Settlement gives Post $520K - Insurance News | InsuranceNewsNet

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November 21, 2021 Newswires
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Settlement gives Post $520K

Stow Sentry (OH)

"[The city's] insurance approached mine, and my insurance carrier stepped up and basically covered me on the case. Now, why mine was the only one, I can't really speak specifically to that."

Munroe Falls Mayor James Armstrong

Three Munroe Falls officials have signed an agreement to end a 31/2-year legal battle that a fired police sergeant waged against the city.

Bob Post is set to receive more than $500,000 from the city and various insurance policies as part of the agreement signed by Mayor James Armstrong, law director Thomas Kostoff and former Police Chief Jerry Hughes.

The city has spent at least $111,525 on legal costs in the case since 2018, with more fees expected to be billed next month, according to finance director Karen Reynolds.

"We're proud of this result as it allows Mr. Post to receive his full back wages and retire with dignity like he deserves," Post's attorney Chris Lalak said. "It allows the parties to put the matter behind them."

Hughes announced in April 2018 that Post was relieved from his duties "following an investigation as the result of a citizen's complaint."

Post's complaint, filed in December 2018 and handled in U.S. District Court in Youngstown, named the city, Armstrong, Hughes and Kostoff as defendants, accusing them of First Amendment retaliation, defamation, malicious prosecution and civil conspiracy. He sought compensation for lost earnings and benefits, as well as damages, court costs and attorney fees.

According to the agreement, Post will receive $522,976.41, including:

$256,089.48 in back wages, including contractual raises, through his retirement eligibility date of Nov.17;

$49,937.45 from the Ohio Police and Fire Pension Fund;

$196,049.48 for attorneys fees and costs incurred;

An additional $20,000.

Those payments must be made within 30 days.

As part of the settlement, the city and the three officials "do not admit any violation of law, liability or invasion of any rights," with the defendants expressly denying the accusations.

Earlier this month, Munroe Falls City Council approved a resolution to contribute up to $135,000 out of the city's general fund to contribute to the settlement, and on Tuesday Armstrong said that the city contributed around $131,000, or about 25% of the total settlement.

The majority of the remaining balance will be paid from the city's insurance policy, and about $50,000 will be paid from homeowner insurance policy shared by Armstrong and his wife.

Armstrong said neither Hughes nor Kostoff are contributing to the settlement.

"[The city's] insurance approached mine, and my insurance carrier stepped up and basically covered me on the case," Armstrong said. "Now, why mine was the only one, I can't really speak specifically to that."

He said he was satisfied that the terms of the settlement meant Post could not return to his job with the city and that the cost to taxpayers was less than the litigation costs.

"We estimated [legal costs] were going to be $180,000 to $200,000 because we had the trial, the court of appeals case and an entire two- or three-day hearing under arbitration," Armstrong said. "The only reason to try the case was my own ego, and I wasn't willing to use taxpayer dollars for that."

The settlement comes as the three city officials named in the suit are in transitional periods of their careers.

Hughes retired Nov.1 after five years as police chief, and Armstrong announced he will resign in January to become director of legal services with Summit County Developmental Disabilities Board.

Meanwhile, Kostoff's appointment as law director expires Jan.31.

Council is currently considering his reappointment, and the resolution to rehire him for a a one-year term had its first reading on Tuesday.

Council president Chris Ritzinger, however, recommended that the legislation be tabled at the second or third reading in December.

"This is in no way any negative with Mr. Kostoff," Ritzinger said, adding that after Armstrong retires "it will be council president after the Jan.3 meeting who becomes mayor. I feel that person should have some input in that ... that gives that individual and the mayor some time to talk and help with that decision."

Reporter Krista S. Kano can be reached at 330-541-9416, [email protected] or on Twitter @KristaKanoABJ.

"[The city's] insurance approached mine, and my insurance carrier stepped up and basically covered me on the case. Now, why mine was the only one, I can't really speak specifically to that."

Munroe Falls Mayor James Armstrong

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