Ewing v. Gill Industries, Inc.

3 Cal. App. 4th 601, 4 Cal. Rptr. 2d 640, 92 Daily Journal DAR 2081, 92 Cal. Daily Op. Serv. 1316, 1992 Cal. App. LEXIS 164, 68 Fair Empl. Prac. Cas. (BNA) 1455
CourtCalifornia Court of Appeal
DecidedJanuary 15, 1992
DocketDocket Nos. H007202, H007683
StatusPublished
Cited by21 cases

This text of 3 Cal. App. 4th 601 (Ewing v. Gill Industries, Inc.) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ewing v. Gill Industries, Inc., 3 Cal. App. 4th 601, 4 Cal. Rptr. 2d 640, 92 Daily Journal DAR 2081, 92 Cal. Daily Op. Serv. 1316, 1992 Cal. App. LEXIS 164, 68 Fair Empl. Prac. Cas. (BNA) 1455 (Cal. Ct. App. 1992).

Opinion

Opinion

AGLIANO, P. J.

Plaintiff Sam Ewing brought this action against his employer Gill Industries, Inc. (Gill), alleging he was discharged on the basis *605 of age in violation of the California Fair Employment and Housing Act (FEHA) (Gov. Code, § 12900 et seq.). Gill appeals from the judgment entered on a jury verdict awarding Ewing $122,850 in damages. Gill also appeals from the order granting Ewing’s motion for attorney’s fees. 1 On appeal, Gill asserts error in exclusion of evidence, jury instructions, failure to grant nonsuit, and amounts of the damage and attorney’s fee awards. For the reasons stated below, we modify the judgment as to the amount of damages. In all other respects, the judgment is affirmed.

Statement of Facts

The evidence in support of the verdict is largely circumstantial. Ewing was born in 1920. He worked for several years in radio broadcasting. In 1969 Gill hired him as a writer, producer and promotion person for television station KNTV, channel 11. On April 3, 1979, Gill made Ewing the director of media services for Gill Cable. Ewing supervised an eight- to ten-person staff. His responsibilities included the following: selection, ordering, scheduling and promotion of films for the G Channel; screening and selection of adult films for the Rendezvous Channel; development and publication of the Gill Cable Guide, a monthly program guide; selection, ordering, scheduling and promotion of films for the pay-per-view movie channel; selection and promotion of the Classic Movie Channel, which showed older movies, until that channel was eliminated in 1982 or 1983; publication of the “Gilline” Newsletter; some promotional advertising duties; and special promotional projects, including telethons, sporting events, concerts, ad campaigns, and direct mail advertising.

In August 1983, when Ewing was 63, Gill contracted with Home Theater Network, Inc. (HTN) and transferred to HTN Ewing’s duties involving the G Channel. HTN chose the movies and broadcast them by satellite. The movies provided by HTN were of lower quality than those chosen by Ewing and customers complained about the change. Although the cost savings for Gill was $230,564, Gill did not ask Ewing if he could produce the G Channel on a lower budget. Ewing testified that he spent less than that allotted in his budget and could have produced the G Channel for far less than the amount that HTN charged Gill.

On October 1, 1983, Gill replaced the Rendezvous Channel with the Playboy Channel, eliminating Ewing’s film selection function with the Rendezvous Channel.

On July 1,1983, Gill hired 33-year-old David Katz and transferred to Katz Ewing’s duties involving print display advertising, direct mail advertising, *606 bill staffers, and promotion for special pay-per-view events, such as sporting events and concerts.

In May 1984, Gill transferred the production of Gill Cable Guide to TVSM. The cost savings amounted to $619,530. Only a small portion of the new guide was devoted to Gill-specific programming, because the advent of national channels, such as HBO, ESPN and others, did not require local preparation. As a result of this decision, the staff in Ewing’s department was reduced to Ewing and a secretary. Nevertheless, Ewing was still required to select a cover and photographs, prepare synopses of movies, obtain advertising copy from Katz and others, obtain the list of pay-per-view movies, obtain the G Channel information from HTN, write a column, and mail these materials to TVSM.

