SICILIA v. Boeing Co.

775 F. Supp. 2d 1243, 2011 U.S. Dist. LEXIS 111112, 2011 WL 252955
CourtDistrict Court, W.D. Washington
DecidedFebruary 14, 2011
DocketCase C09-710-RSM
StatusPublished
Cited by7 cases

This text of 775 F. Supp. 2d 1243 (SICILIA v. Boeing Co.) is published on Counsel Stack Legal Research, covering District Court, W.D. Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
SICILIA v. Boeing Co., 775 F. Supp. 2d 1243, 2011 U.S. Dist. LEXIS 111112, 2011 WL 252955 (W.D. Wash. 2011).

Opinion

ORDER GRANTING IN PART DEFENDANTS’ MOTION FOR SUMMARY JUDGMENT

RICARDO S. MARTINEZ, District Judge.

I. INTRODUCTION

This matter comes before the Court upon Defendants’ Motion for Summary Judgment or, In the Alternative, for Partial Summary Judgment. Dkt. # 129. Plaintiff Sicilia brings causes of action against the Defendants for (1) Unlawful Retaliation in Violation of the False Claims Act (“FCA”), (2) Violation of the Illinois Whistleblower Act (‘TWA”), (3) Violations of the Washington Law Against Discrimination (“WLAD”), (4) Violations of the Washington State Family Leave Act (“WFLA”), (5) Violations of the Federal Medical Leave Act (“FMLA”), and (6) Retaliation and Wrongful Discharge in Violation of Public Policy. Compl. pp. 35-41. Defendants argue that each claim fails as a matter of law. The Court GRANTS Defendants’ motion in part and DENIES Defendants’ motion in part.

II. DISCUSSION

A. Background

On July 24, 2003, as a result of a pending criminal investigation into alleged ethics violations and the indictment of two former Boeing employees, the United *1246 States Air Force suspended Boeing from future government contracting. Dkt. # 115, Ex. 1 at p. 1. In an effort to restore its contracting rights, Boeing entered into a contract with the United States Air Force (USAF), known as the Interim Administrative Agreement (“AA”). Under the AA, Boeing was required to create the Office of Internal Governances (“OIG”) to monitor compliance and oversight and to hire a Special Compliance Officer (“SCO”) to act as a consultant and monitor Boeing’s compliance with the AA. Id. The appointed SCO was a retired Air Force General named George T. Babbitt. Dkt. # 105 at ¶ 11.

In 2002, Plaintiff began working as an “Ethics and Compliance Specialist” in Boeing’s Chicago office. A substantial part of his job after 2003 was monitoring compliance with the AA. Dkt. # 116, Ex. D at 10:8-12. The AA incorporated a compliance risk management (“CRM”) process that was documented in an internal procedure called Boeing PRO 3175. Dkt. # 115, Ex. 2. Under PRO 3175, a Compliance Survey was to be used as a “diagnostic tool” to assess the health of Boeing’s compliance management controls and programs. Id. Sicilia was largely responsible for administering the Compliance Survey. Further, his job duties required him to inform his managers of any perceived issues concerning compliance and the CRM process, including whether he believed the company was out of compliance with laws, regulations, company policies, or contractual obligations. See, e.g., Dkt. # 107, Ex. A at 22:12-25:3.

A year after Boeing signed the AA, Kathy Humenick was hired to inn the compliance oversight team. Dkt. # 116, Ex. A at 12:10-12, 13:7-9. Humenick had previously worked in the business units and did not have experience in compliance. Id. at 6:19-8:9, 13:10-14. Humenick attempted to make several changes to the compliance oversight process. She tried to move compliance training from OIG to Human Resources (“HR”), to reduce the amount of questions on the Compliance Survey, and to implement a reduced oversight process wherein certain executives could opt out of the formal process by submitting brief compliance statements. Dkt. # 116, Ex. D at 36:16-44:7. Sicilia told Humenick that these changes would take Boeing out of compliance with the AA and government contracting. Id. As a result, these changes did not take place at that time. After Sicilia prevented the changes from taking place, Humenick’s attitude towards Sicilia allegedly became negative. Id. at 45:6-23; Dkt. # 115, Ex. 5. Humenick and a Boeing VP allegedly told Ed Carr, Boeing’s Director of Ethics and Business Conduct, that they planned to get rid of Sicilia because he was “not a team player.” Dkt. # 117 at ¶ 10. Carr believed that Humenick and the VP were upset with Sicilia because he was protesting the changes in the compliance process. Id.

