Confidential
Settlement – $125,000Facts
Plaintiff, an African-American, was employed part-time by defendant for more than three years. On
almost a daily basis, plaintiff was called "nigger," "spear chucker," and other racial slurs. Further, plaintiffÆs
fellow employees made derogatory remarks about prominent African-American public figures and other
minorities as well.
It was alleged that plaintiffÆs supervisors heard the remarks being made and did nothing to stop them. Plaintiff
was also spit on and was involved in two racially-motivated physical altercations while on the job.
Eventually, plaintiff was unable to continue his employment, went on stress-induced disability leave and then
resigned.
Settlement Discussions
The plaintiffÆs initial demand was $3 million, reduced to $500,000, after the court dismissed his claim for punitive damages. After plaintiffÆs claims were limited to emotional distress damages, the demand was lowered to $300,000 at the first settlement conference and then to $125,000 at the second settlement conference. The defendant made an offer of judgment of $2,501 in February 1999, raised to $20,000 at first settlement conference, raised to $100,000 at second settlement conference.
Damages
The plaintiff went on stress-related disability leave, suffered nightmares and recurring dreams about the work place and required psychiatric treatment.
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