Sigitas J. Banaitis - Page 3




                                        - 3 -                                         
          Some of petitioner’s loan customers competed directly with firms            
          and enterprises of MG.  During 1986 and 1987, MBL employees asked           
          petitioner to provide confidential information about those                  
          specific loan customers.  Adhering to his ethical and legal                 
          duties, confidentiality agreements and BCal policy, petitioner              
          refused.                                                                    
               Subsequent to his refusal, MBL employees gave petitioner               
          negative performance evaluations and attacked his integrity.                
          This situation grew so intolerable for petitioner that on                   
          December 30, 1987, 1 day before his pension vested, petitioner              
          was forced to leave his job at BCal.                                        
               Before and after petitioner left his job, he experienced               
          insomnia, headaches, stomach problems, back and neck pain, and              
          gum disease.  Petitioner did not consider himself disabled, nor             
          did he apply for disability insurance benefits.  After he left              
          BCal, petitioner actively searched for employment.  He                      
          distributed resumes, went for job interviews, started businesses,           
          and offered and performed consulting services.                              
               On November 15, 1989, almost 2 years after petitioner was              
          forced to leave BCal, petitioner retained the law firm of Merten            
          & Associates to file a lawsuit against BCal and MBL.  In so                 
          doing, petitioner signed an agreement entitled “Contingent Fee              
          Retainer Agreement” (Fee Agreement I).  Fee Agreement I provided            
          that petitioner’s attorneys would receive a percentage of                   






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