Current Edition- California Business Practice
The Peacemaker Quarterly- April 2014
Sunday, February 28, 2010
False Imprisonment - Shoplifting
Katko v Briney
2183 N.W.2d 657, *; 1971 Iowa Sup. LEXIS 717, **; MARVIN KATKO, Appellee v. EDWARD BRINEY and BERTHA L. BRINEY, Appellants No. 54169 Supreme Court of Iowa 183 N.W.2d 657; 1971 Iowa Sup. LEXIS 717; 47 A.L.R.3d 624
CASE SUMMARY PROCEDURAL POSTURE: Appeal from Mahaska District Court (Iowa), upon a jury verdict awarding actual and punitive damages to plaintiff in an action resulting from injuries suffered by trespassing plaintiff when he triggered a spring gun placed in an uninhabited house by defendant owners. OVERVIEW: Plaintiff filed an action for damages resulting from serious injury caused by a shot from a 20-gauge spring shotgun set by defendants in a bedroom of an old farm house which had been uninhabited for several years. Plaintiff and his companion had broken in and entered the house. At defendants' request plaintiff's action was tried to a jury, which returned a verdict for plaintiff and against defendants for actual and punitive damages. The trial court overruled defendants' motions for judgment notwithstanding the verdict and for a new trial. The primary issue was whether an owner could protect personal property in an unoccupied boarded-up farmhouse against trespassers and thieves by a spring gun capable of inflicting death or serious injury. The court affirmed, holding that the law did not permit spring guns to be used in such instances. OUTCOME: Judgment affirmed because the use of spring guns to protect uninhabited property was not permissible. COUNSEL: Bruce Palmer and H. S. Life, both of Oskaloosa, for Appellants. |
Friday, February 26, 2010
Abercrombie & Fitch Draws EEOC Complaint for Banning Islamic Head Scarf
Amanda Bronstad
The National Law Journal
February 26, 2010
The Council on American-Islamic Relations has filed a complaint with the U.S. Equal Employment Opportunity Commission alleging racial discrimination by Abercrombie & Fitch Stores Inc. after a manager fired a Muslim employee who refused to remove her hijab, or head scarf.
The complaint came five months after the EEOC filed suit against the clothing retailer over a similar complaint.
Abercrombie reached a $50 million agreement with the EEOC in 2004 resolving racial discrimination claims over its hiring and recruiting practices and its marketing "look," which predominantly featured white men and women.
"The company has a history of very explicit discrimination," said Zahra Billoo, programs and outreach director in CAIR's office in Santa Clara, Calif. "It's a disappointing pattern to see in a mainstream American company."
CAIR, one of the nation's largest Muslim civil liberties organizations, filed its complaint on Wednesday on behalf of Umme-Hani Kahn, 19, a stockroom worker who had been employed by Abercrombie subsidiary Hollister Co. in San Mateo, Calif. When she was hired in October, Kahn was told she could wear the hijab, Billoo said.
"It didn't come up in terms of, 'Can I wear it?'" she said, but rather "how it fits with the 'look' policy. Local management said, 'Yes, as long as it's white, gray or Navy blue. Everything they wear has to be in those colors."
She wore the hijab at work with no problems until this month, when a district manager, upon visiting the store, arranged a meeting in the stockroom with Kahn and someone from the company's human resources department, who participated via telephone. They told Kahn that scarves and hats did not fit the company's "look" and sent her home.
On Monday, Kahn was ordered to remove her hijab during work hours. When she refused, claiming that it would violate her religious beliefs, they fired her, Billoo said.
Title VII of the Civil Rights Act of 1964 says that employers may not discriminate against individuals because of their religion and must accommodate employee religious practices unless doing so would create an "undue hardship" for the employer, CAIR said in a press release.
In September, the EEOC filed a separate complaint against Abercrombie on behalf of a prospective employee, Samantha Elauf, who was denied a sales job at an Abercrombie Kids store in Tulsa, Okla., because her hijab violated the company's "look" policy, according to the complaint. CAIR had filed a complaint on that individual's behalf in 2008.
