Dharam v. BAHL, Plaintiff-Appellant, v. ROYAL INDEMNITY COMPANY and Royal Insurance Company of America, Defendants-Appellees

115 F.3d 1283, 1997 U.S. App. LEXIS 12348, 70 Empl. Prac. Dec. (CCH) 44,767, 74 Fair Empl. Prac. Cas. (BNA) 1060, 1997 WL 280036
CourtCourt of Appeals for the Seventh Circuit
DecidedMay 28, 1997
Docket96-1810
StatusPublished
Cited by92 cases

This text of 115 F.3d 1283 (Dharam v. BAHL, Plaintiff-Appellant, v. ROYAL INDEMNITY COMPANY and Royal Insurance Company of America, Defendants-Appellees) is published on Counsel Stack Legal Research, covering Court of Appeals for the Seventh Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Dharam v. BAHL, Plaintiff-Appellant, v. ROYAL INDEMNITY COMPANY and Royal Insurance Company of America, Defendants-Appellees, 115 F.3d 1283, 1997 U.S. App. LEXIS 12348, 70 Empl. Prac. Dec. (CCH) 44,767, 74 Fair Empl. Prac. Cas. (BNA) 1060, 1997 WL 280036 (7th Cir. 1997).

Opinion

RIPPLE, Circuit Judge.

After he was fired as a property underwriter for Royal Indemnity Company (“Royal Indemnity”), Dharam Bahl brought this suit alleging that his former employer willfully discriminated against him and terminated his employment on the basis of his age and national origin. The district court granted the defendants’ motion , for summary judgment on both claims. Mr. Bahl now appeals the entry of summary judgment on his claim of discrimination based on national origin pursuant to Title VII of the Civil Rights Act of 1964, 42 U.S.C. §§ 2000e et seq. For the reasons set forth in the following opinion, we affirm the judgment of the district court.

I

BACKGROUND

A. Facts

1. Mr. Bahl’s employment history

Dharam Bahl was born in India in 1944. He earned his bachelor’s and master’s degrees in the United States and worked as a property underwriter in this country for more than fifteen years. From 1987 until his discharge on April 14, 1994, he was employed by Royal Indemnity in its Royal Global Division (“Royal Global”) office in Chicago, Illinois. 1 His primary responsibility was underwriting international or global property insurance for companies with facilities in two or more foreign countries. As a property underwriter, Mr. Bahl was required to evaluate the risk of insuring a particular piece of property. This responsibility required that he analyze such factors as the construction of the building, its occupancy, fire protection, internal and external exposures to hazards and loss, and the property’s history of loss at that site. Based on this information, he determined whether it was desirable to insure the property. Once he found the property insurable, he then determined both the rates to be used in setting the insurance premium and the amount of deductibles allowed. For policies that carried a deductible of less than $100,000, state insurance laws regulated the rate to be charged. When a policy’s deductible was $100,000 or more, however, Mr. Bahl, as the underwriter of. the policy, determined the rate of insurance. In those cases, he was required by state law to document his method for determining the rate in the policy file. This documentation was required so that the insurance company could demonstrate that it was not pricing risks arbitrarily or unfairly.

Mr. Bahl’s title in the Chicago office of Royal Global was first Midwest Regional Property Manager and later Global Account Executive; however, his duties remained the same under both appellations. His supervisor in that office was Raymond L. Trahant, Jr., the Midwest Regional Manager. Mr. Bahl also reported to the North American Underwriting Manager in New York concerning his underwriting duties. The two individuals who held that position during Mr. Bahl’s employment were Joe Gray and A1 Colosimo. The reporting senior of Gray, Co-losimo and Trahant was the Vice President for North American Operations, Alan Dris-coll. Driscoll joined Royal Indemnity in 1991 and became its Vice President in 1993; he was charged with overseeing the Royal Global operations of the New York, Chicago and Los Angeles offices.

