Scott v. Granada Computer Services, Inc.

5 Mass. L. Rptr. 351
CourtMassachusetts Superior Court
DecidedMay 2, 1996
DocketNo. 9503429
StatusPublished
Cited by1 cases

This text of 5 Mass. L. Rptr. 351 (Scott v. Granada Computer Services, Inc.) is published on Counsel Stack Legal Research, covering Massachusetts Superior Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Scott v. Granada Computer Services, Inc., 5 Mass. L. Rptr. 351 (Mass. Ct. App. 1996).

Opinion

Houston, J.

This action arises from the alleged failure to the defendant Granada Computer Services, Inc. (“Granada”) to make relocation reimbursement and other payments to the plaintiff James Scott (“Scott”), a former employee, as required by various written agreements. This matter is before this Court on the defendant’s motion to dismiss Count I, G.L.c. 149, §§148 and 150, Count III, Breach of Covenant of Good Faith, and Count IV, Wrongful Termination. For the reasons set forth below, the defendant Granada’s motion to dismiss is ALLOWED in part and DENIED in part.

BACKGROUND

The plaintiff Scott alleges the following facts, which this Court accepts as true for the purposes of this motion. Scott was hired by Granada’s United Kingdom operation in 1981. In or "about February 1993, Scott agreed to relocate to Granada’s California office in Menlo Park and accept the position of Vice-President, Assistant General Manager, U. S. Field Operations.

In connection with his relocation, Scott and Granada entered into a contract wherein Granada agreed to reimburse Scott for the commission and closing costs on the purchase of a new home in California up to $30,000.00. Granada also agreed to provide Scott with a cost differential allowance of $1000.00 per month during the first twelve months and $500.00 per month during the second twelve months of his employment. Granada expressly provided that these relocation and allowance reimbursements were to be net of federal, state and local income tax.

In or about early 1994, Granada consolidated it’s U.S. Operations and offered Scott continued employment with Granada at its Burlington, Massachusetts headquarters. In connection with this further relocation, Granada agreed to reimburse Scott for his relocation expenses. It also agreed to continue to provide $500.00 per month in additional allowance; and it agreed to pay the additional relocation reimbursement and the continued cost differential allowance, net of federal, state and local income tax. The purpose of the agreement, as understood by the parties, was to ensure that Scott would not incur costs associated with his relocation. In addition, Granada agreed to pay Scott a bonus compensation.

Following his tax preparation in March 1994, Scott made repeated requests for reimbursements for expenses incurred due to both relocations and for payment of any tax liability on the relocation and cost differential payments. Despite his requests, Granada failed to pay him the monies owed. When his requests remained unhonored, Scott stated that Granada must make the payments due or he would seek court relief.

After informing Granada of his demand that it honor its contractual obligations or he would seek court relief, Granada terminated plaintiffs employment without notice. After Scott retained counsel and initiated a Wage Payment Action under G.L.c. 149, §150, Granada attempted to pay monies due. Pursuant to G.L.c. 149, §150, Scott filed an administrative complaint with the Attorney General’s office on January 23, 1995, waited the mandatory ninety day waiting period and filed a complaint in court. The complaint alleges that the defendant violated G.L.c. 149, §§148 and 150 (Count I); breached its contract with Scott (Count II); breached its covenant of good faith and fair dealing (Count III); and, wrongfully terminated Scott (Count IV). Granada moves to dismiss Counts I, III and IV.

DISCUSSION

“Dismissals on the basis of pleadings, before facts have been found, are discouraged; the standard applied under rule 12(b)(6) is that ‘a complaint is sufficient unless it shows beyond doubt that there is no set of facts which the plaintiff could prove in support of his claim which would entitle him to relief.’ Under that formulation the vague or ambiguous complaint tends to be immune from dismissal under rule 12 . . . but where . . . the complaint sets out with clarity and precision the detailed factual allegations which the plaintiff contends entitle him to relief, it is appropriate, although not required, to allow a motion to dismiss if the allegations of the complaint ‘clearly demonstrate that plaintiff does not have a claim.’ ” Fabrizio v. Quincy, 9 Mass.App.Ct. 733, 734 (1980). Moreover, a complaint should not be dismissed because it asserts a new theory of liability because “it is important that new legal theories be explored and assayed in the light of actual facts rather than a pleader’s suppositions.” New England Insulation Co. v. General Dynamics Corp., 26 Mass.App.Ct. 28, 30 (1988).

[353]*353A. Count I, G.L.c. 149, §§148 & 150

The Massachusetts Payment of Wages Statute requires employers to pay their employees wages at least every other week, unless an eligible employee elects to be paid monthly. G.L.c. 149, §148.1 Employees who are involuntarily discharged must be paid in full on the day of the discharge. Id. Although the statute provides that “wages” shall include holiday or vacation pay, it does not provide a specific definition for the term. Id. Violation of the Payment of Wages Statute subjects the employer to both criminal and civil sanctions. Id. In particular, an employee aggrieved by the violation of the statute has a private civil right of action for injunctive relief and damages, including treble damages for loss of wages and other benefits, attorneys fees, and litigation costs. G.L.c. 149, §150.2

In this case, the defendant employer bases its motion to dismiss on the grounds that the payments which it allegedly failed to make to the plaintiff employee are not “wages” under the Payment of Wages Statute. “[A] basic tenet of statutory construction is to give the words their plain meaning in light of the aim of the Legislature.” Commonwealth v. Vickey, 381 Mass. 762, 767 (1980); see also Shubshelowicz v. Fall River Gas Co., 412 Mass. 259, 262 (1992) (“The language of a statute is the best indication of legislative intent”). “Provisions of legislation addressing similar subject matter are to be construed together to make ‘an harmonious whole consistent with the legislative purpose’ . . . and to avoid rendering any part of the legislation meaningless.” Healey v. Commissioner of Public Welfare, 414 Mass. 18, 25-26 (1992).

The term “wages" is not defined in tire statute or in interpreting regulations. However, the Supreme Judicial Court recently defined “wages” in the context of the Equal Pay Act, which prohibits wage discrimination on the basis of gender for work of like or comparable character. G.L.c. 149, §105A.3 Jancey v. School Committee of Everett, 421 Mass. 482, 490-93 (1995). Looking to various sources for guidance, the Supreme Judicial Court adopted a definition consistent with that provided by B.lack’s Law Dictionary (6th ed. 1990):

Every form of remuneration payable for a given period to an individual for personal services, including salaries, commissions, vacation pay, dismissal wages, tips, and any other similar advantage received from the individual’s employer or directly with respect to work for him . . . Term should be broadly defined and includes not only periodic monetary earnings but all compensation for services rendered without regard to manner in which such compensation is computed.

Id. at 1579 (citations omitted).

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5 Mass. L. Rptr. 351, Counsel Stack Legal Research, https://law.counselstack.com/opinion/scott-v-granada-computer-services-inc-masssuperct-1996.