Stage Company Pulls $7.2M From Collapse Settlement

AG: State Will Still Pay Out $6M

Mid-America Sound Corporation has rejected its part of a $13.2 million settlement offer for the victims of the Indiana State Fair stage rigging collapse, while the state will proceed with its payments, the attorney general said Wednesday.

The company, which owned the rigging unit that collapsed before an Aug. 13, 2011, concert killing seven people and injuring dozens more, said that minimum participation requirements specified by the state were not met by Wednesday's deadline for the companies to agree to the settlement.

Fifty-one of 62 eligible claimants had previously agreed to the settlement.

"The state's proposal required a sufficient ratio of claimants from the largest claims categories to accept the settlement in order for it to become effective," Myra Borshoff Cook, spokeswoman for Mid-America Sound, said in a statement.

The Indiana Attorney General's Office fired back, saying it would proceed with distributing its $6 million in supplemental relief funds to all 62 eligible claimants.

To accept the combined settlement, claimants had to agree to release Mid-America Sound and James Thomas Engineering from additional liability in the collapse. The companies put up a combined $7.2 million with the state's $6 million.

“Because state fair victims said they needed financial assistance sooner rather than later, my office made an effort to facilitate a private settlement to increase the relief available," Attorney General Greg Zoeller said in a statement. "It was worthwhile to try to bring the claimants and defendant companies together, but since the parties did not reach an agreement, we will move to distribute the original $6 million the Legislature appropriated, well before the January 2013 deadline."

Victims still can pursue lawsuits against Mid-America Sound or against other defendants in the state fair stage rigging collapse that were not part of settlement discussions.

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