Lynn v. Allied Corp.

536 N.E.2d 25, 41 Ohio App. 3d 392, 1987 Ohio App. LEXIS 10830
CourtOhio Court of Appeals
DecidedNovember 23, 1987
Docket52755
StatusPublished
Cited by24 cases

This text of 536 N.E.2d 25 (Lynn v. Allied Corp.) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lynn v. Allied Corp., 536 N.E.2d 25, 41 Ohio App. 3d 392, 1987 Ohio App. LEXIS 10830 (Ohio Ct. App. 1987).

Opinion

Krupansky, J.

On August 2, 1985, plaintiffs, Janice H. Lynn and her husband Luther C. Lynn, filed a complaint in the Cuyahoga County Court of Common Pleas against defendants, Allied Corporation and Duane Crockrom. Defendants filed an answer on October 28,1985. On December 11, 1985, plaintiffs filed a motion and memorandum to file an amended complaint and a proposed amended complaint. Defendants filed an answer to the amended complaint on December 19, 1985.

In the plaintiffs’ amended complaint the plaintiffs alleged the following: (1) defendants intentionally and/or negligently inflicted severe emotional distress on Janice Lynn, (2) defendants intentionally or negligently invaded Janice Lynn’s right to privacy, (3) defendants breached their employment relationship with Janice Lynn, and (4) defendants’ conduct caused Luther Lynn to suffer loss of consortium. Con *393 sequently, plaintiff Janiee Lynn sought to recover $175,000 in compensatory damages and $200,000 in punitive damages plus costs and attorney fees and plaintiff Luther Lynn requested $50,000 in damages plus costs and attorney fees.

On May 20, 1986, defendants filed a motion for summary judgment. Plaintiffs filed a brief in opposition to defendants’ motion for summary judgment on July 31, 1986. Defendants filed a reply brief in support of their motion on September 5,1986. On September 16, 1986, the trial court granted defendants’ motion for summary judgment and dismissed the case. Plaintiffs filed a timely notice of appeal on October 3, 1986.

The case subjudice arose from the following facts. Appellant Janice Lynn had been employed as a nurse by ap-pellee Allied Corporation and its predecessors for approximately eighteen years. In October 1983, in order to decrease Allied’s need for involuntary layoffs, Allied offered its employees who were eligible for pension benefits “A Special Voluntary Retirement Incentive Program” (hereinafter “ASVRIP”). Allied’s eligible employees were informed about ASVRIP on or about October 25,1983, and they were given until 3:00 p.m. November 4, 1983, to notify Allied of their decision to accept or decline ASVRIP.

On October 24, 1983, Janice Lynn underwent gall bladder surgery at Huron Road Hospital. Consequently, appellant was on medical leave when Allied announced ASVRIP to its employees. Since appellant Janice Lynn was an employee eligible for ASVRIP, on October 28, 1983, Duane Crockrom, manager of Allied’s personnel department, telephoned Mrs. Lynn at the hospital to inform her about ASVRIP. Appellant maintains she was extremely distraught and hysterical as a result of Mr. Crockrom’s phone call and the phone call had a deleterious effect on her recovery from the surgery.

In her deposition Mrs. Lynn testified as to what occurred during the telephone conversation. A portion of the deposition transcript follows:

“Q. Now I would like you to tell me about the phone call. What happened? Your phone rings and —
“A. The phone rang and I —
“Q. Where were you at the time it rang?
“A. I was just coming out of the bathroom, walking from the bathroom, and I walked to the phone.
“Now, what all do you want to know? Exactly what —
“Q. Yeah, exactly what happened then.
“A. I can only remember the first words were — and I knew something had to be wrong — ‘Hi, Jan, how are you,’ something like that, and then he said ‘Has Jim Crandell called you yet,’ and I said ‘No,’ and he says ‘Oh,’ something like that, ‘He left the dirty work for me,’ or something like that, and I thought ‘What’s coming,’ you know, and then he — I cannot tell you exactly from there on what he said. He just said something about this volunteer retirement program and just a brief description of what it entailed, and that he would send me papers in the mail that day, or the papers were in the mail that day, so that I could read about it, and that was it.
“Q. That’s all you can recall óf the conversation?
“A. That’s all I can recall. * * *”

Subsequently, Mrs. Lynn received the letter mentioned in the above telephone conversation. A portion of that letter follows:

“The Special Voluntary Retirement Incentive Program is available to any salaried employee who is eligible to retire under any of the provisions of the Pension Plan on or before January *394 1, 1985.1 want to emphasize that this program is entirely at your option and should you decline, it will in no way affect future performance reviews or your continued employment. You will have until November 4, 1983 at 3:00 p.m. to make your decision.” (Emphasis added.)

On November 4,1983, Janice Lynn elected to participate in ASVRIP.

I

Appellants’ first assignment of error follows:

“The trial court committed reversible error in granting defendants’ motion for summary judgment because it had jurisdiction to consider plaintiffs’ common law claims.”

Appellants’ first assignment of error has merit.

Appellants correctly argue the state court has jurisdiction over the case sub judice and their state common-law causes of action are not preempted by the Employee Retirement Income Security Act of 1974 (“ERISA” or “Act”). Appellants’ claims of emotional distress, invasion of privacy, breach of contract and loss of consortium are not preempted by Section 1144(a), Title 29, U.S. Code, which provides:

“Supersedure; effective date. Except as provided in subsection (b) of this section, the provisions of this title and title IV shall supersede any and all State laws insofar as they may now or hereafter relate to any employee benefit plan described in section 4(a) [29 USCS Sec. 1003(a)] and not exempt under section 4(b) [29 USCS Sec. 1003(b)]. This section shall take effect on January 1, 1975.”

The term “state law” includes the common law of the states or any of their political subdivisions. Section 1144(c)(1) and (2), Title 29, U.S. Code. Further, under Section 1144(c)(2), Title 29, U.S. Code, the state instrumentality must be one which purports to regulate, either directly or indirectly, the terms and conditions of employee benefits plans covered by ERISA. Appellants’ claims center around a telephone conversation informing Mrs. Lynn of her option for early retirement and do not bring into consideration the terms and conditions of any benefit plan. Further, and perhaps most importantly, no decision by this court would regulate the terms and conditions of this or any other benefit plan.

Appellants’ claims concern a telephone conversation which Janice Lynn received at Huron Road Hospital while recuperating from gall bladder surgery. Appellants contend this conversation amounted to a termination of her employment and was, under the circumstances, an infliction of emotional distress, an invasion of privacy and a breach of contract. Appellants’ claims in no way involve benefits, terms or conditions of Allied Corporation’s retirement plan.

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Cite This Page — Counsel Stack

Bluebook (online)
536 N.E.2d 25, 41 Ohio App. 3d 392, 1987 Ohio App. LEXIS 10830, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lynn-v-allied-corp-ohioctapp-1987.