Flitton v. Primary Residential Mortgage, Inc.

238 F. App'x 410
CourtCourt of Appeals for the Tenth Circuit
DecidedAugust 3, 2007
Docket06-4048
StatusUnpublished
Cited by4 cases

This text of 238 F. App'x 410 (Flitton v. Primary Residential Mortgage, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Tenth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Flitton v. Primary Residential Mortgage, Inc., 238 F. App'x 410 (10th Cir. 2007).

Opinion

*411 ORDER AND JUDGMENT *

CARLOS F. LUCERO, Circuit Judge.

Yvonne Flitton brought suit against her former employer, Primary Residential Mortgage, Inc. (“PRMI”), alleging retaliatory and discriminatory termination in violation of Title VII, and seeking both compensatory and punitive damages. The case proceeded to trial. At the close of Flitton’s case, PRMI filed a motion for judgment as a matter of law (“JMOL”). The district court granted PRMI’s motion with respect to the discrimination and punitive damages claims, but denied it with respect to the retaliation claim. After the jury found for Flitton on her retaliation claim, however, the court granted PRMI’s renewed motion for JMOL. Flitton appeals the dismissal of all three claims. Assuming jurisdiction under 28 U.S.C. § 1291, we REVERSE with respect to each.

I

A

In July 2000, PRMI hired Flitton to help manage its wholesale subprime mortgage division, which at the time was headed by Larry Lockwood. Within a few months of her hiring, Lockwood was terminated for performance issues, and Flitton took over the division. She reported to Dave Zit-ting, the Chief Executive Officer of PRMI, Steve Chapman, the Chief Financial Officer, and Jeff Zitting, executive vice president over marketing. 1

Flitton and Chapman worked closely on matters relating to the wholesale division; Chapman, however, made Flitton feel uncomfortable. According to Flitton, Chapman would often come into her office uninvited and discuss intimate details of his marriage with her. He once told her, “[I]f it were up to my wife she would be perfectly fine if we never had sex again. And if it were up to me, we would have sex all the time.” Chapman complained to her that “he had sexual thoughts quite frequently and how that was really frustrating for him because his wife at the time ... wasn’t even sleeping in their bed.” He once speculated that “if it were up to women ... procreation would cease to exist.” Unsurprisingly, these discussions were unwelcomed by Flitton.

Also unwelcomed were Chapman’s detailed, explicit commentaries on other female employees’ dress habits. According to Flitton, Chapman expressed to her his disapproval of specific individuals’ thong underwear, breast tattoos, and pierced nipples. Flitton testified that she frequently caught Chapman staring at her chest area, and that upon noticing her catch his unseemly glances in this direction, he told her to button up her shirt. On one occasion, while Flitton was copying papers in front of his office, Chapman yelled her name from several feet away and, in front of her employees, motioned for her to pull up her blouse.

In addition to these sexual references, Chapman made disparaging comments about Flitton’s income. He told her he “had never known a woman that made as much money” as her and joked that, in light of her earnings, “maybe he should stay at home and ... put his wife to work.” One day, Chapman informed Flit-ton that he knew her husband was a bro *412 ker and must earn some money. Flitton testified that Chapman insinuated she had withheld pertinent information about her household income, as Chapman had previously assumed that her husband was unemployed.

At various points during her employment, Flitton told Zitting about her difficulties in dealing with Chapman, including Chapman’s tendency to linger in her office and bring up inappropriate topics. In August 2002, Flitton had a one-one-one conversation with Zitting in which she reported she had a “dysfunctional relationship” with Chapman. She informed Zitting that Chapman would look at her chest area, ask her to button up her blouse, and make remarks about her compensation. Flitton testified that, in response, Zitting “laughed hysterically” and said, “well, can you blame the guy. He never gets any at home.” Zitting then proceeded to draw a cycle for her explaining how Chapman’s mind worked. According to Flitton, he provided the following commentary to his diagram:

[Y]ou know, Steve [Chapman] is a very, very religious man. And because of this, he lives in a very limited world. And ... in this limited world and due to his religious beliefs ... it’s not within that belief to find a pretty woman attractive. And so what happens is if he sees a beautiful woman that is attractive and he becomes aroused, then he blames that woman for making him feel that way. And so what happens is he takes it out on that person for making him feel that way. And then there is a period of guilt and feeling bad. And so then there may be a period of time where he’s nice to you and then the cycle starts all over again.

Zitting concluded, ‘Yvonne, Steve has had problems with every attractive woman that we’ve ever hired.” At oral argument, PRMI conceded that this conversation, including the drawing of Chapman’s “sexual cycle,” took place.

Zitting did not investigate Flitton’s claims or report them to the Human Resources Director, Stacy Stetner. At trial, Zitting explained that he took no action because Flitton told him she could handle Chapman. Apparently aware that Chapman’s difficult behavior continued, Zitting told Flitton and others at a staff meeting in September 2002 that the proper way to deal with Chapman was to put on a “pretend biohazard suit.” While in the suit, Zitting said, they could ignore Chapman, and continue to work while simply nodding in agreement with anything he said. After awhile, Zitting stated, Chapman would simply go away. In October 2002, Chapman and Flitton got into an argument involving the compensation scheme for the wholesale division. Chapman had previously informed Flitton that he wanted the compensation scheme changed, so that employees in the wholesale division would be paid an incentive for yield, or sale, of loans rather than for the production, or closing, of loans. Flitton proceeded to implement the requested change, and by September, she and her employees were paid commissions for selling loans rather than closing them. During an October 9, 2002 meeting with Flitton, Chapman became aware of the change in commission structure and took issue with certain aspects of it. In particular, he was concerned Flitton and her employees had been double-paid on certain loans, by receiving commissions for the closing of these loans prior to the change in compensation scheme, and receiving commissions again for the sale of the same loans after the change. 2 Chap *413 man demanded that Flitton pay back her September incentive bonus. He then asked Flitton what she “needed to make.” Flitton took offense at the question and responded that her compensation should be tied to results and not need. Chapman proceeded to inform Flitton that he would be capping her salary, and that the maximum commission she could earn in any given month would be $3,000. 3 This cap would have resulted in a sharp decrease in her take-home pay: Flitton’s commission pay for the month of October 2002, based on loans from September 2002, would have amounted to $11,400 under the old pay structure and to $8,000 under the new pay structure.

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