Anderson v. Royal Crest Dairy, Inc.

253 F. Supp. 2d 1136, 30 Employee Benefits Cas. (BNA) 1811, 2003 U.S. Dist. LEXIS 6773
CourtDistrict Court, D. Colorado
DecidedMarch 17, 2003
DocketCIV.A.01-K-2096
StatusPublished

This text of 253 F. Supp. 2d 1136 (Anderson v. Royal Crest Dairy, Inc.) is published on Counsel Stack Legal Research, covering District Court, D. Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Anderson v. Royal Crest Dairy, Inc., 253 F. Supp. 2d 1136, 30 Employee Benefits Cas. (BNA) 1811, 2003 U.S. Dist. LEXIS 6773 (D. Colo. 2003).

Opinion

MEMORANDUM OPINION AND ORDER

KANE, District Judge.

Plaintiff Bradley Anderson suffered a back injury on the job and was terminated from his employment with Defendant Royal Crest Dairy (“Royal Crest”) when he could not return to work four months later. His termination, however, occurred twelve days after he hired an attorney to process his worker’s compensation claim and Anderson claims it was retaliatory. Anderson’s termination, moreover, resulted in the cancellation of his employer-funded health insurance benefits and, for a period of five weeks before those benefits could be reinstated under COBRA, 1 *1138 Anderson’s wife, who suffered from multiple sclerosis, could not fill numerous prescriptions or undergo necessary tests and monitoring for her treatment. The Andersons filed suit, asserting a federal claim for COBRA notice violations in addition to a state law claim for wrongful termination.

The matter is before me on a series of piecemeal Motions for Partial Summary Judgment and for Dismissal of Claims filed by Defendant Royal Crest. The gist of Defendant’s Motions are that (1) Royal Crest is entitled to summary judgment on both the ERISA/COBRA claim and the claim for wrongful termination or (2) in the alternative, that Anderson’s wrongful termination claim should be dismissed “to the extent it is premised on the averment that Anderson was terminated for hiring an attorney,” on grounds Colorado law does not recognize such a cause of action. I grant the Motions with respect to the COBRA/ERISA claim, but deny them on the claim for wrongful termination.

I. Background.

Plaintiffs Bradley and Martie Anderson are citizens of the United States and reside in Elbert County, Colorado. Defendant Royal Crest is a Colorado corporation doing business in the City and County of Denver. Royal Crest hired Mr. Anderson as a route delivery driver on July 8, 1996.

In the early morning hours of November 1, 2000, Mr. Anderson injured his back while loading his truck. He was 85 years old at the time. Anderson immediately notified Royal Crest, returned his truck to the dairy and completed an injury report. Anderson notified Royal Crest’s Risk Manager Asa Ratliff, who instructed him to go home and “use simple remedies, ice, stretches, things of that nature, before actually filing a comp claim.” (Am. Br. Opp’n Def.’s Mot. Partial Summ. J. (ERISA) Ex. 2, Ratliff Dep. at 5.) Ratliff also completed a workers’ compensation report. (Def.’s Mot. Partial Summary J. (Wrongful Termination) Ex. B, Employer’s First Report of Injury dated Nov. 8, 2000.)

Anderson was referred to Royal Crest’s workers’ compensation physicians’ group later that same day, and was seen by Dr. Clarence Henke of the Rocky Mountain Medical Group. (Def.’s Mot. Partial Summ. J. (Wrongful Termination) Ex. A, Anderson Dep. at 15.) Dr. Henke diagnosed Mr. Anderson with a “strained/ sprained lumbar” with a “locked facette” and prescribed medications and physical therapy. (Comply 9.) On November 15, 2001, the workers’ compensation insurance carrier admitted liability for temporary total disability benefits at a rate of $410.00 per week. (Def.’s Mot. Partial Summ. J.(Wrongful Termination) Ex. C, General Admission of Liability.) As a result of his injury, Anderson was completely unable to work for the months of November, December and part of January. During this time Anderson continued to undergo treatment — which included selective nerve root blocks, a general lumbar translaminar epidural and physical therapy — and substantial medication for his pain. (Def.’s Mot. Partial Summ. J. (Wrongful Termination) Ex. D, Dr. Lockwood Evaluation dated Jan. 11, 2001.)

