Ulrich v. EXXON CO., USA, A DIV. OF EXXON CORP.

• Decision Date: 04 June 1993
• Docket Number: Civ. A. No. H-92-1119.
• Citation: 824 F. Supp. 677
• Parties: Michael W. ULRICH, Plaintiff, v. EXXON COMPANY, U.S.A., A DIVISION OF EXXON CORPORATION, and James Lawley, Defendants.
• Court: U.S. District Court — Southern District of Texas

824 F. Supp. 677

Michael W. ULRICH, Plaintiff, v. EXXON COMPANY, U.S.A., A DIVISION OF EXXON CORPORATION, and James Lawley, Defendants.

Civ. A. No. H-92-1119.

United States District Court, S.D. Texas, Houston Division.

June 4, 1993.

COPYRIGHT MATERIAL OMITTED

David T. Lopez, David T. Lopez & Associates, Houston, TX, for plaintiff.

Douglas B. Neagli, Exxon Co. USA, Houston, TX, for defendants.

MEMORANDUM AND ORDER

CRONE, United States Magistrate Judge.

Pending before the court is Defendants Exxon Company, U.S.A. ("Exxon") and James Lawley's ("Lawley") motion for summary judgment (Docket Entry # 13). Defendants seek summary judgment on Plaintiff Michael W. Ulrich's ("Ulrich") claims of employment discrimination, intentional infliction of emotional distress, and tortious interference with beneficial relationship.

Jurisdiction in this matter is proper under 28 U.S.C. §§ 1331 and 1343. The parties consented to have a United States Magistrate Judge conduct all further proceedings in this case, including the trial and entry of judgment, pursuant to 28 U.S.C. § 636(c). The case was referred to the undersigned magistrate judge.

After review of the pending motion, the submissions, the pleadings, and the applicable law, this court finds that defendants' motion for summary judgment should be granted.

I. Background.

Ulrich, a white male employee of Exxon, instituted this action on April 10, 1992, alleging that defendants have discriminated against him in employment on the basis of his race in violation of the Civil Rights Act of 1866, 42 U.S.C. § 1981 ("Section 1981 or § 1981"). He also contends that defendants, specifically Lawley, have intentionally inflicted emotional distress upon him and tortiously interfered with his beneficial relationship with Exxon. Lawley served as Ulrich's second level supervisor from 1983 through 1992, except for a one-year period from February 1987 to February 1988, when Ulrich was assigned to a special project.

Ulrich, who presently is classified either as a senior contract administrator or senior buyer, has been employed by Exxon since 1979. According to the complaint, Ulrich graduated cum laude in 1975 from Sam Houston State University with a B.S. degree in chemistry and mathematics, having received state and national recognition for his academic achievements in chemistry. In 1985, he earned his M.B.A. in finance and international business from the University of St. Thomas. In 1984, he was qualified as a Certified Purchasing Manager by the National Association of Purchasing Management, and was recertified in 1989. He also has completed numerous training courses in his professional area.

According to Ulrich, he has not progressed at Exxon to the level merited by his qualifications, abilities and performance. He complains that Exxon utilizes a highly subjective and arbitrary system for job performance evaluation, which includes a ranking system where employees who are determined to be within the same peer group are ranked seriatim from best to worst. Additionally, Exxon supervisors are required annually to prepare a "career potential assessment" of employees, which is critical to an employee's ability to advance within the company. Ulrich alleges that "in order to attempt to escape closer scrutiny by state and federal agencies enforcing statutory provisions for equal employment opportunity, Exxon has directed that individuals representing racial minorities be hired and promoted and placed in positions designed to provide maximum visibility to the incumbents." He contends that these efforts have been utilized to manipulate personnel decisions in disregard of individual ability and performance. He asserts, for example, that managers may artificially inflate the rating and ranking of selected minority employees to fill positions in preference to white employees of established merit and experience. As a result of these alleged practices, Ulrich asserts that he has been arbitrarily and capriciously ranked and assessed well below the level merited by his knowledge, training, experience and performance, leading to a loss of pay and promotional opportunities.

Ulrich further contends that he has not been given full credit for his work performance as a result of Lawley's personal bias and animosity toward him. As a result, while under Lawley's supervision, he has not advanced and received compensation increases to the same extent that he did before he was assigned to Lawley's department. He claims that Lawley has caused his job performance to be adversely and inconsistently evaluated, arbitrarily and without explanation, and that Lawley has unfairly criticized his accomplishments. According to Ulrich, Lawley's actions have caused him severe emotional distress and have required him to obtain medical and psychological treatment, for which he sues for intentional infliction of emotional distress. Ulrich also asserts that Lawley's acts and omissions have prevented him from being assigned and compensated at a substantially higher level, thus interfering with Ulrich's beneficial relationship with Exxon.

