Fiorello v. Hewlett-Packard

2003 DNH 195
CourtDistrict Court, D. New Hampshire
DecidedNovember 14, 2003
DocketCV-03-282-M
StatusPublished

This text of 2003 DNH 195 (Fiorello v. Hewlett-Packard) is published on Counsel Stack Legal Research, covering District Court, D. New Hampshire primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Fiorello v. Hewlett-Packard, 2003 DNH 195 (D.N.H. 2003).

Opinion

Fiorello v . Hewlett-Packard CV-03-282-M 11/14/03 UNITED STATES DISTRICT COURT

DISTRICT OF NEW HAMPSHIRE

Michael Fiorello, Plaintiff

v. Civil N o . 03-282-M Opinion N o . 2003 DNH 195 Hewlett-Packard Company d/b/a Hewlett-Packard Company, Inc., Defendant

O R D E R

Michael Fiorello, a Hewlett-Packard Company sales

representative, is suing for breach of contract. The case was

removed from the New Hampshire Superior Court. Before the court

is defendant’s motion to dismiss (document n o . 5 ) . Plaintiff

objects. For the reasons given below, defendant’s motion to

dismiss is denied.

The Legal Standard

A motion to dismiss for “failure to state a claim upon which

relief can be granted,” F E D . R . C I V . P . 12(b)(6), requires the

court to conduct a limited inquiry, focusing not on “whether a

plaintiff will ultimately prevail but whether the claimant is entitled to offer evidence to support the claims.” Scheuer v .

Rhodes, 416 U . S . 2 3 2 , 236 (1974). When considering a motion to

dismiss under F E D . R . C I V . P . 12(b)(6), the court must “accept as

true all well-pleaded allegations and give plaintiffs the benefit

of all reasonable inferences.” Cooperman v . Individual, Inc.,

171 F.3d 4 3 , 46 (1st Cir. 1999) (citing Gross v . Summa Four,

Inc., 93 F.3d 9 8 7 , 991 (1st Cir. 1996)). “Dismissal under

Fed.R.Civ.P. 12(b)(6) is only appropriate if the complaint, so

viewed, presents no set of facts justifying recovery.”

Cooperman, 171 F.3d at 46 (citing Dartmouth Review v . Dartmouth

Coll., 889 F.2d 1 3 , 16 (1st Cir. 1989)).

Background

The facts of this case, taken from plaintiff’s complaint and

presumed to be true, are as follows.

At all times relevant to this matter, plaintiff was employed

by Hewlett-Packard as an inside sales representative. On May 1 6 ,

2000, plaintiff was told by another sales representative that on

May 1 8 , the company was going to hold a drawing for a “bonus

award” of $100,000, and that the drawing was open to all sales

2 representatives who had achieved 150 percent or more of their

sales goals. Plaintiff had no prior notice of the drawing from

the company, and never saw the rules governing the drawing until

approximately one week after it was conducted. Because plaintiff

had achieved more than 150 percent of his sales goal, he

qualified for the drawing.

On May 1 8 , two days after he learned about the drawing from

his co-worker, plaintiff signed into a teleconference to listen

to the drawing. Before the drawing, a management representative

said that all sales representatives who had achieved at least 150

percent of their sales goals were eligible to win a $100,000

bonus award. Then the management representative announced that

plaintiff was the winner of the sales bonus, and instructed him

to join the teleconference. Plaintiff did s o , by dialing *1 on

his telephone, and thanked the company for the bonus.

Within several hours of the teleconference, plaintiff

checked his voice mail and learned that he had a message from

Hewlett-Packard’s Regional Director of Sales for the Northeast,

who congratulated him on winning the bonus. Plaintiff received a

3 similar message from a Hewlett-Packard District Manager. That

same evening, plaintiff received a third voice mail message from

Hewlett-Packard’s Specialty Sales Server, Drew Caola, who

informed him that the rules for the award drawing had not been

made clear during the teleconference, that plaintiff had not won

the $100,000 personally, and that the award was to be split among

his full sales team, based upon the team’s sales commission

formula. Based upon that formula, plaintiff was told that his

share was three percent, or $3,000. Plaintiff was then told that

the rules for the drawing were available on a web site, and that

he could direct any further questions to Hewlett-Packard’s

General Manager, Joseph Cinque.

