Cooper v. Franklin Templeton

CourtDistrict Court, S.D. New York
DecidedSeptember 21, 2022
Docket1:21-cv-04692
StatusUnknown

This text of Cooper v. Franklin Templeton (Cooper v. Franklin Templeton) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cooper v. Franklin Templeton, (S.D.N.Y. 2022).

Opinion

UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF NEW YORK

AMY COOPER,

Plaintiff,

v.

No. 21-CV-4692 (RA) FRANKLIN TEMPLETON, FRANKLIN

TEMPLETON INVESTMENTS, OPINION & ORDER FRANKLIN RESOURCES, INC.,

FRANKLIN TEMPLETON COMPANIES, LLC, JENNY JOHNSON, FRANKLIN TEMPLETON CORPS. XYZ 1-10, JOHN DOES and/or JANE DOES 1-10,

Defendants.

RONNIE ABRAMS, United States District Judge: Plaintiff Amy Cooper, a white woman, was formerly employed by Defendant Franklin Templeton in New York as a Portfolio Manager. On May 25, 2020, she was involved in a confrontation with birdwatcher Christian Cooper, a black man, while walking her dog in Central Park. Video footage of the encounter was posted to Facebook and Twitter later that day. The video quickly went viral—garnering millions of views—and earned Plaintiff the moniker “Central Park Karen” on social media. The next day, Franklin Templeton announced that it had conducted an internal review of the incident and terminated Plaintiff’s employment. On May 25, 2021, Plaintiff brought suit against various Franklin Templeton entities and their CEO, Jenny Johnson, asserting claims for discrimination on the basis of race and sex, defamation, intentional infliction of emotional distress (“IIED”), and negligence. Now before the Court is Defendants’ motion to dismiss the First Amended Complaint (the “complaint” or “FAC”) for failure to state a claim. For the following reasons, the motion is granted. BACKGROUND The following facts are drawn from the complaint and are assumed to be true for the purposes of this motion. See Stadnick v. Vivint Solar, Inc., 861 F.3d 31, 35 (2d Cir. 2017). The Incident

On May 25, 2020, Plaintiff was involved in an altercation with Christian Cooper, a black man, while he was birdwatching and she was walking her dog in Central Park. FAC ¶ 1. The confrontation, which Plaintiff claims caused her to fear for her safety and that of her dog, culminated in Plaintiff placing a 911 call, during which she told the police that there was “an African-American man threatening [her] life.” Id. ¶¶ 66, 68; Speights Decl. Ex. A (transcript). A video of the encounter was shared on social media that same day; it quickly went viral and “became international news as a racial flashpoint.” FAC ¶ 1. Plaintiff was soon branded a “privileged white female ‘Karen’” by the media and social media users. Id. The Aftermath On the night of the Central Park incident, Franklin Templeton—Plaintiff’s then-

employer—published the following statement on Twitter concerning the incident: We take these matters very seriously, and we do not condone racism of any kind. While we are in the process of investigating the situation, the employee involved has been put on administrative leave.

Id. ¶ 8. The next afternoon, Franklin Templeton tweeted an update, which read: Following our internal review of the incident in Central Park yesterday, we have made the decision to terminate the employee involved, effective immediately. We do not tolerate racism of any kind at Franklin Templeton.

Id. ¶¶ 9-11; Speights Decl. Ex. J (the “May 26 Statement”). Plaintiff alleges that, as part of its “investigation” into the Central Park incident, Franklin Templeton communicated with her on the day of the incident. FAC ¶ 36. It did not, however, 2 interview or seek to interview Mr. Cooper about it. Id. ¶¶ 38-39. Nor did it obtain a recording of Plaintiff’s 911 call from the police, or minutes from New York City community board meetings pre-dating the incident that allegedly pertained to prior altercations in Central Park between Mr. Cooper and other dog owners. Id. ¶¶ 44, 49. Franklin Templeton also did not interview Jerome

Lockett, one such dog owner, who allegedly had a similar run-in with Mr. Cooper in Central Park, id. ¶¶ 52-61, and who emailed a statement about that encounter to NBC on May 26, 2020, see FAC Ex. A. In the months following the Central Park incident, the President and CEO of Franklin Templeton, Jenny Johnson, referenced or spoke about the incident in several public interviews. In a June 2, 2020 interview with Bloomberg regarding the company’s decision to terminate Plaintiff, Johnson said: I just have to commend [] our crisis management team, it was a holiday. Everybody got together. We needed to spend time getting the facts. Sometimes videos can get manipulated and so you have to make sure that you’ve reviewed all the facts. I think the facts were undisputed in this case, and we were able to make a quick decision.

Id. ¶ 17; Speights Decl. Ex. N (the “June 2 Statement”). And in a July 6, 2020 interview with Fortune Magazine, she stated: “[Defendants] espouse zero tolerance for racism.” FAC ¶¶ 21-22; Speights Decl. Ex. O (the “July 6 Statement”). The Instant Action Plaintiff alleges that Defendants fired her on account of her race and gender, and brings claims for discrimination on the basis of race under 42 U.S.C. § 1981 (“Section 1981”), as well as discrimination on the basis of race and gender under both the New York State Human Rights Law (“NYSHRL”) and New York City Human Rights Law (“NYCHRL”). She further asserts that Defendants’ public statements in response to the Central Park incident were defamatory. Her 3 complaint also contains IIED and negligence claims, which she has since withdrawn. Defendants have moved to dismiss the complaint in its entirety pursuant to Federal Rule of Civil Procedure 12(b)(6). LEGAL STANDARD

To survive a motion to dismiss under Federal Rule of Civil Procedure 12(b)(6), a complaint must plead facts sufficient “to state a claim to relief that is plausible on its face.” Bell Atlantic Corp. v. Twombly, 550 U.S. 544, 570 (2007).1 “A claim has facial plausibility when the plaintiff pleads factual content that allows the court to draw the reasonable inference that the defendant is liable for the misconduct alleged.” Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009). “Threadbare recitals of the elements of a cause of action, supported by mere conclusory statements, do not suffice.” Id. (citing Twombly, 550 U.S. at 555). On a motion to dismiss, all factual allegations in the complaint are accepted as true and all inferences are drawn in the plaintiff’s favor. Ofori–Tenkorang v. Am. Int’l Grp., Inc., 460 F.3d 296, 300 (2d Cir. 2006). Courts, however, “need not credit conclusory statements unsupported by

assertions of facts or legal conclusions and characterizations presented as factual allegations.” In re Livent, Inc. Noteholders Sec. Litig., 151 F. Supp. 2d 371, 404 (S.D.N.Y. 2001) (citing Papasan v. Allain, 478 U.S. 265, 286 (1986)). They are also not “constrained to accept as truth conflicting pleadings that make no sense, or that would render a claim incoherent, or that are contradicted either by statements in the complaint itself or by documents upon which its pleadings rely, or by facts of which the court may take judicial notice.” In re Livent, 151 F. Supp. 2d at 405-06.

1 Unless otherwise noted, case quotations omit all internal quotation marks, citations, alterations, and footnotes. 4 DISCUSSION I. Race & Sex Discrimination The Court first addresses Plaintiff’s allegations that Defendants fired her because of her race and gender, in violation of Section 1981, the NYSHRL, and the NYCHRL.

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