1 I - - JRT OF DOUGLAS COUNTY, NEBRASKA CASENO. PAPIO--MISSOURI RIVER NATURAL RESOURCES DISTRICT, Plaintiff 3 ASSIGNED TO 3 vs. COMPLAINT FOR INJUNCTIONS 3 -. RICHARD JAPP a/k/a #1 2 JAPP, 3 ooucms comm' NEBRASKA 3 ms 25 2014 Defendant. JOHN M. FRIEND Comes now Plaintiff Papio--Missouri River Natural Resources District (sometimes referred to herein as "the District") and, for its complaint for injunctions against Defendant Richard Scott app, alleges and states as follows: 1. Plaintiff is a Natural Resources District organized under and by virtue of Chapter 2, Article 32, Neb. Rev. Stat., and is a political subdivision of the State of Nebraska with boundaries encompassing Douglas, Sarpy and Washington Counties and portions of Burt, Dakota, and Thurston Counties, all in Nebraska. 2. Plaintiff is governed by an 11--member Board of Directors ("the NRD Board"), each member being elected by election sub--district, and Plaintiffs activities are supervised by an appointed General Manager. 3. Defendant is a resident of Washington County, Nebraska, residing in or near the City of Arlington, Nebraska. 4. In 2008, Defendant was elected as a member of the NRD Board, from an election sub--district comprised of Washington County and portions of Burt, Dakota, Douglas and Thurston Counties. In 2012, Defendant was re--elected as a member of the 140226comp1aintJAPP I CLERK COURT ILRD Board from such election sub-district, and at all times material hereto Defendant was, and still is, an elected member of the NRD Board. 5. One of the Plaintiffs principal undertakings is to improve flood control for the Omaha metropolitan area. On about August 25, 2009, the members of the NRD Board, including Defendant, held a duly called public meeting at which the NRD Board selected engineers to develop plans for construction of Dam Site 15A a flood control reservoir and public recreation project to be constructed on an assembly of real estate parcels" in Sections 20-16-11, 28-16-11, 29-16-11, and 33-16-11 in Douglas County, Nebraska, at the location(s) shown in the diagrams attached hereto as Exhibits and and incorporated herein by reference. Subsequently, Plaintiff commissioned such engineers to develop plans for construction of DS15A and to determine and legally- describe the 19 parcels of land that will be necessary for Plaintiffs construction, operation and maintenance of DS15A ("Project Lands"). Plaintiff also commissioned real estate appraisers to determine and prepare reports on the damages that will be sustained by the owners of the Project Lands as a result of the acquisition of Project Lands by Plaintiff for DS15A. The NRD has obtained sufficient engineering and other information about DS15A to commence the acquisition Project Lands. 6. Plaintiffs appraisals of the damages from Plaintiffs acquisition of Project Lands were completed in mid--June, 2013. In early November, 2013, Plaintiff began transmitting to owners of Project Lands written offers for the purchase of Project Lands, in the course of which Plaintiff delivered to all but one of such owners the reports of the Plaintiffs appraisals of the damages resulting from the Plaintiffs acquisition of such Project Lands, along with written offers from Plaintiff providing for the purchase of 14o226comp1aintJ app 2 their respective Project Lands in return for Plaintiffs payments to such landowners of the respective amounts of damages reported in such appraisals. 7. On or about November 25, 2013, and prior to the acceptance of any of Plaintiff' offers by any of the owners of Project Lands, Defendant transmitted to several such landowners a solicitation letter, dated November 25, 2013, a true and correct copy of the form of such solicitation letter being attached hereto as Exhibit and incorporated herein by reference, such letter being transmitted to such owners by Defendant ostensibly on behalf of an entity referred to therein as "Canudigit, 8. Attached to such solicitation letter and delivered to landowners therewith was a document entitled "Quarry Lease Agreement", a true and correct copy of the form of which is attached hereto as Exhibit and incorporated herein by reference. 9. In his attempts to obtain landowner ratification and execution of Exhibit Defendant represented in the solicitation letter (Exhibit sent to at least one owner of Project Lands to whom Defendant submitted Exhibits and that a limited liability company named "Canudigit, existed and that Defendant had an affiliation or connection therewith; however, as of November 25, 2013, there was no limited liability company with the name "Canudigit, registered with the Nebraska Secretary of State, and no such registration has been made to-date. First Cause of Action Violation of Fiduciary Responsibility 10. As provided by 2-3213, Neb. Rev. Stat. the elected directors of a Natural Resources District, including Defendant, are responsible for governance of the District and as provided by 2-3224, Neb. Rev. Stat., the elected directors of a Natural Resources District, including Defendant, are responsible for disbursement of the funds 14o226comp1aintJ app 3 of the District. Accordingly, as an elected director of the District, Defendant owes a fiduciary duty to the District. 