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HomeMy WebLinkAbout89-0323 Elgin Area Historical Society �• S9-03a3 Elf AYE ESCROW AGREEMENT THIS AGREEMENT dated this day of March, 1989, by and between the CITY OF ELGIN, a Municipal corporation, hereinafter referred to as the "City" , and ELGIN AREA HISTORICAL SOCIETY, hereinafter referred to as the "Society" , and FIRST NATIONAL BANK OF ELGIN, hereinafter referred to as the "Escrow" , WITNESSET H: WHEREAS, the City is the owner and lessor of a certain building known as "Old Main" located in the City of Elgin, State of Illinois ; and WHEREAS , the Society is the lessee of said building, and is causing said property to be renovated for use as a museum; and WHEREAS , the City and the Society will hereafter approve certain construction contracts with respect thereto, and are desirous of establishing a construction escrow account with the Escrow to assure and facilitate the payment of monies on account of said construction contracts ; and WHEREAS , the Escrow has agreed to act as a depositary for the funds necessary to pay said construction contracts , and has further agreed to facilitate payment of funds therefrom with respect to said contracts . NOW, THEREFORE, in consideration of the foregoing recitals and the covenants herein contained , it is hereby agreed between the parties, as follows : 1 . The Society hereby delivers to the Escrow a check in the • amount of $ 50 , 000 . 00 to be deposited in an account known as the "Old Main Restoration Account" , said account to be utilized for the purpose of payment to contractors , as hereinafter provided. 2 . The Escrow is hereby authorized , and shall cause said funds to be paid from said account for the purpose of paying said contractors upon receipt of written direction from the City and the Society setting forth to whom said funds are to be paid, and the amounts thereof. 3 . The Society may, from time to time, deposit additional funds in to the escrow account as required for the purpose of providing for payment to contractors , and the Escrow is authorized to distribute said additional funds pursuant to the terms and conditions herein contained . This escrow shall continue until terminated in writing by the City and Society. 4. As an additional consideration, and as an inducement to the Escrow to so act, it is understood that in the event of any disagreement between the parties to this escrow resulting in adverse claims and demands being made by the parties or any of them in connection with any money, documents or property involved herein or affected thereby, the FIRST NATIONAL BANK OF ELGIN, Escrow Holder hereunder, shall be entitled, at its option, to refuse to comply with the demands of the parties hereto, or any of them, as long as said disagreement shall continue, and in so refusing said Escrow Holder may make no delivery or other disposition of any money, documents or property involved in or affected by this escrow, and in so doing the Escrow Holder shall not be or become liable to any of the parties to this escrow for Page 2 its failure or refusal to comply with the conflicting or adverse demands of the parties , or any of them, and further , the Escrow Holder shall be entitled to refrain and refuse to so act until : (a) The rights of the parties have been adjudicated in a court having jurisdiction of the parties and the monies , documents and property involved in or affected by this escrow, and/or (b) Until the parties hereto have reached an agreement resolving their differences , and shall have notified the Escrow Holder in writing of their agreement . IN WITNESS WHEREOF the parties hereto have set their hands and seals the day and year first above written. CITY OF ELGIN A Municipal Corporation By E GIN AREA HISTORICAL SOCIETY 0/ By /,�,/ .Q - /4 I t.,s/Pr ident FIRST NATIONAL BANK OF ELGIN As Escrow By� SENIOR VICE PRESIDENT & TRUST. OFFICER Page 3