SUPERIOR COURT OF NEW JERSEY
APPELLATE DIVISION
A-2308-97T1
FRANK L. ROACH,
Plaintiff-Respondent,
v.
TRW, INC.
Defendant-Appellant.
_____________________________________________________________
Argued February 1, 1999 - Decided May 4, 1999
Before Judges Petrella, D'Annunzio and Collester
On appeal from the Superior Court of New Jersey,
Law Division, Monmouth County.
Kenneth J. Kelly argued the cause for appellant
(Epstein, Becker & Green, attorneys; Mr. Kelly, of
counsel, Mr. Kelly and Mark D. Lurie, on the brief).
Gregory S. Schaer argued the cause for respondent
(Kenney, Schaer & Martin, attorneys: Mr. Schaer, of
counsel and on the brief).
The opinion of the court was delivered by
D'ANNUNZIO, J.A.D.
Defendant TRW, Inc. (TRW) terminated plaintiff Frank L.
Roach's employment in late 1992 during a corporate reorganization
necessitated by shrinking government spending, particularly
spending on national defense. The evidence establishes that
employment in TRW's space and defense sectors dropped from 16,000
employees in 1989 to 9,000 in 1994. Roach, however, contended
that TRW terminated him in violation of the Conscientious
Employee's Protection Act (CEPA or the Act), N.J.S.A. 34:19-1
to 8, because he had disclosed to company superiors certain
alleged activities of two co-employees. After the trial court
denied TRW's motion for summary judgment on the CEPA claim, the
case was tried to a jury. The jury determined that TRW had
violated CEPA by terminating Roach's employment because Roach had
disclosed and objected to "illegal unethical activities." The
jury determined, however, that the activities Roach had disclosed
were not "incompatible with a clear mandate of public policy."
It awarded Roach $287,000 in lost wages, $342,700 in future lost
wages, and $75,000 for pain, suffering and emotional distress.
The court calculated pre-judgment interest to be $131,961.72 and
awarded plaintiff counsel fees and costs, including a contingency
enhancement of twenty-five percent, in the total amount of
$158,756.90. TRW appeals.
Roach left the army in 1981 and was employed by TRW. His
first assignment was in TRW's security department. Although
Roach's testimony is unclear, it appears that the security
involved protecting TRW's secrets, including classified
information provided to TRW by the United States. Roach also
worked in the area of proposal administration. In that job,
Roach participated in the preparation of TRW responses to the
United States' requests for proposals. Roach did not have
technical training and it appears from his testimony that his
involvement was more of a coordinator, assuring that the various
technical people timely prepared responses to the government's
requests and compiling the responses in preparation for their
presentation to the government. Roach's next assignment at TRW
involved the preparation of TRW's code of ethics.
In 1990, Roach became interested in transferring into
marketing. He applied for the position of district office
marketing manager in the Fort Monmouth, New Jersey office of
TRW's Electronic Systems Group (ESG). Various people interviewed
Roach in late May and early June of 1990 regarding his
application. TRW's appendix contains interview records prepared
by five interviewers. Each of the five interviewers recognized
that Roach lacked experience in marketing and lacked technical
qualifications. Only one of the five interviewers recommended
that the job be given to Roach. Roach, however, was hired.
Roach began his work as district office manager of ESG in
1990. The job description is vague, but it appears that Roach's
function was to make contact with and establish personal
relationships with the Electronic System Group's customer base,
i.e., the United States military. One of the purposes of these
contacts was to glean information regarding the customer's needs
and opinion of TRW's performance. The development of information
regarding TRW's competitors was an additional goal.
Charles A. Briggs was Roach's superior in ESG. Briggs'
office was in Washington, D.C. In May 1991, Briggs prepared a
performance appraisal regarding Roach's job performance. Briggs
stated:
Frank is very conscientious and adapting to a
new profession. His achievements are noted
in section IIISee footnote 1. Frank must attempt to
communicate more often with his supervisor.
Frank needs assistance in establishing
priorities. He needs assistance in dealing
with the customer in sensitive areas. This
is just a matter of technique. Frank is
growing into his job and has a bright future.
Briggs also stated that Roach should "take a marketing
course -- not Wharton. Something DOD [Department of Defense]
oriented. He should spend a day in Washington every month with
his supervisor."
Briggs prepared another performance appraisal regarding
Roach in March 1992. At that time, Briggs stated:
Frank has done a fine job in his newly chosen
career path in marketing. He assisted in our
MIMIC award success and has since
significantly contributed to the MIMIC team.
