Marshall County Hospital v. Darlene Harvey

Court of Appeals of Kentucky·Decided June 27, 2025·No. 2024-CA-0993·Unpublished

Opinion

RENDERED: JUNE 27, 2025; 10:00 A.M.

NOT TO BE PUBLISHED

Commonwealth of Kentucky

Court of Appeals

NO. 2024-CA-0966-MR

MARSHALL COUNTY HOSPITAL APPELLANT

APPEAL FROM MARSHALL CIRCUIT COURT v. HONORABLE ANDREA L. MOORE, JUDGE ACTION NO. 20-CI-00282

DARLENE HARVEY APPELLEE AND NO. 2024-CA-0993-MR

MARSHALL COUNTY HOSPITAL APPELLANT

APPEAL FROM MARSHALL CIRCUIT COURT v. HONORABLE ANDREA L. MOORE, JUDGE ACTION NO. 20-CI-00282

DARLENE HARVEY APPELLEE

OPINION

AFFIRMING

** ** ** ** **

BEFORE: CALDWELL, ECKERLE, AND MCNEILL, JUDGES. ECKERLE, JUDGE:

Appellant, Marshall County Hospital (the “Hospital”), challenges the Marshall Circuit Court’s Orders granting Appellee, Darlene Harvey (“Harvey”), front pay and attorney’s fees. For the reasons set forth herein, we affirm.

FACTUAL AND PROCEDURAL BACKGROUND This appeal arises from Harvey’s claims against the Hospital and its Chief Executive Officer, David Fuqua (“Fuqua”), alleging, inter alia, unlawful retaliation in violation of the Kentucky Civil Rights Act (“KCRA”), Kentucky Revised Statutes (“KRS”) 344.010 et seq.

From 2001 to 2020, Harvey, a licensed pharmacist, served as the Hospital’s Pharmacy Director. Towards the end of her tenure, Harvey informed the Hospital’s leadership of her desire to transition from its Pharmacy Director to a staff pharmacist role. In February of 2020, Harvey contacted her direct supervisor, Tiffany Tubbs (“Tubbs”), to express interest in the Hospital’s vacant, part-time staff pharmacist position. In doing so, Harvey inquired if the Hospital would convert the position into full-time employment. Tubbs rejected Harvey’s request, claiming that the Hospital would not approve a full-time staff pharmacist position. However, in March of 2020, the Hospital hired an external male candidate to fill the position, which the Hospital converted to a full-time role. Harvey believed that

the Hospital’s actions constituted gender discrimination. Consequently, Harvey notified Tubbs and other administration of her intent to file a complaint with the Equal Employment Opportunity Commission (“EEOC”).

On March 30, 2020, Harvey met with Tubbs and other Hospital administrators. During this meeting, Harvey claims that Tubbs demanded Harvey’s verbal commitment to continuing as the Hospital’s Pharmacy Director. Harvey responded to Tubb’s request by reiterating her wish to transition to a full- time staff pharmacist position at the Hospital. Tubbs interpreted Harvey’s statements as notice of her resignation. The following day, March 31, 2020, Harvey met again with Hospital administration. During this second meeting, Harvey explained that her statements to Tubbs did not express her resignation, and that she intended to continue working as the Hospital’s Pharmacy Director. Harvey further stated that the Hospital was acting in a discriminatory and retaliatory manner. Hospital administration summarily terminated Harvey.

On April 21, 2020, Harvey filed a charge of gender discrimination with the EEOC and the Kentucky Commission on Human Rights. The administrative charge was closed without determination in August of 2020. On October 30, 2020, Harvey brought the underlying lawsuit against the Hospital and Fuqua. Harvey’s six-count Complaint alleged gender discrimination against the Hospital, retaliation against the Hospital and Fuqua, breach of contract against the

Hospital, and fraudulent or negligent misrepresentation against the Hospital and Fuqua.

