Thornton v. City of Shreveport

865 So. 2d 242, 2004 La. App. LEXIS 65, 2004 WL 135824
CourtLouisiana Court of Appeal
DecidedJanuary 28, 2004
Docket38,025-CA
StatusPublished
Cited by4 cases

This text of 865 So. 2d 242 (Thornton v. City of Shreveport) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Thornton v. City of Shreveport, 865 So. 2d 242, 2004 La. App. LEXIS 65, 2004 WL 135824 (La. Ct. App. 2004).

Opinion

865 So.2d 242 (2004)

Irma THORNTON, Plaintiff-Appellant,
v.
CITY OF SHREVEPORT, Defendant-Appellee.

No. 38,025-CA.

Court of Appeal of Louisiana, Second Circuit.

January 28, 2004.

*243 Scott D. Wilson, Baton Rouge, for Appellant.

Cook, Yancey, King and Galloway by S. Price Barker, Rebecca L. Castillo, Shreveport, for Appellee.

Before STEWART, GASKINS and LOLLEY, JJ.

STEWART, J.

Irma Thornton filed suit against her employer, the City of Shreveport (hereinafter "the City"), for conversion and breach of contract relating to alleged inaccuracies regarding her years of service and fund contributions in the City's retirement system records. The City responded with an exception of prescription that was sustained by the trial court after a hearing. On appeal, Thornton argues that the trial court erred in ruling that her claims had prescribed, specifically by not applying the doctrine of contra non valentem. For the following reasons, we affirm the trial court's judgment.

FACTS

Thornton was employed by the City from July 1979 until July 22, 1982, when her employment was terminated. As a *244 result of a complaint filed by Thornton with the United States Equal Opportunity Employment Commission, a settlement agreement was reached in July 1983, whereby Thornton's employment was reinstated "without loss of seniority." Over nineteen years later, on October 22, 2002, Thornton filed the instant suit claiming that the City's records do not accurately reflect her contributions to the retirement fund nor her years of service for retirement eligibility "without loss of seniority."

In the early part of 2002, Thornton checked with the City to determine her retirement status and learned that her years of service for retirement purposes did not date back to her initial employment beginning in July 1979. The City's retirement records reflected only 19 years of service, whereas Thornton believed that she should be credited for 23 years of service.

A letter from the City's director of finance dated March 7, 2002, informed Thornton that the City's records showed that she received a refund of her contributions to the retirement system in the amount of $2,862.42 on August 1, 1982, following her employment termination. As a result of this refund, Thornton lost her time in the retirement system from July 1979 through July 1982. The letter explained that even though Thornton was reinstated with seniority, she could not regain her time for retirement purposes without buying back that time. Although the City's pension records and accounting records indicated that the refund check had been issued, the City did not have the canceled check from twenty years ago.

In her petition, Thornton alleged that the City refused to adjust her retirement account to properly reflect her contributions or give her credit for years of employment "without loss of seniority." Alternatively, she asserted that the City refused to pay her the amount of her contributions plus employer contributions and accrued interest. Based on these allegations, Thornton asserted a cause of action for conversion based on the City allegedly depriving her of funds contributed by her. Thornton also asserted a cause of action for breach of contract based on the City's alleged breach of the settlement agreement due to its failure to credit her with years of service prior to the date of the settlement agreement. Thornton asserted that this failure was contrary to the City's fiduciary duties regarding its administration of the retirement plan and care for the members' contributions.

On July 16, 2003, the City filed a peremptory exception of prescription asserting that Thornton had one year to bring her conversion claim and ten years to bring her breach of contract claim. Since the settlement agreement was made in June 1983, and the petition not filed until October 2002, Thornton's claims appeared to be prescribed. At the hearing on the exception, the City presented testimony to establish that Thornton had received a refund of her contributions when her employment was terminated and that she had not bought back that time when she resumed employment with the City.

The City established that beginning in August 1984, the pay stubs for the City's employees included year-to-date pension contributions and pension amount totals. However, the pay stubs did not reflect years of service credited toward retirement. Elizabeth Washington, the City's director of finance, testified about a payroll processing form from December 1985, which pertained to Thornton's employment. As explained by Washington, the payroll form indicated that Thornton contributed $1,008.72 to the retirement fund for 1985 and that her employment-to-date *245 retirement contributions totaled only $2,404.75. This information would have been available to Thornton on her payroll stubs. Washington also testified about a form from the City's pension office dated August 1, 1982, which was used to generate checks for refunds. This form, which was introduced into evidence, included a listing for Thornton in the amount of $2,862.42. In addition, Washington testified that Thornton's retirement refund payment from 1982 was reflected in a microfiche check register, a copy of which was introduced into evidence. On cross, Washington admitted that the City had no other evidence to show that Thornton negotiated a refund check and that there was no letter in the City's records of Thornton ever requesting a refund of her retirement contribution.

The City also presented testimony from Phillis Copp, who served as pension manager from December 1996 through April 2000. Copp testified that she performed a refund buy-back calculation for Thornton in August 1997. Although Copp did not have a specific recollection of speaking with Thornton about the calculation, Copp testified that she would not have performed the calculation without Thornton having asked her to do it. The "Refund BuyBack" form was introduced into evidence and showed that Thornton was refunded $2,862.42 on August 1, 1982, and that she would have to buy back 3.061 years at 7% interest for a total amount of $7,943.36 to credit her retirement account with the years of employment prior to her termination on July 23, 1982. Copp also testified about a computer screen printout of benefits accrual dates for Thornton which showed that her leave accrual began on her initial date of hire, July 1, 1979, but that her retirement plan credits began on June 12, 1983. Copp explained that the discrepancy indicated that some event interrupted Thornton's contributions to the retirement plan.

In opposition to the exception of prescription, Thornton argued that she had a personal right to seek modification or correction of her retirement account to accurately reflect the amount of contributions made and that this right was subject to a 10 year prescriptive period that did not begin running until she became vested in her retirement. In addition, Thornton argued that if her claims for conversion and breach of contract were found to date back to the time of the alleged issuance of the refund check or the settlement agreement, then the doctrine of contra non valentem suspended the running of prescription until February 2002, when she first learned of the discrepancy in the City's records.

At the hearing on the exception of prescription, Thornton testified that she never elected to take a refund of her retirement funds when she was terminated, and that she never received any refund check. Also, she did not recall asking Copp to prepare a refund buy-back calculation.

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Bluebook (online)
865 So. 2d 242, 2004 La. App. LEXIS 65, 2004 WL 135824, Counsel Stack Legal Research, https://law.counselstack.com/opinion/thornton-v-city-of-shreveport-lactapp-2004.