HomeMy WebLinkAboutPR 11618: HEIL/FREIGHTLINERI N T E R
OFFICE
MEMO
To:
From:
Subject:
Date:
Mayor, City Council & City Manager
Mark T. Sokolow, City Attorney /td.e,
P. R. No. 11618
Council Meeting - January 22, 2002
January 16, 2002
Attached is Proposed Resolution No. 11618 pertaining to thc authorization of
the City Manager to execute the settlement of the City's subrogation claim in Cause No.
E-159,760. I did make an amendment to this Resolution as to delete the exact amount
of thc lien since it is fluctuating. This matter will be discussed in executive session.
JSR/jb
Attachment
CC:
VIA FACSIMILF. (713) 759-0616
Mr. Ronald G. Bankston
BANKSTON & RILEY, L.L.P.
VIA FACSIMILR (713) 650-1400
Lance Lubel
ROBINS, CLOUD, GREENWOOD & LUBEL
Harvey Robinson, Director of Human Resources
Judith S. Rawls, First Assistant City Attorney
z.prll618.memo
P.R. No. 11618
01/16/02 jb
AMENDED
RESOLUTION NO.
A RESOLUTION AUTHORIZING THE CITY
MANAGER TO DO ALL THINGS NECESSARY TO
EXECUTE THE SETTLEMENT OF THE CITY'S
SUBROGATION CLAIM IN CAUSE NO. E- 159,760
MADE AGAINST THE HEIL COMPANY &
FREIGHTLINER CORPORATION, ET AL.
WHEREAS, City has Intervened in Cause No. E-159,760, Albert Frank and
Bridget Frank v. Thc Hcil Cbmpany, ct al, in the 172nd Judicial District Court,
Jefferson County, Texas for recovery of its worker's compensation liens; and
WHEREAS, pursuant to Resolution 00-246, Mr. Bankston and Mr. Lubel arc
representing thc interests of thc City of Port Arthur, as well as thc Plaintiffs, in this
matter; and
WHEREAS, Mr. Bankston's office has informed thc City that a confidential
settlement has been reached in this litigation; and
WHEREAS, the City's licn at thc time of settlement is approximately
$100,000; and
WHEREAS, pursuant to thc Rule 11 Agreement which is attached hereto as
Exhibit A, thc City will recover its lien minus attorney's fees of one third.
WHEREAS, an estimate of thc net amount to be recovered is approximately
z.prll618
$70,884.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
THE CITY OF PORT ARTHUR:
Section 1. That the facts and opinions in the preamble are true and correct.
Section 2. That the City Manager is authorized to do all things necessary to
execute the settlement of the City's subrogation claim and to accept payment of the lien
that is reimbursable under State law less the one third attorney's fees in settlement of
the City's subrogation claim against The Hell Company and Freightliner Corporation,
et al in this litigation.
Section 3. The net amount received by Mr. Frank will be used as a credit
against future Worker's Compensation expenses, if any, as provided by Section
417.002(c) Labor Code V.T.C.A.
Section 4. That the City Manager is authorized to execute a release, subject to
approval by the City Attorney's office, in substantially the same form as Exhibit B.
Section 5. That a copy of the caption of this Resolution be spread upon the
Minutes of the City Council.
READ, ADOPTED AND APPROVED on this __ day of ,
A.D., 2002, at a Regular Meeting of the City Council of the City of Port Arthur, Texas,
by the following vote:
AYES: Mayor , City Council
z.prll618
NOES:
ATTEST:
OSCAR ORTIZ, MAYOR
CAROLYN DIXON, CITY SECRETARY
APPROVED AS TO FORM:
MARK T. SOKOLOW, CITY ATTORNEY
APPROVED FOR ADMINISTRATION:
STEVE FITZGIBBONS, CITY MANAGER
z.prll618
EXHIBIT "A"
ALBERT FRANK~AND'.:. .,
BRIDGET FRANK · · .
VS.
