Kouba v. Omni Hotels Corporation

District Court, District of Columbia·Decided July 12, 2011·No. Civil Action No. 2008-2106·Published

Opinion

SUMMARY MEMORANDUM OPINION; NOT INTENDED FOR PUBLICATION.

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA

KIM KOUBA Plaintiff,

v.

Civil Action No. 8-cv-2106 (RLW)

OMNI HOTELS MANAGEMENT CORPORATION

Defendant.

MEMORANDUM OPINION

In the instant action, Plaintiff Kim Kouba, who is a lesbian, challenges her termination from employment by Defendant Omni Hotels. Kouba brings this claim pursuant to the District of Columbia Human Rights Act, which prohibits discrimination based on, inter alia, gender and sexual orientation. See D.C. Code § 2-1402.11(a)(1) (2001). Jurisdiction is based upon diversity of the parties. 1 (Minute order Jan. 8, 2009; see Doc. 8.)

Presently before the Court is Omni’s motion for summary judgment. (Doc. 18.) For the reasons explained below, Omni’s motion shall be granted.

1 In addition to her Human Rights Act claims, Kouba originally asserted claims pursuant to the D.C. Payment and Collection of Wages Act, D.C. Code § 32-1303. However, on August 27, 2009, Kouba voluntarily dismissed her Section 32-1303 claims. (See Doc. 17.)

SUMMARY MEMORANDUM OPINION; NOT INTENDED FOR PUBLICATION.

FACTS 2

Omni hired Kouba as Director of Finance for its Washington, D.C. location in September, 2007. 3 As finance director, Kouba was a member of the executive committee, which includes the top leaders and directors of the hotel. Kouba was responsible for supervising all financial operations at the hotel. Accordingly, Kouba was privy to employee salary information and she was responsible for maintaining such information in confidence. (Kouba Dep. at. 62-63, 65, 69.) Her efforts to do so included keeping salary and other financial information under lock and key, as well as password protecting financial computer data. (Id. at 65 - 66.) Additionally, when providing budgets to mid-level managers (i.e, non-executive committee members), Kouba was instructed to block out managers’ salary information, so as not to disclose such information outside each department. (Kouba Dep. at 76.)

As Director of Finance, Kouba reported directly to hotel manager Tracy DiFulgo, who gave Kouba a good performance evaluation in May 2008. Not only did her evaluation show Kouba met or exceeded expectations, but with respect to her ability to maintain confidences,

2 Kouba offers several objections to the declaration of Joy Rothschild, Vice President of Human Resources, upon which Omni relies in part. (See Pl’s Response to Def.’s Undisputed Facts at p. 4-5.) Omni responded to Kouba’s objections by attaching to its reply brief a “corrected” declaration from Rothschild. (See Doc. 25, Ex. C.) Kouba then filed a sur-reply brief renewing some of her objections. (See Doc. 26.) Because the Court did not need to consider Rothschild’s Declaration in reaching its decision on Omni’s motion, the Court declines to reach the issues raised by the parties with respect to the Rothschild declarations.

3 The witnesses use the titles “Director of Finance” and “Controller” interchangeably.

(Combs Dep. at 10-11.)

SUMMARY MEMORANDUM OPINION; NOT INTENDED FOR PUBLICATION.

DiFulgo noted Kouba exhibited “extremely high integrity and trust.” (Pl.’s Ex. 8.) On June 16, 2008, Ann Peterson became the Omni General Manager, but Kouba continued to report directly to DiFulgo.

Omni terminated Kouba several months later, on or around September 5, 2008, after an investigation into a sexual harassment complaint revealed that Kouba had disclosed confidential salary information about two Omni hotel employees to a third employee, Jaclyn Stone. (See Pl.’s Ex. 7.) Stone was an Omni employee who was temporarily working at the D.C. Omni as a “task force member” under the direct supervision of Kouba. (Kouba Dep. at pp. 105-6.)

