Bailets, R. v. Pa. Turnpike Commission, Aplt.

181 A.3d 324
CourtSupreme Court of Pennsylvania
DecidedMarch 27, 2018
Docket126 MAP 2016
StatusPublished
Cited by34 cases

This text of 181 A.3d 324 (Bailets, R. v. Pa. Turnpike Commission, Aplt.) is published on Counsel Stack Legal Research, covering Supreme Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bailets, R. v. Pa. Turnpike Commission, Aplt., 181 A.3d 324 (Pa. 2018).

Opinion

SAYLOR, C.J., BAER, TODD, DONOHUE, DOUGHERTY, WECHT, MUNDY, JJ.

*326 OPINION

JUSTICE DOUGHERTY

This is a direct appeal by defendant/appellant Pennsylvania Turnpike Commission ("PTC") from the Commonwealth Court's order entering judgment on a $3.2 million verdict in favor of plaintiff/appellee Ralph M. Bailets ("Bailets") following a non-jury trial of his claims arising under the Whistleblower Law, 43 P.S. §§ 1421 - 1428 ("Law"). The verdict included $1.6 million in non-economic damages. PTC presents a question of first impression in Pennsylvania: whether non-economic damages for items such as embarrassment, humiliation, loss of reputation and mental anguish are available to plaintiffs in actions brought under the Law. Additionally, if non-economic damages are authorized under the Law, PTC asks us to determine whether the verdict amount was excessive in this case. We conclude non-economic damages are available to successful plaintiffs under the Law and the trial court did not err or abuse its discretion in entering a verdict amount of $1.6 million. Accordingly, we affirm the judgment.

A. Background

Bailets was employed by PTC for ten years prior to his termination in November 2008. He was the Manager of Financial Systems and Reporting, responsible for a staff of programmers and business analysts, and it was his duty, among other things, to ensure PTC's financial reports were produced accurately and in a timely fashion. Bailets reviewed submissions in response to requests for proposals PTC issued seeking bids for the creation and implementation of a computerized financial reporting system. He voiced concern to his immediate supervisor, Director of Accounting, Anthony Q. Maun ("Maun"), that one of the bidders for the implementation contract, Ciber, Inc. ("Ciber"), had an unfair advantage over other vendors/bidders, because Ciber had previously been awarded a $3.4 million contract to identify the requirements upon which any implementation would be based. In 2005, despite having submitted the highest bid, Ciber was awarded a $53.8 million implementation contract. Maun told Bailets not to make waves regarding Ciber or his job would be in jeopardy.

After Ciber secured the implementation contract, Bailets voiced numerous complaints *327 to Maun regarding Ciber's poor performance, including high turnover and absenteeism of Ciber consultants, testing failures, and lack of knowledge transfer from Ciber consultants to PTC employees. In 2007, Bailets reported to Maun that senior management should be informed implementation problems were being caused by Ciber's deficient performance, particularly in the area of knowledge transfer, i.e. , Ciber consultants failed to deliver information to PTC employees regarding how the computerized financial reporting system actually operated.

Bailets also complained about Ciber's performance to a co-worker, Nikolaus H. Grieshaber ("Grieshaber"). Grieshaber acknowledged Ciber was politically connected within the PTC hierarchy, and warned Bailets to tread lightly in his complaints about Ciber. The problems with implementation of the system continued and by June 2008, the roll-out of the system was three months behind schedule. In June 2008, Grieshaber was promoted to the position of CFO, becoming Maun's immediate superior. Shortly after his promotion, Grieshaber sent an email to PTC's COO, George Hatalowich, stating, among other things, that Grieshaber had "a lot of misgivings about ... Bailets[,]" and that PTC needed to "keep a short leash on him." Trial Ct. Op., 10/6/16 at 9 (citing Trial Ex. 137). 1 In July 2008, Bailets was reassigned to the purchasing department. In August 2008, Ciber was awarded an additional $19.7 million contract to conduct knowledge transfer. Bailets continued to complain to Maun regarding Ciber's deficiencies. On November 20, 2008, PTC's Human Resources Director informed Bailets his position was being eliminated for budgetary reasons. Bailets was directed to immediately pack his personal belongings and was escorted from the building.

