Davis v. Town of South Bethany Beach

CourtSuperior Court of Delaware
DecidedOctober 11, 2022
DocketS20C-06-018 CAK
StatusPublished

This text of Davis v. Town of South Bethany Beach (Davis v. Town of South Bethany Beach) is published on Counsel Stack Legal Research, covering Superior Court of Delaware primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Davis v. Town of South Bethany Beach, (Del. Ct. App. 2022).

Opinion

IN THE SUPERIOR COURT OF THE STATE OF DELAWARE

ALFRED DAVIS, ) ) Plaintiff, ) v. ) ) C.A. No. S20C-06-018 CAK TOWN OF SOUTH BETHANY BEACH, ) a Municipal Corporation ) of the State of Delaware, ) ) Defendant. )

Submitted: September 26, 2022 Decided: October 11, 2022

Upon Defendant’s Motion for Summary Judgment pursuant to Superior Court Rule 56(b)

DENIED IN PART AND GRANTED IN PART

MEMORANDUM OPINION AND ORDER

Eric G. Mooney, Esquire, Eric G. Mooney, P.A., 13 South Front Street, Georgetown, DE 19947, Attorney for Plaintiff.

Tasha Marie Stevens-Gueh, Esquire, Andrew & Stevens-Gueh, LLC, 115 South Bedford Street, Georgetown, DE 19947, Attorney for Plaintiff.

Stephani J. Ballard, Esquire, Law Offices of Stephani J. Ballard, LLC, 100 Rockland Road, P.O. Box 614, Montchanin, DE 19710, Attorney for Defendant.

KARSNITZ, R.J.

1 I. INTRODUCTION

On the paper record before me, and absent pretrial discovery, the Town of

South Bethany Beach, Delaware, a municipal corporation organized by Charter

under the laws of the State of Delaware (“Defendant”) asks me to grant it judgment

as a matter of law1 as to the following two claims by Alfred “Lee” Davis (“Plaintiff”)

against Defendant: (1) a promissory estoppel claim, and (2) a claim for violation of

an implied covenant of good faith and fair dealing. For the reasons discussed below,

I deny Defendant’s request as to the promissory estoppel claim, and I grant

Defendant’s request as to the good faith and fair dealing claim.

II. FACTS

Plaintiff was hired by Defendant as a police officer on or about August 6,

1991. Plaintiff retired in good standing on or about March 16, 2019. Plaintiff was 56

years old at the time of his retirement, and he had accrued 27 years of service with

Defendant.

Defendant first adopted a personnel policy manual (the “Manual”) on or about

January 14, 1995, which addressed separation from employment but contained no

provision regarding retirement. The preface to the 1995 Manual stated that its

contents were presented “as a matter of information only,” were “not conditions of

1 Pursuant to Super. Ct. Civ. R. 56(b): “A party against whom a claim, counterclaim or crossclaim is asserted or a declaratory judgment is sought may, at any time, move, with or without supporting affidavits for a summary judgment in the party's favor as to all or any part thereof.” 2 employment,” and further stated:

The Town reserves the right to modify, revoke, suspend, terminate, or change any or all such policies or procedures, in whole or in part, at any time, with or without notice. The language used in this manual is not intended to create, nor is it to be construed, to constitute a contract between the Town and one or all of its employees.2

In April, 2001, the Town revised and amended the Manual to add a retirement

provision to the separation section, which stated that employees who retired with 15

or more years of continuous service would receive bonuses in various amounts.3 The

preface to the 2001 revised Manual stated that “[t]he policies outlined in this book should

be regarded as guidelines”4 and

The Town of South Bethany, by the action of Town Council, retains the right to modify, revoke, suspend, terminate, or change any or all such policies or procedures, in whole or in part, at any time, with or without notice. The policies contained in this book are not intended to create a contract and/or a warranty of benefits between the Town and one or all of its employees.5

The 2001 revised Manual further provided:

