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CONFIDENTIAL

Oct. 25, 2001

Real Property
Restitution
Habitability

Confidential

Settlement –  $2,000,000

Court

Napa Superior


Attorneys

Plaintiff

Nikolai Tehin

Ronit Rubinoff

Richard A. Marcantonio
(Public Advocates)

Reilly Atkinson


Defendant

Mark R. Mittelman

John Van De Poel Jr.

Malcolm Mackenzie III

John J. Fritsch
(Office of the Santa Rosa City Attorney)


Facts

The plaintiffs, the V.R. Tenants Association and 250 individuals, were low-income tenants who
lived in six residential apartment complexes. Each complex was owned and managed by the
defendants in the city of Napa. The plaintiffs alleged that their apartments and the common
areas contained dangerous and substandard living conditions and that the building inspectors
from the city of Napa had cited the defendants for multiple violations of building and housing
codes for over a decade. In 1997, the city of Napa instituted a comprehensive inspection of one
of the apartment complexes in which the Building, Housing, Fire and Police Departments
participated. The inspections allegedly resulted in hundreds of code violations and required two
years of repair work to abate the conditions. city inspections of the other properties continued
through the year 2000, allegedly resulting in additional code violations and abatement orders.

Settlement Discussions

After a three-day mediation in February 2001 before Judge Coleman Fannin of JAMS in San Francisco, the case settled for $2,000,000. In addition to the habitability case, the mediation addressed and resolved complex coverage issues, arising from the numerous property insurers who provided coverage to the six properties and defendants.

Other Information

The plaintiffs filed the complaint on Oct


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