MCCOY v. PAN AMERICAN GROUP

CourtDistrict Court, W.D. Pennsylvania
DecidedApril 18, 2022
Docket2:21-cv-00389
StatusUnknown

This text of MCCOY v. PAN AMERICAN GROUP (MCCOY v. PAN AMERICAN GROUP) is published on Counsel Stack Legal Research, covering District Court, W.D. Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
MCCOY v. PAN AMERICAN GROUP, (W.D. Pa. 2022).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE WESTERN DISTRICT OF PENNSYLVANIA

TAMMY MCCOY,

2:21-CV-00389-CCW Plaintiff,

v.

PAN AMERICAN GROUP,

Defendant.

MEMORANDUM OPINION AND ORDER I. Background On March 24, 2021, Tammy McCoy filed a Complaint alleging that Defendant Pan American Group (“PAN”), her former employer, discriminated against her on the basis of her Neopaganist religious beliefs, in violation of Title VII of the Civil Rights Act of 1964, 42 U.S.C. § 2000e et seq., and the Pennsylvania Human Relations Act, 42 P.S. § 951 et seq. See ECF No. 1. In response, PAN moved to compel arbitration pursuant to the Dispute Resolution Program (“DRP”) acknowledgment that PAN contends Ms. McCoy signed during her onboarding process to work for PAN. On June 21, 2021, the Court denied without prejudice Defendant’s motion to compel arbitration and to dismiss complaint, ECF No. 7, and ordered the parties to proceed to limited fact discovery on the issue of arbitrability. ECF No. 11. Following that fact discovery, Defendant Pan American Group (“PAN”), renewed its Motion to Compel Arbitration and to Dismiss Complaint, ECF No. 16, which Plaintiff Tammy McCoy opposes. See ECF Nos. 17, 20, 23, 26. Having been fully briefed, the matter is now ripe for disposition. II. Legal Standard A. The Federal Rule of Civil Procedure 56 Standard Applies to PAN’s Motion to Compel Arbitration When presented with a motion to compel arbitration, the Court must affirmatively answer two questions before compelling arbitration pursuant to § 4 of the Federal Arbitration Act: (1) whether the parties entered into a valid arbitration agreement; and (2) whether the dispute at issue falls within the scope of the arbitration agreement. Century Indem. Co. v. Certain Underwriters at Lloyd’s, 584 F.3d 513, 523 (3d Cir. 2009). “Before a party to a lawsuit can be ordered to arbitrate and thus be deprived of a day in court, there should be an express, unequivocal agreement to that effect.” McCoy v. Pan Am. Grp., No. 2:21-CV-00389-CCW, 2021 U.S. Dist. LEXIS 114816, at *2–3 (W.D. Pa. June 21, 2021) (citing Par-Knit Mills, Inc. v. Stockbridge Fabrics Co., 636 F.2d 51, 54 (3d Cir. 1980)).

Previously, the Court found that there was “a genuine question as to whether [Ms. McCoy] was provided an opportunity to review, much less assent to the terms and conditions of the arbitration agreement and employee handbook” and ordered limited fact discovery as to this issue. ECF No. 11 at 3. Based on the parties’ briefing, it is clear that their dispute focuses solely on the first question—whether the parties entered into a valid arbitration agreement—and not whether the dispute at issue falls within the scope of the arbitration agreement. See generally, ECF No. 17 at 9–10 (contending that Ms. McCoy’s claim falls within the DRP); ECF No. 23 at 1 (“Plaintiff’s response brief makes clear that there is no dispute that the arbitration agreement is valid and covers the subject matter of Plaintiff’s claim”); see also ECF Nos. 20 & 26.

Because the parties have conducted fact discovery on this issue, the court decides a motion to compel arbitration under the summary judgment standard set forth by Federal Rule of Civil Procedure 56, not the standard for a motion to dismiss under Rule 12(b)(6). See Guidotti v. Legal Helpers Debt Resolution, LLC, 716 F.3d 764, 776 (3d Cir. 2013); Davis v. Cintas Corp., 2:18-cv- 01200, 2019 U.S. Dist. LEXIS 87261, at *5 (W.D. Pa. May 23, 2019) (Hornak, C.J.). Under Rule 56, a “court shall grant summary judgment if the movant shows that there is

no genuine dispute as to any material fact and the movant is entitled to judgment as a matter of law.” Fed. R. Civ. P. 56(a). “[T]he moving party bears the initial burden of showing that the non- movant has failed to establish one or more essential elements of its case, and, once that initial burden is met, the non-moving party must ‘go beyond the pleadings and by her own affidavits, or by the “depositions, answers to interrogatories, and admissions on file,” designate “specific facts showing that there is a genuine issue for trial.”’” Guidotti, 716 F.3d at 772 (citing Celotex Corp. v. Catrett, 477 U.S. 317, 324 (1986)). The party opposing summary judgment must show that there is a genuine dispute of material fact and must support that assertion by “citing to particular parts of ... the record, including depositions, documents, electronically stored information, affidavits or declarations, stipulations..., admissions, interrogatory answers, or other materials.”

Id. (citing Fed. R. Civ. P. 56(c)(1)(A)). In evaluating a motion to compel arbitration under the Rule 56 standard, “the court must draw all reasonable inferences in favor of the nonmoving party, and it may not make credibility determinations or weigh the evidence.” Guidotti, 716 F.3d at 772 (citing Reeves v. Sanderson Plumbing Prods., Inc., 530 U.S. 133, 150 (2000)). But, while the court must “view the facts in the light most favorable to the non-moving party and draw all reasonable inferences in that party’s favor…” under Rule 56 “to prevail on a motion for summary judgment, the non-moving party must present more than a mere scintilla of evidence; there must be evidence on which the jury could reasonably find for the [non-movant].” Burton v. Teleflex Inc., 707 F.3d 417, 425 (3d Cir. 2013) (internal citations and quotations omitted). If a genuine issue of material fact remains after summary judgment on whether a validly formed and enforceable arbitration agreement exists, “the court must proceed summarily to trial

on ‘the making of the arbitration agreement.’” MXM Constr. Co. v. N.J. Bldg. Laborers Statewide Benefit Funds, 974 F.3d 386, 406 (3d Cir. 2020); 9 U.S.C. § 4 (“If the making of the arbitration agreement or the failure, neglect, or refusal to perform the same be in issue, the court shall proceed summarily to the trial thereof.”). III. Discussion A. Elements for a Valid Arbitration Agreement Under Pennsylvania Law In determining whether the parties entered into a valid arbitration agreement, courts turn to “ordinary state-law principles that govern the formation of contracts.” Kirleis v. Dickie, McCamey & Chilcote, P.C., 560 F.3d 156, 160 (3d Cir. 2009) (quoting First Options of Chic., Inc.

v. Kaplan, 514 U.S. 938, 944 (1995)); Aliments Krispy Kernels, Inc. v. Nichols Farms, 851 F.3d 283, 288 (3d Cir. 2017).

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