Johns v. Harborage I, Ltd.

585 N.W.2d 853, 1998 Minn. App. LEXIS 1242, 76 Empl. Prac. Dec. (CCH) 46,145, 78 Fair Empl. Prac. Cas. (BNA) 770, 1998 WL 792374
CourtCourt of Appeals of Minnesota
DecidedNovember 17, 1998
DocketC8-98-301
StatusPublished
Cited by12 cases

This text of 585 N.W.2d 853 (Johns v. Harborage I, Ltd.) is published on Counsel Stack Legal Research, covering Court of Appeals of Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Johns v. Harborage I, Ltd., 585 N.W.2d 853, 1998 Minn. App. LEXIS 1242, 76 Empl. Prac. Dec. (CCH) 46,145, 78 Fair Empl. Prac. Cas. (BNA) 770, 1998 WL 792374 (Mich. Ct. App. 1998).

Opinion

OPINION

PETERSON, Judge.

In this appeal from a judgment, appellant Harborage I, Ltd., argues that the trial court erred by awarding respondent Lori Johns compensatory and punitive damages for emotional harm caused by the hostile work environment maintained by appellant at Gators Bar and Grill. Appellant also challenges an award for costs and attorney fees. We affirm in part and reverse in part.

FACTS

From January to March 25, 1993, respondent Lori Johns worked as a server, hostess, and cashier at Gators Bar and Grill in the Mall of America (Gators). Harborage I, Ltd. (Harborage I), a Texas limited partnership, managed Gators and several other bars at the Mall of America. Harborage, Inc., a Texas corporation, provided employees for Gators. FPM, Ltd., a Texas limited partnership, was the lessee of Gators’ premises and held the liquor license for the premises.

On February 28, 1993, while working as a hostess at Gators, Johns was approached by Michael Long, another Gators employee, who told her that her shorts were not “tight enough” and did not conform to Gators’s dress code. Long told Johns that the appropriate shorts were in a storage closet behind the hostess stand. Johns followed Long into the storage closet and followed his request to shut the door. While in the closet, Long took off his shorts and exposed his erect penis to Johns. Long then told Johns to change her shorts in front of him. When Johns refused, Long forcibly pulled down her shorts, exposing her buttocks. Johns slapped Long’s hand and told him to stop. Long attempted to pull down Johns’s shorts a second time before she fled from the storage closet.

Gators’s assistant manger, Michelle Johnson, saw Long and Johns leaving the storage closet and noticed that Johns looked upset and Long looked guilty. Johnson spoke to Johns and learned that Long had exposed himself to Johns in the storage closet. The next day, Johnson reported the incident to Steve Buchanan, Gators’s general manager. After speaking with Johns, Buchanan contacted Long and suspended him pending the outcome of the investigation into Johns’s complaint.

Buchanan interviewed the Gators staff and discovered that prior to the incident with Johns, Long had harassed other female employees. Long had exposed himself to R. S., a Gators server, during work hours. On separate occasions, Long attempted to pull down coworker K.M.’s shorts and groped her breasts. Long engaged in offensive conduct against another coworker, K.B., on several occasions. This conduct included pulling down K.B.’s shorts, pinching her buttocks, and following her into the women’s restroom where he exposed his penis to her through his tight spandex shorts. These employees did not welcome Long’s conduct and were offended by it, but they did not report these incidents to management. Buchanan also asked Johnson if Long had ever directed any sexual misconduct toward her, and Johnson denied that he had.

Based on his investigation, Buchanan met with Long intending to terminate his employment. However, Long said he wanted to *857 quit, and Buchanan accepted that. Long’s personnel file states that he quit for personal reasons.

Johns filed a criminal complaint against Long with the Bloomington Police Department. Long was charged with gross-misdemeanor indecent exposure and pleaded guilty to an amended charge of misdemeanor indecent exposure.

On March 25, 1993, Johns resigned from her position at Gators. On January 14,1994, Johns filed unlawful discrimination charges with the Equal Employment Opportunity Commission (EEOC) and the Minnesota Human Rights Department (MHRD). In June 1995, the EEOC issued Johns a right-to-sue notice. In September 1995, Johns brought an employment discrimination action against Harborage, Inc., seeking compensatory and punitive damages for claims based on (a) sexual harassment — hostile work environment; (b) retaliation; (c) negligent hiring; (d) negligent supervision; (e) negligent retention; and (f) respondeat superior.

Harborage I answered Johns’s complaint and admitted that it was Johns’s employer. During discovery, Johnson was deposed and admitted that Long had engaged in sexually offensive conduct toward her. Johnson stated that during work hours at Gators, Long pulled out the front of his spandex shorts and asked her if she wanted to feel his penis. Johnson stated that she did not invite nor welcome this conduct, and she was offended by Long’s actions. Johnson also stated that despite being Long’s supervisor, she only reprimanded him and told him that his behavior was inappropriate.

In July 1996, at the request of defense counsel, Johns amended her complaint to substitute Harborage I for Harborage, Inc., as the defendant. In August 1996, Harbor-age I moved for summary judgment. The trial court granted partial summary judgment and dismissed Johns’s respondeat superior, negligent hiring, negligent supervision, and negligent retention claims. The court denied summary judgment with respect to Johns’s hostile work environment and retaliation claims.

In October 1996, defense counsel advised Johns that Harborage, Inc., not Harborage I, was her employer at the time she was sexually harassed by Long. By stipulation, Johns’s complaint was amended to substitute Har-borage, Inc., for Harborage I, as the defendant. But after Harborage, Inc., filed for bankruptcy protection in November 1996, Johns moved to amend her complaint to reinstate Harborage I as a defendant and to add FPM as a defendant. The trial court granted Johns’s motion, but reserved the issue of whether Harborage I and FPM were Johns’s employers.

Following a bench trial, the court found that Harborage I was the manager of Gators and was Johns’s employer under Title VII and the Minnesota Human Rights Act (MHRA). The court concluded that Harbor-age I unlawfully discriminated against Johns by subjecting her to a hostile work environment based upon sex and awarded her $25,-000 in compensatory damages, $8,500 in punitive damages, and reasonable attorney fees. The court dismissed Johns’s retaliation claim and all claims against FPM.

Harborage I moved to amend the findings of fact, conclusions of law, and order for judgment or, in the alternative, for a new trial. The trial court denied the motion and awarded Johns $65,894.46 for costs and attorney fees.

ISSUES

I. Did the trial court err in finding that Harborage I was John’s employer under Title VII and the Minnesota Human Rights Act?

II. Was Johns precluded from pursuing a Title VII claim and a Minnesota Human Rights Act claim against Harborage I because she failed within the statutory limitations period to name Harborage I in her EEOC charge and her subsequent civil action?

III. Did the trial court err in concluding that Harborage I unlawfully discriminated against Johns by subjecting her to a hostile work environment?

IV. Did the trial court err in awarding Johns $25,000 in compensatory damages?

*858 V. Did the trial court err in awarding Johns $8,500 in punitive damages?

VI. Did the trial court err in awarding John’s $65,894.46 for costs and attorney fees?

ANALYSIS

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585 N.W.2d 853, 1998 Minn. App. LEXIS 1242, 76 Empl. Prac. Dec. (CCH) 46,145, 78 Fair Empl. Prac. Cas. (BNA) 770, 1998 WL 792374, Counsel Stack Legal Research, https://law.counselstack.com/opinion/johns-v-harborage-i-ltd-minnctapp-1998.