Morgan v. New York Life Insurance

507 F. Supp. 2d 808, 2007 U.S. Dist. LEXIS 60217, 101 Fair Empl. Prac. Cas. (BNA) 657, 2007 WL 2359817
CourtDistrict Court, N.D. Ohio
DecidedAugust 16, 2007
Docket1:05-CV-2872
StatusPublished
Cited by1 cases

This text of 507 F. Supp. 2d 808 (Morgan v. New York Life Insurance) is published on Counsel Stack Legal Research, covering District Court, N.D. Ohio primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Morgan v. New York Life Insurance, 507 F. Supp. 2d 808, 2007 U.S. Dist. LEXIS 60217, 101 Fair Empl. Prac. Cas. (BNA) 657, 2007 WL 2359817 (N.D. Ohio 2007).

Opinion

OPINION AND ORDER

[Resolving Docs. 149, 151]

JAMES S. GWIN, District Judge.

On December 13, 2005, Defendant removed Plaintiff Tommy Morgan’s state-filed Complaint to federal court. [Doc. 1.] Plaintiffs Complaint alleged four causes of action:' (1) age discrimination; (2) gender discrimination; (3) race discrimination; and (4) defamation. On August 30, 2006, the Court granted Defendant New York Life Insurance Company’s Motion for Summary Judgment with regard to Plaintiffs claims of sex discrimination and defamation, but denied Defendant’s Motion for Summary Judgment with regard to Plaintiffs claims of age and race discrimination. [Doc. 65.]

On September 28, 2006, a jury rendered a verdict in favor of Plaintiff on his claim of age discrimination and awarded Plaintiff $6,000,000 in compensatory damages and $10,000,000 in punitive damages, as well as attorneys’ fees. [Doc. 135.] The jury rendered a verdict in favor of Defendant on Plaintiff Morgan’s claim of race discrimination. Id. On October 3, 2006, the Court entered a judgment in accordance with the jury verdict. [Doc. 137.] Likewise, on October 3, 2006, the Court denied Defendant’s Motion for a Directed Verdict on the issue of punitive damages. [Doc. 138.]

On October 18, 2006, Defendant filed a Motion for Judgment as a Matter of Law. [Doc. 149.] On October 19, 2006, Defendant filed a Motion for New Trial and in the alternative a Motion for Remittitur. [Doc. 151.] On February 27, 2007, Plain *811 tiff opposed each of these motions. [Doc. 172.]

For the following reasons, the Court hereby DENIES Defendant’s Motion for Judgment as a Matter of Law, Motion for New Trial and Motion for Remittitur.

I. Background

Plaintiff was born on April 21,1954. He began working for Defendant near August 2, 1986. In January 2000, Defendant promoted Plaintiff to Managing Partner of its Northern Ohio General Office, located in Cuyahoga County. The Northern Ohio office was one of two “tier one” offices in the company’s South Central Zone. Over the next five years, Plaintiff earned between $503,738 and $839,170 in annual income. Plaintiff maintained this position until Defendant informed Plaintiff on October 26, 2005 that it was terminating his employment effective September 30, 2005. Defendant then appointed Mostafa Abdou, a 40-year-old man of Egyptian descent, to succeed Plaintiff as Managing Partner of the Northern Ohio Office.

Throughout Plaintiffs tenure as Managing Partner of the Northern Ohio Office, Bob O’Neill served as the South Central Zone’s Chief Operating Officer. Paul Morris served as Senior Vice President of the South Central Zone until December 2003. In January 2004, Morris was promoted to Senior Vice President of Agency. At this time, Brad Willson was named Senior Vice President of the South Central Zone. Phil Hildebrand served as Defendant’s Executive Vice President and Morris’s direct supervisor throughout Plaintiffs tenure as Managing Partner. While employed as Managing Partner of the Northern Ohio office, Plaintiff reported to Morris, Willson and O’Neill.

