Golden Valley has settled a lawsuit in which an interim police chief alleged discrimination after a Black applicant got the permanent job.

The city admitted no wrongdoing as part of the settlement but will pay more than $162,000 to former interim Chief Scott Nadeau and his attorneys.

"This settlement takes into consideration the costs of proceeding with the lawsuit and the opportunity to bring finality to this matter," said Susan Tindal, an attorney with Iverson Reuvers who represented the city. Nadeau will receive $97,500 and his attorneys will get $65,000. The money will be paid by Golden Valley's insurance.

Nadeau, who is white, served as interim chief in Golden Valley after he retired from a career that included stints leading other suburban police departments.

Two years ago, he and current Police Chief Virgil Green, who is Black, were the two finalists for the permanent Golden Valley job. Nadeau resigned and dropped out of contention for the chief job in March 2022, after then-Mayor Shep Harris said he preferred Green and called for an investigation into racism in the Police Department.

Nadeau sued the city in June 2023, claiming he was replaced by a Black male "for the express purpose of increasing racial diversity." Nadeau's suit alleged discrimination on the basis of his race, and claimed that Harris defamed him. The suit also attacked the qualifications of Green and Assistant Chief Alice White, who also is Black.

Nadeau's initial complaint sought damages of at least $75,000, claiming the episode caused him embarrassment, lost wages and lost benefits. Nadeau receives more than $142,000 a year from his state pension.

Golden Valley disputed Nadeau's claims after he filed the suit, saying the city does not make hiring decisions based on race.

The settlement does not mean the city admits to having done anything wrong, Tindal said, only that continuing the suit would have cost more than the settlement.

In a statement provided by his attorneys Wednesday, Nadeau said police needed support from city leaders, and said he prided himself on community-oriented policing through his career.