Frank must continue to work on being a
"communicator" and use good judgment in
selection of trips, customer meetings and
management interface.
Under Section VI, "Development Needs," Briggs stated that "Frank
and I should jointly decide on a marketing seminar for him to
attend in 1992."
TRW issued a company newsletter called The Sentinel. On
August 6, 1992, The Sentinel published a "special bulletin"
signed by TRW's chairman and chief executive officer and its
president and chief operating officer. In it, TRW announced a
reorganization of its space and defense sector. One of the goals
of the reorganization was to "reduce staff with more clearly
defined roles." Of particular relevance to this litigation was
the announcement that the Electronic Systems Group, in which
Roach was employed, and the Space and Technology Group were to be
combined "into a single operating group." The bulletin noted
that "it is expected that a number of current activities will be
combined or eliminated." A transition team was announced and one
of its responsibilities "will be to determine organizational
roles and responsibilities, staffing levels, selection criteria
for key positions, and other organizational realignment issues."
The changes were to be effective January 1, 1993.
The Sentinel published another special bulletin on September
3, 1992, announcing the organizational structure "for the new TRW
space and electronics group, to be effective January 1, 1993."
This new group was the combination of Roach's Electronic Systems
Group and the Space and Technology Group.
It was apparent from both bulletins that jobs were to be
eliminated.
Frederick Brown, a TRW executive, was assigned to head the
new Space and Electronic Group's program development and planning
organization. In a memo dated October 12, 1992, Brown asked nine
individuals, including Briggs, "to evaluate the marketing people
and the accompanying secretarial support from the set of
personnel formed by combining the S & T G [Space and Technology
Group] and E S G marketing organizations." The memo included
evaluation criteria and an explanation of the evaluation process.
The addressees of the memo were instructed to evaluate "only
those people whose performance we know well enough to judge their
capability and ability to execute their function." The
addressees were asked to evaluate the personnel as superior
performers, above average performers, average performers or below
average performers.
In addition to evaluating past performance, Brown asked the
evaluators to "use an arrow in a separate column to indicate the
expected future performance or contribution of each person." An
arrow going up indicated effectiveness in the future. A flat
arrow indicated continued acceptable performance, and a down
arrow indicated an "inability to meet the challenges of the
future."
Only two people, Charles Briggs and David DiCarlo, evaluated
Roach. Briggs evaluated Roach as a "three," an average
performer, with no arrow. DiCarlo gave Roach a "four,"
indicating a below average performer. DiCarlo also gave Roach a
down arrow. Roach's average score, therefore, was 3.5 with a
flat arrow. Out of thirty-seven people, Roach scored thirty-seventh.
As part of the reorganization process, Tim Hanneman, Brown's
superior, had instructed Brown to trim staff by thirty percent.
Brown was reluctant to do that and, therefore, Brown prepared two
plans. The first plan reduced the staff by twenty-five percent,
but the second plan complied with the thirty percent requirement.
In the first plan, Roach had a job. Roach did not have a job in
the second plan. Brown testified that he presented the first
plan to Hanneman, but Hanneman instructed Brown that thirty
percent meant thirty percent. Roach received his layoff notice
on November 3, 1992.
We observe that the evidence establishes an irony in the
reorganization process. Brown did not know Roach and many others
in the group he was now going to head. Accordingly, Roach and
other personnel were invited to meet Brown at his California
office to give Brown an opportunity to get acquainted with them.
During this meeting, Brown understood Roach to have proposed that
the work of the ESG's Fort Monmouth district office could be
handled by a person working out of the Washington D.C. area where
the group already had an office. In other words, instead of
there being two district office managers, there would be only
one. Roach suggested that he be given the D.C. job from which he
would also handle the Fort Monmouth business. In addition to his
New Jersey home, Roach also had a home in suburban Virginia, and
in his presentation to Brown, Roach stressed that TRW would have
no relocation expenses. Brown testified that, in fact, the ESG
Fort Monmouth office was eliminated and the Fort Monmouth
business handled from the Washington D.C. office. However, Roach
did not get the job. Brown testified that there were many people
more qualified than Roach in marketing TRW's technical business.
