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HomeMy WebLinkAbout03/15/2022 06F Resolution approving the conditional settlement agreement entered into by Cities Insurance Association of Washington ("CIAW") and Munich Reinsurance to settle the claim brought against the City of Yakima by Gary DobbsB US INE S S O F T HE C I T Y C O UNC I L YAK I M A, WAS HING T O N AG E ND A S TAT E M E NT I tem No. 6.F. F or Meeting of: March 15, 2022 I T E M T IT L E :Resolution approving the conditional settlement agreement entered into by Cities I nsurance A ssociation of Washington (“C I AW ”) and Munich Reinsurance to settle the claim brought against the City of Yakima by Gary Dobbs S UB M IT T E D B Y:Ryan Bleek, S enior A ssistant City A ttorney S UM M ARY E X P L ANAT I O N: This matter is on for consideration of a Resolution consenting to a settlement entered into by C I AW and Munich Reinsurance to resolve and settle the claims brought by Gary Dobbs. The plaintiff filed a lawsuit on May 17, 2019 in Yakima County S uperior Court Case No. 19-2-01802- 39, entitled Gary Dobbs v. City of Yakima, et al. The claim of the above-named plaintiff against the City of Yakima was settled by C I AW and Munich Reinsurance through post-mediation settlement discussions held on February 18, 2022, subject to Yakima City Council’s approval. A copy of the C R 2A Memorandum of S ettlement A greement is included. The aggregate amount to be paid on behalf of the City of Yakima towards settlement of plaintiff’s claim is $170,000, all of which shall be paid by the City’s insurance through C I AW and Munich Reinsurance. T he City of Yakima has already paid its deductible for this claim and is paying no money toward settlement of plaintiff’s claim. T he lawsuit against the City of Yakima will be dismissed, with prejudice, upon Plaintiff’s receipt of the full settlement amount, with each party bearing their own costs. I T E M B UD G E T E D:NA S T RAT E G I C P RI O RI T Y:P ublic Trust and Accountability AP P RO V E D F O R S UB M IT TAL B Y T HE C IT Y M ANAG E R RE C O M M E ND AT I O N: A dopt resolution 1 AT TAC HM E NT S : Description Upload Date Type Res-Plaintiff Dobbs Settlement 2/23/2022 Resolution CR 2A Agreement - Dobbs 2/23/2022 Contract 2 RESOLUTION NO. R-2022- A RESOLUTION approving the conditional settlement agreement entered into by Cities Insurance Association of Washington (“CIAW”) and Munich Reinsurance to settle the claim brought against the City of Yakima by Gary Dobbs. WHEREAS, on May 17, 2019, a lawsuit was filed in Yakima County Superior Court Case No. 19-2-01802-39 entitled Gary Dobbs v. City of Yakima, et al.; and WHEREAS, during post-mediation discussions on February 18, 2022, settlement with plaintiff Gary Dobbs was reached between CIAW and Munich Reinsurance to resolve and conclude said plaintiff’s claim in the matter; and WHEREAS, plaintiff agreed to execute a Settlement and Full Release agreement upon approval of the proposed settlement by the Yakima City Council; and WHEREAS, the entire amount of the City of Yakima’s portion of the settlement is to be paid by CIAW and Munich Reinsurance, and the City of Yakima is paying no money toward settlement of the plaintiff’s claim; 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 plaintiff’s claims, now, therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA: The City of Yakima approves the settlement entered into by CIAW and Plaintiff Munich Reinsurance to resolve and settle the claims brought by the above-named plaintiff, which will be paid by CIAW and Munich Reinsurance. The City Manager and/or the City’s legal counsel are hereby authorized to execute all documents necessary to conclude settlement as consistent with this Resolution. ADOPTED BY THE CITY COUNCIL this 15th day of March, 2022. Janice Deccio, Mayor ATTEST: Sonya Claar Tee, City Clerk 3 CR 2A Memorandum of Settlement Agreement On February 18, 2022, the parties engaged in post-mediation settlement discussions in the matter Gary Dobbs v. City of Yakima, et al, Yakima County Superior Court, Cause No. 19-2-01802-39, with mediator Teresa Wakeen. Under the agreement reached post-mediation, the parties agree as follows: 1. Clear Risk Solutions agrees to pay Plaintiff Gary Dobbs, individually, (herein “Plaintiff”), a total of $170,000.00 (One Hundred Seventy Thousand Dollars) in exchange for Plaintiff’s execution of a full release of all past, current, future, or potential claims, including all claims for attorney’s fees and costs, that have been or could have been asserted in Yakima County Superior Court, Cause No. 19-2-01802-39; 2. In exchange for said payment, Plaintiff agrees to execute a Settlement and Full Release of all claims asserted against the City of Yakima (“Defendant”) and any and all of its past, current, or future agents, officers, and employees that includes an indemnification and hold harmless releasing the City of Yakima and their past, current, or future agents, officers, and employees from any and all liens that may be asserted as a result of the Amended Complaint filed in Yakima County Superior Court, Cause No. 19-2-01802-39. Plaintiff further agrees to enter a stipulated order dismissing all claims with prejudice in the aforementioned cause of action, with each party bearing their own costs; 3. This settlement is contingent on approval by the Yakima City Council, which is expected to convene on this matter on or about March 15, 2022; 4. This settlement is further contingent on Plaintiff successfully eliminating any medical liens he may have related to Gary Dobbs v. City of Yakima, et al, Yakima County Superior Court, Cause No. 19-2-01802-39; 5. Each party shall bear its own costs for the mediation with Teresa Wakeen; and 6. The parties agree that any disputes regarding the Settlement and Full Release and/or any other matters pertaining to this settlement will be submitted to mediator Teresa Wakeen for binding resolution. Signed this 18th day of February, 2022. ____________________________ Favian Valencia, Megan M. Coluccio Counsel for Plaintiff Counsel for Defendant City of Yakima 4