In mid-January, Anderson was released for light duty/sedentary work 3-4 hours per day. He returned to work on January 15, 2001, but experienced severe back pain and cramping. He was excused from work for another week on January 16. *1139 Anderson saw Dr. Lockwood for a followup visit on January 25, 2001. Dr. Lockwood expressed concern that the injections and nerve blocks were not relieving Anderson’s pain (noting one, in fact, seemed to exacerbate it) and discussed with Anderson the options of other pain management paradigms or surgical intervention. (Def.’s Mot. Partial Summ. J. (Wrongful Termination) Ex J, Dr. Lockwood Evaluation.) Dr. Lockwood expressed a desire that Anderson continue in a work environment, however, stating Anderson could work in a sedentary capacity for three hours a day. (Id.) Anderson did not, however, return to work.

On February 16, 2001, Anderson retained an attorney to process his workers’ compensation claim. On February 20, 2001, attorney Peter H. McGuire entered his appearance with the Division of Workers Compensation and wrote to Royal Crest, enclosing a release signed by Mr. Anderson. On February 22, 2001, Ratliff faxed the letter to Chad Saunders, Claims Adjuster with Liberty Mutual, in order to inform the workers’ compensation insurance carrier that Mr. Anderson had retained counsel. The next day, February 23, 2001, Ratliff telephoned Anderson and told him that he would be receiving termination papers. (Am. Br. Opp’n Def.’s Mot. Partial Summ. J. (ERISA) Ex. 2, Ratliff Dep. at 19-20.) According to Anderson, Ratliff was upset and yelled at him on the telephone for retaining counsel. Ratliff confirmed his feelings were “hurt” and “upset” that Anderson had retained an attorney. (Ratliff Dep. at 18-19.) Citing conversations with both Anderson and his treating doctors, Ratliff in a letter dated February 28, 2001, stated it was “apparent” Anderson would not be able to return to his “full duties as a route delivery person” and notified Anderson of the company’s decision to terminate his employment. (Id. Ex. L, Letter from Ratliff to Anderson.) Ratliff further asked that “Anderson reimburse Royal Crest for Insurance and dental coverage’s [sic] for the months of December 2000, January 2001 and February 2001.” Id.

At the time of Mr. Anderson’s termination, Royal Crest was aware that Martie Anderson suffered from multiple sclerosis and depended on her husband’s employee health insurance for her treatment and care. (Ratliff Dep. at 36.) According to Royal Crest, Mr. Anderson’s termination constituted a “qualifying event” that resulted in a cancellation of his health insurance. The Andersons did not discover the cancellation, however, until March 13, 2001, when they attempted to refill Mrs. Anderson’s prescriptions and were told by the pharmacist that she no longer had insurance coverage. (Am. Br. Opp’n Def.’s Mot. Partial Summ. J. (ERISA), Martie Anderson Aff. ¶ 4.) Mrs. Anderson immediately contacted Royal Crest’s benefits manager, Keith Gaertner, explaining that she had been unable to fill necessary prescriptions and begging him to reinstate the insurance. (Am. Br. Opp’n Def.’s Mot. Partial Summ. J. (ERISA), Gaertner Dep. at 14.) Gaertner could detect urgency in Mrs. Anderson’s voice and assumed this was due to her multiple sclerosis. (Id. at 15.) Mrs. Anderson telephoned Gaertner several times over the next few days, explaining the urgency of her receiving needed tests and asking when she and her husband could anticipate receiving a Notice of Continuing Coverage, i.e. COBRA, letter from Royal Crest. (Am. Br. Opp’n Def.’s Mot. Partial Summ. J. (ERISA), Martie Anderson Aff. f 7-8.) Gaertner assured Mrs.

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253 F. Supp. 2d 1136, 30 Employee Benefits Cas. (BNA) 1811, 2003 U.S. Dist. LEXIS 6773, Counsel Stack Legal Research, https://law.counselstack.com/opinion/anderson-v-royal-crest-dairy-inc-cod-2003.