$18M Award To Employee Fired After Arrest

A jury found Allstate Insurance Co. liable for $2.6 million in actual damages, and nearly $16 million more in punitive damages to former employee, Michael Tilkey for firing him following an arrest that ultimately saw the dismissal of all charges. The verdicts followed a week-long trial in San Diego Superior Court. Tilkey’s attorney argued that firing him violated state labor law, which prohibits employers from considering arrest records that don’t result in a conviction in a decision to fire an employee. Tilkey was fired nine months after his arrest following an argument with his then-girlfriend. The woman called police because she had locked Tilkey out and he was banging on the door. He was arrested for possession of marijuana paraphernalia and two domestic violence counts, but the charges were dismissed. Allstate learned of the arrest after Tilkey’s ex-girlfriend sent him an email at work discussing the criminal case. The email was flagged as part of a compliance review for employees who are subject to financial industry regulations.