Plaintiff offered direct and circumstantial evidence to support his claim of age discrimination. As direct evidence, Plaintiff offered numerous statements by Morris, O’Neill, Willson and Hildebrand that allegedly reflect age bias in favor of younger workers. Plaintiff also presented a prima facie case of indirect discrimination by showing that he is a member of a statutorily protected class who was arguably qualified for his position, terminated by his employer and replaced by a person who is not a member of the protected class.

At trial, Defendant responded that the statements offered as direct evidence by Plaintiff do not reflect age bias and share no nexus with Plaintiffs discharge. Additionally, Defendant offered evidence of a business justification for Plaintiffs termination. Defendant argued that Plaintiff Morgan was expected to expand the Northern Ohio office, but production actually declined significantly under Plaintiffs management. The Defendant says that Plaintiff Morgan failed to meet targets after the Defendant placed Plaintiff on “performance warning” and subsequently “final warning.” Although Plaintiff initially appeared to meet each of six performance goals necessary to avoid termination, Defendant later determined that Plaintiff received credit for four improper commission splits. As a result, Defendant New York Life argued to the jury that Plaintiff failed to meet one of the required benchmarks for minimum pérformance and Defendant opted to terminate Plaintiffs employment with the company.

Plaintiff responded to the jury with regard to Defendant’s proffered business justification for his termination and claimed that the rationale offered by Defendant was merely a pretext for discrimination. In seeking to show that New York Life’s justification was pretextual, Plaintiff offered evidence that he received the highest possible overall performance ranking in each of his first four years as Managing *812 Partner of the Northern Ohio office. Likewise, Plaintiff noted to the jury that instead of placing Plaintiff on a less-serious “performance alert” when his office’s Growth Profitability and Accountability measure (“GPA”) allegedly fell below the company’s 1.50 minimum benchmark, Defendant skipped this initial measure and immediately placed Plaintiff on “performance warning,” the second of three disciplinary designations. In addition, Plaintiff offered evidence that his GPA never fell below 1.71; that Defendant mistakenly understated his office’s overall performance; and that Defendant refused to correct its error when notified. Plaintiff also argued to the jury that Defendant treated younger workers more favorably though their performance was demonstrably worse than Plaintiffs. Finally, Plaintiff noted that although he unquestionably met five out of six performance goals after being placed on “final warning,” and although he only arguably failed to reach his final goal of increasing office manpower by a single employee, Plaintiff was terminated and replaced by a younger, less-qualified candidate.

II. Legal Standard

“On a motion for a judgment notwithstanding the verdict or for a directed verdict, the district court must determine whether there was sufficient evidence presented to raise a material issue of fact for the jury.” Monette v. AM-7-7 Baking Co., 929 F.2d 276, 280 (6th Cir.1991). The Court “must view the evidence in the light most favorable to the party against whom the motion is made, and give that party the benefit of all reasonable inferences.” Wayne v. Village of Sebring, 36 F.3d 517, 525 (6th Cir.1994). “ ‘[Sufficient evidence’ will be found unless, when viewed in the light of those inferences most favorable to the nonmovant, there is either a complete absence of proof on the issues or no controverted issues of fact upon which reasonable persons could differ.” Monette, 929 F.2d at 280; see also Barnes v. City of Cincinnati, 401 F.3d 729, 736 (6th Cir.2005) (“Judgment as a matter of law may only be granted if ...

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Gregorian v. New York Life Ins. Co.
2022 NY Slip Op 06917 (Appellate Division of the Supreme Court of New York, 2022)

Cite This Page — Counsel Stack

Bluebook (online)
507 F. Supp. 2d 808, 2007 U.S. Dist. LEXIS 60217, 101 Fair Empl. Prac. Cas. (BNA) 657, 2007 WL 2359817, Counsel Stack Legal Research, https://law.counselstack.com/opinion/morgan-v-new-york-life-insurance-ohnd-2007.