Olsen v. Costco Wholesale Corp.

CourtDistrict Court, E.D. California
DecidedAugust 21, 2025
Docket2:22-cv-02294
StatusUnknown

This text of Olsen v. Costco Wholesale Corp. (Olsen v. Costco Wholesale Corp.) is published on Counsel Stack Legal Research, covering District Court, E.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Olsen v. Costco Wholesale Corp., (E.D. Cal. 2025).

Opinion

6 7 8 UNITED STATES DISTRICT COURT 9 FOR THE EASTERN DISTRICT OF CALIFORNIA 10 11 MEGAN OLSEN, No. 2:22-cv-02294-DJC-JDP 12 Plaintiff, 13 v. ORDER GRANTING DEFENDANT’S MOTION FOR SUMMARY JUDGMENT 14 COSTCO WHOLESALE CORPORATION; and DOES 1 through 15 50, inclusive, 16 Defendant(s). 17 While working for Defendant, Plaintiff injured her foot and was left with physical 18 limitations. After taking unpaid medical leave for approximately two years, Plaintiff 19 obtained permanent medical restrictions. Plaintiff presented these restrictions to 20 Defendant, and both parties agreed that Plaintiff could not return to her prior position. 21 Plaintiff and Defendant engaged in an interactive process but ultimately failed to find 22 an available position for which Plaintiff was qualified. After Defendant terminated 23 Plaintiff’s employment, Plaintiff brought suit for state law claims, including failure to 24 accommodate, discrimination, and retaliation. Defendant now moves for summary 25 judgment, arguing that it complied with its legal duties before terminating Plaintiff’s 26 employment. For the reasons stated below, the Court GRANTS Defendant’s Motion 27 for Summary Judgment (ECF No. 60). 28 1 BACKGROUND

2 Plaintiff Megan Olsen began working for Defendant Costco Wholesale

3 Corporation in 2002. (Molineaux Decl., Ex. 17, Olsen Dep. 20:15–17, ECF No. 74-21.)1

4 On February 21, 2018, Plaintiff suffered a workplace injury to her foot. (Id. 34:24–

5 35:1.) On June 18, 2018, Plaintiff took unpaid medical leave. (Id. 81:14–21.) In

6 January 2021, while still on leave, Plaintiff obtained from her medical provider 7 permanent restrictions, which were sent to Defendant. (Id., Ex. 12.) Plaintiff and 8 Defendant thereafter met on two occasions to discuss her return to work, and they 9 concluded that she was unable to return to the position she held when she was 10 injured. (Id., Exs. 13, 25.) Defendant sent Plaintiff available positions, though Plaintiff 11 never applied for any position or requested an accommodation to perform any 12 available position. (Id., Exs. 15–20.) Because Plaintiff had exhausted her medical leave 13 and there was no available position for which she was qualified, Defendant terminated 14 Plaintiff’s employment on April 19, 2022 — nearly four years after she went on medical 15 leave. (Id. 140:21–141:4.) 16 Plaintiff originally filed her complaint (“the Complaint”) in the County of Solano 17 Superior Court, and Defendant timely removed the case to this Court under diversity 18 jurisdiction. (Notice of Removal, Ex. A, ECF No. 1.) Based on the parties’ stipulation 19 that was granted by the Court, five causes of action were dismissed with prejudice. 20 (Order Granting Joint Stipulation, ECF No. 58.) Accordingly, Plaintiff maintains six 21 state law claims, largely pursuant to California’s Fair Employment and Housing Act 22 (“FEHA”): (1) retaliation; (2) discrimination; (3) failure to provide reasonable 23 accommodation; (4) failure to engage in the interactive process; (5) failure to prevent 24 discrimination; and (6) wrongful termination.2 (Complaint at 1, ECF No. 1.) 25

26 1 For some portions of Olsen’s deposition, see Emrani Decl., Ex. A, ECF No. 60-2.

27 2 Plaintiff technically maintains seven causes of action, but she brings two claims each for discrimination and retaliation. As explained below, the Court only conducts one discrimination analysis and one 28 retaliation analysis. See infra Discussion Parts III, V. 1 Defendant now moves for summary judgment as to all claims. (Mot., ECF No.

