Federal Circuits, 8th Cir. (May 09, 1997)
Docket number: 95-3482
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U.S. Court of Appeals for the 8th Cir. - Chance Management, Inc., a South Dakota Corporation; William A. Sanders, a Wyoming Resident, Plaintiffs-Appellants, v. State of South Dakota; Mark W. Barnett, in His Official Capacity as Attorney General of South Dakota; South Dakota Lottery; Susan Walker, in Her Official Capacity as Executive Director of the South Dakota Lottery; H.I. King, in His Official Capacity as Member of the South Dakota Lottery Commission; Beverly Mccracken, in Her Official Capacity as Member of the South Dakota Lottery Commission; Elaine Emery, in Her Official Capacity as Member of the South Dakota Lottery Commission; Don Bender, in His Official Capacity as Member of the South Dakota Lottery Commission; Burdette Solum, in Her Official Capacity as Member of the South Dakota Lottery Commission; John E. Carmody, Sr., in His Official Capacity as Member of the South Dakota Lottery Commission, Defendants-Appellees., 97 F.3d 1107 (8th Cir. 1996) Inc., a South Dakota Corporation; William A. Sanders, a Wyoming Resident, Plaintiffs-Appellants, v. State of South Dakota; Mark W. Barnett, in His Official Capacity as Attorney General of South Dakota; South Dakota Lottery; Susan Walker, in Her Official Capacity as Executive Director of the South Dakota Lottery; H.I. King, in His Official Capacity as Member of the South Dakota Lottery Commission; Beverly Mccracken, in Her Official Capacity as Member of the South Dakota Lottery Commission; Elaine Emery, in Her Official Capacity as Member of the South Dakota Lottery Commission; Don Bender, in His Official Capacity as Member of the South Dakota Lottery Commission; Burdette Solum, in Her Official Capacity as Member of the South Dakota Lottery Commission; John E. Carmody, Sr., in His Official Capacity as Member of the South Dakota Lottery Commission, Defendants-Appellees.
U.S. Court of Appeals for the 8th Cir. - Charles Pointer v. Home Depot U.S.A. (8th Cir. 2006)
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Denzil Price Marshall, Jr., argued, Jonesboro, AR (Richard D. Alaniz and John K. Linker, on the brief), for appellant/cross-appellee.
Michael R. Rainwater, argued, Little Rock, AR (Phillip J. Duncan and Neil Chamberlin, on the brief), for appellee/cross-appellant.Before BOWMAN, BRIGHT, and LOKEN, Circuit Judges.BOWMAN, Circuit Judge.Nucor-Yamato Steel Company (N.Y.S) appeals from the judgments entered by the District Court on Rebecca Caviness's and Sally Parks's claims that they were subjected to illegal sexual harassment resulting in a hostile environment at the NYS steel plant where they worked. Caviness conditionally cross-appeals, contending that the court erred in granting summary judgment to NYS on her claim of discriminatory failure to hire, and asking us to consider her argument only if NYS prevails on its appeal of the judgment in her favor on her claim of sexual harassment. For the reasons discussed below, we reverse and remand.I.Parks was an employee at NYS's steel plant in Blytheville, Arkansas, from 1988 to 1992. Caviness was a contract employee for NYS in Blytheville from December 1990 to November 1991. Both women brought suit under Title VII, 42 U.S.C. §§ 2000e to 2000e-17, alleging that they were discriminated against on the basis of sex, including suffering cumulative sexual harassment that amounted to a hostile work environment. It is unnecessary for us to get into the details of the allegations of sexual harassment, but suffice it to say that the record is replete with evidence from which a jury could conclude, as it did, that the NYS plant in Blytheville was a decidedly harsh environment for female employees, especially for Caviness and Parks, and that NYS was in violation of Title VII.Before trial, the District Court granted summary judgment to NYS on Caviness's claim of discriminatory failure to hire. A jury heard the remaining claims of both women, acting only in an advisory capacity as to Caviness's claims because the actions she alleged occurred before the federal sex discrimination laws permitted jury trials. The jury found for NYS on Parks's claim of discriminatory failure to promote and the court dismissed that claim with prejudice. (The dismissal has not been appealed and may not be revisited on remand.) The jury found for Parks on her claim of sexual harassment, awarding her $200,000 in compensatory damages and $50,000 in punitive damages. The jury advised judgment for Caviness on her sexual harassment claim and an award