Within months of Driscoll's arrival at Royal Indemnity in 1991, the two underwriting managers complained to Driscoll that Mr. Bahl would not take direction and was uncooperative. They also stated that, at times, Mr. Bahl’s submissions to the New York office for approval were incomplete and lacking critical details. Shortly thereafter, when Driscoll and Trahant were discussing Mr. *1286 Bahl’s abilities, Trahant assured Driscoll that, although, compliance had been an issue at one time, it no longer was a problem, and that all of the Chicago office’s policy files had been brought into compliance. Driscoll himself recounted two occasions on which he questioned Mr. Bahl’s work and lacked confidence in his abilities as a result of those discussions. 2

Mr. Bahl’s performance was reviewed on an annual basis by his supervisor, Trahant. His performance reviews during the first five years of employment were satisfactory. 3 In the 1992 performance review, Trahant commented that Mr. Bahl “must become computer competent. Do .whatever it takes to become very familiar with ... property filings and domestic rules and regulations in general.” R.23 at 11 para. 34. He also noted that an action point agreed upon by Trahant and Mr. Bahl was that “all business will be in compliance with state, Royal USA regulations.” Id. at 145. His overall comments, however, were positive:

[Mr. Bahl] continues to do a very good job. Respected by all the brokers for his professional approach. Has exceeded his premium goals. He is very dependable and loyal. His performance is consistent with time in job and responsibilities. He grows to the demands made on his job.

R.25 at 159.

However, Mr. Bahl’s performance review for 1993 was rated “needs improvement.” According to Trahant, Driscoll directed him to give Mr. Bahl that rating, but Trahant did not agree that it was appropriate. In the written text of Trahant’s review, Trahant separately rated Mr. Bahl’s job knowledge as very good and commented that Mr. Bahl was dependable and worked well with co-workers to accomplish the company’s and the regional department’s goals. About one week later, on April 14, 1994, Driscoll told Mr. Bahl that his employment was terminated. In the following section, we shall examine in greater detail the circumstances that preceded that termination.

2. The audit examination

According to Royal Indemnity, it was the company’s examination into the rating and underwriting practices of the Royal Global division that led to Mr. Bahl’s lower 1993 evaluation and eventual termination in 1994. Royal Indemnity, concerned about the compliance of its insurance practices with state insurance laws, had its Market Conduct Compliance Department conduct an examination of the rating and underwriting practices in Royal Global. This review of policies written by Royal Global was meant to simulate an examination conducted by a state insurance department and to identify potential violations so that Royal Global could take corrective action. The examination was led by the Regulatory Compliance Division Manager, Richard Ballantine.

Following this examination in November 1992, the findings were distributed to members of Royal Global’s management, including Tom Brown, Managing Director, and *1287 Driscoll, who was about to become Vice President of North American Operations for Royal Global. On January 29,1993, upon receipt of the report, Brown wrote to Driscoll of his disappointment and concern with the findings of the market conduct examination. He believed that there had not been strict adherence to statutory requirements and ordered Driscoll to bring the files into compliance:

I have to view these findings as a serious failure on the part of Management. It typifies the hands off style which I abhor. I need to know the following by urgent return fax:

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Williams v. City of Milwaukee
E.D. Wisconsin, 2021
Norma Perez v. Thorntons, Incorporated
731 F.3d 699 (Seventh Circuit, 2013)
Day v. Sears Holdings Corp.
930 F. Supp. 2d 1146 (C.D. California, 2013)
Cook v. Illinois Department of Corrections
736 F. Supp. 2d 1190 (S.D. Illinois, 2010)
Kogucki v. Metropolitan Water Reclamation District
698 F. Supp. 2d 1026 (N.D. Illinois, 2010)
Victor Guinto v. Exelon Generation Co
341 F. App'x 240 (Seventh Circuit, 2009)
Ridings v. Riverside Medical Center
537 F.3d 755 (Seventh Circuit, 2008)
Alexander v. Biomerieux, Inc.
485 F. Supp. 2d 924 (N.D. Illinois, 2007)
Bratcher v. SUBARU OF INDIANA AUTOMOTIVE, INC.
458 F. Supp. 2d 753 (S.D. Indiana, 2006)
Kabes v. School District of River Falls
387 F. Supp. 2d 955 (W.D. Wisconsin, 2005)
Paul Schuster v. Lucent Technologies, Inc.
327 F.3d 569 (Seventh Circuit, 2003)
Nina L. Schreiner v. Caterpillar, Incorporated
250 F.3d 1096 (Seventh Circuit, 2001)

Cite This Page — Counsel Stack

Bluebook (online)
115 F.3d 1283, 1997 U.S. App. LEXIS 12348, 70 Empl. Prac. Dec. (CCH) 44,767, 74 Fair Empl. Prac. Cas. (BNA) 1060, 1997 WL 280036, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dharam-v-bahl-plaintiff-appellant-v-royal-indemnity-company-and-royal-ca7-1997.