FRESNO, Calif. – A state appeals court overturned a $101 million verdict against General Dynamics, the parent company of Bath Iron Works, in a lawsuit that claimed the defense contractor defrauded 97 former managers of overtime pay.
The state’s 5th District Court of Appeal ruled Tuesday there wasn’t enough evidence to support the 1997 award by a San Diego jury.
The suit involved former employees of Virginia-based General Dynamics’ defunct Convair Division. The workers alleged they were tricked or threatened into not taking part in a 1993 overtime lawsuit filed by 1,100 other employees. That suit was settled for $5.3 million.
In throwing out the verdict, the appeals court ordered the plaintiffs to pay General Dynamics’ legal fees for the appeal.
Brian Monaghan, the workers’ attorney, said the ruling could be appealed to the California Supreme Court. But he said he wasn’t optimistic that an appeal would succeed.
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