McKnight v. Circuit City Stores, Inc.

168 F.R.D. 550, 1996 U.S. Dist. LEXIS 14237, 71 Empl. Prac. Dec. (CCH) 44,876, 72 Fair Empl. Prac. Cas. (BNA) 28, 1996 WL 549363
CourtDistrict Court, E.D. Virginia
DecidedAugust 23, 1996
DocketCivil Action No. 3:95CV964
StatusPublished
Cited by2 cases

This text of 168 F.R.D. 550 (McKnight v. Circuit City Stores, Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
McKnight v. Circuit City Stores, Inc., 168 F.R.D. 550, 1996 U.S. Dist. LEXIS 14237, 71 Empl. Prac. Dec. (CCH) 44,876, 72 Fair Empl. Prac. Cas. (BNA) 28, 1996 WL 549363 (E.D. Va. 1996).

Opinion

MEMORANDUM OPINION

SPENCER, District Judge.

I. Introduction

THIS MATTER is before the Court on plaintiffs’ motion to sever and bifurcate the jury trial scheduled to commence on October 28, 1996. Because of fairness and efficiency considerations, the Court will DENY the motion, DECERTIFY the class, and IMPLEMENT a new trial plan.

II. Procedural History

The above-entitled action was filed as an employment discrimination class action on October 31, 1995, in the United States District Court for the District of Maryland, Southern Division, in Greenbelt, Maryland. The putative class of plaintiffs in the action is comprised of current or former employees of Circuit City Stores, Inc. (“Circuit City”) who are suing for discrimination in promotion and transfer opportunities. The amended complaint describes Circuit City’s alleged discriminatory practices as:

making personnel decisions using procedures and criteria for selection that are excessively subjective and that are used for the purpose, and have the effect, of denying opportunities for promotion and transfer to qualified [black] employees [at Circuit City’s Headquarters] because of their race and that are not related to the position in question and consistent with business necessity.

Pursuant to 28 U.S.C. § 1404(a), district court in Maryland transferred the case to this Court on November 29, 1995. On April 1,1996, plaintiffs moved to certify themselves as a class, and on April 30, 1996, the Court conditionally certified the class under Federal Rule of Civil Procedure 23(b), and subsequently set the case for trial by jury, to commence on October 28 1996. On June 13, 1996, the Court approved plaintiffs’ proposed letter to all class members, informing them of the conditional class certification, the trial date, and of a toll-free telephone number they could call to speak with plaintiffs’ attorneys about the case. Discovery has been ongoing and plaintiffs have filed a list of 46 non-named class members who they plan to call as trial witnesses and acknowledged the existence of perhaps 200 additional class members with claims.

III. Statement of the Case

Plaintiffs have moved for the Court to sever the issues in this action and adopt a bifurcated trial plan whereby this case would be tried in two stages. Under plaintiffs’ proposed plan, in Stage I, a single jury (the “Class Jury”) would resolve separate issues in three phases, with the Class Jury’s decision in each phase to be followed immediately by the trial of the next phase. The Class Jury would address the following issues during the three phases of Stage I:

Phase 1: The Class Jury in this phase would address class-wide liability issues, [552]*552including specifically the issue of whether defendant Circuit City Stores engaged in a class-wide pattern or practice of racial discrimination with respect to promotions and transfers at its corporate Headquarters in Richmond.
Phase 2: During this phase, the Class Jury would determine the claims for compensatory damages of the named plaintiffs, and the Court would determine whether the named plaintiffs are entitled to any equitable remedies.
Phase 3: During Phase 3, the Class Jury would determine whether Circuit City is liable to the class for punitive damages and, if so, the amount of such damages to be awarded.

At the conclusion of Stage I, the Class Jury would be discharged and, if appropriate, the Court would grant any declaratory and/or injunctive relief. If there were a finding of class-wide discrimination by the Class Jury during Stage I, then Stage II proceedings would commence. These Stage II proceedings would occur in four phases as follows:

Phase 1: Within thirty (30) days of any verdict of class-wide discrimination by the Class Jury in Stage I, a notice would be sent, at Circuit City’s expense, to each member of the class, together with a questionnaire requiring a response within thirty (30) days of receipt.
Phase 2: Following receipt of the questionnaires, the parties would be permitted to conduct limited discovery concerning class members’ claims. The Court would determine at a later date the amount of time to be allotted for such discovery.
Phase 3: Following completion of defendant’s additional discovery of class members, the class members’ claims would be tried to a series of separate juries (“Separate Juries”), each sitting for approximately two (2) weeks, until all claims of all class members have been heard. These Separate Juries would determine whether each class member was a victim of Circuit City’s allegedly discriminatory conduct and, if so, the amount of compensatory damages to be awarded to that class member. The Court would determine during these separate trials whether the class member is entitled to any equitable remedies.
Phase U: Following completion of all claims of all class members by the Separate Juries, the Court would review the total amount of all compensatory damages and backpay awarded to both the named plaintiffs and the class members in Stages I and II of the trial, and compare it with the amount of punitive damages, if any, awarded by the Class Jury in Stage I. Thereafter, the Court would award each named plaintiff and each class member receiving compensatory damages and/or backpay, a portion of the total punitive damages approved by the Court following its review. The award would be in the same proportion that each claimant’s compensatory damages and/or backpay bears to the total of all compensatory damages and backpay awarded to the named plaintiffs and all class members. Should the Court conclude, following its review, that the total amount of punitive damages awarded by the Class Jury is too large to be upheld under applicable law, the Court' would order a remittitur of an appropriate portion of the punitive damages before they are distributed to the claimants.

IV. Analysis

A.

Defendant has opposed the proposed trial plan, claiming that it is unconstitutional, unfair, and unmanageable. As noted above, the Stage 1/Stage II bifurcation, with separate juries at both stages, will require separate juries to reexamine evidence and issues that a prior jury has decided. Defendant first argues that the Seventh Amendment of the United States Constitution forbids reexamination when the issues before the two juries are “interwoven.” Citing a recent case from the United States Court of Appeals for the Seventh Circuit, defendant avers that plaintiffs’ plan fails “to carve at the joint” and unconstitutionally “divide[s] issues between separate trials in such a way that the same issue is reexamined by different juries.” In the Matter of Rhone-Poulenc Rorer, Inc. 51 F.3d 1293, 1302-03 (7th Cir.), cert. [553]*553denied, — U.S. -, 116 S.Ct. 184, 133 L.Ed.2d 122 (1995) (citations omitted).

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168 F.R.D. 550, 1996 U.S. Dist. LEXIS 14237, 71 Empl. Prac. Dec. (CCH) 44,876, 72 Fair Empl. Prac. Cas. (BNA) 28, 1996 WL 549363, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mcknight-v-circuit-city-stores-inc-vaed-1996.