Loading...
HomeMy WebLinkAboutMinutes Executive Session 060795Ell CITY COUNCIL SPECIAL REGULAR MEETING CITY OF PALM BEACH GARDENS JUNE 7, 1995 EXECUTIVE SESSION MAYOR JOSEPH RUSSO VICE —MAYOR LAUREN FURTADO COUNCILWOMAN LINDA MONROE COUNCILMAN ERIC JABLIN COUNCILMAN DAVID CLARK THOMAS J. BAIRD GREG DUNHAM i min 2 1 P R O C E E D I N G S 2 MR. RUSSO: Joseph Russo. 3 MR. JABLIN: Eric Jablin. 4 MR. CLARK: David Clark. 5 MS. FURTADO: Lauren Furtado. 6 MS. MONROE: Linda Monroe. 7 MR. BAIRD: Thomas J. Baird. 8 MR. DUNHAM: Greg Dunham. 9 MR. BAIRD: Greg is the assistant city 10 manager. And I'm the city attorney, mayor, 11 council members, and Vice -Mayor Furtado. 12 Let me explain, where we're at in 13 this litigation is that we were set for 14 trial, the judge recused himself and the case 15 was reassigned to another trial judge, Judge 16 Brunson. 17 Judge Brunson issued an order 18 requesting us to essentially go through the 19 pretrial procedures again, which meant that 20 we had to file exhibit lists, witness lists, 21 and go through mediation. 22 We've not been through mediation 23 yet. We're setting that up. We will need a 24 representative of the city counsel to go to 25 mediation with us. 3 • 1 Two weeks ago I filed on behalf of 2 the city, which is a Defendant, Bobby 3 Hurocovich (phonetic), in her official 4 capacity as city manager, who is a Defendant, 5 and Bobby Hurocovich, in her individual 6 capacity, who is a Defendant, there are three 7 Defendants, I filed what are called offers of 8 judgment. 9 Offers of judgment mean that we are 10 offering to settle the litigation for the 11 amount on that offer of judgment. If the 12 Plaintiff does not accept that offer of . 13 judgment and we go to trial, or we get a 14 judgment that is less than that offer of 15 judgment, seventy -five percent less -- 16 twenty -five percent less than the offer of 17 judgment, we would be entitled to our 18 attorney's fees for the work that we do after 19 having filed that offer of judgment. 20 The reason we filed an offer of 21 judgment is that this is a complaint coming 22 out -- arising under the Civil Rights Act. 23 They will be entitled to attorney's fees if 24 they prevail anyway. So there's no risk to 25 the city by our having offered that judgment. 4 • 1 If it were not an action under the 2 Civil Rights Act and they were not entitled 3 to attorney's fees if they prevailed, then by 4 filing that we could have subjected you 5 potentially to an award of attorney's fees. 6 But since there's no risk there 7 because of the nature of the actions they 8 filed, it actually works to our advantage. 9 The reason it works to our advantage is it 10 puts pressure on the Plaintiffs to consider 11 the strength of their case. 12 If they feel they have a strong . 13 case, they will move forward and they will 14 not accept the offer of judgment. 15 Following the offer of judgment in 16 the Bullock case, we filed a motion for 17 summary judgment, which is intended to decide 18 all issues in that case. We believe that 19 offer of -- that summary judgment is a strong 20 motion. I think we will prevail on that 21 motion. And apparently so does the 22 Plaintiff, Ms. Bullock. 23 Her attorneys contacted me 24 approximately a week after we filed the offer . 25 of judgment and summary judgment, and during 5 • 1 a conversation suggested that they believed 2 that she would undoubtedly settle the case 3 for seventy -five hundred dollars, that he 4 believed that five thousand dollars would be 5 sufficient, and I indicated that we were not 6 prepared to offer anything more at that time 7 than what was in the summary -- the offer of 8 judgment. 9 What was in our offer of judgment 10 was a thousand dollars for the city, a 11 hundred dollars for Bobby Hurocovich 12 officially, and a hundred in her individual 13 capacity, for a total of twelve hundred 14 dollars. 15 The twelve hundred dollars, and I 16 would say even five thousand dollars, and 17 perhaps even seventy -five hundred dollars for 18 a case of this nature, is a nuisance value. 19 It is an amount of money that will make 20 something go away. 21 Although for most of us seventy - 22 five hundred dollars is nothing to sneeze at, 23 in terms of the cost of litigation, five 24 thousand or seventy -five hundred dollars is 25 not substantial. It will cost more than five • 1 thousand dollars to prepare solely for 2 Bullock at trial. That does not include what 3 it would cost to prepare for Byrd or 4 Uhrbacher (phonetic). 5 So from our perspective, what I 6 would ask of you is your consideration to 7 authorize me to settle the case, just the 8 Bullock case, for up to five thousand 9 dollars. 10 In other words, give me the ability 11 to maintain if necessary the position of 12 we'll settle for the offer of judgment, 13 twelve hundred dollars, but that if something 14 between twelve hundred up to five thousand 15 can be negotiated and would be accepted, that 16 you give me the authorization to execute a 17 stipulation for that amount. 18 If an offer was in excess of five 19 thousand, but was a figure that still 20 appeared to be something that was worth your 21 considering again, then I would want to 22 contact each of you individually, not in a 23 private session such as this, and determine 24 whether or not that figure was acceptable. 25 So that -- that summarizes Bullock. 