Former Town Employee Sues Rehoboth, Mike Costello

The Town of Rehoboth and Michael Costello are being sued by a former employee of the town’s Highway Department.

Costello is a former selectman who also served as Highway Superintendent from 2016 until 2021.

In the complaint filed October 5 in the Bristol County Superior Court, Diane Fyfe’s attorneys noted the defendants’ “unlawful actions created a sexually charged, hostile work environment” for their client.

Fyfe, a Rehoboth resident, is seeking $1.16 million in damages for medical expenses and lost wages.

Since joining the Highway Department in 2017, Fyfe said she had experienced “near constant gender-based bullying, gender bias, and sexual harassment from Costello.”

“The Defendants’ acts of sexual harassment, discrimination, and retaliation, were and are of a pervasive and controlling nature, and continues to the present time,” according to the filing.

On November 16, 2021, Fyfe filed a formal complaint of discrimination and retaliation with the Massachusetts Commission Against Discrimination.

After Fyfe filed her complaint, Rehoboth hired an outside firm to investigate. Costello was terminated in March 2022 for violations of Rehoboth’s Conduct and Sexual Harrassment policies regarding his treatment of Fyfe.

Fyfe claims to have suffered from anxiety, depression, “severe emotional distress,” and physical illness including “sleeplessness, poor appetite, gastrointestinal distress, and weight loss and continues to seek medical treatment, including therapeutic services.”

The Town is being represented by the Boston firm of Louison, Costello, Condon, and Pfaff.

“It is unfortunate that Ms. Fyfe has chosen to file this action in superior court having already been denied relief before the Massachusetts Commission Against discrimination,” said attorney Doug Louison on Wednesday. “There had been a full review of the facts and claims at the MCAD and the Commission appropriately ruled that the Respondents had done nothing wrong and Fyfe did not have an actionable claim of discrimination. We are quite confident we will obtain the same result in court.”