TI4E HEIL CO~A~ I~ A~'! :05
CAUSE NO. E-159,760
IN THE DISTRICT COURT
OF JEFFERSON COUNTY, TEXAS
172 Nn JUDICIAL DISTRICT
'. '-:--" RULE II AGREEMENT
The City of'Pb'~ Art~fi'r.-a ~d counse for Albert Frank and Bridget Frank, whici nsel are
Mr. Ronald Bankston and Mr. Lance Lubel, in Cause No. E-159,760 in the 172"'~ JudiCial District
Court, Jefferson County, Texas agree to tile following:
The City herein agrees to allow the above-referenced counsel for the Plaintiffs, Albert Frank
and Bridget Frank, to represent the City's interest in Cause No. E-159,760 in the 172~a Judicial
District Court, Jefferson County, Texas. The City's interest is the recovery of all of the City's liens,
including all worker's compensation liens which consist of weekly benefits, disability benefits, and
medical benefits paid by or to be paid by the City in any way arising from the facts of Cause No. E-
159,760. Counsel for Albert Frank, Ronald Bankston & Lance Lube[ hereinafter referred to as
Plaintiffs' counsel, agree to represedt, the City in Cause No. E-159,760. Pursuant to Section
4
17.00.~(b) of the Texas Labor Code, Plaintiffs' counsel represents to tile City that the necessary
consent of the Plaintiffs have been obtained. The City and Plaintiffs' counsel agree that Plaintiffs'
counsel will receive collectively a 1/3 contingency fee of the City's total recovery on all ofthe City's
liens, including worker's compensation liens, that in any way have or will arise from the facts of
Cause No. E- 159,760. PlaintifiV counsel and the City agree that the I/3 contingency fee will be all
inclusive, so that the City will not be charged for any costs or expenses. The total amount to be paid
to Plaintiffs' counsel will be one third of the total recovery on all of the City's liens. Plaintiffs'
counsel agrees to work out between themselves how their 1/3 fee will be apportioned between Mr.
Bankston and Mr. Lubel.
Signed and agreed to tbis ~ day of Oc~o[:'~°/''' , 2000.
Signed and agreed to this
90FRANK.PLEAD
Mark Sokolow
City Attorney on behalf of City of Port Arthur
-Y""'/day of.~4.~._. ,2000.
W6nhld Bankston
Lance Lubel -
Signed and agreed Ito Ibis ~__~___day or~<_2000'
Albert Frank, Plaintiff'
Signed and agreed 'o tills ___~_day ot'.~,(,~_,~O00.
90FRANK. PLEAD
EXHIBIT "B"
THE STATE OF ~
COUNI'~ OF.JEFFERSON
I~NO~TAr r ~ BYTI~I~
T~t I, thc undccs~-mcd, ~ duly ,urAo~zc~l ~p~sc~t~ai~e of~ CI~ OF PORT
FO~ D~G~, ~d ~ ~ p~ do for ~d ~ ~of ~e ~, ~ ~ ~d
~, ~ ACQU~ ~d FO~ D~C~GE ~ K F~, Ba-~ ~
~es, ~;;~s ~d ~ o~ ~ ~ oz '
~v~ ,~c ~ ~ 0~. i~ ~ ~m~ ~ or ~% for o~ ~ ,~t of
a~ut ~te~ 26, 1996, ~d ~e ~ ~ prat ~.~ ~. ~d~ ~cfi~ w~
o~
Ck~' of Po~ ~u~ Rck-,~ b~ Fu~ 44~
The City h~s ~ ~ ~moum~ in be~efit~
on ~ ~h~l~ ~e ~~ ~fi~ h ~ by
~d~of~~~e~~
~t ~ ~ ~ or ~& ~t ~ ~ to ~e ~ ~ of &e ~j~ ~ by
As ~ of ~ c~id~d~ for ~e ~y~t of ~e ~ove ~ ofm~. I, for ~d ~ ~ of
· e ~, ~ ~ ~d ~, ~e ~ to md do
~d ~ of ~c p~ h~ td~ ~om ~y ~d ~ c~xs, ~n&, a~s and o~ of ~fl of
~e ~ ~ ~ ~t ~e G~ ~ not t~
mdtled w x~zlve from the City.
EXECUTED in mulfple ofi~nals this .
. chyof ,2002-
THE CITF OF PORT ARTHUR
By.
Its Duly Kuthorize~l ~,ent
~ d ~ A~%r R~k'~e la Full:
THE ffrATE OF 'l'E~dkS
COUNTY OFJEI'~,SON
BEFORE ~ thc
, duly authorized agent and representative of THE CITY
OF PORT ARTHUR. -lmoxvn to me to be the person who~e wine is subse_nq~l to the'' f~regoi_qg
ix~t~,rnemt, and icleno~tledgcd t~ me that (he, ~hc) iz authori=ex.t to cxecute thc foregoing on behalf of
THE CITY OF PORT ARTHUR. ~ad that (he, she) executcd thc same for the ~ and
consideration therein expressed and in the cap~city therein ,rated.
GIVEN UNDER my h~ncl at~d ~ealof offi~ thls dayof ,2002.
Noraxy Public in and for
The S~te of Texas
AI~ R. F~ 3
Ci~ of ~ A.-.th~ Release 1~ Fulk 44.~.9