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HomeMy WebLinkAbout09/03/2024 07.J. Resolution authorizing the City of Yakima to consent to a conditional settlement agreement entered into by Cities Insurance Association of Washington (CIAW) and Munich Reinsurance to resolve and settle the lawsuit brought by Ricky Garcia i4 e+ /A L4141110 !1— i,i BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No. 7.J. For Meeting of: September 3, 2024 ITEM TITLE: Resolution authorizing the City of Yakima to consent to a conditional settlement agreement entered into by Cities Insurance Association of Washington (CIAW) and Munich Reinsurance to resolve and settle the lawsuit brought by Ricky Garcia SUBMITTED BY: Ryan Bleek, Senior Assistant City Attorney SUMMARY EXPLANATION: This matter is on for consideration of a Resolution consenting to a settlement agreement resolving the lawsuit filed by Ricky C. Garcia on September 13, 2022 in Yakima County Superior Court Case No. 22-2- 01946-39 entitled Ricky C. Garcia v. City of Yakima and Earl R. Guerin and Jane Doe Guerin. The settlement would resolve all claims by the plaintiff related to a vehicle collision which occurred on October 7, 2019 between his vehicle and a vehicle driven by a City of Yakima employee. The claims against the City of Yakima and Earl Guerin were settled by the City's risk pool and insurer, CIAW and Munich Reinsurance, on August 21, 2024, subject to the approval of the settlement by the Yakima City Council. The amount of the settlement is $450,000. The City of Yakima has met its deductible for this claim, so no additional funds will be paid by the City of Yakima towards the settlement. ITEM BUDGETED: Yes STRATEGIC PRIORITY 24-25: N/A RECOMMENDATION: Adopt Resolution. ATTACHMENTS: Res-Settlement.docx CR 2A Settlement Agreement.pdf 126 RESOLUTION NO. R-2024- A RESOLUTION authorizing the City of Yakima to consent to a conditional settlement agreement entered into by Cities Insurance Association of Washington ("CIAW") and Munich Reinsurance to resolve and settle the lawsuit brought by Ricky Garcia WHEREAS, on September 13, 2022, a lawsuit was filed in Yakima County Superior Court Case No. 22-2-01946-39 entitled Ricky C. Garcia v. City of Yakima and Earl R. Guerin and Jane Doe Guerin; and WHEREAS, a settlement was reached between CIAW and Munich Reinsurance and the plaintiffs in the amount of$450,000 to resolve and conclude all claims in the matter; and WHEREAS, plaintiff agreed to execute a Release agreement upon approval of the proposed settlement by the Yakima City Council; and WHEREAS, the City of Yakima has met its deductible for the matter, and all settlement proceeds will be paid by CIAW and Munich Reinsurance; and WHEREAS, the City Council of the City of Yakima deems it to be in the interest of the City to authorize the City Manager to consent to a settlement entered into by CIAW and the plaintiff to resolve and conclude the lawsuit; now, therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA: The City of Yakima consents to the settlement entered into by CIAW and Munich Reinsurance to resolve and settle the lawsuit brought by Ricky C. Garcia. The City Manager is hereby authorized to execute all documents necessary to conclude settlement as consistent with this Resolution. ADOPTED BY THE CITY COUNCIL this 3rd day of September, 2024. ATTEST: Patricia Byers, Mayor Rosalinda Ibarra, City Clerk 127 CR 2A SETTLEMENT AGREEMENT Ricky C. Garcia v.City of Yakima and Earl Guerin August 21,2024 This memorandum represents the agreement to settle all claims by Ricky C. Garcia ("plaintiff') against City of Yakima,Earl Guerin,and the employees,agents,and insurers of each("defendants")on August 21, 2024, subject to the following terms: 1. The agreed total amount of settlement to plaintiff is $450,000.00 (Four Hundred Fifty Thousand Dollars)paid on behalf of the defendants. This settlement is subject to approval by the Yakima City Council,which is anticipated to occur on September 3,2024. 2. Such settlement payment is conditioned upon a full release of all claims brought or that could have been brought by plaintiff against the defendants arising out of a motor vehicle accident occurring on or about October 7, 2019, including all claims brought or that could have been brought in litigation filed under Yakima County cause no.22-2-01946-39. 3. Defense counsel will provide plaintiffs counsel with a final,complete settlement agreement and release for signature by plaintiff. Such final settlement agreement shall contain hold harmless and indemnity language for any and all liens asserted. 4 Plaintiffs counsel shall provide defense counsel with a W9 containing tax id information and payee information. The settlement shall be paid within 45 days of this agreement. 5. This settlement resolves any and all claims by plaintiff against defendants. 6. Upon payment of the settlement funds,the parties shall file a stipulated order dismissing the underlying litigation with prejudice and without costs or fees. 7. The mediator shall act as fmal arbiter of any disputes associated with the fmal settlement documentation. The parties intend that the mediator will consider confidential communications. Other than as stated above, there are no additional representations or agreements of the parties. The mediator's statements do not constitute legal advice to any party. The parties were represented by counsel at the mediation. August 21, 2024 Mediator: Christopher Anderson Mariano Morales,counsel for plaintiff Thomas Miller, counsel for defendants 128