In 2006, Humenick was replaced by Carrie Hill. Carrie Hill also had no experience in compliance or ethics. Dkt. # 116, Ex. B at 146:19-20. Hill also tried to make changes to the compliance process, including attempts to move compliance training out of the OIG, cancel a required procedure, and eliminate the Compliance Survey. Dkt. # 116, Ex. D at 51:18-67:18. Sicilia alleges that, on one occasion, Hill misrepresented who was part of the Compliance Risk Management Board. Id. at 85:17-86:3. Sicilia’s wife, Tina, who also worked at Boeing, alleges that Hill pressured her to re-write a compliance report to the SCO. Dkt. # 116, Ex. E at 61:20-63:9. Later that same year, Hill selected and promoted Randy Hayes into a newly created position within the compliance oversight team. Dkt. # 116, Ex. F at 9:10-11, 58:22-59:2. Hayes also had no *1247 experience in compliance or ethics. Id. at 67:4-18.

Sicilia protested each of the “violations of policy” committed by Humenick and Hill. Dkt. # 113 at p. 6; Dkt. # 114 at ¶ 11. Sicilia and reported to others that Boeing was certifying to the government that it was in compliance with various laws and regulations and the AA, but that it was not in compliance, and therefore Defendants were committing fraud. Dkt. # 116, Ex. D at 359:14-360:21. Plaintiff spoke to several people within Boeing about his concerns surrounding Hill and Humenick’s changes to the compliance process, including Mark Reardon (legal), John Griffin (finance), his wife (compliance), Charles Rutherford, Carol Atkins, and several members of the Compliance Risk Management Board. Si-cilia alleges that most of his complaints were verbal because he avoided putting his concerns in writing due to his fear of retaliation. See, e.g., Dkt. # 116, Ex. D at 49:15-24; Dkt. # 113 at p. 7. In the summer of 2006, Sicilia complained to Millie Weaver in HR that he believed that Hill’s changes to the compliance process might put Boeing at risk and that he was being retaliated against for raising these compliance issues to Hill. Dkt. # 116, 146:16— 147:13; Dkt. # 115, Ex. 8. Weaver recommended that Sicilia report to the Ethics Office, which he did in the fall of 2006.

Sicilia participated in a “mediation” with Carrie Hill, Matt Frank (Ethics), and Diane Kallunk (HR) in December 2006. Sicilia told Hill that removing executive involvement, expanding the reduced oversight program, and eliminating the Compliance Survey could be considered fraudulent because it would put Boeing out of compliance with the AA. Dkt. # 116, Ex. D at 352:4-353:6. Sicilia thought that if Boeing was certifying that it was in compliance with the AA when it was not, it would be fraudulently bidding on contracts. Id. He told the group that he would be forced to go to the government if Boeing was falsely reporting compliance.

The day following the mediation, Sicilia received a poor performance review. Dkt. # 115, Ex. 10. However, the review had been prepared prior to the mediation taking place. Dkt. # 119, Ex. B. Sicilia’s meeting with Hayes concerning the review had also been originally scheduled to take place before the mediation. Dkt. # 119, Ex. A. The meeting was postponed until after the mediation at Sicilia’s request. Id.

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Cite This Page — Counsel Stack

Bluebook (online)
775 F. Supp. 2d 1243, 2011 U.S. Dist. LEXIS 111112, 2011 WL 252955, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sicilia-v-boeing-co-wawd-2011.