HomeMy WebLinkAboutR-2024-165 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 RESOLUTION NO. R-2024-165
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.
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ATTEST: —�NIK A44`Nt Patricia Byers,Mayor
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osa inda Ibarra, City Clerk
SETTLEMENT AND FULL RELEASE
WHEREAS,Plaintiff RICKY C. GARCIA(herein"Plaintiff')brought suit against the CITY
OF YAKIMA and EARL GUERIN and JANE DOE GUERIN,husband and wife,in the matter filed
in the Superior Court for the State of Washington In and For the County of Yakima, Cause Number
22-2-01946-39; and
WHEREAS, Released Parties appeared through counsel of record; and
WHEREAS, Plaintiff RICKY C. GARCIA asserted claims for negligence, monetary
damages, personal injuries, attorney's fees, and general damages in the above-referenced action
arising out of the incident described in the Complaint filed in the Superior Court for the State of
Washington In and For the County of Yakima, Cause Number 22-2-01946-39; and
WHEREAS, Plaintiff has separately dismissed with prejudice all claims against EARL
GUERIN and JANE DOE GUERIN; and
WHEREAS, the CITY OF YAKIMA (alternatively referred to herein as "Released Party")
admitted liability for the accident at issue in the lawsuit, and further admitted that EARL GUERIN
was acting within the scope of his employment and as agent for the CITY OF YAKIMA at the time
of the accident, but contests the nature and extent of RICKY C. GARCIA's claimed damages; and
WHEREAS,Plaintiff RICKY C. GARCIA has authority to enter into this Settlement and Full
Release with regard to all claims, special damages, general damages, attorney's fees, costs, and any
personal injuries or torts claimed,known or unknown,that are claimed or could be claimed by him
in the future, and any and all existing subrogated interest-holders, lienholders, medical providers
of any kind, Medicare/Medicaid, and attorneys, including any of Plaintiffs current or former
attorneys; and
WHEREAS, the identified parties to this agreement desire to avoid the expense,burden, and
(B4418666.1) Page 1 of 6
uncertainty of continued litigation;
NOW,THEREFORE,IT IS HEREBY agreed among the parties to this agreement,consisting
of Plaintiff RICKY C. GARCIA and the CITY OF YAKIMA, as follows:
1. In consideration of the total payment to Plaintiff RICKY C. GARCIA in the amount
of Four Hundred Fifty Thousand Dollars ($450,000.00), it is agreed that Plaintiffs claims in their
entirety as asserted against defendant the CITY OF YAKIMA in the Complaint for Damages filed in
the Superior Court for the State of Washington In and For the County of Yakima, Cause Number 22-
2-01946-39, shall be dismissed with prejudice and without any further cost to any party.
2. Plaintiff RICKY C. GARCIA hereby releases, acquits and forever discharges the
CITY OF YAKIMA and its successors, assigns, officers, elected officials, representatives, agents,
current employees, former employees, attorneys,insurers, and any person or persons acting by,for
or through them, from all liability, actual or potential, for all claims, damages, or demands
whatsoever in law or in equity which Plaintiff has ever had, may have, has claimed, now claims,
or may claim in the future that arise from or in connection with the claims,damages,or demands in
law or equity arising from the allegations of the Complaint filed in the Superior Court for the State of
Washington In and For the County of Yakima, Cause Number 22-2-01946-39.
3. This Settlement and Full Release is expressly intended to cover any and all damages,
attorney's fees,or costs,whether known or unknown,asserted or unasserted,that are claimed or could
have been claimed by Plaintiff RICKY C. GARCIA in the above-referenced action. Plaintiffs
damages may be more severe or different than those known at this time. These damages include,but
are not limited to,personal injuries, general damages, special damages, medical damages, attorney's
fees, costs, economic and non-economic damages, as well as any other damages associated with or
arising from,or which could arise from,the allegations set forth in the Complaint filed in the Superior
(B4418666.1} Page 2 of 6
Court for the State of Washington In and For the County of Yakima, Cause Number 22-2-01946-39.
4. Plaintiff RICKY C. GARCIA agrees to hold the CITY OF YAKIMA and its
successors, assigns, officers, elected officials, agents, attorneys, insurers, Cities Insurance
Association of Washington ("CIAW"), Clear Risk Solutions, Munich Reinsurance, current
employees and/or former employees and any spouses, children, or heirs thereof, or any other
person or persons acting by, for, or through them, free and harmless from any and all claims
relating to Plaintiff's alleged injuries and damages that have been or may be asserted for tortfeasor
medical liens, liens of any branch of the government, including the State of Washington Health
Care Authority, Department of Labor & Industries, Department of Social and Health Services,
Medicaid, Medicare and/or the Social Security Administration, any creditors or other tax
authorities, including any entity or interested party in any prior, future, or adjudicated bankruptcy,
liens of any and all of Plaintiff's insurers,liens of any insurers who may be responsible for payment
of Plaintiff's medical and/or dental bills, liens for lost income, liens of any attorney(s), and liens
for any and all claims for doctors, hospitals, or other medical bills, lost wages or any other service
(including non-medical service) rendered to Plaintiff arising out of the allegations in the above-
referenced Complaint filed in the Superior Court for the State of Washington In and For the County
of Yakima, Cause Number 22-2-01946-39.