of damages in the amount of $51,000. The District Court entered judgment for the plaintiffs in accordance with the jury's determinations.For its appeal, NYS claims the District Court erred in four ways: retroactively applying the Civil Rights Act of 1991; submitting Parks's claim for punitive damages to the jury; giving improper jury instructions; and mishandling, after the verdict, NYS's allegations of juror misconduct. For her conditional cross-appeal, Caviness contends the court erred in granting summary judgment to NYS on her claim of discriminatory failure to hire.II.Title VII of the Civil Rights Act of 1964 was amended by the Civil Rights Act of 1991, Pub.L. 102-166, 105 Stat. 1071. Until November 1991, only equitable remedies were available to victims of discrimination under Title VII. See Landgraf v. USI Film Prods., 511 U.S. 244, 252, 114 S.Ct. 1483, 1490, 128 L.Ed.2d 229 (1994). Section 102 of the 1991 Act, however, now makes it possible for a successful plaintiff "to recover compensatory and punitive damages for certain violations of Title VII." Id. at 247, 114 S.Ct. at 1488; see also 42 U.S.C. 1981a(a) (1994). "Section 102 confers a new right to monetary relief on persons ... who were victims of a hostile work environment but were not constructively discharged, and the novel prospect of damages liability for their employers." Landgraf, 511 U.S. at 283, 114 S.Ct. at 1506. After considering whether the amendments should apply to cases pending on the effective date of the 1991 Act, November 21, 1991, the Supreme Court in Landgraf held that § 102 does not apply retroactively. See id. at 286, 114 S.Ct. at 1508. That is, compensatory and punitive damages are not available to plaintiffs for violations of Title VII occurring before November 21, 1991. NYS argues that § 102 was improperly applied retroactively here. We agree.A.We first consider the $51,000 award to Caviness on her claim of sexual harassment. The jury in this case "advised" a monetary award of $51,000 for damages to Caviness that included, according to the verdict form, pain, suffering, and mental anguish, all decidedly compensatory damages. But all of Caviness's claims arose before November 1991, when she stopped working at NYS, and therefore before compensatory damages were available to plaintiffs in Title VII cases. The District Court nevertheless entered judgment for Caviness in the amount of $51,000 "[p]ursuant to the jury verdicts in these cases," although the court did not specify whether said damages were equitable, compensatory, or punitive. Caviness v. Nucor-Yamato Steel Co., Nos. J-C-92-23, J-C-93-140 (filed Feb. 21, 1995). In its subsequent order denying NYS's motion for new trial, the court circumvented Landgraf 's prohibition against applying § 102 retroactively by recharacterizing the $51,000 in damages awarded to Caviness, finding she was "entitled to backpay as a form of equitable relief." Caviness v. NucorYamato Steel Co., Nos. J-C-92-23, J-C-93-140, Order at 14 (filed Aug. 28, 1995). The court erred.As noted above, the recovery of monetary damages by successful plaintiffs on claims of discrimination under Title VII before the 1991 Act was limited to equitable forms of relief, such as backpay, and the circumstances under which such monetary equitable relief was available were likewise limited. "[E]ven if unlawful discrimination was proved, under prior [pre-November 1991] law a Title VII plaintiff could not recover monetary relief unless the discrimination was also found to have some concrete effect on the plaintiff's employment status, such as a denied promotion, a differential in compensation, or termination." Landgraf, 511 U.S. at 254, 114 S.Ct. at 1491. Sexual harassment occurring before November 1991 ordinarily does not have the sort of concrete economic effect required for the recovery of money damages under Title VII. The exception would be sexual harassment that resulted in constructive discharge, that is, a resignation by the plaintiff that was "a reasonably foreseeable consequence of [the employer's] discriminatory actions." Hukkanen v. International Union of Operating Eng'rs, Hoisting & Portable Local No. 101, 3 F.3d 281, 285 (8th Cir.1993). In that case, backpay (and front pay) would be potential remedies. But in the absence of constructive discharge, a plaintiff subjected to sexual harassment, no matter how egregious, is not "made whole" by the equitable remedy of backpay.Caviness does not allege constructive discharge, but contends on appeal that she was actually discharged by NYS. It is not clear how the alleged actual discharge