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Council Meeting of July 22, 1980
Santa Monica, California
CONFTDENTTAL STAFE'REPORT
DATE: July 10, 1980
TO: MAYOR AND CITY COUNCIL
FROM: CITY ATTORNEY
SUBJECT; Settlement of Cases Entitled Jack Wilson v. City
of Santa Monica, Case No. WEC 45308 and State
Compensation Insurance Fund v. City of Santa
Monica, Case No. WEC Sb669
FACTS
Plaintiff, Jack Wilson, age 59, filed suit against
the City for injuries sustained as a result of his 14 foot fall
into the orchestra pit of the Santa Monic Civic Auditorium on
April 15, 1976.
On the date of the accident, plaintiff was working
as a temporary laborer for Abbey Rents, assigned to deliver
furniture to the Civic Auditorium. He entered the auditorium
through an unlocked sliding door located at the south side.
A heavy asbestos fire curtain, 65 feet in width was located
65 feet from this entrance. On the other side of the curtain,
approximately 3 feet away, was the orchestra pit, which at the
time was 14 feet below the stage level and serving as a freight
elevator. The fire curtain was a weighted, solid barrier.
According to City employees, plaintiff must have
crawled underneath the curtain which was raised approximately
1-1/2 to 3 feet above the stage level. According to Mr. Wilson,
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he parted the curtain, simply took one step and fell into the
pit sustaining serious injuries requiring hospitalization
and surgeries. Because of the weight of the curtain, the City's
version appears more credible. It is not clear how plaintiff
would fall into the pit after crawling under the curtain.
In addition to the lawsuit brought by plaintiff
Wilson, the. State Compensation Insurance Fund, has brought an
independent action against the City for their compensation
expenditures on behalf of plaintiff.
T.T-RTT.TTV
The basis of the City°s liability is the negligent
creation of a dangerous condition of public property, pri-
marily due to the failure to lock the back (south) door without
posting signs indicating that deliveries should be made in
the front. Locking the south door would have been a simple
precaution to take while the stage was in use as a freight
elevator. The Civic employees recognize the potential dangerous-
ness of this situation as evidenced by the posting of an employee
to stand guard on the opposite or north side of the pit while
it was being lowered.
INJURIES AND DAMAGES
As a result of this accident, plaintiff was hospitalized
at the Santa Monica Hospital Medical Center for two weeks.
Plaintiff sustained a right shoulder dislocation which
was operated on in the emergency room of the Santa Monica
Hospital. Additionally, plaintiff underwent surgery involving
the placing of a pin in his fractured right hip.
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As reflected in payments made by the State Compensation
Insurance Fund (see attached letter), plaintiff sustained the
following damages:
1. Medical (Santa Monica P4edical
Center, Dr. Paul Tsou) $ 6,595.40
2. Temporary Disability (estimated
wage loss from April 15, 1976
through January 2, 1978) 5,165.61
3. Permanent Disability (payment
based on estimated future wage
loss) 8,528.31
$21,278.82
PRETRIAL SETTLEMENT NEGOTIATIONS
Former Assistant City Attorney, Shari K. Silver, engaged
in settlement discussions with plaintiff's counsel at the $30,000
level. On March 11, 1980, there was a Voluntary Settlement
Conference scheduled with Judge Mario Clinco. Present at said
conference were Attorney Raymond A. Cozy representing plaintiff
Jack Wilson, Attorney Charles W. Savage representing the State
Compensation Insurance Fund and former Deputy City Attorney
Seth Weisbord representing the City of Santa Monica. After
lengthy negotiation, Judge Clinco recommended and all counsel
present agreed, pursuant to approval by City Council, that
$11,000.00 would settle the consolidated actions. This
settlement was intended to reflect the arguable liablity of the
City and the comparative fault of plaintiff Wilson.
For the past two months, Interim Litigation Coordinator,
Yvonne Binstock, has been negotiating with plaintiff's counsel
as well as counsel representing the State Compensation Fund in
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an attempt to reach a more favorable settlement. The result of
said discussion is a total settlement package of $8,000 to
resolve the consolidated actions, $6,000 to plaintiff Jack
Wilson and $2,000 to the State Compensation Insurance Fund.
(See attached letters.)
In light of the documented special damages of
$21,278.82 and the exposure of the City to liability, it is
recommended that the City Council approve the $8,000 settlement
in order to obtain dismissal of these cases.
