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Tesla’s Former Worker Rejects $15 Million Payout in Race Bias Lawsuit, New Trial Might Start Quickly


A Black former elevator operator at Tesla’s flagship California meeting plant on Tuesday rejected a $15 million (practically Rs. 120 crore) award in his lawsuit alleging racial abuse by coworkers, opening the door for a brand new trial after a choose slashed a $137 million (practically Rs. 1,100 crore) jury verdict.

Attorneys for Owen Diaz, who had sued Tesla in 2017, turned down the choose’s award in a short submitting in federal courtroom in San Francisco. They mentioned in a press release that the award was unjust and wouldn’t deter future misconduct by Tesla.

“In rejecting the courtroom’s extreme discount by asking for a brand new trial, Mr. Diaz is once more asking a jury of his friends to guage what Tesla did to him and to supply simply compensation for the torrent of racist slurs that was directed at him,” his legal professionals mentioned.

Tesla didn’t instantly reply to a request for remark.

US District Decide William Orrick lowered the jury award, which was one of many largest of its form in a discrimination lawsuit, to $15 million in April. He had additionally denied Tesla’s movement for a brand new trial, conditioned on Diaz’s acceptance of the decrease award.

Earlier this month, the choose denied Diaz’s movement for permission to attraction that ruling and gave him two weeks to simply accept the decrease award or conform to a brand new trial.

Tesla is dealing with a sequence of lawsuits involving alleged widespread race discrimination and sexual harassment at its Fremont, California manufacturing facility, together with one by a California civil rights company.

Final week, a Tesla shareholder filed a lawsuit accusing the corporate’s chief government, Elon Musk, and board of administrators of neglecting employee complaints and fostering a poisonous office tradition.

Tesla has denied wrongdoing and says it has insurance policies in place to stop and deal with office misconduct.

Diaz alleged that his colleagues and a supervisor subjected him to a hostile work setting that included slurs, caricatures and swastikas in his 9 months working on the Fremont plant in 2015 and 2016.

A jury had awarded Diaz $6.9 million (practically Rs. 50 crore) of compensatory damages and $130 million of punitive damages final October, however Orrick in April mentioned these numbers have been extreme.

Diaz’s legal professionals of their assertion on Tuesday mentioned Orrick’s determination highlighted systemic bias that federal judges have towards juries, which in flip violates the constitutional rights plaintiffs need to a trial by jury.

© Thomson Reuters 2022


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