Norman L. and Catherine J. Forste - Page 6

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          of the psychiatrist’s diagnosis and the possibility that Mr.                
          Forste’s condition was permanent.                                           
               In October 1983, DHS’s managing partner told Mr. Forste that           
          he had to fly by the end of the year or else leave the firm.  In            
          November 1983, Mr. Forste wrote a letter to DHS regarding his               
          fear of flying, expressing his dissatisfaction with the firm’s              
          decision, and suggesting that he be granted a disability                    
          retirement.  In December 1983, DHS restricted Mr. Forste’s work             
          area to northern California and limited his practice area to                
          education.  In February 1985, DHS told Mr. Forste of its decision           
          that he had to leave the firm.  DHS cited his fear of flying as a           
          problem with which it could not cope.  DHS initially offered Mr.            
          Forste $30,000 in severance pay.  He rejected that offer.  Mr.              
          Forste’s annual salary was $69,000 in 1985.                                 
               Mr. Forste became very upset about DHS’s decision, and he              
          contemplated suicide.  He engaged an attorney, who sent a letter            
          to DHS dated March 11, 1985, raising a number of tort and nontort           
          causes of action and seeking a settlement of the employment                 
          dispute.  Those causes of action included breach of contract,               
          misrepresentation, failure to accommodate Mr. Forste’s                      
          disability, unlawful termination due to disability, and                     
          intentional or negligent infliction of emotional distress.  The             
          letter states with respect to potential causes of action:                   
                    Our law firm has advised Mr. Forste that he has                   
               substantial legal rights in his employment with                        





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