Waldrip Wrecker Service, Inc. v. Wallace

• Decision Date: 03 December 1999
• Citation: 758 So.2d 1110
• Parties: WALDRIP WRECKER SERVICE, INC. v. Randy Allen WALLACE.
• Court: Alabama Court of Civil Appeals

758 So.2d 1110

WALDRIP WRECKER SERVICE, INC. v. Randy Allen WALLACE.

2980926.

Court of Civil Appeals of Alabama.

December 3, 1999.

Rehearing Denied February 4, 2000.

Charles H. Volz III, Richard D. Lively, and Alvin T. Prestwood of Volz, Prestwood & Hanan, P.C., Montgomery, for appellant.

Kenneth Shinbaum of McPhillips, Shinbaum & Gill, L.L.C., Montgomery, for appellee.

YATES, Judge.

Waldrip Wrecker Service, Inc., appeals from a judgment based on a jury verdict in favor of the plaintiff, Randy Allen Wallace, on his retaliatory-discharge claim filed pursuant to § 25-5-11.1, Ala.Code 1975.

The record indicates the following facts: Wallace began working for Waldrip as a mechanic in early February 1997. On or about February 15, 1997, Wallace injured his arm while he was working on a transmission. The next morning, Wallace informed Johnny Finkley, the general manager for Waldrip, of his injury. Wallace told Finkley that he would soak his arm and put ice on it; however, the pain worsened and Wallace told Jerry Todd, fleet supervisor for Waldrip, that he needed to see a doctor. On March 11, 1997, Wallace filled out an accident report for the purpose of seeing a doctor and to draw workers' compensation benefits.¹

Dr. Kirven Ulmer treated Wallace's arm and Wallace continued to work. When the arm did not improve, Dr. Ulmer referred Wallace to Dr. Michael Freeman. Dr. Freeman told Wallace not to use the arm. As a result, Wallace did not work from April 5, 1997, to April 23, 1997. Todd told Wallace that his job would be there when he was able to return to work.

While Wallace was out, Waldrip had to "outservice" its mechanic work. George Hutchinson, president of Waldrip, testified that he was upset at having to pay workers' compensation to Wallace while having to pay another mechanic:

"We were paying that money out, and, of course, while he was on workers' comp he was being paid by workers' comp. And, of course, when he would come back, we would put him back on the payroll. It was like double dipping. It was like we were paying twice for the efforts of one."

Hutchinson knew that Wallace had been injured on the job and that he had been treated by Dr. Freeman. He also was aware that Dr. Freeman had released Wallace to return to work as of April 23, 1997. Hutchinson, who is a lawyer, admitted that he knew it was illegal to discharge a worker solely because he had filed a workers' compensation claim.

Todd testified that he and Hutchinson had discussed eliminating Wallace's position before Wallace returned to work. Wallace returned to work on April 24, 1997. That same day, Todd told Wallace that Waldrip was terminating his position because, he said, Waldrip no longer needed a mechanic.

On April 29, 1997, Wallace received a letter from Hutchinson, which stated:

"As you know, the need for the position of mechanic at Waldrip Wrecker Service is no longer valid and cannot be supported by the amount of work available. Therefore, based upon what little time you actually spent working on our vehicles, we determined that the position of mechanic must be eliminated.

"According to our records, you were released by Dr. Michael Freeman, M.D. to `return to work 4-23-97 to normal duty.' ... It is our understanding and the information that we relied on, that you were capable of performing normal duties, which you did on 4-24-97. As a matter of fact, you put in a full eight-hour work day without complaint or reservation on said day. You performed your duties on that day and we appreciate all of your efforts rendered in behalf of Waldrip Wrecker Service.

"As stated above, due to the lack of work and need for a mechanic, we have abolished your position."

In May 1997, Waldrip placed an advertisement in the newspaper for a mechanic's position. Todd testified that Waldrip placed the ad because Waldrip needed a full-time mechanic.

Although Todd testified that Wallace was a good mechanic, Waldrip did not ask Wallace to return to work full-time. Instead, Waldrip hired another mechanic, even though Wallace had better qualifications for the job than the person Waldrip employed. In January 1998, Waldrip again hired a full-time mechanic, but did not ask Wallace to come back to work.

At trial, Todd testified that Wallace had created an unreasonable hazard that had led to his injury and that Wallace had claimed overtime work that had not been approved by his supervisor. However, Todd admitted that when he was deposed, he never said that Wallace had worked unauthorized overtime or that Wallace had performed his job in an unsafe manner. Further, Todd testified that Wallace had done his job and was a good worker. Todd also stated that there was a lack of work to justify keeping Wallace as a fulltime mechanic.

