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Car salesman fired for opposing sales training can pursue whistleblowing case

A salesman was asked by management to allow his telephone conversations with customers to be secretly tape recorded. The "customers" in these conversations were actually employees of a sales training program. The tapes would be played back at a sales meeting, and the salesperson's technique would be critiqued. All but one of the salespersons refused to sign the consent form. Nonetheless, the program was implemented, the conversations were taped, and the tape was played back at a sales meeting. After this incident, the salesman was again pressured to sign the agreement, and again he refused. He was eventually fired because of his "negative attitude."

The court held this was wrongful termination. It was held in violation of public policy because the law prohibits secret recordings without consent of all the parties to the conversation.

Case Excerpts

"Gabor Nagy alleged that while employed as a car salesperson for Whittlesey, Whittlesey asked him to allow certain of his telephone conversations with purported customers to be tape recorded without Nagy's knowledge. The "customers" in these conversations were actually employees of Phone Pops, Inc., a company Whittlesey had engaged to conduct a sales training program. The tapes would be played back at a sales meeting, and the salesperson's technique would be critiqued. Nagy, and all but one other salesperson, refused to sign the consent form allowing the tape recordings.

"Nonetheless, the program was implemented, Nagy was taped, and the tape was played back at a sales meeting. After this incident, Nagy was again pressured to sign the agreement, and again he declined. He was eventually fired because of his "negative attitude."

"Nagy's first amended complaint alleged causes of action against Whittlesey for wrongful termination, breach of the implied covenant of good faith and fair dealing, breach of employment contract, violation of Penal Code section 632, and conspiracy to violate sections 631 and 632. [All relating to prohibited wiretapping.]

"Nagy alleges he was fired because he was an unwilling victim of Whittlesey's crime, and he complained about it. These allegations adequately allege a violation of public policy."

GABOR NAGY v. WHITTLESEY AUTOMOTIVE GROUP, 95 C.D.O.S. 9350 (California Court of Appeals, Fourth Dist., Div. 3, No. G014221, December 8, 1995) Appeal from a judgment of the Superior Court of Orange County.

Information here is correct at the time it is posted. Case decisions cited here may be reversed. Please do not rely on this information without consulting an attorney first.
 
 
     
 
 
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