In that case, Abercrombie denied the allegation, saying that it had no legal duty to Elauf since she was never an employee and did not request accommodation of her religious beliefs. A call to Abercrombie's attorney in that case, Mark Knueve, a partner at Vorys, Sater, Seymour and Pease in Columbus, Ohio, was not returned.
In the 2004 case, the EEOC alleged that Abercrombie's hiring, recruiting and marketing practices systematically excluded minorities and women. As part of the consent decree, the retailer agreed not to discriminate against job applicants based on race, color or national origin, not to discriminate against women, and not to deny job opportunities to women and minorities. The store agreed to hire a monitor to ensure compliance with the decree and to hire 25 diversity recruiters and a vice president for diversity. Abercrombie also agreed that its marketing materials would reflect a more diverse "look."
According to a press release issued at the time of that agreement, EEOC General Counsel Eric Dreiband said: "The retail industry and other industries need to know that businesses cannot discriminate against individuals under the auspice of a marketing strategy or a particular 'look.' "
In 2008, the EEOC issued guidelines for accommodating religious beliefs in the workplace, specifically offering protection for workers who wear the hijab.
Billoo said that the day after CAIR filed its EEOC complaint on Kahn's behalf, its offices in Washington and Santa Clara received a threat of violence that appeared to refer to the case. She said that the FBI had been informed of the threats.
Thursday, February 25, 2010
U.K. Lawmakers Call for End to Libel Tourism
LONDON—A group of lawmakers urged Britain's government on Wednesday to change plaintiff-friendly libel laws that encourage foreigners to bring cases to U.K. courts, saying the threat of expensive libel suits is stifling investigative journalism and media freedom.
The chairman of the House of Commons Culture, Media and Sport Committee said it was "a humiliation" that several U.S. states have introduced laws to protect American citizens from the enforcement of legal settlements in foreign jurisdictions such as Britain. A similar federal law is currently before the U.S. Congress.
The committee, which has members from Britain's three main political parties, said in a report that the government must act urgently to redress the balance of libel laws that have "tipped too far in favor of the plaintiff."
"It is a humiliation that U.S. legislators have felt it necessary to take steps to protect freedom of speech from what are seen as unreasonable incursions by our courts," said committee chairman and Conservative legislator John Whittingdale.
Britain's libel laws are considered more claimant-friendly than those in many other countries, leading foreigners to bring lawsuits to Britain they would likely lose in their own countries.
Libel laws in the U.S. generally require plaintiffs to prove that a published article was both false and written maliciously. In Britain, the burden of proof falls on the defendant to demonstrate what it published was true.
The committee said Britain should consider reversing that burden in libel cases where the plaintiff is a corporation, which generally has much greater resources to fight a case. It cited one famous example, an "unequal legal contest" in which McDonald's Corp. sued two environmental protesters for distributing leaflets criticizing the company, sparking an expensive 10-year legal battle known as the "McLibel" case.
The committee also recommended a reduction in the amount of costs paid by the losing side.
Britain's courts have become a battleground between high-profile figures from around the world and the international media. In 2006, American actress Kate Hudson successfully sued the National Enquirer for libel in London, relying on the fact that the U.S. publication has a British edition. In another case, a Saudi businessman successfully sued an American academic over a U.S.-published book about the financing of terrorism that had sold only 23 copies in Britain.
The committee said the government should impose "additional hurdles" to litigants not based primarily in Britain. "There is increasing evidence that in recent years investigative journalism is being deterred by the threat and cost of having to defend libel actions," said Mr. Whittingdale.
The committee said there was no need for a law to protect the right to privacy, something that has been called for by the victims of tabloid exposes. But it advised tighter media self-regulation through the Press Complaints Commission, saying that in most cases journalists should have to notify the subjects of stories before publication.
Though Britain has no formal privacy law, it is a signatory to the European Convention on Human Rights, which guarantees the right to respect for privacy and family life. Celebrities have increasingly used this clause to fight media exposes.
The committee criticized the behavior of one tabloid, the News of the World, whose editor resigned after a reporter was found to have hacked into the phones of British royal officials. The newspaper's royal editor, Clive Goodman, and a private investigator were jailed in 2007 over the hacking.
