HomeMy WebLinkAboutR-85-0715,.14
A RESOLUTION AUTHORIZING AND APPROVING A
PROPOSED STIPULATION ON BEHALF OF THE CITY
RELATING TO THE PAYMENT AND DISPOSITION OF
PENDING CLAIMS FOR REASONABLE, PLAINTIFFS'
ATTORNEYS FEES ARISING FROM CITY PENSION
LITIGATION WHEREBY THE CITY SHALL PAY THE SUM
OF $50,000 TO THE LAW FIRM OF EDMOND
GONG, THE SUM OF $50,000 TO THE FIRM OF
RONALD A. SILVER, THE SUM OF $26,000 TO
ROBERT D. KLAUSNER, ESQ. AND THE SUM OF
$750,000 TO THE LAW FIRM OF THOMSON, ZEDER,
BOHRER, WERTH, ADORNO & RAZOOK, WITH FUNDS
AVAILABLE FOR SAID PAYMENTS BEING ALLOCATED
FROM PENSION FUND BALANCE.
WHEREAS, on October 31, 1984 the City Commission approved a
settlement of the Gates case and other pension related
litigation; and
WHEREAS, the payment of reasonable attorneys fees to
Plaintiffs' counsel in said lawsuits is a necessary step in
disposing of said litigation;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY
OF MIAMI, FLORIDA:
Section 1. The City Commission hereby authorizes and
approves a proposed stipulation on behalf of the City relating to
the payment and disposition of pending claims for reasonable
Plaintiffs' attorneys fees arising from City pension litigation
whereby the City shall pay the sum of $50,000 to the law firm of
Edmond Gong, the sum of $50,000 to the firm of Ronald A. Silver,
the sum of $26,000 to Robert D. Klausner, Esq. and the sum of
$750,000 to the law firm of Thomson, Zeder, Bohrer, Werth, Adorno
& Razook, with funds available for said payments being hereby
allocated from Pension Fund Balance.
CITY COMMISSION
MEETII40 OF
JUL IS %M
RISM,1110, r.c
MEMARn;
PASSED AND ADOPTED this 18th day of. July I ; 15856
85-715 �
L.Av✓ OFrICES
R
0660r L.FLOVD
PAY 4, PE•RSON
GERALD c RICHMAN
ALAN G.GPEER
KENNETH J.WEIL
STEPHEN N. ZAC!t
JOHN M. BRUMBAUGH
BERTHA CLAIRE LEE
ANDREW J. M,PABITO
S. D►NIEL PONCE
BRUCE A. CHRISTENSEN
SCOTT D. Sm EFTALL
HERMAN J.RUSSOMANNO
CHARLES H.JOHNSON
PLOYb PEARSON RICHMAN GREER WEIL ZACK & BRUMBAUGH
PROFESSIONAL ASSOCIATION
ROBERT C. BIEGEN
TMOMAS MEEKS
ONE BISCArNE TOWER
DINA V. CELLINI
SCOTT JAY FEDER
TWENTr-FIFTH FLOOR
JOHN I. EVERSOLE III
FIIAMI, FLORIDA 33131-1689
DEBRA WEISS GOODSTONE
ALAN S. cINE
GAPY S. BETENSKT
AREA CODE 305
DIANE WAGNER KATZEN TELEPHONE 377-0241
BROWARD 523-d291
Jluly` 8 0 10 A
Honorable Maurice Ferre, Mayor
Honorable Joe Carollo, Vice Mayor
Honorable Demetrio Perez, Commissioner
Honorable J. L. Plummer, Commissioner
Honorable Miller Dawkins,Commissioner
Honorable Sergio Pereira, City Manager
RE: City of Miami ays. Gates
Gentlemen:
After eight (8) long years of difficult litigation
at various levels, including two additional mandamus
lawsuits and a constitutional stay writ and sensitive,
protracted negotiations involving multiple labor unions and
five separate law firms, this class action lawsuit and the
related suits were finally settled on May 23, 1985. The
only remaining issue was attorneys' fees for which the City
was obligated as part of the final judgment of settlement
and by agreement with the attorneys. The final hearing on
legal fees was scheduled to begin on June 21, 1985.
However, June 11, 1985, was the deadline for each attorney
to file in writing the exact amount of what he considered a
reasonable fee,the hours expended, and the services
rendered. It was at this point that this law firm became
involved.
The firm of Thomson, Zeder, Bohrer, et al. sought
between $1,800,000 and $2,500,000 for 3,300-3,500 hours
expended since mid-1977 and theirs was the seminal lawsuit.
Their experts were Chesterfield Smith, former president of
the American Bar Association, and Hugo Black, a prominent
Miami attorney, who were going to testify to the amount
e
Honorable Maurice Ferre, Mayor
Honorable Joe Carollo, Vice Mayor
Honorable Demetrio Perez, Commissioner
Honorable J. L. Plummer, Commissioner
Honorable Miller Dawkins,Commissioner
Honorable Sergio Pereira, City Manager
July 8, 1985
Page 2
stated. Attorney Ronald A. Silver sought $1,000,000 for 500
hours; Attorney Edmond Gong requested $450,000 for 1,100
hours; and Robert D. Klausner asked for $26,000 for 260
hours. Richard Sicking demanded $1,110,000 for 1,500 hours.
After settlement negotiations with these attorneys
broke down and the trial court refused to continue the final
hearing, we immediately scheduled the depositions of all
attorneys, so that the discovery procedure would be
completed before the scheduled hearing. Although we
continued around the clock, vigorous, expedited discovery,
the lines of communication remained open. Late Thursday,
June 20, 1985, we settled four of the five attorneys on the
following favorable and fair terms, subject, of course, to
your final approval.
As for attorneys Gong, Silver and Klausner, they
will accept $100 an hour for their time expended. In the
cases of Messrs. Gong and Silver, this amounts to $50,000
each for 500 hours at $100 an hour for the hours previously
not compensated and is in line with their customary fees.
Mr. Klausner's fee will be $26,000 for 260 hours. The
Thomson Zeder firm will be paid $750,000 for between 3,300-
3,500 hours expended on a contingency basis complete since
1977 and is consistent with what a court would allow them
under the circumstances, as we construe the case law set out
by the Florida Supreme Court in the recent Rowe decision.
Thus, total settlement is $876,340, leaving only the still
pending claim of Richard Sicking. We have offered to settle
with Sicking on the same basis as Messrs. Gong, Silver and
Klausner, but he has rejected our -good faith efforts to
FLOYD PEARSON RICHMAN GREER WEIL ZACK S BRUMBAUGH
PROFE5510NAL •SSOGIATiON
8V • 15 r