Thibodaux settles civic center lawsuit

The tedious litigation has finally ended for the city of Thibodaux. The city has settled on a final reimbursement figure with insurance carriers from the damage to the Thibodaux Civic Center in the 2005 storms.

The actual settlement amount remains confidential. However, city attorney Germaine Jackson said, “What needed to be covered with the $3.4 million reconstruction effort was covered.”

The city filed the lawsuit in 2007, claiming United Fire Group and Hanover Insurance Company, two out-of-state insurance carriers, failed to pay for hurricane-related damages to city-owned buildings suffered in Fall 2005.

“Hurricane Katrina tore the roof off and Hurricane Rita flushed in the rain, ruining the entire building,” Clement said. “Luckily, we had insurance and the city’s expense was very minimal.”

The repairs to the building started immediately after the wind and rain subsided. The center director said for eight months after the storm, the city lost revenue from use of the building.

Jackson explained, “The lawsuit was filed solely to protect the city if either insurance company denied reimbursement for hurricane-related damages to the civic center.”

No other financial disputes between the city and the insurance carriers exist, the city attorney said.

He said a small portion of the $3.4 million will not be reimbursed because the city spent those funds on new additions to the civic center.

The newly-remodeled interior of the building includes a new arena, a metal catwalk near the roof and a sound system.

According to Clement, this is the first major construction effort since the civic center was built in 1971.