Federal Circuits, 7th Cir. (December 02, 1994)
Docket number: 93-3758
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U.S. Court of Appeals for the 7th Cir. - Production Specialti v. Minsor Syst (7th Cir. 2008)
L. Steven Platt, Arnold & Kadjan, Chicago, IL, for plaintiff-appellee.
Linzey D. Jones, Jr., Scott E. Gross, Sidley & Austin, John W. Norris, Byrdges, Riseborough, Morris, Franke & Miller, Chicago, IL, Steven C. Berry, Franklin, Bigler, Berry & Johnston, Troy, MI, for defendant-appellant.Before WOOD, Jr., CUDAHY and EASTERBROOK, Circuit Judges.CUDAHY, Circuit Judge.This appeal arises from Downes' suit against his former employer, Volkswagen of America (VW), alleging willful age discrimination and retaliation under the Age Discrimination in Employment Act (ADEA), 29 U.S.C. Secs . 621-634. The district court denied VW's motion for summary judgment, holding that, viewing the facts in a light most favorable to Downes, the intake questionnaire Downes filed with the Equal Employment Opportunity Commission (EEOC) satisfied ADEA's charge-filing requirement.1 Subsequently, despite the fact that a jury determined that VW had not acted willfully, it found in favor of Downes and awarded him back pay of $108,500, an amount roughly equivalent to Downes' salary and benefits for one year beyond his severance pay period. In addition, the court awarded three years' front pay, prejudgment interest and reimbursement for certain costs (including attorney travel expenses). The court subsequently denied VW's motion for relief from judgment, j.n.o.v. or a new trial. We affirm in part and reverse in part.I.Downes, a sixty-year-old white male, worked for VW for over 25 years, holding various sales and management positions and ascending eventually to the rank of Midwest Zone Manager. During his tenure, Downes received substantial pay raises, regular performance bonuses and above average performance evaluations. The record reflects that Downes never received any negative feedback on his performance prior to June of 1989. On June 22, 1989, however, Downes was informed by VW vice president Bill Young that he would be terminated and replaced by an employee fifteen years younger. The terms of the termination made it effective one year later, on July 1, 1990, at which time Downes' one year of severance pay would commence. Until then, Downes could remain at VW to work as a consultant on "special projects."Despite VW's policy of giving a written explanation of the grounds for an employee's termination, Young did not, according to Downes, offer any specific reasons why VW decided to demote and terminate him. Tr. 116-17, 456-57, 459-62. In particular, Downes testified that he was not, at the time he was informed of VW's move, also told that he was being terminated as part of any workforce reduction. Tr. 204. Moreover, Young did not respond to Downes' suggestion that VW wanted to terminate him because of his age. Tr. 117. After repeated requests, however, Downes did receive a written explanation for VW's actions, which purportedly resulted from "a corporate-wide reduction in force and a pressing need to improve performance in the field to insure [VW's] continued presence in the automotive marketplace." Pl's Ex. 151. But this general explanation came nearly a year after Downes' demotion and VW offered no further written explanation until this suit was commenced. Testimony by both Downes and Young suggests that the standards used in deciding to terminate Downes varied from those VW historically had used and, in any event, there is no evidence that the termination standards were ever communicated to Downes prior to June of 1989. Tr. 159-69, 170, 395-96, 404-05, 485-87.During the months following Downes' demotion and notice of termination, he spoke frequently with Young about continuing with the company. Tr. 127-28, 131-32. As the district court noted, the general tone of these conversations focused on the reasons for the removal of Downes as Midwest Zone Manager, his new responsibilities as a consultant and the possibility of extending his employment with VW. Downes testified that Young told him that Young was quite certain that he could have VW extend Downes' employment. Tr. 131. Ultimately, however, Young informed Downes that Guy Mollet, a VW personnel director, had disapproved the request. Tr. 131, 425-26. Downes then contacted Mollet and met with him in April of 1990 to discuss the reasons for his termination, at which time Mollet commented that "[VW] is a young company." Tr. 132. Downes persuaded Mollet to reconsider but, on April 11, 1990, Mollet told Downes that VW would not extend his employment. Id. at 