Phillip I. Alexander v. Farmers Group Inc., et al.
Published: May 20, 2000 | Result Date: Mar. 28, 2000 | Filing Date: Jan. 1, 1900 |Case number: BC147454 Verdict – $5,000,000
Judge
Court
L.A. Superior Central West
Attorneys
Plaintiff
Gary M. Paul
(Waters, Kraus & Paul)
Defendant
John F. Salisbury
(Tobin Lucks LLP)
Experts
Defendant
Daniel Wohlgelernter M.D.
(medical)
Richard G. Ness
(medical)
Facts
Plaintiff Phillip Alexander age 59, was a former district manager for Farmers Insurance in Simi/San Fernando
Valley. Plaintiff had worked as an independent contractor, first as an agent and later as a district manager, for Farmers from 1978 through March 1995. After two years as a sales agent for Farmers, plaintiff was recruited to become a district manager, finally accepting the position in January 1982. He remained a district manager for Farmers, as an independent contractor, until March 1995, when he became totallly disabled. He was terminated on the basis that he allegedly "abandoned" his district. Beginning in late 1990, plaintiff experienced health problems from a stress condition. He made Farmers and the management aware of his increasingly fragile health condition. In 1992, plaintiff, being treated for stress, exhibited increased blood pressure. The plaintiff advised Farmers about his condition. Plaintiff was never informed that in November 1990 and again in 1993, management attempted to terminate him, but had been turned down because of insufficient grounds.
Damages
The plaintiffÆs measure of damages were based upon what his earnings would have been had he remained an agent and not been induced to leave his agentÆs position, minus the income he received as a district manager. The jury found that if he had remained an agent from the period of 1982 to the present, his earnings would have been $5,695,000, from which was offset the earnings as a district manager of $3,205,000. The net economic loss was found to be $2.5 million. In addition, the jury found, resulting from the intentional actions of the defendant, plaintiff had suffered emotional distress in the amount of $2.5 million. On the issue of punitive damages, the jury determined that punitive damages for FarmersÆ actions were to be assessed in the amount of $12.5 million.
Other Information
Motions for new trial and judgment notwithstanding the verdict are pending.
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