In May 1984, Bay Area Interconnect (BAI), a joint venture of Gill and Viacom Cablevision, hired 29-year-old Brad Harlan. Harlan was hired to promote the Classic Movie Channel, one of Ewing’s former duties. BAI was located in a building adjoining Gill’s offices, its broadcast studios transmitted all of Gill’s programing to Gill’s customers, and its personnel had constituted Gill’s broadcast department. Harlan was a BAI employee. However, in its response to the Department of Fair Employment and Housing in connection with Ewing’s age discrimination claim, Gill listed all BAI employees, including Harlan, as employees of Gill. The form also indicated that Gill Cable and BAI were part of Gill.

Robert Hosfeldt, president of Gill and a member of the BAI board of directors, knew BAI was interested in hiring someone to promote the Classic Movie Channel, knew Ewing promoted the Classic Movie Channel in 1982 and knew some of Ewing’s functions had been eliminated, yet he did not suggest that Ewing be considered for this position.

In April 1985, Gill transferred Ewing’s responsibilities for the pay-per-view movie channel to Harlan. During the 50 percent of his time that Harlan was performing pay-per-view duties, he was considered to be working for Gill. The pay-per-view movies were considered a Gill product and were seen only by Gill customers. Fifty percent, and later 100 percent, of Harlan’s salary and 100 percent of Harlan’s assistant’s salary were paid by Gill. Gill also paid Harlan a commission based on the number of subscribers. Ewing never received a commission.

Ewing learned of the elimination of these duties when Hosfeldt told him to give the pay-per-view files to Harlan and to fire his secretary, the only other employee in the Media Services Department. Hosfeldt told Ewing that *607 Jack Yearwood, the general manager of BAI, thought that BAI would boost its advertising sales to other cable systems if it handled the pay-per-view movies. Since this explanation did not seem reasonable, Ewing asked Year-wood why he wanted the pay-per-view movies at BAI. Yearwood responded, “I didn’t want them. Bob Hosfeldt came to me some time back and he said that you were retiring at the end of the year and said he wanted us to handle the pay-per-view.” 2

Since Ewing did not intend to retire, he then asked Ben Reichmuth, Gill’s vice-president of marketing, “does Gill Cable intend to retire me at the end of the year?” Reichmuth appeared startled and said, “You will have to ask Bob Hosfeldt.” Ewing next approached Carl English, Gill’s vice-president of finance, who said, “Gee, as I understood it Brad Harlan was supposed to report to you.” Ewing then confronted Hosfeldt with the conflicting versions and was told by him, “Oh, Jack Yearwood is mistaken. ... he really wants the pay-per-view, and you are not going to be retired.” “You can work here for as long as you want to.” “The day that you retire is the day that I am going to open a Marie Callendar’s restaurant in Santa Cruz.” At trial, Hosfeldt testified that he transferred the pay-per-view duties in order to centralize all duties associated with pay-per-view at one location.

At the time Hosfeldt assured Ewing that his position was secure at Gill, he and Reichmuth had already decided to terminate him. Hosfeldt described the decision to fire Ewing as part of “organizational changes.” However, out of 80 employees in the marketing division, only Ewing was to be fired and no other changes were made.

Allen Gilliland, the majority stockholder of Gill, told Hosfeldt that none of the “oldtimers” should be fired until after a pension and bonus program was in effect.

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3 Cal. App. 4th 601, 4 Cal. Rptr. 2d 640, 92 Daily Journal DAR 2081, 92 Cal. Daily Op. Serv. 1316, 1992 Cal. App. LEXIS 164, 68 Fair Empl. Prac. Cas. (BNA) 1455, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ewing-v-gill-industries-inc-calctapp-1992.