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The government awards contracts to companies with histories of misconduct such as contract fraud and environmental, ethics, and labor violations. In the absence of a centralized federal database listing instances of misconduct, the Project On Government Oversight (POGO) is providing such data. We believe that it will lead to improved contracting decisions and public access to information about how the government spends hundreds of billions of taxpayer money each year on goods and services. Report an instance of misconduct »

FedEx Corporation

Racial Discrimination and Harassment

Date: 03/23/2007

Misconduct Type: Labor

Enforcement Agency: Non-Governmental

Contracting Party: None

Court Type: Civil

Amount: $12,400,000

Disposition: Judgment Against Defendant

Synopsis: In June 2006, a jury in Alameda County, California awarded $61 million to two FedEx drivers of Lebanese descent who claimed a manager racially harassed them for two years. The jury awarded them $50 million in punitive damages and $11 million in compensatory damages. In September, however, the judge deemed the verdict excessive and reduced the award to $12.4 million. "The harassment was mostly just offensive name-calling," Judge Stephen Dombrink noted in his ruling.