HomeMy WebLinkAbout2023-1115A Aqueous Liablility Litigation Opt-OutResolution No. 2023-1115A Aqueous Film -Forming Forms
Liability Litigation Opt -Out
RESOLUTION NO. 2023-1115A
TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1
RESOLUTION TO OPT -OUT OF
AQUEOUS FILM -FORMING FOAMS PRODUCTS LIBABILITY LITIGATION
WHEREAS, Trophy Club Municipal Utility District No. 1 (the "District") is a
conservation and reclamation district, and a political subdivision of the State of Texas, created
under Article XVI, Sec. 59 of the Texas Constitution by order of the Texas Water Commission,
now the Texas Commission on Environmental Quality ("TCEQ"), and the District operates under
Chapters 49 and 54 of the Texas Water Code, as amended;
WHEREAS, the District purchases about 80% of its water from the City of Fort Worth,
and the remaining water supply comes from four groundwater wells;
WHERESAS, the District provides public drinking water to over 13,000 people inside
and outside the District;
WHEREAS, there are two class action products liability cases pending in the United
States District Court for the District of South Carolina Charleston Division relating to PFAS: City
of Camden, et al. v. E.I. DuPont de Nemours and Company, et al., No. 2:23-cv-03230-RMG and
City of Camden, et al. v. 3M Company, No. 2:23-cv-03147-RMG;
WHEREAS, the class representatives in the pending cases have alleged that they have
suffered harm resulting from the presence of PFAS in drinking water and the defendants are liable
for damages and other forms of relief to compensate for such harm and costs;
WHEREAS, the class representatives and the defendants have entered into a settlement
agreement to resolves the claims related to PFAS contamination of the drinking water in public
water supply systems;
WHEREAS, the settlements apply to all public water system as that term is defined in the
settlements, and includes "All Active Public Water Systems in the United States that do not have
one or more Impacted Water Sources as of July 22, 2023, and (i) are required to test for certain
PFAS under UMCR-5, or (ii) serve more than 3,300 people according to SDWIS;"
WHEREAS, the District meets this definition and is listed in Amended Exhibit E: Phase
Two Eligible Claimants to the Settlement Agreement between Public Water Systems and 3M
Company;
WHEREAS, unless a public water system specifically opts -out of the settlements by the
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Resolution No. 2023-1115A Aqueous Film -Forming Forms
Liability Litigation Opt -Out
deadlines provided in the Notices of Proposed Class Action Settlement and Court Approval
Hearing, the public water system will remain in the settlement class and as such release certain
claims against the defendants and will prevent the public water system from bringing any claims
against the defendant resolved by the settlement agreements;
WHEREAS, a public water system that opts -out is not bound by an orders or judgments
effecting the settlements;
WHEREAS, the City of Fort Worth has recommended that its wholesale water supply
customers opt -out of the settlements;
WHEREAS, The Board of Directors believes it is in the best interest of the District to
opt -out of the settlements because the indemnity clause is overly broad and the amounts of the
settlements may be insufficient to cover PFAS-related damages; and
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF
TROPHY CLUB MUNICIPAL UTILITY DISTRICT NO. 1 THAT:
Section 1. The Board of Directors hereby opt -out of the proposed settlements in City of
Camden, et al. v. E.I. DuPont de Nemours and Company, et al., No. 2:23-cv-03230-RMG and
City of Camden, et al. v. 3M Company, No. 2:23-cv-03147-RMG.
Section 2. The Board of Directors hereby directs the General Manager and the General
Counsel to execute and file all such documents necessary to opt -out of the proposed settlements
as directed by the Board of Directors.
Section 3. The President and Secretary of the Board are hereby authorized and directed
to execute this Resolution. After this Resolution is executed, an original Resolution shall be filed
in the permanent records of the District.
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Resolution No. 2023-1115A Aqueous Film -Forming Forms
Liability Litigation Opt -Out
RESOLVED, PASSED AND APPROVED this 15th day of November 2023.
Doug Harper, Secretary/Treasurer
Board of Directors
ATTEST:
a rie Slaght, District/Se retary
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Kevin R. Carr, President
Board of Directors
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