Agreement Settles Lawsuit

The province and Elwin MacNeil, the former chair of the Alcohol and Gaming Authority, have agreed to an out-of-court settlement, ending a potentially lengthy and costly legal challenge.

"We believe the terms of the agreement provide fair compensation," said Justice Minister Michael Baker. "Resolving this through negotiation saves both parties from a lengthy trial and potential appeals to the Supreme Court of Canada, and is in the best interests of Nova Scotian taxpayers."

"On behalf of my client, we are satisfied that this matter has been resolved," said Mr. MacNeil's lawyer Blaise MacDonald. "It avoids the prospect of costly and drawn out litigation."

Mr. MacNeil, who was appointed chair in 1995, lost his full-time position in April 2000 when government transferred the adjudicative function of the Alcohol and Gaming Authority to the Nova Scotia Utility and Review Board.

Mr. Baker said complex legal issues in the lawsuit could have taken this case to the Supreme Court of Canada. "Since Mr. MacNeil's contract entitled him to the salary and pension benefits equivalent to a provincial court judge, a lengthy legal challenge could have cost the province more than $2.5 million dollars."

The agreement adds an approximate $30,000 annual pension to the $12,000 pension Mr. MacNeil was already entitled to under the Public Service Superannuation Act for his five years of government service. It also includes $40,000 for legal expenses.