Seay v. Grace Jefferson Home

26 Va. Cir. 355, 1992 Va. Cir. LEXIS 128
CourtRichmond County Circuit Court
DecidedFebruary 25, 1992
DocketCase No. LT-3511-4
StatusPublished
Cited by3 cases

This text of 26 Va. Cir. 355 (Seay v. Grace Jefferson Home) is published on Counsel Stack Legal Research, covering Richmond County Circuit Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Seay v. Grace Jefferson Home, 26 Va. Cir. 355, 1992 Va. Cir. LEXIS 128 (Va. Super. Ct. 1992).

Opinion

By Judge Randall G. Johnson

Plaintiff brings this action against Grace Jefferson Home (the “Home”), where she formerly worked, five general partners of the Home, and one of the Home’s employees. The motion for judgment contains two counts. Count I alleges that defendants, with the exception of defendant Darlene Short, the employee, wrongfully discharged plaintiff from her employment with the Home. Count II alleges that defendant Darlene Short made false, defamatory, slanderous, and insulting remarks concerning plaintiff to prospective employers of plaintiff after plaintiff’s termination from the Home. Defendants, again with the exception of Darlene Short, have demurred and filed a motion for summary judgment.1 Both the demurrer and motion for summary judgment are directed at Count I only and are based on defendants’ contention that Virginia’s “employment-at-will” doctrine precludes plaintiff’s claim of unlawful discharge.

Grace Jefferson Home is a residential care facility for adults and is licensed by the Commonwealth as a home for adults. The Home hired plaintiff as an assistant administrator in March, 1991. During her employment, plaintiff observed what she considered was abusive treatment of Home residents by Rose Jones, one of the Home’s [356]*356nurse’s assistants. In fact, plaintiff witnessed “continual violations of patients’ rights” by Rose Jones and reported those violations to defendants. Paragraph 25 of the Motion for Judgment. In addition, Fleming Rose, an “inspector of licensed adult homes for the Commonwealth of Virginia,” after receiving an anonymous telephone call regarding Rose Jones’s conduct, conducted an investigation at the Home.2 Plaintiff cooperated with that investigation, providing information to the investigator and meeting with him on June 28, 1991. On June 29, she was terminated. Her letter of termination, dated June 28, 1991, the same day she met with the state investigator, stated that the partners decided “to abolish the position of Assistant Administrator effective July 1, 1991.” Plaintiff contends, however, that such reason was a pretext and that she was actually terminated because she reported Rose Jones’s conduct to defendants and to the state inspector and because she cooperated in the state inspector’s investigation. Plaintiff further claims that such action by defendants is in violation of public policy and is therefore actionable at law.

A.s already noted, defendants’ demurrer and motion for summary judgment challenge the viability of plaintiff’s cause of action in light of Virginia’s employment-at-will doctrine:

Virginia adheres to the common law rule that when the intended duration of a contract for the rendition of services cannot be determined by fair inference from the terms of the contract, then either party is ordinarily at liberty to terminate the contract at will, upon giving the other party reasonable notice.

Miller v. SEVAMP, Inc., 234 Va. 462, 465, 362 S.E.2d 915 (1987).

Moreover, while conceding that a narrow, “public-policy” exception to the at-will doctrine was recognized in Bowman v. State Bank of Keysville, 229 Va. 534, 331 S.E.2d 797 (1985), defendants insist that such exception does not apply to this case. Specifically, defendants state that “[tjhere is no statute recognizing that employees who cooperate with a Social Services investigator are not to be terminated, nor has the Supreme Court recognized such an exception to [357]*357the at-will doctrine.” Memorandum in Support of Defendants’ Demurrer and Motion for Summary Judgment, at 5. I conclude that defendants have completely misread the holdings of Miller and Bowman and that a proper reading of those cases makes it clear that plaintiff has stated a viable cause of action here.

In Bowman v. State Bank of Keysville, plaintiffs were employees of the defendant bank and also owned stock in the bank. Prior to February 8, 1979, the bank’s management commenced negotiations with officials of a certain corporation which culminated in the execution of an agreement providing for merger of the bank into a subsidiary of the corporation and conversion of each share of common stock of the bank into 25 shares of the corporation’s common stock. A special meeting of shareholders was scheduled for June 26,1979, to vote on the merger. The bank’s board of directors had a proxy statement prepared and mailed to each stockholder of record. The plaintiffs alleged that the proxy statement was false and misleading, in violation of federal securities laws and laws of the Commonwealth. The plaintiffs also alleged that the bank solicited proxies in a manner that violated state and federal securities laws.

The defendants knew that there was opposition to the merger and that the vote of the stockholders would be extremely close. One of the bank’s directors told one of the plaintiffs that if she voted against the merger and the merger failed, she would be terminated. If the merger was approved, she was told that her negative vote would have a definite adverse effect on her job. The same director told the other plaintiff that if she voted against the merger, she would be fired whether or not the merger occurred. Both plaintiffs executed their proxy cards in favor of the merger against their will, under duress, and out of fear of losing their jobs. The final vote of the shareholders was sufficient to approve the merger, but by a lesser margin than the number of shares voted by plaintiffs.

Two days after the vote, plaintiffs wrote a joint letter to the bank’s president stating that their proxies were invalid, illegally obtained, improper, and null and void. Accordingly, they claimed, less than the required number of votes necessary for merger were cast. The board then abandoned the merger, with the plaintiffs contending that it was abandoned because the defendants feared that their illegal activities would be discovered. Six days later, the plaintiffs were fired, and each sued the bank, its directors, and a vice president of the corpora[358]*358tion involved in the proposed merger, for unlawful discharge. Defendants demurred to the motions for judgment, and the trial court granted the demurrers. The Supreme Court reversed.

In remanding the cases for trial, the Bowman court was careful not to overturn Virginia’s long-standing adherence to the employment-at-will doctrine. Still, an exception was recognized. Specifically, the court stated:

Virginia has not deviated from the common law doctrine of employment-at-will set forth in the Stonega Coal case, supra .... And we do not alter the traditional rule today. Nonetheless, the rule is not absolute. The unique facts of these cases require us to apply one of the recognized exceptions to the rule of terminability.
The courts of at least 20 states have granted exceptions to the strict application of the doctrine in favor of at-will employees who claim to have been discharged in violation of an established public policy. See, e.g., Sheets v. Teddy’s Frosted Foods, Inc., 179 Conn. 471, 427 A.2d 385

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Bluebook (online)
26 Va. Cir. 355, 1992 Va. Cir. LEXIS 128, Counsel Stack Legal Research, https://law.counselstack.com/opinion/seay-v-grace-jefferson-home-vaccrichmondcty-1992.