Sisters of St. Mary v. Blair, 54507

• Decision Date: 14 March 1989
• Docket Number: No. 54507,54507
• Citation: 766 S.W.2d 773
• Parties: 121 Lab.Cas. P 56,834 SISTERS OF ST. MARY, Plaintiff-Counterclaim Defendant-Respondent, v. John D. BLAIR, Defendant-Counterclaim Plaintiff-Appellant.
• Court: Missouri Court of Appeals

Page 773

766 S.W.2d 773

121 Lab.Cas. P 56,834

SISTERS OF ST. MARY, Plaintiff-Counterclaim Defendant-Respondent, v. John D. BLAIR, Defendant-Counterclaim Plaintiff-Appellant.

No. 54507.

Missouri Court of Appeals,

Eastern District,

Division Four.

March 14, 1989.

Mary Anne Olwell Sedey, Patricia Louise Cohen, St. Louis, for defendant-counterclaim plaintiff-appellant.

Gerald M. Richardson, St. Louis, for plaintiff-counterclaim defendant-respondent.

STEPHAN, Judge.

John D. Blair appeals the trial court's action in directing a verdict against him after the jury failed to reach a verdict on the count alleging tortious interference with contract in his four count counterclaim against respondent Sisters of St. Mary (SSM). The jury returned a verdict against appellant and in favor of SSM on his claim for intentional infliction of emotional distress. The other two counts of his counterclaim had been disposed of previously. Appellant challenges only the trial court's action in directing a verdict against him on his claim for tortious interference with contract. We affirm.

To review a directed verdict for a defendant, we view the evidence and inferences in the light favorable to plaintiff and disregard all contrary evidence and inferences. Fly v. Royal Auto Repair, 747 S.W.2d 237, 238 (Mo.App.1988). If, however, reasonable grounds support the directed verdict, we affirm. Id.

The dispositive issue presented on appeal is whether appellant presented sufficient evidence to make a submissible case in an action by an at-will employee against his former employer for tortious interference with contract.

Dr. Blair, an academic and pediatric pathologist, was recruited for the position of director of clinical laboratories and chief pathologist by SSM operating as Cardinal Glennon Hospital ("Hospital"). Appellant conditioned his acceptance on his also obtaining a full-time faculty position at St. Louis University's School of Medicine ("SLU"). SLU and SSM entered into a contract providing that appellant be hired as a full-time faculty member at SLU but that his primary duties be performed at the Hospital. Appellant was not a party to the pathological services contract between SLU and SSM. He was, however, aware of its provisions. He testified that he signed the agreement and "accepted" it. The contract provided for SLU to furnish Hospital pathological services and a director of pathology, specifically appellant. The contract was for a one year term, terminable by either party (SLU or SSM) upon ninety days' notice. The contract provided for renewal and amendment by mutual agreement. Appellant began his duties September 1, 1974, as an employee of SSM. That appellant was an at-will employee of SSM is not in dispute here, having been resolved by earlier litigation. See Sisters of St. Mary v. Blair, 730 S.W.2d 614, 616 (Mo.App.1987).

On December 19, 1980, SSM notified SLU of its intent to terminate the contract, effective March 19, 1981, resulting in appellant's removal from his position at Hospital. SLU sent appellant a copy of the termination letter received from SSM. After appellant's removal, SSM entered into another pathological services contract with SLU designating a new director of pathological laboratories at the Hospital to replace appellant. SLU reassigned appellant first to City Hospital and then, in 1985, to SLU's hospital. SLU reduced appellant's salary by eighteen percent following the termination of his services to SSM.

Based on the foregoing evidence, appellant argues that SSM's conduct resulted in intentional interference of appellant's relationship with SLU. The conduct providing the alleged basis for appellant's claim of tortious interference with contract was SSM's termination of appellant's appointment as the director of its department of clinical laboratory and anatomic pathology. Appellant claims SSM's actions completely prevented him from practicing pediatric pathology and caused him to suffer a salary cutback in his position at SLU. The essence of appellant's complaint is that SSM's exercise of its right to terminate his at-will employment with SSM tortiously interfered with his employment with SLU.

The recent case of Hanrahan v. Nashua Corp., 752 S.W.2d 878, 882 (Mo.App.1988), sets out the elements necessary to establish an intentional interference with contract:

(1) A contract or a valid business relationship or expectancy;

(2) Defendant's knowledge of the contract or relationship;

(3) Intentional interference by the defendant inducing or causing a breach of contract relationship;

(4) Absence of justification; and

(5) Damages resulting from defendant's conduct.

Appellant contends Missouri appellate courts recognize a cause of action for tortious interference with a terminable at-will employment relationship. The cases cited by appellant in support of his position include: Boyer v. Independence Manor Care Center, Inc., 721 S.W.2d 246 (Mo.App.1986); Eib v. Federal Reserve Bank, 633 S.W.2d 432 (Mo.App.1982); Stanfield v. National Electrical Contractors Association, 588 S.W.2d 199 (Mo.App.1979); and Casterline v. Stuerman, 588 S.W.2d 86 (Mo.App.1979).

Appellant's reliance on these cases is misdirected. None of these decisions is authority for permitting an at-will employee to recover damages against an employer solely because the employer had exercised its legal right to terminate the employment of the at-will employee. Only Boyer involved the situation where plaintiff sued an employer for tortious interference with an at-will employment;...