Michael Cain v. United Mortgage Corp. and Emmanuel Catechis

CourtDistrict Court, E.D. New York
DecidedOctober 15, 2025
Docket2:21-cv-03325
StatusUnknown

This text of Michael Cain v. United Mortgage Corp. and Emmanuel Catechis (Michael Cain v. United Mortgage Corp. and Emmanuel Catechis) is published on Counsel Stack Legal Research, covering District Court, E.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Michael Cain v. United Mortgage Corp. and Emmanuel Catechis, (E.D.N.Y. 2025).

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF NEW YORK ---------------------------------------------------------- X MICHAEL CAIN, : : MEMORANDUM DECISION AND Plaintiff, : ORDER : - against - : 21-cv-3325 (BMC) : : UNITED MORTGAGE CORP., and : EMMANUEL CATECHIS, : : Defendants. : ---------------------------------------------------------- X

COGAN, District Judge.

During plaintiff Michael Cain’s one year of employment at United Mortgage Corporation (“UMC”), his manager, Emmanuel Catechis, called him by several offensive names. One of those names was a racial slur. Plaintiff, who is African American, recognized that this was an attempt at humor by Catechis and by the coworkers who followed Catechis’s example. But understandably, plaintiff didn’t find it funny. After roughly two weeks of name-calling, plaintiff stood up in front of his colleagues and Catechis and told them to stop. They did. Catechis terminated plaintiff about eight months later for poor attendance and poor productivity. Plaintiff brought this action under Title VII, 42 U.S.C. § 1981, the Age Discrimination in Employment Act (“ADEA”), and corresponding provisions of state law, contending that he was discriminated against and subjected to a hostile work environment, and that he was terminated because of his race, his age, and in retaliation for his protected complaint regarding race discrimination. Defendants’ motion for summary judgment is granted as to all claims relating to age discrimination, granted as to the retaliation claim, and denied as to the race-based discrimination and hostile work environment claims. Invoking supplemental jurisdiction, plaintiff has also brought claims for violations of the notice, wage statement, time-of-payment, and anti-kickback provisions of the New York Labor Law (“NYLL”). In opposing defendants’ motion for summary judgment, plaintiff seeks to amend to add additional claims under the Fair Labor Standards Act and NYLL for unpaid wages. Defendants’ motion is granted as to the labor law claims for all but the anti-kickback claim, as

defendants have not challenged that. Plaintiff’s motion to amend is denied, as it is futile and much too late. BACKGROUND Defendant UMC is a residential mortgage lender and loan servicer, licensed to do business in 44 states including New York. Defendant Catechis was the branch manager of UMC’s branch in Astoria, Queens between 2015 and 2022. In that position, Catechis was responsible for all phases of loan production, as well as recruiting, training, and supervising all branch employees. He had the authority to hire, fire, and discipline employees, but under company policy, terminations had to be approved by UMC’s Human Resources Manager, Patricia Taylor. Emails suggest that Catechis interviewed, or was at least slated to interview,

plaintiff for his position. UMC had two levels of employees involved in the mortgage origination end of its business: licensed mortgage loan officers and unlicensed sales assistants. This distinction was an outgrowth of the 2008 mortgage crisis and subsequent Dodd Frank Act, which mandated that henceforth, only licensed mortgage loan officers could originate residential mortgage loans. At UMC, unlicensed sales associates were paid an hourly rate and were not entitled to receive a percentage of any closed loan as commission; they could, however, obtain a small discretionary bonus for closed loans on which they assisted. By contrast, licensed mortgage loan officers received a percentage of closed loans as commission, and thus were in a potentially more lucrative position than unlicensed sales assistants. Plaintiff was hired as an unlicensed sales assistant in September 2017. All documentation regarding plaintiff’s employment with UMC supports that fact – his employment contract, his pay stubs, his wage notices and statements, and his time records.1 Indeed, it is

undisputed that plaintiff did not have a license to originate mortgages, and plaintiff acknowledges that performing the duties of a licensed mortgage loan officer (principally, originating loans) would have been illegal. Nevertheless, he contends that shortly after he was hired, he entered into an oral side agreement with Catechis where he would have the same duties and responsibilities as a licensed mortgage loan officer and receive 1% of the value of each loan on which he worked. In February 2018, Catechis began referring to plaintiff and another coworker, Roy Ben- Zvi, by “nicknames.” For plaintiff, the nicknames included “Bozo the Clown” (plaintiff thinks because he was bald and, in deposition testimony, suggests that it was tangentially related to his

age – “I never seen somebody 15 years old walking around with no hair on top”), “Old Man Cain,” “My Cocaine,” and “My N----r Cain.” For Ben-Zvi, the nicknames were “Roy Ben Dover” and “Jew Boy.” Although plaintiff understood that Catechis – and the coworkers who followed suit – intended this as workplace humor, plaintiff considered it disrespectful. He had a conversation with Ben-Zvi in which Ben-Zvi said he understood they were joking and was not

1 Although plaintiff testified at his deposition, with regard to his “Notice & Acknowledgement Of Pay Rate & Payday Under Section 195.1 – NYS Labor Law,” that “I’ve never seen this document before in my life,” the rest of the record conclusively contradicts that. Not only is his signature on it, but he received the document to his personal email address and replied that he “forwarded the document[ ] back” as requested. Further, his paystubs precisely match what the form provided, and he acknowledged never protesting the salary rate set forth in the form. Plaintiff’s conclusory allegation that he did not sign the “Notice & Acknowledgement” form is insufficient to create an issue of fact when defendants have offered documentary evidence proving the opposite. See Scott v. Coughlin, 344 F.3d 282, 287 (2d Cir. 2003). troubled by the name calling.2 After “a couple of weeks,” plaintiff made a “blanket statement” in response to the most egregious of the nicknames, “My N----r Cain”: “I just stood up from my desk and I said, ‘That’s not funny.’ ... Everybody laughed, but I didn’t hear it no more.” Plaintiff never made any formal complaints of race or age discrimination during his employment, even though he was aware of the reporting line for such complaints as set forth in

UMC’s employee handbook. Plaintiff testified that he told Ira Zimmerman, the owner of a prior company at which he worked and the person who he believed had de facto ownership of UMC, about Catechis’s “disrespectful” behavior and use of the “n” word at Catechis’s wedding. Zimmerman apparently said that was “Manny being Manny” and walked away. Plaintiff also testified that he mentioned Catechis’s behavior to Taylor, the Human Resources Manager, saying something to the effect of, “Why do you people let him get away with all this?” But plaintiff did not tell Taylor about Catechis’s or others’ use of the “n” word towards him. Plaintiff has submitted no evidence as to when his complaints to Zimmerman and Taylor took place. On April 13, 2018, Taylor sent plaintiff an email stating that according to UMC’s

records, plaintiff had not worked 40 hours a week on average, as was required for full-time status. The email advised him that two days hence, his status would be changed to part-time, which meant he would no longer be eligible for group benefits or paid time-off under UMC’s plans. On August 1, 2018, Catechis counseled plaintiff about his poor attendance and performance. A month later, Catechis reviewed plaintiff’s “pipeline” of loans and noted that he was not assisting on any active files.3 Catechis terminated plaintiff on October 15, 2018. Taylor

2 As plaintiff testified, Ben Zvi “accepted ‘Jew Boy.’ He accepted that.

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Bluebook (online)
Michael Cain v. United Mortgage Corp. and Emmanuel Catechis, Counsel Stack Legal Research, https://law.counselstack.com/opinion/michael-cain-v-united-mortgage-corp-and-emmanuel-catechis-nyed-2025.