Epps v. NCNB Texas National Bank

838 F. Supp. 296, 1993 U.S. Dist. LEXIS 16563, 1993 WL 477686
CourtDistrict Court, N.D. Texas
DecidedMarch 11, 1993
Docket3:92-cr-00509
StatusPublished
Cited by14 cases

This text of 838 F. Supp. 296 (Epps v. NCNB Texas National Bank) is published on Counsel Stack Legal Research, covering District Court, N.D. Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Epps v. NCNB Texas National Bank, 838 F. Supp. 296, 1993 U.S. Dist. LEXIS 16563, 1993 WL 477686 (N.D. Tex. 1993).

Opinion

MEMORANDUM OPINION AND ORDER

SANDERS, Chief Judge.

Before the Court are Defendant’s Motion for Summary Judgment, filed December 7, 1992; Plaintiff’s Response, filed January 11, 1993; and Defendant’s Reply, filed January 26, 1993.

I. Background

This suit involves an alleged breach of contract and attendant ERISA issues. In June of 1989, Plaintiff David O. Epps left his career as a self-employed Certified Public Accountant to become a Senior Vice President and Division Manager for NCNB Texas National Bank (“Bank”). 1 Before Epps accepted the Bank’s offer of employment, Epps and the Bank entered into a severance agreement which provided for severance pay to extend over a period of time if Epps’ employment with the Bank ceased under certain conditions. Specifically, the severance agreement stated that “[i]f [Epps] should cease to be employed by [the Bank] for any reason other than termination for cause or voluntary termination, [the Bank] will pay severance on the following basis____”

In August of 1991, Plaintiffs job responsibilities changed. Plaintiff then informed the Bank that he was not pleased with his new responsibilities and stated that he believed that this change triggered the severance agreement. When the Bank declined to hon- or the agreement, Epps left his employment with the Bank for another position at a competing Bank. The principal question presented to the Court in this suit is whether the events which have occurred trigger the Bank’s duty to honor its obligations under the severance agreement and entitle Epps to the benefit of that contract. 2

The Bank has moved for summary judgment, contending that the severance agreement is plainly inapplicable. Plaintiff, however, asserts that summary judgment is inappropriate, arguing that the agreement is ambiguous and that a trial is required to determine a proper understanding of the intent of the parties.

II. Analysis

“Summary judgment reinforces the purpose of the Rules, to achieve the just, speedy, and inexpensive determination of actions, and, when appropriate, affords a merciful end to litigation that would otherwise be lengthy and expensive.” Fontenot v. Upjohn Co., 780 F.2d 1190, 1197 (5th Cir.1986).

Summary judgment is proper when the pleadings and evidence on file show that no genuine issue exists as to any material fact and that the moving party is entitled to *299 judgment or partial judgment as a matter of law. See Fed.R.Civ.P. 56. Before a court may grant summary judgment, the moving party must demonstrate that it is entitled to judgment as a matter of law because there is no actual dispute as to an essential element of the nonmovant’s case. See Topalian v. Ehrman, 954 F.2d 1125 (5th Cir.), cert. denied, — U.S. -, 113 S.Ct. 82, 121 L.Ed.2d 46 (1992). The threshold inquiry, therefore, is “whether ... there are any genuine factual issues that properly can be resolved only by a finder of fact because they may reasonably be resolved in favor of either party.” Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 251, 106 S.Ct. 2505, 2511, 91 L.Ed.2d 202 (1986). Of course, “the substantive law will identify which facts are material.” Id. at 248, 106 S.Ct. at 2510.

The Supreme Court has explained that a movant for summary judgment need not support the motion with evidence negating the opponent’s case; rather, once the movant establishes that there is an absence of evidence to support the non-movant’s case, the burden is on the non-movant to make a showing sufficient to establish an issue of fact for each element as to which that party will have the burden of proof at trial. See Celotex Corp. v. Catrett, 477 U.S. 317, 322-25, 106 S.Ct. 2548, 2552-53, 91 L.Ed.2d 265 (1986).

Once the moving party shows that it is entitled to summary judgment, the burden shifts to the nonmoving party to “come forward with ‘specific facts showing that there is a genuine issue for trial.”’ Matsushita Elec. Indus. Co. v. Zenith Radio Corp., 475 U.S. 574, 587, 106 S.Ct. 1348, 1356, 89 L.Ed.2d 538 (1986) (emphasis in original) (quoting Rule 56(e)); see also Fontenot, 780 F.2d at 1195-98. A party must do more than simply show some “metaphysical doubt as to the material facts.” Matsushita, 475 U.S. at 586, 106 S.Ct. at 1355. Stated another way, “[i]f the record, taken as a whole could not lead a rational trier of fact to -find for the nonmoving party, there is no genuine issue for trial.” Friou v. Phillips Petroleum Co., 948 F.2d 972, 974 (5th Cir.1991) (citing Matsushita, 475 U.S. at 587, 106 S.Ct. at 1356). However, all of the evidence must be viewed in the light most favorable to the motion’s' opponent. Gremillion v. Gulf Coast Catering Co., 904 F.2d 290, 292 (5th Cir.1990).

In its consideration of the motion for summary judgment, the Court relies on the following facts:

1) In early 1983, RepublicBank, a predecessor of the Bank, created a specialized Insurance Division designed to provide credit and non-credit financial services to select mid-sized insurance companies. See Swiley Affidavit at ¶4.

2) In 1989, Plaintiff became a candidate for'the Insurance Division Manager position, a management and marketing post. At the time, Plaintiff, who had been employed for a number of years in the insurance industry, had his own CPA practice in Dallas.' See id. at ¶ 5.

3) During the hiring process, Plaintiff expressed to John Dienes and Thomas Swiley, two officials of the Bank, his concern that the Barik might later decide to withdraw from or curtail its insurance lending business and thus effectively shut down the insurance lending functions of the Bank and eliminate the position for which Plaintiff was being considered. See Epps Affidavit at 3-4. Therefore, Plaintiff requested a contract which provided for severance benefits should he be discharged without cause from employment with the Bank.

4) The parties eventually negotiated a contract of employment which included a severance agreement. In a letter addressed to Plaintiff, the Bank offered to hire Plaintiff as a “Senior Vice President and Division Manager” at a salary of $95,000 per year. The offer of employment also included a severance agreement.

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Bluebook (online)
838 F. Supp. 296, 1993 U.S. Dist. LEXIS 16563, 1993 WL 477686, Counsel Stack Legal Research, https://law.counselstack.com/opinion/epps-v-ncnb-texas-national-bank-txnd-1993.