E.E.O.C. v. Wal-Mart Stores, Inc.

• Decision Date: 27 April 1998
• Docket Number: Civ. No. 95-1199 JP/LCS.
• Parties: EQUAL EMPLOYMENT OPPORTUNITY COMMISSION, Plaintiff, and John Otero, Plaintiff-intervenor, v. WAL-MART STORES, INC., Defendant.
• Court: U.S. District Court — District of New Mexico

11 F.Supp.2d 1313

EQUAL EMPLOYMENT OPPORTUNITY COMMISSION, Plaintiff and John Otero, Plaintiff-intervenor, v. WAL-MART STORES, INC., Defendant.

Civ. No. 95-1199 JP/LCS.

United States District Court, D. New Mexico.

April 27, 1998.

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Ronald F. Ross, John J. Kelly, U.S. Attorney's Office, Albuquerque, NM, Philip B. Sklover, Gregory Stewart, Legal Counsel Office, Washington, DC, Robert B. Harwin, Susan B. Biggs, Christopher Lage, E.E.O.C., San Antonio, TX, for Plaintiff.

Steven K. Sanders, Albuquerque, NM, for Plaintiff-Intervenor.

Stanley K. Kotovsky, Jr., Hinkle, Cox, Eaton, Coffield & Hensley, Albuquerque, NM, Mark D. Jarmie, Sharp, Jarmie & Scholl, Albuquerue, NM, for Defendant.

MEMORANDUM OPINION AND ORDER

PARKER, District Judge.

The subjects of this Memorandum Opinion and Order are: (1) "Defendant's Renewed Motion for Judgment as a Matter of Law" (Doc. No. 122), filed March 7, 1997; (2) Plaintiff-in-intervention's motion for attorney fees, expert witness fees and costs (Doc. No. 129), filed March 26, 1997; (3) "Plaintiff's Motion for Equitable Relief' (Doc. No. 136) filed April 10, 1997; (4) Defendant's Application to Review Clerk's Order Settling Costs (Doc. No. 147), filed July 25, 1997; and (5) Plaintiff's motion for leave to supplement its response to defendant's renewed motion for judgment as a matter of law (Doc. No. 148), filed March 31, 1998.

BACKGROUND

The Equal Employment Opportunity Commission (EEOC) and John Otero brought this action under the Americans with Disabilities Act (ADA), 42 U.S.C. § 12101 et seq., alleging that in October of 1992, during the course of an interview at a Wal-Mart store located in Las Cruces, New Mexico, the interviewer asked Mr. Otero, the interviewee, a question that was not permitted by the ADA, and claiming that Wal-Mart failed to offer a position to Mr. Otero because part of his right arm was amputated below the elbow.

The parties presented their evidence at a jury trial beginning February 19 and ending February 21, 1997. On February 21, 1997, the jury returned a verdict in plaintiff's and plain tiff-in-intervention's favor, unanimously agreeing that: (1) Wal-Mart acted "with reckless indifference to the federally protected rights of John Otero" when Wal-Mart asked him, "What current or past medical problems might limit your ability to do a job"; (2) John Otero was disabled within the meaning of the Americans with Disabilities Act; (3) Wal-Mart denied employment to John Otero because of his disability; (4) Wal-Mart acted with malice or reckless indifference to the rights of Mr. Otero when it failed to hire him; and (5) this discrimination in failing to hire Mr. Otero caused him injury.

On February 24, 1997, I entered Judgment against Wal-Mart based on the jury's verdict awarding Mr. Otero: (1) $100,000 in punitive damages because Wal-Mart acted with reckless indifference to Mr. Otero's federally protected rights when it asked Mr. Otero the improper question; (2) $7,500 in compensatory damages on Mr. Otero's claim of disability discrimination; and (3) $50,000 in punitive damages for the unlawful discrimination.

I. Wal-Mart's Renewed Motion for Judgment as a Matter of Law

Defendant has moved for Judgment as a Matter of Law, or alternatively for a new trial, alleging that plaintiff and plaintiff-in-intervention failed to: (1) establish a prima facie case of discrimination; (2) provide evidence of a discriminatory intent; and (3) prove that Wal-Mart engaged in conduct that would support an award of punitive damages.

