South Haven city officials have reached a settlement agreement with a former police officer who alleged she had been wrongfully discharged from her job in March 2021.
According to the settlement agreement, which was acquired by The Herald-Palladium and South Haven Tribune through a Freedom of Information Act request, Michaela Pauly will be paid $99,000 to dismiss the lawsuit filed in March at the U.S. Western District Court in Grand Rapids.
Judge Jane Beckering signed the dismissal of the case Sept. 16, following a South Haven City Council meeting on Sept. 6, in which members voted after a closed session to approve the settlement.
As part of the settlement reached between the plaintiff’s attorney, Paladin Employment Law PLLC of Kalamazoo, and the city’s attorney, Laura Amtsbuechler of Rosati Schultz, Joppich and Amtsbeuchler PC of Farmington Hills, Pauly will receive $66,538, while her attorney firm will receive $33,461. The city’s insurance carrier, Michigan Municipal Risk Management Authority, will pay the settlement.
In exchange, Pauly agreed the settlement is “a compromise of a disputed claim and that payments are not construed as an admission of liability” on the part of the city of South Haven or Police Chief Natalie Thompson.
Pauly’s attorneys filed a four-count lawsuit in March 2022 with the U.S. Western District Court in Grand Rapids, alleging she had been discriminated and later retaliated against when she was fired by Thompson and the city.
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