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Batson v. Shiflett3/12/1992
office immediately for embezzlement and misappropriation of Local 33 funds. Shiflett claims that Batson's allegations quickly spread throughout the shipyard, causing many Local 33 members to believe that Shiflett was a crook and a
thief, and that he had been found guilty of the crimes alleged in Flyer No. 3.
In June of 1985, the National Union and Batson called a special election of all Local 33 officers because of the alleged financial improprieties of Local 33's Executive Secretary, James Harmon. Shiflett ran for re-election but lost. Shiflett claims that his fellow workers refused to accept his campaign literature, calling him a "crook" and a "thief." He attributes his defeat to the election being held in the midst of the proliferation of false accusations against him by Batson and the National Union.
On August 1, 1985, Shiflett filed this action against the National Union, Batson and Pemberton alleging defamation, intentional infliction of emotional distress, and conspiracy. Shiflett alleged that both prior and subsequent to Administrative Law Judge Evans's decision, Batson and the National Union engaged in a campaign to remove him from office. The case was tried before a jury for ten days. Prior to submission of the case to the jury, the court granted judgment in favor of Batson and National Union on the conspiracy count and on two of the defamation counts. Six defamation counts and the intentional infliction of emotional distress count were submitted to the jury.
Shiflett offered evidence that the allegedly false accusations of the National Union and Batson caused him to become extremely upset and nervous; he was unable to sleep, and his appearance became disheveled. Shiflett testified that he found it extremely difficult to work and, at times, when he was driving to work he would turn his car around and return home. He drank heavily, took drugs,
and eventually required in-patient hospitalization for depression and alcohol abuse. Subsequent to his hospitalization, Shiflett obtained mental health counselling and medication. He claims to have lost control of his life, a claim which was supported by the testimony of his personal physician, Dr. Burton D'Lugoff, Assistant Professor of Medicine and Psychiatry at the Johns Hopkins Medical School.
Evidence demonstrated that after losing the election for the presidency of Local 33, Shiflett accepted a management position with Bethlehem, which resulted in a $17,000 reduction in his income, from $45,000 to $28,000. He was laid off in January, 1989. Eventually, he resigned from Bethlehem because of his discomfort there. He then worked several odd jobs and was employed in a North Carolina pizza shop at the time of trial.
The National Union and Batson objected at trial to retrying the issues raised by Flyer No. 3, issues which they argued the NLRB already had decided. The defendants requested that the trial judge instruct the jury that it was bound by the NLRB's decision, including the ruling that the Local 33/Bethlehem contract had been unlawfully executed. The trial judge refused and instead instructed the jury that it was not bound by the NLRB decision, and that it must decide those issues independently.
At the close of testimony, the parties agreed to the form of a special verdict sheet to be submitted to the jury.
After deliberating for two days, the jury found in favor of Shiflett on each liability issue and awarded him $730,000: $610,000 in compensatory damages against the National Union and Batson; $50,000 in punitive damages against the National Union; and $70,000 in punitive damages against Batson. Because of the form of the special ver
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