A fired trainer wins millions after alleging her employer retaliated with a lawsuit – here's what HR needs to know
A $2.5 million jury verdict in Indiana has highlighted the risks for employers who pursue legal action against workers after harassment complaints.
On October 20, 2025, the Court of Appeals of Indiana affirmed a jury’s decision in favor of Jarissa Gillaspy, a former personal trainer at Club Newtone, Inc., who alleged she was targeted after reporting sexual harassment by the gym’s owner, Marc Vaughn. The outcome offers a clear lesson for HR leaders about the consequences of responding to workplace complaints with litigation.
According to the court record, Gillaspy worked as a personal trainer, fitness instructor, and group fitness coordinator at Club Newtone, a gym in Lafayette, Indiana, owned by Vaughn. She alleged that Vaughn made frequent remarks about her appearance and engaged in unwanted advances. The complaint describes an incident in February 2018, when Gillaspy said Vaughn attempted to kiss her and pull down her pants during a training session at his home.
After this incident, Gillaspy reported Vaughn’s conduct to her supervisors at Newtone. She was told to avoid further contact with Vaughn. In August 2018, Gillaspy filed a charge of discrimination with the Indiana Civil Rights Commission and the U.S. Equal Employment Opportunity Commission. Shortly after, Newtone implemented new monthly minimum sales goals for personal trainers. Because Gillaspy worked both as a personal trainer and group fitness instructor, she could not meet the new requirements and was terminated in spring 2019.
Gillaspy later filed a lawsuit in federal court against Club Newtone, Vaughn, and the management company, MJV Group, alleging sexual harassment, hostile work environment, and retaliation. Vaughn responded by filing counterclaims for libel and slander, alleging that Gillaspy’s statements were false and defamatory. He also claimed she breached a noncompete agreement by working for another gym. The counterclaims sought general and actual damages of over $1.2 million, plus punitive damages of $900,000.
In July 2020, the parties agreed to dismiss Vaughn from the federal lawsuit. In September 2021, Vaughn moved to dismiss his counterclaims against Gillaspy with prejudice, which the district court granted.
About a month before Vaughn formally dismissed his counterclaims, Gillaspy filed a new action in state court against Vaughn for malicious prosecution and against Club Newtone and Vaughn for abuse of process. She alleged that the counterclaims were brought maliciously and without probable cause, and that they were intended to intimidate her for reporting harassment.
The case went to trial in February 2024. Gillaspy testified about the alleged harassment, the impact of the legal actions on her life, and the distress she experienced. The jury found in her favor and awarded $2.5 million in damages.
Vaughn and Club Newtone appealed, arguing that the trial court erred in admitting certain testimony and that the damages were excessive. The Court of Appeals of Indiana reviewed the record and concluded that the trial court had not abused its discretion and that the damages were supported by the evidence.
This decision stands as a reminder to HR professionals and employers: legal action in response to employee complaints can have serious consequences if perceived as retaliatory. The case underscores the importance of handling workplace complaints with care and ensuring that all responses are fair and legally sound. The appellate court’s decision is final unless further appealed.
