Lisa Dunn v. Washington County Hospital and Thomas J. Coy

429 F.3d 689, 2005 U.S. App. LEXIS 24660, 87 Empl. Prac. Dec. (CCH) 42,181, 96 Fair Empl. Prac. Cas. (BNA) 1647, 2005 WL 3068342
CourtCourt of Appeals for the Seventh Circuit
DecidedNovember 17, 2005
Docket05-1277
StatusPublished
Cited by102 cases

This text of 429 F.3d 689 (Lisa Dunn v. Washington County Hospital and Thomas J. Coy) is published on Counsel Stack Legal Research, covering Court of Appeals for the Seventh Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lisa Dunn v. Washington County Hospital and Thomas J. Coy, 429 F.3d 689, 2005 U.S. App. LEXIS 24660, 87 Empl. Prac. Dec. (CCH) 42,181, 96 Fair Empl. Prac. Cas. (BNA) 1647, 2005 WL 3068342 (7th Cir. 2005).

Opinions

EASTERBROOK, Circuit Judge.

For several years, Lisa Dunn worked as a nurse at Washington County Hospital in Nashville, Illinois. It is a small hospital, with only 59 beds, so members of the staff must be able to work well together; antagonists cannot be separated readily. Dunn contends in this suit under Title VII of the Civil Rights Act of 1964 (and other federal statutes) that Thomas J. Coy, the head of obstetric and emergency services, made life miserable for her and other women on the staff. Details do not matter for current purposes. The district court assumed that Dunn encountered discriminatory working conditions (men on the staff faced no similar problems) but granted summary judgment for the Hospital anyway, because at the time Dr. Coy was not one of the Hospital’s employees. He had staff privileges, which he used to furnish medical services directly to patients. The Hospital therefore could not control his conduct, the judge ruled, and could not be liable for it.

The district judge proceeded as if this were a tort suit. Coy was an independent contractor; the Hospital would not be liable on principles of respondeat superior for intentional torts he committed against the nurses; consequently, the judge thought, the Hospital could not be liable under Title VII either. The proposition about the limits of vicarious liability is incontestable. See Berry v. Delta Air[691]*691lines, Inc., 260 F.3d 803, 811-12 (7th Cir. 2001). It is also irrelevant, because liability under Title VII is direct rather than derivative.

The Supreme Court held in Burlington Industries, Inc. v. Ellerth, 524 U.S. 742, 118 S.Ct. 2257, 141 L.Ed.2d 633 (1998), and Faragher v. Boca Raton, 524 U.S. 775, 118 S.Ct. 2275, 141 L.Ed.2d 662 (1998), that an employer is answerable under Title VII only for “its own” deeds — and this is so even if the person who takes supposedly discriminatory action is on its payroll. An employer is responsible for every “tangible employment action” (hiring, firing, promotion or its absence, wage-setting, and the like) plus any other discriminatory term or condition of employment that the employer fails to take reasonable care to prevent or redress.

When a supervisor causes the objectionable conduct, proof of reasonable care is an affirmative defense; otherwise the plaintiff bears the burden of showing that the employer knew of the problem (usually though not always this requires the employee to show that a complaint was made) and that the employer did not act reasonably to equalize working conditions once it had knowledge. See, e.g., Faragher, 524 U.S. at 799-808, 118 S.Ct. 2275; EEOC v. Indiana Bell Telephone Co., 256 F.3d 516, 524-26 (7th Cir.2001) (en banc); Shafer v. Kal Kan Foods, Inc., 417 F.3d 663 (7th Cir.2005); Hostetler v. Quality Dining, Inc., 218 F.3d 798, 809-11 (7th Cir.2000).

Because liability is direct rather than derivative, it makes no difference whether the person whose acts are complained of is an employee, an independent contractor, or for that matter a customer. Ability to “control” the actor plays no role. Employees are not puppets on strings; employers have an arsenal of incentives and sanctions (including discharge) that can be applied to affect conduct. It is the use (or failure to use) these options that makes an employer responsible — and in this respect independent contractors are no different from employees. Indeed, it makes no difference whether the actor is human. Suppose a patient kept a macaw in his room, that the bird bit and scratched women but not men, and that the Hospital did nothing. The Hospital would be responsible for the decision to expose women to the working conditions affected by the macaw, even though the bird (a) was not an employee, and (b) could not be controlled by reasoning or sanctions. It would be the Hospital’s responsibility to protect its female employees by excluding the offending bird from its premises. This is, by the way, the norm of direct liability in private law as well: a person “can be subject to liability for harm resulting from his conduct if he is negligent or reckless in permitting, or failing to prevent, negligent or other tortious conduct by persons, whether or not his servants or agents, upon premises or with instrumentalities under his control.” Restatement (2d) of Agency § 213(d).

Just so with an offending independent contractor, as Coy is alleged to be. The employer’s responsibility is to provide its employees with nondiscriminatory working conditions. The genesis of inequality matters not; what does matter is how the employer handles the problem. Accord, Lockard v. Pizza Hut, Inc., 162 F.3d 1062, 1072-74 (10th Cir.1998) (collecting cases). Dunn alleges that the Hospital knew that Coy made life miserable for women (but not men) and did nothing in response. That states a claim of sex discrimination under Title VII. The Hospital is mistaken in. saying that Dunn failed to plead the correct theory (or the right facts) in the district court: Pleadings need not contain either factual details or legal theories. See Swierkiewicz v. Sorema N.A., 534 [692]*692U.S. 506, 122 S.Ct. 992, 152 L.Ed.2d 1 (2002); Bartholet v. Reishauer A.G. (Zurich), 953 F.2d 1073 (7th Cir.1992). Nor does it matter whether Coy intended to injure women; the right question is whether the Hospital intentionally.created or tolerated unequal working conditions. The district court therefore must decide on remand whether Coy’s conduct was severe enough (and the Hospital’s response feeble enough) to justify liability, and if material facts are in dispute a trial-must be held.

Dunn’s other contentions, however, do not require additional proceedings. Coy was not a state actor,"so claims under the first amendment fail. Dunn’s equal-protection argument — that the Hospital favored Coy over her because he brought in more business — does not show intentional discrimination against women. Dunn’s own characterization of events implies that the Hospital tolerated Coy despite, rather than because of, his puerile behavior, and thus did not intentionally discriminate. See Personnel Administrator of Massachusetts v. Feeney, 442 U.S. 256, 279, 99 S.Ct. 2282, 60 L.Ed.2d 870 (1979) (“Discriminatory purpose .... implies more than intent as volition or intent as awareness of consequences. It implies that the decisionmaker ... selected or reaffirmed a particular course of action at least in part because of, not merely in spite of, its adverse effects upon an identifiable group.”) (internal footnote, citation, and quotation marks omitted). Dunn does not contend that the Hospital acted as it did because it shared Coy’s prejudices.

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429 F.3d 689, 2005 U.S. App. LEXIS 24660, 87 Empl. Prac. Dec. (CCH) 42,181, 96 Fair Empl. Prac. Cas. (BNA) 1647, 2005 WL 3068342, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lisa-dunn-v-washington-county-hospital-and-thomas-j-coy-ca7-2005.