Facts

Plaintiff Housing Authority of the city of Los Angeles sued its former long time executive director, Donald J. Smith, and its former assistant executive director, Lucille A. Loyce, contending that while defendants were acting as the top two executives of the agency, they caused the Authority to pay consultant, Dwayne E. Williams, who worked at the Authority's Jordan Downs and Pueblo Del Rio developments, excessive compensation.

The plaintiff also alleged intentional misrepresentation and constructive fraud regarding the oversight as well as monitoring of contracting activities at the developments or with Dwayne E. Williams / D.E. Williams & Associates.

Result

The jury found that the defendants made false representations to and concealed facts from the Housing Authority's Board of Commissioners, which caused damages in the amount of $528,000. Verdict for plaintiff as cross-defendant on cross-complaint by Loyce involving discrimination and whistleblowing allegations. The plaintiff recovered against defendant Loyce for breach of fiduciary duty, intentional misrepresentation and constructive fraud, and against defendant Smith for intentional misrepresentation and constructive fraud.

Other Information

EXPERT TESTIMONY: Thomas Neches, testified to the $1.17 million paid to consultant by the Housing Authority, which exceeded defendants' representation. James Rosenberg, M.D., testified that defendant Loyce was a malingerer. June Hagen testified that defendant Loyce could have obtained other employment and made little effort to do so. FILING DATE: Oct. 30, 2006.

Deliberation

two days

Poll

9-3 (for plaintiff Housing Authority as to claims on which it prevailed), 11-1 (for cross-defendant Housing Authority on cross-complaint for race), 12-0 (for gender discrimination) and 10-2 (Labor Code section 1102.5 whistleblowing by Loyce as cross-complainant)

Length

23 days