HomeMy WebLinkAboutR-19-0327City of Miami
q Legislation
Resolution: R-19-0327
File Number: 6442
City Hall
3500 Pan American Drive
Miami, FL 33133
www.miamigov.com
Final Action Date: 9/12/2019
A RESOLUTION OF THE MIAMI CITY COMMISSION ACCEPTING A
SETTLEMENT AS TO THE PARTIAL PAYMENT FROM RESOLUTE
MANAGEMENT, AS CLAIMS HANDLER FOR NATIONAL INDEMNITY
COMPANY TRAVELERS INSURANCE COMPANY, PART OF THE
TRAVELERS INSURANCE GROUP, AS SUCCESSOR TO UNITED STATES
FIDELITY AND GUARANTY COMPANY ("USF&G"), OF DEFENSE FEES AND
COSTS IN THE CASE OF STYLES, ET AL. V. CITY OF MIAMI, ET AL., CASE
NO. 17-022967, PENDING IN THE ELEVENTH JUDICIAL CIRCUIT IN AND
FOR MIAMI-DADE COUNTY; AUTHORIZING THE CITY MANAGER TO
EXECUTE ANY AND ALL NECESSARY DOCUMENTS, ALL IN A FORM
ACCEPTABLE TO THE CITY ATTORNEY, TO EFFECTUATE THE
SETTLEMENT.
WHEREAS, pursuant to Resolution No. 16-0130 adopted March 24, 2016,
the City Commission directed the City Attorney to locate all City of Miami ("City")
historical insurance policies and to take any and all actions necessary to pursue
insurance recovery, as applicable, and to engage outside counsel Eisenstein
Malanchuk LLP and Nason, Yeager Gerson, White & Lioce, P.A. (collectively, "Outside
Counsel"), on a contingent fee basis, to locate City historical insurance policies and
to pursue coverage claims, as applicable; and
WHEREAS, Outside Counsel has located evidence of historical policies and
has pursued coverage claims against numerous insurance companies; and
WHEREAS, Resolute Management, as claims handler for National Indemnity
Company and Travelers Insurance Company, part of the Travelers Insurance
Group, as successor to United States Fidelity and Guaranty Company ("USF&G"),
has agreed to pay fifty percent (50%) of the defense costs subject to approving the
hourly rates of Outside Counsel and their staff and has also pre -approved an hourly
rate for attorneys who are employed by the Office of the City Attorney ("OCA") of
$175.00 and paralegals who are employed by the OCA of $75.00 in the case of
Styles, et al. v. City of Miami, et al., Case No. 17-022967, pending in the Eleventh
Judicial Circuit in and for Miami -Dade County ("Styles"); and
WHEREAS, the contingency fee compensation of Outside Counsel would be
thirty five percent (35%) of dollars received by the City from the insurers; and
WHEREAS, this settlement does not waive or otherwise address any areas not
specifically set forth including, but not limited to, the defense of other claims or the
indemnification of this or any other claim; and
City of Miami Page 1 of 2 File ID: 6442 (Revision:) Printed On: 9/23/2019
File ID: 6442 Enactment Number: R-19-0327
WHEREAS, the OCA has investigated this claim for defense fees and costs in
Styles and recommends that said claim be settled;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY
OF MIAMI, FLORIDA:
Section 1. The recitals and findings contained in the Preamble to this Resolution
are adopted by reference and incorporated as is fully set forth in this Section.
Section 2. Payment from Resolute Management, as claims handler for
National Indemnity Company and Travelers Insurance Company, part of the
Travelers Insurance Group, as successor to USF&G, to the City of fifty percent
(50%) of the defense costs subject to approving the hourly rates of Outside
Counsel and their staff and the pre -approved hourly rate for attorneys who are
employed by the OCA of $175.00 and paralegals who are employed by the OCA of
$75.00 in the Styles is accepted.
Section 3. The City Manager is authorized' to execute any and all necessary
documents, all in a form acceptable to the City Attorney, to effectuate the Settlement as
to partial payment.
Section 4. This Resolution shall become effective immediately upon its adoption
and signature of the Mayor.2
APPROVED AS TO FORM AND CORRECTNESS:
1
Una ndez, City Attor iey 8/3012019
The herein authorization is further subject to compliance with all requirements that may be imposed by
the City Attorney, including but not limited to, those prescribed by applicable City Charter and City Code
provisions.
2 If the Mayor does not sign this Resolution, it shall become effective at the end of ten (10) calendar days
from the date it was passed and adopted. If the Mayor vetoes this Resolution, it shall become effective
immediately upon override of the veto by the City Commission.
City of Miami Page 2 of 2 File ID: 6442 (Revision:) Printed on: 9/23/2019