SETTLEMENT AGREEMENT 


THIS SETTLEMENT AGREEMENT ("Settlement Agreement") is entered into 

and made effective as of the 25th day of May 2012 ("Effective Date"), by and between 

FEDERAL DEPOSIT INSURANCE CORPORATION, as Receiver for INDYMAC 

BANK, F.S.B. ("FDIC-R") and ROBERT DEMBROWSKI dba LAKEVIEW 

APPRAISALS ("DEMBROWSKI"). The FDIC-R and DEMBROWSKI may hereinafter 

be referred to individually as a "Party" or collectively as the "Parties". 

1. RECITALS 

1.1 On or about July 6, 2011, the FDIC-R filed a lawsuit entitled FEDERAL 

DEPOSIT INSURANCE CORPORATION AS RECEIVER FOR IND.YMAC BANK, 

F.S.B. v. JENNIFER ESCOBEDO, et. al., in the United States District Court for the 

Central District ofCalifornia Case No. 2:11-cv-05625-DSF-JCG (hereinafter "Action"). 

The FDIC-R sought damages from DEMBROWSKI arising out of a mortgage loan 

purchased by IndyMac Bank, F.S.B. ("IndyMac") that had been issued to Jianhuang 

Wang ("Loan"). The Complaint included claims for breach of contract and negligent 

misrepresentation. In his answer, DEMBROWSKI denied he was liable to the FDIC-R 

for damages. 

1.2 The Parties desire and have agreed to settle all claims between the FDIC-R 

and DEMBROWSKI relating the Loan. By entering into this Settlement Agreement, the 

parties are not admitting the allegations as set forth in the Complaint. 

2. AGREEMENT 

NOW, THEREFORE, in consideration ofthe mutual covenants and promises set 

forth herein, and for other good and valuable consideration, the receipt and sufficiency of 

which are hereby acknowledged by the Parties, the Parties, intending to be legally bound, 

agree as follows: 

2.1 Recitals. The Recitals set forth above are incorporated into the body of 

this Settlement Agreement as though fully set forth herein. 

2.2 Payment to tbe FDIC. Payment of Seventy-Two Thousand Five 

Hundred Dollars and no/cents ($72,500.00) (the "Settlement Payment") shall be paid on 

behalf ofDEMBROWSKI to the FDIC-R no later than twenty-one (21) days after this 

Agreement is fully executed by all parties. The Settlement Payment shall be made 

payable to the Mortgage Recovery Law Group Client Trust Account DEMBROWSKI 

shall deliver the payment to the FDIC-R c/o Helen Gaeta, Mortgage Recovery Law 

Group, LLP, 700 North Grand Avenue, Glendale, California 91203. 

2.3 In the event DEMBROWSKI defaults by failing to make a timely payment 

to the FDIC-R as set forth in paragraph 2.2 above ("Settlement Payment Due Date"), the 

FDIC-R, in its sole discretion, shall have the right to enforce this Agreement pursuant to, 

among other provisions of law, California Code ofCivil Procedure §664.6. 

SETILEMENT AGREEMENT Page 1 of6 
Any extension of time for delivery ofthe Settlement Payment shall no prejudice 

the FDIC-R's right to take other action or seek any relief during or after such period of 

extension, including the right to bring an action to enforce the Settlement Agreement, or 

declare the Settlement Agreement null and void. 

2.4 Upon receipt of a copy ofthis Agreement which has been signed by 

defendant, the Parties shall execute a Stipulation for Dismissal with the Court Retaining 

Jurisdiction to enforce the terms ofthe Settlement in the form of Exhibit "A" hereto and 

which Plaintiff shall file with the United States· District Court for the Central District of 

California together with a proposed Order in the form ofExhibit "B" hereto. 

2.5 Each Party agrees that Section 664.6 of the Code of Civil Procedure ofthe 

State of California shall apply to this Settlement Agreement and requests that the court 

retainjurisdiction over the Parties to enforce this Settlement. 

2.6 The Parties shall bear their own costs and attorneys' fees incurred in the 

Action. 

3. RELEASE 

3.1 Known and Unknown Claims. The FDIC-R and DEMBROWSKI 

acknowledge and agree that the release they give to each other upon executing this 

Settlement Agreement applies to all claims for injuries, damages, or losses of any type or 

nature (whether those injuries, damages, or losses are known or unknown, foreseen or 

unforeseen, patent or latent) arising from or in conjunction with or related to the facts and 

circumstances giving rise to the Action. 

3.2 The Parties hereby expressly waive application of California Civil Code 

§1542 as it relates to the Action. The Parties certify that they have read and understood 

the following provisions of California Civil Code §1542 which states in pertinent part as 

follows: 

A general release does not extend to claims which the creditor 

does not know or suspect to exist in his or her favor at the 

time of executing the release, which ifknown by him or her 

must have materially affected his or her settlement with the 

debtor. 

