Universal slapped with $2.5 million judgment in firing.

A jury has slapped Universal Studios with a $2.5 million gender harassment verdict in a case brought by a 20-year executive let go last year.

Nanci Herbst, who joined Universal Studios Hollywood in 1982, was the L.A.-based director of entertainment for Universal Studios Japan when the company fired her in March 2002, according to her suit, filed in L.A. Superior Court.

The complaint says that Universal Studios Japan's vice president of operations, Vernon McGugan, told her she was laid off because the company was under "financial pressure."

But Herbst argued she was let go after complaining about the treatment she received during a stint in Japan, when she reported to Universal Studios Japan's general manager, Mike Davis.

Her lawyer, Charles Mathews, a partner at Mathews & Rager LLP in Pasadena, said Davis belittled her at staff meetings, made rude and demeaning comments to her and did not invite her to social functions attended by male co-workers.

When she reported that behavior to McGugan, he told her, "I think you're being too emotional," according to court papers filed by Mathews. Two weeks later Herbst's position was terminated, court papers say.

In the suit, Herbst presented statements from eight current and former employees and vendors of Universal Studios Theme Parks that she argued established "evidence of past discrimination and retaliation," both in Japan and in the United States, and that "statistically males are more likely to receive promotions than females."

Herbst sued Universal Studios and its parent company, Vivendi Universal Entertainment, in August 2002 for breach of contract, retaliation, violation of equal pay, gender discrimination and harassment, wrongful termination and emotional distress. The jury struck down all but the gender harassment claim, for which they awarded her $2.5 million. Universal can appeal the decision and award.

"We are very disappointed with the verdict," said Cindy Gardner, a Universal spokeswoman. "We think the outcome is wrong in many respects and that the decision will be reversed on appeal. The company is reviewing all its appeal options."

Gas pains

A Los Angeles Superior Court judge dismissed claims filed against the city of Long Beach by residents who claim they paid excessive natural gas bills between December 2000 and May 2001.

Roughly a dozen residents, on behalf of a potential class action representing 150,000 natural gas customers, claim the city unnecessarily raised its rates by 200 percent to 300 percent during that time, said Robert Newman, a Los Angeles attorney representing the group. By law, Long Beach must set rates comparable to other natural gas providers, such as Southern California Gas Co., which did not raise rams by nearly as much, he said.

The plaintiffs sought refunds of between $30 million and $40 million, Newman said.

Staff reporter Amanda Bronstad can be reached at [phone] ext. 225, or at [e-mail].