Swanson v. Liquid Air Corporation

826 P.2d 664, 118 Wash. 2d 512, 7 I.E.R. Cas. (BNA) 366, 1992 Wash. LEXIS 71
CourtWashington Supreme Court
DecidedMarch 5, 1992
Docket57358-1
StatusPublished
Cited by114 cases

This text of 826 P.2d 664 (Swanson v. Liquid Air Corporation) is published on Counsel Stack Legal Research, covering Washington Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Swanson v. Liquid Air Corporation, 826 P.2d 664, 118 Wash. 2d 512, 7 I.E.R. Cas. (BNA) 366, 1992 Wash. LEXIS 71 (Wash. 1992).

Opinions

Brachtenbach, J.

This is an action for wrongful discharge. Plaintiff contends that, pursuant to a written memorandum of working conditions, he was entitled to a warning before discharge for fighting on company premises. The Court of Appeals reversed a summary judgment in favor of defendant. We affirm the Court of Appeals.

[515]*515Since we are reviewing summary judgment granted in defendant's favor, we consider the facts in the light favorable to plaintiff. Marincovich v. Tarabochia, 114 Wn.2d 271, 274, 787 P.2d 562 (1990); Wilson v. Steinbach, 98 Wn.2d 434, 437, 656 P.2d 1030 (1982).

In 1983, plaintiff worked as a driver for another company providing transportation services to defendant. Defendant, Liquid Air Corporation, solicited his application, and he began working at defendant's Kent distribution center as a cryogenic transport driver in December 1983. Sometime after the first part of 1984, plaintiff was given an employee benefits manual which is distributed to each Liquid Air employee. The benefits manual was later revised and plaintiff received a copy of the 200-page document through the mail.

The revised manual, titled "Your Employee Benefits", contained a disclaimer, the effect of which defendant claims is to render plaintiff an employee at will regardless of any agreement or company promise to the contrary (unless an employment contract is authorized by the president or executive vice-president of the company). There was no reference to the disclaimer in a cover letter; nothing was provided to plaintiff which referenced any specific part of the manual. Plaintiff recalls that he looked closely at the health and welfare benefits section of the manual, but he did not read the entire 200 pages, and he did not read any disclaimer statement.

In 1985, defendant hired additional drivers, making a total of 13. There was resulting unrest among the drivers as to dispatching practices and seniority. In February 1985, the Company's dispatch and equipment supervisor, that supervisor's immediate supervisor, and the manager for labor relations came from company headquarters in California to meet with the Kent distribution center drivers to address the drivers' concerns. The meeting with the drivers lasted 2 days and involved extensive discussion of a 4-page docu[516]*516ment presented to the 13 Kent drivers. The document is titled

LIQUID AIR CORPORATION MEMORANDUM OF WORKING CONDITIONS INDUSTRIAL GASES DIVISION KENT, WA, DISTRIBUTION EMPLOYEES

The Memorandum of Working Conditions was signed by all three company representatives.

Plaintiff stated in an affidavit that the manager for labor relations told the drivers that the Memorandum of Working Conditions " 'was written specifically for you group of drivers because you are not under a union contract'" and " '[w]e want to attract good people and we want to keep good people.'" Clerk's Papers of Appellant, at 82. No mention of a disclaimer was made at the 2-day meeting.

The Memorandum of Working Conditions contains a provision titled "Work Rights". At least 4 hours were spent at the meeting going over the Memorandum of Working Conditions, including the work rights provision, with the manager for labor relations explaining that, under the provision, employees who had not completed 90 days' employment with the company could be terminated at will. As to other employees, the procedures established in the Memorandum would be followed.

The work rights provision stated:

Dishonesty, drinking or use of drugs on duty, recklessness resulting in an accident, or the carrying of unauthorized passengers shall be deemed sufficient and proper cause for discharge without prior notice. In all other instances of misconduct, at least one warning, shall be given. A new employee shall be on a ninety (90) day trial basis, during which period he may be discharged without prior notice.

(Italics ours.) Clerk's Papers of Appellant, at 58.

At the same meeting, a drivers handbook was also distributed. Under the safety rules section, the handbook stated that "[flighting, disorderly conduct and horseplay are prohibited." Clerk's Papers of Appellant, at 55.

After the meeting, plaintiff understood that his employment was governed by the Memorandum of Working Conditions.

