The court's ruling affirmed a federal jury's verdict that found the city liable for $175,000 in compensatory damages plus court costs and legal fees for "years of egregious" sexual harassment against Sgt. Donna Hurley, 45, from her superiors and fellow police officers.
Hurley is still a member of the police force and was the first female graduate of the city's Police Academy. She joined the department in 1978 and became its first female sergeant in 1987.
In her 1993 lawsuit, Hurley said she was sexually harassed by colleagues throughout her career, including former Police Chief Nicholas V. Rifice and Capt. Henry Madamba, who were named in the suit.
The department's attorneys argued that the federal jury's finding in 1996, in favor of Hurley, was unfairly based on partially flawed instructions to jurors. The appeals court has ordered a new trial to determine whether Hurley should receive the $700,000 in punitive damages ordered by the same jury.
Of the nearly two dozen lawsuits involving the city, the largest include a $3.5 million wrongful termination suit brought by Atlantic City Police Detective Gary Sutley; a $1 million civil rights suit involving former policeman Michael Heath; and a $1.5 million discrimination and sexual-harassment suit against the Atlantic City Public Works Department involving employee Caroline Johnson.
The city was supposed to meet with the Local Finance Board tomorrow, but postponed its appearance until next month to finish documentation, according to Andrew A. Mair, Atlantic City's business administrator.
The city, which is considering a property tax increase of 12 cents per $100 of assessed valuation in its 2000 budget, is looking for ways to cap the effect of the suits on taxpayers, Mair said.