AlixPartners, LLP v. Brewington

133 F. Supp. 3d 947, 2015 WL 5273878
CourtDistrict Court, E.D. Michigan
DecidedSeptember 9, 2015
DocketNo. 14-CV-14942
StatusPublished
Cited by8 cases

This text of 133 F. Supp. 3d 947 (AlixPartners, LLP v. Brewington) is published on Counsel Stack Legal Research, covering District Court, E.D. Michigan primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
AlixPartners, LLP v. Brewington, 133 F. Supp. 3d 947, 2015 WL 5273878 (E.D. Mich. 2015).

Opinion

AMENDED OPINION AND ORDER DENYING DEFENDANT’S MOTION TO DISMISS FOR LACK OF PERSONAL JURISDICTION1

Gerald E. Rosen, Chief Judge, United States District Court

I. INTRODUCTION

On December 30, 2014, Plaintiff Alix-Partners LLP, a global consulting and business advisory firm organized under the laws of the state of Delaware,1 filed this declaratory judgment action pursuant to 28 U.S.C. § 2201 against Defendant Charles Brewington, a Texas resident and former employee of Plaintiff. The action was precipitated by Defendant’s demand for class action arbitration against Plaintiff based on allegations of Plaintiff’s racial discrimination, which Defendant filed with the American Arbitration Association (“AAA”) on November 24, 2014. Plaintiff claims that the arbitration clause in its employment agreement with Defendant made no mention of a right to pursue an arbitration claim on behalf of a class, and accordingly Plaintiff seeks an order precluding Defendant from pursuing its claim via arbitration. Currently before the Court is Defendant’s Motion to Dismiss for lack of personal jurisdiction, improper venue, and, alternatively, for change of venue. Dkt # 7.

Having reviewed and considered the parties’ briefs and supporting documents and the entire record of this matter, the Court has determined that the pertinent allegations and legal arguments are sufficiently addressed in these materials and that oral argument would not assist in the resolution of this motion. Accordingly, the Court will decide the parties’ motions “on the briefs.” See L.R. 7.1(f)(2). This Opinion and Order sets forth the Court’s ruling.

II. PERTINENT FACTS

Defendant was hired by Plaintiff in April 2013 as a recruiter for Plaintiffs Dallas, [952]*952Texas office. As part of his hiring, Defendant signed an Employment Agreement which, as relevant here, required legal actions relating to any termination of his employment to be brought before the American Arbitration Association (“AAA”), rather than a state or federal court, for resolution. The relevant portion of the Agreement reads:

Except for any action by the Company seeking any injunctive relief or other equitable relief against you, any dispute arising out of or in connection with any aspect of this Agreement and/or any termination of employment thereunder (including by way of example but not limitation, disputes concerning alleged civil rights violations, employment discrimination of any kind including on the basis of any protected category under federal or state law, retaliation, wrongful discharge, entitlement to overtime pay, sexual harassment, breach of express or implied contract or tort), shall be exclusively subject to binding arbitration under the National Rules for the Resolution of Employment Disputes of the American Arbitration Association (“AAA”), provided all substantive rights and remedies including any applicable damages provided under any pertinent statute(s) related to such claims, the right to representation by counsel, a neutral arbitrator, a reasonable opportunity for discovery, a fair arbitral hearing, a written arbitral award containing findings of facts and conclusions of law, and any other provision required by law, shall be available in the AAA forum. Any decision of the arbitrator shall be final and binding as to both parties, and enforceable by any court of competent jurisdiction. Nothing contained herein shall prohibit you from filing any claim or charge with any appropriate governmental agency. You hereby waive your right to adjudicate claims against the Company in court and opt instead to arbitrate any such claims.

Employment Agreement, Dkt. # 9, Ex. A, at 4. At the time of Defendant’s hiring, both parties signed the Agreement without dispute.

As relevant here, Defendant’s hiring occurred between Plaintiffs Southfield, Michigan office and Defendant’s Texas residence. Defendant alleges, and Plaintiff does not appear to dispute, that Defendant’s three in-person pre-employment interviews were conducted by Plaintiffs employees in its Dallas office. Brewington Deck, Dkt. # 7-1, ¶ 2 (describing interviews with Joel Bines, Jay Marshall, and Caralyn Markets). However, Plaintiff notes that, as part of the evaluation process, Defendant spoke on the telephone with Dr. Leslie Evola, an AlixPartners employee located in Michigan, who then prepared a summary report of Defendant’s interviews. Severson Deck, Dkt. # 9-1, ¶ 8. Following the successful completion of the interview process, Defendant signed the Employment Agreement in Texas, and sent it to Plaintiffs offices in Michigan, where it was received and processed by Plaintiffs human resources department. Id ¶¶ 9-11.2 In addition to the arbitration provision quoted above, the Employment Agreement signed by Defendant also contained a Michigan choice-of-law provision, stating that “the Agreement and its performance [is to] be construed and interpreted in accordance with the law of the State of Michigan.” Employment Agreement, at 4.

After being hired and completing his employment paperwork, Defendant began work on April 15, 2013. Brewington Deck, Dkt. # 7-1, ¶ 8. On April 22 and 23, 2013, Defendant attended a mandatory orientation session in Plaintiffs Michigan office, [953]*953along with several other new employees. Orientation e-mail, Dkt. #9-1; Brewing-ton Deck, ¶ 3. Defendant then returned to Texas and worked full-time from Plaintiffs Dallas office. Brewington Deck, ¶ 3. While working in the Dallas office, however, Defendant maintained substantial connection to Plaintiffs Michigan office. Defendant was assigned primarily to recruit for Plaintiffs Financial Advisory Services (“FAS”) group. Diefenbacher Deck, ¶ 5. As part of his duties, he worked directly with Patricia Diefenbacher, Director of Human Resources for AlixPartners, who worked in the Michigan office. Id. ¶¶ 2, 5. Defendant communicated with Diefenbacher “on many occasions” via both e-mail and telephone as Defendant recruited employees for various AlixPartners offices.

Defendant also worked with Ray Kantor, Plaintiffs Internal Audit Director, who also works in the Michigan office. Kantor Deck ¶ 2-3. According to Kantor, “Brewington actively worked to recruit candidates to fill internal audit positions for which I have responsibility as Internal Audit Director in AlixPartners’ Southfield, Michigan office.” Id. ¶ 3.3 A September 6, 2013 e-mail sent by Defendant to Kantor provides substantial evidence for this statement. In the email, Defendant provided for Kantor a list of six individuals that Defendant had identified for Plaintiffs “Detroit Internal Audit Manager” position. September 6, 2013 e-mail, Dkt. # 9-2, Ex. A. Defendant further stated, “In addition, I’ve reached out to an additional 55+ Audit Staff, Seniors, and light Managers in the Detroit Metro area and will continue networking with them based on their availability to connect ... I’m on vacation today, however the activity will continue once I return next week.” Id. In a November 18, 2013 follow-up e-mail from Defendant to Kantor, Defendant stated, “I believe we’re making strides in the Detroit Internal Audit Manager search ... I believe I’ve connected with close to 50% of the Detroit Audit Big 4 population ... I’ll continue networking with the Detroit/Southfield market.” November 18, 2013 e-mail, Dkt. # 9-3, Ex. A.

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Bluebook (online)
133 F. Supp. 3d 947, 2015 WL 5273878, Counsel Stack Legal Research, https://law.counselstack.com/opinion/alixpartners-llp-v-brewington-mied-2015.