The committee said phone hacking was likely more widespread at the paper at the time, but the true number of victims would never be known, in part because of the "collective amnesia" of the paper's management.
The lawmakers also said it appeared that some of those involved had been paid off. "We do not know the amounts, or terms, but we are left with a strong impression that silence has been bought," they said.
The News of the World's publisher, News International, rejected claims of a cover up and accused the committee of "innuendo, unwarranted inference and exaggeration." News International is the main U.K. subsidiary of News Corp., which owns Dow Jones & Co., publisher of The Wall Street Journal.
The committee also called for a new law to guarantee the age-old right to report the goings-on of Parliament. That came under fire in October, when the oil-trading company Trafigura obtained a legal injunction that barred reporting of a parliamentary question asked about its role in dumping toxic waste in West Africa. The injunction sparked outrage from the media and was quickly overturned.
"The free and fair reporting of proceedings in Parliament is a cornerstone of our democracy," Mr. Whittingdale said, adding that it must be put "beyond doubt."
The government isn't obliged to follow the committee's recommendations. But Justice Secretary Jack Straw pledged reform in November, saying libel laws had become "unbalanced."
Copyright 2010 Associated Press
Link: http://online.wsj.com/article/SB10001424052748704240004575084970578808904.html
Make My Day Law
Castle Doctrine in the United States
From Wikipedia, the free encyclopedia
Castle Doctrines are legislated by state, and not all states in the US have a Castle Doctrine. The term "Make My Day Law" comes from the landmark 1985 Colorado statute that protects people from any criminal charge or civil suit if they use force – including deadly force – against an invader of the home.[2] The law's nickname is a reference to the famous line uttered by Clint Eastwood's character Harry Callahan in the 1983 film Sudden Impact, "Go ahead, make my day."
Wednesday, February 24, 2010
Brutal Cheap Shot
Is this causing the tort of battery? It is apart of the game, 2min elbow penalties are given all the time. And just because he started seizing, does it make everything a lot worst?
Redding cops were justified in shooting young Los Gatos bank robber, authorities say
At a news conference at the Redding Police Department, Police Chief Peter Hansen and Shasta County District Attorney Gerald Benito said they had concluded that several officers who fired their weapons at 20-year-old Brandon Michael Reuter had acted within the law as well as Police Department guidelines.
Authorities reported that Reuter received 14 bullet wounds — one in the head, the others in the hip and leg. He died at the scene.
Because of the intense interest in the case, the District Attorney's Office on Wednesday released a detailed account of the shooting, revealing that Reuter had pointed the Elite II BB gun at a police dog as if he were going to "execute" the German shepherd. The district attorney also reported that Reuter had made eye contact with Officer Mike Dimatteo as he raised his arm with the gun to shoulder height — triggering the fusillade of bullets from Dimatteo and other officers.
Benito said that of the seven officers chasing Reuter, six fired their weapons. One of the officers' guns jammed, however.
"The officers' actions were justified and were based on their perceptions that their lives and the lives of fellow officers were in immediate danger of serious injury or death," Police Chief Hansen said.
Benito said no criminal charges will be filed against any of the officers, saying they behaved "bravely, professionally and rationally."
The police dog was not hurt in the shooting.
Benito said that Reuter's death was the result of his actions and no one else's.
The stunning downfall of a young man who graduated less than three years earlier near the top of his high school class was a shock for many in the town of Los Gatos, which has seen a string of tragedies involving young people in the past 13 months.
Reuter's family in Los Gatos did not respond to a request to comment on the results of the investigation. But friends of Reuter said the results were not surprising.
"I question why so many bullets were fired, but if someone goes into a bank with a weapon that looks like a handgun, you know you're asking for it," said Andrew Puckett, 21, a friend in middle school and high school. "But this is such a horrible tragedy, such a waste of life. It just breaks my heart."
Reuter's friends are still mystified by the turn of events. When he graduated from Los Gatos High in 2007, he received an award for academic excellence.
But police reports and court records tell the tale of a life that gradually descended into mental illness since he entered the University of Colorado at Boulder.