133. VW's workforce reduction and restructuring ultimately led to the elimination of three Zone Manager positions. However, the record (1) indicates that Young did not know when, precisely, the three Zone Manager positions were eliminated, ROA Doc. 150--Weidman at 71; (2) includes evidence that at least one of the three zone managers was not fired when his zone was eliminated, Joint Ex. 15; and (3) includes evidence that Downes' old position of Midwest Zone Manager continued in existence through the time of trial, Tr. 276-78, 288, 294, 297; ROA Doc. 150--Weidman at 5, 12, 73.Downes contends, based in part on Mollet's "young company" remark and the comments of another personnel director, that VW terminated him because of his age.2 VW claims that Young did not involve Mollet and the other personnel director in the decision to terminate Downes, but there appears to be substantial evidence to the contrary.3 Moreover, VW contends that application of the new performance standards indicated that Downes had an aloof and dictatorial management style, which posed a barrier to VW's new, customer-oriented approach to business.In April 17, 1990, Downes completed a form labelled "Intake Questionnaire" for the EEOC. He told the agency that he had asked VW for an additional year of paid employment but there is some dispute as to whether Downes told the intake officer that he would return to file a "Charge of Discrimination" form if VW denied this request. When his negotiations for one extra year of employment proved unsuccessful, Downes returned to the EEOC, on July 26, 1990, to file an age discrimination charge form. The EEOC then notified VW that Downes had filed an age discrimination charge. The charge eventually formed the basis for a three-count complaint filed in district court. The complaint alleged that VW discriminated against Downes when he was relieved of his duties as Midwest Zone Manager (Count I); that VW retaliated against Downes for filing a discrimination charge in September 1990 when it ordered him to vacate his office (Count II); and that VW's conduct was willful (Count III). Other facts will be related as the need arises.II.A. Denial of Summary JudgmentVW based its summary judgment motion entirely on the contention that, since Downes did not file an age discrimination charge form until July of 1990, he failed to file a "charge" of age discrimination within the 300-day ADEA limit. See 29 U.S.C. Sec . 626(d)(2). The trial court denied that motion because it determined that Downes' EEOC intake questionnaire constituted an age discrimination charge.4 On appeal, VW contends that the court erred both in denying the motion and by "precluding" it from presenting evidence that Downes' questionnaire did not constitute a charge.VW's argument that it was "precluded" from presenting evidence is without merit. The district court denied VW's motion for summary judgment, correctly "reading the facts in a light most favorable to the party opposing summary judgment." Br. Aplt.-App. A at 9. That decision did not necessarily prevent VW from presenting evidence at trial. However, despite VW's assertion that it possessed evidence relevant to whether Downes' questionnaire constituted a charge, it made no effective effort to present this evidence to the trier of fact.5 Because VW neither attempted to present evidence, nor objected at an appropriate time to any exclusion of evidence on this issue, it has waived its right to raise this issue on appeal. See Heller v. Equitable Life Assurance Society of the United States, 833 F.2d 1253, 1261 (7th Cir.1987) ("if a party fails to press an argument before the district court, he waives the right to present that argument on appeal").VW also contends that the district court erred as a matter of law in denying its motion for summary judgment. This court reviews denials of summary judgment de novo. Martin v. Garman Construction Co., 945 F.2d 1000, 1003 (7th Cir.1991). We have declined to interpret the charge-filing requirement of Sec. 626(d)(2) in a way that would hold persons to elaborate pleading requirements or that would let the form of the purported charge prevail over its substance. Steffen v. Meridian Life Ins. Co., 859 F.2d 534, 542-44 (7th Cir.1988) (holding that intake questionnaire nonetheless constituted a "charge" under ADEA); see also Philbin v. General Elec. Capital Auto Lease, Inc., 929 F.2d 321, 324-25 (7th Cir.1991). Rather, we have construed Sec. 626(d)(2) so as to effect the broad remedial purposes of the Act. "The purpose of the charge-filing requirement is to provide the EEOC with sufficient information to notify an employer that it has been charged