THOMAS J. SKOPAYKO,
Plaintiff-Appellant,
vs.
LONGFORD HOMES OF NEW MEXICO, INC.,
Defendant-Appellee.
No. 23,458
New Mexico Court of Appeals
February 25, 2003, FILED
APPEAL FROM THE DISTRICT COURT OF BERNALILLO COUNTY
Robert H. Scott, District Judge
COUNSEL
Daniel M. Faber, Albuquerque, New Mexico for
Plaintiff-Appellant.
Benjamin Silva, Jr., Silva, Rieder
& Maestas, P.A., Albuquerque, New Mexico, for
Defendant-Appellee.
JUDGES
MICHAEL D. BUSTAMANTE, Judge, A. JOSEPH ALARID, Judge, CYNTHIA A. FRY, Judge,
concur
AUTHOR: BUSTAMANTE
MEMORANDUM OPINION
Plaintiff appeals from the dismissal of his claims against Defendant. We
proposed to reverse in part and affirm in part in a notice of proposed summary
disposition. Defendant responded with a timely memorandum in opposition to our
proposal to reverse the dismissal of Plaintiff’s retaliatory discharge claim.
Plaintiff did not file a memorandum in opposition to our proposal to affirm
the dismissal of Plaintiff’s prima facie tort claim. Remaining
unpersuaded, we reverse in part and affirm in part
in accordance with our notice of proposed disposition.
In
his memorandum in opposition, Defendant contends that it was entitled to
summary judgment on Plaintiff’s retaliatory discharge claim. We disagree.
“Summary judgment is proper if there are no genuine issues of material fact
and the movant is entitled to judgment as a matter
of law.” Roth v. Thompson, 113 N.M. 331, 334, 825 P.2d 1241, 1244
(1992); accord Rule 1-056(C) NMRA 2003. The court must resolve all
reasonable inferences in favor of the nonmovant
and must view the pleadings, affidavits, depositions, answers to
interrogatories, and admissions in a light most favorable to a trial on the
merits. See Carrillo v. Rostro, 114 N.M.
607, 615, 845 P.2d 130, 138 (1992). As set forth in
our notice of proposed disposition, we hold that Plaintiff introduced
sufficient evidence to establish a prima facie case on every element of his
retaliatory discharge claim and that Defendant failed to negate Plaintiff’s
prima facie case. See Blauwkamp v.
University of N.M. Hosp., 114 N.M. 228, 232, 836 P.2d 1249, 1253 (Ct. App.
1992) (movant is entitled to summary judgment if
it can show that “the nonmoving party’s evidence is insufficient to establish
an essential element of the nonmoving party’s claim” (quoting
Celotex Corp. v.
Catrett, 477 U.S. 317, 331 (1986)).
To
establish a claim for retaliatory discharge, Plaintiff must prove that: (1) he
was “discharged because he performed an act that public policy has authorized
or encouraged,” (2) the employer either “knew or suspected” that Plaintiff’s
“action involved a protected activity,” and (3) “there was a causal connection
between the employee’s protected actions and the employer’s act of discharging
him.” Weidler v. Big J Enters., Inc.,
1998-NMCA-021, ¶ 23, 124 N.M. 591, 953 P.2d 1089; see
Shovelin v. Central N.M. Elec. Coop., Inc., 115 N.M. 293, 303, 850
P.2d 996, 1006 (1993).
Plaintiff Performed an Act That Public Policy Has Authorized or Encouraged
Plaintiff established a prima facie case that he performed
an act that public policy has authorized or encouraged based upon the
following: Defendant admitted that it had improperly built a retaining wall
behind the homes of Plaintiff’s fiancée, Heather Neil, and others; evidence
indicates, and Defendant has conceded for the purposes of this appeal, that
Defendant’s subcontractor built the retaining wall in violation of the City of
Albuquerque Building Code; the improperly constructed retaining wall presented
a potential danger to the home of Plaintiff’s fiancée and other surrounding
homes; and, Plaintiff contends that he reported the problems with the
retaining wall to the City of Albuquerque. This evidence is sufficient
to establish Plaintiff’s prima facie case that he acted in a way the public
policy would authorize or encourage. See
Weidler, 1998-NMCA-021, ¶ 18 (“if there is a
statute prohibiting certain actions, we view that as a statement of public
policy which may be used to support the common-law [retaliatory discharge]
cause of action”); Gutierrez v. Sundancer
Indian Jewelry, Inc., 117 N.M. 41, 48, 868 P.2d 1266, 1273 (Ct. App. 1993)
(recognizing public policy interest in reporting unsafe working conditions and
protecting an employee who files a claim based on such conditions).
