasing the square footage of their business or the amount of floor space devoted to adult entertainment, any Adult Club that wishes to increase either the square footage of its business or the amount of floor space devoted to adult entertainment may do so with the express approval of the DeKalb County Governing Authority, and upon obtaining all of the necessary permits and licenses from the County- The County's Governing Authority will have sole discretion to determine whether such approval shall be granted to any such Adult Club based upon any factors it deems relevant, and such approval will be granted via written amendment to this agreement- PART C: DENIAL OF LIABILITY The parties released under this Settlement and Release Agreement, agree that this settlement is to resolve all claims of one against the other. The parties agree that this Settlement and Release Agreement is entered into by DEKALB -26- d3NS3,2 ? d3N93131 E9L9U.840t, BE:TT 800Z/80/L0 sol ly to avoid the further nuisance and expense of litigation. This Settlement and Release Agreement shall not be construed to indicate or to imply any wrongdoing or admission of liability on the part of DEKALB and any and all liability for the ADULT CLUBS' claims and the incidents described in this Settlement and Release Agreement and surrounding events are expressly denied by DEKALB. PART D: CONFIDENTIALITY In further consideration of the payment hereunder, the parties agree to use their best efforts to treat this Settlement and Release Agreement as strictly confidential and not to discuss or to comment on this Settlement and Release Agreement or the litigation, except to say that the matter was settled between the parties without reference to the conditions of the settlement and that the case was voluntarily dismissed by the ADULT CLUBS with a complete denial of liability by DEKALB. The confidentiality provisions of this Settlement and Release Agreement shall remain in full force and effect at all times. This provision is subject to disclosure requirements under state and federal law such as the Georgia Open Records Act, 0.C.G.A. § 50-18-70 et. seq. -27- II 3ENd 213ND3a Ci3NFRA Pq / CY 7 PhrAh OC TT onn7 Jon n PART E: DISMISSAL Further, for the consideration granted hereunder, the undersigned hereby agree to consent to and/or obtain an Order to Dismiss With Prejudice or voluntary dismissal with prejudice of each of the above-captioned lawsuits being Civil Action File Numbers 99-CV-14075-1, 00-CV-6749-1, 00-CV-6796-1, 00-CV-1459-1, 00-CV-6797-1, 00A74193-6, 1:99-CV-3301-RLV, 1:99-CV-3043-RLV, 1:99-CV-3328-RLV, 1:00-CV-0043-RLV, by requesting the Judge to sign said Order and/or directing the Clerk to enter said Order showing said action to be dismissed with prejudice, with all liability denied by the parties and to further consent to the entry of an Order whereby the Court specifically declines to award costs or attorneys' fees or by executing a voluntary dismissal with prejudice as prepared by DEKALB. PART F: ENTIRE UNDERSTANDING The parties understand and agree that this Settlement and Release Agreement constitutes the entire understanding between the parties released hereunder, and supersedes any and all verbal or written discussions, proposals, and/or offers of compromise or settlement made in this case. The undersigned -28- ZI 3910d e0N938 ? 63N938 EsLgZG8Viap 8E:TT 800Z/80/L0 agree that this Settlement and Release Agreement is in compromise of doubtful and disputed claims and potential claims both as to questions of liability and as to the nature and extent of injuries and damages, and that the status granted hereunder is not to be construed as an admission of liability by any party released hereunder and that liability is expressly denied. PART G: SUPERCEDES PRIOR AGREEMENT This First Amended and Extended Settlement and Release Agreement supercedes and supplants the prior (June 2001) agreement between the Adult Clubs and DeKalb. That prior agreement specifically gave the parties the authority to "agree to extend the agreement on its [then] current terms or on other mutually agreed terms in writing and upon approval by the governing authority of DeKalb County". This First Amended and Extended Agreement is executed under the above-referenced authority of the prior Agreement, and is meant to supplant and supercede that prior Agreement. This Amended and Extended Agreement shall extend for a fifteen (15) year period as contained herein, and may be renewable by the parties for an additional ten (10) year period under the financial terms existing at the end of the initial fifteen (15) year period (or -29- ET 3900d 213NSai el3N939 QQCQQJ PQM, QC' !T T onn7 ion n modified, amended, or extended by consent of the parties with permission of the governing authority of DeKalb County) as contained herein. If there is any challenge to the enforceability of the duration of this agreement, this agreement shall be automatically construed as an agreement for fifteen (15) consecutive one (1) year periods (or 25 consecutive one year periods if extended by the parties) with automatic renewal on January 1 of each year absent objection. THE UNDERSIGNED HAVE READ THE FOREGOING SETTLEMENT AND RELEASE AGREEMENT, UNDERSTAND IT FULLY AND SIGN IT VOLUNTARILY. WITNESS, whereof the ADULT CLUBS set their hands and affix their signatures this nd day of 2007. [SIGNATURES CONTINUED ON PAGES 29, 30, 31, and 32]. FOLLIES: if/ By. Surre R. ite Sworn to and subscribed before me this day of , 2007. -30- PT 39Vd 8TAND3E 63N939 69453484OP 8E:TT 800L/80/40 ROOSTER'S B By: Barbara F. Archibald By: Pe N° G. Archiba d, Jr. I'A nY toPublic and subsc before me this of A4EJ , Notary Public, Cherokee County, GeOrglei My Commission Expires May12,2011 bed day 2007. n. 1,4/ Sworn to and subsc before me this of THE PINK PONY : By; Jack E. Galardi Sworn to and subscri ed before me this day of , 2007. - 31 - ST 39Vd 63N93£1 a3r1038 PRI g 7.1 RbAb : TT Prd(3710t2 IJ 1:4 Notary Public Sworn to and subscr bed day before me this , 2007. of n to and subscribed day 2007. PIN UPS : By: Jessica R. Lee ames W. Lee, Jr. Notary Public Sworn to and subscribed before me this day of , 2007. - 31 - 91 39Vd d3N93S W 63N930 A EsLsaLeI700 BE:IT 800Z/80/L0 * STR RS CLUR: Acne Public Sworn to and sub before me this of SHOOTER'S ALLEY: jr,, Sworn to and subscribed before me this day of , 2007. CLUB BLAZE [FORMERLY KNOWN AS "BLAZIN SADDLES"I: By: Maurine Whorton Notary Public Sworn to and subscribed before me this day of , 2007. PIN UPS: - 32- LT 39Vci a3NO38 W H3N93S E9LSZLOPOV 8E:TT 800Z/80/L0 By: J ica R. Lee 6 ames W. Lee, t ary dr. /905. County, Giorgi Public May 12, 2011 Sworn to and subscr ed before me this 17t24 day of frAy , 2007. APPRO D: Date: Attorney Saddles] okers, Roosters, and Club Blaze (Blazin *cers thereof Date: 5/ • Attorney for Follies and Shooter's Alley and owners and officers thereof Date: T , ESQ. brn ey for Pin Ups and Great American Dream and owners and officers...thereof Date: T LrT Attorney for Pink Pony and .4airr3 --T4 s and owners and officers thereo Date: -33- 81 3cVd N3N93icl N-RNFIRR r q /c7)PbM, SW:TT 2mn7Ioni)n WILLIAM J. LINXOUS, III Attorney for Defendants CT irni. Writ, 1.0 innn rrtl e, 7 Cli.f14.. nr. • T T nnnv tnn