Gilbert Gamboa v. Hughes Aircraft Company, et al.
Published: Nov. 14, 1998 | Result Date: Aug. 5, 1998 | Filing Date: Jan. 1, 1900 |Case number: BC161054 Verdict – $897,322
Judge
Court
L.A. Superior Central
Attorneys
Plaintiff
Gary M. Paul
(Waters, Kraus & Paul)
Defendant
Christopher Tayback
(Quinn, Emanuel, Urquhart & Sullivan, LLP)
Phyllis Kupferstein
(Kupferstein Manuel LLP,)
Experts
Plaintiff
Peter Formuzis Ph.D.
(technical)
Facts
Plaintiff Gilbert Gamboa was a 22-year employee of defendant Hughes Aircraft Company through its various manifestations up until the time it became General Motors. In 1994, Gamboa held the position of controller, equivalent to the chief financial officer, for the microelectronics division (MED). His immediate supervisor, Don Schrock, in a position equivalent to the chief executive officer of the division, had been his division manager for four years. In late 1994, the plaintiff was informed that his division was to be absorbed into a section or group at Hughes called "radar communications systems." The transition was to occur on Jan. 1, 1995. The plaintiff was asked to assist in the process, including running transition teams, especially as it dealt with the financial area. For his efforts, he was awarded a certificate of merit for his work. After completing the transition efforts, which took several months, the plaintiff was notified on about May 3 that his position was being eliminated due to downsizing and that he was being removed as controller of MED and that he needed to find a new position within the company or he would be laid off. He was not advised that his layoff was due to inadequate work performance. In spite of his efforts, he was unable to locate employment. On August 21, he was notified by the defendant through its human resources director, Will Smith, and the new division manager, Mark Haugen, that his employment was being terminated and that his layoff would become effective on October 16. On November 17, the plaintiff received a notice that his employment was terminated. The plaintiff was laid off in August 1995. The plaintiff was given a lay-off notice, and at the same time, a release indicating he would never be permitted to work at a General Motors-Hughes affiliated company again. Concerned about this notice, and at the invitation of the defendant, the plaintiff obtained legal counsel in an attempt to renegotiate this settlement agreement. The result was a rapid escalation of the situtation with the plaintiff and the lodging of serious financial malfeasance claims against the plaintiff. Even though the plaintiff was being laid off on October 16, he was sent a letter on November 17, after he had begun work in Oregon at another job, informing him he was terminated from his position. The plaintiff brought this action against the defendant based on breach of contract and national origin discrimination theories of recovery.
Settlement Discussions
The plaintiff made a settlement demand for $500,000. The defendant offered zero, but an indication of costs of defense.
Damages
The plaintiff left the position paying $105,000 per year at Hughes Aircraft and accepted a position which paid approximately $85,000 per year in Oregon. Because of the distance from his family and the inability of his family to move to Oregon, the plaintiff purchased a maintenance business in Orange County in January 1998. The plaintiff's economist determined the plaintiff's losses at $897,322.
Other Information
The verdict was reached approximately 1+-years after the case was filed.
Deliberation
two days
Poll
12-0 (for plaintiff on breach of contract); 12-0 (in favor of defendant on discrimination)
Length
20 days
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