Sullivan, Jr. v. Doctor's Associates LLC

CourtDistrict Court, S.D. New York
DecidedJanuary 17, 2020
Docket1:19-cv-00719
StatusUnknown

This text of Sullivan, Jr. v. Doctor's Associates LLC (Sullivan, Jr. v. Doctor's Associates LLC) 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
Sullivan, Jr. v. Doctor's Associates LLC, (S.D.N.Y. 2020).

Opinion

UNITED STATES DISTRICT COURT DOC #: _________________ SOUTHERN DISTRICT OF NEW YORK DATE FILED: 1/17/2020 ------------------------------------------------------------------X PHILLIP SULLIVAN, JR., : : Plaintiff, : : 1:19-cv-719-GHW -against- : : MEMORANDUM OPINION DOCTOR’S ASSOCIATES LLC, GEETA : AND ORDER FASTFOOD ENTERPRISE INC, and : ABHIMANUE MANCHANDA, : : Defendants. : ------------------------------------------------------------------X

GREGORY H. WOODS, United States District Judge: Plaintiff Phillip Sullivan, Jr. is deaf. He alleges that an employee of a Subway restaurant was rude to him when he attempted to order a steak sandwich. Based on that incident, Plaintiff brings this action alleging violations of Title III of the Americans with Disabilities Act (“ADA”), analogous provisions of New York state law, and the New York City Human Rights Law (“NYCHRL”). Plaintiff also alleges that the ADA requires all Subway restaurants to adopt technologies that will improve the accessibility of restaurants for hearing-impaired individuals. Defendant Doctor’s Associates LLC (“DAL”) is the franchisor of Subway restaurants. It moves to dismiss Plaintiff’s claims against it. Because Plaintiff has not plausibly alleged that DAL is an operator of the Subway restaurant where the incident occurred, DAL’s motion to dismiss is GRANTED. I. BACKGROUND A. Facts1 DAL is the “franchisor of Subway restaurants.” FAC ¶ 9. “Subway is a fast-food restaurant franchise that primarily sells submarine sandwiches, with over 26,000 restaurants in the United States owned and operated by the chain’s franchisees.” Id. DAL enters into franchise agreements (the “Franchise Agreements”) with individual franchisees. See id. ¶ 27. Defendant Geeta Fastfood Enterpise Inc. (the “Franchisee”) is the franchisee of the Subway where Plaintiff allegedly experienced discrimination (the “Restaurant”). Id. ¶ 10. Defendant Abhimanue Manchanda is the owner of the Restaurant. Id. ¶ 11. 1. September 28, 2018 Incident “Plaintiff is a profoundly deaf individual whose first and primary language is American Sign Language, in which he communicates fluently.” Id. ¶ 13. “On September 20, 2018, Plaintiff

personally visited” the Restaurant “with the intention of buying a steak sandwich.” Id. ¶ 14. The employee in charge of taking orders allegedly “noted . . . [t]he fact that Plaintiff was deaf[.]” Id. ¶ 15. “Plaintiff pointed to the food on the counter and used hand gestures to indicate that he wanted a steak sandwich.” Id.. The employee allegedly became “impatient and angry” with Plaintiff’s attempt to communicate with hand gestures. Id. ¶ 16. “The employee used angry hand gestures and aggressive body language when communicating with Plaintiff.” Id. This allegedly left Plaintiff feeling “humiliated and confused.” Id. “The Restaurant employee then expressed her anger by taking a sandwich and forcefully smashing the sandwich flat on the counter.” Id. ¶ 17. “Plaintiff’s order was not processed, and no other Restaurant employee communicated with Plaintiff[.]” Id. ¶ 18. “Plaintiff then left the Subway Restaurant.” Id. Plaintiff