Roach contends, however, that he was terminated because in
late 1991 he made certain allegations regarding two co-employees,
Jim Vrungos and Vern DeBord. Roach testified that Fran Kruse,
DeBord's secretary, was the source of his information about
Vrungos and DeBord. In his testimony, Roach described Fran Kruse
in unflattering terms. He said that she had always been a
disruptive influence in the office and described her as a
pathological liar. Nevertheless, Roach chose to rely on
information Kruse gave to him. Kruse told Roach that she was
giving him the information because she believed that DeBord was
preparing to fire her. According to Kruse, DeBord and Vrungos
had an interest in a company called Nations, with which TRW did
some type of undefined business. Kruse told Roach that if TRW
acquired Nations, Vrungos and DeBord would enjoy a financial
windfall.
The second allegation involved TRW's leasing of a computer
from Power Lease, Inc. The lease was for three years and
involved approximately $4,000 over the three-year period.
According to Kruse, the lessor was a subsidiary of a corporation
in which DeBord had an interest. The record also contains
testimony that DeBord's son may have been an executive with the
lessor corporation.
There is very little support in the record for the truth of
the allegations that Vrungos and DeBord were engaged in acts
disloyal to their employer. The allegations were based in
substantial part on hearsay, speculation, innuendo and office
gossip. There is nothing in the record to indicate that TRW paid
in excess of market value for the computer lease. There is also
an allegation that TRW purchased a surge protector and back-up
energy supply for $411 through Power Lease, Inc. There is
nothing in the record to indicate that TRW overpaid for that
item.
Regarding Nations, Inc., the record contains a memorandum
from DeBord to Vrungos dated October 3, 1988. It stated:
On September 8, 1988, Mr. Witkowski,
Executive Vice President of Nations, Inc. one
of TRW's subcontractors on Maneuver Control
System Integration and Engineering contract,
and a company SEDD is considering acquiring,
informed me of the following conversation.
According to Mr. Witkowski, Gene Proctor told John
Pla, President of Nations, that he should forget
about TRW acquiring Nations. He stated that Vern
DeBord and Jim Vrungos were not smart enough, nor
had the wherewithal to get TRW to seriously look
at acquiring them. I asked John Pla if Mr.
Proctor has made a statement to that effect and he
assured me he had. Mr. Pla and Mr. Witkowski
assured me that they would not hold it against us,
but were surprised of how Gene Proctor spoke of
his counterparts at TRW in such a derogatory
manner. Both Mr. Pla and Mr. Witkowski stated
they would be glad to talk to anyone at TRW and
repeat the conversation.
We need to take the appropriate action to
prevent reoccurring incident of this nature.
Please advise me of the next step.
This memorandum, written three years before Roach made his
disclosures, does not support an inference that Vrungos and
DeBord were financially interested in Nations, Inc. In any
event, TRW never acquired Nations.
Roach informed his superior, Charles Briggs, of these
allegations in the fall of 1991. Briggs informed Vrungos and
placed a three-way conference call involving Roach and Vrungos.
Roach testified that he was surprised that Briggs had informed
Vrungos. Roach testified that he was told that this was a gray
area and nothing was done about his allegations.
As a result of his frustration, Roach called the TRW "hot
line." The hot line is staffed by TRW lawyers and is designed to
facilitate the communication of complaints about wrongdoing
within the company. Roach informed Tom Wagner, a TRW lawyer
assigned to the hot line, about his allegations regarding DeBord
and Vrungos. Roach also added allegations that DeBord had padded
his expense account by $15 for a lunch bill which Roach had paid.
Roach testified that he later found out that his hot line call
had "fallen through the cracks" and that no investigation had
been mounted. According to Roach, when Briggs learned that Roach
had called the hot line, he became angry. Briggs, however, did
not learn about the hot line call until after Roach had received
his layoff notice.
The evidence establishes that as a result of the
reorganization, Briggs retired and DeBord and Vrungos left TRW.
N.J.S.A. 34:19-3 (hereafter section 3) is the heart of the
Act. It provides:
An employer shall not take any
retaliatory action against an employee
because the employee does any of the
following:
a. Discloses, or threatens to disclose to a
supervisor or to a public body an activity, policy
or practice of the employer or another employer,
with whom there is a business relationship, that
the employee reasonably believes is in violation
of a law, or a rule or regulation promulgated
pursuant to law, or, in the case of an employee
who is a licensed or certified health care
professional, reasonably believes constitutes
improper quality of patient care;
b. Provides information to, or
testifies before, any public body conducting
an investigation, hearing or inquiry into any
violation of law, or a rule or regulation
promulgated pursuant to law by the employer
or another employer, with whom there is a
business relationship, or, in the case of an
employee who is a licensed or certified
health care professional, provides
information to, or testifies before, any
public body conducting an investigation,
hearing or inquiry into the quality of
patient care; or
c. Objects to, or refuses to
participate in any activity, policy or
practice which the employee reasonably
believes:
(1) is in violation of a law, or a rule or
regulation promulgated pursuant to law or, if the
employee is a licensed or certified health care
professional, constitutes improper quality of
patient care;
(2) is fraudulent or criminal; or
(3) is incompatible with a clear
mandate of public policy concerning the
public health, safety or welfare or
protection of the environment.
