Polk County will pay law firm up to 50% of recovery in $2.5M settlement
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A law firm will get up to half of any amount recovered from a $2.5 million wrongful termination settlement that Polk County recently agreed to pay, according to records obtained by Axios.
Why it matters: The county previously rejected a $250,000 offer, betting it could recover more money — even after paying steep contingency fees to outside counsel.
Catch up quick: Former HR director Jim Nahas sued Polk County and several supervisors after the local government released his 2021 termination letter from former administrator John Norris.
- Norris accused Nahas of being evasive or dishonest in dealing with a sexual harassment complaint filed against Supervisor Matt McCoy by deputy administrator Sarah Boese.
- McCoy denies any wrongdoing. Lawsuits filed by Boese against the county for harassment and retaliation after she wasn't promoted to top administrator last year are still ongoing.
Zoom in: A jury last year awarded Nahas $4.26 million.
- Supervisors approved the $2.5 million settlement in February, significantly lowering the county's payout but preventing any future appeals it could have filed against the jury's verdict.
The latest: County supervisors narrowly approved last month hiring the DSM law firm Sease & Wadding to pursue recovery from the law firm Ahlers & Cooney, which county administrator Frank Marasco tells Axios had advised the county in Nahas' termination.
- The Ahlers law firm did not respond to Axios' requests for comment.
The intrigue: The financial details of the county's contract with Sease & Wadding were not included in the public documents released before the supervisors voted.
- The firm will receive between 40% and 50% of the amount recovered, depending on the level of legal work involved in any final settlement, and will receive nothing if it is unsuccessful, per the contract.
What they're saying: The Polk County Attorney's Office couldn't handle the recovery work because it had withdrawn from representing supervisors in the Nahas case, Marasco tells Axios.
What's next: Marasco said the legal process for recovery could take years.