now becomes not only a part of Caviness's claim of sexual harassment but the justification for an award of damages on that claim. The District Court at trial specifically excluded evidence of Caviness's alleged discriminatory discharge, since she did not raise such a claim in her complaint. She does not appeal the court's evidentiary ruling on her allegations of discharge and cannot now claim that the court's award of "backpay" was based on her actual discharge. Further, NYS received summary judgment on Caviness's claim of failure to hire, so it too was not before the court. Because Caviness proved no "concrete effect on [her] employment status" as the result of the sexual harassment she suffered, she is not entitled to backpay.The $51,000 in backpay awarded to Caviness on her claim of sexual harassment is reversed.B.The next issue is whether compensatory damages were properly awarded Parks on the jury's finding of unlawful sexual harassment. NYS would have us vacate the entire award because some of the harassment complained of occurred before the effective date of the 1991 Act, and the court did not give the jury an instruction or a verdict form requiring it to limit damages to post-Act conduct. We agree that the court erred, but we decline NYS's invitation to vacate Parks's damages in toto and then to leave it at that.We first must consider the argument that NYS did not properly preserve its claim of instructional error. At the instruction conference, counsel for NYS advised the court that "there should be an instruction and a verdict form which distinguishes [sic] between alleged damages after the 1991 Civil Rights Act for Mrs. Parks." Transcript at 1224. Counsel did not, however, give the court a proposed instruction that would have limited damages to post-Act conduct. "In order to properly preserve a claim of instructional error for appellate review, a party is not only required to make a sufficiently precise objection before the district court, but it must also propose an alternate instruction." Kehoe v. Anheuser-Busch, Inc., 96 F.3d 1095, 1104 (8th Cir.1996) (citations omitted). Because NYS did not proffer a proposed limiting instruction, "the claim is waived, and we will reverse only if the district court's instructions constitute plain error." Id. That is, the failure to give an instruction incorporating the Landgraf rule will warrant a new trial only if it is error affecting substantial rights, the error is plain, and the error "seriously affect[s] the fairness, integrity or public reputation of judicial proceedings." Wright v. Nichols, 80 F.3d 1248, 1252 (8th Cir.1996) (quoting United States v. Olano, 507 U.S. 725, 736, 113 S.Ct. 1770, 1779, 123 L.Ed.2d 508 (1993) (quoted case omitted)) (alteration in Olano ).The instruction that was given was not a correct statement of the law under Landgraf, because Parks cannot recover compensatory damages for pre-November 1991 harassment. See Polacco v. Curators of the Univ. of Mo., 37 F.3d 366, 370 (8th Cir.1994). There is no question that this is error and, because Landgraf was decided well before the trial in this case and its holding as to retroactivity is unequivocal, the error is plain. But we will not correct even plain error on appeal unless it "prejudiced [NYS], either specifically or presumptively." Olano, 507 U.S. at 739, 113 S.Ct. at 1780. We hold that NYS was specifically prejudiced by the erroneous instruction.Parks had an indisputable "straddle" claim--the harassment began in 1988 and continued until Parks terminated her employment with NYS in 1992. The jury was not instructed that it could award damages only for NYS's illegal actions occurring after November 21, 1991, and the verdict form did not require the jury to limit damages based on the date of the unlawful conduct. There is no way for anyone to determine, without pure speculation, what part of the $200,000 in compensatory damages awarded to Parks is for post-November 1991 illegal activity and thus may be sustainable. We think, given the circumstances of this case, that the failure to give a limiting instruction not only was plain error but was so clearly prejudicial that it must be corrected. Accordingly, we vacate the award of compensatory damages and remand for a new trial.C.Parks also was awarded $50,000 in punitive damages, which NYS challenges. Punitive damages have been available since the effective date of the 1991 Act to the victim of unlawful sexual harassment who "demonstrates that the [employer] engaged in a discriminatory practice or discriminatory practices with malice or with reckless indifference to the federally protected rights of an aggrieved individual." 