[Emphasis added.]
CEPA defines "retaliatory action":
"Retaliatory action" means the discharge,
suspension or demotion of an employee, or other
adverse employment action taken against an
employee in the terms and conditions of
employment.
[N.J.S.A. 34:19-2e.]
As previously indicated, the jury determined that TRW had
violated CEPA by terminating Roach because he had disclosed
illegal activities, section 3a, and because Roach had objected to
those activities, section 3c(1). TRW contends that CEPA does not
protect Roach's disclosures and "objections" and, therefore, the
trial court should have granted TRW's motion for summary
judgment, its motions for judgment at trial and its motion for
judgment notwithstanding the verdict. We agree and reverse.
Our Supreme Court has addressed CEPA on several occasions.
In Abbamont v. Piscataway Bd. of Educ.,
138 N.J. 405 (1994), the
Court described CEPA as protecting "whistleblowers," i.e., a
person "`who, believing that the public interest overrides the
interest of the organization he [or she] serves, publicly "blows
the whistle" if the organization is involved in corrupt, illegal,
fraudulent, or harmful activity.'" Id. at 417. The Court also
noted Governor Kean's explanation of CEPA's objective to protect
conscientious employees from "firing, demotion, or suspension for
calling attention to illegal activity on the part of his or her
employer." Id. at 417-18.
Abbamont involved retaliatory action against an industrial
arts teacher who persistently criticized the "poor health and
safety conditions of the metal shop, including broken machines,
lack of air ventilation, inadequate lighting, and slippery
floors." Id. at 410. The Court determined that the record
established plaintiff's "reasonable belief that the conditions in
the metal shop were in violation of an administrative `regulation
promulgated pursuant to law' and were contrary to `a clear
mandate of public policy concerning the public health, safety or
welfare or protection of the environment.'" Id. at 423. Thus,
Abbamont involved sections 3a and 3c(3).
In Barratt v. Cushman & Wakefield,
144 N.J. 120 (1996), the
Court affirmed the Appellate Division's reversal of a summary
judgment dismissing plaintiff's CEPA claim. Barratt, the
plaintiff, was employed by Cushman as a broker-salesperson. He
informed the New Jersey Real Estate Commission that a person
named Schaffel had engaged in acts of commercial bribery seven
years earlier. Schaffel was a partner in a partnership that
owned commercial real estate. Cushman was the partnership's
leasing broker when Barratt made the disclosure. As a result of
Barratt's disclosure, Cushman fired him to protect Cushman's
relationship with the partnership.
The Court held that plaintiff's CEPA claim was actionable
under the 1989 amendment to CEPA which protected employees from
retaliation for disclosure about an unlawful activity of
"`another employer, with whom the employee's employer has a
business relationship.'" L. 1989, c. 220, § 1; section 3a. Id.
at 128. The court noted that "[t]he aim of the bill is to
discourage collusion between employers for the purpose of
inhibiting disclosure by their employees of violations of law
committed by either employer." Ibid.
In Mehlman v. Mobil Oil Corp.,
153 N.J. 163 (1998) the Court
affirmed our decision reversing the trial court and reinstating a
jury verdict in plaintiff's favor on his CEPA claim. Plaintiff,
Mehlman, "a renowned toxicologist," id. at 167, had been employed
as defendant's Director of Toxicology and Manager of Mobil's
Environmental Health and Science Laboratory. The jury found that
Mobil had discharged Mehlman "in retaliation for his objection to
the sale by . . . Mobil's Japanese subsidiary, of gasoline
containing levels of benzene in excess of five percent." Id. at
166.
