Williams v. Regus Management Group, LLC

836 F. Supp. 2d 159, 2011 WL 6073560, 2011 U.S. Dist. LEXIS 140287
CourtDistrict Court, S.D. New York
DecidedDecember 6, 2011
DocketNo. 10 Civ. 8987 (SAS)
StatusPublished
Cited by42 cases

This text of 836 F. Supp. 2d 159 (Williams v. Regus Management Group, LLC) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Williams v. Regus Management Group, LLC, 836 F. Supp. 2d 159, 2011 WL 6073560, 2011 U.S. Dist. LEXIS 140287 (S.D.N.Y. 2011).

Opinion

OPINION AND ORDER

SHIRA A. SCHEINDLIN, District Judge.

1. INTRODUCTION

Albert Williams brings this action against Regus Management Group, LLC (“Regus” or the “Company”), alleging race discrimination and retaliation under the New York City Human Rights Law1 (“NYCHRL”). Williams is a citizen of New York.2 Regus is a Delaware corporation, with its headquarters and principal place of business located in Texas.3 [162]*162Williams originally filed suit in New York Supreme Court. Regus removed the matter to this Court under section 1441(b) of title 28 of the United States Code.4 This Court has jurisdiction pursuant to section 1332(a) of title 28 of the United States Code.

Williams claims that he was discriminated against at Regus and that when he complained about the discrimination, he was ordered to relocate from New York City to Dallas. When he refused to relocate, he was fired. Regus moves for summary judgment on both of Williams’ claims. Regus argues that as part of business changes and cost-cutting measures, it had long planned to either transfer Williams to Dallas or fire him. Regus further argues that there is no evidence to support an inference that Regus discriminated against Williams on the basis of his race or that it subsequently retaliated against him for reporting his concerns about racial discrimination at the Company-

According to Regus, a “reasonable implication [of the facts] is that Plaintiff realized his job was at risk and complained of racial discrimination to pressure Regus to keep him by raising the specter of litigation.” 5 According to Williams, Regus only decided to order him to relocate after he complained of discrimination, similarly situated Caucasian employees were not ordered to relocate, and the management’s reaction to his claims of discrimination shows that Regus’ business justifications were actually pretext for retaliation and discrimination. Deciding between these two reasonable interpretations of the facts requires weighing conflicting pieces of evidence and making numerous credibility determinations — judgments that must be left to a jury. For these reasons, Regus’ motion for summary judgment is denied.

II. BACKGROUND6

A. Williams’ Career with Regus

Williams, who is African-American, has worked in information technology (“IT”) for over twelve years.7 Regus “provides furnished, equipped and staffed office space to businesses in over 1100 business centers located in excess of 450 cities in 75 countries.”8

Regus hired Williams in October 2005 as its Director of IT Operations.9 In this role, he managed “day-to-day operations of the IT department and ... the support of over 400 business centers in North America.” 10 Williams’ responsibilities “evolved over time but the crux of his position dealt with putting out IT fires for Regus’s clients and overseeing his technical [163]*163team.” 11 He was considered to be “great at firefighting”12 and Regus rewarded him with a bonus in February 2010.13

When he began working for Regus, Williams was based in Dallas, where the bulk of Regus’s administrative and executive functions are performed,14 and where its IT team is based.15 Williams moved to New York in May 2007 for personal reasons, but continued to work for Regus in the same capacity.16 According to Williams, Guillermo Rotman, Regus’ CEO for the Americas, personally permitted Williams to work from New York and told Williams that “I don’t care where you work, as long as you don’t leave the company.” 17 At the time of the move, Regus advised Williams that the “relocation would be monitored closely to determine if it was working.”18 There is testimony that as early as 2008, Williams’ supervisors may have discussed asking him to return to Texas.19 However, these discussions did not lead to concrete plans for his return. Indeed, on June 10, 2010, Edmondson told Williams that “everyone agrees that for the most part you have made [the long-distance arrangement] work quite effectively over the past year or so.”20 Rotman testified that he did not recall anybody ever telling him of any problems that arose because Williams was working from New York.21

During his first four years as Director of IT Operations, Williams reported to Jason Schwendinger, a Caucasian with whom Williams says he “had a positive working relationship.”22 Regus terminated Schwendinger and ten other IT employees in early 2009 as part of a small wave of layoffs.23 After that, Williams reported to Schwendinger’s former supervisor, Christian Hadfield, who is also Caucasian.24 Hadfield, who has worked for Regus since 2004, is responsible for overseeing all of IT and procurement, and works out of the Company’s Florida office.25

B. Regus’ Shifting Business Structure and the Geographic Distribution of Its Management

As a technology and office services company, Regus “is often required to restructure its departments in order to adapt to ... technology changes, and to [164]*164save costs,” and the IT Department was one of these departments.26 In 2008, Hadfield, Edmondson, and Rotman began planning to reorganize and pare down the IT Department in response to the economic crisis.27 As of December 2008, part of Hadfield’s reorganization plan was to terminate Williams and hire someone in Dallas at a lower salary.28 A January 2009 email from Hadfield indicated that recruitment for Williams’ replacement had already begun and proposed that Williams be replaced by May 2009.29 That date shifted by a year, according to Regus, because Hadfield decided that Williams should stay until the completion of a large IT project in May or June of 2010.30 In December 2009, Hadfield produced a new restructuring plan that proposed terminating Williams and merging his IT Director role with the Telecoms Director role, and giving both responsibilities to Trish Welker, a white employee who at the time was Telecoms Director.31 Under the proposal, the new combined IT and telecoms helpdesk would be “100% dallas based” (sic).32 Apart from the cost savings and location change, Hadfield indicated no other reasons for his decision to terminate Williams. Regus has not submitted any evidence showing that Had-field’s proposal was approved or finalized. Indeed, Edmondson says only that Regus “had discussed including Plaintiff in prior rounds of layoffs and restructuring his position of Director of IT Ops into a Dallas-based IT Helpdesk Manager position” (emphasis added), but not that such a decision had been made.33

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836 F. Supp. 2d 159, 2011 WL 6073560, 2011 U.S. Dist. LEXIS 140287, Counsel Stack Legal Research, https://law.counselstack.com/opinion/williams-v-regus-management-group-llc-nysd-2011.