R-1463 - 05/26/2015 - AGREEMENTS - Resolutions RESOLUTION 2015-AG-SETT-PL-R-1463
A RESOLUTION APPROVING AND AUTHORIZING THE EXECUTION
OF A SETTLEMENT AGREEMENT BY AND BETWEEN
THE VILLAGE OF OAK BROOK AND ROBERT MUDRA
WHEREAS, Robert Mudra ("Plaintiff") filed a lawsuit in 2013 in the Court of DuPage County,
Illinois, Case No. 2013 MR 582, claiming that the Plaintiff is entitled to benefits under the Public Safety
Employee Benefits Act, 820 ILCS 320/1 et seq., and the Public Employee Disability Act, 5 ILCS 345/0.01
et seq. ("Lawsuit"); and
WHEREAS, the Village and the Plaintiff now desire to reach a mutually acceptable, good faith
resolution of all matters pending between them; and
WHEREAS, the President and Board of Trustees have determined that settling the Lawsuit with
the Plaintiff by entering into a settlement agreement is in the best interests of the Village;
NOW THEREFORE, BE IT RESOLVED BY THE PRESIDENT AND BOARD OF TRUSTEES OF
THE VILLAGE OF OAK BROOK, DU PAGE AND COOK COUNTIES, ILLINOIS as follows:
Section 1: Recitals. The foregoing recitals are hereby incorporated into, and made a part
of, this Resolution as the findings of the President and Board of Trustees of the Village of Oak Brook.
Section 2: Approval of the Settlement Agreement. The President and Board of Trustees
hereby approve the Settlement Agreement by and between the Village and the Plaintiff, in substantially
the same the form as attached as Exhibit A("Settlement Agreement').
Section 3: Authorization and Execution of the Settlement Agreement. The Village President
and Village Clerk shall be, and hereby are, authorized to execute the Settlement Agreement in
substantially the same form as attached hereto as Exhibit A after receipt of the final Settlement
Agreement fully executed by the Plaintiff.
Section 4: Effective Date. This Resolution shall be in full force and effect upon passage and
approval in the manner provided by law.
[SIGNATURE PAGE FOLLOWS]
Resolution 2015-AG-SETT-PL-R-1463
Approving and Authorizing the Execution
of a Settlement Agreement with Robert Mudra
Page 2 of 3
APPROVED THIS 26th day of May, 2015
Gopal G. Lalmalani
Village President
PASSED THIS 26th day of May, 2015
Ayes: Trustees Baar, Manzo, Moy, Tiesenga, Yusuf
Nays: None
Absent: Trustee Adler
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% Charlotte K. Pruss
Village Clerk
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Resolution 2015-AG-SETT-PL-R-1463
Approving and Authorizing the Execution
of a Settlement Agreement with Robert Mudra
Page 3 of 3
EXHIBIT A
SETTLEMENT AGREEMENT
SETTLEMENT AGREEMENT
This Settlement Agreement ("Agreement") is entered into by and between Robert Mudra
("Mudra") and the Village of Oak Brook ("Village"):
NOW, THEREFORE, FOR AND IN CONSIDERATION of the mutual covenants
herein made and for other good and valuable consideration, the receipt and sufficiency of which
are hereby mutually acknowledged,the parties do hereby enter into the following Agreement:
1. Identification and Acknowledgment of Dependents. The Village and Mudra
acknowledge and agree that, as of the effective date of this Agreement, Mudra: (i) is married to
Kristine Mudra (date of birth: September 28, 1966) ("Kristine"); and (ii) has the following two
children:
A. Kyle Mudra(date of birth: August 23, 1989); and
B. Karli Mudra(date of birth: July 29, 1993).
(each an"Existing Child", and, collectively, "Existing Children")
2. Settlement Amount and Payment.
Robert Mudra agrees to accept a settlement from the Village of Oak Brook in the total
amount of ONE HUNDRED NINETY THOUSAND AND NO/100 ($190,000.00) in exchange
for a full and final dismissal with prejudice of all claims against the Village of Oak Brook with
each side bearing its own costs and attorney's fees except as provided in paragraph 3 of this
Agreement
In consideration for payment of the aforesaid settlement amount, Robert Mudra agrees
that any and all claims or entitlements to health insurance or PEDA (as herein defined) or any
other benefits or claims, which he, Kristine, or the Existing Children may have now or in the
future from the Village, will terminate forever, effective as of the date on which the Village
delivers the settlement amount to Mudra.
