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Home My WebLink About11/07/2017 06G Settlement of Lawsuit Brought by Roy MunozBUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDASTATEMENT Item No. 6.G. For Meeting of: November 7, 2017 ITEM TITLE: Resolution authorizing consent to a settlement entered into by Cities Insurance Association of Washington ("CIAW") and Munich Reinsurance to resolve and settle the lawsuit brought by Roy Munoz SUBMITTED BY: Helen A. Harvey, Senior Assistant City Attorney SUMMARY EXPLANATION: This matter is for consideration of a Resolution authorizing the City Manager to consent to a settlement entered into by CIAW and reinsurer Munich Reinsurance to resolve and settle the lawsuit filed by Roy Munoz on June 20, 2014, in Yakima County Superior Court Case No. 14-2- 02110-0 entitled Roy Munoz v. City of Yakima, and to settle all claims by the plaintiff. The claim against the City of Yakima was settled by C IAW and Munich Reinsurance through mediation with mediator Thomas W. McLane of Randall Danskin in Spokane, subject to the presentation of the settlement before the Yakima City Council at a City Council business meeting. A copy of the Settlement Agreement is attached. The amount of the settlement is $175,000, and payment of the mediator's fee, which entire amount is to be paid by CIAW and the City's insurance carrier Munich Reinsurance. The City of Yakima is paying no money toward settlement of the case. ITEM BUDGETED: NA STRATEGIC PRIORITY: Public Trust and Accountability APPROVED FORcl*� SUBMITTAL: "City Manager STAFF RECOMMENDATION: Adopt Resolution. BOARD/COMMITTEE RECOMMENDATION: ATTACHMENTS: Description Resolution Upload Date 10/18/2017 Type Resolution Settlement Agreement 10/18/2017 Backup Material RESOLUTION NO. R -2017- A RESOLUTION authorizing the City Manager of the City of Yakima to consent to a settlement entered into by Cities Insurance Association of Washington ("CIAW") and Munich Reinsurance to resolve and settle the lawsuit brought by Roy Munoz. WHEREAS, on June 20, 2014, a lawsuit was filed in Yakima County Superior Court Case No. 14-2-02110-0, entitled Roy Munoz v. City of Yakima; and WHEREAS, through a mediation, a settlement was reached by Cities Insurance Association of Washington ("CIAW') and Munich Reinsurance and the plaintiff to resolve and conclude all claims in the matter; and WHEREAS, in the settlement agreement, liability for all such claims is denied by the entities being released; and WHEREAS, the entire amount of the settlement is to be paid by CIAW and reinsurer Munich Reinsurance, and the City of Yakima is paying no money toward settlement of the case; 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 Munich Reinsurance 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 Manager of the City of Yakima is authorized to consent to the settlement entered into by Cities Insurance Association of Washington and Munich Reinsurance to resolve and settle the lawsuit brought by Roy Munoz, which settlement will be paid by CIAW and Munich Reinsurance. ADOPTED BY THE CITY COUNCIL this 7th day of November, 2017. ATTEST: Sonya Claar Tee, City Clerk Kathy Coffey, Mayor 6*��Jlgvwuffa On October 11, 2017, the parties in the inatter of Roy Munoz v. Cily of Yakima, Yakim? County Superior Court Case No. 14-2-02110-0, engaged in a mediation with Thomas W. McLane acting as mediator. FINEEFIRIMM. For the consideration recited below, Roy Munoz, individually and on behalf of h marital community, and their representatives, beneficiaries, heirs, children, grandchi dren, executors, administrators, successors and assigns (hereinafter "Releasing Parties'. forever release the City of Yakima, Cities Insurance Association of Washingtc ("CIAW"), Clear Risk Solutions, Munich Reinsurance, and all their respective pas present, and future agents, employees, officers, directors, elected and appointed official assigns, successors, attorneys, insurers, and related entities (hereinafter "Entiti( Released") from all claims, rights and causes of action, which may ever be asserted t the Releasing Parties, whether presently known or unknown, presently asserted ( unasserted, presently vested or contingent, which in any way arise out of or are related I any incidents, acts or omissions between the Releasing Parties and the City of Yakirr and its past, present or future elected or appointed officials, officers, employees, aE agents, including but not limited to: (1) all matters arising from or related to Roy Munoz employment with the City of Yakima, (2) all those matters which are or could have bec the subject of the Claim for Damages filed by Roy Munoz