Equal Employment Opportunity Commission v. Sterling Jewelers, Inc.

3 F. Supp. 3d 57, 2014 U.S. Dist. LEXIS 31524, 121 Fair Empl. Prac. Cas. (BNA) 1891
CourtDistrict Court, W.D. New York
DecidedMarch 10, 2014
DocketNo. 08-CV-00706-A
StatusPublished
Cited by3 cases

This text of 3 F. Supp. 3d 57 (Equal Employment Opportunity Commission v. Sterling Jewelers, Inc.) is published on Counsel Stack Legal Research, covering District Court, W.D. New York 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. Sterling Jewelers, Inc., 3 F. Supp. 3d 57, 2014 U.S. Dist. LEXIS 31524, 121 Fair Empl. Prac. Cas. (BNA) 1891 (W.D.N.Y. 2014).

Opinion

ORDER

RICHARD J. ARCARA, District Judge.

The above-referenced case was referred to Magistrate Judge Jeremiah J. McCarthy pursuant to 28 U.S.C. § 636(b)(1) for pretrial proceedings. On January 2, 2014, Magistrate Judge McCarthy filed a Report and Recommendation (Dkt. No. 383) recommending that the motion of defendant Sterling Jewelers, Inc., for partial summary judgment (Dkt. No. 336) be granted to the extent that the claim of plaintiff Equal Employment Opportunity Commission of a nationwide pattern or practice of employment discrimination by defendant Sterling be dismissed, with prejudice, and that the motion be otherwise denied, and that defendant’s motion to strike (Dkt. No. 370) be denied, without prejudice.

Upon careful consideration of the Report and Recommendation, the objections of plaintiff EEOC, the response to the objections of the EEOC by defendant Sterling, relevant pleadings of the parties, and having heard oral argument on March 7, 2014, the Court hereby adopts the Report and Recommendation, and it is

ORDERED, that pursuant to 28 U.S.C. § 636(b)(1), and for the reasons set forth in Magistrate Judge McCarthy’s Report and Recommendation (Dkt. No. 383), defendant Sterling’s motion for partial summary judgment is granted in part and the claim of plaintiff EEOC of a nationwide pattern or practice of employment discrimination by defendant Sterling is dismissed, with prejudice, and it is further

ORDERED, that defendant Sterling’s motion for partial summary judgment (Dkt. No. 336), and defendant’s motion to strike (Dkt. No. 370), are otherwise denied as moot, and it is further

ORDERED, that the Clerk shall enter Judgment dismissing the action, with prejudice.

IT IS SO ORDERED.

REPORT, RECOMMENDATION AND ORDER

JEREMIAH J. McCarthy, United States Magistrate Judge.

Before me are two motions by defendant Sterling Jewelers, Inc. (“Sterling”): a motion for partial summary judgment [336],1 and a motion to strike portions of the Statement of Facts of plaintiff Equal Employment Opportunity Commission (“EEOC”) [370]. Oral argument was held on December 9, 2013 [376]. For the following reasons, Sterling’s motion to strike is denied as moot, and I recommend that its motion for partial summary judgment be granted in part and denied in part.

BACKGROUND

Between May 2005 and November 2006, 19 female employees (the “Charging Parties”) at Sterling’s stores in New York, Florida, California, Massachusetts, Missouri, Nevada, Indiana and Texas filed charges with the EEOC against Sterling on behalf of themselves and similarly situated employees, alleging sex discrimination in pay and/or promotions. EEOC’s Brief [362], p. 1. The charges were investigated by five EEOC investigators. [376], p. 12. By June 2007, the charges were transferred to the EEOC’s Buffalo office, and were assigned to a single investigator, David Ging. EEOC’s Brief [362], p. 1.

[61]*61On January 25, 2007 the EEOC, Sterling and the Charging Parties entered into a “Mediation and Confidentiality Agreement” calling for the EEOC’s participation in a mediation between Sterling and the Charging Parties. [865-18], pp. 2 of 22 et seq. That Agreement provided that “the Parties shall not rely on, or introduce as evidence in any court, arbitration, judicial, or other proceeding any information disclosed by any other party, their experts, or by the Mediator regarding such other party in the course of or pursuant to the mediation”. Id., ¶ 10.

During the mediation, counsel for the Charging Parties submitted a statistical analysis of Sterling’s pay and promotion data prepared by their expert, Dr. Louis Lanier, dated September 4, 2007 and bearing the legend “For Settlement Purposes Only” [389-32]. The parties subsequently modified the Mediation and Confidentiality Agreement to provide that the “EEOC may place Dr. Lanier’s tables and explanatory notes in its investigatory file. However, such tables shall not lose their mediation privilege”. [365-13], p. 10 of 22, ¶ 4.

In November 2007, Mr. Ging wrote to counsel for the Charging Parties and Sterling, stating:

“I have been informed by [EEOC] Regional Attorney Elizabeth Grossman that the outside mediation process regarding the above-referenced charges has been on unsuccessful. I understand that Ms. Grossman has [Sterling’s] permission to provide me its documents exchanged in conjunction with the mediation which are numbered 0001-3348. I further understand that Ms. Grossman has Charging Parties’ and [Sterling’s] permission to provide me with Dr. Lanier’s tables and explanatory notes prepared in conjunction with the mediation. Ms. Grossman has agreed that Dr. Lanier’s analysis in the underlying data shall not lose its mediation privilege and will not be disclosed to any non-Charging Party.
While the Commission will not be making additional requests for information, both parties are encouraged to provide any further information you wish to be considered by the Commission to me by November 21, 2007.”

[363-1], pp. 36-37 of 189.

Although Sterling did not provide any additional information in response to that invitation,2 on November 30, 2007 counsel for the Charging Parties wrote to Mr. Ging, stating that “[o]ur clients and other women similarly situated to them claim they have been subjected to a pattern and practice of sex discrimination in compensation and promotion decisions at Sterling Jewelers stores. This letter and accompanying exhibits set forth the factual, legal and statistical support of the Charging Parties’ claims. We hope this information is helpful to your investigation”. [363-1], p. 71 of 189. However, Mr. Ging did not recall having received this letter ([339-24], pp. 187-88), and when asked whether he reviewed it as part of his investigation into the charges against Sterling, he replied “I can’t be sure that I did”. Id., p. 188.

On January 3, 2008 the EEOC issued a Letter of Determination, stating:

“The investigation determined that Respondent subjected Charging Parties and a class of female employees with retail sales responsibilities nationwide to a pattern or practice of sex discrimination in regard to promotion and compen[62]*62sation. Statistical analysis of pay and promotion data provided by Respondent reveals that Respondent promoted male employees at a statistically significant, higher rate than similarly situated female employees and that Respondent compensated male employees at a statistically significant, higher rate than similarly situated female employees. Witness testimony further corroborates the allegations.”

[339-34], p. 4.

The EEOC commenced this action on September 23, 2008, alleging that “[s]inee at least January 1, 2003, Sterling has engaged in unlawful employment practices throughout its stores nationwide” by discriminating against female employees in promotion and compensation, in violation of Title VII, 42 U.S.C. §§ 2000e-2(a) and 2000e-2(k). Complaint [1], ¶¶ 7, 8.

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3 F. Supp. 3d 57, 2014 U.S. Dist. LEXIS 31524, 121 Fair Empl. Prac. Cas. (BNA) 1891, Counsel Stack Legal Research, https://law.counselstack.com/opinion/equal-employment-opportunity-commission-v-sterling-jewelers-inc-nywd-2014.