Sunderman v. WESTER ENERGY, INC.

520 F. Supp. 2d 1269, 2007 U.S. Dist. LEXIS 75873, 105 Fair Empl. Prac. Cas. (BNA) 763, 2007 WL 2967234
CourtDistrict Court, D. Kansas
DecidedOctober 11, 2007
DocketCase 05-2347-JAR
StatusPublished
Cited by10 cases

This text of 520 F. Supp. 2d 1269 (Sunderman v. WESTER ENERGY, INC.) is published on Counsel Stack Legal Research, covering District Court, D. Kansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sunderman v. WESTER ENERGY, INC., 520 F. Supp. 2d 1269, 2007 U.S. Dist. LEXIS 75873, 105 Fair Empl. Prac. Cas. (BNA) 763, 2007 WL 2967234 (D. Kan. 2007).

Opinion

MEMORANDUM AND ORDER GRANTING DEFENDANT’S MOTION FOR SUMMARY JUDGMENT

JULIE A. ROBINSON, District Judge.

Plaintiff Derek Sunderman filed suit against his former employer, Westar Energy, Inc. (“Westar”) alleging that he was the victim of retaliation for engaging in protected activity under Title VII of the Civil Rights Act of 1964, as amended. This matter is before the Court on Westar’s Motion for Summary Judgment (Doc. 76). For the reasons explained in detail below, the Court grant’s Westar’s motion.

I. Uncontroverted Facts

Westar is a public utility company providing electric transmission, generation, distribution, and marketing and agency services to retail and wholesale customers. Plaintiff was employed by Westar from February 28, 2000 until August 6, 2003. Plaintiff was originally hired by Doug Sterbenz as a Real Time Energy Trader. This position is in the Bulk Power Marketing Department, which is part of the Generation and Marketing Group. During his employment with Westar, plaintiff filled various positions within the Generation and Marketing Group. In February 2002, he was offered the position of “Manager, Origination” by John Olsen, which he accepted.

*1272 Plaintiff was originally supervised by Sterbenz, who moved to the position of Executive Vice President of Generation and Marketing. Plaintiff later reported to Doug Gaumer, who left Westar in 2003, then John Olsen, who currently holds the position of Executive Director of Bulk Power Marketing.

Manager, Origination Position

In late 2001, the Manager, Origination position in the Generation and Marketing Group was created due to a reorganization within the company, wherein the responsibilities as primary contact for wholesale municipal as well as certain retail customers were being moved away from the Customer Support Group. There were two manager-level positions created in the Generation and Marketing Group as a result. These positions differed as to the historic responsibilities of an originator because the purpose of these positions was to deal with customers within the Westar service area with whom Westar had a long-standing relationship; they were not new customers. Specifically these positions were the primary contact for two types of customers: those known as wholesale municipals, which includes partial requirements municipals, full requirements municipals and independent rural electric cooperatives; and the “Top 20” retail accounts, basically Westar’s largest commercial accounts. A partial requirements municipal is one that operates its own generating facilities, and many of these have supply contracts with other entities. A full requirements municipal is a customer that purchases its entire supply of electricity from Westar.

The goal for the Manager, Origination position was that it would be the primary contact for the wholesale municipals and retail customers, which would increase profitability by introducing and marketing to these customers new innovative products patterned after products sold in the wholesale markets. It was also thought that with a primary contact in place for these organizations, Westar would be able to negotiate better terms on the contracts and establish appropriate pricing. Prior to 2002, the services and accounts primarily handled by the Manager, Origination positions were handled by the Customer Support Group under Terry Wilson. The Manager, Origination positions were first created in late 2001. Plaintiff accepted his position when one manager retired; Tony Delacluyse was eventually placed into the other Manager, Origination position.

In his role as Manager, Origination, plaintiff was responsible for handling large commercial and industrial or “retail” accounts and wholesale accounts with other utilities, such as cooperatives. At some point he assumed responsibilities for wholesale municipalities. By his own account, plaintiff primarily handled the large retail accounts plus other cooperatives, and a smaller portion of the wholesale municipalities, while Delacluyse handled the majority of the wholesale municipalities. Plaintiff held the title of Manager, Origination, until he left Westar.

2002-2003 Reorganization Decision

In February 2002, the Manager, Origination position was modified as to the retail customers — the Customer Support Group would handle the recurring issues for the retail accounts and Generation and Marketing would support these retail accounts as to commodity issues. The recurring issues included items such as billing; transmission issues such as outage restoration and power quality; and political issues. The breakdown appeared to work well except when commodity issues arose, which was the primary role to be handled by the Generation and Marketing Group and support function of the Customer Service Group.

*1273 In early 2002, Wilson began receiving complaints from several of Westar’s municipal customers. The primary issue was that these customers no longer had a “one-stop shop” to assist them with their issues. As a result, Wilson wanted to move the primary contact responsibilities back to the Customer Support Group because he believed his group was better suited to handle the issues raised by the municipal customers. Wilson began keeping notes regarding the issues and/or complaints raised by the municipalities. In June 2002, Wilson began work on a proposal to help the Generation and Marketing Group serve the wholesale municipal customers with the ultimate goal of returning total responsibility for those customers back to the Customer Support Group.

Wilson prepared a ‘Weekly Letter” to his supervisor, Randy Degenhardt, summarizing his work. Included in those letters were Wilson’s efforts beginning in June 2002 and continuing into 2003 to work with and convince the Generation and Marketing Group to return the wholesale municipal and cooperative customers to the Customer Support Group. Degenhardt supported Wilson’s determination that these responsibilities should be moved back to the Customer Support Group to better serve the customers. At the time the reorganization recommendations were made, Westar had lost two accounts due to customer dissatisfaction with the service provided by the Generation and Marketing Group.

In September and October 2002, Olsen, Wilson, Sterbenz and Degenhardt began having conversations about how best to service the wholesale utility and municipal customers. Because these customer accounts were being serviced by employees on the Generation side of the company, Generation and Marketing was not allowed to deal with transmission issues due to limits imposed by Federal Energy Regulation Commission (“FERC”) Standards of Conduct (“SOC”) rules. Highly summarized, FERC SOC Orders 888 and 889 restricted the Generation and Marketing Group from performing certain tasks that Westar considered essential to servicing the municipal, retail and cooperative customer accounts. Basically, these rules require the transmission function employees to function independently of the retail sales and marketing employees. Because the majority of the issues raised by these customers were transmission based, management of both Customer Support and Generation and Marketing began to look at ways to transition these responsibilities back to the Customer Support Group.

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Related

Iweha v. State of Kansas
121 F.4th 1208 (Tenth Circuit, 2024)
Hawley v. Boysen
D. Kansas, 2023
Sunderman v. Westar Energy, Inc.
307 F. App'x 224 (Tenth Circuit, 2009)
In Re Dennis
188 P.3d 1 (Supreme Court of Kansas, 2008)

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Bluebook (online)
520 F. Supp. 2d 1269, 2007 U.S. Dist. LEXIS 75873, 105 Fair Empl. Prac. Cas. (BNA) 763, 2007 WL 2967234, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sunderman-v-wester-energy-inc-ksd-2007.