Reach v. Healthfirst, Inc.

CourtDistrict Court, S.D. New York
DecidedOctober 15, 2024
Docket1:23-cv-08085
StatusUnknown

This text of Reach v. Healthfirst, Inc. (Reach v. Healthfirst, Inc.) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Reach v. Healthfirst, Inc., (S.D.N.Y. 2024).

Opinion

UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF NEW YORK

MANDY REACH, Plaintiff, 23-CV-8085 (JPO) -v- OPINION AND ORDER HEALTHFIRST, INC., et al., Defendants.

J. PAUL OETKEN, District Judge: Plaintiff Mandy Reach brings this action against Defendants Healthfirst, Inc., HF Management Services, LLC, (collectively, “Healthfirst”), and Doreen Richardson, alleging discrimination, hostile work environment, and retaliation under Title VII of the Civil Rights Act of 1964, 42 U.S.C. §§ 2000e et seq.; the Age Discrimination in Employment Act of 1967, 29 U.S.C. §§ 621, et seq.; Section 1981 of the Civil Rights Act of 1866, 42 U.S.C. § 1981; and New York state and local law. (See ECF No. 16 (“FAC”) at 1-6.) Before the Court is Healthfirst’s motion to dismiss the complaint, joined by Richardson. (See ECF Nos. 12 & 37.) For the reasons that follow, the motion is granted in part. I. Background A. Factual Background The following facts, taken from the First Amended Complaint, are assumed true for the purposes of this opinion. Fink v. Time Warner Cable, 714 F.3d 739, 740-41 (2d Cir. 2013). Plaintiff Mandy Reach is a Chinese American woman who began working for Healthfirst on January 2, 2022, as a hospital specialist in the Strategic Account Management Department (the “Department”). (FAC ¶¶ 35-36.) A position as head of that Department opened in May 2022. (See id. ¶ 38.) Reach does not allege that she applied for the specific position, but had previously “expressed her desire to climb the corporate ladder” to Healthfirst management. (Id. ¶ 37.) Reach alleges that Defendant Richardson was “surreptitiously” hired for the role and began working for Healthfirst in June of 2022. (Id. ¶¶ 38-39.) Soon after taking over as head of the Department, Richardson, who is Black, embarked on what Reach describes as a “racist campaign designed to get rid of [Reach].” (Id. ¶ 50.)

Richardson consistently failed to respond to Reach’s emails and spoke to her in an “aggressive, impatient[,] and hostile tone.” (Id. ¶¶ 51-52.) At the same time, Richardson was “extremely polite and patient” when dealing with her Black subordinates, such as Reach’s coworker Patsy. (Id. ¶ 52.) After Reach complained to Richardson that Patsy was not providing her with important client information, Richardson “blamed [Reach] for the problems,” which “encouraged Patsy to express her own hostility towards [Reach].” (Id. ¶ 54.) Reach alleges that Patsy’s behavior “was encouraged by Richardson and was racially motivated.” (Id.) Richardson also displayed “unbridled hostility” to Reach in the form of “continual[] badgering,” being “condescending to her,” and “in general [acting] offensive and gratuitously mean.” (Id. ¶ 55.)

Richardson’s “unnatural anger” toward Reach was never leveled on Patsy or her other Black coworkers. (Id.) In addition, Richardson asked Healthfirst’s account director to write a poor mid- performance review about Reach, which he declined to do. (Compl. ¶ 46.) Upon learning of Richardson’s attempt to assign Reach a negative performance review, Reach filed a complaint with Healthfirst’s human resources department. (Id. ¶ 49.) The complaint did not lead to any repercussions for Richardson. (Id.) Reach fell into a depression and suffered a nervous breakdown following a particularly contentious meeting with Richardson on July 14, 2022,1 after which Reach took medical leave from Healthfirst. (Id. ¶¶ 58-60.) In the meeting, Richardson accused Reach of failing to be a “team player” and being a poor communicator. (Id. ¶ 58.) Richardson also “belittled” Reach with “made-up accusations” and stated that she “had fired people in the past for not performing

well.” (Id.) Reach filed a complaint with Healthfirst’s human resources department on July 15, 2022, regarding the meeting. (Id. ¶ 59.) While still on medical leave, Reach was informed that Healthfirst would attempt to find her a job in a different department, but that Reach would need to continue working under Richardson in the meantime. (Id. ¶ 61.) Reach found the prospect of working under Richardson “intolerable.” (Id.) On October 7, 2022, Reach informed Healthfirst that she was resigning. (Id.) In total, Reach and Richardson’s interactions occurred over a roughly six-week period. (Id. ¶¶ 39, 59-60.) B. Procedural Background Reach filed a discrimination charge with the Equal Employment Opportunity

Commission (“EEOC”) and received a Notice of the Right to Sue. (Id. ¶ 17.) Reach commenced this action on September 18, 2023. (ECF No. 1.) Healthfirst moved to dismiss on January 5, 2024 (ECF No. 12), which Richardson joined (ECF No. 37). Healthfirst also filed a supporting memorandum of law. (ECF No. 13 (“Mem”).) Reach filed her opposition to the motion to dismiss on February 9, 2024. (See ECF No. 17.) Healthfirst filed a reply in further support of its motion to dismiss on March 11, 2024. (See ECF No. 25 (“Reply”).)

1 In paragraph 58, the First Amended Complaint appears to indicate incorrectly that the meeting occurred on July 14, 2023. All subsequent references are to events occurring in 2022. II. Legal Standard To survive a motion to dismiss pursuant to Rule 12(b)(6) of the Federal Rules of Civil Procedure, a complaint must include enough facts to state a claim for relief that is “plausible on its face.” Bell Atl. Corp. v. Twombly, 550 U.S. 544, 570 (2007). In reviewing the complaint, the Court must accept all well-pleaded factual allegations as true but need not accept as true “mere

conclusory statements” reciting the elements of a cause of action. See Ashcroft v. Iqbal, 556 U.S. 662, 678-79 (2009); Twombly, 550 U.S. at 555. A complaint that pleads facts that are “merely consistent with a defendant’s liability . . . stops short of the line between possibility and plausibility.” Iqbal, 556 U.S. at 678 (quoting Twombly, 550 U.S. at 557) (internal quotations omitted). III. Discussion A. Adverse Employment Action Under Federal Law A plaintiff claiming disparate treatment under Title VII, Section 1981, and the ADEA “must plausibly allege that she suffered an ‘adverse employment action.’” Naumovski v. Norris, 934 F.3d 200, 212 (2d Cir. 2019) (Title VII); Littlejohn v. City of N.Y., 795 F.3d 297, 315-16 (2d Cir. 2015) (Section 1981); Kassner v. 2nd Ave. Delicatessen Inc., 496 F.3d 229, 238 (2d Cir.

2007) (ADEA). Her federal retaliation claims require the same. See Carr v. N.Y.C. Transit Auth., 76 F.4th 172, 178 (2d Cir. 2023) (holding that retaliation claims brought under Title VII, Section 1981, and the ADEA all require pleading that “the employer’s retaliatory actions . . . were ‘materially adverse’”). The Second Circuit “define[s] an adverse employment action as a ‘materially adverse change’ in the terms and conditions of employment.” Sanders v. N.Y.C. Hum. Res. Admin., 361 F.3d 749, 755 (2d Cir. 2004) (quoting Richardson v. N.Y. State Dep’t of Corr. Serv., 180 F.3d 426, 446 (2d Cir. 1999)).

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Reach v. Healthfirst, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/reach-v-healthfirst-inc-nysd-2024.