2 60.) Plaintiff opposed, albeit two days late. (See Opp’n, ECF No. 74; Minute Order,

3 ECF No. 68.) While Defendant urges the Court to construe Plaintiff’s failure to file a

4 timely opposition as a non-opposition to the Motion, the Court declines Defendant’s

5 request and considers Plaintiff’s brief in reaching its decision. (See Reply at 1, ECF No.

6 76.) Accompanying its Reply, Defendant submitted a list of evidentiary objections. 7 (Evidentiary Objections, ECF No. 76-3.) Because the Court reaches its decision in 8 favor of Defendant even when considering the totality of Plaintiff’s evidence, these 9 objections are rendered moot. 10 The matter is fully briefed. On August 7, 2025, the Court heard oral argument 11 from the parties on this motion and took the matter under submission. (ECF No. 90.) 12 LEGAL STANDARD 13 Summary judgment is appropriate when the record, read in the light most 14 favorable to the non-moving party, indicates “that there is no genuine dispute as to 15 any material fact and the movant is entitled to judgment as a matter of law.” Fed. R. 16 Civ. P. 56(a). A genuine dispute of fact exists only if “there is sufficient evidence 17 favoring the nonmoving party for a jury to return a verdict for that party.” Anderson v. 18 Liberty Lobby, Inc., 477 U.S. 242, 249 (1986). If the nonmoving party fails to make this 19 showing, “the moving party is entitled to a judgment as a matter of law.” Celotex 20 Corp. v. Catrett, 477 U.S. 317, 323 (1986). 21 DISCUSSION 22 The Court discusses the following issues: (1) reasonable accommodation; 23 (2) interactive process; (3) discrimination; (4) failure to prevent discrimination; 24 (5) retaliation; and (6) wrongful termination. 25 I. Reasonable Accommodation 26 The Court first discusses the factual timeline underlying this claim before 27 analyzing the legal merits. 28 //// 1 A. Timeline

2 1. Plaintiff’s Injury and Return to Work

3 On February 21, 2018, Plaintiff suffered a workplace injury that resulted in

4 damage to her right foot. (Olsen Dep. 34:24–35:1.) Two days later, Plaintiff saw her

5 medical provider, Dr. Phillip Wagner, who placed Plaintiff on modified activity such

6 that Plaintiff could only stand up to 25% of her shift and walk up to 25% of her shift. 7 (Olsen Dep., Ex. 5.) Plaintiff testified that in the weeks after her injury, Defendant did 8 not adhere to these work restrictions. (Id. 65:1–21.) On March 8, 2018, Dr. Wagner 9 took Plaintiff off work. (Molineaux Decl., Amended Ex. 2 at 32, 42–43, ECF No. 78-2.) 10 On April 12, 2018, Dr. Wagner allowed Plaintiff to return to work with the same 11 modified restrictions as issued in February. (Id. at 41.) Plaintiff testified that her 12 restrictions were once again violated. (Olsen Dep. 73:23–74:10.) In June 2018, 13 Plaintiff “called workmen’s comp and complained” about Defendant not following her 14 restrictions. (Id. 77:3–12.) The day after making the complaint, Defendant’s 15 employees held a meeting with Plaintiff, at which Plaintiff represents she was told, “we 16 think that it’s best that you go back out on leave until you are fully recovered and can 17 come back to work with no accommodations.” (Id. 79:21–81:21.) Plaintiff does not 18 testify that she disagreed with Defendant’s recommendation or otherwise expressed 19 concerns with the suggestion she take unpaid leave. (See id.) Instead, Plaintiff 20 accepted Defendant’s recommendation, and her last day of work was June 18, 2018. 21 (See id.; Golston Decl. ¶ 13, ECF No. 60-3.) 22 2. Permanent Restrictions and the First Job Assessment Meeting 23 Plaintiff remained on unpaid medical leave for nearly two years without any 24 evidence of communication between her and Defendant, though Defendant did 25 routinely receive notes from Dr. Wagner that alternated between Plaintiff being 26 placed on modified activity and being placed off work due to injury. (Emrani Decl., Ex. 27 H at 114–126, ECF No. 76-1; Molineaux Decl., Amended Ex. 2 at 24–28.) On June 3, 28 2020, Dr.

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