On Nov. 11, his mother, Marie Reuter, had called Los Gatos police, saying that her son was depressed, behaving erratically and had suicidal thoughts, Benito said Wednesday. She also reported that he had recently dropped out of college and sold his car.
Brandon's close friends described him as kindhearted and fun-loving, saying that he smoked marijuana and drank alcohol but was never into hard drugs.
Reuter had been spotted by friends in Los Gatos at the end of November just days before he boarded a Greyhound bus to Redding. He ended up spending the last days of his life in the Stardust Motel, where police say he left behind stickup notes for a series of planned heists.
Authorities on Wednesday released photos of Reuter wearing aviator-style sunglasses and a hooded sweatshirt when he entered the Plumas Bank on Dec. 7, pointed a gun at a teller, saying "Give me your money. This is a robbery." The tellers handed over $3,065 after Reuter said he would start shooting if he didn't get the money, police said.
With officers in pursuit, Reuter's life ended near a dry canal with the loot in his boot. His BB gun was not loaded.
Ryan Sabalow and Dylan Darling of the Redding Record Searchlight contributed to this report.
Contact Ken McLaughlin at 408-920-5552.
Supreme Court Establishes 'Nerve Center' Test for Corporate Jurisdiction
Marcia Coyle
The National Law Journal
February 24, 2010
Using simplicity and practicality as its touchstones, a unanimous U.S. Supreme Court on Tuesday held that a corporation's "principal place of business" for purposes of federal jurisdiction is its "nerve center," typically where its headquarters is located.
The Court, in an opinion by Justice Stephen Breyer, resolved a long-simmering debate among the federal circuits, which, for the past 51 years, have used a hodgepodge of tests to answer the jurisdictional question.
The ruling in Hertz Corp. v. Friend (pdf) will help to determine the battlefields on which class action and other litigation involving multistate corporations will be fought -- what corporations perceive to be the friendlier forum of the federal courts or state courts seen as more sympathetic to plaintiffs.
Noting that there is no perfect test, Breyer wrote, "Our test nonetheless points courts in a single direction, towards the center of overall direction, control and coordination. Our approach provides a sensible test that is relatively easier to apply, not a test that will, in all instances, automatically generate a result."
The high court ruling stems from a lawsuit brought by two Hertz employees in California who are seeking damages and relief for themselves and a potential class of California citizens for violations of that state's wage-and-hour laws.
The justices rejected the approach taken by the 9th U.S. Circuit Court of Appeals, which looked to where the corporation had the "substantial predominance" of its activities, including facilities, employees and revenue. That approach led the 9th Circuit to hold that Hertz's principal place of business was California, even though the company is incorporated in Delaware and has its headquarters in New Jersey.
The 5th, 6th, 8th, 10th and 11th circuits have used a "total activity" test that examines the company's purposes, type of business and legal site of its operations. The 1st, 2nd and 4th circuits applied a variation of that test, and the 3rd Circuit looked for the "center of corporate activity."
The only circuit to use the "nerve center" approach is the 7th, and that was the test advocated by Hertz's counsel, Sri Srinivasan, a partner in the Washington office of O'Melveny & Myers.
"This opinion brings much needed clarity to an area that was rife with confusion for decades," Srinivasan said. "Instead of having an approach that has caveats in it, the court established a straightforward rule. It was very interesting, too, that the Court said, 'We need clarity so much that we're even willing to accommodate some results that are anomalous on the surface.' "
Before 1958, the federal diversity statute said a corporation was only a citizen of its state of incorporation. But Congress found that some corporations engaging in local business were able to circumvent their local courts and get into federal court by getting out-of-state charters. Its evidence: more cases involving state-law claims and parties having the same citizenship were burdening the federal courts. Congress amended the diversity statute to state that a corporation was a citizen of its state of incorporation and of the state where it had its "principal place of business," but it never defined the new category.
Andrew Tauber, a partner in the Washington office of Mayer Brown, said the Court's rule is predictable in its application; eliminates the need for extensive and costly jurisdictional discovery; and does not have the peculiar result of deeming most national corporations, including, for example, Arkansas-based Wal-Mart Stores Inc., to be citizens of California merely by virtue of the size of the California economy.
