Chester v. American Tel. & Tel. Co.

• Decision Date: 15 July 1994
• Docket Number: Civ. A. No. 3:93-CV-0098-H.
• Citation: 907 F. Supp. 982
• Parties: Thomas CHESTER, Plaintiff, v. AMERICAN TELEPHONE AND TELEGRAPH COMPANY, Defendant.
• Court: U.S. District Court — Northern District of Texas

907 F. Supp. 982

Thomas CHESTER, Plaintiff, v. AMERICAN TELEPHONE AND TELEGRAPH COMPANY, Defendant.

Civ. A. No. 3:93-CV-0098-H.

United States District Court, N.D. Texas, Dallas Division.

July 15, 1994.

David K. Watsky, Gillespie, Rozen & Tanner, Dallas, TX, for plaintiff/appellant.

Stephen F. Fink, Bryan P. Neal, Thompson & Knight, Dallas, TX, for defendant/appellee.

MEMORANDUM OPINION AND ORDER

SANDERS, Chief Judge.

Before the Court is Defendant's Motion for Summary Judgment, filed March 9, 1994; Plaintiff's Response, filed April 15, 1994; and Defendant's Reply, filed May 2, 1994; Plaintiff's Objections to United States Magistrate's Order Denying Plaintiff's Motion to Compel in Part, filed June 28, 1994; Defendant's Motion for Reconsideration of Order on Plaintiff's Motion to Compel Discovery and to Extend the Time for Compliance, filed June 30, 1994; and Plaintiff's Response, filed July 13, 1994.

I. Background

This case involves a claim of employment discrimination under the Age Discrimination in Employment Act ("ADEA"). Plaintiff Thomas Chester was employed by Defendant American Telephone and Telegraph Company ("AT & T") as an account executive. Plaintiff's Original Complaint ("Complaint"), at ¶ III. On July 30, 1991, AT & T notified Chester in writing that he was "at risk of involuntary separation from AT & T." Oral Deposition of Thomas Chester ("Chester Depo."), at 135, & Ex. 5. The notification informed Chester that he would be discharged from AT & T in sixty days unless he successfully applied for and received another position within the company before then. Chester Depo., Ex. 5 & Ex. 1. Although Chester applied and interviewed for several positions with AT & T, he did not secure another position with the company. Complaint, at ¶ III; Chester Depo., at 167. On October 21, 1991, after receiving one extension of his job search period, Chester's employment with AT & T was terminated. Complaint, at ¶ III.

Chester filed a charge of discrimination with the Equal Employment Opportunity Commission ("EEOC") on July 2, 1992. Chester Depo., at 190, & Ex. 29. In the charge, Chester alleged that he was "involuntarily retired," that the reason AT & T gave him for this action was a "layoff," and that he believed that AT & T's actions were the result of age discrimination in violation of the ADEA. Chester Depo., Ex. 29.

On January 14, 1993, Chester filed this action, alleging that AT & T discriminated against him on the basis of his age, 51, by terminating his employment and by failing to transfer him to another position after announcing its intention to discharge him. Complaint, at ¶¶ III, V.

II. Summary Judgment Analysis

A. Summary Judgment Standard

Under proper circumstances, awarding summary judgment is not disfavored in the federal courts: "Summary judgment reinforces the purpose of the Rules, to achieve the just, speedy, and inexpensive determination of actions, and, when appropriate, affords a merciful end to litigation that would otherwise be lengthy and expensive." Fontenot v. Upjohn Co., 780 F.2d 1190, 1197 (5th Cir.1986).

Summary judgment is proper when the pleadings and evidence on file show that no genuine issue exists as to any material fact and that the moving party is entitled to judgment or partial judgment as a matter of law. See Fed.R.Civ.P. 56. Before a court may grant summary judgment, the moving party must demonstrate that it is entitled to judgment as a matter of law because there is no actual dispute as to an essential element of the nonmovant's case. See Topalian v. Ehrman, 954 F.2d 1125 (5th Cir.), cert. denied, 506 U.S. 825, 113 S.Ct. 82, 121 L.Ed.2d 46 (1992). The threshold inquiry, therefore, is whether there are "any genuine factual issues that properly can be resolved only by a finder of fact because they may reasonably be resolved in favor of either party." Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 251, 106 S.Ct. 2505, 2511-12, 91 L.Ed.2d 202 (1986). Of course, "the substantive law will identify which facts are material." Id. at 248, 106 S.Ct. at 2510.

Once the moving party establishes that there is an absence of evidence to support the nonmovant's case, the burden shifts to the nonmoving party to come forward with "specific facts showing that there is a genuine issue for trial." Matsushita Elec. Indus. Co. v. Zenith Radio Corp., 475 U.S. 574, 587, 106 S.Ct. 1348, 1356, 89 L.Ed.2d 538 (1986) (emphasis in original) (quoting Rule 56(e)); see also Celotex Corp. v. Catrett, 477 U.S. 317, 322-25, 106 S.Ct. 2548, 2552, 91 L.Ed.2d 265 (1986); Fontenot, 780 F.2d at 1195-98. A party must do more than simply show some "metaphysical doubt as to the material facts." Matsushita, 475 U.S. at 586, 106 S.Ct. at 1356. Stated another way, "if the record, taken as a whole could not lead a rational trier of fact to find for the nonmoving party, there is no genuine issue for trial." Friou v. Phillips Petroleum Co., 948 F.2d 972, 974 (5th Cir.1991) (citing Matsushita, 475 U.S. at 587, 106 S.Ct. at 1356). However, all of the evidence must be viewed in the light most favorable to the motion's opponent. Gremillion v. Gulf Coast Catering Co., 904 F.2d 290, 292 (5th Cir.1990). With these principles in mind, the Court turns to an analysis of Defendant's Motion in this case.

