Thelma R. HARRISON, Plaintiff-Appellant, v. the ASSOCIATES CORPORATION OF NORTH AMERICA, Defendant-Appellee

917 F.2d 195, 1990 U.S. App. LEXIS 19950, 55 Empl. Prac. Dec. (CCH) 40,371, 54 Fair Empl. Prac. Cas. (BNA) 544, 1990 WL 164702
CourtCourt of Appeals for the Fifth Circuit
DecidedNovember 15, 1990
Docket89-7124
StatusPublished
Cited by43 cases

This text of 917 F.2d 195 (Thelma R. HARRISON, Plaintiff-Appellant, v. the ASSOCIATES CORPORATION OF NORTH AMERICA, Defendant-Appellee) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fifth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Thelma R. HARRISON, Plaintiff-Appellant, v. the ASSOCIATES CORPORATION OF NORTH AMERICA, Defendant-Appellee, 917 F.2d 195, 1990 U.S. App. LEXIS 19950, 55 Empl. Prac. Dec. (CCH) 40,371, 54 Fair Empl. Prac. Cas. (BNA) 544, 1990 WL 164702 (5th Cir. 1990).

Opinion

CLARK, Chief Judge:

I.

Thelma Harrison appeals the district court’s dismissal of her claim of racial discrimination under 42 U.S.C. § 1981 and the district court’s judgment in favor of The Associates Corporation of North America (Associates Corp.) on her companion Title VII claim. We affirm.

II.

Harrison is a 57 year old black female who has worked for Associates Corp. since 1968. In 1984 Harrison was assigned to work as a C.R.T. operator in the United States Auto Club division (USAC) of Associates Corp. The C.R.T. department, like the other departments of the USAC, has a lead operator who is responsible for assigning priority to work and providing assistance to the other employees in the department. Lead operators are not automatically paid more than the other employees in the department and have no general supervisory duties such as hiring and firing operators. The C.R.T. department had five employees: two black females and three white females.

From 1984 to August 1986 the C.R.T. department was supervised by Louise Working. During the last few months of Working’s tenure as supervisor there was no lead C.R.T. operator. After Working left her employment at the USAC in August 1986 the C.R.T. department began to have difficulty in completing its data entry work and the operators began to bicker among themselves and have trouble cooperating.

In November 1986, Ouida Howard was temporarily assigned to supervise the C.R.T. department in addition to her regular duties in the cashiering department. Howard transferred one of the white female operators to another department and made Harrison acting lead C.R.T. operator. Harrison’s designation as acting lead oper *197 ator was to provide a trial period. The understanding was that the designation would be made permanent if Harrison performed satisfactorily.

While Harrison was acting lead operator, the C.R.T. department continued to experience backlogs and Howard began to receive complaints from the other operators, both black and white, about Harrison’s demeaning and abusive attitude toward them. Howard met with and counseled Harrison on several occasions while Harrison was acting lead operator. When the problems persisted, Howard determined that Harrison was not suited for the lead operator position. Nancy Daughtery was appointed lead operator. Daughtery is a white female who had worked in other departments of USAC since 1984, but had experience and training in the C.R.T. area. When Daughtery was appointed lead C.R.T. operator she received a raise of approximately $100 per month and the official title of “Lead C.R.T. Operator.”

After the appointment of Daughtery, Harrison complained to the Vice President of Employee Relations, Tom Barnes, a black male. He determined that she had been treated fairly.

Harrison filed a complaint against Associates Corp. with the district court alleging claims under Title VII of the Civil Rights Act of 1964, 42 U.S.C. § 1981, and the Age Discrimination in Employment Act. The district court dismissed Harrison’s § 1981 claim and Harrison dismissed her age discrimination claim. After the bench trial, the district court entered judgment for the defendants on the Title VII claim.

III.

Harrison presents three issues for review. She claims that the district court erred in dismissing her claim under 42 U.S.C. § 1981 and that the district court erred in not allowing the issues of fact common to her § 1981 claim and her Title VII claim to be decided by a jury. She also claims that the district court applied the wrong standard in evaluating the evidence at trial.

A. The § 1981 Claim

In the preliminary stages of this case, Associates Corp. moved to dismiss Harrison’s § 1981 claim. Since Harrison’s § 1981 claim and her Title VII claim were based on the same set of facts, the district court, relying on precedent in this circuit, granted Associates Corp.’s motion. See Parker v. Mississippi State Dept. of Public Welfare, 811 F.2d 925, 927 n. 3 (5th Cir.1987). After the district court dismissed the § 1981 claim but before entry of judgment, the Supreme Court announced its decision in Patterson v. McLean Credit Union, 491 U.S. 164, 109 S.Ct. 2363, 105 L.Ed.2d 132 (1989). Patterson clearly governs our analysis in this case.

In Patterson, the Supreme Court ruled that post-contract formation allegations of racially discriminatory conduct are not actionable under § 1981 since § 1981 only guards against racial discrimination in the “making” of contracts and the right to “enforce” the contract through legal processes. 109 S.Ct. at 2372-74. In order to state a claim cognizable under § 1981 “the plaintiff’s claim must involve improper ‘conduct at the initial formation of the contract’ or ‘conduct which impairs the right to enforce contract obligations through legal process.’ ” Lavender v. V & B Transmissions & Auto Repair, 897 F.2d 805, 807 (5th Cir.1990) (quoting Patterson, 109 S.Ct. at 2374.)

However, while Patterson draws a bright line between racially discriminatory conduct incident to the formation of a contract and racially discriminatory conduct in the performance of duties imposed by the contract, the Court acknowledged that, in the employment context, post-formation conduct which by its nature involved “the opportunity to enter into a new contract with the employer” was actionable under § 1981. Patterson, 109 S.Ct. at 2377. A claim that an employer failed to promote an employee because of the employee’s race is within the reach of § 1981 when the promotion “rises to the level of an opportunity for a new and distinct relation between employee and employer.” Id. Thus, the essential inquiry in this case is whether the position as lead C.R.T. operator, which Harrison was denied, amounted to a new and *198 distinct relation from her position as C.R.T. operator — a new contract of employment. It does not.

In Patterson, the Court sought to distinguish between routine increases in salary or responsibility which are clearly part of an original contract of employment and promotions which signal new a contractual relationship between employee and employer. In determining whether a particular promotion rises to the level of a new and distinct relation between employer and employee, the court must compare the nature of the employee’s current duties, compensation, and benefits and duties, compensation, benefits in the different position in question. As an example of one change in employment position which constitutes a new and distinct relation, the Court cites Hishon v.

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917 F.2d 195, 1990 U.S. App. LEXIS 19950, 55 Empl. Prac. Dec. (CCH) 40,371, 54 Fair Empl. Prac. Cas. (BNA) 544, 1990 WL 164702, Counsel Stack Legal Research, https://law.counselstack.com/opinion/thelma-r-harrison-plaintiff-appellant-v-the-associates-corporation-of-ca5-1990.