The justices remanded the case to the lower court to give the Hertz employees "a fair opportunity" to litigate their case in light of the decision.
The Court's ruling was "what everyone anticipated after the argument," said the employees' counsel, Robert Stein III, a partner in the Santa Ana, Calif., office of Adorno & Yoss, whose co-counsel, Todd Schneider of San Francisco's Schneider Wallace Cottrell Brayton Konecky argued the case. "It appeared they were going to weigh practicality much more heavily than legislative history."
(1) The general assembly hereby recognizes that citizens of Colorado have a right to expect absolute safety within their own homes.
(2) Notwithstanding the provisions of section 18-1-704, any occupant of a dwelling is justified in using any degree of physical force, including deadly force, against another person when that other person has made an unlawful entry into the dwelling, and when the occupant has a reasonable believe that the other person has committed a crime in the dwelling in addition to the uninvited entry, or is committing or intends to commit a crime against a person or property in addition to the uninvited entry, and when the occupant reasonably believes that such other person might use any physical force, no matter how slight, against any occupant.
(3) Any occupant of a dwelling using physical force, including deadly force, in accordance with the provisions of subsection (2) of this section shall be immune from criminal prosecution for the use of such force.
(4) Any occupant of a dwelling using physical force, including deadly physical force, in accordance with the provisions of subsection (2) of this section shall be immune from civil liability for injuries or death resulting from the use of such force.
Friday, February 19, 2010
Most Popular Conspiracy Theories
Know Your Conspiracies
NEWSWEEK's guide to today's trendiest, hippest, and least likely fringe beliefs.
1. Barack Obama was not born in the United States.
It's not clear where he must have been born instead: some say Indonesia; some say Kenya (initial suggestions that Hawaiian natives weren't citizens when he was born in Honolulu in 1961 were quickly dismissed). The point, so-called birthers say, is that he wasn't born in the good old US of A, hence isn't a natural-born citizen and therefore cannot legally be president.
Proponents: Chief birther and Beverly Hills dentist and attorney Orly Taitz, WorldNetDaily editor Joseph Farah, Rep. Nathan Deal (R-Ga.), former presidential and Senate candidate Alan Keyes, assorted tea partiers.
Kernel of Truth? It's fully debunked. Forged Kenyan birth certificates have been exposed, and—despite protestations to the contrary—Obama's birth certificate has been certified by the state of Hawaii, and images have been shown on national television. And that's leaving aside plenty of circumstantial proof, like birth announcements in both major Hawaiian papers from August 1961.
2. Anthropogenic global warming is a hoax. Proponents of the theory that the earth's temperature is rising—especially Al Gore and the United Nations—are trying to pull the wool over the world's eyes. Some believers say that warming is negligible in the scope of geological history, and many argue that even if warming is happening, it's not because of human activity. The goals of Gore and his ilk, they say, are to kill market competition, encourage socialist control, keep scientists' research coffers filled, and/or work to bring about a one-world government by giving the U.N. power to regulate the climate and by eroding national sovereignty.
Proponents: Sen. James Inhofe (R-Okla.), rogue Canadian climate scientist Tim Ball, journalist and British aristocrat Lord Christopher Monckton, Sarah Palin, National Review.
Kernel of Truth? Deniers have long taken advantage of scientists' cautious statements, and "Climategate" breathed new life into the movement, but the science stands: warming is real, and it's caused by human actions.
3. Goldman Sachs intentionally created the economic crisis.
Swooping in from the left, Rolling Stone screed-master Matt Taibbi argued in July that investment bank Goldman Sachs, "a great vampire squid wrapped around the face of humanity," has for years created bubbles (dotcom, real estate) while betting against them. As a result, it reaps gains from the run-up but also wins big in the collapse because of its hedges. Ergo, Goldman Sachs created the financial crisis for its own gain. A less virulent strain of this theory notes the many former Goldman execs (Hank Paulson, Robert Rubin, Joshua Bolten, Neel Kashkari, etc.) in government and posits that they have designed the government's economic policy to help the firm.