The Village agrees to issue a settlement check made jointly payable to the plaintiff,
Robert Mudra, and to plaintiff's attorneys, Morici, Figlioli & Associates, in the aforesaid amount
on or before June 15, 2015. The Village's counsel will tender the settlement checks to Mudra
and his attorneys, as set forth in paragraphs 2 and 3, upon the entry of an order dismissing all
claims in their entirety with prejudice in Case No. 2013 MR 582 ("Lawsuit'), with Parties
bearing their own attorney's fees and court costs (except as expressly provided in this
Agreement).
The parties agree that $32,560.94 of the aforesaid settlement amount ($190,000.00)
represents reimbursement to Robert Mudra for past health insurance premiums he paid from
May, 2011 up to the present time, and that this reimbursement does not exceed the amount paid
by Robert Mudra for these past health insurance premiums.
The parties further agree that $8,022.46 of the aforesaid settlement amount ($190,000.00)
represent reimbursement of wage benefits as contemplated by the Illinois Public Employee
Disability Act, 5 ILCS 345/1 et seq. ("PEDA").
The parties further agree that $144,416.60 of the aforesaid settlement amount
($190,000.00) represents a compromise for disputed future health insurance premiums and that
Robert Mudra agrees to utilize this amount solely and exclusively for payment of future health
insurance premiums he will incur.
3. Attorneys' Fees & Expenses. The parties agree that $5,000.00 of the aforesaid
settlement represents attorneys' fees and expenses which have been incurred by Robert Mudra's
attorneys during the litigation of this matter. Upon payment of the aforesaid settlement amount
($190,000.00), the Village is hereby released and discharged from any and all claims for
attorneys' fees and any other expenses made by Robert Mudra or any attorney or law firm that
represented Robert Mudra in this matter.
4. Waiver. Mudra waives any and all claims he may have now or in the future for
PSEBA (Illinois Public Safety Employee Benefits Act, 820 ILCS 320/1 et seq.) or PEDA
benefits to which he, Kristine, the Existing Children, or any other current or future spouse or
child could be entitled based upon Mudra's disability status.
Mudra acknowledges that he has received all compensation due him and that the Village
has discharged all obligations to him as a result of his work on behalf of the Village, as well as
any other expectation of remuneration or benefit.
5. Consideration. Mudra acknowledges that he would not be entitled to the benefits
provided for in paragraph 2 above in the absence of his signing this Agreement, that the benefits
constitute a substantial economic benefit to Mudra, and that they constitute good and valuable
consideration for the various commitments undertaken by Mudra in this Agreement.
6. Parties Released. For purposes of this Agreement, the term "Releasees" means the
Village, and each of its elected and appointed officials, employees, agents, representatives,
attorneys and insurers in their individual capacities.
Plaintiff agrees to the dismissal with prejudice of all the claims in his lawsuit against the
Village of Oak Brook, Case No. 2013 MR 582.
7. General Release.
A. Mudra, for and on behalf of himself and his heirs, executors, personal
representatives, successors and assigns, acknowledges full and complete satisfaction of, and fully
and forever releases, acquits, and discharges the Village, its predecessors, successors and
assigns, and its past and present officials, officers, employees, agents, representatives and
attorneys (collectively, the "Village Releasees") from any and all claims, causes of action,
demands, liabilities, damages, obligations, and debts (collectively referred to as "Claims"), of
every kind and nature, whether known or unknown, suspected or unsuspected, or fixed or
contingent, which Mudra holds or at any time previously held against the Village Releasees, or
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any of them, arising out of or in any way related to the Lawsuit (with the exception of breaches
of this Agreement).
B. Mudra hereby agrees to indemnify and hold the Village and the Village Releasees
harmless from and against any Claim of every kind and nature, whether known or unknown,
suspected or unsuspected, or fixed or contingent, which Kristine or an Existing Child holds or at
any time previously held against the Village Releasees, or any of them, arising out of or in any
way related to the Lawsuit.
8. Covenant Not to Sue. Mudra represents and warrants that as of the date he signs this
Agreement, he has not initiated or caused to be initiated against the Village any administrative
claim, investigation, or proceeding of any kind.
9. Remedies for Breach. If Mudra, or anyone on his behalf, initiates, brings or
prosecutes any suit or action against the Village in any federal, state, county or municipal court,
with respect to any of the Claims released in this Agreement, or if Mudra breaches any of the
terms of this Agreement, then (a) Mudra shall be liable for the payment of all damages, costs and
expenses (including attorneys' fees) incurred by the Releasees, or any of them, in connection
with such suit, action or breach and (b) the Village shall no longer be obligated to make any
payments not already made to Mudra prior to Mudra's breach of this Agreement. Additionally, in
the event Mudra files a suit or action in any court against the Village, the Village may require
Mudra to return all monies and benefits paid to him pursuant to this Agreement. Mudra also
waives his right to any attorneys' fees, compensation or other recovery whatsoever as the result
of any legal action brought by him or on his behalf by any other party against the Village. If the
Village breaches this Agreement, Mudra shall not be held to have waived any Claims pursuant to
this Agreement.
