Group of Amway distributors allege jury misconduct in suit

Published: Saturday, March 31 2007 12:39 a.m. MDT

A week after a federal jury returned a $19 million judgment against a group of Utah Amway distributors for peddling the rumor Procter & Gamble was linked to Satanic worship, attorneys on both sides are raising hell.

According to court filings, attorneys for Randy Haugen and two other Amway distributors are asking for an immediate investigation into alleged juror misconduct. The defense claims jurors "guessed" at hourly rates for attorney's fees used to arrive at the $19.25 million verdict. In two cases, jurors gave "zero" amounts because they couldn't arrive at an exact hourly rate. All the rates were then averaged into one amount to pay for attorney work over the past 12 years the suit has been working its way through court. The defense also argues the two "zero" amounts indicate that the jury's verdict was not unanimous.

Also this week, attorneys for household products company Procter & Gamble turned up the heat by requesting the court triple the amount of damages against Haugen and others to $57.75 million and asked that interest in the original $19.25 million verdict be added to the amount going back to 1995 when the suit was filed.

In 1995, Proctor & Gamble sued Haugen, Steven Brady, Stephen Bybee and Ted Walker on claims of defamation and false advertising. The company claimed the group perpetuated the rumor that Proctor & Gamble was somehow associated with the Church of Satan and used Amway's voice-mail system, used by distributors nationwide, to spread that rumor.

Over the years, that rumor, linked to Proctor & Gamble's old corporate logo depicting a man in the moon, has gained the status of urban legend. Proctor & Gamble said the rumor had a negative impact on the market share of its products.

Haugen and the others claim that even though they acknowledge the rumor was not true, Proctor & Gamble showed no direct evidence the rumor can be linked to the drop in sales of the some 40 products at issue.

U.S. District Judge Ted Stewart, who presided over the trial, must now consider both motions. Attorneys for the distributors also indicate they plan to ask that the case be re-tried before a new jury.


E-mail: gfattah@desnews.com

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