Equal Employment Opportunity Commission v. Creative Playthings, Ltd.

375 F. Supp. 2d 427, 2005 U.S. Dist. LEXIS 12404
District Court, E.D. Pennsylvania·Decided June 21, 2005·No. 2:04-cv-03243·Published·Cited by 2 cases

Opinion

MEMORANDUM AND ORDER

ANITA B. BRODY, District Judge.

I. INTRODUCTION

Plaintiff Equal Employment Opportunity Commission (“EEOC”) brought this action against Creative Playthings, Ltd. (“Creative Playthings”) on July 9, 2004, alleging retaliatory firing and other unlawful employment practices in violation of Title VII of the Civil Rights Act of 1964, as amended, 42 U.S.C. § 2000e, et seq. (“Title VII”). On October 14, 2004, Gerald Flanagan (“Flanagan”), the employee whose termination is the basis for this action, filed a motion to intervene. On October 28, 2004, Flanagan’s motion to intervene was granted. On November 4, 2004, Flanagan filed an intervenor complaint, in which he brought claims for wrongful discharge and retaliation under Title VII and the Pennsylvania Human Relations Act (“PHRA”), Pa. Stat. Ann. tit. 43, §§ 951-963 (West 1991 & Supp.2005), along with various state-law claims including trade libel and defamation, interfer *430 ence with contracts and business, intentional infliction of mental and emotional distress, and breach of promise. Before me now is Creative Playthings’s motion to dismiss the state-law claims in Flanagan’s intervenor complaint.

II. BACKGROUND

The facts as alleged in the complaint are as follows. Creative Playthings is a corporation that is in the general business of manufacturing, distributing, and selling playground swing sets. (Intervenor Compl. ¶¶ 8, 27.) Flanagan was initially hired by Creative Playthings on July 26, 2000 as Store Manager for Creative Playthings’s West Chester, Pennsylvania store. (Id. at ¶ 9.) Within eight weeks of being hired, Flanagan was promoted to District Manager. (Id. at ¶ 10.) This promotion made him responsible for several Creative Playthings’s stores in the southeastern Pennsylvania region. (Id.) In June 2002, Flanagan was offered a promotion to assume exclusive operation for Creative Playthings’s Commercial Division, and he was informed that his salary would be $150,000 per year plus $50,000 or more yearly in commissions or bonuses. (Id. at ¶11.)

As part of this promotion to the Commercial Division, Flanagan was given the responsibility for recommending two District Managers who would replace him in the southeastern Pennsylvania region. (Id. at ¶ 12.) Flanagan recommended Va-mar Franklin and Dennis Anderson, both of whom are African-American. (Id.) Creative Playthings refused to promote Vamar Franklin and Dennis Anderson as District Managers because of their race, and on July 5, 2002, Creative Playthings proceeded to terminate Flanagan’s employment without notice. (Id. at ¶ 15-17.)

On or about July 12, 2002, Flanagan filed a charge against Creative Playthings with the EEOC alleging wrongful discharge and violation of and deprivation of his rights under Title VII. (Id. at ¶ 4.) In March 2003, Creative Playthings filed a petition for a temporary restraining order alleging that Flanagan violated a non-compete agreement. (Id. at ¶ 23(a).) That petition had no legal basis and was dismissed by the court. (Id.) Creative Playthings proceeded to pursue an equity action against Flanagan for violation of a non-compete agreement after the petition for a temporary restraining order was dismissed. (Id. at ¶ 23(b).) Creative Playthings attacked Flanagan’s integrity, character, and reputation. (Id. at ¶ 24.) Creative Playthings also intentionally and maliciously made, distributed, and published accusations that Flanagan was untrustworthy and would not pay creditors. (Id. at ¶ 25.)

Following its investigation, the EEOC issued a determination that there was cause for finding a Title VII violation. (Id. at ¶ 5.) The EEOC then filed the present lawsuit against Creative Playthings on July 9, 2004, alleging violations of Title VII. (Compl. at 1.) On October 14, 2004, Flanagan filed a motion to intervene. On October 26, 2004, Flanagan’s motion to intervene was granted, and on November 4, 2004, he filed his intervenor complaint, alleging violations of Title VII, the PHRA, and various state-law causes of action, specifically trade libel and defamation, interference with contract and business, intentional infliction of mental and emotional distress, and breach of promise. (Interve-nor Compl. ¶¶ 1, 32.) On November 17, 2004, Creative Playthings filed the motion to dismiss that is currently before me.

III. STANDARD OF REVIEW

Creative Playthings filed this motion to dismiss pursuant to Rule 12(b)(6) of the Federal Rules of Civil Procedure. Rule 12(b)(6) permits parties to file a motion to *431 dismiss for “failure to state a claim upon which relief can be granted.” Fed. R.Civ.P. 12(b)(6). In addition to asserting that Flanagan failed to state claims upon which relief could be granted, Creative Playthings also asserts that the claims in the intervenor complaint are beyond the permissible scope of the claims that plaintiff can bring as an intervenor in the present action. This assertion relates to the court’s subject matter jurisdiction over the claims, which is more properly brought pursuant to Rule 12(b)(1) of the Federal Rules of Civil Procedure. Mortensen v. First Fed. Sav. & Loan Assoc., 549 F.2d 884, 891 (3d Cir.1977) (explaining that 12(b)(6) motions necessitate a ruling on the merits while other motions to dismiss deal with procedural defects, and 12(b)(1) motions in particular address the trial court’s power to hear the case). Because Creative Playthings’s motion to dismiss involves both a non-waivable challenge to subject matter jurisdiction that should be brought pursuant to Rule 12(b)(1), and a challenge to the legal sufficiency of the complaint brought pursuant to Rule 12(b)(6), I will set forth the standard of review for each type of challenge.

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Equal Employment Opportunity Commission v. Creative Playthings, Ltd., 375 F. Supp. 2d 427, 2005 U.S. Dist. LEXIS 12404 (E.D. Pa. 2005).

375 F. Supp. 2d 427 (Equal Employment Opportunity Commission v. Creative Playthings, Ltd.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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