After more than two years of litigation, Erlanger Health System has reached a settlement in the lawsuit brought by former interim CEO Charlesetta Woodard-Thompson.
The lawsuit had asked $25 million in damages. Under the terms of the agreement, Ms. Woodard-Thompson will receive a check for $120,000, reflecting three months wages, and a check for $480,000 reflecting reimbursement for compensatory and other non-wage items. Her counsel, Lawrence and Lawrence, will receive $300,000.
There had been a week of testimony in the wrongful termination complaint.
Judge Neil Thomas told jurors Tuesday morning that the two sides had reached a compromised agreement.
The settlement follows advice from Erlanger’s D & O insurer, who will be contributing to the settlement. This settlement is comparable to what Erlanger had agreed to pay Ms. Woodard-Thompson more than two years ago, but was refused by her at that time, the hospital. said.
Erlanger officials said, "Under the terms of the settlement, Ms. Woodard-Thompson understands and acknowledges this agreement is in no way construed as an admission of any legal liability by Erlanger for any acts or omissions arising out of her employment with Erlanger. The agreement specifically disclaims any liability relating to her employment with Erlanger or the end of her employment with Erlanger."
Erlanger officials said its actions in this matter were appropriate and justified and would have been confirmed by the court. Specifically, "Erlanger wants to express its support for Mr. Ron Loving, Dr. Phyllis Miller and Dr. Nita Shumaker. Throughout their years on the Board, they have shown exceptional leadership, character and integrity, and have been instrumental in the effective governance of Erlanger. Their significant contributions have been reflected in their decisions and passion to further Erlanger’s role as the region’s leading healthcare provider."
In agreeing to the terms, Ms. Woodard-Thompson has acknowledged and agreed not to disparage Erlanger and that she has received all pay to which she was entitled during her employment with Erlanger, said officials.
Ms. Woodard-Thompson had been replaced by Erlanger trustees when they brought in Kevin Spiegel.