The families of two Circuit City employees who died in 2005 when the company’s corporate jet crashed will be receiving multimillion-dollar settlements from a local charter company, a jet manufacturer and the federal government.According to orders issued in late September in Henrico County and Chesterfield County circuit courts, trusts were created in the names of the children of David Coffman and Aaron Iskowitz. Because minors are involved, BizSense is withholding the names of the children and the exact settlement amounts.
Thomas Routh, an attorney representing the estates of Iskowitz and Kaufman, said the settlement money is coming from Cessna Aircraft Company, Martinair and the federal government. The suits did not seek money from Circuit City, Routh said, because the company had previously set up annuities for the families as part of worker’s compensation.
“The settlements will allow the families to have the financial support necessary given that their husbands were killed in the crash,” said Routh. “Financial compensation is not going to make these two families whole again.”
Thomas Byrne, the attorney representing Martinair and Circuit City, was not available for comment.
Bob Stangarone, a spokesman with Cessna in Wichita, Kan., said the company does not comment on litigation.
Coffman, a manager of financial planning for Circuit City, was survived by his wife and four children. Aaron Iskowitz, a buyer, had a wife and two children. Both were in their early 30s.
The plane, a small Cessna craft, was owned by Circuit City but operated by Richmond-based Martinair. According to several news reports at the time, the plane was stopping in Colorado to refuel in freezing and foggy conditions. A last-minute runway change was called in from air traffic controllers, and the plane crashed about five miles from where it was supposed to land.
It was eventually concluded, Routh said, that negligence was found on the part of Cessna, Martinair and federal air traffic controllers, hence their participation in this latest settlement.
The Iskowitz and Coffman suits were actually filed in Denver in federal district court in July 2005 and settlements were reached there in late August. But because the minors live in the Richmond area, the settlement distribution orders were issued here.
According a report in August from CBS4, a Denver TV station, the defendants tried to place blame on one another for the crash during the litigation. The report did say that Cessna is paying the largest portion of the settlement.
Circuit City also previously set up memorial funds to benefit the eight families.
The estate of an IBM executive who died in the crash did separately sue Circuit City, Routh said.
Routh said Circuit City’s bankruptcy delayed litigation of the suits for about a year. But the annuities the now-defunct company set up for the families were in place long before the company crumbled.
The case is technically not closed until the settlement funds are received, Routh said.
Michael Schwartz is a BizSense reporter. Please send news tips to [email protected].
The families of two Circuit City employees who died in 2005 when the company’s corporate jet crashed will be receiving multimillion-dollar settlements from a local charter company, a jet manufacturer and the federal government.According to orders issued in late September in Henrico County and Chesterfield County circuit courts, trusts were created in the names of the children of David Coffman and Aaron Iskowitz. Because minors are involved, BizSense is withholding the names of the children and the exact settlement amounts.
Thomas Routh, an attorney representing the estates of Iskowitz and Kaufman, said the settlement money is coming from Cessna Aircraft Company, Martinair and the federal government. The suits did not seek money from Circuit City, Routh said, because the company had previously set up annuities for the families as part of worker’s compensation.
“The settlements will allow the families to have the financial support necessary given that their husbands were killed in the crash,” said Routh. “Financial compensation is not going to make these two families whole again.”
Thomas Byrne, the attorney representing Martinair and Circuit City, was not available for comment.
Bob Stangarone, a spokesman with Cessna in Wichita, Kan., said the company does not comment on litigation.
Coffman, a manager of financial planning for Circuit City, was survived by his wife and four children. Aaron Iskowitz, a buyer, had a wife and two children. Both were in their early 30s.
The plane, a small Cessna craft, was owned by Circuit City but operated by Richmond-based Martinair. According to several news reports at the time, the plane was stopping in Colorado to refuel in freezing and foggy conditions. A last-minute runway change was called in from air traffic controllers, and the plane crashed about five miles from where it was supposed to land.
It was eventually concluded, Routh said, that negligence was found on the part of Cessna, Martinair and federal air traffic controllers, hence their participation in this latest settlement.
The Iskowitz and Coffman suits were actually filed in Denver in federal district court in July 2005 and settlements were reached there in late August. But because the minors live in the Richmond area, the settlement distribution orders were issued here.
According a report in August from CBS4, a Denver TV station, the defendants tried to place blame on one another for the crash during the litigation. The report did say that Cessna is paying the largest portion of the settlement.
Circuit City also previously set up memorial funds to benefit the eight families.
The estate of an IBM executive who died in the crash did separately sue Circuit City, Routh said.
Routh said Circuit City’s bankruptcy delayed litigation of the suits for about a year. But the annuities the now-defunct company set up for the families were in place long before the company crumbled.
The case is technically not closed until the settlement funds are received, Routh said.
Michael Schwartz is a BizSense reporter. Please send news tips to [email protected].
Michael, our hearts go out to the families. This settlement may help to give them closure but will never make them whole.
However, I have one question: Can you explain why the Federal Government is paying the families?. Based on the proper role of government per the Constitution, this doesn’t fall into national defense, interstate commerce, or the limited set of other powers. This piece of your report doesn’t make sense to me.
Thank you,
LInda Heath
Federal goverment decided to be in a private business regulating air traffic and made a mistake. Now they are paying for that mistake .