Skip to comments.Duke settles suit (with ins company AIG) over costs of lacrosse scandal
Posted on 02/23/2011 3:35:42 PM PST by abb
Published Wed, Feb 23, 2011 04:03 PM Modified Wed, Feb 23, 2011 04:05 PM Duke settles suit over costs of lacrosse scandal
DURHAM Duke University has settled a lawsuit against its insurance company over costs associated with the Duke lacrosse scandal.
The National Union Fire Insurance Co., an affiliate of insurance giant AIG, and Duke had been wrangling over whether the company should reimburse the university for costs tied to the confidential settlements of lawsuits with three former lacrosse players and the former lacrosse coach.
Duke agreed to dismiss the suit, and each party will pay its own attorneys fees. The terms of the settlement have not been made public.
Initially, AIG said it was left in the dark and shouldn't have to pay for any of the settlement costs. It said university officials violated the contract by not telling the company about the settlements with the players until after the fact. The university argued that it was barred from disclosing information because of the settlements confidentiality clause.
The case stems from rape allegations that an escort-service dancer lodged against three players after a lacrosse team party in June 2006. Before all the facts were gathered and any criminal charges were filed, Duke suspended the team's season.
In April 2007, state Attorney General Roy Cooper dismissed all charges against the wrongly accused. In June 2007, Duke entered a settlement with three players.
So how much did this cost the tax payers.
The only tax-payer exposure would come from the lawsuit directed at Nifong. I'm not sure if those have been settled yet. Duke, as a private school, is going to have to eat whatever they paid their (former) players.
None of the lawsuits filed by the players against Duke, Durham, and the DA have been settled. The judge is stalling and hasn’t even allowed discovery.
On the contrary, actions of the Durham police also expose the taxpayer to considerable liability.
If it is still online somewhere, watch the video of Nifong’s disbarment hearing.
It’s altogether possible that Duke and its accomplices
may be too well-connected to be brought
The roster of Trustees is impressive (including then
Chair Robert K. Steel—of Goldman-Sachs, the US
Treasury, and Wachovia).
When ordinary people try to sue persons of such clout,
they may find the federal courts unresponsive.
Here’s one of the better pieces of the testimony in that hearing.
This isn’t frontpage material.
I used my best judgment when I posted it. Thank you for the correction.
They need to get the judge off the case, then.
What, their lawyers haven’t learned the fine art of forum shopping yet?