Settlement with wrecker companies reached

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A settlement has been reached with two wrecker services who sued the City of Yukon.

The Yukon City Council met 51 minutes in executive session at a special meeting Jan. 25.

The council returned to open session and voted 4-0 to approve the settlement agreement over the civil suit pending in federal court.

Meanwhile, the council approved buying a new side loader trash truck for $324,829. Delivery is expected within seven days.

Council members also discussed City Manager Tammy Kretchmar’s contract in executive session but no action was taken. Kretchmar has been city manager since January 2021.

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U.S. District Judge David Russell on Jan. 20 issued an administrative closing order in the case of Bad Day Towing & Recovery Company and Lane’s Towing Service v. City of Yukon.

In that order, the judge stated attorneys for both sides represented had reached a settlement and compromise in the matter; that meant, barring word within 45 days of the Jan. 20 order from either party the case did not settle, the federal action would be dismissed.

Bad Day’s and Lane’s original petition was filed in Canadian County District Court in June 2021.

In that action, Bad Day stated the company was placed on the City of Yukon’s official wrecker rotation log in February of that year; then on April 6, the city by ordinance removed the company from that log without having “expressed any concerns about the services provided by it,” the company alleged.

The reason for that change was ordinance language limiting the towing revolving log only to companies located within Yukon city limits.

Bad Day/Lane’s asserted the City of Yukon’s actions were taken without due process and violated their constitutional rights, court documents showed.

According to ordinances attached to the lawsuit, the original in place before April 2021 required that cities of less than 50,000 residents consider all “licensed wrecker or towing services located near or in the city limits.”

The new ordinance approved by the Yukon City Council changed that language, requiring companies on the wrecker rotation list to be located within Yukon city limits, according to court documents.

Read The Yukon Progress and follow yukonprogress.com for updates.

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