Claire E. Doi v. Halekulani Corporation, Dba Waikiki Parc Hotel

276 F.3d 1131, 2002 Cal. Daily Op. Serv. 331, 2002 Daily Journal DAR 461, 2002 U.S. App. LEXIS 549, 82 Empl. Prac. Dec. (CCH) 40,985, 87 Fair Empl. Prac. Cas. (BNA) 1217, 2002 WL 46788
CourtCourt of Appeals for the Ninth Circuit
DecidedJanuary 14, 2002
Docket00-16447
StatusPublished
Cited by161 cases

This text of 276 F.3d 1131 (Claire E. Doi v. Halekulani Corporation, Dba Waikiki Parc Hotel) is published on Counsel Stack Legal Research, covering Court of Appeals for the Ninth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Claire E. Doi v. Halekulani Corporation, Dba Waikiki Parc Hotel, 276 F.3d 1131, 2002 Cal. Daily Op. Serv. 331, 2002 Daily Journal DAR 461, 2002 U.S. App. LEXIS 549, 82 Empl. Prac. Dec. (CCH) 40,985, 87 Fair Empl. Prac. Cas. (BNA) 1217, 2002 WL 46788 (9th Cir. 2002).

Opinion

O’SCANNLAIN, Circuit Judge:

In this employment discrimination litigation, we must decide whether the district court correctly enforced a negotiated set *1134 tlement without holding an evidentiary-hearing where, after the terms were placed on the record and agreed to by all parties in open court, the plaintiff refused to execute a written agreement.

I

This appeal began as a discrimination lawsuit, which Claire Doi filed against her employer, the Halekulani Corporation, doing business as the Waikiki Parc Hotel in Honolulu, Hawaii on December 16, 1998. Doi’s complaint alleged, inter alia, claims of sex and race discrimination in violation of Title VII, age discrimination in violation of the Age Discrimination in Employment Act of 1967 (ADEA), and various state law claims. After Halekulani filed an answer to the complaint, the parties entered into settlement negotiations.

It appears that the district court was involved in facilitating settlement discussions, which ultimately proved fruitful. On May 10, 2000, counsel for both Doi and Halekulani — as well as both Doi herself and a representative of Halekulani — came into open court to announce that the parties had agreed to settle the case and to place the terms of the settlement on the record. The relevant portions of the ensuing colloquy transpired as follows:

THE COURT: Okay. So, the parties had off the record discussions with me and have reached a settlement and I will let defense counsel put the terms of the settlement on the record.
DEFENSE COUNSEL: Thank you, Your Honor. My understanding is that Halekulani Corporation will pay the sum of $15,000 to the plaintiff. The settlement draft will be made payable to Claire Doi and Charles Brower, her attorney. In exchange for that there will be a stipulation to dismiss this case with prejudice as well as a release and indemnity agreement executed by the plaintiff. In addition, the release agreement will specify that Ms. Doi will resign from her job with the Halekulani [sic] effective upon the filing of the stipulation for dismissal with prejudice. She also agrees not to reapply to any related entities of Halekulani Corporation, and those entities will be listed and set forth in the release document. The release will also specify that there is a mutual confidentiality provision, which will be agreed upon by counsel, as well as a mutual non-disparagement agreement. There will be no admission of liability on the part of Halekulani Corporation or any defendant by virtue of this settlement and that will be specified in the release as well.
Finally, the payment of $15,000 will also be memorialized by a Form 1099 issued by Halekulani, and we will agree to work with counsel for plaintiff in terms of drafting language with regard to the consideration of $15,000 and its applicability.
PLAINTIFF’S COUNSEL: All right.
THE COURT: Is that agreed to?
PLAINTIFF’S COUNSEL: Yes, Your Honor. I understand that those are the terms of the settlement.
THE COURT: Can I have you also, Ms. Doi, state that you do agree to these terms?
PLAINTIFF: After I see the documents I—
THE COURT: Well—
PLAINTIFF’S COUNSEL: The terms are—
THE COURT: The terms, as stated right now, do you agree to those?
PLAINTIFF: I stated.
THE COURT: You do agree?
PLAINTIFF: Yeah.
THE COURT: Okay. And—
DEFENSE COUNSEL: Yes, I do.

*1135 The parties also stipulated that both the agreed payment and the stipulation to dismiss would be delivered to the Judge’s chambers by Friday, May 12, at 4:00 p.m. Accordingly, Halekulani agreed to prepare settlement documents (including a stipulation to dismiss) memorializing the agreement entered into in open court. All seemed copacetic.

When Friday arrived, however, the agreement began to unravel. Four o’clock passed, and the district court did not receive the stipulation to dismiss. Concerned, the court convened a teleconference with the parties. At 4:25 p.m. lawyers for both Doi and Halekulani appeared before the district court via telephone. During that teleconference, plaintiffs counsel stated that he had received a facsimile from Doi Friday morning, asking him to fax her a copy of the paperwork when he received it from Ha-lekulani. He did so. Doi then called him, just before noon, stating that she needed “more time to review documents; can’t get it in by 4:00; please call.” Plaintiffs counsel attempted three times to return the call, and even sent plaintiff a facsimile asking her to contact him, but to no avail. Plaintiffs counsel did not know why Doi had not gotten back to him, but stated unambiguously that he believed that the settlement documents were satisfactory, and more importantly, that the documents correctly reflected the terms placed on the record.

Defense counsel offered an explanation for Doi’s peculiar behavior. Specifically, he informed the court that Doi had sent Hale-kulani a letter via facsimile on Friday morning. The letter, directed to the president of Halekulani, proposed new settlement terms — terms inconsistent with those placed on the record. 1 Plaintiffs counsel was surprised to learn that Doi had sent the letter.

Understandably frustrated, the court told the attorneys that it would invite Ha-lekulani to file a motion to enforce the settlement in accordance with the agreement placed on the record if Doi failed to execute the settlement documents by the following Monday morning. The court indicated that the motion would be given an expedited hearing and warned that, “unless [Doi] tells me something I don’t know at present, she doesn’t have a ground that I know of to change her mind.” The settlement agreement placed on the record, the court admonished, “was the binding agreement [Doi] made.” The court also made clear that Doi would have an opportunity to “submit something in writing before the hearing, or she can attend the hearing and place on the record what her position is in response to the motion.” The court cautioned that Doi faced sanctions, in the form of having to pay any attorney’s fees that Halekulani incurred in bringing the motion to compel settlement, if the motion were granted.

The court did not receive a signed settlement agreement by the Monday deadline; accordingly, Halekulani filed a motion to compel settlement. On Tuesday, May 16, 2000, the court held a hearing on that motion. Doi appeared for herself and requested a 30-day continuance in which to hire a new lawyer. She also complained that she “didn’t make any agreement in writing before the settlement conference on Wednesday that I wanted to settle.” The court patiently explained to Doi that

*1136 [a]n agreement does not have to be in writing to be binding.

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Bluebook (online)
276 F.3d 1131, 2002 Cal. Daily Op. Serv. 331, 2002 Daily Journal DAR 461, 2002 U.S. App. LEXIS 549, 82 Empl. Prac. Dec. (CCH) 40,985, 87 Fair Empl. Prac. Cas. (BNA) 1217, 2002 WL 46788, Counsel Stack Legal Research, https://law.counselstack.com/opinion/claire-e-doi-v-halekulani-corporation-dba-waikiki-parc-hotel-ca9-2002.