11. Natural resource district directors are prohibited by 2-3218, Neb. Rev. Stat. from receiving compensation in excess of the statutory per diem provided by 2- 3218, Neb. Rev. Stat. 12. Plaintiff alleges on information and belief that, by proposing Exhibits and to owners of Project Lands, Defendant sought to enlist owners of Project Lands in a conspiracy with Defendant to hinder or prevent Plaintiff from obtaining Project Lands, and to obtain unjust enrichment for such lands. 13. Plaintiff alleges on information and belief, that ratification by the owners of Project Lands of the claims made by Defendant in Exhibit and such landowners' executions of Exhibit were designed by Defendant to result in significant new encumbrances on Project Lands, and result in a corresponding and significant increase in the effort and expense needed by Plaintiff to clear those encumbrances, obtain clear title to such land, and construct DS15A. 14. Claims of parties asserting easement and lease rights contrived under Exhibits and would be expected to increase the costs of acquiring Project Lands for the DS 15A Project and cause serious delays in completing the acquisitions of Project Lands. 15. The above--described actions by Defendant constituted violations of Defendant's fiduciary responsibility to Plaintiff and ought to be enjoined. Second Cause of Action Violation of Oath of Office 14o226comp1aintJapp 4 16. The allegations of Plaintiffs First Cause of Action are incorporated herein by reference as though set out in full in this Cause of Action. 17. In connection with his election to public office as a member of the NRD Board, most recently on January 10, 2013, Defendant took the oath of office prescribed by 11-101.01 Neb. Rev. Stat., in which he swore under oath to ''faithfully and impartially perform the duties of the office of natural resources district director according to law and to the best of his ability." 18. Defendant's efforts to enlist landowners in a conspiracy to increase Plaintiff' costs for the acquisition of Project Lands was an attempt to harm the Plaintiff by harming its DS15A Project, and constituted a violation of Plaintiffs sworn duty to faithfully and impartially perform the duties of the office of natural resources district director according to law and to the best of his ability. Such conduct should be enjoined. Third Cause of Action Deceptive Trade Practices Act violations 19. The allegations of Plaintiffs First and Second Causes of Action are incorporated herein by reference as though set out in full in this Cause of Action. 20. That the Deceptive Trade Practices Act, 87-302(5) Neb. Rev. Stat., provides in part as follows: "87-302. Deceptive trade practices; enumerated. A person engages in a deceptive trade practice when, in the course of his or her business, vocation, or occupation, he or she: (5) Represents that goods or services have sponsorship, approval, characteristics, ingredients, uses, benefits, or quantities that they do not have or that a person has a sponsorship. approval. status. affiliation or connection that he or she does not have; 14o226comp1aintJapp 5 (8) Disparages the goods, services or business of another by false or misleading representations of fact. 21. Plaintiff alleges, on information and belief, that the representation or inference in Defendant's November 25, 2013 letter (Exhibit that there was a "firm" named "Canudigit, was false; and that, in fact, no limited liability company with the name of "Canudigit, was registered with the Nebraska Secretary of State. 22. Plaintiff alleges, on information and belief, that Defendant disparaged Plaintiffs business by false and misleading representations of fact, made by Defendants to owners of Project Lands, that feasibly-marketable deposits of minerals existed on the Project Lands and that, by conspiring with "Canudigit, in the manner set out in Exhibit payments could be exacted from Plaintiff in addition to the actual lawful damages from the acquisition of Project Lands. Plaintiff alleges, on information and belief, that any such representation was false and a contrivance in that no such feasibly- marketable deposits existed on the Project Lands. 23. Plaintiff alleges, on information and belief, that such contrivances and false representations by Defendant constituted violations of the aforesaid provisions of the Deceptive Trade Practices Act and should be enjoined. Fourth Cause of Action Misuse of official information 24. The allegations of Plaintiffs First, Second and Third Causes of Action are incorporated herein by reference as though set out in full in this Cause of Action. 25. Prior to November 25, 2013, Defendant had demanded of Plaintiffs General Manager, and had been given, copies of portions of Plaintiffs documentation 14o226complaintJ app 6 pertaining to DS15A and had demanded of Plaintiffs General Manager, and had been given, access to other documentation from Plaintiffs files containing information about DS15A that had not been disclosed to the general public. 26. As of November 25, 2013, Defendant had either obtained copies of or access to enough of Plaintiff's documentation pertaining to DS15A to discern the names of DS15A landowners, the locations of such 1andowner's properties, the identification of Project Lands and the quantities, locations and other characteristics of the portions of such properties needed for DS15A, the appraised values thereof, the damages offered or to be offered, and other information that had not been disclosed to the general public. 