Dooley v. AutoNation USA Corp.

218 F. Supp. 2d 1270, 2002 U.S. Dist. LEXIS 16537, 84 Empl. Prac. Dec. (CCH) 41,473, 89 Fair Empl. Prac. Cas. (BNA) 1454, 2002 WL 1969654
CourtDistrict Court, N.D. Alabama
DecidedAugust 21, 2002
DocketCIV.A.CV-01-B-454-S
StatusPublished
Cited by9 cases

This text of 218 F. Supp. 2d 1270 (Dooley v. AutoNation USA Corp.) is published on Counsel Stack Legal Research, covering District Court, N.D. Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Dooley v. AutoNation USA Corp., 218 F. Supp. 2d 1270, 2002 U.S. Dist. LEXIS 16537, 84 Empl. Prac. Dec. (CCH) 41,473, 89 Fair Empl. Prac. Cas. (BNA) 1454, 2002 WL 1969654 (N.D. Ala. 2002).

Opinion

MEMORANDUM OPINION 1

BLACKBURN, District Judge.

Before the court are the Motion for Summary Judgment filed by Defendant AutoNation USA Corporation 2 (“defendant” or “AutoNation”) and the Motion to Strike Defendant’s Reply Brief and Additional Evidentiary Submission filed by Plaintiff Ronald Dooley (“plaintiff’ or “Dooley”). Dooley alleges that AutoNation discriminated against him in violation of the Alabama Age Discrimination Act, 1975 Ala.Code §§ 25-1-20 et. seq., by terminating his employment. Upon consideration of the record, the submissions of the parties, the arguments of counsel, and the relevant law, the court is of the opinion *1273 that defendant’s motion is due to be granted and plaintiffs motion is due to be denied.

I. FACTUAL SUMMARY

A. AutoNation USA’s Megastores

In 1996, AutoNation developed a chain of “Megastores” for the sale of previously owned vehicles reconditioned to be like new. (Aff. of Paxton Gagnet (“Gagnet Aff.”) ¶ 3, attached as Ex. A to Def.’s Mot. for Summ. J. (“Def.MSJ”).) To support this project, AutoNation built stand-alone reconditioning (“re-con”) centers. (Id.) Each re-con center serviced multiple Me-gastores, which were grouped in districts. (Id.) AutoNation employed a nationwide network of independent wholesale buyers who, based on a published matrix, purchased vehicles at auction and then shipped them to a re-con center. (Id. at ¶¶ 3, 4.) After the vehicle was reconditioned, it was delivered to a district Mega-store. (Id. at ¶ 3.) AutoNation’s use of stand-alone re-con centers was an expensive strategy that hindered AutoNation’s ability to be competitive in the used car market. (Id.) In addition, the Megastores were built to be too large for the markets they served, and turned out to be unprofitable. (Id.)

B. Plaintiff’s Employment as a Buyer

In October 1996, Dave Spurgeon and Chuck Rathert hired plaintiff 3 as a wholesale buyer. (Dep. of Ronald Dooley (“Dooley Dep.”) at 119-20, attached as Ex. B to Def. MSJ.) AutoNation employed Rathert, Spurgeon, and Dooley in its Dallas District. 4 (Id. at 142, see also Aff. of Charles Rathert (“Rathert Aff.”) ¶ 1, attached as Ex. C to Def. MSJ.) Rathert was the Area Re-Marketing Manager in charge of buyers for the Dallas District of the Wholesale Purchasing division of Auto-Nation, and Spurgeon was the Dallas District Buyer. (Id.) At this initial stage of his employment, although assigned to report to the Dallas District, plaintiff was permitted to purchase, according to published matrices, vehicles for Megastores throughout the nation. (Dooley Dep. at 140,143.)

C.Restructuring of the Buying Organization and Plaintiff’s Initial Termination

In the fall of 1997, defendant’s management began to implement cost containment measures because of the unacceptable financial losses which were being incurred by the Megastores. (Gagnet Aff. ¶ 4.) In November 1997, over 200 reconditioning center employees were laid off. Also, in the Fall of 1997, measures were implemented to restructure Megastore buying operations and make the AutoNation’s Buyers (“Buyers”) more accountable for the condition and marketability of the vehicles they purchased. 5 (Id.) With the implementation of these new restructuring and accountability measures, Buyers were *1274 assigned to purchase vehicles only for the Megastores or Districts to which they were directly accountable. (Dooley Dep. at 139-43; Gagnet Aff. ¶ 4.) Buyers who were not assigned to specific stores or districts were terminated. (Gagnet Aff. ¶ 4.)

Spurgeon and Rathert informed plaintiff that he had been transferred and would be a Buyer in the Atlanta, Georgia, area. (Dooley Dep. at 143.) That transfer never materialized, however, because the Vice President in charge of these Georgia stores, George Sutherlin, had already hired his son as the Buyer for that area. (Dooley Dep. at 143-46.) Because he could not find a position with a specific Megastore or group of stores, plaintiff was terminated on January 2, 1998. (Dooley Dep. at 149; Gagnet Aff. ¶ 5.)

D.Plaintiffs Separation Agreement and Rehiring

When AutoNation initially terminated plaintiff, the company offered him a severance payment of four weeks’ salary plus one week’s pay for every year of service. (Dooley Dep. at 149.) As a condition to the severance payment, the plaintiff agreed to and executed a “Separation Agreement with Waiver and Release of Claims,” generally releasing AutoNation USA Corporation, as well as its parent and affiliated corporations, from any and all claims which plaintiff had, might have had, or might have claimed to have, arising out of any acts, events, or transactions of his employment prior to January 9, 1998. (Id. at 149, 164-66, Ex. Nos. 3 & 4.) Through the efforts of Rathert, by the end of February 1998 plaintiff was rehired as a Buyer for AutoNation. (Id. at 150-52.) Plaintiff was assigned to the Grand Prairie, Texas Megastore, which was part of AutoNation’s Dallas District. (Id.) Later, plaintiff was also asked to purchase vehicles for other Megastores within the Dallas District. (Dooley Dep. at 152-53.)

E. Changes in the Duties of the Buyers

Despite AutoNation’s attempts to contain costs in 1997, it continued to experience financial difficulties in 1998. (Gagnet Aff. ¶ 5.) In March 1998, approximately 600 re-con center employees were laid off. (Id.) Marshall Chasron, the Senior Vice President for Operations for AutoNation USA Megastores, implemented an inventory quality control measure requiring all Buyers to “walk the inventory” at the stores to which they were assigned. (Id. ¶ 6; Rathert Aff. ¶ 2.) This meant that Buyers were required to regularly inspect the condition of all used vehicles at the stores for which they were purchasing vehicles to decide what additional cars needed to be purchased and to evaluate which cars were selling and which were not. (Gagnet Aff. ¶ 6; Rathert Aff. ¶ 2.) The Buyers were also required to inspect, with their store managers, trade-ins to decide whether they should be sold retail or wholesale. (Id.) Chasron’s policy was implemented to hold Buyers accountable for their purchases and to make sure they bought specifically for their stores’ individual needs. (Gagnet Aff. ¶ 6.) These new responsibilities required the Buyers, regardless of where they lived, to be on-site at them stores several times per week. 6 (Id.; Rathert Aff. ¶ 2.)

F. The Need for Plaintiff to Relocate to the Dallas Area

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218 F. Supp. 2d 1270, 2002 U.S. Dist. LEXIS 16537, 84 Empl. Prac. Dec. (CCH) 41,473, 89 Fair Empl. Prac. Cas. (BNA) 1454, 2002 WL 1969654, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dooley-v-autonation-usa-corp-alnd-2002.