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EPLI in the New Millennium: Current Trends and Emerging Issues

EPLI in the New Millennium: Current Trends and Emerging Issues. John L. Barber, Esq. Lewis Brisbois Bisgaard & Smith LLP California/New York. AVERAGE JURY VERDICTS IN EMPLOYMENT CASES – CALIFORNIA. Breakdown by Nature of Claim. Observations:.

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EPLI in the New Millennium: Current Trends and Emerging Issues

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  1. EPLI in the New Millennium:Current Trends and Emerging Issues John L. Barber, Esq. Lewis Brisbois Bisgaard & Smith LLP California/New York

  2. AVERAGE JURY VERDICTS IN EMPLOYMENT CASES – CALIFORNIA

  3. Breakdown by Nature of Claim

  4. Observations: • Verdicts DO NOT reflect awards of attorneys' fees • Breakdown between demonstrating a DISCRIMINATORY ANIMUS versus SIMPLE ILL-INTENT or EMPLOYER NEG- LIGENCE (see discrimination verdicts and compare emotional- distress, fraud, and wage and hour cases) Bell v. Farmers verdict as harbinger of things to come Incomplete statistics

  5. Expansion of Protection • State versus Federal laws Examples: Sexual Orientation -- Protected Characteristic under the FEHA, growing protection under Title VII Transsexuals/Hermaphrodites (Perception of Gender/Sex versus reality) Disability in California versus ADA

  6. One of the Most Common Personal Injury Lawsuits Today • September 16, 2002 • 57 Lawsuits filed in the Central District of the Los Angeles Superior Court • 17 were employment-related = 30%

  7. Trends • Shifting of HR Function to Third Parties • Examples • Who is the insured? • Greatly increased number of employees moving through employer's facility • Contractual disputes between "insureds" interfere with resolution of cases • Pre-Issuance of PolicyDue Diligence • Examples • Questionnaire • Site Visit to Correct Deficiencies • Added Exclusions • Telecommuting • Examples • Wage and hour compliance • What laws apply • OSHA • Expanded base of potential plaintiffs and defendants Genetic Testing -- Protected Characteristic in California Growth of Poll of Attorneys

  8. Mediation • Early (often pre-litigation) Greater expense and preparation, i.e., attorneys' fees and mediator expense Multi-day What's covered, i.e., is it a claim?

  9. Increased Settlement Values -- The Hammer of Attorneys' Fees • 1998 Litton verdict -- $8,000 in compensatory damages; $300,000 in attorneys' fees • $0 to $25,000 settlements are increasingly rare • Plaintiff's bar perceives $25,000 to $75,000 as early, "cheap" settlement

  10. Legislative Activity • SB688 SB1538 HR 217

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