Bradshaw v. Golden Road Motor Inn

885 F. Supp. 1370, 1995 U.S. Dist. LEXIS 5551, 67 Fair Empl. Prac. Cas. (BNA) 1309, 1995 WL 245542
CourtDistrict Court, D. Nevada
DecidedApril 18, 1995
DocketCV-N-94-0074-ECR
StatusPublished
Cited by8 cases

This text of 885 F. Supp. 1370 (Bradshaw v. Golden Road Motor Inn) is published on Counsel Stack Legal Research, covering District Court, D. Nevada primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bradshaw v. Golden Road Motor Inn, 885 F. Supp. 1370, 1995 U.S. Dist. LEXIS 5551, 67 Fair Empl. Prac. Cas. (BNA) 1309, 1995 WL 245542 (D. Nev. 1995).

Opinion

ORDER

EDWARD C. REED, Jr., District Judge.

This is a sex discrimination case brought under Title VII by Susan Bradshaw against her former employer, the Clarion Hotel Casino in Reno, Nevada. There are pendent state statutory and tort claims. The Clarion has filed a motion for summary judgment. Doc. #29. Bradshaw has opposed, Doc. # 19, and the Clarion has replied. Doc. # 24. The Clarion’s motion will be GRANTED.

Bradshaw worked for the Clarion as a dealer from April 10, 1991, until she was fired on September 2, 1993. The Clarion claims she was fired because her job performance was inadequate, and, more specifically, because of her behavior during an incident on the casino floor on August 28, 1993. Bradshaw’s contention, as explained below, is not entirely clear. We address first some collateral matters.

I. Nevada Revised Statute 612.533

The parties also argue at length about the import of NRS 612.533, which provides, in relevant part, that “[a]ny finding of fact or law, judgment, determination, conclusion or final order” made pursuant to the state statutes on unemployment compensation is “not admissible or binding” in a separate suit between the employer and employee before a “court or judge of this state or the United States____”

A. Collateral Estoppel

We note, first, that the statute addresses two separate issues: evidence, when it states that state Employment Security Division findings are not admissible in subsequent judicial proceedings, and collateral estoppel, when it states that those findings are not binding in such proceedings. We turn first to the latter issue. Collateral estoppel in the federal courts is a question of federal law, and

[i]t is well settled that 28 U.S.C. § 1738 requires federal courts to give state court reviewed administrative adjudications the same full faith and credit that the adjudications would have in the state’s own courts. Section 1738, however, does not require federal courts to apply preclusive effect to a state agency determination that has not been judicially reviewed. In instances where section 1738 does not require preclusive effect, federal courts ... may still apply res judicata and collateral estoppel under federal common law rules.

Mack v. South Bay Beer Distributors, Inc., 798 F.2d 1279, 1283 & n. 4 (9th Cir.1986) (citations omitted). As a matter of federal common law, federal courts under Elliott must “give preclusive effect ... to the fact-finding of state administrative tribunals.” Miller v. County of Santa Cruz, 39 F.3d 1030, 1032 (9th Cir.1994). 1

*1373 After she was fired, Bradshaw applied for unemployment insurance benefits, which the Clarion controverted. A hearing was held before an appeals referee of the state Employment Security Division, who ruled that Bradshaw was not entitled to benefits because she had been discharged for “misconduct” — specifically, for refusing her supervisor’s direct order to go to his office, and for manifesting that refusal by loud and inappropriate conduct on the casino floor, in front of customers and her coworkers. Doc. # 29 Exh. H. The referee’s ruling was never reviewed by a court. Indeed, the ruling was not even reviewed within the Employment Security Division, as Bradshaw’s appeal was filed late and the Division’s Board of Review therefore refused to hear it. The Clarion argues strenuously and at length, see Doc. # 29 at 4-9; Doc. # 24 at 3-7, that because “this matter has been fully and finally adjudicated” by the Employment Security Division, Doc. #24 at 4, we must “afford that prior adjudication res judicata effect,” Doc. # 29 at 9, and dismiss Bradshaw’s claims.

That is incorrect. Bradshaw’s only federal claim is for sex discrimination under Title VII, and unreviewed state administrative proceedings have no preclusive effect on Title VII claims. University of Tennessee v. Elliott, 478 U.S. 788, 796, 106 S.Ct. 3220, 3225, 92 L.Ed.2d 635 (1986). 2 This result is mandated by federal common law. NRS 612.533 dictates the same result, but would come into play only if the referee’s decision had been reviewed by a state court. Only then would this court, pursuant to 28 U.S.C. § 1738, look to the state statute and give the decision the same preclusive effect a Nevada court would give it, i.e., none at all.

B. Admissibility

We turn, then, to the more difficult question: whether the decision of the Employment Security Division’s appeals referee, which has no preclusive effect, can at least be admitted into evidence. As a general rule, arbitral decisions may come into evidence and are allowed such weight as the trial court deems appropriate. Alexander v. Gardner-Denver Co., 415 U.S. 36, 60, 94 S.Ct. 1011, 1025, 39 L.Ed.2d 147 (1974). In Alexander, which involved arbitration of a discrimination claim under a collective bargaining agreement, the Court noted that the “relevant factors” in determining admissibility would include

the existence of provisions in the collective-bargaining agreement that conform substantially with Title VII, the degree of procedural fairness in the arbitral forum, adequacy of the record with respect to the issue of discrimination, and the special competence of particular arbitrators. Where an arbitral determination gives full consideration to an employee’s Title VII rights, a court may properly accord it great weight.

Id. at n. 21. Though Alexander dealt with an arbitral decision, that case’s analytical framework can be applied just as easily to a decision rendered by an agency responsible for investigating and adjudicating claims of employment discrimination as to a decision rendered by a labor arbitrator. 3

Only a few cases address the admissibility in an employment discrimination suit of decisions by state unemployment compensation officials. The most thorough opinions are Barfield v. Orange County, 911 F.2d 644 *1374 (11th Cir.1990), and Baldwin v. Rice, 144 F.R.D. 102 (E.D.CaL1992). 4 In Barfield,

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885 F. Supp. 1370, 1995 U.S. Dist. LEXIS 5551, 67 Fair Empl. Prac. Cas. (BNA) 1309, 1995 WL 245542, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bradshaw-v-golden-road-motor-inn-nvd-1995.