Tracy Morgan Settlement With Walmart: Amount, Admission, Aftermath

Tracy Morgan’s settlement with Walmart, reached in May 2015 after a Walmart tractor-trailer rear-ended his limousine van on the New Jersey Turnpike, is confidential. The dollar figure was never disclosed in any court filing, and both Morgan’s lead attorney and Walmart have declined to confirm any number. The $90 million figure that circulates online came from a single radio-show comment by another comedian and was denied by Morgan’s camp.

How Much Was the Settlement

The $90 million number traces back to comedian Damon Wayans, who mentioned it on a radio show in September 2015. He was not a party to the case and did not say where the figure came from. Morgan’s representatives called the claim “false.” His lead attorney, Benedict Morelli, told CBS News the actual amount was “not even close to the number,” and declined to say whether the real figure was higher or lower.¹²

What is on the record: the settlement was filed as a joint motion on May 27, 2015, covered four plaintiffs (Morgan, comedian Ardley Fuqua Jr., Morgan’s assistant Jeffrey Millea, and Millea’s wife Krista), and was formally dismissed with prejudice on July 21, 2015. The specific amount for each plaintiff was sealed.³⁴

Morgan said publicly that Walmart “did right by me and my family” and had “took full responsibility for the accident.”³

Why the Payout Was Large

Even with the number sealed, the drivers of valuation are documented. Morgan was 45 at the time of the crash and at a peak earning point in his career. He had been paid $200,000 per episode on 30 Rock and $5 million for voice work in the 2014 film Rio 2, putting his annual income in the millions. Lost earning capacity over a projected life expectancy of more than 30 years was calculated on that basis.⁵

His injuries were catastrophic. Morgan suffered a traumatic brain injury, a broken leg, and broken ribs, was in a coma for eight days, was blind for a week after waking, spent five months in a wheelchair, and had to relearn how to walk and talk in rehabilitation. Long-term effects included chronic headaches, recurring nosebleeds, and reliance on a cane.⁶⁵

Walmart also faced serious litigation risk if the case went to a jury. The driver, Kevin Roper, had been awake more than 28 hours before the collision and was traveling 65 mph in a 45 mph construction zone. The National Transportation Safety Board found that at the posted limit he would have had enough distance to brake. Investigators also found Walmart had no policy on how far drivers could commute before a shift and had not effectively used “critical event reports” flagging Roper’s prior issues.⁷⁸

What Walmart Admitted

Walmart’s initial answer to the lawsuit, filed in October 2014, tried a contributory-negligence defense: the company argued the plaintiffs’ injuries were “caused, in whole or in part, by plaintiffs’ failure to properly wear an appropriate available seat belt restraint device.” Morgan responded, “I can’t believe Walmart is blaming me for an accident they caused.”⁹

Walmart later dropped the argument and accepted full responsibility for the crash before the settlement was announced.¹⁰

The Insurance Fight That Followed

Walmart paid the settlement in full out of its own pocket, then went to its excess liability carriers for reimbursement. When those carriers balked, Walmart sued six of them in Benton County, Arkansas, in September 2015, alleging bad faith and breach of contract. The defendants included Liberty Insurance Underwriters, Ohio Casualty Insurance, QBE Insurance Corp., St. Paul Fire & Marine Insurance, Travelers, and XL Insurance America.²¹¹

The insurers countersued, arguing the settlement amounts were excessive and that Walmart had not provided enough documentation to justify the payouts. They also sought to depose Morgan for seven hours, alleging he had exaggerated his injuries. Morelli publicly vowed to block the deposition.¹

The McNair Family’s Separate Settlement

James McNair, the 62-year-old comedian killed in the crash, was not part of the Morgan lawsuit. His family reached a separate agreement with Walmart before filing suit. According to papers filed in Surrogate’s Court in Westchester County, New York, McNair’s two children, Jamel and Denita, received $10 million. Part of the money went into annuities paying each of them a starting $3,000 per month for life. Family attorney Daryl Zaslow filed for nearly $3 million in legal fees. Walmart confirmed the agreement but did not discuss its terms.¹²

What Happened to the Driver

Kevin Roper, the Walmart driver, was prosecuted separately from the civil case. He was charged with vehicular homicide and four counts of aggravated assault, having initially also faced a count of aggravated manslaughter. On November 29, 2016, he pleaded guilty to all charges in state Superior Court and entered a 36-month pretrial intervention program. If he completed community service and other conditions, the charges would be dismissed; failure to comply could bring jail time.¹³¹⁴

1
CBS News. Insurers Challenge Walmart Tracy Morgan Accident Settlement
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Courthouse News Service. Wal-Mart Says Tracy Morgan Settlement in Insurer Limbo
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ABC7 New York. Wal-Mart, Tracy Morgan Reach Settlement of Lawsuit
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6ABC. Tracy Morgan, Walmart Settle Lawsuit After NJ Turnpike Crash
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The W Firm. Walmart Settles Multi-Million Dollar Lawsuit With 30 Rock Star and Stand-Up Comedian Tracy Morgan
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ABC News. Tracy Morgan Tells Barbara Walters How He Recovered From Deadly Car Crash
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American Academy of Sleep Medicine. Drowsy Driving Was Probable Cause of Accident That Injured Comedian Tracy Morgan
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ABC7 New York. NTSB: Wal-Mart Truck Driver in Tracy Morgan Crash Hadn’t Slept for 28 Hours
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FindLaw. Walmart Claims Tracy Morgan at Fault for Crash Injuries
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Courthouse News Service. Tracy Morgan, Wal-Mart Settle NJ Crash Lawsuit
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CCJ Digital. Walmart in Legal Fight With Insurance Companies Over Tracy Morgan Crash Payouts
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6ABC. Children of Comedian Killed in NJ Crash Awarded $10 Million
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NBC Philadelphia. Tracy Morgan Guilty Plea New Jersey Turnpike Crash Driver Walmart
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CBS News. Truck Driver Who Hit Tracy Morgan’s Vehicle Pleads Guilty