Satterfield v. Lockheed Missiles & Space Co., Inc.

• Decision Date: 06 September 1985
• Docket Number: Civ. A. No. 2:84-0454-1.
• Citation: 617 F. Supp. 1359
• Parties: Charles G. SATTERFIELD and Vicki Satterfield, Plaintiffs, v. LOCKHEED MISSILES AND SPACE COMPANY, INC., Defendant and Third-Party Plaintiff, v. TRIDENT INDUSTRIAL MEDICINE, P.A., J.S. Moore, M.D., Diane O. Varner and Biomedical Reference Laboratories, Inc., Third-Party Defendants.
• Court: U.S. District Court — District of South Carolina

617 F. Supp. 1359

Charles G. SATTERFIELD and Vicki Satterfield, Plaintiffs, v. LOCKHEED MISSILES AND SPACE COMPANY, INC., Defendant and Third-Party Plaintiff, v. TRIDENT INDUSTRIAL MEDICINE, P.A., J.S. Moore, M.D., Diane O. Varner and Biomedical Reference Laboratories, Inc., Third-Party Defendants.

Civ. A. No. 2:84-0454-1.

United States District Court, D. South Carolina, Charleston Division.

September 6, 1985.

William J. Clifford, Charleston, S.C., for plaintiff.

Antony M. Merck, David B. McCormack, Charleston, S.C., for defendant and third party plaintiff.

Mark H. Wall, Charleston, S.C., for Trident, Moore & Varner.

Robert H. Hood, Charleston, S.C., for Biomedical Reference Lab.

ORDER AND JUDGMENT

HAWKINS, District Judge.

This is a diversity action for wrongful termination of an employment contract. The defendant and third-party plaintiff, Lockheed Missiles and Space Company, Inc. (hereinafter "Lockheed"), moves for summary judgment against the plaintiffs pursuant to Rule 56(c), Federal Rules of Civil Procedure. Summary judgment is appropriate only if "the pleadings, depositions, answers to interrogatories and admissions on file, together with any affidavits, if any, show that there is no genuine issue as to any material fact and that the moving party is entitled to judgment as a matter of law." Rule 56(c), Fed.R.Civ.P. For reasons to be stated, this court is of the opinion that Lockheed's motion for summary judgment should be granted.

A. FACTS AND PROCEDURAL HISTORY

Charles G. Satterfield (hereinafter "Satterfield") was employed by Lockheed as an electronics missile technician in September of 1979. He was required to have an annual physical as part of his employment. On July 28, 1981, Satterfield reported to third-party defendant Trident Industrial Medicine (hereinafter "Trident") for his physical. Beginning in 1981, certain employees of the Lockheed facility in Charleston were required to have a urine drug screen for marijuana as part of their physical. Pursuant to this requirement, a urine specimen was given by Satterfield on July 28, 1981. The specimen was forwarded by Trident to third-party defendant Biomedical Reference Laboratories, Inc. (hereinafter "Biomedical") for analysis. The specimen was analyzed on July 29, 1981, and a computer report was generated on July 30, 1981. The computer report indicated a positive test result. This result was reported to Lockheed by Biomedical. A retest on the urine sample was performed on August 3, 1981. The retest confirmed a positive result. Satterfield was informed by Lockheed of the positive test result and told that he would be terminated from his position. He was terminated in August of 1981.

Satterfield and his wife initiated a lawsuit in this court against Lockheed on March 16, 1984, based upon his termination. They allege that he was wrongfully discharged for being under the influence of a non-prescription drug when Lockheed knew, or should have known, that his urine sample had been mixed up with others in unlabeled bottles. The plaintiffs also assert the enzyme multiplied immunoassy test (hereinafter "EMIT") was not a dependable test and would give false results. Further, the complaint alleges that the EMIT test does not measure the psycho-pharmacological effects of whether or not an individual is under the influence of marijuana. The plaintiffs seek recovery on four causes of action: (1) wrongful termination, (2) breach of covenant of good faith and fair dealing, (3) intentional infliction of emotional distress, and (4) invasion of privacy.

Lockheed brought a third-party action on April 4, 1984, against Trident, Dr. J.S. Moore (hereinafter "Moore"), Diane D. Varner (hereinafter Varner) and Biomedical, alleging they were negligent in certain particulars including a failure to properly label and account for Satterfield's urine sample, a failure to advise Lockheed or Trident that the EMIT test was unreliable and rendered false results, and a failure to advise Lockheed or Trident that the EMIT test was not appropriate to measure whether an individual is under the influence of marijuana. As to Biomedical only, Lockheed alleges that it failed to properly analyze the urine specimen. Lockheed seeks indemnification from all third-party defendants for any amounts for which it may be found liable to plaintiffs.

On June 1, 1984, Varner, Moore and Trident cross-claimed against Biomedical. They allege that it failed to properly label the urine sample, analyze it, and advise Lockheed that the urine test was inappropriate or unreliable. They seek indemnification for any amounts for which they may be liable to Lockheed.

