HomeMy WebLinkAboutResolutions - 1984.09.13 - 17958iMiscellaneous Resolution #84234 . August 30, 1984
BY: PLANNING & BUILDING COMMITTEE-Anne M. Hobart, Chairperson
RE: DRAIN COMMISSIONER-RETAIN OUTSIDE LEGAL COUNSEL-
kRUCHKO v. GEORGE W. KUHN, ET AL
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Mr, Chairperson, Ladies and Gentlemen:
WHEREAS, the Oakland County Board of Commissioners authorized the
construction of the Holly Sewage Disposal System under the provisions of Act 342
of 1939, as amended, and designated George W. Kuhn. the Oakland County Drain
Commissioner, as County Agency for the project on January 20, 1977; and
WHEREAS, a contract for the construction of the project was awarded to
Lerner-Linden. Inc. on October 20, 1978; and
WHEREAS, a civil suit seeking damages was filed by Lerner-Linden, Inc.
and Gordon Set-Way, Inc. against the Oakland County Drain Commissioner and the
County of Oakland on February 25, 1981; and
WHEREAS, the law firm of Dickinson, Wright, Moon, VanDusen & Freeman
was retained to defend the County on March 25, 1981; and
WHEREAS, following mediation, but before trial of the Lerner-Linden lawsuit
in Circuit Court, a Satisfaction of Judgment was filed on April 20, 1983; and
WHEREAS, a civil suit seeking damages was filed by the Steve Kruchko
Company against the Oakland County Drain Commissioner and the County of Oakland
on April 19, 1984: and
WHEREAS, the Steve Kruchko Company was a subcontractor to Lerner-Linden
on the Holly Sewage Disposal System project, and the claims asserted in the suit are
related to the claims made in the Lerner-Linden lawsuit; and
WHEREAS, the Midland Insurance Company by letter dated July 12, 1984
has assigned legal counsel to defend the Kruchko lawsuit, but has disclaimed liability
for "any amounts due or payable under the terms of arty contractual obligation;" and
WHEREAS, the Oakland County Drain Commissioner believes that in order to
protect the interests of the project, and in order to properly defend the claims alleged
in the lawsuit in view of the stated disclaimers of the insurance company, that outside
legal counsel should be retained to defend the interests of the County in the subject
action: and
WHEREAS, the cost of litigation including the cost of legal counsel and any
other defense costs cart be paid from project funds and are eligible for EPA grant
participation; and
AVe4i -sal T. CCii0
Y APPROVE THE FOREGOING RESOLUTION I HE
Miscellaneous Resolution #84234
Drain Commissioner-Retain Outside Counsel
August 30, 1984-Page 2
WHEREAS, the familiarity of the Dickinson, Wright law firm with the merits
of the prior claim asserted by Lerner-Linden and their defense of that suit make the
employment of their firm appropriate and in the best interests of the County, and will
in the opinion of the Drain Commissioner permit the defense of this suit to proceed
at less cost than if new legal counsel unfamiliar with the factual and legal issues
in the case were retained.
NOW THEREFORE BE IT RESOLVED that the Oakland County Board of
Commissioners hereby approves the hiring of outside legal counsel to represent
George W. Kuhn, the Oakland County Drain Commissioner, and the County of Oakland
in the matter of Case No. 84-276029-CK, pursuant to the policy established in
Miscellaneous Resolution No. 8082.
BE IT FURTHER RESOLVED that all costs of defense of this suit be paid
from the funds of the Holly Sewage Disposal System project pursuant to the provisions
of Act .342 of 1939, as amended,
Mr. Chairperson, on behalf of the Planning & Building Committee, I
move the adoption of the foregoing resolution.
PLANNING & BUILDING COMMITTEE
Anne M. M. Hobart, Chairperson
FISCAL NOTE
BY: FINANCE COMMITTEE, DR. G. WILLIAM CADDELL, CHAIRPERSON
IN RE: MISCELLANEOUS RESOLUTION #84234-DRAIN COMMISSIONER-RETAIN OUTSIDE
LEGAL COUNSEL-KRUCHKO V. GEORGE W. KUHN, et al
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Mr. Chairperson, Ladies and Gentlemen:
Pursuant to Rule XI-C of this Board, the Finance Committee has reviewed
Miscellaneous Resolution #84234 and finds no budgeted funds are required to
retain outside legal counsel for the Drain Commissioner.
The funds to be used from the Hotly Sewage Disposal System project for this
purpose are to be limited to $5,000.
FINANCE COMMITTEE
September • 84
adlaWC. AA-
kh k. ALLEN
day of 13th this
#84234 September 13, 1984
Moved by Hobart supported by Foley the resolution with Fiscal Note attached be adopted.
Moved by Hobart supported by Gosling the funds to be used from the Holly
Sewage Disposal System project for this purpose be limited to $5,000, as recommended
in the Fiscal Note.
A sufficient majority having voted therefor, the motion carried.
Vote on resolution;
AYES: Calandro, Doyon, Foley, Fortino, Gosling, Hobart, Jackson, R. Kuhn,
S. Kuhn, Lanni, Law, McConnell, McDonald, Moffitt, Moore, Nelson, Page, Perinoff,
Pernick, Rewold, Wilcox, Aaron. (22)
NAYS: McPherson. (1)
A sufficient majority having voted therefor, the resolution
with Fiscal Note attached was adopted.
STATE OF MICHIGAN)
COUNTt OF OAKLAND)
I, Lynn D. Allen, Clerk of the County of Oakland and having a seal,
do heretr! certify that I have compared the annexed copy of
Resolution #84234 adopted by the Oakland County Board of Commissioners at their
meeting held on September 13, 1984
with the orginial record thereof now remaining in my office, and
that it is a true and correct transcript therefrom, and of the
whole thereof.
In Testimony Whereof, I have hereunto set my hand and affixed the
seal of said County at Pontiac, Michigan
County Clerk/Register of Deeds