Carlson v. City of Delafield

Decision Date11 March 2011
Docket NumberCase No. 08–C–751.
PartiesMatthew D. CARLSON, Plaintiff,v.CITY OF DELAFIELD, Michele De Yoe, Jeff Krickhahn, Beth Ann Leonard, Gerald Mac Dougall, and Irv Sadowski, Defendants.
CourtU.S. District Court — Eastern District of Wisconsin

OPINION TEXT STARTS HERE

Debra A. Slater, Barry R. White, Chris J. Trebatoski, Weiss Berzowski Brady LLP, Milwaukee, WI, for Plaintiff.Raymond J. Pollen, Ryan G. Braithwaite, Crivello Carlson SC, Milwaukee, WI, for Defendants.

DECISION AND ORDER

RUDOLPH T. RANDA, District Judge.

This civil rights action brought pursuant to 42 U.S.C. § 1983, with two supplemental state law claims, arises out of the termination of the employment of the Plaintiff, Matthew D. Carlson (Carlson), as the City Administrator for the City of Delafield (City). The Defendants are the City and five City alderpersons, Michele De Yoe (De Yoe), Jeff Krickhahn (Krickhahn), Beth Ann Leonard (Leonard), Gerald Mac Dougall (Mac Dougall), and Irv Sadowski (Sadowski). The alderpersons (the “individual Defendants), are sued in their individual capacities.

Carlson's Amended Complaint (“Complaint”) contains four claims. The Complaint asserts a Fourteenth Amendment claim under 42 U.S.C. § 1983 for deprivation of a property interest (first claim for relief), alleging that Carlson had a property interest in continued employment as City Administrator and that the City and the individual Defendants deprived him of that interest without due process of law. The Complaint alleges that, the individual Defendants met in secret, prior to the vote to terminate Carlson's employment, and decided to terminate his employment. It also alleges that the City did not have the right under Carlson's Contract, City ordinance, or statute to terminate his employment without cause by simply paying him a lump sum severance payment. Rather, Carlson alleges that, under his Contract, the City was required to conduct a due process hearing to determine if cause for termination existed and, that if the due process hearing were to result in a determination that the City did not have cause to terminate his employment, he would be entitled to the lump sum payment provided in the Contract in lieu of reinstatement and in addition to his other damages.

The Complaint also alleges a Fourteenth Amendment claim under 42 U.S.C. § 1983 for deprivation of Carlson's liberty interest in his reputation (second claim for relief) by the City and individual Defendants by terminating his employment in a manner that damaged his professional reputation and employability as a city manager by hurting his good name, reputation, honor and integrity in the community and forcing him to resign from the Lions Club, the YMCA Board and the hospital board, without due process of law.

The Complaint also asserts a claim under § 134.01 of the Wisconsin Statutes (third claim for relief), alleging that the individual Defendants conspired and acted in concert to maliciously and willfully injure Carlson in his reputation and profession.1 Carlson alleges that the conspiracy and actions to injure him were taken collectively by the individual Defendants “to retaliate against Carlson for his response to the recommendations of the City's ‘Plan B’ Committee.” 2 (Am. Compl. (“Compl.”) ¶ 41; Ans. and Affirmative Defenses to Am. Compl. (“Ans.”) ¶ 41.) For the individual Defendants, the Complaint also alleges, upon information and belief, the reasons why they acted to maliciously and willfully injure him: DeYoe is alleged to have acted because she believed Carlson was facilitating a commercial development she opposed; Krickhahn is alleged to have acted because Krickhahn lives across from the Village Square development, which he opposed and blamed Carlson for the development; and Leonard is alleged have acted because she was upset with land use decisions made under Carlson's leadership. Mac Dougall is alleged to have acted because Carlson refused to sign a statement of agreement with Plan B Committee's findings, and Sadowski is alleged to have acted because he was upset at Carlson's refusal to cite the Fishbone's restaurant for a parking violation and because of Carlson's role in the investigation of an allegation of a bribe relating to a development.

Carlson's Complaint also alleges a claim for breach of contract (fourth claim for relief) alleging that the City breached the Contract by terminating him without cause, and by failing to pay him an additional $12,019.20 for accumulated leave time that he earned in 2007. Carlson seeks monetary damages and attorney's fees from the City, and monetary damages, attorney's fees, and punitive damages from the individual Defendants. Carlson does not seek injunctive relief or reinstatement with the City.

The matter is before the Court on the Defendants' motion for summary judgment dismissing the action.

