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Except in very unusual circumstances, the city's own city attorney will not be <br /> appointed to represent the city in the covered litigation. LMCIT takes this <br /> approach because the city attorney has often been intimately involved in <br /> providing legal advice to the city about how to handle the particular land use <br /> situation. If the city attorney was selected to represent the city in the litigation, <br /> it is conceivable the attorney could become involved in having to defend his <br /> or her own recommendations, and to some degree the city might lose the <br /> benefit of an independent, detached evaluation of the strengths and weakness <br /> of the case. <br /> c. Litigation management and strategy <br /> Decisions on settlement and strategy are made by mutual agreement of the <br /> city and LMCIT, in consultation with the attorney the city and LMCIT have <br /> agreed to retain. Neither LMCIT nor the city has the authority to agree to a <br /> settlement without the other's consent. <br /> This collaborative decision-making process reflects the particular nature of <br /> this type of litigation. Unlike the tort claims that conventional insurance <br /> policies are designed to cover, the issues in this kind of litigation are often not <br /> just a matter of whether and how much money damages the city owes. The <br /> real issues at stake may be questions like whether or not a permit is issued, a <br /> financing package approved or a franchise granted—things which involve <br /> local policy issues and which may require legislative or other official action <br /> by the city council. <br /> At the same time, it's important to keep in mind the funds used to pay <br /> LMCIT's share of the costs are really the joint property of all LMCIT member <br /> cities. Those other member cities are entitled to know that their funds aren't <br /> being wasted on frivolous disputes or in pointlessly prolonging litigation in <br /> which the city has little chance of prevailing. Involving both the city and <br /> LMCIT in the decision-making process is a means of trying to balance those <br /> potentially competing interests. The cost-sharing provisions are incorporated <br /> in the coverage for much the same reason. <br /> K. Liquor liability <br /> When alcohol is sold,whether by the city or some other entity, there should <br /> LMC information memo, <br /> Liquor Licensing and be liquor liability(dram shop) coverage in place. The greatest possibility for <br /> Regulation. liability is sale of alcohol to an obviously intoxicated person. Illegal sales can <br /> also include after-hours sales, sales to minors, and furnishing alcohol to <br /> minors. Even if the sale of alcohol is not involved,Minnesota law still <br /> Comparison of Dram Shop <br /> and Social Host Liquor provides liability for persons who illegally furnish alcoholic beverages. <br /> Liability. <br /> 83 <br />