42 U.S.C. 1981a(b)(1) (1994).Parks's punitive damages award suffers from the same instructional error as her compensatory damages award with regard to the "straddle" nature of the claim. Some of the actions allegedly warranting an award of punitive damages occurred before the effective date of the 1991 Act, some after. No limiting instruction was given to the jury, and none was proffered by NYS. Nevertheless, for the reasons discussed above, this was plain error requiring reversal.1 The award of punitive damages to Parks is vacated. Because a new trial will be necessary, and the evidence adduced at the new trial may differ from that adduced at the first trial, we do not reach NYS's claim that Parks's evidence was insufficient to warrant the submission of her punitive damages claim to the jury.D.The question remains whether on remand there should be a new trial on liability, or only on damages. First, we note that the finding of liability on Caviness's sexual harassment claim stands, but because that liability was entirely for pre-1991 Act conduct, the question of damages shall not be revisited on remand. As a matter of law, Caviness is not entitled to recover damages on this claim. With respect to Parks's "straddle" claim, we conclude that the liability and damages issues are so factually intertwined that the new trial must address both issues. See Hallberg v. Brasher, 679 F.2d 751, 758 (8th Cir.1982); see also American Road Equip. Co. v. Extrusions, Inc., 29 F.3d 341, 345 n. 3 (8th Cir.1994). Accordingly, as to Parks we vacate the judgment of the District Court in its entirety.III.NYS raises several additional issues in its appeal. Because we are remanding this case for a new trial, the challenge to the District Court's handling of allegations of improper third-party contact with a juror is moot. We will address briefly the remaining contentions, however, all of which concern instructional error that may reappear in the new trial. Having considered the claims of error, we offer these thoughts.The challenged instruction is the verdict director for the plaintiffs' sexual harassment claims. It seeks to define the elements of a Title VII claim for sexual harassment resulting in a hostile work environment.2 Instruction 16 was read to the jury as follows:Your verdict must be for the Plaintiff Sally Parks on her sexual harassment claim and your verdict must be for the Plaintiff Rebecca Caviness on her sexual harassment claim, if all of the following elements have been proved by a preponderance of the evidence:First, that Plaintiff was subject to a sexually hostile work environment, including a lack of bathroom facilities, sexual jokes and innuendos, demeaning pictures and posters, vulgar language on the radio, et cetera;Second, that such conduct was sufficiently severe or pervasive that a reasonable person in Plaintiff's circumstances would find the work environment to be hostile or abusive as to alter Plaintiff's conditions of employment;Third, based upon such conduct, Plaintiff perceived her work environment to be hostile or abusive; andFourth, that the Defendant, Nucor-Yamato Steel Company, knew or should have known of the conduct to which Plaintiff was subjected and that Defendant failed to take appropriate action to end the conduct to which Plaintiff was subjected.If any of the above elements have not been proved by a preponderance of the evidence, your verdict must be for the Defendant and you need not proceed further in considering this claim.You must apply these elements to the facts surrounding each Plaintiff's claims. Your verdict as to one Plaintiff should not affect your verdict as to the other.Transcript at 1232-33.NYS first asserts that the instruction improperly commented on the evidence by enumerating some of the incidents and conditions of employment to which Parks and Caviness claimed to have been subjected.It has long been the rule that "under the Federal practice the trial judge may in his charge comment on the evidence fairly and impartially, more clearly to define the issues and assist the jury in reaching a correct conclusion." Davis v. R.K.O. Radio Pictures, Inc., 191 F.2d 901, 905 (8th Cir.1951); accord United States v. Dunmore, 446 F.2d 1214, 1218 (8th Cir.1971) ("While a federal trial judge is permitted to comment on the evidence and witnesses in his instructions to the jury, he must studiously avoid one-sidedness.") (citations omitted), cert. denied,Try vLex for FREE for 3 days
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