Bolduc v. Amazon.com Inc.

CourtDistrict Court, E.D. Texas
DecidedApril 25, 2024
Docket4:22-cv-00615
StatusUnknown

This text of Bolduc v. Amazon.com Inc. (Bolduc v. Amazon.com Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bolduc v. Amazon.com Inc., (E.D. Tex. 2024).

Opinion

United States District Court EASTERN DISTRICT OF TEXAS SHERMAN DIVISION

CRYSTAL BOLDUC, § § Plaintiff, § Civil Action No. 4:22-CV-00615 § Judge Mazzant v. § § AMAZON.COM INC., § § Defendant. §

MEMORANDUM OPINION AND ORDER Pending before the Court is Defendant Amazon.com, Inc.’s Rule 12(b)(1) and 12(b)(6) Motion to Dismiss Second Amended Complaint (Dkt. #23). Having considered the motion and the relevant pleadings, the Court finds that the motion should be GRANTED in part and DENIED in part. BACKGROUND This case arises out of Defendant Amazon.com, Inc.’s (“Amazon”) Delivery Service Partner (“DSP”) program and Amazon’s diversity grants. Through the DSP program, Amazon contracts with individual companies—called DSPs—to deliver packages within their respective communities (Dkt. #23, Exhibit 1 at p. 2). If accepted into the DSP program, eligible Black/African American, Hispanic/Latinx, and Native American/Indigenous DSP owners receive a monetary stipend of $10,000 pursuant to Amazon’s diversity grant program to assist with startup costs (Dkt. #15 at p. 2; Dkt. #23, Exhibit 1 at p. 4–5). DSPs owned by Whites or Asian Americans, however, receive no such stipend (Dkt. #15 at p. 2). On its website, Amazon says the following about the diversity grants: We’re proud to announce a Diversity Grant to help reduce the barriers to entry for Black, Latinx, and Native American entrepreneurs—a $1 million commitment toward funding startup costs, offering $10,000 for each qualified candidate to build their own businesses in the U.S. With the launch of this grant program, we’re investing in building a future for diverse business owners to serve their communities. If interested, please complete the diversity questions in the Financial Details section of the Application.

(Dkt. #15 at p. 2).

The application process to become a DSP owner is “lengthy, competitive, and highly selective” (Dkt. #23, Exhibit 1 at p. 2). In 2021, Amazon accepted only about 650 out of 21,000 DSP applicants into the DSP Program (Dkt. #23, Exhibit 1 at p. 2). In 2022, Amazon only accepted about 190 applicants out of 12,000 (Dkt. #23, Exhibit 1 at p. 2). Individuals seeking to become DSP owners must first submit an online application that “provides information about previous work experience, leadership, financial health, and community involvement” (Dkt. #23, Exhibit 1 at p. 3). The online application also requires an applicant to select geographically where he or she would want to operate as a DSP owner if ultimately chosen (Dkt. #23, Exhibit 1 at p. 3). In addition, an applicant must provide proof of access to $30,000 in liquid assets and pass a credit check, background screening, and motor vehicle record check (Dkt. #23, Exhibit 1 at p. 3). If an applicant is chosen to proceed further in the DSP selection process, he or she must participate in a recorded screening interview and then a final round of interviews (Dkt. #23, Exhibit 1 at p. 3). Applicants are also required to submit business plans (Dkt. #23, Exhibit 1 at p. 3). If successful in the final interviews, an applicant is given the chance to discuss location and financial details before Amazon makes a final decision (Dkt. #23, Exhibit 1 at p. 3). An applicant can be given an offer to become a DSP owner if he or she selected a geographic preference for which Amazon has an opening (Dkt. #23, Exhibit 1 at p. 3). If there are no such openings, Amazon will ask the applicant to join the Future DSP program until an opening becomes available before giving an offer (Dkt. #23, Exhibit 1 at p. 4). Being in the Future DSP program does not guarantee becoming a DSP

owner (Dkt. #23, Exhibit 1 at p. 4). Plaintiff Crystal Bolduc (“Bolduc”), a forty-four-year-old entrepreneur, desires to participate in Amazon’s DSP program and is “able and ready to apply” (Dkt. #15 at p. 4). Because Bolduc is White, however, she is ineligible to receive the $10,000 stipend that Amazon grants to DSP owners of an eligible race to help offset startup costs (Dkt. #15 at p. 7; Dkt. #23, Exhibit 1 at p. 5). Bolduc alleges that she started her online application for the DSP program but paused the

process because she learned that she would not be eligible for the $10,000 diversity grant (Dkt. #15 at p. 5). She alleges that she will not apply to the DSP program until Amazon eliminates its racially discriminatory policy, “either by extending its $10,000 benefits to white and Asians or curtailing or eliminating the benefit entirely” (Dkt. #15 at p. 7). She alleges that she will immediately apply to the DSP program once Amazon revokes it policy (Dkt. #15 at p. 8). Bolduc further alleges that she is an “exceptionally strong candidate” and that she would be accepted into the DSP program if she were to apply (Dkt. #15 at pp. 5–6). Bolduc alleges that

she has, along with excellent budgeting and financial skills, vast experience working as a manager, dealing with insurance claims, and managing profit-and-loss statements (Dkt. #15 at p. 6). She alleges that she “interviews very well and has never interviewed for a job that she hasn’t received an offer for” (Dkt. #15 at p. 6). She also claims that she is “capable of performing all of the tasks required of a [DSP], such as recruiting, hiring, and coaching a team of hourly employees, managing a fleet of delivery vehicles, and adapting to demand throughout the year” (Dkt. #15 at p. 6). On top of everything else, Bolduc claims that she has access to at least $30,000 in liquid assets, is active in her community, and “would be open to having her business serve as an Amazon [DSP] in any location, although she was especially intrigued by the opening available in Fort Worth when she

initially learned about the DSP program” (Dkt. #15 at pp. 5, 7). On February 21, 2023, Bolduc filed her Second Amended Class-Action Complaint (Dkt. #15) asserting a cause of action under 42 U.S.C. § 1981 for racial discrimination. Specifically, Bolduc claims that Defendant is “violating 42 U.S.C. § 1981 by awarding $10,000 to its Black, Latino, and Native American contractors, while withholding this benefit from its white and Asian contractors” (Dkt. #15 at p. 9). On March 24, 2023, Amazon filed the pending motion to dismiss.

On April 26, 2023, Bolduc filed her Response (Dkt. #27). On May 15, 2023, Amazon filed its Reply (Dkt. #30). LEGAL STANDARD Federal Rule of Civil Procedure 12(b)(1) authorizes dismissal of a case for lack of subject matter jurisdiction when the district court lacks statutory and constitutional power to adjudicate the case. Home Builders Ass’n of Miss., Inc. v. City of Madison, 143 F.3d 1006, 1010 (5th Cir. 1998). If a Rule 12(b)(1) motion is filed in conjunction with other Rule 12 motions, the Court will consider

the jurisdictional attack under Rule 12(b)(1) before addressing any attack on the legal merits. Ramming v. United States, 281 F.3d 158, 161 (5th Cir. 2001). In deciding the motion, the Court may consider “(1) the complaint alone; (2) the complaint supplemented by the undisputed facts evidenced in the record; or (3) the complaint supplemented by undisputed facts plus the [C]ourt’s resolution of disputed facts.” Lane v. Halliburton, 529 F.3d 548, 557 (5th Cir. 2008) (quoting Barrera-Montenegro v.

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