THE NEW YORK TIMES: The city and about 10,000 rescue and cleanup workers at ground zero said Thursday that they had negotiated a new settlement under which the city’s insurer kicks in more money and the plaintiffs’ lawyers reduce their legal fees to give the workers more compensation for health damages.
A federal judge rejected an earlier settlement in March. After nearly three months of renegotiations, the city’s insurer, the WTC Captive Insurance Company, has agreed to increase its payout to plaintiffs to $712.5 million. The previous terms called for payouts of $575 million to $657.5 million.
The plaintiffs’ lawyers have also agreed to reduce their fees to a maximum of 25 percent of the settlement amount, down from the 33.33 percent called for in contingency agreements that their clients signed. As a result, the plaintiffs will get to keep an additional $50 million, the lawyers said.
“This settlement ensures guaranteed, immediate and just compensation to the heroic men and women who performed their duties without consideration of the health implications,” said Marc J. Bern, one of the plaintiffs’ lawyers.
“Our commitment to our clients has never wavered in the seven years since we took on this litigation and we have done everything within our power, including reducing the fees we agreed to with each of our clients, to achieve the best possible outcome,” he said. >>> A. G. Sulzberger and Mireya Navarro | Thursday, June 10, 2010
