MGM Resorts Agrees to Legal Settlement up to $800 Million in Las Vegas Massacre

MGM Resorts International will pay up to $800 million to settle lawsuits involving the 2017 mass shooting in Las Vegas.

Published: 10/3/2019, 3:40:21 PM EDT

MGM Resorts Agrees to Legal Settlement up to $800 Million in Las Vegas Massacre — Crime scene tape surrounds the Mandalay Bay Resort and Casino after the mass shooting during the Route 91 Harvest festival country music concert in Las Vegas, Nevada on Oct. 2, 2017. (Mark Ralston/AFP/Getty Images)

MGM Resorts International will pay up to $800 million to settle lawsuits involving the 2017 mass shooting in Las Vegas, lawyers said on Oct. 3, just days after the second anniversary of the massacre.

From his 32nd-floor room of MGM's Mandalay Bay Resort & Casino, Stephen Paddock opened fire into a crowd attending the Route 91 Harvest festival on Oct. 1, 2017. By the end of the shooting rampage that lasted 15 minutes, 58 people were killed, and more than 800 were injured.

Hundreds of lawsuits have been filed against the owner of the Mandalay Bay for allowing the 64-year-old gunman to keep a massive stockpile of firearms and ammunition in his hotel room before launching a hail of bullets upon concertgoers.

Eglet Adams, a Las Vegas law firm that represents about 2,500 victims, announced the settlement agreement Thursday, almost exactly two years after the deadliest mass shooting in modern U.S. history. The agreement means all parties will drop any pending legal proceedings against MGM Resorts, the law firm said.

"Our goal has always been to resolve these matters so our community and the victims and their families can move forward in the healing process," Jim Murren, chairman and CEO of MGM Resorts, said in a statement, reported Fox Business. "This agreement with the Plaintiffs’ Counsel is a major step, and one that we hoped for a long time would be possible. We have always believed that prolonged litigation around these matters is in no one’s best interest. It is our sincere hope that this agreement means that scenario will be avoided."

A court will appoint an independent claims administrator to distribute money from a settlement fund to claimants, attorneys and MGM said. The payout process is expected to be completed by late 2020.

The settlement fund will be funded by MGM Resorts' insurers with a minimum of $735 million. Depending on claimant participation, MGM Resorts will add additional amounts, up to $800 million.

"Today's agreement marks a milestone in the recovery process for the victims of the horrifying events of 1 October," said Robert Eglet, a lead Plaintiffs' Counsel. "While nothing will be able to bring back the lives lost or undo the horrors so many suffered on that day, this settlement will provide fair compensation for thousands of victims and their families."

MGM caused an outrage last year after its attempt to avoid liability by countersuing more than 1,000 Route 91 victims. The company cited a 2002 federal law, which caps the insurance liability for businesses that deploy anti-terrorism security technologies when a terrorist attack takes place.