CITY COUNCIL AGENDA ITEM
Meeting Date: February 10, 2004
Subject/Title: Reject the claim for defense and indemnity presented by Ryder
Homes in the case of Dawn Michelle McDaniels v. Ryder Homes, et al
Submitted by: Karen Diaz, City Clerk/Director of Administrative Services
Approved by: John Stevenson, City Manager
Reject the claim for defense and indemnity presented by Ryder Homes in the
case of Dawn Michelle McDaniels v. Ryder Homes, et al. – Contra Costa County
Superior Court, Case No. C03-00255 as recommended by the City Attorney and
the City’s third-party insurance adjuster, Contra Costa County Municipal
Risk Management Insurance Authority (CCMRMIA).
On July 23, 2003 the City issued a notice of rejection to Michelle McDaniels
for her claim of personal injuries in the amount of $270,000 and tender the
claim to Ryder Homes based on the City’s contractual indemnity rights. Ms.
McDaniels filed a claim with the City on December 20, 2003 that alleges on
July 12, 2002 she tripped and fell in front of 146 Treadwell Court, between
the sidewalk, gutter and street on a raised portion of the gutter where it
met unfinished pavement.
Litigation has been filed against the builder, Ryder Homes. The City is not
named in the suit. The City Attorney Beougher received a letter dated
December 1, 2003, from the attorney representing Ryder Homes tendering the
defense and indemnity of the suit to the City. Mr. Beougher responded
tendering the claim back to Ryder Homes based on a contractual indemnity
clause stated in the Subdivision Improvement Agreement between the City and
Ryder Homes. The improvements which are subject to the litigation have not
yet been accepted by the City.
No fiscal impact at this time.