P.M. BRIEFING : Bad-Mouth Victim Wins $26 Million

A jury awarded $26.1 million to a former insurance salesman who claimed that he was bad-mouthed by his employer and fired for saving his customers money.

The jury agreed with Clifford Zalay that John Hancock Mutual Life Insurance Co. and one of its general agents libeled and slandered him.

Zalay, who was fired in 1979, wept after Tuesday’s verdict. “I took the position that I don’t care how big they are and who they are, I’m going to fight to regain my integrity, my good name,” he said.

The Boston-based insurance company, which has nearly $30 billion in assets, is expected to appeal.

Zalay, 65, was ranked among the top 2% in sales when he fell out of favor with the company. He claimed that the company bad-mouthed him to clients and made it difficult for him to earn a living.

Zalay maintained that the company wanted him out because he urged clients to buy new insurance by piggy-backing--using the dividends or cash value of their policies to buy more insurance.