A lawsuit against the city of Utica and dozens of people affiliated with the Paul Bumbolo case has now been settled in Federal Appeals Court.

Back in 2015, Bumbolo murdered his uncle, mother and sister -- stabbing the two women more than 300 times collectively, beheading one of them.

According to family members and friends, Bumbolo began exhibiting signs of a mental breakdown the day of the homicides. He was admitted to Faxton St. Luke's Hospital that day, but was released. 

The lawsuit by surviving family members centered on the police department and hospital's actions that day.

A district court ruled in the family's favor, however Wednesday, the United States Court of Appeals reversed that decision, saying that officers could not be held liable under the Due Process Clause.

Bumbolo was eventually diagnosed with schizophrenia. He is now in a psychiatric institution, where he is re-evaluated every two years.