Crosbie v. Asante

373 Or. 773
Oregon Supreme Court·Decided June 24, 2025·No. S071051·Published

Opinion

No. 25 June 24, 2025 773

IN THE SUPREME COURT OF THE STATE OF OREGON

Denese CROSBIE,

an individual,

and Denese Crosbie RNFA, LLC, an Oregon limited liability company, Respondents on Review,

v.

ASANTE,

an Oregon Corporation,

and Asante Ashland Community Hospital, LLC, an Oregon limited liability company, Petitioners on Review.

(CC 17CV44213) (CA A182818) (SC S071051)

On review from the Court of Appeals.* Argued and submitted November 7, 2024. Sasha A. Petrova, Tonkon Torp LLP, Portland, argued the cause and filed the briefs for petitioners on review. Also on the briefs were Anna Sortun and Megan R. Reuther.

Andrew R. Wilson, Black, Chapman, Petersen & Stevens, Portland, argued the cause and filed the brief for respondents on review. Also on the briefB was Mark Lansing, Law Office of Mark Lansing, P.C., Grants Pass.

Before Flynn, Chief Justice, and Duncan, Garrett, DeHoog, James, and Masih, Justices, and Pagán, Judge, Justice pro tempore.** MASIH, J. The orders of the Court of Appeals are affirmed.

* Appeal from Jackson County Circuit Court, Timothy Gerking, Senior Judge.

** Bushong, J., did not participate in the consideration or decision of this case.

774 Crosbie v. Asante

Cite as 373 Or 773 (2025) 775

MASIH, J. This case concerns the Court of Appeals’ jurisdiction under ORS 19.205(3) to review a trial court order, issued on remand from the Court of Appeals, that determines the scope of the issues to be tried on remand. As relevant here, in the first trial, three of plaintiff’s claims for relief against defendant were submitted to the jury. The jury returned a verdict in plaintiff’s favor on one claim and in defendant’s favor on the other two claims, and the trial court entered a general judgment reflecting those verdicts. Defendant appealed, and the Court of Appeals reversed and remanded for a new trial. Crosbie v. Asante, 322 Or App 250, 519 P3d 551 (2022), rev den, 370 Or 827 (2023). On remand, the trial court vacated the judgment and then ordered retrial of all three claims that had gone to the jury, including the claims on which defendant had prevailed in the first trial. Defendant appealed, arguing that ORS 19.205(3) authorized an appeal of that order, but the Appellate Commissioner dismissed the appeal for lack of jurisdiction, and the Court of Appeals denied reconsideration. We allowed defendant’s petition for review of the Appellate Commissioner’s order dismissing for lack of jurisdiction and the Court of Appeals’ order denying reconsideration, and we now affirm those orders.

BACKGROUND

Plaintiff was a nurse employed by defendant hospital . After defendant fired her, plaintiff sued defendant, alleging that her termination was in retaliation for her complaints about safety issues, including safety violations committed by other nurses.1 Plaintiff’s complaint alleged five claims for relief: (1) whistle-blower retaliation under ORS 659A.199; (2) unlawful retaliation under ORS 659A.030; (3) unlawful employment practice under ORS 654.062 of the Oregon Safe Employment Act (OSEA); (4) common law wrongful discharge; and (5) common law intentional interference with economic relations. Plaintiff voluntarily dismissed the fourth claim (the wrongful discharge claim), and

1 In this case, there are two plaintiffs and two defendants. Denese Crosbie sued in her individual capacity and on behalf of Denese Crosbie RNFA, LLC. She brought the action against Asante and Asante Ashland Community Hospital, LLC. In this opinion, for convenience, we refer to plaintiff and defendant in the singular.

776 Crosbie v. Asante

the trial court granted defendant’s motion for directed verdict on plaintiff’s fifth claim (the claim for intentional interference with economic relations). Thus, only the first three claims—the statutory claims for relief—went to the jury.

The crux of those claims was that protected safety complaints were a “substantial factor” in plaintiff’s termination . Plaintiff had requested a “cat’s paw” jury instruction that would allow the jury to impute plaintiff’s fellow nurses’ bias against her to defendant for purposes of determining whether her termination had been unlawful.2 Defendant objected to the instruction, but the court overruled the objection. The court then instructed the jury that it could impute plaintiff’s co-workers’ bias to defendant if the jury found that plaintiff’s coworkers “influenced, affected or [were] involved in the adverse employment decision” against plaintiff. That instruction was applicable to all three statutory claims against defendant. After the jury instructions were given, the trial court asked the parties for exceptions, and defendant reiterated that the “cat’s paw” jury instruction was not appropriate, because, in its view, that instruction applies only when a biased supervisor influenced or was involved in an employment decision and, according to defendant , that circumstance was not supported by the evidence in this case.

The jury returned a split verdict, finding in defendant ’s favor on the first and second claims (the whistle- blower claim under ORS 659A.199 and the claim for unlawful retaliation under ORS 659A.030(1)(f)) and finding for plaintiff on the third claim (the unlawful employment

2 As the Court of Appeals explained, the term “cat’s paw” was “coined by Judge Richard Posner, after an Aesop’s fable in which a monkey tricks a cat into removing chestnuts from a fire, then steals the chestnuts and leaves the cat with nothing but burnt paws.” Crosbie, 322 Or App at 256; see Shager v. Upjohn Co., 913 F2d 398, 405 (7th Cir 1990) (using the phrase “cat’s paw” in employment law context). This court joined other courts in recognizing the “cat’s paw” theory in Ossanna v. Nike, Inc., 365 Or 196, 209, 445 P3d 281 (2019). This court explained that, “so long as a plaintiff can show that a biased supervisor influenced or was involved in the adverse employment decision, the plaintiff may establish the employer’s unlawful bias based on the ‘cat’s paw’ theory,” and it noted that to require a “showing that the biased supervisor influenced or was involved in the decision to a prespecified degree * * * would be to remove questions of fact from the jury.” Id. at 210. This court did not express an opinion in that case as to whether the “cat’s paw” theory under Oregon law extended to imputing the bias of other employees to the decision-maker. Id. at 209.

Cite as 373 Or 773 (2025) 777

practice claim under ORS 654.062 of the OSEA). The trial court accepted the jury’s verdict as to Claims 1 through 3 and entered a general judgment against defendant in the amounts awarded by the jury,3 plus prejudgment and postjudgment interest. In a supplemental judgment, the trial court denied plaintiff’s request for attorney fees.

Defendant appealed the general judgment, assigning error to the trial court’s decision to give the “cat’s paw” instruction; it argued that that instruction misstated the law and was not supported by evidence in the record, and it asked the court to reverse and remand on those bases. Defendant did not specify in its briefing to the Court of Appeals that its appeal concerned only the part of the trial court’s judgment addressing the jury’s verdict on the third claim, on which plaintiff had prevailed. Plaintiff cross-appealed from the supplemental judgment denying plaintiff attorney fees; she did not cross-appeal from the general judgment with respect to the claims on which defendant had prevailed.

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