Desanzo v. Titanium Metals Corp., No. C2-03-524.

Decision Date10 January 2005
Docket NumberNo. C2-03-524.
Citation351 F.Supp.2d 769
PartiesJohn A. DeSANZO, et al., Plaintiffs, v. TITANIUM METALS CORP., Defendant.
CourtU.S. District Court — Southern District of Ohio

Patrick Stanley Cassidy, Cassidy, Myers, Cogan, Voegelin & Tennant, L.C., Wheeling, WV, for Plaintiffs.

George Edward Yund, Jeffrey N. Lindemann, Frost Brown Todd LLC, Columbus, OH, for Defendant.

OPINION AND ORDER

SARGUS, District Judge.

This matter is before the Court on the Motion for Summary Judgment filed by Defendant, Titanium Metals Corp. ("Timet"). Plaintiffs, John A. DeSanzo, Kevin T. Rohal and Robert M. Valle, former supervisory employees at Timet, oppose the Motion. The Court has jurisdiction pursuant to 28 U.S.C. § 1332 in that diversity of citizenship exists among the parties and the amount in controversy exceeds $75,000.1 For the reasons that follow, Timet's Motion for Summary Judgment is GRANTED IN PART AND DENIED IN PART.

I.

Timet operates a titanium processing and finishing facility in Toronto, Ohio. The company produces and supplies titanium primarily to the commercial airline industry as a raw material used in the manufacturing of airplanes. As a consequence of a depressed airline industry, resulting in large part from the terrorist attacks of September 11, 2001, Timet's production and sales of titanium decreased. Timet therefore determined that it would be necessary to engage in a reduction of its salaried workforce at all of its facilities. Robert Prystaloski, the Plant Manager, conducted the analysis to determine which of the employees would be terminated at Timet's Toronto facility.

Prystaloski reviewed the performance of the five manager-level employees who worked in the Operations department, including Plaintiff DeSanzo, Duane Faith, John Forsythe, Joe Knecht and Steve Tilmont. Prystaloski determined that DeSanzo inability to "get things done" in comparison to the other managers justified selecting him for termination as part of the reduction of the management force. As a result of DeSanzo's departure, the number of managers in the Operations department declined to four. Knecht kept his former projects and gained the Manager of Coil Products responsibilities formerly held by DeSanzo.

Prystaloski also determined that Plaintiff Rohal and Samuel Calabrese performed the same duties in the laboratory.2 Prystaloski reviewed each employee's performance and determined that Rohal should be terminated. Mike Volas, Manager of Quality and Technology, agreed with this determination.

Prystaloski also identified Plaintiff Valle for termination as part of the reduction-in-force. At the time of his termination, Valle was one of twenty-nine front-line supervisory employees in the operations department. Eight of the twenty-nine supervisors in the operations department, including Valle, were terminated.

Prystaloski completed an initial analysis for the reduction-in-force and submitted the proposal to his supervisor, Jim Pieron, Vice President of North American Operations, who reviewed and approved it on August 23, 2002.

On August 27, 2002, Timet advised Plaintiffs, John A. DeSanzo, Kevin T. Rohal and Robert M. Valle, by letter that it was reducing its workforce and, as a result of a downturn in business, it was eliminating each of their positions. In addition to these three Plaintiffs, Timet selected nine other employees for the reduction-in-force for a total of twelve employees at the Toronto facility.

A. Valle

Timet hired Valle on March 5, 1979. For over twenty years, he worked in a variety of hourly positions in which he was a member of the bargaining unit represented by the United Steelworkers of America and covered by a collective bargaining agreement which involved seniority rights in the event of a layoff. In April, 2001, Valle moved into a salaried supervisory position in the Forge Department. Timet sent Valle a letter confirming its offer of employment for the position of Production Supervisor. The letter contained a provision that confirmed Valle's status as an at-will employee:

This offer, if accepted, will create an employment-at-will relationship between you and TIMET. It is not intended nor should it be construed as a contract of continued employment.

The letter does not indicate that modifications to the terms of Valle's employment must be made in writing. Valle signed the letter, expressing his understanding of the terms of his employment as Production Supervisor and his assent to them. Valle testified that he understood that, as a supervisor, he could be terminated for any reason at any time.

In his new supervisory position, Valle reported to Jack Crites. Crites in turn reported to the Forge Department Manager, Mike McAllister, and then Steve Tilmont, after McAllister left the job as manager.

