Lux v. McDonnell Douglas Corp.

ESCHBACH, Senior Circuit Judge.

Defendant McDonnell Douglas Corp. (“MDC”) appeals from a judgment of $3,000,000 for plaintiff Lora Lux in this wrongful death action governed by Arizona law. The primary issues presented in this appeal are: (1) whether evidence relating to the plaintiffs receipt of insurance proceeds should have been admitted; (2) whether evidence of the decedent’s income tax liability should have been admitted; and (3) whether the jury should have been instructed that its award would not be subject to taxation. For the reasons stated below, we will reverse and remand for a new…