California Federal Jury Awards Former Walmart Pharmacist $27M in Wrongful Termination Suit

A federal jury in California awarded a former Walmart pharmacist $27 million in total damages, agreeing with the plaintiff in the case that the retail giant wrongfully terminated the employee after she voiced concerns about Medicare law violations.

The Case: Afrouz Nikmanesh v. Wal-mart Stores, Inc.

The Court: U.S. District Court, Central District of California

The Case No.: e 8:15-cv-00202-JGB-JCG

The Plaintiff: Afrouz Nikmanesh v. Wal-mart Stores, Inc.

Afrouz Nikmanesh, the plaintiff in the case, is a former pharmacist employed by Walmart Stores, Inc. According to court documents, Nikmanesh was fired after complaining that the company broke Medicare laws.

The Defendant: Afrouz Nikmanesh v. Wal-mart Stores, Inc.

According to former Walmart pharmacist, Afrouz Nikmanesh, Walmart, the Defendant in the case, failed to report required data to the Controlled Substance Utilization Review and Evaluation System (CURES program). The database contains information on controlled substance prescriptions dispensed throughout the state of California, and pharmacists are required to file weekly reports with the California Department of Justice.

The Case: Afrouz Nikmanesh v. Wal-mart Stores, Inc.

Nikmanesh alleges she reported the violations to her supervisors between July 2013 and September 2014 and requested they be investigated and corrected to comply with the law. According to the plaintiff, Walmart’s response was to fire her in September of 2014. Nikmanesh claims the firing was solely in retaliation for her reporting and complaining about the company’s failure to comply with state law. According to the plaintiff, Walmart’s failure to report required data to the CURES program was not their only violation. She claims they also violated state law by charging Medicare beneficiaries more than the Medi-Cal reimbursement rate for prescriptions, and failing to offer eligible Medicare patients their discount. A jury of 8 unanimously found that Nikmanesh’s reporting of Walmart overcharging Medicare customers (over 65 and those under 65 who have disabilities) for prescriptions, and not complying with reporting requirements for controlled substance disbursements to the Department of Justice under the CURES system created a substantial motivating factor for Walmart’s decision to terminate her employment in retaliation for her actions. A federal judge awarded the former Walmart pharmacist with $27 million in total damages in agreement that Walmart wrongfully fired her for complaining about Medicare law violations ($40,000 for economic losses, $100,000 for non-economic losses, $60,000 for future non-economic losses, and $27.3 million in punitive damages).

If you have questions about California employment law or if you need to file a wrongful termination lawsuit, please get in touch with Blumenthal Nordrehaug Bhowmik DeBlouw LLP. Experienced employment law attorneys are ready to assist you in various law firm offices located in San Diego, San Francisco, Sacramento, Los Angeles, Riverside, and Chicago.