William “Billy” Brackett has agreed to settle his Fair Labor Standards Act lawsuit against the City of McCaysville for $123,500.
City Council members agreed to a preliminary settlement agreement Tuesday, August 10, at their regular meeting, and now the agreement awaits a federal judge’s signature to become final.
According to a Settlement Memorandum, Brackett will receive a total of $80,000, which will have to be paid from city funds.
The memorandum states $38,750 will be paid as back pay with all standard deductions to be reported on a W-2 form. The other $38,750 is to be paid as liquidated damages, with Brackett being responsible for all tax liability.
City Attorney Cortney Stuart said last week the city’s insurance carrier has agreed to pay the additional $43,500 in attorney’s fees, plus the mediation costs. $40,000 of those fees go directly to Brackett’s counsel, Donald W. Benson, LLC, and another $3,500 to Kenneth S. Nugent, P.C. The exact amount of mediation expenses was not indicated.
The city did not have insurance to cover the unfair labor claims outlined in Brackett’s lawsuit.
In the agreement, Brackett agrees not to disparage the city or its employees in any way, including verbally, on social media or on job posting sites.
He also agrees not to re-apply with the city or its departments, and shall not be rehired by the city or its departments.
Brackett, through his attorney, is to execute a final settlement agreement, releasing the city and its employees from any and all claims.
Brackett’s lawsuit against the city was filed August 3, 2020. In it, he sought payment for unpaid work time, unpaid overtime, liquidated damages and attorney’s fees. The lawsuit alleged the city violated the Fair Labor Standards Act.
Brackett was one of two police officers let go by the McCaysville City Council July 14, 2020. He claimed in his lawsuit that action was taken because he asked about overtime and compensatory time for his position as captain/chief detective.
In a Motion for Summary Judgment filed June 23, 2021, Brackett asked to be awarded $253,124.40.
That was followed on July 23 when attorneys for both sides filed a Motion to Stay the case pending a mediation session planned August 6.