27. 28-925, Neb. Rev. Stat. provides as follows: 28-925. Misuse of official information; penalty. (1) Any public servant, in contemplation of official action by himself or by a governmental unit with which he is associated, or in reliance on information to which he has access in his official capacity and which has not been made public, commits misuse of official information if he: Acquires pecuniary interest in any property, transaction, or enterprise which may be affected by such information or official action; or Speculates or wagers on the basis of such information or official action; or Aids, advises, or encourages another to do any of the foregoing with intent to confer on any person a special pecuniary benefit. (2) Misuse of official information is a Class misdemeanor." 28. Plaintiff alleges on information and belief that Defendant, in contemplation of acquisitions of Project Lands by Plaintiff for DS15A, advised and encouraged owners of Project Lands to conspire or join with Defendant ina transaction 140226complaintJapp i . 7 or enterprise designed to inflate the damages that could be claimed by such owners as a result of such acquisitions, contrary to 28-925, Neb.Rev.Stat. 29. Further such misuses of official information by Defendant would be unlawful and should be enjoined. Fifth Cause of Action Misuse of office 30. The allegations of Plaintiffs First, Second, Third and Fourth Causes of Action are incorporated herein by reference as though set out in full in this Cause of Action. 31. Neb. Rev. Stat. provides in relevant part as follows Financial gain; gift of travel or lodging; prohibited acts; violation; penalty; permissible activities and uses. (1) A public official or public employee shall not use or authorize the use of his or her public office or any confidential information received through the holding of a public office to obtain financial gain, other than compensation provided by law, for himself or herself, a member of his or her immediate family, or a business with which the individual is associated. 4+ (7) Except as provided in section 23-3113, any person violating this section shall be guilty of a Class misdemeanor, except that no vote by any member of the Legislature shall subject such member to any criminal sanction under this section." 32. Plaintiff alleges, on information and belief, that Defendant has used his public office, and confidential information received through his holding of such office, in an effort to obtain financial gain, other than compensation provided by law, for himself or his associates, contrary to Neb.Rev.Stat. 14o226complaintJ app 8 33. Unless Defendant is restrained or enjoined, Defendant will continue to solicit owners of Project Lands, continue to violate Defendant's fiduciary responsibilities, continue to violate his oath of office, continue to engage in deceptive trade practices, continue to misuse official information, and continue to misuse his office, all as herein alleged above. 34. Plaintiff does not have an adequate remedy at law. Unless injunctive relief is granted, as hereinafter requested, the damage caused to Plaintiff by Defendant will be irreparable and Plaintiff will be required to file a multiplicity of suits. 35. Filing of this action was authorized by a duly adopted resolution of the NRD Board. WHEREFORE, Plaintiff prays for the issuance of restraining orders and temporary and permanent injunctions, restraining and enjoining Defendant from further solicitation of the owners of Project Lands, further violations of Defendant's fiduciary responsibilities, further violations of Defendant's oath of office, further deceptive trade practices, further misuse of official information, further misuse of his office, and further orders compelling Defendant to pay Plaintiffs costs, and granting such other and further relief as justice and equity may require. Dated this 35 day of 2014. PAPIO-MISSOURI RIVER NATURAL RESOURCES 1 B, 4 8 PAUL F. PETERS, Attorney No. 13288 Papio--Missouri River Natural Resources District 8901 South 154th Street Omaha, NE 68124 Attorney for Plaintiff 14o226complaintJ app 9 (Kati Qmri-m'-u'ciad (Kai ROW. URT mus PAPI - MISSOURI RIVER 0.6159 zu. . . OOQOOM 8.3 R. Scott app 4752 County Road 15 402 639-6653 Arlingog Nebraska 68002 Nov 25, 2013 Bara Hayes As you are aware of the Papio-Missouri Natural Resources District is planning to construct Darn 15A on all or part of the 240 acre near Ida Street. If the has not given you an offer on the land one should be coming foreword shortly. I have been asked to represent Canudigit LLC a firm that wants to acquire a lease agreement for the topsoil and the mineral material aggregates on the section of lands SEC--TWN--RGE 33-16-11 -EX PT FOR BASSINDALE ADD- 1/2 NE LANDS SEC--TWN--RGE 33-16-11 1/2 NW and LANDS SEC-TWN-RGB 33-16-11 1/2 NE 1/4 that would be acquired fi'om a governmental agency. I have been asked to offer a royalty for the aggregates and topsoil. This royalty would be addition revenue to the price you would receive from the sale of the land to the I would like to meet with you and/or your attorney regarding this opportunity at your convenience. I can best be contacted at 402.639.6653. Thank you, Scott app ucll Quany Lease Agreement This Quarry Lease Agreement (hereinafter made; entered and effective as of A - . 