on or about July 29, 2013, all those matters which are or could have been the subject of Yakima County Superi( Court Case No. 14-2-02110-0; and (4) any other incidents, acts or omissions involvir the Releasing Parties and the Entities Released occurring through the date this Settlemei Agreement is signed. This release includes all claims, rights and causes of action under federal, state, or local law, including, but not limited to, those based in statute, regulation, code, ordinance, tort, contract, equity or otherwise, and specifically including by way of illustration, but not limited to, all claims under the United States Constitution, the Washington State Consti- tution, Americans with Disabilities Act, Civil Rights Act of 1871 (42 USC § 1983). Title VII of the Civil Rights Act of 1964 (as amended by the Civil Rights Act of 1991), the Family Medical Leave Act, the Washington Family Leave Act (RCW Chapter 49.78), the Washington Law Against Discrimination (RCW Chapterthe Washington State Civil Service Law (RCW Chapter 41.06), and any Washington state wage and hour laws Settlement Agreement - 1 of 3 _n This release covers any and all past, present and future injuries, damages or losses know or not known to the Releasing Parties, but which may later develop or be discovered i connection with the above referenced matters, including, but not limited to, all claims the type set forth above, for violation of civil rights, for discrimination, for retaliation, personal injuries, for loss of income, for attorney's fees, for costs, and for loss consortium. I 3. Consideration The consideration for the aforementioned release of claims contained in paragraph 2 above and for this settlement includes the following: 1) Payment by the City of Yakima, CIAW and/or Munich Reinsurance to the Trust Account of Sunlight Law, PLLC, the sum of One Hun- dred Seventy Five Thousand Dollars ($175,000), payable for the benefit of the Releasing Parties, and payment of the mediator's fee, subject to the approval by the Yakima City Council, 2) Dismissal with prejudice and without costs or fees of Yakima Coun- ty Superior Court Case No. 14-2-02110-0; 3) Tax liability, if any, on the proceeds of the settlement sum shall be paid by the Releasing Parties, and the Releasing Parties agree to hold the City of Yakima harmless and to indemnify them from any tax consequences of this settlement. The duty to indemnify and hold harmless the City of Yakima includes, but is not limited to, any re- quired employer contribution or payment if any of the settlement proceeds are determined to be taxable income as to the Releasing Parties or their law firms. The Releasing Parties represent that all lienable expenses, and all subrogation claims, and all claims of any other persons or entities legally entitled to share in the proceeds of this settlement have been paid, or will be paid or otherwise resolved from the proceeds of this settlement. Settlement Agreement - 2 of 3 �V The Releasing Parties agree to defend, indemnify and hold harmless the Entities Released from and against all lien and subrogation claims, if any, including all costs and attorney's fees incurred in the defense of such claims. 5. Warranly of Capacily to Execute Agreement The Releasing Parties certify and warrant that they are fully authorized to enter into this agreement and bind themselves and the parties thereto. The Releasing Parties further warrant that no other person or entity has or has had any interest in the claims or causes of action referred to in this Settlement Agreement and that they have the sole right and exclusive authority to execute this Settlement Agreement and to receive the settlement proceeds. 6. Governing Law This Settlement Agreement shall be construed and interpreted according to the laws of the State of Washington. The venue of any action necessary under this Settlement Agreement shall be -solely in Yakima County, Washington. This Settlement Agreement expresses the full and complete settlement of all claims. It is expressly agreed that liability for all such claims is denied by the Entities Released as is any fault relating to the matters described. It is agreed and understood that this settlement is a compromise of disputed claims. Acceptance of this release shall not operate as an admission of liability on the part of the Entities Released. Roy Munoz has read this Settlement Agreement and fully understands the terms. He h had an opportunity to seek independent legal counsel regarding the legal implications this Settlement Agreement. I Dated: October 12, 2017. Roy MunozReleasing Party a�a f oeesi arties Settlement Agreement - 3 of 3