Prepared By:
STEPHEN S. STARK
Acting City Attorney
YVONNE BINSTOCK
Deputy City Attorney
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600 SOUTH LA FAVETTE PARK PLACE ~ LOS ANGELES, CALIFORNIA
TELEPHONE (213) 38S1fi31
April 14, 1980
Seth Weisbond
Deputy City Attorney
1685 Main Street
Santa Monica, California 90401
Gentlemen
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IN .R6^LY RE'FEA TG:
Inj, Jack Wilson
Case SC11O632
Emp, Crest Labor
DOI 4-14-76
Re Jack A. Wilson vs. City of Santa Monica, et al,
LASC No. WEC 45308 Consolidated with
SCIF vs. City of Santa Monica, et al.
LASC No. WEC 46669
As you recall we met at a Voluntary Settlement Conference in
Judge Mario Clinco's Court on March 11, 1980. Judge Clinco
recommended and all counsel present agreed that $11,000.00
would settle the above consolidated actions. Mr. Wilson°s
attorney, Raymond A. Cozy agreed to accept $7,500.00 of the
above amount for himself and his client and the State
Compensation Insurance Fund agreed to accept $3,500.00 as
reimbursement for their compensation expenditures on behalf
of Mr. Wilson.
Your obligation was to present the recommended settlement
amount to the Santa Monica City Council for approval. Sub-
sequently, you telephoned me regarding our expenditures
which are:
Temporary Disability $ 5,165.61
4-15-76 to 1-2-78
Vocational Rehabilitation 989.50
9-14-78 to 11-7-78
Permanent Disability 8,528.31
Medical 61, 595, 40
Total $21,278.82
Mail Atltlress: P.O. Box 2134, Terminal Annex ~ Los Angeles, California 90051
Jack [~iilson
SC11Q632
Page Two
T'ou also requested verification of our'eXpenditures. Upon
reviewing the file, I note that in August of 1977, the State
Compensation Insurance Fund answered your interrogatories
regarding expenditures and supplied you with file copies of
checks, and later with copies of medical bills. Medical
reports were supplied to your office by Mr. Cozy.
While I check the accounting, Mr. Cozy and myself would
appreciate it if you would notify us as to your efforts made
in behalf of settling this case as recommended by Judge Clinco.
May we have your reply?
I look forward to hearing from you.
Very truly yours
GROZINGER, VONK, HERSHENSON & BJORNSEN
Charles W. Savage
Attorney at Law
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cc Raymond A. Cozy, ESQ
Union Bank Tower, Suite 401
21515 Hawthorne Blvd.
Torrance, California 90503
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Add~T®N -r
LAW OFFICES /
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COZY S. KELLER ~~~ 2 2 i?~?~
q PROFESSIONAL CORPO RPJTION
R AYMONO A. COZY DEL AMO FINANCIAL CENTER TELEPHONE
ROBERT V. KELLER 540-1332
UNION BANK TOWER, SUITE 401
772-0285
21515 HAWTHO4NE BOULEVARD
TO RRAN CE, CALIFORNIA 90503
July 16, 1980
Ms, Bmstoc
Deputy City Attorney
CITY OF SAN1A MONICA
1685 Main Street
Suite 310
Santa Monica, Californa 90401
RE: Jack Wilson vs. City of Santa Monica
~~ WEC46669-C45308
Dear Ms. Bimstoc:
In connection with the above-entitled matter, this will confirm
our telephone conversation in which this office had agreed on
behalf of Jack A. Wilson, to accept $6,000.00 in full settlement
of his case now pending against the City of Santa Monica.
It is my understanding that Mr. Charles Savage of State Compen-
sation Insurance Fund has agreed to accept $2,000.00 in full
settlement of the Claim of the State Compensation Insurance
Fund vs, the City of Santa Monica.
Because time is of the essence in this matter, this offer to
settle for $6,000.00 by Mr. Jack Wilson, will remain open for
45 days from this date. In the event circumstances are such that
the tna`~ter cannot be resolved within that period of time, we will
deem the offer withdrawn and will proceed to trial.
for your courtesy throughout.
truly y
A.
cc: Groezinger, Vonk,Hershenson & Bjornsen
Attn: Charles W. Savage, Esq.,
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