David v. Signal International, LLC

37 F. Supp. 3d 814
CourtDistrict Court, E.D. Louisiana
DecidedDecember 4, 2013
DocketCivil Action Nos. 08-1220, 12-557, 13-6218, 13-6219, 13-6220, 13-6221
StatusPublished
Cited by6 cases

This text of 37 F. Supp. 3d 814 (David v. Signal International, LLC) is published on Counsel Stack Legal Research, covering District Court, E.D. Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
David v. Signal International, LLC, 37 F. Supp. 3d 814 (E.D. La. 2013).

Opinion

ORDER AND REASONS

SUSIE MORGAN, District Judge.

Before the Court is a Motion for Entry of Discovery Plan and Case Management Order filed by plaintiff, the Equal Employment Opportunity Commission (the “EEOC”)-1 Defendant Signal International, LLC (“Signal”) opposes the EEOC’s motion.2 Plaintiffs-Intervenors filed a response in support of the EEOC’s Proposed Discovery Plan and Case Management Order.3

Also before the Court is the parties’ oral request for clarification of the Order and Reasons entered on August 19, 20134 in response to the EEOC’s Motion to Bifurcate Trial and Discovery.5

BACKGROUND

On April 20, 2011, the EEOC brought suit against Signal under Title VII of the Civil Rights Act of 1964, as amended, 42 U.S.C. § 2000e et seq. (“Title VII”), for discriminating against approximately 500 Indian national employees who worked and lived in Pascagoula, Mississippi and Orange, Texas. The EEOC’s claims are brought pursuant its authority under §§ 706 and 707 of Title VII on behalf of a class of Indian employees.6 The EEOC alleges Signal 1) created a hostile work environment for the Indian employees (in violation of § 703(a) of Title VII, 42 U.S.C. § 2000e-2(a)); 2) discriminated against and subjected the Indian employees to disparate terms and conditions of employment based upon their race and national origin (in violation of § 703(a) of Title VII, 42 U.S.C. § 2000e-2(a)); 3) unlawfully retaliated against two employees7 (in violation of § 704(a) of Title VII, 42 U.S.C. § 2000e-3(a)); and 4) engaged in a pattern [817]*817or practice of subjecting the employees to a hostile work environment and disparate terms and conditions of employment based on their race and national origin.8

On February 3, 2012, the plaintiffs-inter-venors filed a class complaint in intervention against Signal.9 The intervenors alleged the same claims as the EEOC for 1) hostile work environment; 2) discrimination and 3) retaliation, but did not allege a pattern or practice claim.10 On November 7. 2012, the plaintiffs-intervenors amended their complaint to add. nine more interve-nors.11

The EEOC moved to bifurcate the case for trial and discovery on July 20, 2012.12 The plaintiffs-intervenors filed a memorandum in support of the EEOC’s motion.13 Signal opposed the EEOC’s motion.14 Although Signal agreed bifurcation was ordinarily appropriate for pattern and practice claims, it disagreed with the manner in which the EEOC proposed to bifurcate the case.

The Court granted the EEOC’s Motion to bifurcate in part.15 The Court ordered liability and injunctive relief under the EEOC’s pattern and practice claim for disparate treatment to be litigated in Phase I under the framework the United States Supreme Court delineated in International Brotherhood of Teamsters v. United States, 431 U.S. 324, 97 S.Ct. 1843, 52 L.Ed.2d 396 (1977).16 The Court directed all remaining claims asserted by the EEOC and the plaintiffs-intervenors to be tried in Phase II, including Signal’s liability for punitive damages.17 Because the pleadings revealed that the EEOC and Signal disagreed over the burdens of proof, recoverable damages, and the interpretation of § 706 and § 707 of Title VII, the Court further ordered the parties to submit proposed case management orders to identify the exact claims to be tried in each phase, the statutory basis for each claim, the burden of proof to be applied to each claim, and whether or not a pattern or practice finding in Phase I would have any effect in Phase II.18 The parties submitted their proposed case management orders and they are now before the Court.

A status conference was held on November 8, 2013 at which the parties discussed their proposed discovery plans and case management orders.19 The parties orally requested clarification of the Court’s prior [818]*818order20 specifically with respect to whether the EEOC could bring its Phase I pattern or practice claim under both §§ 706 and 707, whether or not Phase I would be tried by a jury, what remedies would be available for the EEOC’s pattern or practice claim in Phase I, and what, if any, effect a Phase I finding of a pattern or practice of discrimination would have in Phase II. The parties were afforded an additional opportunity to express their concerns by submitting letters to the Court.21

LAW AND ANALYSIS

After considering the issues raised in the parties’ proposed discovery plans and case management orders, the Court grants the EEOC’s Motion for Entry of Discovery Plan and Case Management Order. The Court will enter a separate case management order for Phase I.22

The Court also grants the parties’ oral request for clarification of its August 19, 2013 Order23 and Reasons bifurcating the case, as set forth below.

I. Phase I

(A) EEOC’s §§ 706 and 707 Pattern or Practice Claims

The parties disagree as to whether the EEOC may bring its pattern or practice claim for disparate treatment under both §§ 706 and 707 of Title VII, and, if so, whether both claims may be tried in Phase I.

The EEOC alleges pattern or practice claims in its complaint under §§ 706 and 707 and argues it may proceed under the Teamsters framework for both.24 All parties agree that pattern and practice claims generally proceed under the framework delineated in Teamsters. The Teamsters model begins with a “liability” stage, where “the EEOC must first establish a prima facie case of pattern or practice by ‘demonstrating] that unlawful discrimination has been a regular procedure or policy followed by an employer or group of employers.’ ” EEOC v. JBS USA, LLC, 2011 WL 3471080, 2011 U.S. Dist. LEXIS 87127 (D.Colo. Aug. 8, 2011) (quoting Teamsters, 431 U.S. at 360, 97 S.Ct. 1843). The burden then shifts to the employer to rebut the prima facie showing of pattern or practice by showing the EEOC’s prdof is “inaccurate or insignificant.” Teamsters, 431 U.S. at 360, 97 S.Ct. 1843.

Signal contends the EEOC cannot pursue a pattern or practice claim under § 706 using the Teamsters model because only claims under § 707 may proceed using Teamsters. Signal relies upon the decision in EEOC v. Bass Pro Outdoor World, LLC, where the Southern District of Texas outlined the treatment of pattern or practice claims under §§ 706 and 707 among district courts:

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Bluebook (online)
37 F. Supp. 3d 814, Counsel Stack Legal Research, https://law.counselstack.com/opinion/david-v-signal-international-llc-laed-2013.