050-22 (ResoLitigationLettersOfCreditSummitComBank) f
BOARD OF SUPERVISORS
RESOLUTION
February 23, 2022
WHEREAS, Frederick County has previously approved subdivisions to create
The Farms at Frog Hollow, Sections 1 and 2, by Freedom Investment Group of Virginia,
LLC and 300N, LLC, respectively, as reflected by deeds recorded as Instrument
Numbers 080010470 and 110006170, respectively; and
WHEREAS, to obtain such approvals, Freedom Investment Group of Virginia,
LLC and 300N, LLC posted with Frederick County Letters of Credit Numbers 418056
and 546542, respectively, issued by Summit Community Bank, in the amounts of
$64,660.00 (subsequently reduced to $30,000.00 by agreement of the County) and
$41,448.00, respectively, for the purpose of securing their obligations, as subdividers, to
install infrastructure, including the construction of Marion Drive to standards necessary
for acceptance of Marion Drive into the Virginia Department of Transportation State
Secondary Road System, to serve the subdivision; and
WHEREAS, neither Freedom Investment Group of Virginia, LLC and 300N, LLC
completed the construction of Marion Drive to the applicable standards; and
WHEREAS, after notice by the County to Summit Community Bank and
tendering Letters of Credit Numbers 418056 and 546542 to draw in full on the same,
Summit Community Bank has refused to honor Letters of Credit Numbers 418056 and
546542;
NOW, THEREFORE, BE IT RESOLVED THAT the Board of Supervisors
authorizes the filing by the County Attorney on behalf of the County such litigation as is
necessary and proper, against Summit Community Bank, to enforce payment to the
County of the sums provided under Letters of Credit Numbers 418056 and 546542,
107 North Kent Street • Winchester, Virginia 22601
issued by Summit Community Bank, and as may have been subsequently reduced by
agreement of the County; and
BE IT FURTHER RESOLVED THAT the Board further authorizes the County
Attorney to take such steps as are necessary and proper to prosecute such litigation.
Adopted this 23rd day of February, 2022.
Charles S. DeHaven, Jr., Chairman Aye Shawn L. Graber Aye
J. Douglas McCarthy Aye Robert W. Wells Aye
Blaine P. Dunn Aye Josh Ludwig Aye
Judith McCann-Slaughter Aye
A COPY ATTEST
Michael L. BolVBoard
Clerk
Frederick Couof Supervisors
Res. No. 050-22
COUNTY OF FREDERICK
-r CDU
Roderick B.Williams
County Attorney
■ 540/722-8383
Fax 540/667-0370
E-mail rwillia@fcva.us
MEMORANDUM
TO: Board of Supervisors
FROM: Roderick B. Williams, County Attorney
DATE: February 16, 2022
RE: Resolution authorizing litigation against Summit Community Bank
Based on my previous correspondence with the Board and based on previous closed
session discussions, attached please find a proposed resolution, to authorize the filing of
litigation by the County against Summit Community Bank, for Board adoption. The litigation
specifically concerns Summit's refusal to honor the two letters of credit issued to the County to
secure completion of infrastructure improvements in The Farms at Frog Hollow Subdivision.
Attachment
cc: County Administration
107 North Kent Street • Winchester, Virginia 22601