Van Winkle v. HM Insurance Group, Inc.

72 F. Supp. 3d 723, 2014 U.S. Dist. LEXIS 175786
CourtDistrict Court, E.D. Kentucky
DecidedDecember 18, 2014
DocketCivil Action No. 2012-212-WOB-JGW
StatusPublished
Cited by4 cases

This text of 72 F. Supp. 3d 723 (Van Winkle v. HM Insurance Group, Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. Kentucky primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Van Winkle v. HM Insurance Group, Inc., 72 F. Supp. 3d 723, 2014 U.S. Dist. LEXIS 175786 (E.D. Ky. 2014).

Opinion

MEMORANDUM OPINION AND ORDER

WILLIAM O. BERTELSMAN, District Judge.

This is an employment discrimination case involving allegations of sex discrimination and retaliation in violation of Title VII of the Civil Rights Act of 1964 and the Kentucky Civil Rights-Act, Ky.Rev.Stat. ch. 344. Specifically, Plaintiff Jill Van Winkle alleges that her employer violated her civil rights by terminating her on January 26, 2012.

Van Winkle initially brought this action against HM Insurance Group, Inc. (“HMIG”). The Court granted her leave to amend her complaint to add HM Life Insurance Company, a wholly owned subsidiary of HMIG, as a defendant after the Court determined that these two entities should be treated as joint employers for purposes of her claims.1 See Doc. 78, Order.

Plaintiff also alleged state law claims for intentional infliction of emotional distress and breach of the duty of good faith and fair dealing, but she has since conceded these claims. See Doc. 63, Pl.’s Resp. in Opp. to Def.’s Mot. for Summ. J., at 1 n. 1.

Defendant HMIG brings a counterclaim alleging that following her termination, Van Winkle misappropriated trade secrets and other confidential information in violation of the Kentucky Uniform Trade Secrets Act, Ky.Rev.Stat. §§ 365.880-.890. HMIG also counterclaimed for injunctive relief to prevent any threatened misappropriation. These counterclaims arise from Plaintiffs alleged violations of the Company’s Information Use Management and Disclosure Policy, which defines confidential and proprietary information and outlines the limited circumstances under which employees may use such information. Doc. 24-2, Information Use Management & Disclosure Policy.

This matter is before the Court on Plaintiffs motion for summary judgment on Defendant HMIG’s counterclaims (Doc. 41) and Defendant HMIG’s cross-motion for summary judgment2 on all of Van Winkle’s claims and its counterclaims (Doc. 44). The Court heard oral argument on September 23, 2014, and took these mo-, tions under advisement. After further study, the Court now issues the following Memorandum Opinion and Order.

I. FACTUAL AND PROCEDURAL BACKGROUND

A. Plaintiffs Hiring and Job Responsibilities

The Company, which provides services to insurance carriers and providers, hired [727]*727Van Winkle as Regional Sales Director of its Cincinnati office on August 6, 2007. Doc. 56-1, Van Winkle Dep. Ex., at 14-15.3 Van Winkle had years of insurance industry, sales experience, including significant experience with stop-loss insurance, one of the Company’s key products. Doc. 44-4, Van Winkle Personnel File, at 4-5. At her hiring, the Company considered her a “strong” candidate and a “good fit all around.” Id. at 6.

The Regional Sales Director direction position — a senior-level sales position — required Van Winkle to maintain existing business, generate new business revenue, and grow a profitable book of business in the group insurance market. Doc. 44-7, Job Descriptions, at 1. The position also required Van Winkle to work with management to develop strategies for complex and unusual sales opportunities and to implement new techniques, products, services, or policies to improve the company’s overall profitability. Id. Van Winkle was expected to work through distribution channels of existing and new producers, such as brokers and third-party administrators (“TPAs”). Id. Her job description stated that the Senior Vice President of Sales would define her sales territory, which would vary. Id. In addition, Van Winkle supervised two employees in Cincinnati, and, beginning in 2009, three people in Cleveland. Doc. 56, Van Winkle Dep., at 49-50.

B. Van Winkle’s Job Performance

Van Winkle admits that during her four years of employment with the Company, she never met her annual sales goal. Doc. 56, Van Winkle Dep., at 110.

During Van Winkle’s first performance appraisal, in August 2008, she earned a merit raise and overall performance rating of “3” on a four-point scale — meaning “solid performance.” Doc. 62, Wilden Dep., at 31-32; Doc 62-1, Appraisal Form, at 1.

A month later, the Company designated a number of “red” TPAs across the country as part of a corporate initiative to focus on those organizations’ profitability. Doc. 62, Wilden Dep., at 71. United Medical Resources (“UMR”), which provided about $3 million in revenue — approximately fifty percent of the Cincinnati office’s book of business — received the designation. Id. at 71-72, 77-78; Doc. 56, Van Winkle Dep., at 52-53. The parties dispute whether UMR’s red TPA designation barred Van Winkle from quoting business to UMR. Compare Doc. 44-4, Van Winkle Personnel File, at 15, with Doc. 62, Wilden Dep., at 72-75.4

Shortly thereafter, around October 3, 2008, Wilden assigned Van Winkle the sales territories previously managed by the Company’s Cleveland office, which was closing. Doc. 44-4, Van Winkle Personnel File, at 26. The Cleveland market significantly expanded Van Winkle’s book of business; Wilden testified that the market was generating $6 to $11 million in new business prior to Van Winkle taking over. Doc. 62, Wilden Dep., at 78. Because Van Winkle’s employment record included significant Cleveland market experience, Wil-den believed this transition would be seamless. See Doc. 44-4, Van Winkle Personnel File, at 4-5; Doc. 62, Wilden Dep., at 102.

[728]*728In April 2009, Van Winkle received her second performance appraisal, again earning a “3” rating on a four-point scale and a merit raise, despite not meeting her year 2008 sales goal.5 Doc. 62-1, Personnel Action Form, at 2; Doc. 44-4, Van Winkle Personnel File, at 25.

C. 2010 Review and Performance Improvement Plan

On April 9, 2010, Van Winkle received her third performance review, earning a “2” rating on a four-point scale, indicating that she “meets some but not all goals.” Doc. 56-1, Van Winkle Dep. Ex., at 20-30.6 Again, Van Winkle failed to meet her annual sales goal, producing only $1,322,003 of her $3,920,000 target. During the review, Van Winkle and Wilden discussed that her results were not meeting expectations. Wilden also told Van Winkle that she would receive a new sales goal and a performance improvement plan (“PIP”). Id. at 20.

On June 28, 2010, Van Winkle received the PIP. Doc. 62, Wilden Dep., at 38-39; Doc. 62-1, Wilden Dep. Ex., at 4-5. Wil-den issued the plan after consulting with human resources staff and Senior Vice President of Sales, Mark Lancellotti. Doc. 62, Wilden Dep., at 19, 39; Doc. 53, Lan-cellotti Dep., at 22.

Attempting to identify the reasons for Van Winkle’s lack of success in achieving her sales goals, Wilden consulted with Director of Underwriting John Bankoske about Van Winkle’s discussions with Underwriting. Wilden determined that Van Winkle’s failure to “push” cases to supervising underwriters may have contributed to her lack of success. Doc. 62, Wilden Dep., at 23-24; Doc. 51, Bankoske Dep., at 26-27.

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Bluebook (online)
72 F. Supp. 3d 723, 2014 U.S. Dist. LEXIS 175786, Counsel Stack Legal Research, https://law.counselstack.com/opinion/van-winkle-v-hm-insurance-group-inc-kyed-2014.