MGM Resorts Set To Pay Out $800M Over Mandalay Bay Shooting
MGM Resorts is set to pay out a combined total of $800 million to survivors and family members of the victims of the Mandalay Bay shootings that took place on October 1, 2017.
The announcement was made via a filing with the U.S. Securities and Exchange Commission on October 3.
The Mandalay Bay shootings carried out by Stephen Paddock resulted in 59 deaths and hundreds of people being injured. It was labelled as the worst shooting in U.S history as the 64 year old Paddock decided to open fire from his room at the Mandalay Bay on a large group of people who were attending a country music concert.
Even after two years of investigations, there is still no clear motive as to what prompted Paddock to go on a shooting rampage.
What is clear was that MGM Resorts which owns the Mandalay Bay did not have proper security measures in place as Paddock was able to take firearms into the hotel and up to him room without being questioned by security.
A lawsuit was filed against MGM Resorts on behalf of all the victims and those injured in the shooting. Reports say that a total of 851 people were injured during the shootings and 422 were injured due to gunfire.
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Settlement Will Be Done By 2020
MGM Resorts decided to settle out of court and will pay out a total of $800 million before the end of 2020. The company has insurance coverage for up to $735 million which will cover most of the settlement fund. MGM Resorts released a statement saying that the out of court settlement is not an admission of liability by the company.
MGM Resorts should release more information about the claims process and the total payout will be determined by the number of individuals who decide to file their claims. James Murren, Chairman and CEO of MGM Resorts International said that the company believed that prolonged litigation would not benefit both parties and hence they decided to settle out of court.
Robert Eglet who is the legal counsel for a number of plaintiffs was happy with the decision and said it would be very beneficial for those who were impacted by the Mandalay Bay shootings. However, not all plaintiffs have agreed over the settlement and some might continue to sue MGM Resorts.