Lawsuit Filed After Insurance Company Refused to Pay Compensation
Final Ruling Orders 60.2 Billion Won in Damages After Eight Years
An American man who was wrongfully imprisoned for nearly a decade after being falsely accused of murder has been awarded more than 60 billion won in compensation following a legal battle with an insurance company.
According to foreign media outlets such as AP and CBS News on the 21st (local time), a court in Missouri, United States, ruled in favor of Ryan Ferguson (40) on June 16 in his lawsuit against an insurance company, ordering the company to pay $43.8 million (approximately 60.2 billion won) in damages. Ferguson had been identified as the perpetrator in the 2001 murder of a newspaper sports editor in Columbia, Missouri. Arrested in 2004, he was convicted the following year and spent about 10 years in prison.
The attorney is questioning Ryan Ferguson (right) about his driving route on the night of the murder during the trial held on October 20, 2005, at the Boone County Court in Columbia, Missouri. Photo by AP Yonhap News
However, in 2013, the key witness who had testified that Ferguson was the perpetrator recanted his statement. On the stand, the witness said, "Ferguson was not involved in the case." As a result, the appellate court overturned the previous conviction due to an unfair trial, and prosecutors decided not to pursue a retrial.
After regaining his freedom, Ferguson filed a civil lawsuit against the city of Columbia and the police in 2014. In 2017, a federal court ordered that Ferguson be paid a total of $11 million (about 1.51 billion won) in compensation. However, another problem arose: the police could only pay $2.7 million (about 3.7 billion won), leaving the remaining amount to be covered by the city’s insurer, St. Paul Fire and Marine Insurance. The insurance company refused to pay, prompting Ferguson to file an additional lawsuit against the insurer. Police officers also joined Ferguson’s lawsuit, citing the stress they experienced due to the insurer’s refusal to pay the compensation.
After more than seven years of legal battles, a jury ruled in Ferguson’s favor in November last year, ordering the insurance company to pay an additional $37.9 million in damages. Subsequently, the Cole County Court added interest, delayed compensation, and punitive damages to the original jury award, resulting in a final compensation order of $43.8 million.
Ferguson’s attorney, Kathleen Zellner, said in an interview with local media, "My client was very happy," adding, "It wasn’t quite the same as when he was acquitted, but it was a joy that came close. However, this was even more moving." Of the compensation, $5 million will go to six police officers who participated in the lawsuit, according to a settlement reached between Ferguson and the officers.
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