2013 by and between - [hereinafter whose address for all purposes including notices issued pursuant hereto, is - . and Canudigit L.L.C., [hereinafter whose address for all purposes including notices issued pursuant hereto is 236 Shorewood, Waterloo, Nebraska. 68069. - RECITALS Lessors own fee simple title to surface and mineral estates to (hereinafter "Leased Land?) Lessors also own fee simple title to land between the Leased Land and public roads in the vicinity over which they can grant Lessee easements for access to the Leased Land from such roads. . 5 Lessee wishes to lease the Leased Land so that it an quan-_y topsoil and fill dirt thereupon and to obtain all necessary easements and fights of way for roads to access and work upon the Leased Land and operate a quarry for the production-thereof. Lessors wish to lease the Leased Land to Lessee so that it can quarry topsoil and fill dirt located thereupon and grant necessary easements and rights of way to Lessee so that it can operate a quarry. Lessee has paid or provided Lessor with good, valuable and adequate consideration, and promises additional production payments pursuant to the terms hereof, acknowledged as sufficient to support Lessors execution hereof and the parties mutual performance hereunder. . THEREFORE. in exchange for their mutual promises and considerations _ldentified and set forth herein, subject to terms. conditions. warranties. representations and covenants expressly set forth in this Lease, Lessors and Lessee agree and contract as follows: a 1. Grant gf Legse. Lessors hereby convey all interests in Leased Land and all interest therein whether now owned or hereafter acquired to Lessee. absolutely and exclusively, for exploring for, developing. quarrying, processing. removal, stockpiling and selling mineral materials including specifically top soil(s) and fill dirtlmaterial which may be used or useful as aggregate for agricultural, real estate development other purposes consistent therewith and lb) uses and activities determined by Lessee as necessary or convenient in connection the specified purposes above set forth including without limitation. constructing,' installing, using and removing equipment (drills, compressors. generators, screens, cmshers, conveyors, scales, loaders. water trucks, haulage trucks and other mobile support equipment), buildings. portable toilets, pits. excavations, settling basins. utilities, fuel storage and dispensation, pipelines and all associated facilities and improvements necessary or incidental in any way thereto. Lessee shall have no right to mine or remove base or precious metals, or'! or gas from the Leased Land. Lessor shall not conduct or pemiit others to conduct any activity on the Leased Land that would materially interfere with Lessee's exclusive right to conduct activities authorized by this agreement . Rights of Way and Easements. Lessors grant unto Lessees easements and rights of way across other lands owned by them to allow efficient access to and from the Leased Land. Such grant includes, without limitation, construction, use, maintenance and removal of roads. Initial easements shall be placed as and where indicated on Attachment which is herein incorporated by this reference. Other and further easements necessary to-exercise-rights and payment obligations for Leased Land shall be established by agreement of the parties. Lessee shall be solely responsible for construction and maintenance of roads installed or constructed on Leased Land or easements and _right ofway hereby granted. All access points to Leased Land shall be secured by locking gates. which Lessee will remain locked except when roads are being used by Lessee or its employeesldesignees. Except in the event of an emergency, neither Lessee nor any of its employeesldesignees shall go upon or enter any land owned by Lessor other than Leased Land or of way herein authorized . Ownership. Execution of this agreement shall create andvest in. Lessee present ownership of any and all top soil(s) and fill material(s) which are subject to quarrying and removal from the Leased Land by operation of this agreement. Such ownership shall revert to Lessors if this lease is cancelled or if Lessee shall be in breech hereof by reason of failure to provide contracted payments. Ownership by Lessee. of material to be quarried shall be absolute and shall be deemed to include all right, title and interest to the materials as well as any claims, causes-of action or rights associated with ownership of the materials whether they are undisturbed and in place upon the Leased Land or have been separated, severed andlor removed therefrom. In the event of any govemmental . Water. Lessee may, taking of the land Leased Land or any portion or part thereof, Lessee shall be entitled to full compensation for any loss, forfeiture or prohibitionllimitation of activities authorized hereunder but rendered impossible of performance because of such taking. Lessee's exclusive remedy for such loss shall be compensation paid or to be paid by a taking or