The Court described benzene as "a dangerous and toxic
chemical used as an additive in gasoline." Id. at 169. The
Court noted that "the record contains substantial evidence that,
combined with representations by counsel, persuasively suggested
that gasoline with more than five percent benzene was hazardous
to human health." Id. at 173. Gasoline sold in the United
States must contain less than one percent benzene; gasoline sold
in the European Economic Community may not contain more than five
percent benzene. When Mehlman expressed his objection to the
benzene content of Mobil's gasoline in Japan, no Japanese statute
or regulation prohibited the sale of gasoline with more than five
percent benzene. Japan adopted such a regulation in 1991,
approximately two years after Mobil terminated Mehlman. However,
the Japanese Petroleum Association prohibited the sale of
gasoline with five percent or more benzene. The Court held that
the Association's guideline "constituted a clear mandate of
public policy." Id. at 192.
The Court held that whether an employer's activity violates
a clear mandate of public policy under N.J.S.A. 34:19-3c(3) is a
question of law to be decided by the court as an issue of law.
Id. at 187. The Court ruled that
In our view, the sensible meaning of
CEPA is that the objecting employee must have
an objectively reasonable belief, at the time
of objection or refusal to participate in the
employer's offensive activity, that such
activity is either illegal, fraudulent or
harmful to the public health, safety or
welfare, and that there is a substantial
likelihood that the questioned activity is
incompatible with a constitutional, statutory
or regulatory provision, code of ethics, or
other recognized source of public policy.
Specific knowledge of the precise source of
public policy is not required. The object of
CEPA is not to make lawyers out of
conscientious employees but rather to prevent
retaliation against those employees who
object to employer conduct that they
reasonably believe to be unlawful or
indisputably dangerous to the public health,
safety or welfare.
[Id. at 193-94.]
Finally, the Court held that a CEPA claim could be
maintained based on the violation of a foreign jurisdiction's
public policy. Id. at 195-96.
CEPA, in section 3a, prohibits retaliation for disclosures
of "an activity, policy or practice of the employer . . . [which]
is in violation of a law, or a rule or regulation. . ."
Abbamont, Barratt and Mehlman clearly involved complaints
regarding actions of the employer. In Abbamont, it was the
employer's failure to provide a safe school environment; in
Barratt, the employee accused the secondary employer of
commercial bribery; in Mehlman, the employer was selling gasoline
with an unhealthy benzene content. See also Delran Ed. Ass'n. v.
Bd. of Educ.,
277 N.J. Super. 538, 543-44 (App. Div. 1994)
(suggesting that retaliation against teacher for refusing to obey
school superintendent's order to give confidential pupil records
to independent contractor would violate CEPA); Parker v. M & T
Chemicals, Inc.,
236 N.J. Super. 451, 460 (App. Div. 1989)
(holding that retaliation against in-house attorney "for refusing
to join a scheme to cheat a competitor" is covered under CEPA).
Employers, of course, act through their employees. But not
every employee action connected with the employment is chargeable
to the employer under CEPA. We conclude that Roach did not
disclose to Briggs or to the TRW hotline any activity of his
employer TRW. Consequently, section 3a of CEPA is not
applicable.
Roach's disclosures were threefold: (1) DeBord's alleged
cheating on his expense account regarding a $15.00 lunch; (2)
DeBord's approval of a $4,000 lease of computer equipment from a
firm in which he or his son allegedly had an interest; and (3)
the alleged interest of Vrungos and DeBord in TRW's acquisition
of Nations, an acquisition which never occurred. None of these
activities attributed to DeBord or Vrungos constitutes an
activity of TRW. These activities were not remotely on TRW's
behalf and did not advance TRW's interests. To the contrary, if
Roach's allegations were true, TRW was the victim.
We are persuaded that the Legislature in enacting CEPA did
not intend that the disclosure of employee activities victimizing
the employer would fall within CEPA. See Littman v. Firestone
Tire & Rubber Co.,
715 F.Supp 90 (S.D. N.Y. 1989) (holding that
plaintiff's allegation that he was fired because he disclosed
fraudulent activity by co-employee was not covered by New
Jersey's CEPA because the employer was the sole victim of the
alleged fraud; indirect impact on shareholders does not bring
case within CEPA). CEPA's definition of "employer" supports our
conclusion. It provides in relevant part that "`Employer' means
any individual . . . or any person or group of persons acting
directly or indirectly on behalf of or in the interest of an
employer with the employer's consent." N.J.S.A. 34:19-2a.
[Emphasis added.] We are persuaded that an employee's activities
in conflict solely with the employer's interests cannot
constitute an activity, policy or practice of the employer within
the meaning of section 3a.
