Stephens v. South Atlantic Canners, Inc.

848 F.2d 484, 1988 U.S. App. LEXIS 7727, 46 Empl. Prac. Dec. (CCH) 38,032, 46 Fair Empl. Prac. Cas. (BNA) 1723
CourtCourt of Appeals for the Fourth Circuit
DecidedJune 8, 1988
DocketNo. 87-2605
StatusPublished
Cited by34 cases

This text of 848 F.2d 484 (Stephens v. South Atlantic Canners, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fourth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Stephens v. South Atlantic Canners, Inc., 848 F.2d 484, 1988 U.S. App. LEXIS 7727, 46 Empl. Prac. Dec. (CCH) 38,032, 46 Fair Empl. Prac. Cas. (BNA) 1723 (4th Cir. 1988).

Opinion

WILKINS, Circuit Judge:

Marion Stephens, Jr. charged the Defendants with race discrimination. On his claim under 42 U.S.C.A. § 1981 (West 1981), the jury awarded compensatory damages in the amount of $100,000.00 and punitive damages in the amount of $85,000.00. The court subsequently entered judgment on his Title VII claim awarding no additional monetary relief and denying any other potential relief, an order from which Ste-. phens does not appeal.

South Atlantic Canners, Inc. and its named supervisory employees (South Atlantic) appeal from the court’s denial of their motions for judgment notwithstanding the verdict and for a new trial. While numerous issues are raised by South Atlantic, only two merit discussion. First, we consider whether the trial judge applied the correct standard in assessing the impact on the jury of extraneous material which was improperly submitted to it. Second, we address whether, under the particular facts of this case, the issue of punitive damages was properly submitted to the jury. We reverse and remand for a new trial consistent with this decision.

I.

This court in Haley v. Blue Ridge Transfer Co., 802 F.2d 1532 (4th Cir.1986), set forth the proper analysis to be followed when allegations of extraneous juror contact arise. Under Haley, where the evidence proffered to impeach the verdict is [486]*486juror testimony, the court must first determine whether the testimony is competeni pursuant to Federal Rule of EvidencE 606(b).1 If there is competent evidence demonstrating extraneous contacts, the court must invoke a presumption of prejudice if the contacts are "more than innoc uous interventions." Id. at 1537 a. 9. Following the invocation of the presumption, a heavy burden then shifts to the prevailing party to convince the court that there is not "a reasonable possibility that the jury's verdict was influenced by an improper communication." Id. at 1537 (footnote omitted) (citing United States v. Barnes, 747 F.2d 246 (4th Cir.1984)); see also United States v. Greene, 834 F.2d 86 (4th Cir.1987). Applying this three-step analysis to the facts before us, we hold that the district court erred in failing to invoke the presumption of prejudice based on the extraneous material which was indisputably submitted to the jury. And, since there is a reasonable possibility that the extraneous material improperly influenced the jury's verdict, we remand for a new trial.

A.

South Atlantic is engaged in the business of making canned soft drinks for franchisees of Coca-Cola, USA. Stephens was hired by South Atlantic in June, 1972 as a part-time truck driver and subsequently was promoted to full-time driver. He worked in this capacity until his discharge in September 1982. South Atlantic maintains that Stephens was discharged for grossly unsatisfactory job performance as demonstrated by his performance record. While Stephens does not deny that he had a poor performance record, he maintains that several white truck drivers had similar poor performance records and yet they were not discharged.

Personnel records of various white truck drivers were offered by Stephens at trial to support the crux of his discrimination claim. Prior to trial and during a recess, the litigants' attorneys laboriously examined proposed exhibits, including the personnel records which South Atlantic had delivered to Stephens' attorney. Copies of these personnel records were made and compared to avoid confusion at trial, to provide the attorneys an opportunity to frame objections, and to avoid the necessity of suspending testimony in order that counsel might examine each document when offered into evidence. After trial, South Atlantic discovered that several exhibits introduced by Stephens had been altered.

Plaintiff's exhibits 82 and 83 were South Atlantic's personnel files of two white truck drivers, Phil Stokes and Wayne Bar-rineau. In these files were found yellow stickers with the name of the employee and the words "No difference" written on them.2 South Atlantic was unaware that after the exchange and inspection of exhibits these stickers were added to the files which Stephens presented to the court and jury.

South Atlantic argued before the district court and now before us that the stickers placed in copies of the personnel files could reasonably suggest to the jury that a determination had been made that there was no material difference between the performance records of Stephens and the white truck drivers, Stokes and Barrineau. In determining whether the presumption of prejudice should be invoked, the district court considered this interpretation but found that "[ut seems just as likely, if not more so, that the jury might interpret the note to mean `no difference' in disciplinary treatment considering the employee's performance." The district court thus erroneously attempted to balance two competing interpretations before finding that the latter "seemed more likely." This was not a correct application of the governing rule; [487]*487unless the extraneous material is innocuous, the presumption of prejudice must be invoked.

Plaintiffs exhibit 85 was a copy of South Atlantic’s personnel file of another white driver, Allan Brazzell. Two of the documents in this file were reports of disciplinary action short of discharge which had been taken against him. On both documents were written, “Don’t have this in our file.” Stephens’ attorney initially maintained that the only logical explanation for this was that one of his assistants wrote this on the originals after they were delivered by South Atlantic's attorneys as a reminder to make copies. However, at the post-trial hearing Stephens’ attorney conceded that the notations were not written on the originals. And, an examination of this exhibit by this court shows that the notations were written on the copies after they were made.

Stephens’ attorney repeatedly claimed during the trial before the jury and during closing argument that South Atlantic had not been forthcoming with all of its records and that pertinent documents from the personnel files of the white drivers had been withheld. South Atlantic contended that these notations bolstered this false charge and could have reasonably affected its credibility in the eyes of the jury. The trial judge concluded that since Stephens offered this exhibit it is difficult to see how the jury could have concluded that South Atlantic had attempted to “hide” it. He found that the jury “most probably concluded that the notes were for clerical housekeeping” purposes.

Finally, the parties examined computer printouts (Exhibits 72-80) from the South Carolina Department of Highways and Public Transportation which showed summaries of the driving records of each of the white drivers. After the printouts were authenticated, South Atlantic offered no objection. When these printouts were submitted to the jury, attached to them without defense counsel’s knowledge were the actual traffic tickets and accident reports which provided a basis for the summaries on the printouts. These attachments showed charged violations which were more serious than the actual dispositions shown on the summaries and contained narratives of investigating officers and sketches of accidents.

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848 F.2d 484, 1988 U.S. App. LEXIS 7727, 46 Empl. Prac. Dec. (CCH) 38,032, 46 Fair Empl. Prac. Cas. (BNA) 1723, Counsel Stack Legal Research, https://law.counselstack.com/opinion/stephens-v-south-atlantic-canners-inc-ca4-1988.