Court holds up settlement

July 30, 2008
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Even though the parties involved in litigation of a wrongful imprisonment suit want to settle after a jury already announced its award, the 7th Circuit Court of Appeals denied a request to throw out the jury award to clear the way for the settlement.

Larry Mayes was convicted and sent to prison in 1980 for a rape that he was later cleared from committing based on DNA evidence. Mayes filed a suit in 2006 against the Hammond Police Department, which allegedly fudged the evidence in order to send Mayes to prison. Mayes won the suit, and a jury awarded him $9 million.

The City of Hammond and Mayes’ attorneys have since agreed to settle the case out of court for half that amount. The catch? The parties can’t settle unless there is an order vacating the jury verdict and the judgment from the 7th Circuit.

The 7th Circuit denied a joint motion July 15 to vacate the jury verdict and judgment and remanded to the U.S. District Court to determine and inform the federal appellate court if the District Court is inclined to vacate the judgment and jury verdict. The 7th Circuit has taken a firm position of denying motions to vacate opinion and judgment of a District Court decision on a condition of settlement on appeal.

In an opinion and order issued July 29, Magistrate Judge Paul Cherry from the Northern District of Indiana, Hammond Division, denied making a decision on whether the District Court would throw out the jury award.

The joint motion only cited one 2006 unpublished 7th Circuit decision that vacated an underlying judgment because the appeal had become moot – not because a settlement was reached.

Magistrate Judge Cherry ordered the parties to file a joint brief on or before Aug. 8 setting forth the laws and facts necessary for the District Court to tell the 7th Circuit whether or not it is inclined to vacate the jury verdict and judgment in the case as a condition of settlement. He encouraged the parties to fully brief the issue of vacatur and not to limit themselves to the issues raised by the District Court in the order.

What do you think? Should settlement be a valid reason for tossing out a jury award and verdict or should parties have to meet “extraordinary circumstances” standards for vacatur as a condition of settlement on appeal, as defined in U.S. Bancorp Mortgage Co. v. Bonner Mall Partnership, 513 U.S. 18, 29 (1994).
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  1. It is amazing how selectively courts can read cases and how two very similar factpatterns can result in quite different renderings. I cited this very same argument in Brown v. Bowman, lost. I guess it is panel, panel, panel when one is on appeal. Sad thing is, I had Sykes. Same argument, she went the opposite. Her Rooker-Feldman jurisprudence is now decidedly unintelligible.

  2. November, 2014, I was charged with OWI/Endangering a person. I was not given a Breathalyzer test and the arresting officer did not believe that alcohol was in any way involved. I was self-overmedicated with prescription medications. I was taken to local hospital for blood draw to be sent to State Tox Lab. My attorney gave me a cookie-cutter plea which amounts to an ALCOHOL-related charge. Totally unacceptable!! HOW can I get my TOX report from the state lab???

  3. My mother got temporary guardianship of my children in 2012. my husband and I got divorced 2015 the judge ordered me to have full custody of all my children. Does this mean the temporary guardianship is over? I'm confused because my divorce papers say I have custody and he gets visits and i get to claim the kids every year on my taxes. So just wondered since I have in black and white that I have custody if I can go get my kids from my moms and not go to jail?

  4. Someone off their meds? C'mon John, it is called the politics of Empire. Get with the program, will ya? How can we build one world under secularist ideals without breaking a few eggs? Of course, once it is fully built, is the American public who will feel the deadly grip of the velvet glove. One cannot lay down with dogs without getting fleas. The cup of wrath is nearly full, John Smith, nearly full. Oops, there I go, almost sounding as alarmist as Smith. Guess he and I both need to listen to this again: https://www.youtube.com/watch?v=CRnQ65J02XA

  5. Charles Rice was one of the greatest of the so-called great generation in America. I was privileged to count him among my mentors. He stood firm for Christ and Christ's Church in the Spirit of Thomas More, always quick to be a good servant of the King, but always God's first. I had Rice come speak to 700 in Fort Wayne as Obama took office. Rice was concerned that this rise of aggressive secularism and militant Islam were dual threats to Christendom,er, please forgive, I meant to say "Western Civilization". RIP Charlie. You are safe at home.

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