Santa Fe Agreed to Settlement in Fatal Police Shooting
The city reached a $2.5 million deal to resolve a lawsuit involving a 2024 fatal encounter.
Updated on Sept. 22, 2026 in Law Enforcement

The city of Santa Fe has finalized a $2.5 million settlement in a civil lawsuit stemming from the 2024 fatal police shooting of 33-year-old Gracen Coon. The agreement resolves allegations of negligence and excessive force following a domestic dispute.
Why it matters
The settlement addresses claims that the police response during a mental health crisis involved discrimination and the unnecessary use of lethal force. It closes a legal battle brought by the wife of the deceased that began in 2025.
The $2.5 million settlement concludes the civil litigation process initiated by Lili Gordon in 2025. The case stemmed from the 2024 fatal shooting of 33-year-old Gracen Coon during a domestic dispute call.
The players
Gracen Coon
The 33-year-old individual who was fatally shot by police during a domestic dispute and mental health crisis in 2024.
Lili Gordon
The wife of the deceased who filed a civil lawsuit against the city in 2025 alleging negligence and excessive force.
The details
The lawsuit accused the Santa Fe police department of negligence and excessive use of force when officers responded to a mental health crisis involving Gracen Coon. The $2.5 million payment officially resolves the civil complaint filed by Lili Gordon.
Timeline
The fatal shooting of Gracen Coon occurred in 2024.
Lili Gordon filed the civil lawsuit against the city in 2025.
The city reached the settlement agreement in September 2026.
Legal Context
This settlement reflects a growing trend in municipal law where cities move to resolve high-stakes civil rights litigation to avoid protracted public trials. It follows a pattern set by the 2020 reforms to qualified immunity standards regarding municipal financial accountability.
The resolution of this case impacts local taxpayers by finalizing the financial liability of the city government for the incident. Residents may see continued scrutiny regarding police training protocols and mental health crisis response procedures.
The takeaway
This settlement highlights the significant financial costs associated with police interactions during mental health emergencies. It underscores the importance of municipal policy adjustments to address officer conduct in high-pressure situations.
Further reading
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