_____ From: Ext_mail John Hill To: Nancy Cline Cc: Chris Terry; Mark Acevedo Sent: Fri Oct 16 08:39:08 2009 Subject: RE: Oct 13, 2009 Meeting ***************************************************************************** IMPORTANT/CONFIDENTIAL: This message contains information from the law firm of Cowles & Thompson, P.C. which may be privileged, confidential, and exempt from disclosure under applicable law. If the reader of this message is not the intended recipient or the employee, or agent responsible for delivering the message to the intended recipient, you are hereby notified that any dissemination, distribution, or copying of this communication is strictly prohibited. If you have received this communication in error, please notify us immediately at our telephone number (214) 672-2000 ****************************************************************************** Nancy, the warranty is a limited warranty, and includes of limitations. As I read it, it essentially provides that the concrete mix will achieve its "specified compressive strength" as long as it is applied and used in accordance with the specified procedures. The limited warranty does not apply to the "placing and finishing" of the concrete. The limited warranty is stated in the first paragraph to be fifteen (15) years, which begins on the date "concrete placement at the original delivery location"; however, the first paragraph under "LMC's Performance" reflects that the warranty period is only for one (1) year. A copy of the warranty is attached, which includes some notes and comments shown by red-lining. Some additional notes: 1. Note that the warranty is "limited to the remedy, repair, or replacement" of "non-conforming concrete" with LMC's liability limited to the costs to remedy, repair, replace the concrete. (first paragraph) 2. The second paragraph provides that LMC doesn't know where the concrete mixture is being placed, so it's the responsibility of the "Purchaser, the project architected or engineer, and or contractor" to insure that the "mixture parameters", etc. are "appropriate for the anticipated…conditions…" 3. If the concrete mixture is used in accordance with the "procedures for placement and curing of the in-place concrete" recommended or as otherwise set forth in the warranty, then LMC guarantees that the concrete mixture will "achieve the specified compressive strength" or "other performance properties of the concrete." (first paragraph under "Warranty") 4. The limited warranty applies only to the "original Purchaser" of the concrete. Is that the Town? This is important, because the limited warranty is given only to the original purchaser and is not transferable or assignable. 5. There are a number of limitations on the limited warranty under the "Limitations" section, one of which (in the first paragraph in that section) which states that there is a "guarantee" that "concrete will crack." In connection with the project, was a maintenance bond provided? What about a warranty for the contractor's work? Please let me know if you would like to discuss. John _____ From: Nancy Cline [mailto:ncline@addisontx.gov] Sent: Wednesday, October 14, 2009 6:19 PM To: Hill, John Cc: Chris Terry; Mark Acevedo Subject: FW: Oct 13, 2009 Meeting John, Would you please review the attached warranty? It does not hold any value in my view what with all of the exclusions. Nancy -----Original Message----- From: Richard French [mailto:rfrench@msfpartners.com] Sent: Wednesday, October 14, 2009 8:23 AM To: Chris Terry; Mark Acevedo; Nancy Cline Cc: Ron Whitehead; O.R. (Butch) Smith Subject: Oct 13, 2009 Meeting Dear Chris, Mark and Nancy, It was a pleasure meeting you, Chris, and visiting again with you, Mark and Nancy. Butch and I thank you for meeting with us this morning. Our time together was very productive and helped clear the air while bringing resolution to the outstanding issues. As promised in our meeting, our supplier for the concrete used on Taxiway Romeo, Lattimore Materials, has extended their warranty to 15 years on the concrete that did not meet the 3% air specification (see attached). We have millions of dollars invested in hangars located along Taxiway Romeo so you will appreciate we too have a vested interest in the longevity of the pavement. Hopefully, this eliminates any lingering concerns on your end regarding the durability of the concrete in place on the public portion of the project. To complete the administrative obligations as called for by the Developers Participation Agreement, we have mailed the warranties and lien releases that relate to taxiway Romeo from our General Contractor, Sub-contractors and Materials Suppliers to Nancy’s office. By this email we request the “Letter of Completion and Acceptance” from the Town of Addison per the agreement, along with the remaining funds due us. Thank you again for a cordial and very productive meeting. We look forward to working with the three of you and the rest of the good folks at Addison Airport in the years ahead. Best regards, Richard Richard French | EEHOA, Inc. | President | Two Legacy Town Center | 6900 N. Dallas Parkway, Suite 770| Plano, TX 75024 | rfrench@msfpartners.com | O 972.403.0909 | F 972-403.9292 This message, including any attachments, is confidential and/or proprietary to MSF Partners® Inc. and its affiliated companies and should be read or retained only by the intended recipient. 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