Proponents: Matt Taibbi, journalist Robert Scheer, Glenn Beck, the Pragmatic Capitalist, the blogosphere.
Kernel of Truth? Goldman undoubtedly did better than any competitor from the financial crisis, and CEO Lloyd Blankfein even admitted—albeit cryptically—that the company had "participated in things that were clearly wrong." This theory is tougher than others to debunk fully, because there's no empirical data available either way. Nonetheless, while Goldman may have profited, that alone doesn't prove malice or conspiracy.
4. Democrats' health plan will create death panels. Part of Barack Obama's devious plan to reform health insurance will be the creation of panels of experts who will decide whether or not patients are "worth" treating, making them arbiters of life and death.
Proponents: Sarah Palin,Sen. Charles Grassley (R-Iowa), a lot of angry town-hall-meeting attendees.
Kernel of Truth? Palin was apparently referring to a provision of draft legislation that would have funded consultation about end-of-life care. There was and is, however, no plan for rationing care as a cost-cutting measure, and fact-checking outlet PolitiFact named the theory the "Lie of the Year" in 2009.
5. Barack Obama is a secret Muslim. Drawing many of the same backers as the birther movement, this theory claims that Obama was indoctrinated into Islam while living in Indonesia during his childhood. They worry Obama is trying to undermine America's Judeo-Christian heritage, institute Islamic religious law, betray Israel to the Arabs, and perhaps even allow Al Qaeda to win the war on terror.
Proponents: Anonymous chain e-mail, Libyan dictator Muammar Kaddafi, Swift Boater and propaganda wizard Jerome Corsi.
Kernel of Truth? Nope. Obama belonged to a Christian church in Chicago (for which he ironically also caught flack) and has a record of unambiguous support for Israel and hawkish policies on eradicating Al Qaeda's strongholds in Afghanistan and Pakistan.
6. Sarah Palin is not the mother of her 1-year-old son, Trig.
Someone else—perhaps even her daughter Bristol—is.
Proponents: Journalist and blogger Andrew Sullivan and … well, that's about it. Perhaps also Joy Behar.
Kernel of Truth? No. Sullivan has couched the whole thing as just pointing out minor discrepancies and asking for reasons—not directly making accusations. Palin has understandably refused to dignify these questions with responses. No one else has picked up the theory publicly, although privately some liberals regard it as plausible.
7. ACORN is part of a liberal conspiracy to steal elections.
The coalition of community organizations first came under fire after allegations that members were filing fraudulent voter-registration forms in order to beef up the Democratic vote in the 2008 elections. Pressure heated up after a videotaped sting humiliated the group.
Proponents: Glenn Beck, conservative commentators Michelle Malkin and Andrew Breitbart, Rep. Steve King (R-Iowa), unsuccessful N.Y. Conservative Party congressional candidate Doug Hoffman.
Kernel of Truth? The James O'Keefe videos showed questionable conduct at the very least, but neither they nor anything else proves a vast left-wing conspiracy between Democrats and ACORN to steal elections.
Wednesday, February 17, 2010
Medical Injury Compensation Reform Act Inflation Adjustment
California:
1975: $250,000 ----> 2008:$1,040,292.19
Florida:
1975: $100,000 ----> 2008: $416,116.88
As you can see, the caps are suppose to be increased about 4 times if they were to be adjusted to inflation. And because the inflation calculator only goes up to 2008, it should be a bit more for the amounts listed above.
Tuesday, February 16, 2010
County settles for $4.1 million in wrongful imprisonment suit
- Tim Masters freed in 2008, following 10 years in prison, after new evidence surfaced
- Masters filed suit against Larimer County, Fort Collins, alleging malicious prosecution
- Attorney: Masters, living with aunt, wants "to re-establish himself as a human being"
- Fort Collins says it can't discuss pending lawsuit, but is presently "negotiating" with Masters
(CNN) -- It won't make up for almost a decade of imprisonment, but a $4.1 million settlement is a "good start," one of Tim Masters' attorneys said Tuesday.
