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UC Labs Lose Deep Pocket
In August, the three UC labs, Lawrence Livermore, Lawrence Berkeley, and Los Alamos, lost a deep pocket for legal fees. The Energy Policy Act of 2005 includes two clauses that restrict reimbursements for legal fees to Department of Energy contractors such as the three labs. Dee Kotla´s case, plus recent reports of lab laxity, appears to have motivated this section. (See Spring 2003 Newsletter for a discussion of government reaction to previous legal costs.) Kotla´s case, which could have been settled earlier for $500,000, and might have been avoided entirely, is estimated to have cost taxpayers over $10 million.
After hearing of the reimbursement restrictions, a lawyer who has litigated against UC said, "Before, they had an endless supply of money, and they didn´t really have to think what it would cost them. They could just fire this person and fight them with lawyers until they go away. They can´t do that anymore." Unfortunately, this "scorched earth" policy may still prevail for non-lab UC employees who complain of discrimination or retaliation.
Sources: Inside Bay Area 8/2/05, FindLaw 10/31/05, Section 212 of Energy Policy Act of 2005
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