Henderson v. Clark Oil & Refining Corp.

639 F. Supp. 105, 5 Fed. R. Serv. 3d 826, 1986 U.S. Dist. LEXIS 28954
CourtDistrict Court, N.D. Illinois
DecidedFebruary 24, 1986
DocketNo. 85 C 2419
StatusPublished

This text of 639 F. Supp. 105 (Henderson v. Clark Oil & Refining Corp.) is published on Counsel Stack Legal Research, covering District Court, N.D. Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Henderson v. Clark Oil & Refining Corp., 639 F. Supp. 105, 5 Fed. R. Serv. 3d 826, 1986 U.S. Dist. LEXIS 28954 (N.D. Ill. 1986).

Opinion

MEMORANDUM OPINION

GRADY, Chief Judge.

This diversity case is before the court on the motion of defendant Clark Oil & Refining Corporation (“Clark”) for summary judgment as to Count I of the two-count complaint of plaintiff James Henderson (“Henderson”). For the reasons stated below, we will allow Clark additional time to comply with Fed.R.Civ.P. 56(e), at which time we will enter summary judgment as to Count I and dismiss Count II for lack of subject matter jurisdiction.

FACTS

The facts of this case are simple. In May 1981, Henderson entered into an at-will employment contract with Clark to manage a gas station owned by Clark in Skokie, Illinois. Clark terminated Henderson in March 1983. Henderson contends that Clark terminated him because he complained about selling food items, such as candies and potato chips, over-the-counter at the gas station he managed. He complained, he says, because such sales violat[106]*106ed a Skokie ordinance.1 In Count I of his complaint, he asks for $50,000.00 in damages for Clark’s retaliatory discharge.2 Clark contends that it fired Henderson because of his poor managerial performance and his bad attitude. Discovery was cut off on August 31, 1985.

DISCUSSION

The long-standing rule in Illinois is that at-will employees can be terminated with or without cause. Martin v. Federal Life Ins. Co., 109 Ill.App.3d 596, 65 Ill.Dec. 143, 440 N.E.2d 998 (1st Dist.1982); Roemer v. Zurich Ins. Co., 25 Ill.App.3d 606, 323 N.E.2d 582 (1st Dist.1975); Brougham, v. Paul, 138 Ill.App. 455 (1st Dist.1908). Illinois courts have carved out an exception to this rule, however, for retaliatory discharges. That is, under certain circumstances, a terminated at-will employee may bring a tort action against his or her employer for a retaliatory discharge. For example, in Kelsay v. Motorola, Inc., 74 Ill.2d 172, 23 Ill.Dec. 559, 384 N.E.2d 353 (1978), the Illinois Supreme Court held that a terminated at-will employee could bring a retaliatory discharge action against her employer who fired her because the company's policy, of which she was aware, was to terminate any employee who filed a worker’s compensation claim. Noting that injured workers in Illinois had a statutory right to workers’ compensation, the court said that forcing an employee to choose between retaining his or her job and filing a workers’ compensation claim was “untenable and ... contrary to the public policy as expressed in the [Workers’] Compensation Act.” Id. 23 Ill.Dec. at 563, 384 N.Ed.2d at 357. The Illinois Supreme Court has since applied this tort theory to various other situations: where an employee was discharged for supplying information to local law-enforcement officials about the possible criminal activities of a fellow employee, Palmateer v. International Harvester Co., 85 Ill.2d 124, 52 Ill. Dec. 13, 421 N.E.2d 876 (1981); where discharged at-will employees covered by a collective bargaining agreement filed a retaliatory discharge action without first exhausting the contract remedies set forth in their collective bargaining agreement, Midgett v. Sackett-Chicago, Inc., 105 Ill.2d 143, 85 Ill.Dec. 475, 473 N.E.2d 1280 (1984); and finally to situations where an at-will employee was discharged for having filed a workers’ compensation claim against a previous employer. Darnell v. Impact Indus., Inc., 105 Ill.2d 158, 85 Ill.Dec. 336, 473 N.E.2d 935 (1985). Although the Illinois Supreme Court has noted that there is no definitive test for determining when an interest protected by public policy is involved, the court has concluded that “actions for retaliatory discharge have been allowed where the employee was fifed for refusing to violate a statute.” Palmeteer, supra, 52 Ill.Dec. at 16, 421 N.E.2d at 879. On the other hand, “[t]he action has not been allowed where the worker was discharged in a dispute over a company’s internal management system____” Id. (Citations omitted).

