Alan Elam thinks it’s wrong to rip people off. So when he discovered that his employer, FedEx Corp., was overcharging some of its customers, he tried to do the right thing.
In emails to his superiors, Elam, a FedEx sales executive, said he believed FedEx was “systemically overcharging” customers by billing businesses and government offices at higher residential rates. Elam’s emails were unsealed yesterday in a class action claiming that FedEx violated federal civil racketeering laws by overcharging commercial and government customers as much as $3 per package for millions of packages. The plaintiffs in the suit seek three times the amount of the alleged overcharges. They also seek an injunction barring FedEx from charging commercial customers at residential rates.