Company retaliates against whistleblowing CFO. $2.2M. Los Angeles County.
Summary
CFO blows whistle on his Chinese bosses.
The Case
- Case Name: Jeffrey Yang v. Global Win Capital Corporation, et al.
- Court and Case Number: Los Angeles Superior Court / 20STCV45192
- Date of Verdict or Judgment: Tuesday, November 19, 2024
- Date Action was Filed: Tuesday, November 24, 2020
- Type of Case: Employment, Whistleblower
- Judge or Arbitrator(s): Hon. Joseph Lipner
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Plaintiffs: Jeffrey Yang
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Defendants: Global Win Capital Corporation
- Type of Result: Jury Verdict
The Result
- Gross Verdict or Award: $2,248,290.07
- Net Verdict or Award: $2,207,290.07
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Award as to each Defendant:
Plaintiff: Past lost earnings ($168,290.07) Past emotional distress ($200,000) Contract damages ($1,080,000) Punitive Damages ($800,000) Defendant: Breach of Fiduciary Duty: $41,000
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Economic Damages:
Past lost earnings: $168,290.07
Contract damages: $1,080,000
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Non-Economic Damages:
Past emotional distress: $200,000
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Punitive Damages:
$800,000.00
- Trial or Arbitration Time: 15 days
- Jury Deliberation Time: 3 hours
The Attorneys
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Attorney for the Plaintiff:
Workplace Justice Advocates, PLC by Tamara S. Freeze, Irvine.
Hannemann Law Firm, A Professional Corp. by Brian Hannemann, Upland.
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Attorney for the Defendant:
DLA Piper by Holly Lake and Melanie Walker, Los Angeles.
The Experts
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Plaintiff's Technical Expert(s):
Mark Falkenhagen, economics.
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Defendant's Technical Expert(s):
Dawn Jones, auditing.
Facts and Background
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Facts and Background:
Plaintiff was Global Win's chief financial officer from September 2017 to October 2019. Plaintiff claimed that Global Win retaliated against him for his disclosure to eight company supervisors of allegedly unlawful activities by Global Win and its parent company, including inflated appraisal value of a subsidiary, illegal accounting practices, illegal transfer of funds form China and requests for fraudulent documents to support immigration documents for the company's CEO.
Plaintiff further claimed that Global Win breached his executive employment agreement when he resigned for good reason and Global Win failed to pay him over $1 million in severance fees. Plaintiff claimed contract damages, past lost compensation, emotional distress damages and punitive damages.
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Plaintiff's Contentions:
That defendant company committed breach of contract when they did not honor the executive employment agreement for $1,080,000.
That defendant company committed whistleblower retaliation under Cal. Labor Code Sec. 1102.5 – Wrongful Termination in Violation of Public Policy.
That plaintiff resigned for "good reason" under his executive employment agreement after Global Win materially diminished his CFO duties and trumped up false accusations against him to cover up their retaliatory reason.
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Defendant's Contentions:
Defendant company denied all allegations and claimed that plaintiff breached his fiduciary duty as an officer.
Demands and Offers
- Plaintiff §998 Demand: $500,000 on July 23, 2023.