- A former Chicago State University executive will receive $4.3 million in a settlement against his former institution, following a nearly seven-year legal battle over his role in exposing mismanagement committed by a former president.
- CSU will pay James Crowley for his original $2.5 million claim against the institution, which appealed the decision and has faced public scrutiny for its executive struggles, declining enrollment and multiple lawsuits from former employees.
- Crowley is the second former employee to collect a settlement in excess of $1 million, following former Chief Financial Officer Glenn Meeks, who settled with the school in January for wrongful termination.
While many institutions can rely upon insurance and caps on settlement claims against public agencies, colleges and universities have to consider costs beyond what courts can award in damages and legal fees. Media relations, donor engagement and student recruitment can all be negatively impacted by a public trial or verdict, and also create additional issues in the discovery phase of legal proceedings which can expose vulnerability across several areas of administration.
College leaders should consider strong lines of communications for employees with EEOC complaints, concerns about executive mismanagement and other issues with internal controls or monitoring.