Weeks v. Samsung Heavy Industries Co.

126 F.3d 926, 1997 WL 602654
CourtCourt of Appeals for the Seventh Circuit
DecidedSeptember 26, 1997
DocketNos. 96-2827, 97-1857
StatusPublished
Cited by14 cases

This text of 126 F.3d 926 (Weeks v. Samsung Heavy Industries Co.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Seventh Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Weeks v. Samsung Heavy Industries Co., 126 F.3d 926, 1997 WL 602654 (7th Cir. 1997).

Opinion

BAUER, Circuit Judge.

Plaintiff-Appellant Harry D. Weeks filed suit against Samsung Heavy Industries Co., Ltd., (hereinafter “SHI”),1 Samsung America, Inc., and Samsung Construction Equipment Co., alleging racial and national origin discrimination in violation of Title VII of the Civil Rights Act of 1964,42 U.S.C. § 2000e et seq. (Counts I and II); retaliatory discharge in violation of Title VII (Count III); breach of verbal hiring promise (Count IV); promissory estoppel (Count V); and fraud and misrepresentation (Count VI). Weeks’ claims arose from his employment with SHI, and stemmed from his belief that SHI engaged in discriminatory employment practices and made numerous fraudulent misrepresentations to Weeks. The district court granted summary judgment in favor of SHI on all counts. In cause No. 97-1857, the district court imposed costs in the amount of $18,952 in favor of SHI. Weeks now appeals from the district court’s grant of summary judgment in favor of SHI in No. 96-2827 and from the district court’s imposition of costs in No. 97-1857. We affirm.

Background

SHI is a Korean corporation with its principal place of business in Korea. Harry D. Weeks, an American citizen, began working for SHI on March 18,1991, as SHFs National Sales Manager for North America. At that time, Weeks was the only salesperson hired by SHI and was responsible for covering all of North America.' Weeks’ employment with SHI was negotiated exclusively with Chang II Kim (“C.I. Kim”), who was the general manager of SHFs Chicago office at that time. On March 18, 1991, Weeks received a letter from C.I. Kim, on letterhead from SHFs Chicago office, setting forth the terms of Weeks’ employment with SHI. The letter indicated that the first three months of Weeks’ employment with SHI would be on a probationary basis, which would give Weeks [930]*930“the opportunity to decide whether the job suit[ed him] and [would] give[ ] SHI the opportunity to determine whether [Weeks was] the right person for the job.” The letter also indicated that the three-month probationary period could be extended at the sole discretion of SHI. After the probationary period was over, Weeks’ performance was to be reviewed, and, if it was satisfactory, Weeks would obtain the status of a “regular employee.” Weeks was not guaranteed any fixed period of employment with SHI as was clearly indicated by the following paragraph, spelled out in all capital letters in the March 18 letter:

YOUR EMPLOYMENT WITH SHI SHALL AT ALL TIMES BE ON AN AT-WILL BASIS. YOUR EMPLOYMENT WITH SHI MAY BE TERMINATED AT ANY TIME UPON SHI’S SOLE DISCRETION. THIS CONDITION MAY NOT BE MODIFIED EXCEPT BY SPECIFIC WRITTEN INSTRUMENT EXECUTED BY THE OFFICE MANAGER OF SHI’S CHICAGO BRANCH.

The letter stated that Weeks’ salary would be $6,250 per month, or $75,000 per year. A one-page attachment to the letter entitled “Job Description” listed seven duties for Weeks’ position. Included on the list was “1. All the works as National Sales Manager.” At the time Weeks was hired, he was the first and only “National Sales Manager” hired by SHI in North America.

On June 17, 1991, C.I. Kim sent Weeks a written memo informing him that his probationary period would be extended by three months until September 18, 1991. Attached to the June 17 memo was a revised job description which was similar to the March 18 job description except that the reference to performing “all the works as National Sales Manager” was no longer included. In place of the reference was “8. Any work, especially provided by the company, related with Sales & Marketing as Sales Manager.” C.I. Kim testified that he did not orally inform Weeks that his title wás no longer “National” Sales Manager. During the second probationary period, Weeks and SHI negotiated terms for relocating Weeks and his family from Virginia to Chicago. Also during this period, C.I. Kim advised B.T. Kim, a manager in Korea, that he believed Weeks should be sent to Korea to see “Samsung’s advancement/vision, and let him decide whether he wants to work for Samsung.”

Weeks was interested in changing the structure of SHI’s operations in North America to make it more consistent with the typical structure and organization of American companies. Between June 1991 and January 1992, Weeks came up with a marketing plan which would divide SHI’s North American territory into three regions, each having its own regional sales manager. Pursuant to this plan, Weeks would supervise the regional sales managers and- have no direct sales responsibilities. In a December 4, 1991 memo, Weeks requested the hiring of more sales managers. He wrote, “C.I. Kim-I have no idea how we can possibly continue to put off all of these dealers who are now saying they are ready to proceed. When can I begin adding the necessary staff to take advantage of the most serious inquiries???” On January 21, 1992, C.I. Kim responded with an “Announcement” of the following changes in SHI’s internal operating structure:

Although one person has been in charge of the sales and marketing department, this department will be divided into three territories in order to reduce the workload: West, Southeast and West Central-Northeast. Each territory will have one individual who will be in charge of and be responsible for such territory. The head of each territory shall report on operations directly to Chang II Kim, the Manager of the Oak Brook Terrace office. -
Harry D. Weeks will be in charge of the West Central-Northeast territory. Harry Weeks shall coordinate and ensure that all necessary sales strategies and financing programs of SHI are properly implemented.
SHI will appoint an individual to be in charge of all three territories for the sales and marketing department whenever it believes that such an appointment is necessary from a business standpoint.

Weeks remained stationed in Chicago, and his compensation, office and other amenities did not change as a result of the restructuring.

[931]*931On January 21, 1992, Weeks, John Johnson, and John Krett, three North American managers, sent a memo to Y.M. Kim, the Senior Executive Managing Director in Korea, expressing discomfort and concern with the restructuring, and informing the Korean operation of what was occurring in Chicago. The managers had just returned from the American Equipment Dealers’ national convention, where they had explained SHI’s organizational structure to prospective dealers in an attempt to gain new business for SHI. The January 21 memo explained that because they had not known about the restructuring when they represented SHI at the convention in over thirty-five presentations, they felt that they “clearly misrepresented [themselves] as well as Samsung.” The memo continued, “In America this is against the law. We can be sued personally as well as corporately.” The memo also expressed the view that the restructuring was not a plan that would have success or had worked in the past for American equipment manufacturers. The memo informed upper management in Korea that the three American managers felt they had been misled by C.I. Km during their initial interviews, and it stated that C.I. Km “promised top management positions to all of us during our initial interview.” The memo also accused C.I.

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Bluebook (online)
126 F.3d 926, 1997 WL 602654, Counsel Stack Legal Research, https://law.counselstack.com/opinion/weeks-v-samsung-heavy-industries-co-ca7-1997.