RESOLUTION NO. RS2002-1129
A resolution authorizing the Director of Finance and the Director of Law to enter into an agreement accepting $875,000 in compromise and settlement of the Metropolitan Government's claim against Nelson Plumbing, Inc., Tennessee Stadium Group, LLP, Highlands Insurance Company and Travelers Insurance Company.
Whereas, pursuant to a contract between Tennessee Stadium Group, LLP (“TSG”) and the Metropolitan Government, through its agent the Metropolitan Development and Housing Agency, TSG served as the construction manager for construction of the facility now known as the Adelphia Coliseum (the “Project”) in Nashville, Tennessee; and
Whereas, TSG engaged Nelson Plumbing, Inc. (“Nelson”) to perform some of the Project plumbing work, including provision and installation of certain water lines; and
Whereas, one of the lines Nelson is alleged to have installed is further alleged to have failed (the “Event”) on or about January 4, 2001, causing damage to the Project; and
Whereas, the Metropolitan Government brought suit against Nelson, TSG and Markel seeking to recover the costs associated with repairing the damage caused by the Event. The suit is designated as case number 01-2341-II, currently pending in Davidson County Chancery Court; and
Whereas, the parties desire to settle and compromise all issues raised in the suit by entering into the attached Agreement; and
Whereas, after investigation, the Department of Law believes that the settlement listed in Section 1 is fair and reasonable, and recommends that the claim be compromised and settled in the amount of $875,000 and that these funds be deposited into the appropriate fund and account as determined by the Department of Finance.
Now, therefore, be it resolved by the Council of The Metropolitan Government of Nashville and Davidson County:
Section 1: The Director of Finance and the Director of Law are authorized to enter into the attached Agreement and accept the amount of $875,000 in compromise and settlement of the Metropolitan Government’s claim against Nelson Plumbing, Inc., Tennessee Stadium Group, LLP, Highlands Insurance Company and Travelers Insurance Company.
Section 2: This resolution shall take effect from and after its adoption, the welfare of The Metropolitan Government of Nashville and Davidson County requiring it.
Sponsored by: Jim
|Referred to:||Budget & Finance Committee|
|Introduced:||August 20, 2002|
|Adopted:||August 20, 2002|
|Approved:||August 21, 2002|