Laurel Employment Law Files Discrimination Lawsuit on Behalf of Gay Executive Against Wells Fargo, Naming General Counsel in Complaint

SANTA MONICA, Calif.--(BUSINESS WIRE)--Laurel Employment Law announces that a complaint has been filed against Wells Fargo Bank, National Association on behalf of Richard Khalife, a former Assistant General Counsel-Executive Director who alleges sexual orientation discrimination, mental disability discrimination, retaliation, and wrongful termination in violation of California's Fair Employment and Housing Act (FEHA) and related statutes. The lawsuit was filed on February 4, 2026, in the Superior Court of the State of California, County of Los Angeles (Central District), Case Number 26STCV03639. According to the complaint, Mr. Khalife, an openly gay attorney, began his employment with Wells Fargo in June 2021 and advanced to Assistant General Counsel-Executive Director, leading critical legal functions including Enterprise Change Management Legal, Innovation Legal, and Technology Legal, including the bank’s enterprise-wide AI Legal Working Group. Mr. Khalife had received a "Role Model" performance rating and had previously been personally commended by General Counsel Ellen Patterson for a high-priority regulatory victory.

The complaint alleges that despite being unanimously selected by an interview panel as the top candidate for promotion to Managing Counsel in March 2025, Deputy General Counsel Bert Fuqua overruled the panel's decision and denied Mr. Khalife the promotion. According to the allegations, Fuqua made discriminatory comments comparing Mr. Khalife to his "gay son" and characterized him as "too engaged" and "too passionate," stating he preferred "quieter personalities." Grace Powers, Managing Director and Mr. Khalife's direct supervisor, then conveyed Fuqua's decision and allegedly told Mr. Khalife he needed to be "more on the down low" and "be less visible" regarding his identity at work. The complaint also references an alleged retention bonus that Powers instructed Mr. Khalife to keep "hush-hush" because it bypassed standard HR approval processes.

Following the promotion denial and after filing an internal ethics complaint naming Powers in April 2025, Mr. Khalife experienced severe psychological distress that required him to take medical leave. Medical records document that he was subsequently diagnosed with permanent psychiatric disabilities, including schizophrenia and post-traumatic stress disorder, which his treating psychiatrist explicitly linked to workplace discrimination.

The complaint further alleges that while Mr. Khalife was on approved long-term disability leave, Wells Fargo authorized Powers—the manager he had accused of discrimination—to contact him, causing a documented medical setback. When Mr. Khalife's representatives escalated this improper contact to General Counsel Ellen Patterson and Head of Employment Legal Janice Reznick on November 25, 2025, demanding the harassment cease, the complaint alleges these senior executives failed to respond, effectively ratifying the harassment. Wells Fargo subsequently terminated Mr. Khalife's employment on December 4, 2025.

The complaint asserts fourteen causes of action, including: Sexual Orientation Discrimination; Mental Disability Discrimination; Failure to Provide Reasonable Accommodation; Failure to Engage in the Interactive Process; Retaliation for Protected Activity; Harassment and Hostile Work Environment; Failure to Prevent Discrimination, Harassment, and Retaliation; Wrongful Termination in Violation of Public Policy; Intentional Infliction of Emotional Distress; Negligent Hiring, Supervision, and Retention; Unfair Business Practices; Whistleblower Retaliation; CFRA Interference; and Retaliation for Exercising CFRA Rights.

If you have information about similar conduct at Wells Fargo or would like to learn more about this action, please contact Laurel Employment Law: [e-mail] or [phone].

About Laurel Employment Law

Laurel Employment Law is a California-based law firm specializing in employment law matters, including discrimination, harassment, retaliation, wrongful termination, and wage and hour disputes. The firm is committed to protecting the rights of employees and holding employers accountable for unlawful conduct.