with discrimination and to provide the EEOC with the opportunity to investigate the alleged unlawful practice as well as to provide the EEOC with the opportunity to eliminate any unlawful practice through informal conciliation." Steffen, 859 F.2d at 542. In order to constitute a charge, notice to the EEOC must be of a kind that would convince a reasonable person that the plaintiff manifested an intent to activate the Act's machinery. Id. In assessing whether the plaintiff manifested such intent, the district court may consider, inter alia, whether the questionnaire is precise enough to identify the parties and generally describe the complained-of practices and whether the information in the questionnaire was subsequently used to complete the formal charge. Philbin, 929 F.2d at 324; Steffen, 859 F.2d at 542-44. Further, while it is relevant that the EEOC treated the questionnaire as a charge, we have also held that inaction by the EEOC should not, for time limit purposes, bar an ADEA suit. Steffen, 859 F.2d at 542-44.Here, the EEOC failed to assign a charge number to Downes' case, process his charge, investigate his allegations or notify VW. Moreover, the intake officer made a written notation that Downes would return to file a charge if VW refused Downes' counterproposal that VW extend his employment. ROA Doc. 22--Ex. C (Ex. 2). However, the intake officer could not recall whether Downes had actually said that he would return or that he did not want the EEOC to act immediately. The intake officer also acknowledged that people who fill out intake questionnaires generally intend to file discrimination complaints. Bruce Dep. 9, 17. Downes' deposition indicates that he believed he had done everything possible to commence an action against VW, and he denied telling the intake officer that he would complete filing a charge only if VW refused a counteroffer. Downes Dep. at 199-203. His efforts were sufficient to induce the intake officer in his interview notes, to occasionally refer to Downes as a "CP" or "charging party." ROA Doc. 22--Ex. C at 7-8. The information that Downes provided on the intake questionnaire identified himself and VW and adequately alleged VW's discriminatory acts against him. Indeed, this information was substantially the same as that Downes provided on the "charge of discrimination" form, which was concededly a "charge" under the Act. Taking the facts in a light most favorable to Downes, a reasonable person could conclude that Downes manifested an intent to activate the Act's machinery. The EEOC's failure to understand and to act upon Downes' intent--while tending to argue against finding that the questionnaire was a charge--are not, under Steffen, conclusive.6 Since we hold that the district court correctly concluded that the intake questionnaire constituted a charge, we need not consider Downes' argument that equitable principles also provide support for the denial of summary judgment. VW's motion for summary judgment was properly denied.B. Denial of VW's Post-Trial MotionAfter the jury verdict in favor of Downes, VW moved for judgment as a matter of law or, in the alternative, for a new trial. In the same motion, VW also moved for relief from the judgment. VW based all three aspects of its motion on the same four grounds: that the verdict was against the great weight of the evidence; that the verdict and jury award were inconsistent; that the verdict was procured through fraud; and that the action was barred by the statute of limitations. The district court rejected the consolidated motions in full.With respect to the denial of j.n.o.v., we review the district court's ruling de novo. Aungst v. Westinghouse Elec. Corp., 937 F.2d 1216, 1219 (7th Cir.1991), criticized on other grounds, Oxman v. WLS-TV, 12 F.3d 652, 657 (7th Cir.1993). This requires us to answer at least two questions. First, we must determine whether the arguments contained in the motion were properly preserved in motions for directed verdict. Fed.R.Civ.P. 50(b). Second, we must determine whether there was sufficient evidence for a reasonable jury to find that age was a determining factor in Downes' termination. Perfetti v. First Nat'l Bank of Chicago, 950 F.2d 449, 450 (7th Cir.1991), cert. denied, --- U.S. ----, 112 S.Ct. 2995, 120 L.Ed.2d 871 (1992). The evidence must have been substantial--a mere scintilla will not suffice. Id. Federal Rule of Civil Procedure 50 requires that a directed verdict motion must be made at the close of all evidence. In the past, this and other courts have not applied this rule rigidly, especially where a directed verdict motion was made at the close of the plaintiff's