Slaughter v. Bd. of Supervisors of Southern Univ.
| Citation | 76 So.3d 438 |
| Decision Date | 31 August 2011 |
| Docket Number | No. 2010 CA 1049.,2010 CA 1049. |
| Parties | Dr. Ralph SLAUGHTER v. BOARD OF SUPERVISORS OF SOUTHERN UNIVERSITY AND AGRICULTURAL AND MECHANICAL COLLEGE. |
| Court | Court of Appeal of Louisiana (US) |
OPINION TEXT STARTS HERE
Jill L. Craft, Baton Rouge, LA, for Plaintiff–Appellant Dr. Ralph Slaughter.
Lewis O. Unglesby, Baton Rouge, LA, for Defendant–Appellee Board of Supervisors of Southern University and Agricultural and Mechanical College.
Before KUHN, PETTIGREW, HIGGINBOTHAM, JJ.
[1 Cir. 2] Dr. Ralph Slaughter (Dr. Slaughter), appeals the trial court's judgment, denying his claim against the Board of Supervisors of Southern University and Agricultural and Mechanical College System (Board) for past due wages. We amend and, as amended, affirm.
Dr. Slaughter was employed as the President of the Southern University System in April 2006. In September 2007, Dr. Slaughter and the Board executed a written employment contract for a two year term, commencing on July 1, 2007 and ending on June 30, 2009. Paragraph 11 of the employment contract expressly provided that the contract was effective only upon the execution of a settlement agreement and release (and dismissal with prejudice) in a then-pending “unlawful retaliation” civil rights lawsuit filed by Dr. Slaughter against the Board and others in federal court. The pertinent compensation provisions of the employment contract are as follows:
3. For the services to be rendered by the President, his earned compensation shall be:
a) A base salary of $220,000 per annum;
b) A vehicle allowance of $1,000 per month;
c) The full use and control of the University Place located on the Baton Rouge campus for official University functions. While not in residency in this University Place, he shall be paid a monthly housing/living allowance of at least $3,000 per month, with reasonable adjustments made periodically to reflect costs of living increases; and
d) A salary supplement from Southern University System Foundation funds in the amount of $200,000 per year. The salary supplement is contingent upon the funds being provided by the Foundation.
[1 Cir. 3] The settlement agreement and release provided that the agreement “becomes effective only upon execution of the Employment Contract attached as Exhibit A, the execution of the settlement agreements with the individual defendants in this action, and the dismissal with prejudice of the litigation.” Another pertinent provision of the settlement agreement and release, signed on August 29, 2007, is as follows:
15.
The Parties agree a) that the settlement agreement is not contingent upon the Board of the Southern University Foundation approving the salary supplement contained in the Employment Contract; b) that it is not a condition of the settlement agreement and there are no representations or warranties that the Employment Contract complies with all applicable law and regulations, including but not limited to La. R.S. 42:1111 A(2), La. R.S. 42:1115 B, La. R.S. 17:3351 and the Board of Regents Administrative Salary Policy; and c) that the Defendants have no obligation and have made no representations regarding the tax consequences of all or any part of said salary supplement or the eligibility of such salary supplement to be considered for any retirement benefit, purpose or calculation, including but not limited to the limitations in La. R.S. 11:231 and any statutes or regulations relating to LASERS.
On September 20, 2007, the Board executed two different Southern University System Personnel Action Forms indicating Dr. Slaughter's employment as System President was for the period of July 1, 2007 to June 30, 2009. One form indicates that the recommended and budgeted salary for Dr. Slaughter was $220,000 and the source of those funds was “State—General Fund Direct.” The second form is almost identical, but differs in that the “salary adjustment” amount is $200,000 and the source of funds is “Restricted Funds—SUS Foundation.” Copies of portions of Dr. Slaughter's employment contract (paragraph three, providing for Dr. Slaughter's earned compensation, and the signature page) were attached to each personnel action form.
[1 Cir. 4] A letter dated September 25, 2007, from Ernie Troy Hughes, the Executive Director of the Southern University Foundation (Foundation), to Mr. Tolor White, the Southern University System Vice President Finance, states that the Foundation “will support and make salary supplements for the extra compensation to President Ralph Slaughter, as approved by the Southern University Board of Supervisors in the amount of $200,000.00 annually from funds designated for that purpose.” The Foundation's by-laws provide the Foundation shall “[o]perate principally for the benefit of the Southern University and A & M College System” and “may enter into contracts, cooperative endeavor agreements, and/or any other legally binding instruments on behalf of or for the benefit of the Southern University System.” The by-laws also provide the Foundation shall “not engage in any activities, other than those which are exclusively for benevolent, charitable, scientific, literary or educational purposes [and] [n]ever allow or permit any part of the net earnings or assets of this corporation to insure in whole or in part to the benefit of any private member or individual.”
When Dr. Slaughter's contract as the System President was not renewed, his employment ended on June 30, 2009. Dr. Slaughter retired as a state employee with approximately 35 years of service, effective July 1, 2009. The Louisiana State Employees Retirement System (LASERS) application form filed by Dr. Slaughter elected to convert all unused leave, less hours of leave paid by the employing agency, to retirement credit. According to the Southern University Personnel Handbook, “[t]erminal payment of an academic or unclassified employee may not exceed an amount representing: 300 hours of unused annual [1 Cir. 5] leave at the time of termination for any reason [and] 200 hours of unused sick leave upon retirement or death prior to retirement.”
On August 20, 2009, Dr. Slaughter wrote to the Board that he had not received his “earned compensation” payment for 500 hours of leave. He requested immediate payment of his wages due and immediate transfer of his “wage/compensation credits” (leave service credit) to LASERS. Dr. Slaughter indicated his request for payment of leave was acknowledged by the System on July 10, 2009, and the total amount due was $112,500.00, less applicable tax deductions, based on an hourly rate of $225 per hour times 500 hours of leave.
Dr. Slaughter filed suit on September 4, 2009, against the Board for past due wages pursuant to La. R.S. 23:632. Dr. Slaughter alleged that despite his written demands, the Board failed to pay the correct amount owed to him for the unused leave. He also sought attorney fees, penalties, and to proceed by summary proceeding, as provided in La. R.S. 23:632 and La. C.C.P. art. 2592(12).
In a letter from Interim System President Kassie Freeman on September 9, 2009, the Board responded that Dr. Slaughter's LASERS leave certification form was transmitted on August 20, 2009, and that the processing of his terminal pay was being authorized. The letter advised Dr. Slaughter that his “failure to properly complete the university check-out process delayed the processing of [his] terminal pay because terminal pay is not processed until after the check-out is completed.” On September 24, 2009, the Southern University System sent a check to Dr. Slaughter in the amount of $30,885.22 for his terminal pay. The cover letter from Interim System President Freeman stated the payment represented the total annual [1 Cir. 6] and sick leave, less all applicable deductions, and provided a detailed calculation as follows:
This matter was tried by summary proceeding in December 2009. After testimony was received and exhibits were introduced at the trial, the trial court ruled in favor of the Board, with oral reasons, and assessed costs against Dr. Slaughter. Thereafter, Dr. Slaughter filed a motion for new trial and a [1 Cir. 7] supplemental motion for new trial, which were denied by the trial court. The...
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