Our conclusion is also consistent with common law principles
of respondeat superior which imposes liability on an employer for
a tort of an employee acting within the scope of his or her
employment. To be within the scope of employment, the employee's
behavior must be "`actuated, at least in part, by a purpose to
serve the master.'" DiCosalo v. Kay,
91 N.J. 159, 169 (1982)
(quoting Restatement (Second) of Agency § 228 (1957)); see also
Abbamont, supra, 138 N.J. at 416.
CEPA's objective is the protection of the public interest by
encouraging the disclosure of employer activities potentially
harmful to that interest. The alleged activities Roach disclosed
do not further CEPA's objective. Compare Regan v. City of New
Brunswick,
305 N.J. Super. 342, 355-56 (App. Div. 1997)
(officer's reasonable belief that another officer charged an
innocent person with assault is within CEPA's protection) with
Kaman v. Montaque Township,
306 N.J. 291, 301-02 (App. Div. 1997)
(CEPA does not apply to termination allegedly based on terminated
employee's instructions to her secretary not to take messages for
another secretary).
Two circuits of the United States Court of Appeals applied,
in the context of retaliatory discharge, the distinction between
disclosure of employee behavior versus employer behavior.
Little v. United Technologies, Carrier Transicold Division,
103 F.3d 956 (11th Cir. 1997), involved a claim under 42 U.S.C.A.
§ 2000e-3(a) that defendant employer had retaliated against
plaintiff because plaintiff had "opposed . . . an unlawful
employment practice." Ibid. Plaintiff, a white male, had
complained about racially derogatory remarks made by Wilmot, a
white co-employee. In affirming a summary judgment for
defendant, the Court of Appeals held that Wilmot's discriminatory
remarks were not an "unlawful employment practice" because his
remarks were not attributable to the employer. Id. at 959-60.
Silver v. KCA, Inc.,
586 F.2d 138 (9th Cir. 1978) reached
the same conclusion as Little on similar facts. There, the court
stated:
By the terms of the statute, however, not
every act by an employee in opposition to
racial discrimination is protected. The
opposition must be directed at an unlawful
employment practice of an employer, not an
act of discrimination by a private
individual.
[Id. at 141.]
Plaintiff relies on Higgins v. Pascack Valley Hospital,
307 N.J. Super. 277 (App. Div. 1998), certif. granted,
156 N.J. 405
(1998)See footnote 2, in support of his argument that disclosure of unlawful
activities of non-supervisory employees could be the predicate of
a section 3a CEPA claim. We are persuaded that Higgins is
inapposite. There, it was held that the employer could be liable
under CEPA for retaliatory conduct if the employer through its
supervisor had condoned or ratified an employee's alleged illegal
activity. Higgins, however, involved allegations that
plaintiff's co-employee had falsified hospital records and had
stolen a patient's drugs. Thus, the public was victimized. In
the present case, TRW, the employer, was the only victim.
Plaintiff also relies on an unpublished opinion of the
United States District Court, District of New Jersey in Asen v.
Cooper Hospital, No. 95-869, 1
996 WL 347451 (D.N.J. June 7,
1996). Although plaintiff may have violated R. 1:36-3 by citing
an unpublished opinion, we mention the case because it
illustrates our point. There, plaintiff alleged that she was
terminated because she disclosed that the hospital's Department
of Psychiatry was double billing by charging the client and the
client's insurer, billing for services not rendered and
falsifying dates and statistics. Thus, in Asen the disclosed
activities were performed in behalf of the employer, though
misguidedly so, and victimized third parties.
The jury also found that TRW had violated section 3c(1),
because Roach had objected to "illegal and unethical activities."
We question whether this section applies because there were no
ongoing activities to object to. Plaintiff's disclosures about
Vrungos and DeBord were historical. More importantly, our
analysis regarding section 3a applies to 3c(1). The "activity
policy or practice," section 3c(1), must be that of the employer.
The alleged activities of Vrungos and DeBord do not qualify.
Plaintiff's reliance on the fact that TRW is a major defense
contractor is without merit. The evidence would not support a
finding that the activities Roach disclosed had an actionable
impact on the United States or any other TRW customer.
TRW also contends that Roach did not establish that TRW
terminated him in retaliation for his disclosures. Although we
have reservations about the sufficiency of the proof in this
regard, we need not address the issue in light of our
determination that CEPA does not apply to Roach's disclosures.
For this reason, we need not address TRW's contention that the
evidence did not support a conclusion that Roach had an
objectively reasonable belief that unlawful acts had occurred.
The judgment is reversed.
Footnote: 1Section III is prepared by the employee being evaluated. Footnote: 2The appeal has been argued, but the Supreme Court has not yet issued an opinion.