We
are unpersuaded by Defendant’s citation to
numerous cases, both in-state and out-of-state, to
support its contention that Plaintiff did not act in a way to establish a
“clear mandate of public policy.”
Shovelin, 115 N.M. at 303, 850 P.2d at
1006. The cases cited by Defendant involve
retaliatory terminations in response to actions by employees that served to
protect and protest interests that were purely personal or specific to the
company, e.g., Ellis v. El Paso Natural Gas Co., 754 F.2d 884, 885
(10th Cir. 1985) (holding that discharge for invoking company grievance
procedure did not violate public policy); Garrity
v. Overland Sheepskin Co., 1996-NMSC-032, ¶ 13, 121 N.M. 710, 917 P.2d
1382 (holding that discharge for reporting that store manage was allegedly
taking drugs did not state a claim for retaliatory discharge); Francis v.
Memorial General Hosp., 104 N.M. 698, 701, 726 P.2d 852, 855 (1986)
(rejecting employee’s claim that discharge for refusal to follow employer’s
policy regarding floating violate public policy); or to protest statutory
violations that inured to the benefit of the employees, not the public at
large. E.g., Jeffers v. Butler, 762 F. Supp.
308, 310 (D.N.M. 1990) (holding that termination for reporting employer’s
alleged failure to make mandated social security and income tax deductions did
not identify a clearly mandated public policy for purposes of wrongful
discharge); Maxwell v. Ross Hyden Motors, Inc.,
104 N.M. 470, 474, 722 P.2d 1192, 1196 (Ct. App. 1986) (holding that
Unemployment Compensation Law does not establish public policy prohibiting
discharge without just cause). We hold that the code violations
presented by the defective wall established more than a “purely private and
proprietary interest.”
We
also reject Defendant’s contention that Plaintiff’s actions did not constitute
the type of “whistle blowing” protected by the tort of retaliatory discharge.
Even if Defendant was already aware of the problem, Plaintiff’s allegations
that he orally complained to the City to apprize the City of the problem are
sufficient to establish a prima facie case of the requisite protected
activity. We are unaware of any requirement that a complaint
be officially logged or documented before an employee can
be acting in furtherance of public policy. See
Chavez v. Manville Products Corp., 108 N.M. 643, 647-48, 777 P.2d
371-375-76 (1989) (reversing summary judgment in favor of employer and holding
that whether an employee was discharged because he made an internal protest of
the unauthorized use of his name in his employer’s lobbying efforts, in
violation of public policy, was a matter for the jury);
Weidler, 1998-NMCA-021, ¶¶ 7, 11 (upholding jury verdict based
upon employee’s actions of making telephone call to OSHA and making verbal
complaints to his employer after he was laid off.)
Defendant Knew or Suspected of Plaintiff’s Activities Prior to Termination
Plaintiff established a prima facie case that Defendant knew or suspected
Plaintiff’s actions involved a protected activity. Plaintiff introduced
evidence that he was told by a supervisor of
Defendant to “keep my woman’s mouth shut about the situation.” He introduced
evidence that Defendant knew of the building problem, knew that Ms. Neil had
complained about the problem, and knew of the relationship between Plaintiff
and Ms. Neil. Even though Anderson stated that he did not know that Plaintiff
had complained until after he was terminated, and Plaintiff’s immediate
supervisor, Kleist, stated that he did not recall
Plaintiff telling him he had reported the was, this merely renders
Kleist’s knowledge to be a question of fact.
Defendant states that Anderson said he had no knowledge of Plaintiff’s
complaint and that Plaintiff himself testified that he had no evidence that
Defendant knew he had spoken to a City official on the day he
was reprimanded. However, Plaintiff only stated
that he did not know whether Defendant knew of Neil’s written complaint to the
City; he also stated his belief that Defendant knew of Plaintiff’s verbal
complaints to the City. We hold that this evidence is sufficient to establish
a prima facie case of Defendant’s knowledge of Plaintiff’s
reporting activities even if Anderson, not Kleist,
terminated Plaintiff. See Weidler,
1998-NMCA-021, ¶ 34-35 (holding that supervisor’s knowledge of the employee’s
complaint would be imputed to the company even though the supervisor could
only recommend, but not authorize, the employee’s termination). Plaintiff’s
testimony is sufficient evidence that Defendant was aware of or at least
suspected the protected activity. Id. ¶ 25 (recognizing that proof of
actual knowledge is not required as long as there is some evidence that the
employer was aware of or at least suspected the protected activity.)