10. Taxes. Mudra agrees that he is responsible for payment of all federal, state, and local
taxes, of any type whatsoever, due and resulting from the payments to him of the above-
described consideration.
11. No Admission of Liability. Nothing in this Agreement constitutes or shall be
construed as an admission of liability on the part of the Village Releasees, or any of them. The
Village Releasees expressly deny any liability of any kind to Mudra, and particularly any
liability arising out of or in any way related to his or his spouse's claim for PEDA and PSEBA
benefits from the Village. It is agreed that evidence of this settlement shall be inadmissible in
any other action of any kind,unless introduced by or with permission of the Village Releasees.
12. Non-Disparagement. Mudra agrees that he will not, directly or indirectly, engage in
any conduct or make any statement to any person or entity that is calculated or likely to have the
effect of undermining, disparaging or otherwise reflecting poorly upon the Village.
13. Warranty of Understanding and Voluntary Nature of Agreement. Mudra
acknowledges that he has carefully read and fully understands all of the provisions of this
Agreement; that he knows and understands the rights he is waiving by signing this Agreement;
and that he has entered into the Agreement knowingly and voluntarily, without coercion, duress
or overreaching of any sort. Mudra acknowledges that he has been advised of his right to consult
with an attorney or other representative of his choice prior to signing this Agreement.
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14. Severability. The provisions of this Agreement are fully severable. Therefore, if any
provision of this Agreement is for any reason determined to be invalid or unenforceable, such
invalidity or unenforceability will not affect the validity or enforceability of any of the remaining
provisions.
15. Entire Apreement/Integration. This Agreement constitutes the sole and entire
agreement between Mudra and the Village with respect to the subjects addressed in it, and
supersedes all prior or contemporaneous agreements, understandings, and representations, oral
and written, with respect to those subjects. Mudra acknowledges that no promises or agreements
have been made to him except those contained in this Agreement. Any and all prior settlements
between the Village and Mudra are not affected by this Settlement Agreement including, but not
limited to all prior settlements of Mudra workers' compensation claims.
16. No Waiver. No waiver, modification or amendment of any of the provisions of this
Agreement shall be valid and enforceable unless in writing and executed by Mudra and the
Village.
17. Confidentiality. Mudra shall keep confidential the existence of this Agreement and
its terms, and agrees that neither he,nor any of his agents, shall directly or indirectly disclose any
such matters unless written consent is given by the Village, or unless required to comply with
any federal, state or local law, rule or order. However, this paragraph will not prohibit Mudra
from disclosing the terms of this Agreement to his attorneys, accountants or other tax consultants
as necessary for the purpose of securing their professional advice, or in connection with any suit
or action alleging a breach of this Agreement. In view of the difficulty of determining monetary
damages in the event of a breach of this confidentiality provision, it is agreed that the Village
Releasees shall be entitled to liquidated damages in the amount of $1,000, plus reasonable
attorneys' fees and costs associated with enforcing this confidentiality provision, in the event of
a breach of this paragraph by Mudra, which remedies are agreed by Mudra to be reasonable.
Releasees shall also be entitled to injunctive relief and/or any other available remedy in the event
of a breach of this paragraph by Mudra. In the event that Releasees take steps to seek relief from
Mudra for an alleged breach of this paragraph, all of the remaining provisions of this Agreement
shall remain in full force and effect.
18. Successors and Assigns. This Agreement shall be binding upon, and shall inure to
the benefit of, Mudra and his personal and legal representatives, heirs, devisees, executors,
successors and assigns, and the Village and its successors and assigns.
19. Choice of Law. This Agreement and any amendments thereto shall be governed by
and construed in accordance with the laws of the State of Illinois, without regard to conflicts of
law principles.
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20. Representation by Counsel and Drafting. The Parties hereto acknowledge that
they have either been represented by or had access to competent legal counsel of their own
choosing both in connection with the Lawsuit and in connection with the negotiations, drafting,
and execution of this Agreement. Accordingly, the language used in this Agreement will be
deemed to be language chosen by both Parties to express their mutual intent, and no rule of strict
construction against either Party will apply to any term or condition of this Agreement.
ROBERT U RA VILL GE OF,70AK BROOK
By: By: '
Dated: ' 2015 Dated: 2015
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