Svensson v. Putnam Investments LLC

558 F. Supp. 2d 136, 2008 U.S. Dist. LEXIS 29192, 2008 WL 1702743
CourtDistrict Court, D. Massachusetts
DecidedApril 9, 2008
DocketCivil Action 04-12711-PBS
StatusPublished
Cited by6 cases

This text of 558 F. Supp. 2d 136 (Svensson v. Putnam Investments LLC) is published on Counsel Stack Legal Research, covering District Court, D. Massachusetts primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Svensson v. Putnam Investments LLC, 558 F. Supp. 2d 136, 2008 U.S. Dist. LEXIS 29192, 2008 WL 1702743 (D. Mass. 2008).

Opinion

MEMORANDUM AND ORDER

SARIS, District Judge.

After a hearing and review of the extensive submissions, including the supplemental memoranda, I order as follows:

1. I DENY the motion for summary judgment with respect to Plaintiffs claim of unlawful termination. Plaintiff has set forth evidence of a prima facie case (although it is disputed) and there are hotly disputed issues of fact as to whether management’s reasons for termination are true or a pretext for gender discrimination. See Reeves v. Sanderson Plumbing Prods., Inc., 530 U.S. 133, 148, 120 S.Ct. 2097, 147 L.Ed.2d 105 (2000) (“[A] plaintiffs prima facie case, combined with sufficient evidence to find that the employer’s asserted justification is false, may permit the trier of fact to conclude that the employer unlawfully discriminated.”)

2. I ALLOW the motion for summary judgment on the Title VII and Mass. Gen. Laws ch. 151B (“ch.l51B”) “failure to promote to managing director” claims pri- or to May 2003 on the ground that they are time-barred. Plaintiff argues that her claims of discrimination involving Putnam’s decision not to promote her in 2000, 2001, and 2002 are timely under the equitable exception to the statute of limitations for systemic continuing violations. In support of this argument, she presents expert evidence 1 that she has been harmed by the application to her of a general discriminatory “glass ceiling” policy of Putnam aimed at all women. Putnam argues that each failure to promote is a discrete discriminatory act, which triggers the 300 day statute of limitations.

In National Railroad Passenger Corporation v. Morgan, 536 U.S. 101, 122 S.Ct. 2061, 153 L.Ed.2d 106 (2002), the Court considered whether acts that fall outside of the statutory time period of filing charges of discrimination are action *140 able under Title VII. 586 U.S. at 108, 122 S.Ct. 2061. The Court announced two different standards, one for claims arising from “discrete” discriminatory acts and another for “hostile environment claims” whose “very nature involves repeated conduct.” Id. at 110, 115, 122 S.Ct. 2061. The former (claims arising out of discrete acts of discrimination) are not actionable if the acts fall outside the limitations period, even if they are related to acts that fall within the limitations period. Id. at 113, 122 S.Ct. 2061. The Morgan Court explained that discrete acts, such as “termination, failure to promote, denial of transfer, or refusal to hire” are “easy to identify” and individually actionable; each discrete discriminatory act, therefore, starts a new clock for filing charges and is treated independently. Id. at 113-14, 122 S.Ct. 2061.

The Eighth and Ninth Circuits have since rejected the possibility of using a systemic policy argument to save otherwise untimely failure to promote claims by an individual plaintiff. Both courts emphasized that the language in Morgan explicitly included “failure to promote” within the list of “discrete” acts which “are not actionable if time barred, even when they are related to acts alleged in timely filed charges.” Morgan, 536 U.S. at 113, 122 S.Ct. 2061. See Burkett v. Glickman, 327 F.3d 658, 660 (8th Cir.2003); Lyons v. England, 307 F.3d 1092, 1105-07 (9th Cir.2002). In a related context, the First Circuit has relied on the same language in Morgan when refusing to allow the systemie/continuing violation doctrine to save a plaintiffs discriminatory transfer claim. See Rivera v. P.R. Aqueduct & Sewers Auth., 331 F.3d 183, 188 (1st Cir.2003) (concluding that the transfer at issue was a “time-barred discrete act” because the Supreme Court in Morgan “made plain that ‘[discrete acts such as termination, failure to promote, denial of transfer, or refusal to hire ... constitute[ ] a separate actionable unlawful employment practice’ ”) (emphasis in Rivera)-, see also Miller v. N.H. Dept. of Corr., 296 F.3d 18, 21-22 (1st Cir.2002) (concluding that plaintiffs claim of an unlawful transfer (as retaliation) was untimely because, under Morgan, “it is clear that the ... transfer is a discrete act and is time barred”).

The discovery rule does not save these failure to promote claims. In an employment discrimination case under federal law, the limitations period begins to run when the claimant learns of the adverse employment action, not when a plaintiff learns of the improper motives. Morris v. Gov’t Dev. Bank of P.R., 27 F.3d 746, 748-50 (1st Cir.1994). One court in this district has construed Morris narrowly. See Commonwealth of Mass. v. Bull HN Info. Sys., Inc., 143 F.Supp.2d 134, 153-54 (D.Mass.2001) (holding that an employee’s cause of action accrues when he has “sufficient information” to recognize that the action may have been discriminatory, yet the employee “need not ‘know all the facts that support his claim.’ ”).

Under state law, “pursuant to the so-called ‘discovery rule,’ the statute of limitations ... does not begin to run until the plaintiff knows, or should have known” facts sufficient to permit an individual to suspect that an employment action was adverse and discriminatory. See Silvestris v. Tantasqua Sch. Dist., 446 Mass. 756, 847 N.E.2d 328, 336-37 (2006) (involving a MEPA claim). When, as here, the defendant has demonstrated that the action was brought more than 300 days from the date of the adverse employment action, “the burden of proving facts that take the case outside the statute of limitations falls to the plaintiff.” Id. The pertinent question—when the plaintiff knew or when a “reasonable person in the plaintiffs posi *141 tion” should have known of the existence of a cause of action — is “one of fact that will be decided by the trier of fact.” Id. (internal quotation marks omitted).

In support of her position that she did not know and had no reason to know that a discriminatory animus was behind Putnam’s failure to promote her, Svensson points to the fact that she was nominated on several occasions, had been promised that she would again be nominated, and generally was told that she was qualified for both the Managing Director and the portfolio management positions. (Pl.’s Opp’n to Putnam Mot. for Summ. J., Docket No. 221, at 13-14.) Svensson also asserts that, until discovery, she was not aware that her internal Putnam rating had been changed by Putnam officials. (Docket No.

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558 F. Supp. 2d 136, 2008 U.S. Dist. LEXIS 29192, 2008 WL 1702743, Counsel Stack Legal Research, https://law.counselstack.com/opinion/svensson-v-putnam-investments-llc-mad-2008.