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ATTY/AGR/SETTLEMENTS/2025/ECHEMA/SETTLEMENT AGREEMENT & MUTUAL RELEASE – ECHEMA REV: 10-10-25 MI Page 2 of 7 to legal counsel for the party designating the materials as confidential or (ii) shall be destroyed, and a written certification of such destruction provided to the opposing party’s legal counsel. 3. Consideration. City shall pay to Plaintiff the total sum of Two Million One Hundred Thousand Dollars ($2,100,000) (the “Settlement Amount”) to be paid as directed below: The Parties agree that the Settlement Amount is not payment for wages. The Settlement Amount shall be payable in two separate payments: The first payment for alleged physical injuries and related emotional distress in the amount of One Million One Hundred Forty-Five Thousand Dollars ($1,145,000) shall be payable to Plaintiff Joseph Echema, via electronic deposit to a bank account designated by Plaintiff. The second payment of attorney’s fees and costs in the amount of Nine Hundred Fifty-Five Thousand Dollars ($955,000) shall be payable to Benjamin Law Group, P.C. Client Trust Account. City will provide a 1099-MISC form for the above-mentioned payment to both Plaintiff and his counsel as required by law. This payment shall be made and delivered to Plaintiff and his counsel within ten (10) business days of the latest of (a) the Effective Date of this Agreement, (b) provision of Plaintiff’s and his counsel’s executed W-9 forms, and (c) provision of the electronic payment instructions to City. 4. No Tax Representations. City has made no representation about and takes no position on the tax consequences of this Agreement to Plaintiff. A dispute regarding the tax status of this Agreement shall not affect the validity of this Agreement. Plaintiff shall be solely responsible for all taxes (federal, state or local) arising out of said payment. Plaintiff expressly agrees that Plaintiff shall indemnify City for any and all tax liability, penalties, or interest which may arise from any amounts received by Plaintiff pursuant to this Agreement. 5. Warrant of No Filed Claims or Liens/Covenant Not to Sue. (a) Plaintiff represents and warrants that, excluding the Action described in this Agreement, the California Department of Fair Employment and Housing (now California Civil Rights Department ) filings preceding the Action, and any claims for workers’ compensation or unemployment insurance benefits, he has not filed any complaint, grievance, claim, or action against the City or any of its current and former City Council members, officers, agents, directors, employees, or representatives with any state, federal, or local agency, board, arbitrator, or court based on any matters arising out of his employment with the City and/or his separation from City employment, and that he will not do so at any time hereafter. Plaintiff further covenants not to sue or file any complaint, grievance, claim or action at any time hereafter based on any matters arising out of or in any way relating to his employment with the City, or separation from City employment, that could have been filed as of the Effective Date of this Agreement. (b) Plaintiff, on behalf of himself and his attorneys, represents and covenants that he is not aware of any liens and/or pending legal claims applicable to the payment specified above. Plaintiff agrees that he will be solely responsible to satisfy any liens or pending legal claims asserted against him or the Releasees (as defined in paragraph 6 below) as against the payment specified above.