B. Legal Analysis

AT & T asserts separate arguments in favor of granting summary judgment on Chester's discriminatory discharge claim and his failure to transfer claim. AT & T argues that Chester's discriminatory discharge claim is barred because he failed to file his charge with the EEOC within the proper time period. AT & T contends that Chester's discriminatory failure to transfer claim is barred because it is outside the scope of the charge he filed with the EEOC. Defendant's Motion, at 3. The Court addresses these arguments separately.

1. Discriminatory Discharge Claim

AT & T contends that Chester's discriminatory discharge claim is barred because he filed his EEOC charge more than 300 days after the date he was informed that he was at risk of involuntary separation. Defendant's Brief, at 3. Because Texas is a "deferral" state, the ADEA establishes a 300-day period for filing a charge of discrimination with the EEOC. See 29 U.S.C. § 626(d)(2) (1985 & Supp.1994). The Supreme Court has held that the limitations period in a discrimination case begins to run when the alleged discriminatory act occurs and not when the plaintiff first feels the consequences of the act. See Chardon v. Fernandez, 454 U.S. 6, 8, 102 S.Ct. 28, 29, 70 L.Ed.2d 6 (1981); Delaware State College v. Ricks, 449 U.S. 250, 258, 101 S.Ct. 498, 504, 66 L.Ed.2d 431 (1980). Applying this rule, the Fifth Circuit has held that the limitations period on an ADEA discriminatory discharge claim begins to run when the plaintiff is notified of the impending discharge. Rhodes v. Guiberson Oil Tools Div., 927 F.2d 876, 878 (5th Cir.), cert. denied, 502 U.S. 868, 112 S.Ct. 198, 116 L.Ed.2d 158 (1991); Chapman v. Homco, Inc., 708 F.Supp. 787, 790 (N.D.Tex.1988), aff'd, 886 F.2d 756 (1990), cert. denied, 494 U.S. 1067, 110 S.Ct. 1784, 108 L.Ed.2d 785. See also Gustovich v. AT & T Communications, Inc., 972 F.2d 845, 847 (7th Cir.1992) (holding that the limitations period began to run on the date the employees were told they were "surplus" and would be terminated unless they found employment elsewhere in the company).

Chester asserts three arguments against summary judgment on limitations grounds. First, Chester argues that he was not notified of an impending "discharge," like the plaintiffs in the cases cited by AT & T, but rather was notified that he was being placed "at risk of involuntary separation." Plaintiff's Response, at 5-6. The Court notes that AT & T's notification to Chester stated that "unless you are notified otherwise, your expected last day of employment will be September 30, 1991." Chester Depo., Ex. 5. This notice clearly placed Chester on notice of his impending discharge from the company.

Second, Chester argues that the statute of limitations was equitably tolled because AT & T told him that he could attempt to transfer to another position in the company. Plaintiff's Response, at 6. The Fifth Circuit has not directly addressed whether an employee's hope of finding other employment within the company warrants equitable tolling.¹ The Fifth Circuit has held that there are generally three bases for equitably tolling a statute of limitations: 1) the suit was pending in the wrong forum; 2) the plaintiff was unaware, because of intentional concealment, of facts giving rise to claim; and 3) the EEOC mislead the plaintiff about the nature of the right. See Amburgey v. Corhart Refractories Corp., 936 F.2d 805, 810 n. 14 (5th Cir.1991) (citing Blumberg v. HCA Management Co., 848 F.2d 642 (5th Cir. 1988), cert. denied, 488 U.S. 1007, 109 S.Ct. 789, 102 L.Ed.2d 781 (1989)). In the cases discussed below, the Circuit has asked whether a plaintiff in an ADEA suit is entitled to equitable modification because of an employer's actions after notifying an employee of a discharge or demotion. Upon reviewing these cases, the Court finds that they do not support Chester's argument for equitable tolling in the present case.

In Coke v. General Adjustment Bureau, Inc., 616 F.2d 785 (5th Cir.1980), on reh'g, 640 F.2d 584 (1981), the employer demoted the plaintiff, but then made misrepresentations that the company would reinstate him. The Circuit reversed the grant of summary judgment to the employer, holding that there was a genuine issue of material fact regarding equitable tolling. Id. at 595. The Court noted that:

Because appellant has alleged that GAB actually misrepresented its intent to rehire him, we do not address the question of whether tolling may be appropriate when the employer has made, not misrepresentations as to the likelihood of future reinstatement, but rather bona fide representations as to such likelihood, which, for some reason, were not

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