Wisconsin: Employer brings action against employees

http://www.wisspd.org/html/980case/casesum/AppealsPP.htm


In 779 N.W.2d 19 (Wis, 2010), the Court of Appeals of Wisconsin imposed a fine of $150 on Buske’s appellate counsel and a fine of $150 on Russell’s appellate counsel. S.C. Johnson and Son claimed that his employees Buske invited bribes and kick-backs from transportation companies and, in exchange, submitted inflated invoices to employer on behalf of those transportation companies. A $203.8 million verdict in S.C. Johnson's favor was reached after substantial discovery, a four-week jury trial, and a series of motions brought before, during, and after the trial and verdict.

Wisconsin’s Court of Appeals affirmed that in issue of apparent first impression, representative of transportation company could not withdraw privilege against self-incrimination shortly before trial; in issue of apparent first impression, victim of intentional tort has no duty to mitigate damages unless it has actual knowledge of tort; corporation did not have actual knowledge of conspiracy; in issue of apparent first impression, double damages on whole award pursuant to Wisconsin Organized Crime Control Act (WOCCA) was proper; jury verdict was not perverse; jury verdict was not fatally defective; court acted within its discretion in admitting portions of redacted affidavits from reports of two federal law enforcement agents; and evidence that a nonparty transportation company hired friend of defendant was relevant.

The first issue concerns a party's continuous invocation of the Fifth Amendment privilege against self-incrimination in a civil action where that party later waives the privilege in the middle of trial when all discovery and preparation for trial is complete and the other party's theory of the case has been established. Second, this action alleged the intentional torts of fraud and misrepresentation. And third, is the multiple damages provision of the Wisconsin Organized Crime Control Act (WOCCA) remedial such that the entire damage award is doubled?