3.3 The Parties understand and acknowledge that the significance and 

consequence ofits waiver of California Civil Code §1542 is that even ifeither Party 

should eventually suffer additional damages arising from or in conjunction with the 

Action or any facts or circumstances related to the Action, that Party will not be able to 

make any claim against any other Party for those damages. Furthermore, each Party 

acknowledges that they consciously intend these consequences even as to claims for 

damages that may exist as ofthe date of this release relating to the Action, but which that 

Party does not know exists, and which, if known, would materially affect that Party's 

decision to execute this release, regardless ofwhether that Party's lack of knowledge is 

the result of ignorance, oversight, error, negligence, or any other cause. 

SETILEMENT AGREEMENT Page2 of6 
3.4 Except for the rights, duties, and obligations set forth in this Settlement 

Agreement, the Parties each hereby fully, finally, and forever release and discharge the 

other Parties, and any and all ofits respective, employees, brokers, investors, members, 

partners, joint venturers, independent contractors, attorneys, accountants, insurers, agents, 

investors, representatives, officers, directors, and any corporation, partnership or limited 

liability company which was or is at any time the parent or wholly owned subsidiary of 

such entity, and any such corporation's, partnership's or limited liability company's 

officers, directors, employees and/or agents, or any corporation, partnership or limited 

liability company which was or is an affiliate of such entity by virtue of common 

ownership or control, and any such corporation's, partnership's or limited liability 

company's, officers, directors, employees and/or agents of and from any and all actions, 

causes of action, claims, demands, damages, debts, losses, costs, expenses, attorney fees 

or other liabilities ofevery kind and nature whatsoever, whether legal or equitable and 

whether known or unkno'Wll, arising out of, resulting from, or relating to, in any manner, 

to any damages, loss, or liability arising from, in conjunction with, or related to the 

Action or any facts or circumstances related to the Action. 

3.5 Notwithstanding any other provision ofthis Settlement Agreement, the 

FDIC-R does not release, and expressly preserves fully and to the same extent as if the 

Settlement Agreement had not been executed (a) any claims or causes of action that do 

not arise from or relate to loans issued by IndyMac, (b) any right, title and interest of 

IndyMac in and to the property at 11310 Meeker A venue, El Monte, California, (c) any 

claims brought on behalfofanother failed institution or other governmental entity; or any 

claims arising from the Loan against any other transaction participant concerning the 

Loan including but not limited to DEMBROWSKI, Lakeview Appraisals, David Ho, and 

John Martynec. This Agreement does not waive or release any cl.aim Plaintiffmay have 

relating to or arising from any Loan issued by one or more lending institutions other than 

IndyMac. against DEMBROWSKI arising out of existing or failed financial institutions 

other than IndyMac. The FDIC-R represents and DEMBROWSKI agrees that IndyMac 

retains the rights to pursue any claims arising out ofor related to the Loan against other 

parties. 

3.6 Notwithstanding any other provision,of this Settlement Agreement, this 

Settlement Agreement does not purport to waive, nor is it intended to waive, any claims 

which could be brought by the United States through either the Department of Justice, the 

United States Attorney's Office, in any federal judicial district, including any rights, if 

appropriate, to court ordered restitution pursuant to the relevant provisions of the Victim 

and Witness Protection Act, 18 U.S.C. § 3663, et seq. 

4. MISCELLANEOUS 

4.1 Conditions of Execution. Each Party acknowledges and warrants that its 

execution of this Settlement Agreement is free and voluntary. 

4.2 No Admission. It is agreed that no Party hereto admits liability or 

wrongdoing ofany nature, and that this Settlement Agreement is made as a compromise 

of disputed claims. 

SETILEMENT AGREEMENT Page3 of6 
4.3 Fair Meaning. The Parties hereto further agree that the lariguage ofall 

parts ofthis Settlement Agreement shall in all cases be construed as a whole, according to 

its fair meaning, and not strictly for or against any of the Parties 

4.4 Governing Law. The Parties agree to submit to the Courts of the City 

and County of Los Angeles, California, for any dispute arising out ofthis Settlement 

Agreement, or related thereto, and consent to the jurisdiction ofsaid Courts and further 

agree that any and all matters of dispute shall be adjudicated, governed and controlled 

under California law. 

4.5 Attorneys Fees and Costs. Should any action be commenced to enforce, 

interpret, or seek damages, injunctive relief, or specific performance for violation ofthis 

Settlement Agreement, the prevailing party shall, in addition to any other available relief, 

be entitled to an award of reasonable attorney's fees and litigation expenses incurred in 

the prosecution or defense of the action, including any appeal. 

