HomeMy WebLinkAbout82-519 01-26-1982RESOLUTION NO. 82 -519
WHEREAS, the CITY OF EULESS, Texas, hereinafter referred
to as "Taxing Authority ", has assessed and levied 1981 ad
valorem taxes on the bank shares of FIRST NATIONAL BANK OF
EULESS, hereinafter referred to as "Bank "; and
WHEREAS, it is the opinion of Bank that the 1981 ad valorem
taxes levied on the bank shares are not owed and are not lawful;
and
WHEREAS, Bank is contemplating litigation against the
Taxing Authority over the legality of assessing and levying
1981 ad valorem taxes on the Bank's shares; and
WHEREAS, the Taxing Authority desires to collect and use
the 1981 ad valorem taxes claimed, and the Bank desires not to
be delinquent in the payment of the bank share taxes pending the
outcome of the anticipated litigation; and
WHEREAS, Bank and the Taxing Authority desire to enter
into a proposed agreement pertaining to the payment of the 1981
ad valorem taxes pending the outcome of the litigation;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the
City of Euless, Texas, that its Mayor be and he is hereby
authorized to enter into the attached agreement on behalf of the
City of Euless, Texas, and that the attached agreement is hereby
incorporated herein and made a part hereof for all purposes.
ADOPTED by the City Council of the City of Euless, Texas,
at a regular meeting on the 26th day of January, 1982, by a vote
of ayes, e2 nays, and Q abstentions.
APPROVED:
ATTEST:
Kay R ney, City S
etary
zCetze •c"-a41-ze
Harold D. Samuels, Mayor
THE STATE OF TEXAS
AGREEMENT
COUNTY OF TARRANT 5
This AGREEMENT is made by and between the CITY OF EULESS,
TEXAS, hereinafter referred to as "Taxing Authority ", and FIRST
NATIONAL BANK OF EULESS, hereinafter referred to as "Bank ", as
follows:
W I T N E S S E T H:
WHEREAS, the Taxing Authority who seeks to tax the Bank's
shares which are outstanding on January 1, 1981, desires to
enter into this Agreement pertaining to the payment of the ad
valorem taxes on the shares of stock pending the outcome of the
litigation to determine the legality of the taxing of the Bank's
shares; and
WHEREAS, the Taxing Authority desires to collect and sue
for the taxes claimed and the Bank desires not to be delinquent
in the payment of share taxes pending the outcome of this
litigation;
NOW, THEREFORE, KNOW ALL MEN BY THESE PRESENTS:
That the Bank and the Taxing Authority each acting herein
by and through their designated representatives, do hereby
covenant and agree as follows:
1. The sums listed on Exhibit "A ", attached hereto and
incorporated herein for all purposes, are the total amounts of
1981 Personal Property Taxes assessed and levied by the Taxing
Authority with respect to the Bank's personal property which
may reflect shares outstanding as of January 1, 1981, as
reflected on Exhibit "A ".
2. Thomas H. Law, Escrow Agent, is hereby designated as
Escrow Agent to receive the sums equal to the respective tax
funds listed on Exhibit "A ". Upon execution of this Agreement
by the Taxing Authority and delivery to the Escrow Agent of a
resolution by the Taxing Authority, authorizing or ratifying
the execution of this Agreement, Escrow Agent shall forthwith
deliver the sum listed in Exhibit "A" to the HURST- EULESS-
BEDFORD INDENPENDENT SCHOOL DISTRICT as the collecting agent
which shall in turn disburse same to the Taxing Authority.
3. If it shall be determined or declared by final judgment
in subsequent litigation between the parties hereto that the
taxes assessed and levied, as detailed on Exhibit "A" and paid
under Paragraph 2, were not owed or not lawful, either in whole
or in part, the Taxing Authority covenants and agrees to refund
to the Bank an amount of money equal to that portion of any 1981
share taxes paid by the Bank pursuant to Paragraph 2, but not
lawfully owed.
4. Any refund provided for in Paragraph 3 shall be made
after application under Tex. Rev. Civ. Stat., Art. 7261.1. The
Bank shall make the application for refund within three (3)
years of the payment. Any refund under this Agreement shall
then be mandatory when and if the conditions,of Paragraphs 3 and
5 are fully met.
5. Any refund Which might be due under this Agreement
shall be made not later than the first anniversary date of the
entry of final judgment in a suit between the parties that the
taxes assessed and levied were not owed or not lawful, either
in whole or in part. For purposes hereof, "final judgment"
shall mean the judgment of the trial court if no appellate
review should be sought by any party to the suit, "final
judgment" shall mean the judgment of the highest court of Texas
or of the United States in which review shall have been sought
by any party to the suit and either (1) no further appellate
review can be sought or (2) time for further appellate review
shall have expired without further appellate review having been
sought.
6. Any amounts refunded pursuant to this Agreement shall
be for the amount of taxes only and shall not include any
accrued interest upon said taxes; provided, however, that in
the event the Taxing Authority fails to refund the amount by the
first anniversary date of the final judgment, interest shall
accrue on the entire amount from the date of final judgment.
7. In the event the suit contemplated herein is not
brought by the Bank prior to February 2, 1982, then the Bank
shall relinquish all rights to the refund referred to herein,
and the Taxing Authority shall not be required to repay them.
8. Taxing Authority shall make adequate provisions for
any repayment which may be due under this Agreement.
9. It is expressly understood by the parties hereto that
this Agreement is entered into freely, openly and voluntarily,
and not under duress; however, Taxing Authority acknowledges
that the tax payments made hereunder are made under duress.
10. In further consideration of the Taxing Authority's
agreeing to the terms and provisions herein, the Bank hereby
expressly waives and relinquishes any and all rights it may have
or might have to contest the Taxing Authority assessment and
levying of all or any part of the 1981 ad valorem taxes on the
Bank's real and personal property.
EXECUTED this the cday of 1982.
ATTEST-:
By
0
TAXING AUTHO TY
CITY OF EULESS, TEXAS:
By: 7/1"64e
Kay ,{iney, Citfyj Secretary Harold H. Samuels, Mayor
V BANK
FIRST NATIONAL BANK OF EULESS:
AGREEMENT -Page Two
By:
EXHIBIT "A"
TO AGREEMENT BETWEEN THE CITY OF EULESS, TEXAS,
AND FIRST NATIONAL BANK OF EULESS
1981 Personal Property Taxes
assessed and levied by Taxing
Authority which may include
bank's shares outstanding
EXHIBIT "A"
Page Solo
$7,928.20