condemning entity or govemmental subdivision. Such payment to Lessee shall be treated as the equivalent of removal and sale of mineral materials. as authorized hereby, thus giving rise to a right to full royalty participation therein on the part of Lessor. Should Lessees ownership of in place materials be determined insufficient to support claims for compensation of loss. Lessee shall grant and convey to Lessor its right, title and interest in and to the materials and Lessors agrees that that they will pursue all claims for financial compensation occurring as a result of inability to remove mineral materials from Leased Land. Lessor shall be firs_t paid any royalty due or accruing as result of such payment with the balance of funds to be paid to Lessee as a matter of contract right arising hereunder. it is equally and expressly mutually agreed that the mineral materials subject to quarry and removal by operation of this agreement have a direct and present monetary value which is subject to determination with requisite certainty. subject to the conditions set forth in Section 2 hereof, construct a pipeline(s) to transport water from a location or locations specified by Lessors. Lessee may, at its own cost and expense. in the name of Lessors make application to any govemmental authorities charged with oversight of such activities to drill a well(s) upon Leased Land and withdraw water therefrom for dust suppression, reclamation. and production operations upon the Leased Land as well as employee hygiene. At the end of this lease, Lessee shall transfer and deliver to Lessor all right, title to and interest in and _to permits associated with such well and the physical improvements and equipment associated therewith. . Term. This Lease shall remain in effect for the primary lease tenn ending continuing thereafter for a into term unless terminated at least 6 months in advance of the end of Lease Term by notice thereof. provided by one party to the other. The Lease shall be automatically extended for a period dee ed by Lessee to be necessary to allow 'itto remove, from Leased Land, all of its stockpiled mineral material and portable equipment not otherwise assignable deliverable to Lessors pursuant to this agreement. For purposes of this Lease a "Lease Term' shall commence on the date of execution of this Lease by essors be terminable on the fifth yearly anniversary date corresponding to date of such execution; the Lease Anniversary Date. 6. Payments. I addition to other considerations as above specified, including but not limited to assurance of payment of all sums justly due Lessors in the event of a taking or condemnation of Leased Land. and insofar as possible, recovering the full value of mineral materials located thereupon which would be otherwise lost as a result of such taking or condemnation, Lessee shall pay to Lessors: a. Production Ro alties' Mineral Material A re ate. For the initial Lease' Term. Lessee shall pay.to Lessors a minimum production royalty of for each ton of mineral material aggregate actually removed from Lease Land and sold by Lessee. To calculate production royalties due. Lessee shall determine tonnages by using certified truck scales or another accurate method as may be mutually agreed. Lessee shall pay any royalty that is due with respect to removal and sale of mineral material aggregate in any calendar month by the end of the following calendar month. Payment shall be made to Lessors at the address set forth above or such other location as Lessor may designate by notice provided to Lessee. Any payment issued shall include a written statement disclosing the manner by which royalty then due has been calculated. b. Production Royalties; Togoil. Production Royalty for topsoil shall be paid at a rate of for each ton of such material actually removed from Lease Land and sold by Lessee. All other terms of the preceding' paragraph shall apply to such material. Lessee presently intends to conduct a soil assessment and study conceming Lease Land in order to deteirmine the extent of removable mineral materials. Such study shall be provided to Lessors upon completion and shall be deemed as sufficient for purposes of passing and securing title to such mineral materials to Lessee. A - Royalty payments provided pursuant hereto shall be, in total, an amount at least equal to royalty determined as aocruable based upon the above referenced soil assessment and study. Any shortfall in royalty payments shall be paid in full upon termination of this Lease. . No minimum production of materials on an annual basis or otherwise shall be applied or operative- Absent production. royalty, minimal or otherwise, shall-not accrue or be due. Provisions ofthis lease conceming payments in the event of govemmental taking or condemnation shall govem in lieu of these royalty provisions should such proceedings be initiated. 