MTA Trading, Inc. v. Kirkland

84 A.D.3d 811, 922 N.Y.S.2d 488
CourtAppellate Division of the Supreme Court of the State of New York
DecidedMay 3, 2011
StatusPublished
Cited by14 cases

This text of 84 A.D.3d 811 (MTA Trading, Inc. v. Kirkland) is published on Counsel Stack Legal Research, covering Appellate Division of the Supreme Court of the State of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
MTA Trading, Inc. v. Kirkland, 84 A.D.3d 811, 922 N.Y.S.2d 488 (N.Y. Ct. App. 2011).

Opinion

Proceeding pursuant to Executive Law § 298 to review so much of a determination of the Commissioner of the New York State Division of Human Rights dated September 17, 2009, as, upon adopting the recommendation and findings of an administrative law judge dated August 4, 2009, made after a compliance [812]*812hearing, imposed successor liability on MTA Trading, Inc., for the unlawful discriminatory discharge of the complainant, Yuri Gutkin, by T.D.A. Trading Corp., and the New York State Division of Human Rights cross-petitions pursuant to Executive Law § 298 to enforce (1) a determination of the Commissioner of the New York State Division of Human Rights dated March 17, 2008, which adopted the recommendation of “Adjudication Counsel” dated February 20, 2008, made after a hearing before an administrative law judge, finding that T.D.A. Trading Corp. discriminated against the complainant, Yuri Gutkin, based upon his age, and awarded damages in the principal sums of $1,800 for back pay, plus interest at the rate of 9% per annum from April 15, 2005, and $10,000 for mental anguish, plus interest at the rate of 9% per annum from the date of that determination, and (2) the determination dated September 17, 2009, which imposed successor liability upon MTA Trading, Inc., and imposed individual liability upon David Albilia for the unlawful discriminatory discharge of the complainant by T.D.A. Trading Corp.

Adjudged that the petition is granted, on the law, and that portion of the determination dated September 17, 2009, imposing successor liability on MTA Trading, Inc., is annulled; and it is further,

Adjudged that the branch of the cross petition which was to enforce the determination dated March 17, 2008, is granted, and T.D.A. Trading Corp. and David Albilia, individually, are directed to pay the complainant the principal sums of $1,800 for back pay, plus interest at the rate of 9% per annum from April 15, 2005, and $10,000 for mental anguish, plus interest at the rate of 9% per annum from March 17, 2008, and the cross petition is otherwise denied; and it is further,

Ordered that one bill of costs is awarded to MTA Trading, Inc., payable by the New York State Division of Human Rights, and one bill of costs is awarded to the New York State Division of Human Rights, payable by T.D.A. Trading Corp. and David Albilia.

In October 2006 the complainant, Yuri Gutkin, filed an administrative complaint with the New York State Division, of Human Rights (hereinafter the NYSDHR) charging T.D.A. Trading Corp. (hereinafter TDA) with unlawfully discharging him based upon his age in violation of the New York State Human Rights Law (Executive Law § 290 et seq.). The complainant alleged that, for approximately one year before his discharge, his supervisor, David Albilia, the president of TDA, repeatedly told him that he was too slow and too old. After a public hearing at [813]*813which TDA failed to appear, the Commissioner of the NYSDHR (hereinafter the Commissioner) declined to adopt the recommendation of the administrative law judge (hereinafter ALJ) that the complaint be dismissed. Instead, in an order issued on March 17, 2008, the Commissioner adopted the proposed order of the NYSDHR’s adjudication counsel, finding that Gutkin was unlawfully discharged by TDA based upon his age, and awarded damages to Gutkin for back pay and mental anguish.