Defendant seeks to distinguish Weidler
based on the extensive evidence presented in that case establishing the
employer’s knowledge of the employee’s reporting
activities. We disagree however because in Weidler
this Court was affirming a jury verdict in favor of the employee. Therefore,
the opinion contains a summary of all the evidence introduced at trial, not
just the evidence required to establish a prima facie case of knowledge.
Id. ¶¶ 29-37 (reviewing jury verdict based upon sufficiency of the
evidence). We are also not persuaded that Lihosit
v. I&W, Inc., 121 N.M. 455, 913 P.2d 262 (Ct. App. 1996), supports
Defendant’s position because in that case there was no evidence that anyone
employed by the defendant ever knew that the employee refused to work
additional hours because the employee claimed that if he returned to work he
would violate the New Mexico hours of service regulations. Id. At 457,
913 P.2d at 264 (observing that there was no dispute that the independent
agency did not tell anyone associated with the employer that the employee
refused to return to work because he was too tired or because it would violate
legal hour restrictions).
The Causal Connection Between Plaintiff’s Protected
Actions and His Termination
Plaintiff introduced evidence sufficient to establish the third essential
element of his retaliatory discharge claim–a causal connection between his
protected actions and his termination. See Weidler,
1998-NMCA-021, ¶ 29. The following evidence established
Plaintiff’s prima facie case: Plaintiff verbally complained to City officials;
Plaintiff delivered the written complaint of Neil to the City of Albuquerque;
on the same day Plaintiff delivered Neil’s written complaint to the City,
Plaintiff was given a written reprimand that his work was incomplete and
houses were sitting too long before completion; Plaintiff claims to have
finished the allegedly incomplete work; Plaintiff alleged that he had never
been reprimanded in the past; and, Anderson testified that no other employee
had been fired for being behind schedule.
Defendant’s memorandum in opposition persuasively argues that
a finding that Plaintiff was terminated for cause is
supported by the record. However, at the summary judgment stage, it is
only necessary that the record be sufficient to support a finding in favor of
the non-movant. See Carrillo, 114 N.M. at
615, 845 P.2d at 138 (noting that at the summary judgment stage, the court
must resolve all reasonable inferences in favor of the
nonmovant and must view the pleadings, affidavits, depositions, answers
to interrogatories and admissions in a light most favorable to a trial on the
merits.). Even though Defendant has considerable evidence suggesting a
legitimate business reason for terminating Plaintiff, it is not enough to
defeat Plaintiff’s claim at the summary judgment stage.
See Chavez, 108 N.M. at 648, 777 P.2d at 376 (holding that even though
the employer had considerable evidence suggesting a legitimate business reason
for discharging the plaintiff, it was not for the trial court to determine
whether the plaintiff or the employer was correctly stating the facts;
instead, it must be determined by the trier of
fact who can weigh “credibility and resolve contradictory testimony”).
Although some of Plaintiff’s evidence is circumstantial, “it is not to be
expected in cases of this type that a plaintiff would necessarily discover
documentary or other direct evidence in support of his claim.” Chavez,
108 N.M. at 648, 777 P.2d at 376.
For
the reasons set forth above and those contained in our notice of proposed
disposition, we reverse the court’s dismissal of Plaintiff’s retaliatory
discharge claim and remand for trial of this issue. For the same reasons, we
reverse the court’s dismissal of Plaintiff’s claim for punitive damages and
instruct the trial court to allow Plaintiff to present evidence supporting a
punitive damages award when presenting his retaliatory discharge claim. See
Aken v. Plains Elec. Generation & Transmission
Coop., Inc., 2002-NMSC-021, ¶ 21, 132 N.M. 401, 49 P.3d 662;
Rhein v. ADT Automotive, Inc.,
1996-NMSC-066, ¶ 29, 122 N.M. 646, 930 P.2d 783. In accordance with our
proposed disposition, we affirm dismissal of Plaintiff’s prima facie tort
claim and Plaintiff’s claim for punitive damages arising out of the alleged
prima facie tort and we do not decide whether the affidavits of Plaintiff and
Heather Neil were properly struck.
IT IS SO ORDERED.
MICHAEL D. BUSTAMANTE, Judge
A.
JOSEPH ALARID, Judge
CYNTHIA A. FRY, Judge
(505) 830-0405
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