Davis v. OLD DOMINION TOBACCO CO., INC.

755 F. Supp. 2d 682, 2010 WL 5174779
District Court, E.D. Virginia·Decided December 10, 2010·No. Civil Action 2:09cv603, 2:10cv130·Published·Cited by 5 cases

Opinion

OPINION

REBECCA BEACH SMITH, District Judge.

This action is before the court on the defendants’ Motion for Summary Judgment pursuant to Rule 56 of the Federal Rules of Civil Procedure. For the reasons stated below, the Motion for Summary Judgment is GRANTED.

Procedural History

The plaintiff, James L. Davis, filed an Amended Complaint (“Complaint”) 1 in the Circuit Court for the City of Virginia Beach, Virginia, alleging fraud, constructive fraud, and undue influence against the defendants, and breach of contract against Old Dominion Tobacco Company, Inc. (“Old Dominion”). On December 9, 2009, the defendants removed the plaintiffs causes of action to this court, pursuant to 28 U.S.C. § 1441(b), asserting that the plaintiffs breach of contract claim “arises under” a question of federal law, namely the Employee Retirement Income Security Act (“ERISA”). On February 26, 2010, the court found that the plaintiffs breach of contract claim, Count VI of the Complaint, was completely preempted by ERISA, and was, therefore, properly removed to this court. Additionally, the court found that the plaintiffs state law tort claims were properly removed to this court under this court’s supplemental and pendent jurisdiction, pursuant to 28 U.S.C. §§ 1367(a) and 1441(c), respectively. On March 8, 2010, the court found that all the plaintiffs claims were completely preempted by ERISA, and granted the plaintiff leave to amend the Complaint so that he could clarify his claims under ERISA, and raise all claims, as appropriate, for any purported violations of ERISA’s provisions.

On March 26, 2010, the plaintiff filed a Second Amended Complaint (“Amended Complaint”), stating causes of action under ERISA. 2 As in the Complaint, the plaintiff claims that his employer, defendant Old Dominion, fired him, at the behest of defendant Robin Ray (“Ray”), while he was disabled, in order to preclude him from collecting benefits purportedly due under an ERISA plan. 3 Accordingly, in Count I, the plaintiff seeks recovery of ERISA benefits, pursuant to 29 U.S.C. §§ 1132(a)(1)(B) and (3); in Count II, the plaintiff states a claim for interference with rights protected by ERISA, pursuant to 29 U.S.C. § 1140; and, in Count III, the plaintiff states a claim for breach of fiduciary duty, pursuant to 29 U.S.C. §§ 1104 and 1109. On March 25, 2010, the plaintiff filed, as a separate cause of action in this court, a complaint (“ADEA/ADA Complaint”) stating causes of action arising under the Age Discrimination in Employment Act (“ADEA”) and the American with Disabilities Act (“ADA”). 4 In the *687 ADEA/ADA Complaint, the plaintiff alleges the same factual background as he alleges in the Amended Complaint. In Count I, he states a claim for discrimination in violation of the ADEA, pursuant to 29 U.S.C. 621 et seq. In Count II, he states a claim for discrimination in violation of the ADA, pursuant to 42 U.S.C. § 12101 et seq. On April 28, 2010, upon joint motion by all parties, the court consolidated the two actions, with both to proceed under Civil Action No. 2:09ev603.

On May 21, 2010, the court denied the defendants’ Motion to Dismiss Count I of the Amended Complaint, pursuant to Federal Rule of Civil Procedure 12(b)(6). On September 7, 2010, the defendants filed the instant Motion for Summary Judgment, pursuant to Federal Rule of Civil Procedure 56(b). On September 28, 2010, the plaintiff filed an untimely Response in Opposition (“Response”). On October 18, 2010, the court granted the plaintiffs Motion for Leave to File his Response After the Expiration of the Specified Time, and on October 15, 2010, the defendants filed their Reply. The Motion for Summary Judgment is now ripe for review.

Factual History

Unless otherwise noted, the following facts have been stipulated by the parties, see Final Pretrial Order, ECF No. 60, and/or admitted. 5 The plaintiff was an employee of defendant Old Dominion for more than forty years. Defendant Robin Ray (“Ray”) is a co-owner and President of Old Dominion, and is the plaintiffs cousin. During the course of the plaintiffs employment with Old Dominion, he was promoted to Vice President of the Beverage, C02, and Vending Department. In 1992, after becoming Vice President, the plaintiff entered into a Deferred Compensation Agreement with Old Dominion (“1992 Agreement”). 6 Under the 1992 Agree *688 ment, the plaintiff (or designated beneficiary) was eligible to receive monthly benefit payments for 180 consecutive months upon: 1) retirement from Old Dominion at the age of sixty-five or older; 2) retirement due to permanent or indefinite disability; or 3) death, as long as he was employed by Old Dominion at the time of retirement or death. 1992 Agreement, Art. III(A)-(C), Am. Compl. Ex. 1, ECF No. 14-1. If the plaintiff sought to retire due to disability, he had to be deemed permanently or indefinitely disabled by a licensed physician chosen by Old Dominion. Id. at Art. 1(A); 7 see also id. at Art. III(B). However, if the plaintiffs employment was terminated “for any reason other than death, disability, or retirement at age 65,” he would receive no benefits under the 1992 Agreement and the Agreement would become “null and void.” Id. at Art. III(D). Old Dominion was not required to fund the plan and the plaintiff did not “have any lien nor right, title or interest in or to any specific funding investment or to any assets of [Old Dominion].” Id. at Art. IV. 8

In 2006, the plaintiff began receiving treatment for various health problems, including depression and addictions to alcohol and pain medication. 9

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Davis v. OLD DOMINION TOBACCO CO., INC., 755 F. Supp. 2d 682, 2010 WL 5174779 (E.D. Va. 2010).

755 F. Supp. 2d 682 (Davis v. OLD DOMINION TOBACCO CO., INC.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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