Dismissed Chief Files Claim for $4.3 Million Against San Clemente

Maintaining he had contemplated suicide because he was dismissed unfairly and defamed, former San Clemente Police Chief Kelson McDaniel has filed a claim for more than $4.35 million against the city.

In his 26-page complaint, McDaniel accused city administrators, the five City Council members and many police officers of engaging in a “conspiracy” to cause him emotional distress and force him to resign May 28.

McDaniel, 50, could not be reached for comment Tuesday. In legal papers filed with the city, his attorney, Fred Ashley of Laguna Niguel, said his client is seeking $3 million for emotional distress and $1,357,210 in lost pension benefits and lost future earnings.

Says He Was Suicidal

McDaniel has been so distraught about his forced resignation that in late May and early June, he contemplated suicide “on a number of occasions,” Ashley said Tuesday, adding, “I think he’s past that now.”

Ashley declined to say whether McDaniel was under a psychiatrist’s care.

The complaint reads: “Having been stripped of his rights and having had his career destroyed, this emotional distress has been so severe that Mr. McDaniel has repeatedly contemplated suicide--an act he has successfully resisted only by virtue of his strong sense of morality.

“As a result of this emotional distress, Mr. McDaniel claims reasonable damages against the city in the amount of $3,000,000.”

City’s Lawyer Skeptical

David Larsen, a private attorney retained by the city, said it would be “premature” to comment specifically on McDaniel’s claim.

But he added, “I don’t believe it (the claim) has merit. I don’t think it’s well founded in law or fact.”

Procedurally, the City Council has 45 days to act; after that, the claim is assumed denied and McDaniel has six months from that date to sue the city, Larsen said.

Most city administrators, council members and police officers named in McDaniel’s claim declined comment or could not be reached Tuesday. But Neil Murray, a director of the San Clemente Peace Officers Assn., said he “categorically” denied that he and his colleagues “conspired with the City of San Clemente to do anything to damage Kelson McDaniel.”

Murray added, “My only reaction is I don’t have $4.3 million.”

McDaniel, San Clemente’s police chief for 18 months, was asked to resign by City Manager James Hendrickson after officers in the 50-member police force complained that his management style was punitive and overwhelmingly voted “no confidence” in his leadership.

Officers said McDaniel had imposed a minimum quota for writing tickets, set up a system of negative performance reviews and disrupted their personal lives by requiring shift changes every 28 days.

Ironically, McDaniel had received a glowing evaluation from Hendrickson two weeks before police officers complained about the chief’s style.

In June, McDaniel asked the city for a month’s back pay and immediate reinstatement, which were rejected. Contending that the forced resignation should be nullified, the former chief has been returning to the city all severance pay from his $63,000-a-year job. So far, McDaniel has sent back four checks of $1,600 each. Ashley said his client will continue to return all money from the 120-day severance period.

McDaniel’s claim was filed with the San Clemente city clerk July 30, before upcoming public hearings on his ouster. His attorney demanded the hearings, which will be held Aug. 10-13 in San Clemente’s council chambers.

At the hearings, McDaniel and city officials will discuss the reasons for his removal before an independent hearing officer, retired state appellate Judge Robert E. Rickles.

Reinstatement at Issue

Whatever the hearing outcome, Hendrickson has said the city does not intend to reinstate McDaniel.

On Tuesday, Ashley said he is still hoping McDaniel will be reinstated. But even if that happens, McDaniel may still continue to seek the damages, Ashley said. “I’m not sure that by reinstating him, they would correct those damages.”

In his claim against the city, McDaniel demanded:

- $682,270 in lost wages that McDaniel would have received had he continued to work as police chief until retirement in 1999.

- $192,000 in lost pension benefits.

- $142,940 in other benefits McDaniel was expected to receive in the next 12 years.

- $40,000 in losses McDaniel may incur if he is unable to make mortgage payments and is forced to sell his ocean-view home being built in San Clemente.

- $300,000 in attorney’s fees McDaniel may incur in his claims against the city.

- $3 million in damages for emotional distress.