ESCANABA, Mich. (WZMQ) -The Delta Conservation District Board has voted in favor of settling a lawsuit filed by its former CEO, Rory Mattson.
Last April, Mattson sued the Conservation District over a “breach of contract,” asking for $125,000 plus attorney fees. According to District Board member Joe Kaplan, Mattson cited a $50,000 bonus approved by a previous board and claimed he had a $75,000 balance in a District Liability Account.
At Wednesday’s board meeting, Kaplan reported that the two parties came to a $90,000 settlement agreement.
“What makes this compelling to take this settlement agreement is our insurance company, which paid our attorney fees with a $5,000 deductible, is contributing $39,000 towards that settlement,” he said. “… Our portion of the payout would be $51,000… If we were to lose a trial, we would be on the hook for everything.”
As part of the settlement, Mattson will purchase the dump trailer he purchased jointly with the District and the County in 2016. Mattson took the Conservation District to small claims court over the trailer in October, but the judge dismissed the case due to a “lack of jurisdiction.”
Kaplan says Mattson has agreed to pay the District $3,000 for the dump trailer. The Conservation District will then have to work with the County Commission to resolve the County’s investment in the trailer.
The settlement agreement also states that if Mattson sues the Conservation District again in the future, he would be required to return the $90,000. The Conservation District Board voted unanimously in favor of the agreement.