[517]*517In August 1985, a second meeting was held between the management team and the truck drivers. This meeting was "called primarily because the company had been notified that the drivers intended to seek representation from Teamsters Local 174." Clerk's Papers of Appellant, at 82. The manager of labor relations stated that "the company would abide by the rules in the agreement and that no union representation would be necessary." Clerk's Papers of Appellant, at 82.

A third meeting was held in November 1985 with the drivers to discuss a revision in the Memorandum providing for a wage increase.

Plaintiff maintains that there was never any mention of a "disclaimer" by any company representative at any time while he was employed by defendant.

On February 6, 1986, plaintiff was involved in a physical altercation with another employee while on company property. The other employee had damaged a company trailer and had not reported it as required by the Memorandum of Working Conditions. Plaintiff insisted that the damage be reported, and in fact reported it himself. Shortly thereafter, the other employee interrupted a conversation between plaintiff and a third employee in the drivers' locker room. After words, the other employee pushed plaintiff in the back and into the drivers' lockers. Plaintiff took the other employee down and applied a police-type choke hold. He then let the other employee go. The other employee attempted to attack plaintiff again. Plaintiff repeated the choke hold maneuver. No blows were struck; the entire incident lasted less than a minute.

Plaintiff immediately notified his supervisors of the incident by phone. He was placed on suspension, and then discharged. The factual averments of plaintiff are not disputed.

Plaintiff brought this suit, alleging that defendant discharged him without prior notice for a reason other than those for which defendant had reserved the right to discharge without prior notice. Defendant moved for summary [518]*518judgment, which, the trial court granted. The Court of Appeals reversed, holding that the work rights provision in the Memorandum of Working Conditions promised specific treatment in specific situations and that under Thompson v. St. Regis Paper Co., 102 Wn.2d 219, 685 P.2d 1081 (1984), whether plaintiff justifiably relied on defendant's promises contained in the Memorandum is a question of fact. The court determined that plaintiff raised a material issue of fact as to justifiable reliance by presenting evidence that high ranking company officials from corporate headquarters met with the Kent truck drivers to discuss the Memorandum, including the work rights provision, evidence that the Memorandum was issued in an attempt to forestall unionization, and evidence that the company officials represented to the drivers the company's intent to be bound by the terms of the Memorandum. The court reached this conclusion even though defendant claimed that the disclaimer was valid and enforceable.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Clarity Capital Management Corporation, V. Aretha Ryan
Court of Appeals of Washington, 2021
Hesketh v. Total Renal Care Inc
W.D. Washington, 2021
Shannon Kries et vir v. WA-SPOK Primary Care, LLC
190 Wash. App. 98 (Court of Appeals of Washington, 2015)
Washington Education Ass'n v. Department of Retirement Systems
332 P.3d 428 (Washington Supreme Court, 2014)
Janice Geary, V Ing Bank, Fsb
Court of Appeals of Washington, 2014
King v. Garfield County Public Hospital District No. 1
17 F. Supp. 3d 1060 (E.D. Washington, 2014)
Chipman v. Northwest Healthcare Corp.
14 MT 15 (Montana Supreme Court, 2014)
Baker v. City of Seatac
994 F. Supp. 2d 1148 (W.D. Washington, 2014)
United States ex rel. Klein v. Omeros Corp.
897 F. Supp. 2d 1058 (W.D. Washington, 2012)
Jarvis v. Janney
876 F. Supp. 2d 1204 (E.D. Washington, 2012)
Armijo v. Yakima HMA, LLC
868 F. Supp. 2d 1129 (E.D. Washington, 2012)
Spradlin Rock Products, Inc. v. Public Utility District No. 1
164 Wash. App. 641 (Court of Appeals of Washington, 2011)
Nye v. University of Washington
260 P.3d 1000 (Court of Appeals of Washington, 2011)
Himc Corporation v. Prem Ramchandani
385 F. App'x 632 (Ninth Circuit, 2010)
Duncan v. Alaska USA Federal Credit Union, Inc.
148 Wash. App. 52 (Court of Appeals of Washington, 2008)
Storedahl Properties, LLC v. Clark County
143 Wash. App. 489 (Court of Appeals of Washington, 2008)

Cite This Page — Counsel Stack

Bluebook (online)
826 P.2d 664, 118 Wash. 2d 512, 7 I.E.R. Cas. (BNA) 366, 1992 Wash. LEXIS 71, Counsel Stack Legal Research, https://law.counselstack.com/opinion/swanson-v-liquid-air-corporation-wash-1992.