Woolf v. Mary Kay Inc.

176 F. Supp. 2d 642, 2001 U.S. Dist. LEXIS 15452, 87 Fair Empl. Prac. Cas. (BNA) 1480, 2001 WL 1172181
CourtDistrict Court, N.D. Texas
DecidedSeptember 28, 2001
Docket3:01-cv-00668
StatusPublished
Cited by6 cases

This text of 176 F. Supp. 2d 642 (Woolf v. Mary Kay Inc.) is published on Counsel Stack Legal Research, covering District Court, N.D. Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Woolf v. Mary Kay Inc., 176 F. Supp. 2d 642, 2001 U.S. Dist. LEXIS 15452, 87 Fair Empl. Prac. Cas. (BNA) 1480, 2001 WL 1172181 (N.D. Tex. 2001).

Opinion

MEMORANDUM ORDER

FISH, District Judge.

Before the court is the motion of the plaintiff Claudine Woolf (“Woolf’) to transfer the venue of this case, pursuant to 28 U.S.C. § 1404(a), to the United States District Court for the Northern District of California. Also before the court are the following motions by the defendants Mary Kay Inc. and Sharon Davis (collectively, “Mary Kay”): (1) motion to strike and exclude certain evidence in support of Woolfs motion to transfer venue or, in the alternative, to compel the deposition of Woolfs counsel; and (2) motion for summary judgment. For the following reasons, Woolfs motion to transfer venue is denied, and Mary Kay’s motion for summary judgment is granted on Woolfs claim under federal law. Determination of the remainder of that motion, insofar as it relates to Woolfs causes of action under state law, is reserved to the state court on remand. Mary Kay’s motion to exclude certain evidence in support of Woolfs motion to transfer is denied as moot.

I. BACKGROUND

Mary Kay is a Delaware corporation with its principal place of business in Dallas, Texas. Defendants Sharon Davis and Mary Kay Inc.’s First Amended Answer (“Answer”) ¶ 2. Mary Kay is engaged in manufacturing and distributing skin-care products, cosmetics, fragrances, and other personal-care products. Defendants’ Response to Plaintiffs Motion to Transfer (“Response”) at 2. Sharon Davis was formerly the Director of Sales Development for Mary Kay at its corporate headquarters in Dallas, Texas. Answer ¶ 3. Woolf is a citizen of California who resides in Contra Costa County, California. Second Amended Complaint (“Complaint”) ¶ 1. Woolf alleges that she was recruited in 1996 to work for Mary Kay as a Beauty Consultant to sell its products and that she was forced to resign in 1998 due to “intolerable employment conditions.” Memorandum of Points and Authorities in Support of Motion to Transfer for Convenience (“Motion Brief’) at 2-4. Mary Kay contends it entered into a sales director agreement (“Agreement”) with Woolf, by virtue of which Woolf — as an independent contractor — was never employed by Mary Kay in any capacity. Answer ¶ 9. According to Mary Kay, the Agreement which Woolf entered into contained a forum-selection clause stating that all disputes and matters arising from the Agreement are governed by the laws of the State of Texas and designating Dallas, Texas as the proper venue for any litigation connected with the Agreement. Response at 3. The clause provides in pertinent part:

This Agreement is subject to acceptance by Company at its corporate headquarters in Dallas, Texas, and shall be governed by the laws of the State of Texas as to all matters, including but not limited to matters of validity, construction, effect and performance. The parties further agree that if any dispute or contro *645 versy should arise between them concerning any matter relating to this Agreement that any issues which either party may elect to submit for legal jurisdiction shall be submitted to the jurisdiction of the courts of the State of Texas and the parties agree that the proper venue shall be Dallas, Dallas County, Texas.

Agreement, located in Appendix of Evidence in Support of Defendants Response to Plaintiffs Motion (“Appendix”) at 23.

On April 2, 1998, Woolf filed her original complaint against Mary Kay, Sharon Davis and Carol Taylor in the Superior Court in Contra Costa County, California. Motion Brief at-4. In response, Mary Kay filed a motion with the Superior Court to stay that action pending institution of Woolfs case in Texas. Id. On April 24, 1999, the Superior Court granted Mary Kay’s motion to stay on the basis that the forum-selection clause contained in the Agreement was reasonable and enforceable. Order Granting Defendants Mary Kay Inc. and Sharon Davis’s Motion to Stay Action, located in Appendix at 1-2.

Woolf filed a petition against Mary Kay, Sharon Davis and Carol Taylor in the 191st Judicial District Court of Dallas County, Texas on July 26, 2000. Motion Brief at 5. Taylor then filed a special appearance in that court to contest personal jurisdiction. Id. On December 15, 2000, that court dismissed Taylor from Woolfs case, id. at 6, and denied, on the basis of the forum-selection clause in the parties’ Agreement, Woolfs motion for a determination that California is the proper forum for the dispute. Order of December 15, 2000, located in Appendix at 53-54. Woolf thereupon filed a motion to lift the stay with respect to the defendant Taylor in the Superior Court in Contra Costa County, California, which that court granted. Motion Brief at 6.

On March 12, 2001, Woolf filed her first amended petition in the 191st Judicial District Court of Dallas County, Texas, in which she asserted a discrimination claim under 42 U.S.C. § 1981 against Mary Kay and Davis (collectively, “Mary Kay”). Id.; Response at 5; Notice of Removal (“Removal”) at 1. Mary Kay timely removed Woolfs action to this court on April 4, 2001, based on federal question subject matter jurisdiction. Removal at 1. On May 21, 2001, Woolf filed a motion requesting leave to file her second amended complaint in this court. Second Amended Complaint (“Second Complaint”) at 1. That same day, Woolf also filed a motion to transfer for convenience. Motion Brief at 1.

Woolf seeks to transfer this case to the Northern District of California on numerous grounds, including convenience of the parties and witnesses, locus of the dispute, her original choice of forum, and in the interests of justice in general. Id. at 2. Mary Kay relies on the forum-selection clause and other factors in asserting that transfer is inappropriate under 28 U.S.C. § 1404(a). Response at 2. Mary Kay also seeks to exclude certain evidence submitted in support of Woolfs motion to transfer venue or, in the alternative, to compel the deposition of Woolfs counsel. Defendants’ Motion to Strike and Exclude Plaintiffs Evidence Supporting Her Motion to Transfer for Convenience (“Motion to Strike”) at 1.

Finally, Mary Kay seeks summary judgment dismissing Woolfs state law claims of breach of contract, breach of the covenant of good faith and fair dealing, wrongful termination, discrimination, fraud, intentional and negligent infliction of emotional distress, defamation, harassment, and a federal claim of discrimination in violation of 42 U.S.C. § 1981. De *646 fendant’s Motion for Summary Judgment (“Motion for Summary Judgment”) at 1-3.

II. ANALYSIS

A. Motion to Transfer

1. Legal Standard

A district court may transfer any civil case “[f]or the convenience of parties and witnesses, in the' interest of justice, ... to any other district or division where it might have been brought.” 28 U.S.C.

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176 F. Supp. 2d 642, 2001 U.S. Dist. LEXIS 15452, 87 Fair Empl. Prac. Cas. (BNA) 1480, 2001 WL 1172181, Counsel Stack Legal Research, https://law.counselstack.com/opinion/woolf-v-mary-kay-inc-txnd-2001.