In August of 2023, having experienced minimal advancement of her claims, Harvey obtained new counsel, Michael A. Augustus (“Augustus”). In December of 2023, with leave of the Trial Court, Harvey filed an Amended Complaint, asserting her original six causes of action with additional factual allegations. Written and oral discovery ensued. Dispositive motion practice also occurred, including the Hospital’s Motion for Summary Judgment. Following denial of that motion and an unsuccessful mediation, a three-day jury trial commenced in April of 2024.

On the first day of trial, Harvey voluntarily dismissed four counts of her Amended Complaint, but moved forward with prosecuting the counts of retaliation against the Hospital and Fuqua in violation of KRS 344.280. Harvey requested the jury award damages in the amount of $844,664.00, representing $268,196.00 in lost wages, $76,468.00 in lost benefits, and $500,000.00 for emotional distress. The jury returned a verdict finding that the Hospital, but not Fuqua, committed retaliation against Harvey in response to her engagement in protected activity under the KCRA. The jury awarded Harvey a total of $100,000.00 in damages, representing $75,000.00 in lost wages and $25,000.00 in lost benefits. The jury did not award Harvey damages for emotional distress.

On April 18, 2024, the Trial Court entered Judgment on the jury’s verdict, ordering the Hospital to pay Harvey $100,000.00. The Trial Court reserved jurisdiction to enter supplemental judgments as to Harvey’s entitlement to attorney’s fees, in addition to Harvey’s request for front pay. The Hospital does not challenge this Judgment.

On May 10, 2024, Harvey filed a Motion for Approval of Application for Award of Attorney’s Fees and Other Costs of this Litigation (“Motion for Fees”). Harvey also filed a Motion for an Award of Front Pay in Lieu of Reinstatement (“Motion for Front Pay”). The Hospital filed responses in opposition, after which Harvey replied. The Hospital and Harvey also provided the Trial Court with competing proposed orders, neither of which included factual findings or legal analyses.

On July 9, 2024, the Trial Court conducted joint hearings on Harvey’s Motion for Fees and Motion for Front Pay. That same day, following the hearing, the Trial Court signed Harvey’s proposed orders. Specifically, the Trial Court entered the following Orders: (1) an Order awarding Harvey $200,000.00 in front pay (“Order Awarding Front Pay”), and (2) an Order awarding Harvey $101,835.00 in attorney’s fees (“Order Awarding Fees).1 It is from both Orders the Hospital filed separate notices of appeal.

1 The Trial Court’s Order Awarding Fees also awarded Harvey $3,367.77 in litigation costs.

STANDARD OF REVIEW

This Court reviews a Trial Court’s front pay award for an abuse of discretion. Brooks v. Lexington-Fayette Urban Cnty. Hous. Auth., 132 S.W.3d 790, 806 (Ky. 2004); Highlands Hosp. Corp. v. Preece, 323 S.W.3d 357, 367 (Ky. App. 2010). We similarly apply an abuse of discretion standard of review to claims of error concerning a Trial Court’s award of attorneys’ fees. Banker v. University of Louisville Athletic Ass’n, Inc., 466 S.W.3d 456, 465 (Ky. 2015). Under the abuse of discretion standard of review, we will not disturb a Trial Court’s decision unless it was “arbitrary, unreasonable, unfair, or unsupported by sound legal principles.” Goodyear Tire and Rubber Co. v. Thompson, 11 S.W.3d 575, 581 (Ky. 2000).

ANALYSIS

A. Order Awarding Front Pay-Appeal No. 2024-CA-0966-MR Kentucky Courts enjoy statutory authority to award equitable and monetary relief to those injured from violations of the KCRA. Specifically, KRS 344.450 states as follows:

Any person injured by any act in violation of the provisions of this chapter shall have a civil cause of action in Circuit Court to enjoin further violations, and to recover the actual damages sustained, together with the costs of the lawsuit. The court’s order or judgment shall include a reasonable fee for the plaintiff’s attorney of record and any other remedies contained in this chapter.

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