Campbell v. General Dynamics Government Systems Corp.

407 F.3d 546, 16 Am. Disabilities Cas. (BNA) 1361, 2005 U.S. App. LEXIS 9360, 2005 WL 1208136
CourtCourt of Appeals for the First Circuit
DecidedMay 23, 2005
Docket04-1828
StatusPublished
Cited by104 cases

This text of 407 F.3d 546 (Campbell v. General Dynamics Government Systems Corp.) is published on Counsel Stack Legal Research, covering Court of Appeals for the First Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Campbell v. General Dynamics Government Systems Corp., 407 F.3d 546, 16 Am. Disabilities Cas. (BNA) 1361, 2005 U.S. App. LEXIS 9360, 2005 WL 1208136 (1st Cir. 2005).

Opinions

SELYA, Circuit Judge.

This appeal calls upon us to consider the enforceability of a mandatory arbitration agreement, contained in a dispute resolution policy linked to an e-mailed company-wide announcement, insofar as it applies to employment discrimination claims brought under the Americans with Disabilities Act (ADA). Our analysis turns on whether the employer provided minimally sufficient notice of the contractual nature of the emailed policy and of the concomitant waiver of an employee’s right to access a judicial forum. Weighing all the attendant circumstances, we conclude that the notice was wanting and that, therefore, enforcement of the waiver would be inappropriate. Consequently, we uphold the district court’s denial of the employer’s motion to stay proceedings and compel the employee to submit his claim to arbitration.

I. BACKGROUND

For a period of nearly three years, plaintiff-appellee Roderick Campbell toiled as an at-will employee of General Dynamics Government Systems Corporation.1 Starting on June 6, 2000, the plaintiff held a full-time, salaried position.

On April 30, 2001, at 1:54 p.m., General Dynamics sent an e-mail announcement to its entire work force regarding the implementation of a new dispute resolution policy (the Policy). The tag line of the e-mail indicated that the sender was “Broadcaster, NDHM [NDHM.Broadcaster@GD-NS.Com]” and its subject heading read “G. DeMuro — New Dispute Resolution Policy.” The message consisted of a page-long letter from Gerard DeMuro, the president of General Dynamics. In the intro-[548]*548duetory paragraphs, DeMuro pointed out that General Dynamics was “a leader in a very competitive marketplace,” that its success depended on its employees, and that it was committed to “open, forthright and honest communication,” especially in the context of “addressing and resolving employee issues concerning legally protected rights and matters.” Subsequent paragraphs explained that the company had developed the Policy as a means to handle legal issues arising out of workplace disputes. The e-mail then limned the Policy’s four-step approach to dispute resolution, describing the last step as “[arbitration by a qualified and independent arbitrator.”

The e-mail made no mention of whether (or how) the Policy would affect an employee’s right to access a judicial forum with respect to workplace disputes. Moreover, it neither specified that the Policy contained an agreement to arbitrate that would become binding upon continued employment nor indicated whether the term “workplace disputes” included those giving rise to federal statutory claims. The text of the Policy was not part of the e-mail proper, although the company posted the Policy on its intranet (its internal corporate network).

The e-mail did state that the Policy would become effective on May 1, 2001 (the day following its transmission). It also urged recipients to “review the enclosed materials carefully, as the [Policy] is an essential element of your employment relationship.” Those with questions were invited to contact the company’s vice-president of human resources.

The phrase “enclosed materials” was an apparent reference to two embedded links located at the bottom of the e-mail. Each link provided access to a document that the recipient could view by moving a cursor over the link and clicking on it. The first link was labeled “Brochure: http://csconnect.gd-cs.com/hr/dispute— resolutionMm clicking on it would have provided access to a two-page brochure that detailed how the Policy worked. Upon reading the second page of that brochure, the recipient would have learned that company employees who “continue [their] current employment after the effective date of the [Policy’s] adoption” would be “covered” by its terms and that the Policy would encompass, among other things, “[e]mployment discrimination and harassment claims, based on, for example, age, race, sex, religion, national origin, veteran status, citizenship, disability or other characteristics protected by law.” In a shaded box in the lower right-hand corner of that page, the recipient would have found the following statement:

The Company has adopted this four-step policy as the exclusive means of resolving workplace disputes for legally protected rights. If an employee files a lawsuit against the Company, the Company will ask the court to dismiss the lawsuit and refer it to the [Policy]. Clicking on the second link, entitled

“Handbook: http://csconnect.gd-cs. com/hr/DRP — Handbook—2. doc,” would have provided access to a dispute resolution handbook, which contained the full text of the Policy (designated as “Human Resources Policy 402”), a flow chart illustrating how the Policy worked, forms for filing claims at each of the four levels, and a compendium of questions that the company thought might arise.

No part of the e-mail communication required a response acknowledging receipt of the Policy or signifying that a recipient had read and understood its terms. Although General Dynamics set up a tracking log to monitor whether each of its employees opened the e-mail — the record indicates that the plaintiff opened the e[549]*549mail two minutes after it was sent — it did not take any steps to record whether its employees clicked on the embedded links to peruse either the brochure or the handbook. Moreover, General Dynamics has not supplied any evidence to contradict the plaintiffs claim that he never read or saw the brochure, the handbook, or the Policy prior to his termination.

II. TRAVEL OF THE CASE

On December 30, 2002, General Dynamics terminated the plaintiffs employment on account of persistent absenteeism and tardiness. Alleging that these infractions (and, hence, his dismissal) stemmed from a medical condition known as sleep apnea that General Dynamics should have accommodated, the plaintiff filed an administrative complaint with the proper agency charging discrimination on the basis of disability. He later withdrew that complaint and sued General Dynamics in a Massachusetts state court under the ADA, 42 U.S.C. §§ 12101-12213, and Mass. Gen. Laws ch. 151B, § 4.2

General Dynamics removed the action to the federal district court. See 28 U.S.C. §§ 1331, 1367, 1441. It thereupon filed an answer in which it asserted, among other things, that the court could not try the plaintiffs claims because they were subject to resolution under the Policy. To give teeth to this defense, the company invoked the Federal Arbitration Act (FAA), 9 U.S.C. §§ 1-16, and moved to stay the court proceedings and compel the plaintiff to submit his claims to arbitration. See id. §§ 3, 4. In an accompanying memorandum, it contended that the Policy forged an enforceable agreement to arbitrate all employment-related claims and maintained that the Policy’s four-step framework was the exclusive means for resolution of the plaintiffs claims.

The plaintiff opposed that motion, moved to strike the company’s affirmative defense,3 and asked the court to impose sanctions.

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407 F.3d 546, 16 Am. Disabilities Cas. (BNA) 1361, 2005 U.S. App. LEXIS 9360, 2005 WL 1208136, Counsel Stack Legal Research, https://law.counselstack.com/opinion/campbell-v-general-dynamics-government-systems-corp-ca1-2005.