It is not clear whether an employer is liable for retaliatory discharge under Illinois law if it terminates an employee for a reason that violates public policy as well as for a valid reason such as insubordination or poor job performance. But, it is clear that an employee-plaintiff must produce some evidence of a threat by the employer that affects public policy or some conflicting evidence about the employer’s improper motivations to survive a summary judgment action. Bartley v. University Asphalt Co., Inc., 129 Ill.App.3d 231, 84 Ill. Dec. 539, 472 N.E.2d 499 (4th Dist.1984); Armstrong v. Freeman United Coal Min[107]*107ing Co., 112 Ill.App.3d 1020, 68 Ill.Dec. 562, 446 N.E.2d 296 (3d Dist.1983); Cunningham v. Addressograph Multigraph Corp., 87 Ill.App.3d 396, 42 Ill.Dec. 594, 409 N.E.2d 89 (4th Dist.1980). For example, in Cunningham, the defendant-employer terminated the plaintiff-employee claiming that the employee had breached company policy by failing to telephone the employer to inform it that he would be absent from work. The employee brought a retaliatory discharge action claiming that he was fired because the employer anticipated he would file a workers’ compensation claim. The only evidence the employee produced was his affidavit in which he admitted he violated the call-in policy, but alleged that it was the employer’s policy to terminate employees who filed workers’ compensation claims. Refusing to consider the plaintiff's affidavit because the plaintiff could not testify under Illinois law as to the employer’s state of mind, the court held there was no material issue and affirmed the trial court's entry of summary judgment in favor of the defendant.

In Armstrong, the plaintiff-employee brought a retaliatory discharge action alleging that he was terminated because his employer anticipated he would file an action to upwardly adjust his workers’ compensation benefits. The employer maintained it fired the employee as part of a general labor cut-back. Affirming the circuit court’s order granting summary judgment in favor of the employer, the appellate court noted that the plaintiff had failed to produce any evidence supporting his allegation other than affidavits of co-workers who also alleged the employer had a policy of retaliatory discharge. Conversely, the employer submitted an affidavit supporting its reason for the firing. Also, the court noted that the employee failed to show that any agent of the employer had ever informed the plaintiff that the employer’s policy was to fire workers who filed workers’ compensation adjustments.

On the other hand, the court in Bartley

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Related

Bartley v. University Asphalt Co.
472 N.E.2d 499 (Appellate Court of Illinois, 1984)
Armstrong v. Freeman United Coal Mining Co.
446 N.E.2d 296 (Appellate Court of Illinois, 1983)
Kelsay v. Motorola, Inc.
384 N.E.2d 353 (Illinois Supreme Court, 1978)
Darnell v. Impact Industries, Inc.
473 N.E.2d 935 (Illinois Supreme Court, 1984)
Midgett v. Sackett-Chicago, Inc.
473 N.E.2d 1280 (Illinois Supreme Court, 1984)
Cunningham v. Addressograph Multigraph Corp.
409 N.E.2d 89 (Appellate Court of Illinois, 1980)
Roemer v. Zurich Insurance Co.
323 N.E.2d 582 (Appellate Court of Illinois, 1975)
Palmateer v. International Harvester Co.
421 N.E.2d 876 (Illinois Supreme Court, 1981)
Martin v. Federal Life Insurance Co.
440 N.E.2d 998 (Appellate Court of Illinois, 1982)
Brougham v. Paul
138 Ill. App. 455 (Appellate Court of Illinois, 1908)

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Bluebook (online)
639 F. Supp. 105, 5 Fed. R. Serv. 3d 826, 1986 U.S. Dist. LEXIS 28954, Counsel Stack Legal Research, https://law.counselstack.com/opinion/henderson-v-clark-oil-refining-corp-ilnd-1986.