1 The facts are drawn from Plaintiff’s First Amended Complaint (“FAC”), Dkt No. 42, and are accepted as true for the purposes of this motion to dismiss. See, e.g., Chambers v. Time Warner, Inc., 282 F.3d 147, 152 (2d Cir. 2002). However, “[t]he tenet that a court must accept as true all of the allegations contained in a complaint is inapplicable to legal conclusions.” Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009). alleges that based on this incident, “Defendants failed to provide the same service to deaf individuals as they provide to hearing (i.e., non-deaf) individuals.” Id. ¶ 19. 2. DAL’s Control Over Franchisees Plaintiff also makes allegations about the relationship between DAL and its franchisees. The FAC alleges that DAL, as the franchisor of Subway restaurants, “is responsible for setting company policy and providing adequate ongoing training on a regular basis to franchise owners.” Id. ¶ 22. Plaintiff alleges that DAL is “also responsible for providing ongoing support and necessary tools and resources to its franchise owners, including regular training and education on providing proper access to individuals with disabilities under the ADA.” Id. In addition, DAL is allegedly responsible for maintaining “brand reputation, awareness, and development.” Id.

Furthermore, the FAC alleges that DAL is responsible for Subway restaurants’ compliance and adherence to laws, franchisee training, and the manner in which franchise owners conduct their businesses. Id. ¶ 23. DAL also allegedly sets the Employment Practices and Code of Conduct policy for all franchisees. Id. Plaintiff alleges that DAL “failed to fulfill its responsibility to set anti- harassment and anti-discrimination policies within its Employment Practices and/or Code of Conduct policies.” Id. Plaintiff also alleges that DAL exercises control over its franchisees through the Franchise Agreements. According to the FAC, the Franchise Agreements are “standardized.” Id. ¶ 25. Plaintiff attaches to the FAC three copies of sample franchise agreements entered into between DAL and other restaurant owners in New York state. Id. ¶ 25; see Exs. A-C to FAC, Dkt No. 42-1 et seq.2 The Franchise Agreements require a franchisee to abide by the Subway restaurant operating system (the “Operating System”). Id. ¶ 11. The Operating System “is both comprehensive and

2 Because these franchise agreements are substantially similar, the Court will refer to exhibit C as the “Franchise Agreement.” mandatory.” Id. The Franchise Agreements also state that franchisees must be operated “in accordance with” DAL’s operations manual (the “Operations Manual”), “which contains mandatory and suggested specifications, standards and operating procedures and may be updated as a result of experience or changes in the law or marketplace.” Franchise Agreement at 6, § 5(b)(ii); see also id. at 6, § 5(a)(iv); FAC ¶ 28. At the franchisee’s “sole expense,” the franchisee must “make any changes to the Restaurant necessary to conform to the Operations Manual within reasonable time periods we establish, including but not limited to any necessary repairs, upgrades and remodels.” Franchise Agreement at 6, § 5(b)(ii); see also FAC ¶ 28. Through the Franchise Agreements, the Operating System, and the Operations Manual, Plaintiff alleges that DAL “exercises control over ADA

compliance and anti-discrimination employment training of its franchise restaurants throughout the United States.” FAC ¶ 25. Plaintiff also points to other provisions of the Franchise Agreement that, he alleges, show the degree of control exercised by DAL over Subway restaurants. Section 5(a)(iii) of the Franchise Agreement states that “[t]he [restaurant] will be at a location found by [the franchisee] and approved by [DAL] with consideration given to the requirements of the Americans with Disabilities Act (‘ADA’).” Franchise Agreement at 6, § 5(a)(iii); see also FAC ¶ 26. Franchisees must also attend a mandatory training program provided by DAL and achieve a passing score on a standardized test conducted during the training program. Franchise Agreement at 6, § 5(a)(ii); see also FAC ¶ 28. In addition, a franchisee must operate their restaurant “in accordance with all existing and future applicable laws and governmental regulations,” and franchisees must “pay all fees and costs associated with such compliance.” Franchise Agreement at 6, § 5(b)(i); see also FAC ¶ 28. DAL can terminate the Franchise Agreement in the event of a breach by the franchisee. Franchise Agreement

at 10, § 8(b)(v); see also FAC ¶ 26.

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Bluebook (online)
Sullivan, Jr. v. Doctor's Associates LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sullivan-jr-v-doctors-associates-llc-nysd-2020.