Following Ellen Pao's highly-publicized loss at trial of her gender discrimination claims against venture capital firm Kleiner Perkins Caufield & Byers, the defendant filed a costs bill for $972,814, including more than $864,000 in expert witness fees. The defense offered to waive costs if Pao agrees not to appeal. While it is possible that many of these costs were covered under an EPLI policy, it is equal likely they had no such coverage. Think of that, at least $1,000,000 in costs, not including legal fees (probably in a similar or even greater amount), or wasted executive time, simply to prove you were right.
Point is: nobody “wins” a lawsuit. Imagine the brand damage and angst felt by the firm going through the litigation process. Imagine the position Ms. Pao now finds herself in. Going backwards trying to prove she was “right” and perhaps cash in on a big payday to boot. How’s that helped her career or psyche?
Question: Would you hire her?
Don Phin, Esq. is VP of Strategic Business Solutions at ThinkHR, which helps companies resolve urgent workforce issues, mitigate risk and ensure HR compliance. Phin has more than three decades of experience as an HR expert, published author and speaker, and spent 17 years in employment practices litigation. For more information, visit www.ThinkHR.com