The city of Otsu agreed Tuesday to settle a damages suit filed by the relatives of a 13-year-old boy who killed himself in 2011 after being bullied, agreeing to pay compensation and apologize for the way the school and the local board of education handled the matter.

Under the settlement reached at the Otsu District Court, the municipal government will pay ¥13 million in damages in addition to ¥28 million paid earlier as condolence money.

The relatives in February 2012 sued the city and three former classmates who had bullied the boy, demanding ¥77 million in damages. One year later, the municipal government acknowledged its negligence in responding to the case and expressed willingness to reach a settlement.