Kelly v. Chase Manhattan Bank

717 F. Supp. 227, 1989 U.S. Dist. LEXIS 8151, 53 Empl. Prac. Dec. (CCH) 39,848, 50 Fair Empl. Prac. Cas. (BNA) 660, 1989 WL 78628
CourtDistrict Court, S.D. New York
DecidedJuly 17, 1989
Docket88 Civ. 3466(GLG)
StatusPublished
Cited by41 cases

This text of 717 F. Supp. 227 (Kelly v. Chase Manhattan Bank) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kelly v. Chase Manhattan Bank, 717 F. Supp. 227, 1989 U.S. Dist. LEXIS 8151, 53 Empl. Prac. Dec. (CCH) 39,848, 50 Fair Empl. Prac. Cas. (BNA) 660, 1989 WL 78628 (S.D.N.Y. 1989).

Opinion

OPINION

GOETTEL, District Judge:

I. Facts

The origin of this litigation can be found in the 1984 merger of Chase Manhattan Bank (“Chase”) with Lincoln First Bank and its division National Bank of Westches-ter (“NBW”). The plaintiff began his employment with NBW in 1970 in the personnel department and ultimately rose to the position of Vice President. In or about *229 1982, the plaintiff transferred to the operations department of NBW, a position he held when the merger was announced in January 1984. NBW employees became Chase employees effective August 1, 1984.

After the merger, the plaintiff held the unique position of assisting in the integration of the Operations and Systems Department of NBW into Chase’s existing operations. During the course of the integration, numerous meetings were held with former NBW employees in which assurances were allegedly made that people in general, and specifically the plaintiff, would not lose their jobs and would be placed elsewhere in Chase when the integration was complete.

In November 1985, the plaintiff was offered a full-time position as the human resources manager in his unit. The plaintiff accepted the position. Subsequently, the plaintiff was informed that the offer would be rescinded because the individual who held the job three months earlier, Linn Johnson, had returned to the position following a reorganization. In April 1986, the plaintiff was offered the position of Distribution Services Manager, and again the plaintiff accepted. Within a few weeks, this offer was also rescinded. The plaintiff continued an unsuccessful search for another job with Chase, knowing that his current job was of limited duration. In March 1987, when the integration was complete, the plaintiff was discharged. At the time of his discharge, the plaintiff was given a salary increase that he was scheduled to receive on March 1, 1987, and that had the effect of increasing his severance benefits.

On September 1, 1987, the plaintiff simultaneously filed a charge with the New York Human Rights Commission and the Equal Employment Opportunity Commission, claiming age discrimination.

In October 1987, a decision was made to offer the plaintiff reinstatement. Although the plaintiff indicated that he was accepting another offer of employment, Chase sent the plaintiff a written offer of two positions. Both offerings were for the position of human resource generalist, one in New York City and one on Long Island. Both positions carried the same salary and benefits as the plaintiff had been receiving in his prior position. One of the positions, however, would require the plaintiff to work under Linn Johnson, the individual to whom his first job offer had gone. Although the plaintiff asked for and received further details on the openings, he did not accept either job offer.

In October 1987, Chase instituted a voluntary retirement program to eligible employees who were employees in service on October 21, 1987.

The plaintiff commenced this action in May 1988 against Chase and Chase’s Plan Administrator (collectively referred to as the “defendant”) asserting claims under the Age Discrimination in Employment Act (“ADEA”), the Employee Retirement Income Security Act (“ERISA”), and state contract and tort law principles. The defendant moves for partial summary judgment.

II. Summary Judgment Standard

Fed.R.Civ.P. 56(c) provides that summary judgment is appropriate if “there is no genuine issue as to any material fact and that the moving party is entitled to judgment as a matter of law.” The burden is on the moving party to demonstrate the absence of a material, factual dispute. Fed.R.Civ.P. 56(e); Adickes v. S.H. Kress & Co., 398 U.S. 144, 157, 90 S.Ct. 1598, 1608, 26 L.Ed.2d 142 (1970). If that burden is met, the non-moving party cannot simply rest on its complaint setting forth a valid cause of action. Fed.R.Civ.P. 56(e); First Nat’l Bank v. Cities Services Co., 391 U.S. 253, 289, 88 S.Ct. 1575, 1592, 20 L.Ed.2d 569 (1968). It “must set forth specific facts showing that there is a genuine need for trial,” Fed.R.Civ.P. 56(e), and there must be more than merely “some metaphysical doubt as to [those] material facts.” Matsushita Elec. Indus. Co. v. Zenith Radio Corp., 475 U.S. 574, 586, 106 S.Ct. 1348, 1355, 89 L.Ed.2d 538 (1986). In determining whether that burden is met, however, the court must draw all reasonable inferences and resolve all ambiguities in *230 favor of the non-moving parties. United States v. Diebold, Inc., 369 U.S. 654, 655, 82 S.Ct. 993, 994, 8 L.Ed.2d 176 (1962) (per curiam). Nonetheless, the Supreme Court has affirmatively indicated its support for Rule 56 as an important procedural tool. See Celotex Corp. v. Catrett, 477 U.S. 317, 106 S.Ct. 2548, 91 L.Ed.2d 265 (1986); Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 106 S.Ct. 2505, 91 L.Ed.2d 202 (1986); Matsushita Elec. Indus. Co. v. Zenith Radio Corp., 475 U.S. 574, 106 S.Ct. 1348, 89 L.Ed.2d 538 (1986).

III. Liability under the ADEA

The defendant moves for partial summary judgment on count one of the complaint alleging age discrimination. The defendant contends that because Chase unconditionally offered to reinstate the plaintiff to his choice of two positions and the plaintiff refused both positions, Chase has no liability for damages after October 21, 1987, the date of the offer. In Ford Motor Co. v. EEOC, 458 U.S. 219, 102 S.Ct. 3057, 73 L.Ed.2d 721 (1982), a case brought under Title VII, the Supreme Court stated that “a claimant’s statutory obligation to minimize damages requires him to accept an unconditional offer of the job originally sought, even without retroactive seniority.” Id. at 234, 102 S.Ct. at 3066. This principle has been applied to cases brought under the ADEA, and has been liberalized to include offers of a “substantially equivalent” job. Dominic v. Consolidated Edison Co., 822 F.2d 1249

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Bluebook (online)
717 F. Supp. 227, 1989 U.S. Dist. LEXIS 8151, 53 Empl. Prac. Dec. (CCH) 39,848, 50 Fair Empl. Prac. Cas. (BNA) 660, 1989 WL 78628, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kelly-v-chase-manhattan-bank-nysd-1989.