The Larimer County, Colorado, Board of Commissioners voted earlier Tuesday to settle a lawsuit that Masters filed after a judge exonerated him on a murder charge that put him behind bars in 1999.
"There's no dollar figure that's going to give him back his 10 years," said David Wymore, one of the attorneys who represented Masters in the case. "Tim just wishes this never happened to him, but it did."
Masters was 15 when Fort Collins, Colorado, police began investigating him in the murder of 37-year-old Peggy Hettrick, who was found murdered and sexually mutilated in a field near Masters' family home.
He was convicted largely on circumstantial evidence and the testimony of an expert witness who said he fit the profile of a sexual predator. A judge freed Masters in 2008 after new evidence was presented in the case. The crime remains unsolved.
Masters' co-counsel David Lane emphasized there is still a lawsuit pending against the city and that Tuesday's settlement represented only a "good start" to compensating a man who was "framed for a crime he did not commit."
Wymore, who also represented Masters in the criminal proceedings that saw the charges against him dismissed, said he is pleased with the settlement, but feels "someone should apologize to Tim one day because it's not just an accident."
Masters, then 15, quickly became the top suspect in the slaying, but it was not until 1999 that police and prosecutors saw Masters convicted. He was sentenced to life in prison.
In hearings that began in September 2007, Masters' new defense team alleged police and prosecutorial misconduct in the investigation and trial.
In January 2008, a judge threw out the conviction and freed Masters after DNA evidence pointed to someone else.
Later that year, Masters' attorneys filed a lawsuit against several Fort Collins police officers and former prosecutors, alleging malicious prosecution, attorney Maria Liu says.
Masters, 38, was unable to comment because of the case pending against Fort Collins and some of its police officers. In a statement from his attorney, Masters said he was pleased with the county settlement and eager to conclude the proceedings.
"I would gladly have paid $10 million, or whatever it took, if I could get those years of my life back. Unfortunately, that can never happen," Masters said in the statement.
Kelly DiMartino, a spokeswoman for the city, said Fort Collins is presently negotiating with Masters, but she was unable to share details because it involves pending litigation.
Tuesday's settlement -- $3 million of which will be paid by the county's insurer -- closes the case against the county and two of its judges, Terry Gilmore and Jolene Blair, who were prosecutors in the case that jailed Masters.
A news release said the county had already paid more than $400,000 defending the case and officials believe Gilmore and Blair "handled the Masters prosecution with the utmost professionalism and confidence."
It also said Gilmore, Blair and District Attorney Larry Abrahamson objected to the settlement.
"They would rather have had their day in court," county attorney George Hass said.
The settlement indicates no wrongdoing, explained Hass. Rather, he said, the county was concerned by the prospect of a jury assigning more exorbitant damages. The county decided it would settle for $4.1 million "even though we felt we had a good case to defend," the attorney said.
Hass said he has seen juries dole out damages in excess of $10 million in similar cases, and "that would be a number the county would have to struggle with."
The money should be paid to Masters by February 25, Hass said.
It was 12 years after Hettrick's slaying before prosecutors convicted him and he was sentenced to life in prison.
Police procured no physical evidence in their investigation, and prosecutors relied largely on a collection of knives and gruesome doodles and sketches, as well as the testimony of a forensic psychologist who implicated Masters without ever interviewing him.
--David Wymore, attorney for Tim Masters
Citing DNA evidence that did not implicate Masters, a visiting judge threw out the case in 2008, and Masters walked free.
A year after his release, Masters told CNN he maintained hard feelings for police and prosecutors in the case and said he felt he would have a wife and job if not for the bogus conviction. He was selling items on eBay at the time to earn money.
"They locked me up for a decade for something I didn't do," he told CNN.
Wymore said Tuesday that Masters' eBay income has dried up since he spoke to CNN last year. He is presently living in his aunt's basement and attending school to be recertified as an aircraft mechanic, a job he enjoyed during his eight years in the Navy.
"The settlement allows Tim to re-establish himself as a human being," Wymore said. "He wants to be a normal guy. He wants to get a house, a dog, a car."