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David M. deRubertis and Hershey Law Secures Landmark $27.5 Million Jury Verdict Against Dignity Health in Whistleblower Retaliation Case

In a decisive victory for whistleblower rights and workplace safety advocates, Hershey Law, in partnership with renowned trial attorney David M. deRubertis, has secured a $27.5 million jury verdict on behalf of former St. Mary Medical Center executive Nancy Valla in the Valla v. Dignity Health, LA Case No. 20STCV30610.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20250702291460/en/

As pictured, from left to right: Brennan Hershey, Johnny Rundell, Nancy Valla, David deRubertis, and Leslie Gomez-Garcia after securing landmark $27.5 million jury verdict against Dignity Health in whistleblower retaliation case.

As pictured, from left to right: Brennan Hershey, Johnny Rundell, Nancy Valla, David deRubertis, and Leslie Gomez-Garcia after securing landmark $27.5 million jury verdict against Dignity Health in whistleblower retaliation case.

The jury found that Dignity Health, part of the CommonSpirit Health system, retaliated against Valla for raising safety concerns regarding unsterilized surgical instruments, unsafe anethesthesia machines and defibrillators, and the Hospital’s failure to respond after multiple suicide deaths occured from the parking structure at the Long Beach hospital campus. Despite Valla’s repeated efforts to prompt leadership to install preventative barriers, a move backed by global suicide prevention research, the hospital’s executives allegedly laughed off her concerns, citing potential optics and costs. According to trial testimony, when Valla offered to fund the safety barriers herself, hospital leadership declined, reportedly fearing it would make them “look guilty.”

In a March 2019 incident, an unhoused female jumped off of the 8th floor parking structure and was found with a faint pulse by a hospital doctor who immediately sent hospital security to contact the emergency department. Instead of sending help to the woman who was visible from the entrance of the emergency room, the emergency department staff failed to provide a medical screening as required by federal EMTALA regulations because they believed that they were not required to provide care for anyone more than 250 feet away. However, the standard was 250 yards and the female victim was within this threshold. The female was pronounced dead at the scene shortly thereafter and Ms. Valla challenged hospital leadership after this failure.

Lead counsel David M. deRubertis of the deRubertis Law Firm and co-counsel Brennan Hershey and Johnny Rundell of Hershey Law presented extensive evidence showing how Dignity Health executives retaliated against Valla after she advocated for patient safety. The jury responded with a unanimous verdict on all causes of action and a unanimous award of damages—$5 million in economic damages and $22.5 million in compensatory damages for a total of $27.5 million.

“This case was always about doing the right thing,” said Brennan Hershey. “Ms. Valla stood up for vulnerable patients and was met with hostility instead of support. The jury's message was clear—retaliation has consequences and the truth always prevails.”

"This verdict sends a clear message that healthcare institutions cannot silence employees who speak up for patient safety. Nancy Valla's courage in the face of retaliation has paved the way for other healthcare workers to stand up for what's right without fear of losing their careers," said Johnny Rundell.

Once the jurors were dismissed, many came up to Ms. Valla to hug her, many in tears, as they shared their admiration and compassion. This deeply human moment displayed the jury's empathy and emotional connection to the truth that came out at trial.

The case received significant public attention, with a September 2023 Los Angeles Times investigation highlighting Valla’s efforts and the hospital’s alleged failures. That report revealed St. Mary’s prior suicide-related fatality in 2013 resulted in a $50,000 fine, but the hospital still failed to implement prevention mechanisms, despite Valla’s internal advocacy.

Dignity Health denied wrongdoing at trial. However, the unanimous jury decision suggests a powerful rebuke to hospital leadership’s response.

The $27.5 million award—one of the largest in California for a single-plaintiff employment case this year—includes both economic and compensatory damages, recognizing not only the harm Valla suffered but also the egregious nature of the hospital’s conduct.

This verdict stands as a milestone for both Hershey Law and The deRubertis Law Firm, highlighting their shared commitment to employee rights and accountability at the highest levels.

About Hershey Law:

Hershey Law fights for the rights of employees across California. As one of the most effective employment law firms in Los Angeles, Hershey Law fearlessly takes on corporate giants to hold them accountable. Known for delivering outstanding results and prioritizing client experience, the firm has recovered millions in compensation for whistleblower claims. Learn more at www.hersheylaw.com.

About David M. deRubertis:

David M. deRubertis is a nationally recognized trial attorney and the founder of the deRubertis Law Firm, APC. Since 2022, he has secured nearly $600 million in employment-related jury verdicts including the largest contested employment jury verdict in US history, Alfredo Martinez Et Al Vs Southern Ca Edison Company Et Al. A UCLA and Loyola Law School alumnus, deRubertis is the recipient of CAALA’s 2014 Trial Lawyer of the Year Award and is a trusted leader in California employment law.

For more background on this case, see LAT coverage and legal summaries via Rulings.Law.

“This case was always about doing the right thing,” said Brennan Hershey. “Ms. Valla stood up for vulnerable patients and was met with hostility instead of support. The jury's message was clear—retaliation has consequences and the truth always prevails.”

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