Plaintiff checked the web site on May 1 9 , but was unable to

find any rules. On May 2 0 , he received a message from Cinque,

who was returning plaintiff’s telephone call. Cinque’s message

informed plaintiff that his winnings would be paid by check, in

late June. Cinque also indicated that he (Cinque) would have to

check the rules for the drawing, and in particular the rules

about “teaming,” to make sure that the award was disbursed in

accordance with those rules.

4 On May 2 5 , Caola sent plaintiff a copy of the rules. On

June 1 , plaintiff’s sales team was informed by Hewlett-Packard

management that they were to share the $100,000 bonus. On June

1 5 , plaintiff was paid $10,000, rather than $3,000. However,

management failed to pay two members of plaintiff’s sales team

the amounts to which they would have been entitled under the

team’s sales commission formula.

After he was paid $10,000, plaintiff made demand for an

additional $90,000. When defendant failed to comply, plaintiff

filed this suit, asserting a claim for breach of contract.

Discussion

Defendant moves to dismiss, arguing that plaintiff’s

complaint fails to allege facts sufficient to establish any of

the four essential elements of a bilateral contract: offer,

acceptance, consideration, and a meeting of the minds. Plaintiff

meets defendant on defendant’s own ground, arguing that he has

indeed pled facts which, if proven, would establish all four

elements. Both parties appear to miss the mark by framing the

issue in terms of bilateral contract principles.

5 This case stands at the intersection of two distinct lines

of unilateral contract cases. One line deals with contests.

See, e.g., Barnes v . McDonald’s Corp., 72 F. Supp. 2d 1038, 1042

(E.D. Ark. 1999) (quoting Johnson v . BP Oil Co., 602 So.2d 885,

888 (Ala. 1992) (“We adopt the rule that running a promotional

contest is in the nature of an offer and that an enforceable

contract is formed when the party accepts that offer and provides

consideration by entering the contest and complying with all the

terms of the offer.”). The second line of cases pertains to

offers of compensation bonuses to at-will employees. See, e.g.,

Kaplan v . Aspen Knolls Corp., ___ F. Supp. 2d ___, ___, 2003 WL

22533497 (E.D.N.Y. 2003) (“continued service by an at-will

employee is sufficient consideration to support an employer’s

promise to pay an at-will employee a bonus”) (citing Levy v .

Lucent Techs. Inc., N o . 01 Civ. 2936(MBM), 2003 WL 118500, at * 9 -

10 (S.D.N.Y. Jan. 1 4 , 2003).

Here, limiting consideration to the complaint only, it would

appear that defendant promised to give a certain group of at-will

employees a compensation bonus in the form of the right to

participate in a drawing for a cash award. Because neither party

6 has yet framed the issues in those terms, i.e., the terms of

unilateral contracting, and because it is not apparent that the

facts alleged by plaintiff could not support a cause of action

for breach of a unilateral contract, defendant’s motion to

Free access — add to your briefcase to read the full text and ask questions with AI

Related

United States v. Zorrilla
93 F.3d 7 (First Circuit, 1996)
Johnson v. BP Oil Co.
602 So. 2d 885 (Supreme Court of Alabama, 1992)
Kaplan v. Aspen Knolls Corp.
290 F. Supp. 2d 335 (E.D. New York, 2003)
Barnes v. McDonald's Corp.
72 F. Supp. 2d 1038 (E.D. Arkansas, 1999)

Cite This Page — Counsel Stack

Bluebook (online)
2003 DNH 195, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fiorello-v-hewlett-packard-nhd-2003.