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 7 Just to let you know, the other offers of judgment, the other two cases are -- the Byrd case is a little bit stronger than Bullock, but not much, and the Uhrbacher case is a little bit stronger than that one, but neither of those two cases, in my judgment, would the Plaintiffs prevail unless we do go to a jury, they are jury trials, and the jury feels some sympathy for those individuals. Juries are difficult to predict. We will be filing summary judgments in both of those cases. We do believe we have a good chance of prevailing in the summary judgment in those cases. But if we do not prevail in all of the issues in the summary judgment, then there would be a jury trial. The offer of judgment in Byrd was three thousand dollars, one hundred and one hundred. And in Uhrbacher, five thousand dollars, one hundred and one hundred. In each of those cases, we view those amounts again as nuisance values, we view these cases as nuisance cases, but nevertheless they have to be taken into consideration, as does any litigation, in 8 . 1 terms of the economic value of disposing of 2 those cases. 3 And in this case, frankly, those 4 are small prices to pay as compared with a 5 week -long jury trial. 6 MR. CLARK: I'd have to agree with Tom's 7 assessment. I think that philosophically, 8 whenever you can get rid of a piece of 9 litigation for this low an amount, it doesn't 10 send the wrong message to other litigants out 11 there because this cannot have been an 12 economic proposition from the Plaintiff's • 13 standpoint, or her attorneys. They're not 14 making money on this. 15 we're eliminating a risk, however 16 slim, but we're certainly at least saving 17 attorney's fees going forward. Even if we 18 prevail on summary judgment, that can be 19 appealed. So you're looking at some fairly 20 substantial costs if you proceed. 21 I think that makes a great deal of 22 sense from the city's standpoint. 23 MR. RUSSO: I guess my only issue is, I 24 guess, the signal that it does send them. • 25 You know, I don't want -- I guess the concern 9 . 1 I have is that anybody in the future would 2 say, well, let's sue the city and we can wind 3 up with something. 4 And that's, I guess, the fear that 5 I have in this, settling these things out. 6 And I guess the dollar amount that we settle 7 it for is really the signal that we're 8 sending. 9 The offer that we made, a thousand 10 dollars, the three thousand and whatever they 11 were, I guess I feel comfortable that that's 12 a nuisance value and that in effect the 13 Plaintiff probably didn't get that 14 personally, their attorneys got it. So, in 15 effect, it showed that, you know, maybe they 16 didn't wind up with anything. 17 I guess the concern I have is I 18 don't want to send that wrong signal out. 19 And on the other side of it, I guess, you 20 know, we have to be businessmen and we have 21 to decide, just like we're running a 22 business, of what we would do if it were a 23 business and which is best for the taxpayers. 24 And I guess for the taxpayers, it's 25 better to settle it and cost less money for 10 • 1 the taxpayers as opposed to be emotional 2 about it and say, well, you know, let's just 3 let the chips fall where they may because 4 that wouldn't be, again, right for the 5 taxpayers. 6 MR. CLARK: You're -- I agree. It's the 7 same assessment I think any business would go 8 through; what signal does it send, am I going 9 to buy myself more trouble down the road. 10 And I think in this case your 11 assessment is correct, they -- the monies are 12 split between the Plaintiff and the attorney, 13 and I don't think either one of them comes 14 out ahead on this one. 15 So from that standpoint, I don't 16 think we're sending the wrong signal with the 17 amount, and we're certainly not sending the 18 wrong signal with the approach, the offer, 19 what you think the case is worth, which is 20 next to nothing, and you settle for next to 21 nothing. 22 MR. JABLIN: Then I guess my feelings on 23 Bullock, that I'd feel a lot more comfortable 24 with twenty -five hundred as opposed to five 25 thousand, or thirty -five hundred. 11 1 I just think once they get up to 2 five thousand, it's -- 3 We are -- yeah, I know. 4 We're authorizing up to five 5 thousand but he's not going to offer five 6 thousand immediately, so whatever amount 7 under, that is found money. 8 MS. FURTADO: I agree. I mean, at least 9 Tom has the flexibility. But I too would 10 like to see it on the low end of the 11 spectrum. 12 MR. JABLIN: That makes more sense on 13 the low end. 14 MS. FURTADO: Considering -- 15 MR. JABLIN: The message is really 16 important. 17 MS. MONROE: I agree. I think Tom has 18 better things he can do for us than proceed 19 with the litigation. 20 MR. CLARK: Okay, that's it. 21 Do you have enough direction? 22 MR. BAIRD: Thank you, I appreciate it. 23 (Whereupon, the proceedings were 24 concluded.) '1- 25 a� CERTIFICATE OF REPORTER STATE OF FLORIDA ) COUNTY OF PALM BEACH ) at Large, 12 I, Mary Lesson, Notary Public, State of Florida I DO HEREBY CERTIFY that the foregoing proceedings was taken before me at the time and place stated herein; that the Court Reporter administered unto the witnesses their oath to testify the truth, the whole truth, and nothing but the truth; that they were there and then orally- examined and testified as herein set forth; and that this transcript of said proceedings, numbered 2 -11, inclusive, constitutes a true and correct transcription of said proceedings. I FURTHER CERTIFY that I am neither related to nor employed by any counsel or party to the cause pending, nor interested in the event thereof. IN WITNESS WHEREOF, I`'have hereunto affixed my hand and official seal this 5 Tkday of September, 1995. y� ���: •• t��c; MARY E. LESSON +; +_ MY COMMISSION N CC474678 EXPIRES June 20, 1999 'tom pF Fl°� BONDED THRU TROY FAIN INSURANCE, INC. Mary Lesion, Notary Public State of Florida at Large. •