THE BAKER & MCKENZIE SEXUAL DISCRIMINATION CASE

A San Francisco Superior Court jury awarded Rena Weeks, a former secretary at the world's largest law firm, $50,000 for emotional distress and $7.1 million in punitive damages after she alleged that a partner at the firm sexually harassed her.

In a pivotal charge against former Baker & McKenzie partner Martin Greenstein, Rena claimed that he dropped candies in the pocket of her blouse, groped her breast, pressed against her from behind and pulled her arms back to "see which one is bigger." Weeks worked for Greenstein for 25 days and was transferred after she complained. She resigned about a month later to take another job. Greenstein, who attracted much business to the firm, was not dismissed or otherwise disciplined until well into the litigation.

At trial, seven other former employees of the firm testified about improper advances by Greenstein. The law firm's own witnesses admitted that they knew Greenstein had been dogged for years by complaints of harassment. In some instances, the firm had not bothered to talk to employees who had complained. Greenstein's conduct was concealed because the firm kept complaints in the women's files rather than Greenstein's. The jury found that the law firm knew of Greenstein's harassing behavior and failed to rein him in.

Jurors calculated punitive damages by taking about 10 percent of the firm's capital. "When you get religion, you should tithe," one juror commented, alluding to the firm's testimony about its new attitude toward harassment complaints. "The only time they [the firm] did anything was when they were threatened by a lawsuit," another juror said. One other juror commented: "Any time anybody complained, they were retaliated against in some fashion, so we thought we should give [the law firm] a good wake-up call."

The jury awarded Weeks $6.9 million in punitive damages from the law firm and $225,000 from Greenstein.

The verdict prompted The New York Times to editorialize: "If that judgment conveys its intended meaning, law firms and other enterprises across the country will bolt from their complacency and rectify the mistreatment of women in the workplace. That this large, rich firm finally grasps this fact [that such complaints must be given prompt and serious attention] is the best evidence that punitive damages can do wonders for human understanding."

In analyzing the jury's award, the American Lawyer magazine stated: "[I]nterviews with 11 of the 12 jurors dispel the notion that the six men and six women simply ran amok by awarding [punitive damages]. . . . Those jurors recount methodical discussions, carefully framed by the jury instructions, to which they repeatedly returned."

The trial court subsequently reduced the punitive award to $3.5 million.