were governed by service
agreements, which usually ran for a three year term and
provided for a flat monthly billing rate. Although the

                                 2
customer was only informed of the bottom line figure, the
billing rate was actually comprised of two separate
components: a service fee, representing the cost of
collecting and transporting the trash to the landfill each
week, and a disposal fee, representing the cost of dumping
the trash at the landfill. While the monthly rate was based
on the volume of the customer's trash, measured in cubic
yards, the state-run landfill charged BFI based on the
weight of the trash dumped. Consequently, BFI based                  3
increase would be applied to the artificially inflated average
weight of 120 pounds per cubic yard. While the total
amount of the increase would be disclosed under the new
billing system, the customer would assume the full increase
was attributable to the state imposed increase in disposal
charges.

Acknowledging he did not object to the plan at the
meeting, Paolella testified at trial that he subsequently
raised concerns about the legality of the rate increase with
Hanley at least twice weekly, from January through April
1992, during their daily commute. Paolella also testified he
raised similar concerns with Fred Snyder, BFI's vice-
president for the Atlantic region, during a private meeting
in April 1992.2 According to Paolella, both men dismissed
his protests, and Snyder