Boxer Property Management Corporation v. Teresa R. Dehnel

Court of Appeals of Texas·Decided July 3, 2024·No. 02-22-00336-CV·Published

Opinion

In the

Court of Appeals

Second Appellate District of Texas at Fort Worth

No. 02-22-00336-CV

BOXER PROPERTY MANAGEMENT CORPORATION, Appellant and Appellee

V.

TERESA R. DEHNEL, Appellee and Appellant

On Appeal from the 342nd District Court Tarrant County, Texas

Trial Court No. 342-320239-20

Before Birdwell, Womack, and Wallach, JJ.

Memorandum Opinion by Justice Birdwell

MEMORANDUM OPINION

I. Introduction

Teresa R. Dehnel sued Boxer Property Management Corporation for age and sex discrimination and retaliation after Boxer fired her. Eleven of twelve jurors answered “no” to the discrimination questions but found that Boxer had fired Dehnel in retaliation for her “opposition to a discriminatory practice”—her discrimination complaints—and awarded to her $87,000 in back pay, $32,000 in noneconomic damages, and $250,000 in exemplary damages. The trial court incorporated the jury’s findings into its judgment and added an award to Dehnel of $173,250 in attorney’s fees, plus conditional appellate attorney’s fees. Both parties have appealed.

In five issues, Boxer complains that there is legally insufficient evidence to support the jury’s retaliation finding; that the exemplary-damages award should be reversed because the verdict was not unanimous; that the back pay award should be reversed because the evidence established that Dehnel intended to voluntarily quit the day she was fired; that there is legally insufficient evidence of the nature, duration, or severity of Dehnel’s mental anguish or any other noneconomic damages; and that Dehnel’s attorney’s-fee award is unreasonable. In the sole issue in her cross-appeal, Dehnel asserts that the attorney’s-fee award is insufficient when her evidence supported an award in the $519,997 to $866,662.50 range.

Because the evidence is legally sufficient to support the jury’s retaliation finding and noneconomic damages award, and because the parties did not try by consent

whether Dehnel’s back pay award was precluded, we overrule Boxer’s first, third, and fourth issues and affirm these portions of the trial court’s judgment. Based on Oscar Renda Contracting, Inc. v. Bruce, 689 S.W.3d 305 (Tex. 2024), which issued while this case was pending, we sustain Boxer’s second issue, reverse this portion of the judgment, and render a take-nothing judgment on exemplary damages. We also sustain Boxer’s fifth issue, reverse the $173,250 attorney’s-fee award, and remand it for recalculation in light of the exemplary-damages disposition. Based on our resolution of Boxer’s fifth issue, we do not reach Dehnel’s sole issue in her cross-appeal.

II. Background

The evidence presented at trial was voluminous. In the interest of brevity, we will focus on the specific incidents and context that were highlighted during trial, particularly the A/C incident, Dehnel’s computer and phone problems, the major-client loss, the office switch, the F-Dex incident, Dehnel’s discrimination complaints, the MeetingBroker incident, and Dehnel’s termination. A. Before the A/C incident (April 30, 2018–October 1, 2018)

Dehnel, who had begun a second career in hotel sales in 2008, started working at Boxer’s Holiday Inn (the hotel)1 on April 30, 2018, when she was in her early fifties. At that time, Dehnel and her supervisor Cara Hayes, the hotel’s director of sales (DOS), were the entire sales team because 60% of the hotel’s business came from one client

1 The hotel was in the Intercontinental Hotels Group (IHG) franchise.

(an airline) and an additional 10% came from other airlines. At that time, Dehnel and Hayes engaged in “free selling,” meaning they could sell any market segment, but Dehnel was hired primarily to “fill in the gap from the airlines” and then to increase catering-and-event-space sales.

Hayes spent a lot of time working out of state at Boxer’s other properties. She also ran interference for Dehnel with Bette Gill, Boxer’s sixty-year-old corporate director of sales, marketing, and revenue management, to whom each hotel’s DOS reported. Hayes stated that Gill, who died of cancer before trial, had disliked Dehnel, although Hayes did not know why.

Mike Owen, the hotel’s general manager (GM) since 2014, noted that in the summer of 2018, Gill, who had been concerned with the hotel’s continuing decline in food-and-beverage revenue, had some issue with Dehnel over what she was selling or how much she was selling. To further complicate matters, during this time, Boxer was trying to sell off the hotel.

According to Owen, Hayes was responsible for providing performance goals to Dehnel, but Hayes testified that there was nothing specific or in writing as to expected sales. Carmen Castillo, who became DOS after Hayes, testified that when Hayes was her supervisor, she never gave Castillo a specific monthly sales goal, but Tammy Levy, Dehnel’s predecessor, testified that Hayes had given her sales goals.

When Hayes was out of state, Dehnel notified Owen when she had to leave early for doctor’s appointments, when she needed to look after her mother or her pet, or

when there was trouble with the hotel’s air conditioning. During that time, their relationship appeared to be positive—on August 3, 2018, Dehnel emailed Owen to invite him to join her and Haley Allen, 2 who also worked in the sales office, for lunch. Dehnel did so again two weeks later. However, things began to change in October 2018. B. The A/C incident In an email exchange between 3:15 p.m. and 3:24 p.m. on October 1, 2018, Dehnel asked Owen about weekend air-conditioning access, stating that it would be helpful if catering staff could change the temperature upon a guest’s request. Owen replied, “The engineer on duty needs to have ability,” and Dehnel replied that the engineer did but that a guest had to wait while catering staff found one. She requested a key for catering staff, asking, “It is just a key[,] right?” Owen replied, “No. It is access to website. Have whoever is here have the engineer on duty[’s] [B]oxer phone number.” Dehnel responded, “They did have it . . . it was the amount of time it took to have it changed. Trying to avoid future guest frustrations.” This exchange then led to an in- person disagreement (the A/C incident).

Dehnel testified that she had gone to see Owen because she did not think he had understood her email. As she tried to explain the problem to him, “he came around his desk at [her] like he was going to attack [her], but he was screaming at [her] telling [her], [‘D]on’t . . . question me and don’t give me any lip, do what I’m telling you to do.[’]”

2 Because Haley Allen’s last name is the same as another employee’s first name, we will refer to her by her first name to avoid confusion.

Dehnel said that Haley saw what happened and that Jheromy Jackson, a front desk supervisor, saw the encounter’s end.

After she calmed down, Dehnel called Hayes and told her about the encounter.

Hayes advised her to contact Boxer’s human resources (HR), but Dehnel declined to do so, telling Hayes, “I’m not going to do that, it’s a new job, I don’t want to lose my job.” Dehnel stated that she had been shocked at Owen’s reaction to what was “just an air-conditioning question.” Hayes described Dehnel as being “very upset” after the A/C incident.

Haley recalled the incident differently. Haley stated that Dehnel had been angry about something and “was kind of mumbling under her breath” before she went into Owen’s office. Haley stated,

Then [Dehnel] sat down in his office, they were talking, and she was getting mad and they were -- I don’t know. She was, like, raising her voice.

So I could hear more of it, but I wasn’t sure what they were saying. And then both of them stood up, and then [Owen] went around the desk to leave on that one side door towards the front office, and then she left on her -- like the glass door. So she left and then she was pretty mad and went to her own desk.

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