Believing he was terminated in retaliation for his reports of wrongdoing and waste, Bailets filed a complaint in the Commonwealth Court's original jurisdiction, alleging a single claim under the Law against PTC. 2 PTC filed a motion for summary judgment claiming Bailets was terminated, along with fourteen other employees, in an organization-wide effort to reduce expenses. In an unreported single-judge opinion, the court held the decision to terminate Bailets was "a management discretionary action, motivated by legitimate employer objectives[,]" and granted summary judgment in favor of PTC. Bailets v. Pa. Turnpike Comm'n , No. 265 MD 2009, unpublished memorandum at 11 (Pa. Cmwlth. February 4, 2014). Bailets appealed and this Court reversed, reasoning Bailets's complaint clearly presented prima facie evidence of violations of the Law which "at the very least created material issues of fact to preclude the grant of summary judgment[,]" and remanded to the Commonwealth Court for further proceedings. Bailets v. Pa. Turnpike Comm'n , 633 Pa. 1 , 123 A.3d 300 , 309-10 (2015).

A four-day non-jury trial in the Commonwealth Court ensued in May 2016 at which Bailets presented evidence in support of his claim he was fired by PTC due to his reports of waste and wrongdoing. With respect to evidence of economic damages, Bailets presented the expert testimony *328 of economist Andrew Verzilli, who, among other things, testified the accumulation of Bailets's past and future lost earnings resulting from his termination amounted to an "overall loss of $1,649,316[.00]." N.T. 5/25/16 at 514. With respect to non-economic damages, Bailets testified the emotional impact of losing his PTC employment was "devastating[,]" "humiliating[,]" "painful[,]" "very demeaning[,]" and "very difficult emotionally[,]" which caused him "no end of sleepless nights[.]" N.T. 5/23/16 at 190. Bailets specifically testified to the humiliation he felt because of the way he was fired-"being walked out of your employer with a box in your hand and being escorted out." Id. He further explained it was "certainly humiliating to use an unemployment card at [a] local grocery store" and testified he suffered mental distress contemplating "paying basic bills, repairs on an aging family van, [educational] expenses for my three daughters[,] ... retirement savings, medical costs, all of those things, you know, kept me awake many nights and laid heavily on me." Id. at 190-91. Bailets anguished over facing his father-in-law to inform him "I was no longer a provider for his daughter and his grandchildren." Id. at 190.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

J. Spallone v. PSP
Commonwealth Court of Pennsylvania, 2026
TCS Black Label v. Serhant Pennsylvania
2026 Pa. Super. 17 (Superior Court of Pennsylvania, 2026)
Reading Housing Auth. v. PHRC
Commonwealth Court of Pennsylvania, 2025
D. Davis Javitz v. Luzerne County
Commonwealth Court of Pennsylvania, 2025
ALVARADO v. CITY OF PHILADELPHIA
E.D. Pennsylvania, 2025
William J. Gruver v.
Third Circuit, 2024
Svec v. City of Chicago
2024 IL App (1st) 230893 (Appellate Court of Illinois, 2024)
M. Mazur v. J. Cuthbert
Commonwealth Court of Pennsylvania, 2024
Touraine, L.P. v. Spruce 1530
Superior Court of Pennsylvania, 2023
G.B. v. JADE NAILS HAIR SPA
E.D. Pennsylvania, 2023
The Bert Company v. Turk, Aplts.
Supreme Court of Pennsylvania, 2023
GRUVER v. KINCAID
W.D. Pennsylvania, 2023
PPG Industries Inc v. Jiangsu Tie Mao Glass Co Ltd
47 F.4th 156 (Third Circuit, 2022)
Alumisource Corp. v. Kantner Iron & Steel
Superior Court of Pennsylvania, 2022
Gruver v. Kincaid
W.D. Pennsylvania, 2022
BBB Industries v. Cardone Industries
Superior Court of Pennsylvania, 2022
Kimble, R. v. Laser Spine Institute, LLC
2021 Pa. Super. 196 (Superior Court of Pennsylvania, 2021)
Harbison, M. v. Demchick, M.
Superior Court of Pennsylvania, 2021

Cite This Page — Counsel Stack

Bluebook (online)
181 A.3d 324, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bailets-r-v-pa-turnpike-commission-aplt-pa-2018.