National Emergency Medical Services Association - Business Practices and Legal Proceedings

Business Practices and Legal Proceedings

NEMSA hired the law firm of Goyette and Associates. In legal documents filed in Sacramento Superior Court, Paul Goyette alleges he was hired as corporate counsel to NEMSA in May 2010 at hourly rates from $225 to $250 an hour. The arrangement changed in April 2011 to a fixed monthly fee of $45,000 for legal and labor representation, plus an hourly fee of $250 for political and criminal defense work. The deal included acknowledgment that $146, 872 was due from the first agreement, but the law firm agreed not to take action to collect the money unless NEMSA altered or terminated the new agreement before March 2014. If that happened, court documents allege, the money was immediately due — plus $600,000 in liquidated damages. The money wasn’t paid and the relationship was severed by NEMSA in May 2012. In court documents filed in July, Goyette seeks to collect the more than $825,000 he says is owed.

NEMSA affiliated with NAGE (National Association of Government Employees) and NAGE has filed suit against NEMSA for breach of several contracts, claiming NEMSA did not pay NAGE more than $281,000 owed to NAGE as part of those contracts. The suit also alleges that Torren Colcord breached an employment contract with NAGE. In the suit, NAGE alleges "Shortly after NEMSA’s affiliation with NAGE commenced, NAGE discovered that NEMSA’s financial health was not what it was represented to be during the course of NEMSA’s negotiations with NAGE, and, consequently, NEMSA did not have the financial wherewithal to meet its dues obligations to NAGE. In an effort to salvage the relationship, NAGE initially agreed to rebate to NEMSA some of the dues owed to NAGE under the Affiliation Agreement to NEMSA. In all, NAGE rebated approximately $56,000 to NEMSA. NAGE also paid NEMSA an additional $15,000 in rent pursuant to the Servicing Agreement. NAGE also performed all of the obligations and services called for under the Affiliation and Servicing Agreements prior to the termination of those agreements. Nonetheless, despite financial assistance from NAGE, and despite that NAGE has met its obligations to NEMSA under the Affiliation and Servicing Agreements, NEMSA failed to meet its financial obligations to NAGE. Of the approximately $456,000 total owed by NEMSA to NAGE pursuant to the Affiliation and Servicing Agreements, NEMSA paid NAGE only approximately $175,000 and currently owes NAGE approximately $281,000. NAGE as a result of NEMSA's Breach Of Contracts is no longer affiliated with NEMSA.