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Bulletin!

NY Presbyterian Hospital and City arrive at agreement for settlement of suit.

Common Council to vote on settlement terms Thursday evening at 6 in session open to public.

Hospital gives city 48 hours to settle.

Council's own lawyers urge them to settle due to possibility of being sued for massive damages.

By John F. Bailey

CityLine: February 21, 2001, City Hall

The Mayor's Office announced today that the attorneys for the City of White Plains and New York Presbyterian Hospital have agreed to terms of a settlement of the Hospital Article 78 lawsuit. However, the Common Council must hold a public vote to approve or decline the settlement terms.

The announcement was made to the media at 3 PM Wednesday afternoon by George Gretsas, Executive Officer, and copies of the Stipulation and Order of Settlement were released to the media.

Mr. Gretsas told WPCNR that the Common Council was advised by their own attorneys, Thacher Proffitt & Wood, of White Plains, that it was in the best interest of the city to agree to the settlement.

Mr. Gretsas also reported that New York Presbyterian Hospital informed the city on Tuesday that the city had 48 hours to accept the terms of the settlement.

Asked why such short notice was given, in light of the fact that a judgement on the case was expected "within the next 30 days," Mr. Gretsas said, "obviously they are under some time pressure."

WPCNR has not completely analyzed the document, but the key paragraph citing the reasons for the settlement cited by Mr. Gretsas for the settlement, is located on page 10 of the Stipulation and Order of Settlement.

It reads:

WHEREAS, in accordance with Section 242 of the Charter of the City of White Plains and based upon a review and consideration of all the significant and relevant factors and circumstances presented, including but not limited to, a thorough analysis and balancing of success on the merits of the litigation and the reasonableness of the terms and conditions of the proposed settlement offer, the Corporation Counsel, statutory counsel for the City, in consultation with insurance counsel, considers that the best interests of the City of White Plains will be served by the settlement of the pending litigation...

Mr. Gretsas said the settlement is in the hands of the Common Council for review, and that the Common Council will be asked to vote on the Stipulation and Order of Settlement at a public Common Council meeting tomorrow at 6 PM at City Hall. Gretsas said the Council, of course, needed to have 4 votes to commit the city to agree to the settlement.

Should the Council vote to approve the settlement, the New York Hospital Plan B will be referred out to departments for review and be subject "to extensive review," as Gretsas put it.

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