Iowa Hotel Owners Must Pay Over $1M in Harassment Case

The owners of an Iowa hotel have been ordered to pay two former employees who complained about sexual harassment more than $1.2 million.

An Iowa jury ruled against the owners of a Quality Inn and Suites in Peosta, Iowa, The Dubuque Telegraph Herald reported.

Sheila Oyler and Julie Schemmel had sued the hotel operators because they say a male worker who lived and worked at the hotel for a few months repeatedly made sexual comments toward them. The man had originally been a defendant in the lawsuit but was dropped before trial.

Oyler said she complained to civil rights authorities about the co-worker’s behavior before she was fired and later filed a workers’ compensation claim. The hotel owners said in court documents that Oyler was fired because she failed to return to work after a doctor cleared her.

The ownership group, Laxmee Inc., was ordered to pay Oyler $630,000 and pay Schemmel $500,000 in damages. Oyler is slated to receive $16,484.01 in back pay; Schemmel will receive $446.25. In addition, one of the individual co-owners, Vijay Patel, was ordered to pay $70,000 to Oyler, who used to be the hotel’s general manager.

Attorney Nate Borland, who helped represent the women said the jury “reached a fair verdict that reflects the atrocious behavior our clients endured.”

Patel declined to comment on the ruling, but said the situation has been difficult for him and his family.

Patel’s lawyer, Steve Ballard, said Patel had fired Oyler before he learned about her civil rights complaint. Ballard said Patel was relying on information from the male worker when he fired Oyler.