Wallace testified that he had been told by Todd and Finkley that if a truck broke down, he was to fix it "no matter what." He stated that when he did overtime work, it was when a truck had broken down. Wallace said that he had been told to stay until he completed the repairs, because if the trucks were out of service Waldrip was not making money. He stated that he was called in at night on occasion to repair trucks. Todd admitted that Wallace had been called in at night on occasion.

Waldrip's own counsel elicited testimony from Todd concerning other Waldrip employees who had filed workers' compensation claims. Todd testified that truck driver Michael Snisky was injured on March 18, 1997, and filed a workers' compensation claim. Todd admitted that Waldrip's own records indicated that Snisky had been fired in May 1997. Todd contended at trial that Snisky had been merely "suspended" for insubordination. However, Todd's earlier deposition testimony indicated that Snisky had been terminated, but that he had not had any problems with Snisky.

Wallace testified at trial that at Waldrip he had earned on average $454 per week, at $9 per hour plus overtime. He stated that after he had been fired by Waldrip, he was out of work for six and one-half weeks before finding a new job, and that the new job paid $6.50 per hour. Wallace testified that the termination had embarrassed him and that he had suffered emotionally as a result of the firing.

Waldrip moved for a preverdict JML, arguing that Wallace had "failed to present substantial evidence that he was terminated solely because he filed a workers' compensation claim;" that he had "failed to present substantial evidence that he has suffered any compensable damages;" and that he had "failed to present substantial evidence that [Waldrip's] reasons given for terminating him were a pretext." At the trial, in support of its motion, Waldrip argued:

"Of course, at this point the evidentiary requirement is substantial evidence in order to go to the jury, first argument being the law requires that Mr. Wallace provide substantial evidence that the sole reason for his termination was the workers' compensation claim. Mr. Wallace himself has already testified that he has no evidence to support that claim. He personally has no evidence to support that claim and has agreed that that claim is really speculative. He has also failed to present substantial evidence that the reasons given for terminating him were a pretext. There is absolutely no evidence. He hasn't produced any evidence that the reasons for terminating him were a pretext, that the reasons given were a pretext. And I don't think, Judge, that he has offered any evidence to support any claim for damages as a result. There is not even evidence in this case that a workers' compensation claim has been filed. That's it, Judge."

The trial court denied the motion, and the case went to the jury. The jury found in Wallace's favor, awarding him $5,000 in compensatory damages and $15,000 in punitive damages.

Waldrip moved for a postverdict JML or for a new trial, again arguing that Wallace had failed to present substantial evidence indicating that he was terminated solely because he filed a workers' compensation claim. After the court had entered a judgment based on the verdict, Waldrip moved to alter, amend, or vacate the judgment, arguing:

"That the award of punitive damages is constitutionally flawed in that the award was based upon bias, passion and prejudice.

"That the award of punitive damages is constitutionally flawed in that it is excessive and exceeds the amount necessary to accomplish society's goal of punishment and deterrence.

"Wherefore, the premises considered, the Defendant respectfully requests this Honorable Court to enter an Order vacating the punitive damages award against the Defendant or, in the alternative, to enter an Order altering and/or amending the punitive damages award to a lesser amount that is not excessive and not constitutionally erroneous."

Waldrip did not request a hearing pursuant to Hammond v. City of Gadsden, 493 So.2d 1374 (Ala.1986), nor did it present any evidence in support of its posttrial motions. The motions were denied by operation of law, pursuant to Rule 59.1, Ala. R. Civ. P. Waldrip appealed.

Waldrip argues that the trial court erred in denying its preverdict JML, because, it says, Wallace failed to prove that he had sought workers' compensation benefits. Waldrip also argues that Wallace failed to present any evidence indicating that his discharge was in retaliation for his filing a workers' compensation claim. We disagree.

The standard of review for a motion for a JML, under the current version of Rule 50, Ala. R. Civ. P., is the same as the standard for review of a motion for a directed verdict and a motion for a JNOV under Rule 50 as it read before the October 1, 1995, amendment.² See Montgomery Coca-Cola Bottling Co., Ltd. v. Golson, 725 So.2d 996 (Ala.Civ.App.1998).

Our supreme court has stated:

"When reviewing a ruling on a motion for a JML, this Court uses the same standard the trial court used initially in granting or denying a JML. Palm Harbor Homes, Inc. v. Crawford, 689 So.2d 3 (Ala.1997).

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