case and no prejudice has resulted to the nonmoving party from the failure to renew. See, e.g., McKinnon v. City of Berwyn, 750 F.2d 1383, 1389-90 (7th Cir.1984) (citing cases), questioned on other grounds, Skelton v. General Motors Corp., 860 F.2d 250, 257 (7th Cir.1988); see also 9 Charles A. Wright & Arthur R. Miller, Federal Practice and Procedure Sec. 2537 (1971). However, Rule 50 was reevaluated and amended in 1991. At that time the Advisory Committee made clear that Rule 50 deliberately "retain[ed] the requirement that a motion for judgment be made prior to the close of the trial, subject to renewal after a jury verdict has been rendered." Fed.R.Civ.P. 50, Notes of Advisory Committee on Rules, 1991 Amendment. The Committee had the opportunity to change the requirements of Rule 50 in the 1991 amendments, and declined to do so. Therefore, we follow the plain language of the Rule and affirm the district court's conclusion that VW was precluded from seeking j.n.o.v. because it failed to renew its directed verdict motion at the close of all the evidence.Even had VW renewed its directed verdict motion at the end of the trial, however, a decision on the merits would yield the same result. In reviewing the sufficiency of evidence to support a jury verdict, we review the record as a whole. Castleman v. Acme Boot Co., 959 F.2d 1417, 1420 (7th Cir.1992). Downes presented evidence that VW had given him satisfactory performance evaluations and consistent pay raises and that he was terminated based, purportedly, on new performance standards of which he had virtually no notice prior to litigation. In addition, VW employees made comments to him at least suggesting that he was terminated because of his age. Further, the district court observed, on three separate occasions, that the evidence presented by Downes was "substantial." Br. Aplt.--App. A at 14; Br. Aplt.--App. D at 2; Tr. 378. Thus, viewing the record as a whole, the verdict is not against the great weight of the evidence.7Neither was the verdict inconsistent. See United States Equal Employment Opportunity Comm'n v. Century Broadcasting Corp., 957 F.2d 1446, 1455 (7th Cir.1992) (court required to reconcile verdicts whenever possible). VW contends that the verdict on liability was inconsistent with the jury's damage award, since Downes received only one year's back pay when he had asked for considerably more based on willfulness. This argument is without merit. Having heard evidence from both sides, the jury was not obligated to adopt either Downes' view that VW discriminated willfully or VW's view that it did not discriminate at all. Rather, it was entirely proper for the jury to find, as it did, that VW discriminated but did not do so willfully.VW's fraud and statute of limitations arguments also fail. VW's motion contended that Downes knowingly presented an exhibit that falsely represented his performance from 1985 through 1988. Yet, while VW disputed the accuracy of the exhibit and supporting testimony, VW never brought any evidence of fraud to the court's attention, and Downes' testimony on the point appears to be supported by documentary evidence. Further, VW's statute of limitations argument merely recasts its argument--which we have already rejected--that Downes' intake questionnaire was not a timely "charge," as required by the ADEA. Denial of the motion for judgment as a matter of law was proper.Applying similar reasoning to the other two aspects of VW's post-trial motion, we conclude that the district court also properly denied VW a new trial or relief from the judgment. First, the denial of a new trial motion is not subject to review by this court, except under exceptional circumstances showing a clear abuse of discretion. We thus consider whether any reasonable court could have ruled as the district court did here. United States Equal Employment Opportunity Comm'n v. Century Broadcasting Corp., 957 F.2d at 1460. For the reasons already indicated, we answer that question in the affirmative. Consequently, it was proper for the district court to deny VW a new trial. Second, VW failed to present evidence that it should be granted relief from judgment on any of the grounds enumerated in Rule 60. See Fed.R.Civ.P. 60.C. Award of Front PayThe ADEA provides broad remedies to make successful plaintiffs whole. 29 U.S.C. Sec . 626(b); Tennes v. Mass. Dept. of Revenue, 944 F.2d 372, 381 (7th Cir.1991). Although reinstatement is the preferred remedy, it is not always appropriate. McNeil v. Economics Lab., Inc., 800 F.2d 111, 118 (7th Cir.1986), cert. denied,Try vLex for FREE for 3 days
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