Facts

Plaintiff Deborah Hardison, a lesbian in her late 40s, worked in the parts department at the Poway Chrysler Jeep Dodge dealership owned and operated by Poway CJ Inc. ("PCJ").

Plaintiff sued Poway CJ, former supervisor Steven Ausencio, Hinkle Automotive Management Company, Inc. (HAMCO) [parent company] and Wes Hinkle (President of Poway CJ).

The complaint alleged the following causes of action against Poway CJ and HAMCO: (1) sexual harassment, (2) discrimination, (3) failure to prevent discrimination/harassment, (4) common retaliation, (5) statutory retaliation (6) wrongful termination in violation of public policy, (7) intentional infliction of emotional distress, (8) failure to pay overtime, (9) failure to provide meal periods, (10) failure to provide rest periods, (11) itemized wage statement violations, (12) waiting time penalties, and (13) unfair business practices. Plaintiff alleged claims for harassment and common law retaliation against Wes Hinkle, and claims for harassment, common law retaliation, and intentional infliction of emotional distress against Ausencio.

Defendants moved to compel arbitration. The court ordered the case to arbitration. Plaintiff voluntarily dismissed her intentional infliction of emotional distress claims against defendants, and all claims against Wes Hinkle. The arbitrator granted Ausencio's motion for summary adjudication on the common law retaliation claim.

PLAINTIFF'S CONTENTIONS:
Plaintiff contended that, during her employment, she was subjected to sexual harassment and discrimination by her supervisor, Steven Ausencio, and other employees of the parts department.

Plaintiff and other witnesses testified that Ausencio regularly called plaintiff derogatory terms with regard to her sexual orientation and made obscene and profane references to her genitals. Plaintiff further contended that he would make obscene facial expressions and simulate masturbation.

Further, plaintiff recounted that Ausencio told her he could "switch her to the other side" if she engaged in oral sex with him and, "[t]his is a man's world; if you don't like it, I can give you your walking papers."

Plaintiff also testified that Ausencio exposed himself on two occasions and grabbed her from behind in a bear hug and thrust his genital area into her back and buttocks. Plaintiff alleged other misconduct as well.

Plaintiff contended that she complained to the general manager, Gary Webb, about some of the misconduct and Webb told her that he would handle the situation. Plaintiff contended that, the next day, Ausencio ordered Hardison never to go over his head again "or else" and reminded plaintiff that everyone in the parts department had his back. Plaintiff contended that the harassing treatment escalated, with Ausencio also issuing multiple write-ups to plaintiff and eventually terminated her.

DEFENDANTS' CONTENTIONS:
Defendants denied Plaintiff's claims. Defendants contended that plaintiff was terminated for excessive absenteeism, arguments with coworkers, and general inattentiveness to job duties. Witnesses, including Ausencio and other parts department employees, testified at deposition regarding plaintiff's job performance issues, tardiness and attendance.

Defendants further contended that the alleged sexual conduct was not unwelcome. Witnesses testified that plaintiff herself participated in sexual banter and conduct in the workplace and that, on several occasions, plaintiff simulated oral sex with inanimate objects. The defense contended that plaintiff regularly used profanity and inappropriate language in the workplace and made racist comments; she offered to provide oral sex to a vendor in exchange for lunch; and she openly discussed her sexual orientation, personal, and financial problems. Ausencio testified that plaintiff offered to perform oral sex as payment on a personal loan.

Prior to her termination, Plaintiff had received numerous written warnings regarding her job performance, tardiness and attendance.

Settlement Discussions

Plaintiff demanded $45,000, plus allowance of plaintiff's counsel to file a motion for fees and costs. Defendants offered $50,000.

Damages

Plaintiff sought recovery for emotional distress and loss of earnings. Plaintiff's wage damages were cut-off several months after the termination, because PCJ closed its doors and filed for bankruptcy.

Result

The case settled for $135,000 from defendant Poway CJ Inc.

Other Information

ARBITRATOR: Hon. Thomas N. Thrasher, retired. INSURER: Carpenter Moore Insurance Services Inc.