7. . Lessees Additional Obligations. In addition to the foregoing obligations of payment and performance Lessee shall: i a. Stake the four corners of the Leaded Land and prepare a plat thereof which shall be attached to this Lease Agreement as "Attachment b. Pay any additional tax or taxes accruing or arising as a result of Lessees operation upon Leased Land or placement of valuable assets thereupon. Lessee shall be authorized to protest or contest any and all such tax obligations, seeking reduction, adjustment or cancellation thereof. Such contest shall be at Lessees cost and expense. c. Provide all necessary insurance required by law or sound business practices in the quarry industry. Proof of such insurance shall be provided to Lessee if requested by notice. d. Hold the Lessors harmless and indemnify against any loss or liability accruing or arising out of Lessee operations upon Leased Land e. Comply with all Federal, State and local laws. ordinances or regulations goveming quarry operations. Lessee shall obtain, at its expense. any and all permits required as a condition to operation of a quany. Should it be necessary or advisable in order to secure maximum benefits of this Lease Agreement for Lessor. applications for necessary permits and permissions may be made in the name of Lessors as owners, subject to assignment to or for the benefit of Lessee as a matter of right in order to facilitate quarry operations. f. Reclaim and restore lease land in compliance with statutes, ordinances, rules and regulations now or hereafter in effect. 8. Representations and Warranties. Lessee represents and warrants to Lessee that this Lease Agreement is a valid, legal and binding obligation. fully-enforceable according to its terms, that it has full authority to enter this Lease Agreement and that execution hereof does not violate or conflict with any known law. rule regulation or goveming authority. Lessor makes and provides identical representations and warranties to Lessee. In addition. Lessors warrant that they own the Lease "Land and are entitled to enter a valid and binding lease therefor. 9. Recording. Lessee may. at its option cause a copy of this Lease Agreement to be filed for record with the office of the Register of Deeds in the County or counties where all or some portion of the Leased Land is located. 10. Release. Lessee may. at its option, deliver to Lessors or file for record in the 11. applicable office of the Register of Deeds where such Lease Agreement is filed, a release of this Lease Agreement which shall release Lessor from all obligations hereunder except payment of royalty sums then due by reason of removal of aggregate mineral materials and the duty to reclaim and restore such property in accord with governing authority as may be then applicable. Breach or Default. Neither party shall_ file an action for-damages or other relief on account of any alleged breach or default under this Lease Agreement until 90 days after the party claiming breach has delivered to the other party by a written notice describing such alleged lease or default and then only if the party receiving notice has failed to remedy, address or contest such alleged breach within 90 days after actual receipt of such notice. Should legal proceedings be taken, this lease shall not be forfeit and shall remain in full force and effect unless the party which committed a judicially determined breach fails to address and remedy such breach within a reasonable time after final judicial determination of the matter. This Lease Agreement shall be assignable and lransferrable by Lessee, shall inure to the benefit of both parties and be bindin upon their respective heirs. successors and assigns. 13. Lessors shall be responsible for payment of all tax accruing as a result of payment of royalties hereunder. Any State tax attributable to severance of minerals from the Lease Land shall be paid by Lessors. 14. Miscellaneous. This Lease Agreement represents the entire agreement of the parties. No purported change hereto shall be effective as a Lease Agreement modification absent mutual agreement by both parties evidenced by written memorialization of such amendment signed by both parties. Each party agrees to execute and deliver to the other such other and further documents or agreements as may be needed to fulfill the terms hereof and secure for each and all of them its full benefits. No joint venture, partnership or other shared interest agreement or relationship is or shall be deemed to arise or be operative as a result of the execution hereof. Notices shall be in writing mailed to above stated addresses or such other address as may be specified by the party entitled to notice. DOCUMENT CONTINUES FOR SIGNATURE PAGE NOTARY WITNESS In witness whereof. the parties have each executed and delivered this Lease Agreement as of the date corresponding to their names hereinafter aflixed. . .'Lessors Date Signature . . Lessee Date Canudigit LLC On this day of 20 appeared before me and signed or acknowledged the signature affixed hereupon to be his, her. their actual signature evidencing the free and voluntary act of entering into the Lease Agreement to which this acknowledgment is appended. Notary Public Seal On this day of . 20 . K.C. Engdahl appeared before me and signed or acknowledged his signature affixed heneupon on behalf of Canudigit LLC to be the free, voluntary and authorized act for and on behalf of Canudigit LLC evidencing the authority to enter into the Lease Agreement to which this acknowledgment is appended with corresponding consent and authority to fully bind Canudigit LLC to the tenns, obligations and warranties thereof. I Notary Public Seal