Clements v. Barden Mississippi Gaming, L.L.C.

373 F. Supp. 2d 653, 2004 U.S. Dist. LEXIS 28784, 2004 WL 3391986
CourtDistrict Court, N.D. Mississippi
DecidedMay 7, 2004
DocketCivil Action 2:02CV302-P-A
StatusPublished

This text of 373 F. Supp. 2d 653 (Clements v. Barden Mississippi Gaming, L.L.C.) is published on Counsel Stack Legal Research, covering District Court, N.D. Mississippi primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Clements v. Barden Mississippi Gaming, L.L.C., 373 F. Supp. 2d 653, 2004 U.S. Dist. LEXIS 28784, 2004 WL 3391986 (N.D. Miss. 2004).

Opinion

FINDINGS OF FACT AND CONCLUSIONS OF LAW

PEPPER, District Judge.

This cause came to be heard by the court during a three-day bench trial conducted from April 26 to April 28, 2004. Having heard and considered the evidence presented by the parties during the trial of this matter, along with the arguments presented in their pre-trial motions and briefs, the court hereby enters the following findings of facts and conclusions of law.

FINDINGS OF FACT

1.This case arises from the sale and purchase of Fitzgerald’s Casino/Hotel (“Fitzgerald’s” or “the seller”) located in Tunica, Mississippi. The casino was originally owned by former Co-Defendant Fitzgerald’s Mississippi, Inc. which declared bankruptcy in 2000. On or about November 22, 2000, the bankrupt Estate of Fitzgerald’s entered into a Purchase and Sale Agreement with Defendant Barden Mississippi Gaming, LLC (“Barden Gaming” or “Purchaser”), a wholly-owned subsidiary of Majestic Gaming, LLC to purchase the assets of Fitzgerald’s Casino. The assets to be purchased by the Seller were the three Fitzgerald’s Casino’s properties located in Black Hawk, Colorado; Las Vegas, Nevada; and Tunica, Mississippi. The sale was to be fully consummated after midnight of December 6, 2001 and did in fact take place on December 7, 2001.

2. Plaintiff Douglas Clements, a white male, was employed as the Director of Human Resources for Fitzgerald’s Casino in May 1999 and remained in that capacity until December 7, 2001 when Barden Gaming came to own the casino. Clements has a degree in Industrial Management and has worked in the Human Resources field since 1987.

3. Pursuant to section 5.04(a) of the Purchase and Sale Agreement between the seller of Fitzgerald’s Casino and the purchaser, Barden Gaming, the purchaser agreed to hire the entire workforce of hourly and salaried non-contract employees. Under section 5.04(a), the only employees of the Tunica property that the purchasers, Barden Gaming, had the option of not hiring were those employees that were “leased” employees — ie., those employees who had employment contracts with the sellers.

4. Section 9.01(a) of the Purchase and Sale Agreement provides in pertinent part that: “Effective as of the Closing, Purchaser [Barden Gaming] shall make bona fide, good faith offers of employment to all of the Employees, other than executive officers of Parent or of any Sellers, probationary Employees or Leased Employees, for employment at the same Business locations where they were employed in the ordinary course prior to the Closing.”

5. The parties stipulated in the Pretrial Order that “Under the terms of section 5.04(a) of the Purchase and Sale Agreement, Clements [Plaintiff] did not meet the definition of a Leased Employee at any time after the date of the Purchase and Sale Agreement.” PTO, ¶ 9(j).

*658 6. Therefore, the parties stipulated in the Pretrial Order that “Under the terms of section 9.01(a) of the Purchase and Sale Agreement, Clements was an employee to whom a bona fide, good faith offer or employment should have been made.” PTO, ¶ 9(1).

7. In plain language, the reason that Barden Gaming should have given the plaintiff a bona fide, good faith offer of employment pursuant to the Purchase and Sale Agreement was because the plaintiff never had an employment contract with the seller, nor with anyone else, and therefore did not meet the Agreement’s definition of the type of employee Barden Gaming had the option not to hire. The parties have stipulated these facts clearly in paragraphs 9(1) and 9(j) of the Pretrial Order; therefore, such stipulations supercede any contrary assertions made in previous pleadings. Fed.R.Civ.P. 17(a). No attempt has been made to modify the Pretrial Order.

8. Michael Kelly, a white male, is the Chief Operating Officer of the parent company of Barden Gaming and testified that “the buck stops with me.” Don Barden, a black male, is the Chief Executive Officer, President and sole-shareholder of the Majestic parent company that owns Barden Mississippi Gaming, LLC, a wholly-owned subsidiary.

9. In January 2001, Michael Kelly, Chief Operating Officer; David Wolf, Vice President of Finance and Administration; and Jeff Bauer, Corporate Vice President of Marketing, all of whom are white males and are employed by Barden Gaming, went to the Tunica property to “interview” key personnel. On the stand, Kelly stated that in total, they all “interviewed” around twelve directors and or managers in a span of around a day or day and a half. The plaintiff, Douglas Clements, was included as an employee Kelly, Wolff, and Bauer “interviewed.” Though Kelly referred to the meeting with Clements as a “formal interview” in his deposition, on the stand Kelly referred to it more as a “meeting” or a “meet and greet.” During this meeting with the plaintiff, Kelly avers that he, Wolff and Bauer concluded that Clements was “boring,” “bland,” and “negative.” The court finds that opinions regarding the plaintiffs personality are irrelevant because none of the aforementioned men had the legal option not to hire the plaintiff.

10. Kelly testified that at the time he was “interviewing” or “meeting” the plaintiff in January 2001, Kelly believed that he had the option not to hire Clements because Kelly stated at various times during his deposition and trial that Michael McPherson, a high-ranking executive of the sellers of Fitzgerald’s Casino, told Kelly that Clements would be, might be, and had been given an employment contract. During his own deposition, McPherson denied that he ever told Kelly that Clements had a contract or ever would have a contract with the bankrupt sellers of Fitzgerald’s over four times. Nevertheless, Kelly testified that he believed he had the right not to hire the plaintiff — even though he now concedes in paragraphs 9(1) and 9(j) of the Pretrial Order that he did not pursuant to the Purchase and Sale Agreement — and therefore decided during that “interview” or “meeting” not to hire Clements. The court disbelieves Kelly’s assertions and finds that McPherson did not tell Kelly that the plaintiff had a contract or would be receiving one from the seller of Fitzgerald’s Casino.

11. Kelly admitted that during the “interview” or “meeting” there was no discussion of Clements’ qualifications. Kelly also agreed that no one ever asked for Clements’ resume. Essentially, Kelly asserts that he just did not like Clements and thought he was not positive enough to be his HR director at the Tunica property. *659 The court finds that it is irrelevant if Kelly did or did not like the plaintiffs personality since pursuant to the Purchase and Sale Agreement, Kelly did not have the right not to hire the plaintiff. As stated above, the court disbelieves Kelly’s assertions to the contrary.

12. Kelly avers that he suggested to his Corporate VP of Human Resources, Judith Talbott, that she should “interview” the plaintiff in late August, some seven months later, to “validate” his decision. Judith Talbott testified that she did so and concurred with Mike Kelly’s opinions. Talbott also admitted that she never asked the plaintiff about his qualifications nor asked to see his resume.

13.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Cite This Page — Counsel Stack

Bluebook (online)
373 F. Supp. 2d 653, 2004 U.S. Dist. LEXIS 28784, 2004 WL 3391986, Counsel Stack Legal Research, https://law.counselstack.com/opinion/clements-v-barden-mississippi-gaming-llc-msnd-2004.