Lecy v. Sage Co.

460 N.W.2d 102, 1990 Minn. App. LEXIS 901, 54 Empl. Prac. Dec. (CCH) 40,236, 64 Fair Empl. Prac. Cas. (BNA) 460, 1990 WL 128387
CourtCourt of Appeals of Minnesota
DecidedSeptember 11, 1990
DocketC2-90-633
StatusPublished
Cited by8 cases

This text of 460 N.W.2d 102 (Lecy v. Sage Co.) 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
Lecy v. Sage Co., 460 N.W.2d 102, 1990 Minn. App. LEXIS 901, 54 Empl. Prac. Dec. (CCH) 40,236, 64 Fair Empl. Prac. Cas. (BNA) 460, 1990 WL 128387 (Mich. Ct. App. 1990).

Opinion

OPINION

HAROLD W. SCHULTZ, Judge.

Audrey Lecy appeals from a summary judgment dismissing her claim against Sage Company for ordering her to “retire” from their employ in violation of Minn.Stat. § 181.81 (Supp.1987). The trial court also dismissed Lecy’s claim for age discrimination under the Minnesota Human Rights Act on statute of limitation grounds. Lecy does not appeal that decision.

FACTS

After 15 years of employment as a caretaker and resident manager of Heritage Square Apartments, Audrey Lecy was given a letter from the managing partner of Sage Company telling her that she was “retired” as of November 20, 1987. The notice thanked her for her “many years of loyal service” and further stated:

Your contributions and dedication have been an asset to our organization.
We feel that retirement may offer you an opportunity to pursue personal goals without the responsibility of employment.
Your Service to Sage Company has been outstanding. To show our appreciation, we offer you the use of Apartment # 22 in 1001 Building (a value of $6,480.00) for the period of one year * * *. ***>)<**
Thank you again, Audrey, for your loyal devotion and service. We wish you the very best in your future.

Sage Company simultaneously dispatched an announcement of Lecy’s “retirement” to tenants in the apartment complex.

Lecy was 63 years old when she received this notice. She immediately wrote to Goodman protesting her retirement and asking him to explain his action. She received no written response to her inquiry. Sage has not presented evidence concerning its reasons for discharging her.

Lecy brought this action alleging that her involuntary discharge was in violation of Minn.Stat. §§ 363.03 and 181.81. Sage moved for summary judgment. The trial court dismissed both claims, finding that the statute of limitations had run on Lecy’s *104 claim under chapter 363 and that she had failed to show a prima facie case of discharge pursuant to a retirement policy in violation of section 181.81.

ISSUES

1. Did the trial court err in interpreting Minn.Stat. § 181.81, subd. 1(a), to apply only where an employee is discharged according to a retirement policy?

2. Did Lecy present a prima facie case of discharge from employment in violation of Minn.Stat. § 181.81, subd. 1(a)?

ANALYSIS

The trial court granted Sage’s motion for summary judgment because, based on its interpretation of Minn.Stat. § 181.81, Lecy did not show a genuine issue of material fact and Sage was therefore entitled to summary judgment as a matter of law. See Minn.R.Civ.P. 56.03. On appeal from a summary judgment, this court must determine only whether there is any issue of material fact and whether the trial court erred in its application of the law. Betlach v. Wayzata Condominium, 281 N.W.2d 328, 330 (Minn.1979).

Statutory interpretation based on undisputed facts is a question of law, which this court reviews de novo. A.J. Chromy Construction Co. v. Commercial Mechanical Service, Inc., 260 N.W.2d 579, 582 (Minn.1977). Sage does not dispute that it sent Lecy and the tenants the letters which she presented as evidence to support her claim. It disagrees with her interpretation of those letters, but did not present any other evidence of its reasons for discharging Lecy.

1. Minn.Stat. § 181.81 (Supp.1987), titled “DISMISSAL FOR AGE,” states in part:

It is unlawful for any private sector employer to refuse to hire or employ, or to discharge, dismiss, reduce in grade or position, or demote any individual on the grounds that the individual has reached an age of less than 70, * * *.

Id., subd. 1(a). The statute of limitations for claims brought under Minn.Stat. § 181.81 (1986) is two years. See Kyllo v. Farmers Cooperative Co. of Wanamingo, 723 F.Supp. 1332, 1337 (D.Minn.1989).

The trial court found that Lecy’s claim of age discrimination under chapter 363 was time barred. The court determined that because the statute of limitations was longer for claims brought under Minn.Stat. § 181.81 than for a claim of age discrimination brought under chapter 363, it was incumbent on the court to interpret Minn. Stat. § 181.81 narrowly and thereby prevent Lecy from circumventing the shorter time limitation. The trial court found that Lecy’s complaint and supporting evidence showed a claim for “age discrimination” under chapter 363 rather than a “mandatory retirement” in violation of Minn.Stat. § 181.81.

A general rule of construction is that statutes which are regarded by courts as humanitarian or which are grounded on a humane public policy are usually construed liberally. Nording v. Ford Motor Co., 231 Minn. 68, 76-77, 42 N.W.2d 576, 581-82 (1950) (construing the unemployment compensation statute); see also Minn. Stat. § 363.11 (1988) (providing that the provisions in chapter 363 “shall be construed liberally for the accomplishment of the purposes thereof”).

Minn.Stat. § 363.03 (1986) provides: Except when based on a bona fide occupational qualification, it is an unfair employment practice:

(2) For an employer, because of * * * age,
(a) to refuse to hire or to maintain a system of employment which unreasonably excludes a person seeking employment; or
(b) to discharge an employee; or
(c) to discriminate against a person with respect to hiring, tenure, compensation, terms, upgrading, conditions, facilities, or privileges of employment.

Minn.Stat. § 363.03, subd. 1 (1986). It is apparent that when a person has been discharged from employment in violation of Minn.Stat. § 181.81, a statute concerned *105 with involuntary discharges based on age, that the person may also be able to state a claim under Minn.Stat. § 363.03, subd. l(2)(b), for discharge based on age.

While Minn.Stat. § 181.81 has been applied in cases concerning implementation of a retirement policy, see Strand v. Special School District No. 1, 392 N.W.2d 881, 886 (Minn.1986), the statute does not express an application only to discharges involving retirement policies, nor is there other evidence of legislative intent to so narrowly limit application of this statute.

The legislature has recognized the connection between a cause of action under Minn.Stat. § 181.81 and chapter 363 and has provided that a person “may” allege a claim under both statutes in the same action:

[T]he plaintiff may

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460 N.W.2d 102, 1990 Minn. App. LEXIS 901, 54 Empl. Prac. Dec. (CCH) 40,236, 64 Fair Empl. Prac. Cas. (BNA) 460, 1990 WL 128387, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lecy-v-sage-co-minnctapp-1990.