STIPULATION OF DISMISSAL WITH PREJUDICE

ANTHONY W. ISHII, District Judge.

WHEREAS, Plaintiff GUADALAJARA RESTAURANT, INC. ("Plaintiff") and Defendant FELIPE GONZALEZ-ENRIQUEZ dba GUADALAJARA'S TAQUERIA ("Defendant") entered into and executed a written Compromise and Settlement Agreement with an effective date of June 10, 2014 (the "Settlement Agreement").

WHEREAS, pursuant to the Settlement Agreement, the Parties agreed to stipulate to a dismissal of the action with prejudice, subject to the Court retaining jurisdiction over this case for the purpose of enforcing the terms of the Settlement Agreement, a true and correct copy of which is attached hereto as Exhibit "A."

NOW, THEREFORE, Plaintiff, by and through his attorney of record herein, and Defendant, individually, hereby stipulate and agree to the dismissal with prejudice of the complaint herein, with the Court expressly retaining jurisdiction following dismissal for the purpose of enforcing the terms of the Settlement Agreement.

Exhibit "A"

COMPROMISE AND SETTLEMENT AGREEMENT

THIS COMPROMISE AND SETTLEMENT AGREEMENT ("Agreement"), having an effective date of June 10, 2014 ("Effective Date"), is between GUADALAJARA RESTAURANT, INC. ("Guadalajara") having its principal place of business at 3020 N. Weber, Fresno, California 93705, and FELIPE GONZALEZ-ENRIQUEZ DBA GUADALAJARA'S TAQUERIA ("Gonzalez-Enriquez") having his principal place of business at 1627 E. Ashlan Avenue, Fresno, California 93704. Guadalajara and Gonzalez-Enriquez are collectively referred to as "the Parties" and in the singular as "Party".

WITNESSETH:

WHEREAS, on March 26, 2014, Guadalajara filed a civil action against Gonzalez-Enriquez in the United States District Court for the Eastern District of California, Case No. 1:14-CV-00443-AWI-MJS ("Civil Action") seeking damages for False Designation of Origin, False Description, and False Representation pursuant to 15 USC § 1125(a); Common-Law Service Mark and Trademark Infringement and Unfair Competition; and State Unfair Competition pursuant to Cal. Bus & Prof. Code §§ 17200, 17500 concerning its trademark and service mark rights in GUADALAJARA RESTAURANT (the "Mark") and Gonzalez-Enriquez' use of the mark GUADALAJARA'S TAQUERIA;

WHEREAS, on or about April 21, 2014, Gonzalez-Enriquez filed an answer in the Civil Action in which be asserted certain affirmative defenses; and

WHEREAS, the Parties desire to avoid the costs of investigation and litigation and hereby agree to compromise and settle the Civil Action and to resolve the differences between them.

NOW, THEREFORE, for and in consideration of the promises and covenants contained herein and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, the Parties agree as follows:

1. With respect to Gonzalez-Enriquez' use of GUADALAJARA'S TAQUERIA, Gonzalez-Enriquez agrees as follows:

(a) Gonzalez-Enriquez shall cease any and all use of the mark GUADALAJARA'S TAQUERIA, whether as a trademark, service mark, trade name, fictitious business name, or "dba", in connection with any restaurant business no later than September 8, 2014 (the "Transition Period"). This includes, but is not limited to the following:

i. Removal of all references to "GUADALAJARA", "GUADALAJARA'S", "GUADALAJARA'S TAQUERIA", or any similar variation thereof from any restaurant signage, menus, online advertising, Facebook or other social media, websites, and/or any marketing and sales materials.

ii. During the Transition Period, Gonzalez-Enriquez will prominently display at any and all restaurant locations a sign that provides his restaurant and restaurant services are not affiliated with Guadalajara, for example: "This Restaurant Is Not Affiliated With Guadalajara's Taqueria, Located At 3020 N. Weber, Fresno, California 93705 and 1365 N. Willow Ave #160, Clovis. California 93619."

iii. Gonzalez-Enriquez may continue to use "TAQUERIA" as part of any trademark, service mark, trade name, fictitious business name, or "dba".

(b) Gonzalez-Enriquez agrees that he shall not use or register any domain names containing the term "Guadalajara" in connection with restaurant services.

(c) Gonzalez-Enriquez shall further not use or register any trademark or service mark containing the term "GUADALAJARA."

2. Other Provisions:

(a) Gonzalez-Enriquez shall notify its customers and vendors of his business name change, and will certify to Guadalajara that this has been done no later than September 8, 2014.

(b) Neither Party shall hold itself out to any third party that it is affiliated with the other Party.

3. Within 20 days of the execution of this Agreement by the Parties, the Parties shall file a stipulated dismissal of the Civil Action, with the Court to retain jurisdiction to enforce the terms of this Agreement.

4. This Agreement applies to each Party, and each of its owners, officers, affiliates, agents, employees, attorneys-in-fact, and successors in interest, in the use of the term "Guadalajara" in connection with restaurant services.

5. Each Party warrants that it/he has authority to execute this Agreement.

6. Each Party understands and agrees that each Party has entered into this Agreement in order to prevent the expense of investigation and/or litigation, and that this Agreement does not constitute an admission of liability. This Agreement is a compromise and shall not in any way be construed as an admission of liability on the part of any Party hereto.

7. The Parties, and each of them, acknowledge that this Agreement is the product of negotiation by and among the Parties. The Parties acknowledge and agree that this Agreement shall not be deemed to be prepared or drafted by any one Party and that the normal rule of

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