Defendants assert that Ulrich has not presented even a prima facie case of race discrimination. They also contend that the alleged conduct of the defendants was not sufficiently outrageous to give rise to a claim for intentional infliction of emotional distress and that Lawley could not have interfered with Ulrich's beneficial relationship because plaintiff has failed to show that Lawley was acting beyond the course and scope of his employment with Exxon.

II. Analysis.

A. Summary Judgment Standard.

Rule 56(c) provides that "summary judgment shall be rendered forthwith if the pleadings, depositions, answers to interrogatories, and admissions on file, together with the 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." Fed.R.Civ.P. 56(c). A party seeking summary judgment bears the initial burden of informing the court of the basis for its motion, and identifying those portions of the pleadings, depositions, answers to interrogatories, admissions on file, and affidavits, if any, which it believes demonstrate the absence of a genuine issue of material fact. Celotex Corp. v. Catrett, 477 U.S. 317, 323, 106 S.Ct. 2548, 2550, 91 L.Ed.2d 265 (1986). The moving party has the burden of showing that there is no genuine issue of material fact and that it is entitled to judgment as a matter of law. Williams v. Adams, 836 F.2d 958, 960 (5th Cir.1988). The burden is not on the movant to produce evidence showing the absence of a genuine issue of material fact. See Int'l Ass'n of Machinists & Aerospace Workers, Lodge No. 2504 v. Intercontinental Mfg. Co., 812 F.2d 219, 222 (5th Cir.1987). Rather, "the plain language of Rule 56(c) mandates the entry of summary judgment, after adequate time for discovery and upon motion, against a party who fails to make a showing sufficient to establish the existence of an element essential to that party's case, and on which that party will bear the burden of proof at trial." Celotex, 477 U.S. at 322, 106 S.Ct. at 2552. "In such a situation, there can be `no genuine issue as to any material fact,' since a complete failure of proof concerning an essential element of the nonmoving party's case necessarily renders all other facts immaterial." Id. at 323, 106 S.Ct. at 2552.

Once the movant carries this burden, the burden shifts to the nonmovant to show that summary judgment should not be granted. Id. at 324, 106 S.Ct. at 2553. A party opposing a properly supported motion for summary judgment may not rest upon mere allegations or denials of his pleadings, but must set forth specific facts showing the existence of a genuine issue for trial. Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 257, 106 S.Ct. 2505, 2514, 91 L.Ed.2d 202 (1986). Assertions unsupported by facts are insufficient to oppose a motion for summary judgment. Williams v. Weber Management Serv., 839 F.2d 1039, 1041 (5th Cir.1987). There must be evidence giving rise to reasonable inferences that support the nonmoving party's position. St. Amant v. Benoit, 806 F.2d 1294, 1297 (5th Cir.1987). Mere allegations are insufficient. Lodge Hall Music, Inc. v. Waco Wrangler Club, Inc., 831 F.2d 77, 79 (5th Cir.1987).

In considering a motion for summary judgment, the court must view the evidence through the prism of the substantive evidentiary burden. Anderson, 477 U.S. at 254, 106 S.Ct. at 2513. The evidence of the nonmovant is to be believed, and all justifiable inferences are to be drawn in his favor. Id. at 255, 106 S.Ct. at 2513. The inferences to be drawn from the underlying facts must be viewed in the light most favorable to the party opposing the motion. Matsushita Elec. Ind. Co. v. Zenith Radio Corp., 475 U.S. 574, 587, 106 S.Ct. 1348, 1356, 89 L.Ed.2d 538 (1986). Summary judgment is inappropriate if the evidence before the court, viewed as a whole, could lead to different factual findings and conclusions. Honore v. Douglas, 833 F.2d 565, 567 (5th Cir.1987). Summary judgment is appropriate, however, once the movant has met its burden, "where the record as a whole could not lead a rational trier of fact to find for the non-moving party." Matsushita, 475 U.S. at 587, 106 S.Ct. at 1356.

B. Section 1981 Claim.

1. Conduct Occurring Prior to Amendment of Section 1981.

Before assessing whether Ulrich has met his summary judgment burden with respect to his § 1981 claims, it must first be determined which of his claims are properly before the court. Prior to the enactment of the Civil Rights Act of 1991 ("CRA"), § 1981 provided, in pertinent part that "all persons within the jurisdiction of the United States shall have the same right in every State and Territory to make and enforce contracts ... as is enjoyed by white citizens...." 42 U.S.C. § 1981 (1982).¹ The pre-amendment § 1981 protected only the right to enter into...