STANDARDS APPLICABLE TO SUMMARY JUDGMENT

In considering a motion for summary judgment, the Court applies the following standards. Summary judgment “should be rendered if the pleadings, the discovery and disclosure materials on file, and any affidavits show that there is no genuine issue as to any material fact and that the movant is entitled to judgment as a matter of law.” Fed.R.Civ.P. 56(c); see also, Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 248, 106 S.Ct. 2505, 91 L.Ed.2d 202 (1986); Celotex Corp. v. Catrett, 477 U.S. 317, 324, 106 S.Ct. 2548, 91 L.Ed.2d 265 (1986); Ames v. Home Depot U.S.A., Inc., 629 F.3d 665, 668 (7th Cir.2011). A party “opposing a properly supported motion for summary judgment may not rest upon the mere allegations or denials of his pleading, but ... must set forth specific facts showing that there is a genuine issue for trial.” Doe v. Cunningham, 30 F.3d 879, 883 (7th Cir.1994) (quoting Anderson, 477 U.S. at 248, 106 S.Ct. 2505; also citing Celotex Corp., 477 U.S. at 324, 106 S.Ct. 2548; Matsushita Elec. Indus. Co., Ltd. v. Zenith Radio Corp., 475 U.S. 574, 586–87, 106 S.Ct. 1348, 89 L.Ed.2d 538 (1986); United States v. Rode Corp., 996 F.2d 174, 178 (7th Cir.1993)).

“Material facts” are those facts that under the applicable substantive law “might affect the outcome of the suit.” See Anderson, 477 U.S. at 248, 106 S.Ct. 2505. A dispute over “material facts” is “genuine” if “the evidence is such that a reasonable jury could return a verdict for the nonmoving party.” Id. The burden of showing the needlessness of a trial—(1) the absence of a genuine issue of material fact and (2) an entitlement to judgment as a matter of law—is upon the movant. In determining whether a genuine issue of material fact exists, the Court must consider the evidence in the light most favorable to the nonmoving party. See Matsushita Elec. Indus. Co., Ltd., 475 U.S. at 587, 106 S.Ct. 1348.

Rule 56(e)(2) addresses the opposing party's obligation to respond stating [w]hen a motion for summary judgment is properly made and supported, an opposing party may not rely merely on allegations or denials in its own pleading; rather, its response must—by affidavits or as otherwise provided in this rule—set out specific facts showing a genuine issue for trial.” In determining the material and undisputed facts, the Court has disregarded proposed findings of fact and responses that constituted legal conclusions, were argumentative or irrelevant, or were not supported by any citation to evidentiary material.

Preliminary Evidentiary Issues

The Defendants have raised several evidentiary issues that pertain to Carlson's submissions in response to the summary judgment motion. The Court will address those preliminary issues.

Sham Affidavit

In reply to Carlson's response to the Defendants' findings of fact and in response to Carlson's statement of additional facts, the Defendants assert Carlson's affidavit in opposition to their motion for summary judgment is a sham and lacks foundation. In challenging Carlson's affidavit as a sham, the Defendants rely on Carlson's response to paragraphs 23 and 25 of their proposed findings of fact, which does not dispute that he has no personal knowledge as to the reasons why any of the individual defendants voted to terminate his employment. (Defs.' Reply Br. 13–14) (citing Defs.' Proposed Finding of Fact (“PFOF”) ¶ 25, admitted by Carlson).); See also, Defs.' Reply to Pl.'s Resp. Defs.' PFOF, Defs.' PFOF ¶ 23, Pl.'s Statement of Facts ¶ 8.) Those proposed findings of fact are based upon Carlson's responses at his deposition to questions about whether Carlson had any personal or first-hand knowledge regarding whether specific concerns alleged in the Complaint motivated a specific individual Defendant to support the termination of Carlson's employment. ( See Braithwaite Decl. ¶ 3, Ex. B (Carlson Jan. 22, 2010, Dep.) 88–91; 99–100.) Specifically, Carlson was asked if he had personal knowledge whether DeYoe acted because she believed Carlson was facilitating a commercial development that she opposed; and whether Krickhahn acted because he lives across from the Village Square development, opposed the development, and blamed Carlson for the development. Carlson was also asked whether he had personal knowledge that Leonard acted because she was upset with land use decisions made under Carlson's leadership, whether Mac Dougall acted because Carlson refused to sign a statement of agreement with Plan B Committee's findings, and whether Sadowski acted because he was upset at Carlson's refusal to cite the Fishbone's restaurant for a parking violation and because of Carlson's role in the investigation of an allegation of a bribe relating to a development. Carlson answered “no” to each of those questions. Id.

However, in opposition to the Defendants' motion for summary judgment, Carlson proffers his affidavit that he avers is based on personal knowledge. (Carlson Aff. ¶ 1.) In paragraph ten, Carlson avers that [e]ach of the individual defendants had personal motives underlying their decisions to vote for my termination.” ( Id. at ¶...

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