What happened: An increase in attorney’s fees, $175,000 a year until paid, and a bond payment are some of the associated costs that will be added to the nearly $4 million already levied against the four defendants: President Bashar Hanna, Former Provost James Krause, Bloomsburg University, and the Pennsylvania State System of Higher Education (PASSHE).
Why it matters: On Wednesday, Pennsylvania Attorney General Michelle Henry submitted post-trial motions, which is the beginning of a process to remand a trial that recently ruled that the four defendants named above are liable for wrongful termination. However, despite nearly a verdict of $4 million and a motion to seek a further $1.2 million in attorney fees and costs incurred, the possibility of an appeal could see further costs added to those already levied. Costs that will be covered by university reserves.
Now what do these new costs contain? As stated above, there are three possibilities. The first would be a further increase in attorney fees, as mentioned by Patrick O’Connell, who represented the plaintiff, former Dean of Business Jeffrey Krug. The second figure, $175,000 a year, comes in estimation by counting the pre-judgment interest that will be added each day the rewards issued to Krug go unpaid. As reported by The Voice, that daily interest is currently set at $480.72. The third would be a possible bond that will need to be posted in order to receive an appeal.
University responds
Dan Knorr, the executive director of economic development and external affairs, gave a response from the university over email stating, “The law allows for a prevailing party to recover interest on a final award. The award is not yet final so the amounts cannot be accurately calculated at this point. If the verdict amount is reduced in any way, the interest will be reduced accordingly. Commonwealth University is part of the Pennsylvania State System, which is an agency of the Commonwealth of Pennsylvania. Commonwealth agencies are not required to pay a bond for an appeal.”
