Setyan Law, APC. and Ratner Molineaux, LLP Secure a Unanimous Federal Jury Verdict Against Costco in a Disability Discrimination Case

SAN FRANCISCO, May 15, 2026 /PRNewswire/ -- Setyan Law, APC. announced that founder and employment trial attorney Sam Setyan along with Shelley Molineaux and David Ratner of Ratner Molineux, LLP secured a unanimous 12-0 federal jury verdict against Costco Wholesale Corporation in the United States District Court for the Northern District of California on behalf of former employee Aaron Talamantes, who alleged Costco discriminated against him after he disclosed disabilities and requested workplace accommodations.

The jury awarded $200,000 in damages following trial, and attorneys' fees are expected to substantially increase Costco's total financial exposure in the case.

The lawsuit centered on allegations that Costco failed to accommodate Talamantes, a probationary employee, after he disclosed PTSD, anxiety, and limitations stemming from a prior ankle injury requiring surgical hardware. Mr. Talamantes informed management about his conditions shortly after being hired and requested reasonable accommodations, including short breaks during PTSD-related panic attacks and restrictions on heavy lifting. Costco denied ever knowing about Mr. Talamantes' PTSD until after the termination decision was made.

His Costco managers interpreted a doctors' note stating "No lifting. No heavy lifting" to mean that Mr. Talamantes could not even lift a receipt and forced him on unpaid leave. Approximately a week later, Mr. Talamantes secured another doctor's note that cleared him to return to work without restrictions but also stated that his ankle injury was interfering with his ability to work. Costco never bothered to follow up with Mr. Talamantes about that note.

In a ruling denying most of Costco's motion for summary judgment before trial, Chief U.S. District Judge Richard Seeborg found substantial factual disputes existed regarding whether Costco managers knew about Talamantes' disabilities, whether the company failed to engage in a good-faith interactive process, and whether Costco's stated reasons for termination were pretextual.

"This was an extraordinarily difficult case because disability discrimination often happens behind closed doors, through dismissive comments, ignored accommodation requests, and efforts to discredit vulnerable employees," said firm founder Sam Setyan. "Our client showed tremendous courage throughout this process and deserved to be treated with dignity and respect, not mocked or pushed aside after asking for help. The unanimous verdict sends a clear message that employers cannot ignore disability accommodation laws and expect to escape accountability."

Mr. Setyan added that the verdict should serve as a warning to major employers across California.

"This verdict puts Costco and other large corporations on notice," he said. "California law requires employers to take accommodation requests seriously and to engage with workers in good faith. Juries are paying attention when companies fail to do that."

The case is Talamantes v. Costco Wholesale Corporation, Case No. 24-cv-00789, in the United States District Court for the Northern District of California.

SOURCE Setyan Law