DISCUSSION

A. Legal Standard

Judgment as a matter of law against a party on a particular issue is appropriate when "there is no legally sufficient evidentiary basis for a reasonable jury to find for that party on that issue." Fed.R.Civ.Proc. 50(a). The evidence and inferences therefrom must be construed most favorably to the nonmoving party; [the court] may not weigh the evidence, pass on the credibility of witnesses, or substitute [its] judgment for that of the jury. Magnum Foods v. Continental Cas. Co., 36 F.3d 1491, 1503 (10th Cir.1994). "When .... the evidence supports a reasonable inference favorable to the jury verdict, the fact that a contrary inference may also be drawn does not mandate the entry of [judgment notwithstanding the verdict]." Zuchel v. City and County of Denver, 997 F.2d 730, 741 (10th Cir.1993) "Only when `the evidence points but one way and is susceptible to no reasonable inferences which may sustain the position of the party against whom the motion is made' is [judgment notwithstanding the verdict] appropriate." EEOC v. University of Oklahoma, 774 F.2d 999, 1001 (10th Cir.1985) (quoting EEOC v. Prudential Fed. Sav. & Loan Ass'n, 763 F.2d 1166, 1171 (10th Cir.1985), cert. denied, 475 U.S. 1120, 106 S.Ct. 1637, 90 L.Ed.2d 183 (1986)). See also Haines v. Fisher, 82 F.3d 1503, 1510 (10th Cir.1996) (stating that the United States Court of Appeals for the Tenth Circuit will "find error in the denial of [a motion for judgment as a matter of law] only if the evidence points but one way and is susceptible to no reasonable inferences supporting the party opposing the motion").

In the alternative, Wal-Mart moves for a new trial under Fed.R.Civ.Proc. 59. Motions for new trial are committed to the sound discretion of the trial court, Deters v. Equifax Credit Information Services, 981 F.Supp. 1381, 1385 (D.Kan.1997), and are "not regarded with favor and should only be granted with great caution." United States v. Kelley, 929 F.2d 582, 586 (10th Cir.1991). "The party seeking to set aside a jury verdict must demonstrate trial error which constitutes prejudicial error or that the verdict is not based on substantial evidence."

B. Analysis

1. Did Plaintiff Establish a Prima Facie Case of Discrimination?

The jury was instructed:

In order for the Plaintiff to establish a case of discrimination under the Americans with Disabilities Act, Plaintiff must prove all of the following:

1. That Mr. Otero is a disabled person within the meaning of the ADA;

2. That Mr. Otero was able to perform the essential functions of the job for which he applied; and

3. That Wal-Mart failed to hire him because of his disability.

Jury Instruction No. 13; Defendant's Supp'l Requested Jury Instructions, Doc. No. 103, p. 2 (citing to MacDonald v. Delta Air Lines, 94 F.3d 1437 (10th Cir.1996)).

In order to establish a prima facie case of discrimination under the ADA, specifically, the Tenth Circuit has reiterated the same elements. The Tenth Circuit has stated that a plaintiff must show:

(1) that he is a disabled person within the meaning of the ADA; (2) that he is qualified, that is, with or without reasonable accommodation he is able to perform the essential functions of the job; and (3) that the employer terminated him because of his disability.

White v. York Intern. Corp., 45 F.3d 357, 360-361 (10th Cir.1995) (citations omitted). See also Williams v. Widnall, 79 F.3d 1003, 1005 (10th Cir.1996) (applying the "same model" to claims arising under § 501 of the Rehabilitation Act and framing the third element as "he was terminated under circumstances which give rise to an inference that his rejection was based solely on his disability.")

Wal-Mart argues that the EEOC and Mr. Otero failed to establish a prima facie case of disability discrimination because they did not establish the first element, that Mr. Otero is disabled, and did not "provide any evidence that plaintiff was replaced by a non-disabled person or was treated less favorably than a non-disabled person."

(a) The Sufficiency of the Evidence that Mr. Otero was Disabled¹

The jury was instructed:

The term "disability" means: (1) A physical impairment that substantially limits one or more of the major life activities of the individual; or (2) Being regarded as having such an impairment. John Otero need only meet one of these definitions to be disabled.

Jury Instruction No. 9.

"Substantially limits" was defined as:

(1) Unable to perform a major life activity that the average person in the general population can perform; or

(2) Significantly restricted as to the condition, manner or duration under which an individual can perform any major life activity as compared to the condition, manner, or duration under which the average person in the general population can perform that same major life activity.

The following factors should be considered in determining whether an individual is substantially limited in any major life activity:

(a) The nature and severity of the impairment;

(b) The duration or expected duration of the impairment; and

(c) The permanent or long term impact, or the expected long term impact resulting from the impairment.

Jury Instruction No. 10.

The jury was further instructed that the term "`major life activity' means functions such as caring for oneself, performing manual tasks, lifting, walking, seeing, hearing, speaking, breathing, learning and working." Jury Instruction No. 11. Wal-Mart does not argue that the jury was improperly instructed regarding these definitions, nor did Wal-Mart object to these instructions at the time of trial.

Instead, Wal-Mart contends that the EEOC and Mr. Otero "simply did not show that any major life activity of Mr. Otero's was substantially limited." I disagree. The EEOC and Mr. Otero presented ample evidence at trial upon which the jury could find that Mr. Otero was disabled. They proved that Mr. Otero is substantially limited in the major life activity of performing numerous manual tasks. For example, Mr. Otero testified that he is unable to grip with his right arm, hammer a nail, sew, button his shirt, fasten a watch buckle, cut his nails, tie a shoe, drive a standard-transmission automobile, or hold a baby in his arms while standing. Tr. Vol. I at 23-28. He further testified that he was able to do all of these things prior to losing his right arm...