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Columbia Missourian

SECOND UPDATE: UM System settles O'Neal lawsuit

By Chad Day
March 12, 2009 | 6:58 p.m. CDT

COLUMBIA — The University of Missouri System and its insurer will pay $2 million to the parents of Aaron O'Neal and establish a $250,000 scholarship endowment fund in his memory as part of the settlement of the wrongful death lawsuit filed by his parents against employees of MU's athletics department.

As part of the settlement, neither the UM System nor the 14 employees of the athletic department named in the lawsuit will be held liable for O'Neal's death.

Boone County Circuit Judge Gary Oxenhandler approved the terms of the settlement during a hearing Thursday afternoon.

"It's good to have the legal process completed," MU football coach Gary Pinkel, who was named as a defendant in the lawsuit, said in a statement from the MU News Bureau. "From the moment we lost Aaron, our primary concern was always for his family and for us to do what's right for them."

Aaron O'Neal's father, Lonnie O'Neal, will receive 65 percent of the settlement, or about $1.3 million. Deborah O'Neal, Aaron O'Neal's mother, will receive 35 percent, or about $700,000. In addition, the UM System and its insurer, United Educators Insurance Co., will pay the $10,333.95 in the plaintiff's taxable court costs.

Of the $2 million settlement, the UM System will pay $600,000 and United Educators will pay the remainder, according to the news bureau statement. The insurance company "recommended and participated in the settlement," according to the statement. The UM System's share will come from its self-insurance fund, to which all campuses and operating departments contribute, UM System spokeswoman Jennifer Hollingshead said.

MU will award a scholarship from the Aaron O'Neal endowment to a student athlete each year. The $250,000 will come from unrestricted funds in the MU athletics department's budget, UM System Chief of Staff David Russell said after the hearing Thursday.

According to the settlement, Lonnie O'Neal will be the sole family member with input on the requirements and criteria of the scholarship, subject to UM System regulations.

Russell said that the UM System offered the scholarship endowment to honor O'Neal and that "both parties wanted to resolve (the lawsuit) amicably."

"I've always understood through this whole process that they were doing what they had to do, and all we could focus on was honoring Aaron and what he meant to our program," Pinkel said in the statement. "We've done a lot of things over the last 3 1/2 years to keep his memory alive, and I think the scholarship is a wonderful idea to continue that."

Pinkel said later that the scholarship would be given to a football player and that he and others in the athletics department were discussing plans to further honor O'Neal, but nothing had been decided yet.

"Since the tragedy happened for me my whole concern has always been for his family, teammates and his friends," Pinkel said after spring practice Thursday evening. "For the family and those involved, if there's closure I think that's good."

In September 2008, MU football seniors decided to honor O'Neal by having a different senior each game wear the No. 25, O'Neal's number at the time of his death. His number also appeared on the sideline at Memorial Stadium.

"You're certainly relieved that the legal process is over, but you still have this void that was created by Aaron's death that can never be filled," MU athletics director Mike Alden, another defendant in the lawsuit, said in a statement. "My hope is that the closing of the legal chapter is beneficial for everyone, and that the O'Neal family knows that our thoughts will continue to be with them."

Alden was unavailable for further comment because he is at the Big 12 basketball tournament in Oklahoma City, MU spokesman Christian Basi said.

The parties reached a tentative settlement agreement in the lawsuit on Feb. 20 after an independent mediation the day before. On Tuesday, UM System General Counsel Steve Owens said the parties had been discussing ways to resolve the case since its filing.

Lonnie O'Neal filed the lawsuit on Aug. 23, 2005. Deborah O'Neal was later added to the lawsuit.

The suit alleged that trainers, coaches and staff didn't properly care for O'Neal after he collapsed during a voluntary workout on July 12, 2005. According to an autopsy report released Aug. 23, 2005, by then-Boone County Medical Examiner Valerie Rao, trainers first took O'Neal to the Tom Taylor athletic facility.

There they decided not to use a defibrillator on him because he had a heartbeat, and trainer Greg Nagel called 911. About 10 minutes later, an ambulance crew took O'Neal across the street to University Hospital, where he died that afternoon.

Rao said in her autopsy report that O'Neal died from a lymphocytic meningitis infection. In a letter to Rao regarding her report, University Hospital neurologist Douglas Anthony said he had found sickled red cells in O’Neal’s brain, which suggested he had sickle-cell trait.

The lawsuit was later amended to allege that O'Neal died from complications of sickle-cell trait and physical exertion.

As of Feb. 25, the UM System had paid almost $375,000 in legal defense costs, according to documents obtained by the Missourian under the Sunshine Law.

Lonnie O'Neal appeared at the hearing with his attorney, Chris Bauman. During the hearing, Lonnie O'Neal testified that he agreed to the terms of the settlement and understood that he could take no further action against the 14 defendants concerning his son's death.

Lonnie O'Neal declined to comment further after the hearing. Grant S. Rahmeyer, an attorney for Deborah O'Neal who represented her at the hearing, also declined to comment.