4.6 Severability. The Parties hereto agree that if any provision ofthis 

Settlement Agreement is declared by any court to be illegal or invalid, the validity of the 

remaining parts, tenns or provisions shall not be affected thereby, and such illegal or 

invalid part, term or provision shall be deemed not to be part of this Settlement 

Agreement. 

4.7 Binding Effect This Settlement Agreement shall be binding upon and 

inure to the benefit of the Parties and their respective heirs, personal representatives, 

successors, and assigns. 

4.8 Review and Understanding. The Parties have entered into this 

Settlement Agreement voluntarily, having fully read and fully understood the meaning 

and effect ofall ofits terms and provisions, and fully understanding its and their costs 

and risks. Each ofthe Parties has consulted with legal counsel concerning this Settlement 

Agreement and has conducted such inquiry as they deem necessary and advisable· prior to 

entering into this Settlement Agreement. The Parties enter into this Settlement 

Agreement understanding that facts or other circumstances may exist which are presently 

unknown or undisclosed, or which are different from or other than those which they 

believe to be the case, and the Parties voluntarily assume all risks attendant to such 

unknown, undisclosed, different, or additional facts or other circumstances. 

4.9 Number. Whenever applicable, the singular shall include the plural, and 

the plural shall include the singular. 

4.10 Counterparts/Execution. This Settlement Agreement may be executed 

in one or more counterparts, all ofwhich shall form a single agreement. A Party's 

signature on this Settlement Agreement by facsimile or e-mail shall be valid and effective 

for all purposes as an original signature, provided, however, that the original signature 

shall be produced upon request. 

4.11 Waiver. No term or condition ofthis Settlement Agreement shall be 

deemed to have been waived, nor shall there be an estoppel against the enforcement of 

SETTLEMENT AGREEMENT Page4of6 
any provision of this Settlement Agreement. except by written instrumen1s signed by the 

Party charged with the waiver or estoppel. No written waiver shall be deemed a 

continuing waiver unless specifically stated therein, and the written waiver shall operate 

only as to the specific term or condition waived. and not for the future or as to any othet 

act than that specifically waived. 

4.12 Headings. The headings ofparagraphs herein are intended solely for the 

convenience of reference and shall not control the meaning or interpretation of any ofthe 

provisions ()fthis Settlement Agreement. 

4.13 Subsequent Agreements. The Parties agree that, upon the reasonable 

teqrrest of the other Party, they shall exflCUte, acknowledge, and deliver any additional 

instruments or documents that may reasonably be requiredto carry out the intentions of 

this Settlement Agre.ement, including such instruments as may berequired by the laws of 

any jurisdiction, now in effect or hereinafter enacted, that may affect the rights of the 

Parties as bctwee.n themselves or others wHh respect to their ri.gbts and obligations 

created by this Settlement Agreement. 

4.14 Entire Agreement. The Parties hereto further agree and promise that this 

Settlement Agreement sets forth the entire agreement between and among the Parties and 

fully supersedes any and all prior negotiations, agreements or LIDderstandings made 

between or among the Parties. This Settlement Agreement shall not be modified except 

in a writing signed by the Parties or their authorized representatives. 

IN WITNESS WHEREOF, and intending to be legally bound hereby, the P.rties 

have executed this SettleDI6IltAgreement as ofthe date set forth in the opening paragraph 

of this Settlement Agreement. 

DATED: July ___, 2012 Schaffer Lax McNaughton & Chen LLP 

APPROVED AS TO FORM 

(b)(6) 

DATED: July J{L 2012 	 ROBERT DEMBROWSKI d/b/a LAKEVIEW 

APPRAISALS .· 

;l 

·: (b)(6) 

SPJTLEMBNT AGRHEMENT 	 PageS of6 

..... ·-·. -· :- .•.·... _ ..
DATED: July _, 2012 

APPROVED AS TO FORM 

DATED: July 3,(), 2012 

(b)(6) 

MORTGAGE RECOVERY LAW GROUP LLP 

By: 

Paul Levin 

Attorneys for PlaintiffFEDERAL DEPOSIT 

INSURANCE CORPORATION, as Receiver for 

INDYMAC BANK, F.S.B. 

FEDERAL DEPOSIT INSURANCE 

CORPORATION, as Receiver for INDYMAC 

BANK, F.S.B. 

;~L____....,..---------,---------_-__________J--

Szgnature 

SETTLEMENT AGREEMENT Page6of6 
DATED: July _, 2012 

(b)(6) APPROVED AS TO FORM 

DATED: July ~2012 FEDERAL DEPOSIT INSURANCE 

CORPORATION, as Receiver for INDYMAC 

BANK, F.S.B. 

(b)(6)

By:~~__--.J---1 

Signature 

SEITLEMENT AGREEMENT Page 6 of6