Unable to collect the damages from TDA, which apparently became an inactive entity, the NYSDHR initiated a compliance hearing approximately nine months later, at which TDA again failed to appear. At the initial session of the hearing, the NYSDHR contended that Albilia, as the president of TDA, should be held individually liable for TDA’s discriminatory conduct and that MTA Trading, Inc. (hereinafter MTA), should be held liable as TDA’s successor in interest. The ALJ adjourned the hearing to allow the NYSDHR to amend the administrative complaint by adding Albilia and MTA as respondents, and to serve notice upon them. At the continuation of the hearing, MTA was the only respondent that appeared. Following the hearing, the ALJ, relying on a nine-factor test for successor liability developed by the federal courts under title VII of the federal Civil Rights Act of 1964 (42 USC § 2000e et seq. [hereinafter title VII]) (see Equal Empl. Opportunity Commn. v MacMillan Bloedel Containers, Inc., 503 F2d 1086 [1974]), concluded that a substantial continuity of identity existed between TDA and MTA sufficient to impose successor liability on MTA for TDA’s discriminatory conduct. The ALJ also concluded that TDA and Albilia, individually, were liable for Gutkin’s damages. On September 17, 2009, the Commissioner adopted the ALJ’s recommended findings of fact and order. MTA then commenced this proceeding seeking to annul the Commissioner’s determination to impose successor liability on MTA, and the NYSDHR filed a cross petition seeking enforcement of the Commissioner’s determinations.

Judicial review of a determination made by the NYSDHR after a hearing under the Human Rights Law is limited to whether the determination is supported by substantial evidence (see Matter of State Div. of Human Rights [Granelle], 70 NY2d 100, 106 [1987]; 300 Gramatan Ave. Assoc. v State Div. of Human Rights, 45 NY2d 176, 181-182 [1978]). A reviewing court “may not weigh the evidence or reject the Division’s determination where the evidence is conflicting and room for choice exists” (Matter of State Div. of Human Rights [Granelle], 70 NY2d at 106).

[814]*814Here, the Commissioner’s determination that TDA unlawfully discharged Gutkin from his employment based upon his age is supported by substantial evidence. Gutkin established a prima facie case of age discrimination, which created a presumption of unlawful discrimination that TDA failed to rebut by setting forth a legitimate, nondiscriminatory reason for the termination (see Stephenson v Hotel Empls. & Rest. Empls. Union Local 100 of AFL-CIO, 6 NY3d 265, 270-271 [2006]; Ferrante v American Lung Assn., 90 NY2d 623, 629 [1997]). Moreover, the award of $1,800 in damages for back pay is supported by substantial evidence (see Matter of Eastport Assoc., Inc. v New York State Div. of Human Rights, 71 AD3d 890, 891-892 [2010]; Matter of Hilal v New York State Div. of Human Rights, 57 AD3d 898, 899 [2008]), and the Commissioner appropriately awarded predetermination interest on the back pay from April 15, 2005, one month after Gutkin’s discharge (see Matter of Aurecchione v New York State Div. of Human Rights, 98 NY2d 21, 26-27 [2002]). The Commissioner’s determination that Gutkin sustained mental anguish as a consequence of his discharge from employment is supported by substantial evidence. Moreover, the award of $10,000 for mental anguish “is reasonably related to the wrongdoing, is supported by substantial evidence, and is similar to comparable awards for similar injuries” (Matter of Gold Coast Rest. Corp. v Gibson, 67 AD3d 798, 800 [2009]; see Matter of New York City Tr. Auth. v State Div. of Human Rights, 78 NY2d 207, 218-219 [1991]; Matter of Woehrling v New York State Div. of Human Rights, 56 AD3d 1304, 1305-1306 [2008]; Matter of State Div. of Human Rights v Stoute, 36 AD3d 257, 266 [2006]; Matter of Manhattan & Bronx Surface Tr. Operating Auth. v New York State Div. of Human Rights, 225 AD2d 553, 554 [1996]).

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Bluebook (online)
84 A.D.3d 811, 922 N.Y.S.2d 488, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mta-trading-inc-v-kirkland-nyappdiv-2011.