A two-year-old hate crime lawsuit alleging a white Mount Prospect woman committed multiple acts of racially motivated harassment against a neighboring black family has been settled for a “substantial” sum and an apology, the plaintiff’s attorney said.

The lawsuit was filed in March 2014 by the Chicago Lawyers’ Committee for Civil Rights Under Law Inc. in partnership with the law firm of Katten Muchin Rosenman LLP on behalf of Iris Howe and her two children against their neighbor Terry Calliari.

According to the complaint, over the course of four years Calliari repeatedly addressed members of the black Howe family with racial slurs, intimidated the children with her automobile, attempted to instigate physical fights with them, directed others to vandalize the family’s automobiles and attempted to prevent them from using the community pool and other facilities of their townhouse association.

On isolated occasions, the suit alleges, Calliari threatened to run over the family dog, made a false police report about Howe’s son, told the boy to “die” and told the family to move.

The lawsuit, filed under the Illinois Hate Crime Act and Illinois Human Rights Act, was settled on July 18, the day before the set trial date, said Jonathan Baum, director of pro bono services for Katten Muchin Rosenman.

Baum said the amount of the settlement could not be disclosed under the terms of the agreement, but Calliari did apologize to Howe in the presence of the judge.

The settlement contains neither an admission nor denial of liability on Calliari’s part. Neither Calliari nor her attorney could be immediately reached.

The suit was filed for two reasons, Baum said: To show that such behavior continues to exist, and to demonstrate that anyone who engages in it will pay a high price.

“Ms. Calliari is paying the Howe family a substantial amount of money,” Baum said. “The amount being paid fulfills that purpose.”

The Howe family moved across the street from Calliari on the 800 block of West Partridge Lane in Mount Prospect in April 2009. The family moved to a different suburb about a year ago, at least partly because of the atmosphere Calliari had created, Baum said. He said no one else in the neighborhood was accused of contributing to the unwelcome environment.