Legal Showdown in Milpitas Former City: Former Milpitas City Manager, Steve McHarris, has taken legal action against the city, filing a lawsuit that alleges wrongful termination and breach of contract. The lawsuit, filed on Tuesday, demands a jury trial and builds upon previous claims of intimidation involving various members of the city government, including Mayor Carmen Montano, Vice Mayor Evelyn Chua, City Attorney Michael Mutalipassi, and former Mayor Rich Tran.
Milpitas City Council terminated his contract as city manager from May 2020 to June 2023. The case alleges wrongful termination, breach of contract, constructive termination, and labor code breaches that prohibit employers from retaliating against law-abiding employees.
This legal action follows an earlier claim by McHarris against the city, asserting a hostile work environment and detailing instances of intimidation directed at him and other city employees. The lawsuit further contends that McHarris’s effective firing violated his contract, as the council is purportedly not allowed to terminate him within six months of an election.
The city now has 30 days to respond to the lawsuit. McHarris is seeking relief and attorney fees amounting to more than $25,000. This legal development adds to the challenges faced by Milpitas, raising questions about leadership and morale within the city, with McHarris being the third permanent city manager to be let go since 2017. Councilmember Anthony Phan, who voted against the non-renewal of McHarris’s contract, expressed concerns about the city’s internal handling of the situation, emphasizing the impact on employee morale.
It remains to be seen how Milpitas will navigate this legal battle and address the broader issues raised by the former city manager.
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