Celia Hartnett v. Forensic Analytical Sciences Inc., Forensic Analytical Consulting Services Inc., Forensic Analytical Laboratories Inc., Forensic Analytical Specialties Inc., David Kahane
Published: Dec. 27, 2014 | Result Date: Aug. 5, 2014 | Filing Date: Jan. 1, 1900 |Case number: RG12641644 Verdict – Defense
Court
Alameda Superior
Attorneys
Plaintiff
Michael B. Sachs
(Clark Hill LLP)
Defendant
Michael A. Laurenson
(Gordon & Rees LLP)
Facts
Celia Hartnett sued Forensic Analytical Sciences Inc., Forensic Analytical Consulting Services Inc., Forensic Analytical Laboratories Inc., Forensic Analytical Specialties Inc., and David Kahane.
Contentions
PLAINTIFF'S CONTENTIONS:
Plaintiff alleged that she began working for defendants in 2002, as the lab director at defendant's facility in Hayward. In 2007, she received a promotion as the chief executive officer. In the fall of 2010, she requested assurances of job security from defendant Kahane due to pressing financial concerns. In response, Kahane agreed to pay plaintiff two years' worth of salary in the event she was involuntarily terminated during a certain period. Kahane also agreed to give her a bonus. Therefore, relying on Kahane's representations of continued employment, plaintiff continued to work for defendants. In February 2011, defendants hired a new chief executive officer, Richard Bernius. Plaintiff alleged that the new CEO was involved in several lawsuits for wrongful termination and breach of several agreements. However, defendants failed to conduct a reasonable investigation of those lawsuits when it hired Bernius. Thereafter, plaintiff was demoted, and instructed to follow Bernius' directions. Plaintiff alleged that Bernius's actions led to the invalidation of the laboratory's accreditation, which plaintiff complained about. Plaintiff alleged that Kahane reproached her when she pointed out Bernius' wrongdoing, and despite their earlier agreement, defendants decided to terminate her employment on April 30, 2011, without paying her two years' worth of salary.
Plaintiff asserted causes of action for wrongful termination in violation of public policy, promissory fraud, breach of contract and failure to pay wages, unlawful retaliation, and negligent hiring.
DEFENDANTS' CONTENTIONS:
Defendants alleged that Kahane never promised plaintiff a severance. Plaintiff admitted that it was reasonable for Kahane to replace her as CEO due to her failure to make the company profitable during her tenure. Defendants alleged that plaintiff was terminated for refusing to cooperate with the transition to a new CEO.
Damages
Hartnett claimed $300,000 for the severance package, and over $1 million for lost retirement benefits.
Injuries
Hartnett suffered from major depression following her firing.
Result
The jury found in favor of defendants, and awarded Hartnett zero damages.
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