Valle alleges that McAllister led him to believe that he would eventually move up to replace Crites when Crites retired. According to Valle, the opportunity for advancement was the reason he took the job in the first place and made the decision to leave the bargaining unit after 23 years.

On or about July 15, 2002, Valle received a letter from the Union advising him that the collective bargaining agreement ("CBA") had been amended to provide that salaried employees who left a bargaining unit position would have only one year, instead of two years as provided in the previous CBA, to return to the bargaining unit without loss of their right to do so. The letter also advised Valle that current supervisory employees in that position, including Valle, would have a grace period until August 4, 2002 to decide if they wanted to return to the bargaining unit.

Before the August 4, 2002 deadline, Forge Manager Stephen Tilmont asked Valle what his plans were for the future with the company, since Jack Crites would be retiring. Timont asked Valle if he would be interested in Crites' job. Valle expressed his interest in Crites' job. Valle alleges that he took Tilmont's comments as a clear implication that he was the "man for the job" when Crites retired.

The fact that Timet was going to reduce its workforce was well known to its employees at the time Valle received the July 2002 letter from the Union. Valle attempted to determine whether he would be involved in the reduction before making his decision as to whether or not to return to the bargaining unit. Tilmont directed Valle to talk to either Plant Manager Prystaloski or Human Resource Director Gary Blosser. Prystaloski testified that he had been considering Valle for reduction as early as the end of July, 2002, but that he did not give Valle any indication of his thought processes because he knew that the final decision rested with upper management. Valle testified that he knew Timet told another supervisory employee, Jay Hutter, that it looked like Hutter would be reduced. Thus, Hutter exercised his option to return to the bargaining unit.

Valle then went to see Human Resource Director Gary Blosser. Valle and Blosser discussed the downsizing, and Valle's need to make a decision about returning to the Union before August 4, 2002. According to Valle, Blosser told him, "I wouldn't worry about it, you got a good — you got a good evaluation." (Valle Dep., Vol. II, at p. 20). Valle testified that Blosser did not expressly state that he would not be included in the downsizing, but contends that Blosser clearly implied as much. Valle made the decision to forgo his right to return to the bargaining unit. Valle received his letter from Timet advising him that he had been selected for termination on August 27, 2002.

B. Rohal

Timet originally hired Rohal in November 1978 and, in 1994, promoted him to supervisor in the Quality Control Laboratory where he worked until his termination. At the time of his termination, both Rohal and Samuel Calabrese were supervisors in the Laboratory. Rohal reported to Larry Weller until Timet terminated Weller in July 2001. Rohal then reported to Greg Judy until Judy left Timet in July 2002.

Rohal asserts that Judy treated him poorly and made threats about causing Rohal's discharge. Judy asserts that he was unhappy with Rohal's performance, and had problems with Rohal's tardiness, excessive non-work related conversations with co-workers on company time and taking paid lunch hours. Rohal received a "needs improvement" rating during in his 2001 performance evaluation and did not receive a raise in April 2002. Calabrese received a performance rating of "Fully Proficient" in 2001.

Rohal's previous supervisor, Larry Weller, filed a lawsuit against Timet following his termination.3 Rohal actively supported Weller and made favorable statements to Timet's attorney during an interview regarding Weller's case. Prystaloski, however, was not aware of the interview when he made the recommendation to select Rohal for the reduction-in-force. Approximately two months after Timet terminated Rohal, he executed an affidavit which was attached to Weller's memorandum in opposition to Timet's motion for summary judgment.

Rohal is blind in one eye as a result of a childhood accident. He was able to perform his job as Laboratory Supervisor without any problems or accommodation. Rohal is able to drive, read, golf and take care of yard work. Prystaloski was not aware of Rohal's vision impairment.

C. DeSanzo

DeSanzo was hired at Timet in January 2000 as Process Manager of the Forged Products Department. Prior to July 2001, DeSanzo became Manager of the Coil Department and supervised three supervisors and a production manager. DeSanzo held this position until his termination.

At the time of his termination, DeSanzo worked for Prystaloski. According to DeSanzo, Prystaloski was never critical of his work performance. In April 2001, DeSanzo received a performance based merit pay increase.

DeSanzo received a "needs improvement" score on his 2001 performance evaluation and did not receive a merit raise...

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