TACOMA — The American Legion Department of Washington settled a lawsuit last week brought by former members who claim past officers paid themselves and others more than $416,000 in unauthorized bonuses and hid that activity from members and the public, as previously reported by The News Tribune.
According to Thurston County Superior Court records, a joint settlement offer of $400,000 was approved by a national department representative Sept. 20. A message about the settlement was sent to at least 19,874 legion members last month, with an opportunity for members to respond. Of the 20 responses, nine members were opposed or wished to modify the terms of the settlement, according to court records.
As previously reported by The News Tribune, the offer of $400,000 included $300,000 to be funneled through the plaintiffs to redeposit into Legion programs and $100,000 for court fees to James Robinson, Michael Mattingly and Scott Smith, who initiated the lawsuit on behalf of state members.
Robinson, Mattingly and Smith declined the settlement offer earlier this year, arguing they would settle for a lump sum of $600,000 with 40% to be used to pay for their attorney fees and the remainder to be returned to the Legion, among other conditions. They said the settlement wasn’t fair to shareholders and lacked direct accountability for those involved with authorizing the alleged payments.
