Equal Employment Opportunity Commission v. Hibbing Taconite Co.

266 F.R.D. 260, 2009 U.S. Dist. LEXIS 124991
CourtDistrict Court, D. Minnesota
DecidedDecember 7, 2009
DocketCivil No. 09-0729 (RHK/RLE)
StatusPublished
Cited by31 cases

This text of 266 F.R.D. 260 (Equal Employment Opportunity Commission v. Hibbing Taconite Co.) is published on Counsel Stack Legal Research, covering District Court, D. Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Equal Employment Opportunity Commission v. Hibbing Taconite Co., 266 F.R.D. 260, 2009 U.S. Dist. LEXIS 124991 (mnd 2009).

Opinion

ORDER

RAYMOND L. ERICKSON, Chief Magistrate Judge.

I. Introduction

This matter came before the undersigned United States Magistrate Judge pursuant to a general assignment, made in accordance with the provisions of Title 28 U.S.C. § 636(b)(1)(A), upon the Defendant’s Motion for Leave to File a Second Amended Answer. See, Docket No. 24. On September 29, 2009, the Court granted Defendant’s Motion for Relief to file a Reply Brief, see Docket No. 42, and we conducted a Hearing on the Motion on October 15, 2009, at which time, the Plaintiff Equal Employment Opportunity Commission (“EEOC”) appeared by Laurie A. Vasichek, Esq., the Plaintiff-Intervenor James Edstrom (“Edstrom”) appeared by Benjamin R. Elwood, Esq, and the Defendant Hibbing Taconite Company (“Hibbing Taconite”) appeared by R. Thomas Torgerson, Esq. For reasons which follow, we deny Hibbing Taconite’s Motion.

II. Factual and Procedural Background

This action arises out of a Complaint, which was filed on March 31, 2009, by the EEOC. See, Docket No. 1. The Complaint was filed as an action under Title I of the Americans with Disabilities Act, Title 4% U.S.C. § 12112 (“ADA”), and claims that Edstrom is substantially limited in the major life activities of hearing and speaking. See, Amended Answer, Docket No. 6, at ¶ 7. The EEOC alleges that Hibbing Taconite discriminated against Edstrom by initially failing to interview him for an employment position, on account of his disabilities, by failing to provide him with effective reasonable accommodations during the application process, and by rejecting him, because of his disabilities, for positions as to which he was qualified. See, Complaint, Docket No. 1. The EEOC requests a permanent injunction, a directive that Hibbing Taconite institute and carry out policies, practices, and programs, for equal employment opportunities, so as to eradicate the effects of any past or present unlawful employment practices, together with an award of backpay, and “other affirmative relief.” Id.

Hibbing Taconite filed an Answer to the EEOC’s Complaint on June 1, 2009, in which it asserted the following seven (7) affirmative defenses: the failure to state a claim; an unsupported request for relief; a “direct threat” defense; a “legitimate, nondiscriminatory, business reasons” defense; a use of tests which are work-related and consistent with business necessity defense; and a reservation to plead additional affirmative defenses. See, Docket No. 4■ On June 10, 2009, Hibbing Taconite filed an Amended Answer in which it alleged the additional affirmative defense of laches. See, Docket No. 6. Thereafter, on July 31, 2009, the EEOC produced its initial discovery disclosures to Hibbing Taconite. See, Memorandum in Support of Motion (“Hibbing Taconite Memo”), Docket No. 25 at p. 2.

According to Hibbing Taconite, in examining those disclosures it determined that four (4) new affirmative defenses were now justified. Id. On September 1, 2009, Hibbing Taconite filed a Motion for Leave to File its [264]*264Second Amended Answer. See, Docket No. 21p. Hibbing Taeonite now seeks to assert the following four (4) additional affirmative defenses: unclean hands; a violation of “the mediation privilege;” a tainted investigation and cause finding defense; and a failure to conciliate in good faith defense. See, Proposed Second Amended Answer, Docket No. 25-1. Hibbing Taeonite bases those new defenses on its assertion that the EEOC improperly used information, that was obtained during at least one (1) confidential mediation session, which was conducted by phone on March 20, 2006, between the EEOC, Edstrom, and Hibbing Taeonite. Hibbing Taco-nite alleges that the EEOC breached the confidentiality of that mediation session by including statements, which were purportedly made during that telephone call, in the initial EEOC charge, and by basing its probable cause finding, at least in part, on that improper information.

In May of 2007, Edstrom amended his initial charge in order to assert further allegations. See, Memorandum in Opposition to Motion (“EEOC Memo”), Docket No. 33, at p. 3. Upon receiving that Amended Charge, Hibbing Taeonite informed the EEOC that the document included information that was obtained from a confidential mediation session. The EEOC then issued another Anended Charge that did not contain the assertedly confidential statements. See, Proposed Second Amended Answer, supra at ¶26. Thereafter, Edstrom provided more information to the EEOC investigators, from the same telephone call of March 20, 2006. See, EEOC Memo, supra at p. 5. The EEOC has informed Hibbing Taeonite that it does not intend to use those assertedly confidential statements in this litigation. Id. at p. 7; see also, Reply to Motion (“Reply”), Docket No. Ip3 at p. 15. Consistent with that representation, the allegedly confidential statement does not appear in the EEOC’s Complaint. See, Docket No. 1.

The EEOC filed a Memorandum in Opposition to Hibbing Taconite’s Motion to Amend, as well as a Declaration of Laurie A. Vasichek (“Vasichek Declaration”), with exhibits, see, Docket Nos. 33, Sip, in which it argues that Hibbing Taconite’s Motion should be denied on futility grounds, because the Trial will adjudicate the EEOC’s claims, and therefore, Hibbing Taeonite has not been prejudiced by the assertedly confidential disclosures. In addition, the EEOC contends that the telephone conference, on March 20, 2006, was not a mediation session to which confidentiality attaches. See, EEOC Memo, supra. In its Reply, Hibbing Taeonite maintains that the newly proposed affirmative defenses are not futile, and should be permitted. Moreover, Hibbing Taeonite disputes the EEOC’s characterization of the conference call, on March 20, 2006, as not constituting a mediation session, and asks that the Court not consider the Vasichek Declaration, and its exhibits.

III. Discussion

A. Standard of Review. Rule 15(a), Federal Rules of Civil Procedure, provides, in pertinent part, as follows:

[A] party may amend the party’s pleading only by leave of court or by written consent of the adverse party; and leave shall be freely given when justice so requires.

In construing this Rule, the Supreme Court has observed:

If the underlying facts or circumstances relied upon by a plaintiff may be a proper subject of relief, he ought to be afforded an opportunity to test his claim on the merits. In the absence of any apparent or declared reasons—such as undue delay, bad faith or dilatory motive on the part of the movant, repeated failure to cure deficiencies by amendments previously allowed, undue prejudice to the opposing party by virtue of allowance of the amendment, futility of amendment, etc.-—the leave should, as the rules require, be “freely given.”

Foman v. Davis, 371 U.S. 178, 182, 83 S.Ct. 227, 9 L.Ed.2d 222 (1962); see also, Thompson-El v. Jones, 876 F.2d 66, 67 (8th Cir.

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266 F.R.D. 260, 2009 U.S. Dist. LEXIS 124991, Counsel Stack Legal Research, https://law.counselstack.com/opinion/equal-employment-opportunity-commission-v-hibbing-taconite-co-mnd-2009.