The Town Council reserves the right to amend, supplement, or otherwise revise the provisions of the manual, in whole or in part, at any time. These actions shall supersede and replace any prior policy.6

In January, 2014, Defendant again revised the Manual, eliminating the

retirement bonus for employees hired on or after October 24, 2013 and, for existing

2 A-10. In the attachments to the respective pleadings, Plaintiff’s documents are designated as “Exhibit A, B, C” etc. and Defendant’s documents are designated as “Exhibit 1, 2, 3” etc. 3 At the time of the 2001 revision, Plaintiff had accrued 9 years of service with Defendant. 4 A-105. 5 Id. 6 A-109. 3 employees, maintained the amount of the bonuses available, but established age and

time of service criteria to be deemed “retired:”

For purposes of this section, an employee shall be deemed retired who, at the time of his/her separation from the Town, (A) has attained the age of 60 and has at least 15 years of continuous service with the Town, or (B) has 30 years of continuous service with the Town.7

Once again, the revised 2014 Manual stated that “[t]he policies outlined in this book

should be regarded as guidelines,”8 did not create a contract and/or a warranty of

benefits between Defendant and any employee(s),9 and “shall supersede and replace

any prior policy.” 10 Defendant emailed a copy of the revised 2014 Manual to each

employee, including Plaintiff, on January 31, 2014.

Plaintiff voluntarily retired in good standing effective March 16, 2019, at which time

he was 56 years old and had accrued 27 years of service. This did not meet the age

and time of service criteria for the retirement bonus under the terms of the revised 2914

Manual. Plaintiff demanded payment of a retirement bonus and Defendant advised

him that he was ineligible.

III. PROCEDURAL BACKGROUND

Plaintiff initially filed his Complaint on June 22, 2020, alleging entitlement

to his retirement bonus from Defendant. Prior to any responsive pleading from

7 A-92, 245. At the time of the 2014 Manual revisions, Plaintiff was 51 years old and had accrued 22 years of service with Defendant. 8 A-185. 9 Id. 10 A-189. 4 Defendant, on July 28, 2020, Plaintiff filed a second Complaint. The second

Complaint was not properly served on Defendant, so Defendant, on December 31,

2020, filed a Motion to Dismiss. On February 5, 2021, I denied Defendant’s Motion

to Dismiss, but ordered Plaintiff to file another Amended Complaint which clearly

articulated his claims for relief. O n February 16, 2021, Plaintiff filed his Amended

Complaint. Defendant filed its Answer on March 8, 2021.

A scheduling order was issued on June 3, 2021. Defendant moved for a stay

of discovery pending resolution of its Motion for Judgment on the Pleadings.11 I

g r a n t e d a s t a y on July 16, 2021. Following briefing by the parties, I heard oral

argument on January 5, 2022. At that oral argument, Plaintiff argued that Defendant’s

motion should not be granted at that time, and represented that discovery was

necessary. I granted limited discovery, but indicated that Defendant could

subsequently renew its motion in the form of a Motion for Summary Judgment.

On April 8, 2022, Defendant notified me that more than 90 days had elapsed with

Plaintiff having engaged in no discovery, nor taken any other action in the case.

Accordingly, on April 18, 2022, Defendant filed a renewed Motion for Summary

Judgment (the “Motion”). On July 29, 2022, Plaintiff filed his Answering Brief.

Attached to the Answering Brief was Plaintiff’s affidavit (the “Affidavit”), which I have

reviewed as part of the record. On August 19, 2022, Defendant filed its Reply Brief. On

11 Pursuant to Super. Ct. Civ. R. 12(c). 5 September 26, 2022, I held oral argument. This is my decision on the Motion for

Summary Judgment.

IV. STANDARD OF REVIEW

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Davis v. Town of South Bethany Beach, Counsel Stack Legal Research, https://law.counselstack.com/opinion/davis-v-town-of-south-bethany-beach-delsuperct-2022.