Michigan State University will pay a law firm $150,000 to settle a lawsuit in which the firm claimed the university failed to fully reimburse it for representing a trustee in connection to an outside investigation into her misconduct.
The payment to Rochester-based Miller Law Firm will serve as compensation for its "claimed unpaid attorneys’ fees and costs" for a portion of its representation of former board chair Rema Vassar, according to the agreement, which was signed Oct. 27 and obtained by The State News through a public records request.
Miller Law's litigation against MSU was essentially a billing dispute, centering on MSU’s alleged refusal to pay Miller Law $242,653 for representing Vassar in the months after an explosive report into her misconduct was released.
Under its 'indemnification' policy, MSU may cover legal fees for university personnel embroiled in litigation or proceedings relating to their work for the institution. However, the university also reserves the right to revoke such coverage "based upon information received subsequent" to its decision to indemnify the person.
Miller Law had represented Vassar throughout the duration of an outside investigation into allegations of the then-board chair’s impropriety. That probe was spurred by an October 2023 letter from Trustee Brianna Scott, in which she alleged widespread misconduct by Vassar, and called for her resignation.
Miller & Chevalier, the firm which conducted the investigation, announced its findings in February 2024: Vassar and her ally on the board, Trustee Dennis Denno, broke board policies by interfering in university affairs, accepting gifts from donors and using student groups to orchestrate "attacks" on colleagues, among other things.
On Feb. 28, 2024, the day the report was released, MSU General Counsel Brian Quinn asked Miller Law to send its final bill relating to its representation of Vassar, according to emails contained in the court filings. Vassar could decide to engage the firm for future matters, Quinn wrote, but the Board of Trustees would need to again approve whether the university would pay for it.
Powell Miller, one of Vassar’s attorneys, wrote the next day to Quinn that Miller Law's work with respect to the investigation does not end the day the report is released because, at minimum, it needs to review the report and consult with Vassar.
Miller Law indeed continued to represent Vassar in connection to the misconduct probe beyond the day its findings were released publicly, and request compensation from MSU for such work: In March 2024, Vassar's attorneys issued a 22-page rebuke of Miller & Chevalier's investigation, broadly arguing its findings were poorly supported and that investigators were biased.
MSU’s $150,000 settlement payment to Miller Law falls short of the amount it claimed it was owed, $242,653.
MSU Spokesperson Amber McCann declined to comment on the filing. Miller did not respond to a request for comment, nor did Kevin O'Shea, another partner at the firm who represented Vassar in connection to the misconduct probe.
In its report, Miller & Chevalier recommended that Vassar and Denno be referred to Gov. Gretchen Whitmer for potential removal from office. The board voted to do so at a March 2024 special meeting, shortly after Vassar had resigned as board chair.
Whitmer decided in May of this year not to remove either trustee, though her office noted that the decision was not meant to condone their conduct.
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