Although hotel manager DiFulgo had previously explained to Kouba that General Manager Peterson did not care for managers going out and drinking with subordinate employees, Kouba was not told to refrain from doing so. (Kouba Dep. at 89, 204-5.) On August 21, 2008, Stone and Kouba went to an offsite bar where the two had drinks and exchanged text messages. 4 (Doc. 24, Pl’s Response to Def.’s Undisputed Facts at p. 10; Pl.’s Ex. 3, Kouba Decl. ¶ 7.) Kouba testified she was not interested in Stone romantically, but instead Kouba claimed that she was considering hiring Stone to help solve some finance department problems that had surfaced during a prior audit. (Kouba Dep. at 110, 196.) According to Stone, she had no interest in a position at the Washington location; rather Kouba kept “pushing” the idea on Stone. (Stone Decl. ¶ 8.) During a text message exchange about the salary Stone would seek if she sought a

4 Defendant indicates in its brief that the incident occurred in August 2009 and Kouba agrees this fact is undisputed. (See Def.’s Statement of Facts # 15; Pl’s Response to Def.’s Undisputed Facts at p. 10.) Because Kouba’s termination letter is dated September 2008, it appears the relevant interactions between Kouba and Stone occurred in 2008. (See Pl.’s Ex. 7.)

SUMMARY MEMORANDUM OPINION; NOT INTENDED FOR PUBLICATION.

position, Kouba admittedly disclosed the salaries of two employees: credit manager Jackie Picket and Assistant Director of Finance Lauren Burke:

Why that number out of curiosity? But yes . . . Jackie at [redacted ] . . . underpaid as well. Lauren at [redacted].

(Doc. 18, Def.’s Ex. I, DEF000373, Pl’s Response to Def.’s Undisputed Facts at p. 11.)

During the course of the week after the disclosure, Kouba and Stone socialized approximately four additional times outside of work. (Kouba Dep. at 106.) In the aftermath of these interactions, Stone contacted Human Resources and reported that Kouba’s conduct made Stone uncomfortable. (Stone Decl. ¶¶ 9-10.)

As a result of Stone’s complaint, Vice President of Human Resources Henry Tebbe contacted Kouba, who was attending an out-of-town conference, and questioned her about Stone’s sexual harassment allegations. (See Kouba Dep. at 158.) At some point, Tebbe asked Kouba if she had disclosed salary information to Stone. Kouba first said she had not, but later remembered she had done so. (Kouba Dep. at 160 - 61.) Kouba also told Tebbe that the disclosure was a mistake because she ultimately realized Stone was not serious about pursuing a position with the D.C. Omni location. (Kouba Dep. at 161, 204.) When Tebbe shared the results of the investigation (which were inconclusive) with Peterson, she found out about the salary disclosures and ultimately decided to terminate Kouba. (Peterson Dep. at 42, 55.)

Around this same time, on Labor Day Sunday, August 31, 2008, Kouba returned from her conference and attempted to gain access to her office, but found the locks had been changed.

SUMMARY MEMORANDUM OPINION; NOT INTENDED FOR PUBLICATION.

Kouba contacted Peterson and DiFulgo asking if they could “please explain how I may obtain access to my office as it appears that my office door lock has been changed.” (Pl.’s Ex. 6.) In response, Peterson admonished Kouba to “Please check the tone of your email I will see you tues you can get in then.” (Id.) When asked what her email meant, Peterson testified “my interpretation was that I was being challenged as to why the office door wasn’t working.” (Peterson Dep. at 66.) When asked if she found the Kouba email offensive, Peterson testified “At the time I was. . . . I was disappointed that somebody that was in her role, somebody that I needed to trust had shared information that shouldn’t have been shared and now was gaining access to an office on a three-day weekend when they really had no expectations of being there.” (Peterson Dep. at 65-66.) According to Peterson, Kouba was not scheduled to return to the office until the following Tuesday after Labor Day. (Id. at 66.)

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