Wensel v. State Farm Mutual Automobile Insurance

218 F. Supp. 2d 1047, 2002 U.S. Dist. LEXIS 14633, 89 Fair Empl. Prac. Cas. (BNA) 1079, 2002 WL 1880512
CourtDistrict Court, N.D. Iowa
DecidedAugust 7, 2002
DocketC01-3019-MWB
StatusPublished
Cited by9 cases

This text of 218 F. Supp. 2d 1047 (Wensel v. State Farm Mutual Automobile Insurance) is published on Counsel Stack Legal Research, covering District Court, N.D. Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Wensel v. State Farm Mutual Automobile Insurance, 218 F. Supp. 2d 1047, 2002 U.S. Dist. LEXIS 14633, 89 Fair Empl. Prac. Cas. (BNA) 1079, 2002 WL 1880512 (N.D. Iowa 2002).

Opinion

MEMORANDUM OPINION AND ORDER REGARDING DEFENDANT’S MOTION FOR SUMMARY JUDGMENT

BENNETT, Chief Judge.

TABLE OF CONTENTS

I.INTRODUCTION.1050

A. Procedural Background.1050

B. Disputed And Undisputed Facts .1050

1. The training program .1051

2. Wensel’s employment and training .1051

II. DISCUSSION.1052

A. Standards For Summary Judgment . 1052

1. Requirements of Rule 56. 1053

2. The parties’ burdens .1053

3. Summary judgment in employment discrimination cases.1054

B. Common-Law Claims.1055

C. Discrimination Claims.1055

1. Price Waterhouse direct evidence framework.1057

a. The speaker.1059

b. The content.1059

c. Causation.1061

2. Circumstantial evidence and the McDonnell Douglas burden-shifting paradigm.1062

a. Disparate treatment through constructive discharge .1062

/. Intolerableness of working conditions. 1064

ii. Opportunity to respond.1066

b. Pregnancy discrimination: Failure to receive independent agent contract.1068

*1050 i. Did Wensel suffer an adverse employment action? . 1069

ii. Were other agents who received contracts similarly situated to Wensel?. O o

Hi. Legitimate business justification and proof of pretext T — 1 o

III. CONCLUSION. .1073

In this employment discrimination case, the plaintiff claims that, because of her pregnancy, she was treated unfairly and differently than her counterparts in the defendant’s training program and, as a result, that she was constructively discharged. More specifically, the plaintiff participated in the defendant’s Trainee Agent program with the hope of being awarded an independent agency contract and operating her own franchise insurance office in Sheldon, Iowa. However, after two extensions of her training period, the second of which occurred during the third trimester of her pregnancy, the plaintiff concluded that she would not be granted agency status and, consequently, resigned. On this motion for summary judgment, the court is called upon to decide whether the plaintiff has generated genuine issues of material fact on her claims of disparate treatment based on constructive discharge and failure to receive an independent agency contract.

I. INTRODUCTION

A. Procedural Background

The plaintiff filed this lawsuit on March 2, 2001. In her complaint, she alleges eight causes of action, including two statutory claims of gender discrimination under both Title VII and chapter 216 of the Iowa Civil Rights Act (“ICRA”) and six state common-law claims of fraudulent concealment, fraudulent misrepresentation, fraud in the inducement, negligent misrepresentation, breach of contract, and promissory estoppel. This court’s exercise of jurisdiction over the plaintiffs federal claim is proper pursuant to 28 U.S.C. § 1331 (federal question), 28 U.S.C. § 1343 (civil rights), and 42 U.S.C. § 2000e-5(f)(3) (providing for original jurisdiction of Title VII claims in federal district courts). Jurisdiction over the plaintiffs state-law claims is proper pursuant to 28 U.S.C. § 1367 (supplemental jurisdiction). In addition, this litigation is timely, because the plaintiff brought this suit within the prescribed 90 days after having received administrative releases from the Equal Employment Opportunity Commission and the Iowa Civil Rights Commission, which were issued on December 19, 2000 and on January 3, 2001, respectively.

This action is scheduled for a jury trial to begin on September 23, 2002. Before the court is the defendant’s motion for summary judgment, filed pursuant to Federal Rule of Civil Procedure 56. The court heard oral arguments on this motion on August 2, 2002. Counsel were thoroughly prepared, well-versed in relevant caselaw, and provided helpful input. The defendant was represented at these arguments by Scott Davies and Jason Hedican, of Briggs Morgan PA, Minneapolis, Minnesota. The plaintiff was represented by Michael Carroll, of Coppola, Sandre, McConville & Carroll, P.C., West Des Moines, Iowa.

B. Disputed And Undisputed Facts

The factual background of this case can be summarized in a fairly succinct manner because there are very few disputed facts. Instead, the parties’ principle arguments on this motion for summary judgment center on the legal significance of the circumstances surrounding the plaintiffs employment and her resignation.

*1051 1. The training program

The defendant, State Farm Mutual Automobile Insurance Company (“State Farm”), provides insurance services through sales agents who operate as independent contractors. “Agency 2000” refers to the former training program through which State Farm employees transitioned into independent agents. Pri- or to entering this training program, the plaintiff, Kelli Rae Wensel (“Wensel”), worked as a claims specialist for approximately three years. In April of 1997, after some preliminary screening, State Farm selected Wensel to participate in the Agency 2000 process. State Farm ceased the Agency 2000 program midway through Wensel’s training process in December of 1998 and implemented a three-phase process, which is similar to Agency 2000 but stresses different criteria. Wensel notes, however, that State Farm did not inform candidates of the new program nor of its new criteria until March of 1999.

State Farm’s Agency 2000 training program consisted of an initial six-month training period, after which a selection committee identified those candidates who would continue with the process. If a candidate was approved, she left her current position with State Farm and began intern training, which entailed a six to eight month intensive course of study at State Farm’s regional headquarters. In Wensel’s case, she completed her intern training in Lincoln, Nebraska. If a candidate successfully completed intern training, as Wensel did, she was offered a trainee agent contract.

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Bluebook (online)
218 F. Supp. 2d 1047, 2002 U.S. Dist. LEXIS 14633, 89 Fair Empl. Prac. Cas. (BNA) 1079, 2002 WL 1880512, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wensel-v-state-farm-mutual-automobile-insurance-iand-2002.