October 3, 2019

MGM Resorts Negotiates Settlement of Mass Shooting Litigation

Munger, Tolles & Olson represented MGM Resorts International in obtaining a favorable settlement resolving virtually all claims stemming from the Oct. 1, 2017 mass shooting in Las Vegas.

In the deadliest mass shooting in U.S. history to date, a gunman fired into the crowd at the Route 91 Harvest Festival from a 32nd-floor suite at Mandalay Bay, killing 58 people. Following the incident, more than 4,400 claimants brought suit against MGM, owner of Mandalay Bay.

After numerous victims sued MGM in various state courts, MGM removed the suits to federal court in 2018, citing the SAFETY Act (Support Anti-Terrorism by Fostering Effective Technologies Act) of 2002. According to the SAFETY Act, legal action resulting from a terrorist attack may be brought only against the seller of the qualified anti-terrorism technology and not against the buyers. MGM argued that the crowd management security company they contracted to secure the festival, which had been certified by the U.S. Department of Homeland Security, was liable.

On Oct. 3, 2019, MGM announced a settlement agreement resolving substantially all plaintiffs’ lawsuits. The settlement amount could reach $800 million, depending on the number of claimants who choose to participate. MGM’s insurance carriers will pay for the vast majority of the settlement, up to $751 million, and the entire process is expected to be completed by late 2020.

The widely publicized settlement was reached before discovery and on the two-year anniversary of the incident.

MGM was represented by Munger, Tolles & Olson attorneys Brad D. Brian and Bethany W. Kristovich, who served as co-lead counsel, as well as Michael R. Doyen, John M. Gildersleeve and Luis Li.