Town settles with former Town Manager

$10,000 payment to the town
Thu, 11/01/2018 - 7:30pm

The Town of New Shoreham has reached a settlement agreement with former Town Manager Jim Lathrop, who has been involved in litigation with the town since his resignation on Feb. 8, 2017.

The agreement, which was announced on Oct. 17, states that, “On or before Oct. 31, 2018, Lathrop will cause his attorney to deliver to the Town a certified check in the amount of $10,000 (Settlement Funds). Upon receipt of the Settlement Funds, the Litigation will be dismissed with prejudice.” 

The settlement agreement, which is dated Oct. 2, 2018, notes that, “The settlement is not an admission of guilt on the part of any party.” The parties agree to discharge each other from “any and all claims, liabilities, actions and damages, relating to Lathrop’s employment with the Town.” The Town of New Shoreham’s officers “will not disparage Lathrop’s performance as Town Manager or otherwise take any action which would disparage Lathrop. Similarly, Lathrop will not disparage the Town or any of its officers, agents or employees, or take any action which would disparage them.”

Lacoste said the $10,000 is “an out of court settlement,” which has been paid to the town. Finance Director Amy Land confirmed that the payment had been made to the town.

“In closed session we voted to sign this agreement successfully ending our litigation on this matter,” said Lacoste. “Per the terms of the agreement I cannot comment further on the details.” 

The Town Council discussed the case with Town Solicitor Katherine Merolla, and voted on the matter, noted as Town of New Shoreham v. Lathrop, at its Oct. 17 meeting. 

Lathrop began as Town Manager on Nov. 14, 2016 and served until the Town Council voted unanimously (5-0) to accept his resignation on Feb. 8, 2017.