Hollywood FL - City Faces Big Legal Fees In Losing Lawsuit Over Synagogue
Hollywood FL - The City of Hollywood could have to dip into taxpayer funds if a federal court determines officials discriminated against a group of Hasidic Jews by ordering them out of a house they converted into a synagogue.
City attorneys have repeatedly said they are confident the city's insurance company would cover any judgment should they lose a federal civil lawsuit filed by the Hollywood Community Synagogue and the U.S. Department of Justice.
But in a March 23 letter from the city's insurer, AIG Domestic Claims Inc., the city was warned that under Florida law, Hollywood would not be covered if the court determines there was intentional discrimination.
The letter also stated that the company would pay only up to $50,000 if punitive damages were assessed against Commissioner Sal Oliveri, who is personally named in the lawsuit.
The insurance will pay nothing if the court determines Oliveri intentionally discriminated against the synagogue.
While confident the city will prevail in the lawsuit, the City Attorney Dan Abbott said that in a worst-case scenario, the city would have to tap into its self-insurance fund, currently valued at $11 million. The fund, supported by taxpayers, is set aside each year to fight cases filed against the city.
The city's insurance company has been paying for Hollywood's legal bills since the city reached its $100,000 deductible last year during its defense against the synagogue's lawsuit.
The federal civil lawsuit revolves around the city's attempts to oust the group from the single-family home it had converted into a synagogue in Hollywood Hills, as reported on VOS IZ NEIAS.
City attorneys have repeatedly said they are confident the city's insurance company would cover any judgment should they lose a federal civil lawsuit filed by the Hollywood Community Synagogue and the U.S. Department of Justice.
But in a March 23 letter from the city's insurer, AIG Domestic Claims Inc., the city was warned that under Florida law, Hollywood would not be covered if the court determines there was intentional discrimination.
The letter also stated that the company would pay only up to $50,000 if punitive damages were assessed against Commissioner Sal Oliveri, who is personally named in the lawsuit.
The insurance will pay nothing if the court determines Oliveri intentionally discriminated against the synagogue.
While confident the city will prevail in the lawsuit, the City Attorney Dan Abbott said that in a worst-case scenario, the city would have to tap into its self-insurance fund, currently valued at $11 million. The fund, supported by taxpayers, is set aside each year to fight cases filed against the city.
The city's insurance company has been paying for Hollywood's legal bills since the city reached its $100,000 deductible last year during its defense against the synagogue's lawsuit.
The federal civil lawsuit revolves around the city's attempts to oust the group from the single-family home it had converted into a synagogue in Hollywood Hills, as reported on VOS IZ NEIAS.
posted by VOS IZ NEIAS @ 6/04/2006 09:36:00 AM
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