5. Under the Medicare,Medicaid and SCHIP Extension Act of 2007 ("MMSEA"),the
Centers for Medicare and Medicaid Services ("CMS") require certain entities to report the
resolution of all claims involving injury to Medicare and Medicaid beneficiaries. The reporting
requirements subject entities to civil money penalties of $1,000 a day for failure to report
accurately claims involving injury to Medicare and Medicaid beneficiaries. Accordingly, as a
condition to the Settlement Agreement, Plaintiff warrants that he has provided the entity with
(B4418666 1) Page 3 of 6
complete and accurate information. Plaintiff further agrees to defend and indemnify the CITY OF
YAKIMA, its insurers and attorneys of record, and hold them harmless against any liability, loss,
costs, attorney fees, claims, demands, or liens, made or imposed, or which may be made or
imposed,against the CITY OF YAKIMA or its insurers,which relate in any way to CMS expenses
and/or liens for medical treatment and expenses as a result of the above-referenced incident.
Plaintiff further agrees to complete and sign the attached MMSEA Reporting Compliance
Declaration and warrants and agrees that any CMS liens,bills, conditional payments or claims that
have not been paid prior to the execution of this Agreement, related to past or present medical
expenses which have been incurred as a result of the incident which is the subject matter of the
claim resolved by this Settlement,have been satisfied or will be satisfied. This Release is executed
and given in good faith and the amount of money to be paid under it is reasonable within the terms
of RCW 4.22.060. Pursuant to RCW 4.22.060(2), the Released Party is fully discharged from all
liability for any contribution to any other alleged tortfeasor.
6. Plaintiff agrees to indemnify and pay any costs or attorney's fees incurred in
establishing the CITY OF YAKIMA's right to indemnity, as set forth herein, including any costs or
fees which may be incurred arising out of any lien with regard to Plaintiffs injuries or any prior
attorneys retained by the Plaintiff as related to the incident described in Plaintiff's Complaint filed in
the Superior Court for the State of Washington In and For the County of Yakima, Cause Number 22-
2-0I 946-39.
7. This Settlement and Full Release is made and entered into as a free and voluntary act
and has been done only after Plaintiff consulted with her attorney,Mariano Morales, Jr.
8. This Settlement and Full Release contains the entire agreement between the parties,
and the terms of this Release are contractual and not a mere recital.
(B4418666 1} Page 4 of 6
9. The parties agree that any and all actions necessary to secure an immediate dismissal
with prejudice of the Plaintiff's claims in this lawsuit against CITY OF YAKIMA shall be taken and
that each party shall bear its own cost and expense incurred in connection with such claims and the
dismissal thereof.
10. The undersigned has full authority to enter into this Settlement and Full Release.
11. Concurrent with the execution of this Settlement and Full Release and funding of the
settlement described herein, counsel for Plaintiff agrees to execute a dismissal and/or stipulation for
dismissal with prejudice of the above-referenced civil action against the CITY OF YAKIMA, which
defense counsel will file.
12. It is specifically understood and agreed that this Settlement and Full Release is the
compromise of disputed claims. This Settlement and Full Release is not intended to be admissible
against any party, or anyone else, as an admission of any liability and/or fault in any matter,
including any future administrative or court proceedings. Notwithstanding, this Settlement and
Full Release, if otherwise admissible,may be introduced into evidence at any proceeding between
or among the parties to enforce its terms, or in any separate indemnification proceeding.
DATED this IA day of � , 2024.
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RICKY C.1ARCIA, Plaintiff
(B4418666.1) Page 5 of 6
STATE OF WASHINGTON )
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COUNTY OFVAAL) )
On this —1 day of Q" _1." erv1be,r-' , 2024, before me, a Notary Public,
personally appeared RICKY C. GARCIA, to me known to be the individual described herein, and
who executed the foregoing instrument and to me acknowledged that he voluntarily executed the
same. „,„„
O ,ssion � " ',���', .I.._ CCi;t, Ot
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Norq�r NOTARY PUBLIC in and fo the State of
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`11 : o; Washington,residing at (../i OLItiMa. C 01..),(1h)
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%,,F wAS`,,,,•,`'��` My Commission Expires:
The undersigned counsel of record for Plaintiff will see to the proper disbursement of
funds.
MARIANO MORALES, JR., WSBA#19213
Attorney for Plaintiff
CITY CONTRACT NO:/�doO 4-1 6 19
(B4418666.1( Page 6 of 6 RESOLUTION NO. R'N- 1_t(n 5
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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
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