Since the time of the institution of this suit, the parties have exchanged discovery requests including interrogatories and motions to produce. Additionally, depositions have been taken of the plaintiffs as well as of Moore, Varner, Dr. Benjamin Flora of Biomedical, and representatives of Lockheed.

On November 16, 1984, Lockheed filed a motion for partial summary judgment seeking to dismiss plaintiffs' causes of action for wrongful termination and breach of covenant of good faith and fair dealing. On December 20, 1984, the plaintiffs filed their memorandum in opposition to Lockheed's motion. Lockheed submitted a reply to the plaintiffs' memorandum on February 5, 1985.

Biomedical filed its own motion for summary judgment against Lockheed on March 15, 1985. Lockheed submitted no response to that motion. Thereafter, on April 19, 1985, Lockheed moved for summary judgment on plaintiffs' remaining causes of action for intentional infliction of emotional distress and invasion of privacy. The plaintiffs opposed this motion in a June 13, 1985, memorandum. On June 17, 1985, this court heard oral arguments on all motions and took Lockheed's motion under advisement. It stayed all other motions because a disposition in Lockheed's favor on plaintiffs' complaint would render all other motions moot. Since the date of that hearing, the court has received several letters from Lockheed inviting its attention to recent precedent from state and federal courts.

B. LOCKHEED'S MOTION FOR SUMMARY JUDGMENT

1. WRONGFUL TERMINATION

In plaintiffs' complaint they allege, inter alia, the existence of a "written contract" for permanent employment between Satterfield and Lockheed, that Satterfield was subsequently wrongfully discharged in violation of this contract, and that, as a result of the alleged wrongful discharge, they are entitled to receive damages.

Lockheed denies existence of a written employment contract between it and Satterfield and asserts that Satterfield's employment was for an indefinite period of time, terminable at-will by either party. Lockheed further argues that, even if Satterfield had a written contract with it, which is denied, such contract was for an indefinite duration and was, therefore, terminable at-will by either party.

In South Carolina, a contract for permanent employment of an indefinite duration, which is not supported by any consideration other than the obligation of service to be performed on the one hand and wages to be paid on the other, is terminable at the will of either party. Ludwick v. This Minute of Carolina, Inc., 283 S.C. 149, 321 S.E.2d 618 (S.C.App.1984); Hudson v. Zenith Engraving Company, Inc., 273 S.C. 766, 259 S.E.2d 812 (1979); Gainey v. Coker's Pedigreed Seed Company, 227 S.C. 200, 87 S.E.2d 486 (1955); Orsini v. Trojan Steel Corporation, 219 S.C. 272, 64 S.E.2d 878 (1951); Weber v. Perry, 201 S.C. 8, 21 S.E.2d 193 (1942); Shealy v. Fowler, 182 S.C. 81, 188 S.E. 499 (1936). South Carolina follows the general rule that permanent employment means steady employment, a steady job, a position of some permanence, as contrasted by temporary employment or a temporary job. Ordinarily, where there is no additional expression as to duration, a contract for permanent employment implies an indefinite general hiring, terminable at-will. Orsini v. Trojan Steel Corporation, 219 S.C. 272, 64 S.E.2d 878 (1951).

In addition, an employment contract terminable at the will of either party may be terminated at any time, for any reason, or for no reason at all. Ludwick v. This Minute of Carolina, 283 S.C. 149, 321 S.E.2d 618, (S.C.App.1984); Todd v. South Carolina Farm Bureau Mutual Insurance Co., 276 S.C. 284, 278 S.E.2d 607 (1981); Ross v. Life Insurance Company of Virginia, 273 S.C. 764, 259 S.E.2d 814 (1979); Parker v. Southeastern Haulers, 210 S.C. 18, 41 S.E.2d 387 (1947). Therefore, the termination of an employment at-will by either party does not normally give rise to a cause of action for breach of contract. Hudson v. Zenith Engraving Co., Inc., 273 S.C. 766, 259 S.E.2d 812 (1979). If Satterfield was an at-will employee, neither he nor his wife has a cause of action against Lockheed for wrongful discharge.

To prove the existence of written contract between the parties, Satterfield apparently relies upon a "Hire Notice." This document is plaintiffs' only evidence in support of their contentions that he had a written contract. However much the plaintiffs wish it were true, the "Hire Notice" simply does not amount to a written contract.

The uncontradicted affidavit of Claude Callan, Lockheed's Human Resource Representative, establishes that the "Hire Notice" was not a written contract. The affidavit reveals that there was no written contract of employment between Charles G. Satterfield and the defendant Lockheed, that Satterfield was hired for an indefinite period of time, and that he could quit or be terminated at any time.

The "Hire Notice" itself states only Satterfield's position, salary and starting date and provides a brief explanation of Lockheed's "Conflict of Interest" policy. There is no mention of an employment contract or employment for a specific time period. The evidence is uncontradicted that Satterfield was an at-will employee whose employment could be terminated at any time. Moreover, Satterfield's own...