Tuesday 20 March 2007

HealthSouth on the MDV Employment Law Docket

Not sure whether I missed this, or it wasn't reported until someone picked it up from an SEC filing last week end. HealthSouth which has seen its share of litigation in the last few years, disclosed one more adverse result, when it reported a $1.9 million dollar verdict last October favoring its former head of security and the body guard of its former CEO, Richard Scrushy.

The Everything Alabama website has the story, Ex-security chief wins suit, which indicates that the basis for the former state trooper James Goodreau's claim was "a lifetime job guarantee." The job, but obviously not the claim, ended when he was terminated, along with Scrushy, after the Board of Directors took control of the company.

According to the report the case is now on appeal to the Alabama Supreme Court. Without seeing more, I can only guess that somehow the statute of frauds is involved somewhere.

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