Neal v. Honeywell

Date:  11/08/1999 (Date of Judgment)

Misconduct Type:  Labor

Enforcement Agency:  Non-Governmental

Contracting Party:  Defense - Army

Court Type:  Civil

Amount:  $1,872,116

Disposition:  Judgment Against Defendant

Synopsis:  “[D]uring the investigation [of a false claims case, Honeywell manager, Steve] Young began a campaign of intimidation against whoever had alerted his superiors. The parties dispute whether Young then knew Neal's identity but agree that he made plenty of threats. Young related to all who would listen his plans to ‘get’ the snitch, describing the whistleblower as ‘dead meat,’ and announcing his intention to ‘break his legs.’ Honeywell did nothing in response to these public threats, later asserting that it would only ‘add fuel to the fire’ to penalize Young for his intimidating words (or for his deeds: the eventual transfer was not a demotion…) But while Honeywell permitted Young to fulminate, it suggested that Neal leave town. Just before announcing the first steps it would be taking to discipline those responsible for the fraud, Honeywell chose to give Neal a one-month paid leave of absence ‘for her own safety.’ Bill Tyler, Neal's boss, harangued her repeatedly for reporting the fraud, then took away most of her responsibilities until less than a quarter of her duties remained. Neal took the hint and quit. Six years later she sued under the Act, claiming retaliatory discharge and harassment. A jury agreed with her accusations and awarded her $ 550,000 for emotional distress (she accepted a remittitur to $ 200,000), and $ 40,000 in back pay (which, as a result of the statutorily-required doubling plus interest, the judge increased to $150,000). The judge also awarded her $ 1.6 million in attorneys' fees and costs." The Seventh Circuit Court of Appeals subsequently reduced the award of costs by $77,884.