City of Glendale to Pay $3m, Law Firm Liebert Cassidy Whitmore to Pay $1m to Plaintiffs in Agreement on Sexual Harassment Case
By Darleene Barrientos, The Los Angeles Times
GLENDALE, Calif. - One Glendale Police officer and two former officers will get a total of $4 million in a settlement agreement filed Friday, in exchange for dropping all lawsuits, judgments and appeals against the city and the city’s defense attorneys.
After weeks of negotiation between the plaintiff, defense, appellate and city attorneys, city officials ultimately decided to pay the three women — Officer Renae Kerner and former officers Jamie Franke and Katie Frieders — $3 million from city coffers to end the nearly 2-year-old sexual harassment case.
Liebert Cassidy Whitmore, the firm that defended the city, agreed to pay $1 million to settle the lawsuit filed by the women’s attorney, Brad Gage, alleging that city officials and the city’s attorneys defamed his clients after they won a $3.5-million jury verdict against the city last year.
“We believed all along, based on the information that we had, that we had a very, very strong case on appeal,” Councilman Dave Weaver said. “It came down to a question on whether to appeal or to settle this thing. The strongest reason for settling was that even if we won [in appellate court], it would mean going back to trial and spending many more millions for another trial.”
The council approved the amount last week but did not know until this week whether the plaintiffs would accept the offer, he said.
“From my standpoint, it was the best way to end it — to stop the hemorrhaging of the dollars of the city,” Weaver said. “It was not by any means an easy decision, when you are absolutely convinced you are right and then have to give away the taxpayer’s money. That’s tough. We as council members have to defend this decision … I don’t know what we would have done if they hadn’t accepted the offer. I’m just glad to have it over with.”
Up until Friday, the case’s jury verdict last year was whittled down to $3.2 million after post-trial motions, and it was embroiled in several appeals that might have bogged it down for at least another year.
“Even though we disagreed with the jury verdict, I don’t think we could ignore [it],” Senior Assistant City Atty. Carmen Merino said. “There comes a time when you just have to look at what’s in the best interest of the city, the Police Department, the taxpayers and the employees.”
The total expense to appeal the case could have cost up to $4.7 million, she said.
In addition to the total sum of $4 million, the settlement agreement ensures a lifetime pension that will exceed $1 million for former officer Jamie Franke. The jury gave Franke the largest award — $1.3 million — because they found she had suffered from retaliation and disability discrimination.
“Most importantly, this vindicates the women — that’s what is most important,” Gage said. “It vindicates them in their lawsuit and in the statements made against them.”
The settlement comes just a few weeks after the city lost its first appeal. A judgment against former officer Carla Haupt, which required her to pay defense attorney fees, was overturned last month by an appeals court. Merino denied the reversal had anything to do with the city’s decision to make a settlement offer. But Gage said otherwise.
“I think what happened is we kept winning things, until they finally cried uncle,” Gage said. “Basically, when you grab someone in a vital area and squeeze hard enough, eventually their heart and their minds follow.”
The original plaintiffs in the harassment case filed in December 2002 were Franke, Haupt, Frieders, Kerner and Community Service Officer Linda Daidone. Defense attorneys won a summary judgment against Haupt because a judge did not find enough evidence for a verdict. Daidone dropped her case in 2002 in a settlement for an unknown amount.
Franke has not worked since she left to have a baby in October 2001. Frieders left Glendale to be an officer with the Fullerton Police Department.
The trial began in February 2003, but Superior Court Judge David A. Workman declared a mistrial about two weeks later because too many jurors had called in sick. The second trial’s testimony spanned nearly three months, losing another two jurors due to sickness and Workman because of an emergency back operation. On June 2, 2003, a jury of three women and nine men awarded the remaining plaintiffs a verdict of $3.5 million, finding they were subjected to sexual harassment, discrimination and a hostile work environment.