Young v. American Diabetes Ass'n

30 F. App'x 360
CourtCourt of Appeals for the Sixth Circuit
DecidedFebruary 7, 2002
DocketNo. 00-3882
StatusPublished
Cited by2 cases

This text of 30 F. App'x 360 (Young v. American Diabetes Ass'n) is published on Counsel Stack Legal Research, covering Court of Appeals for the Sixth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Young v. American Diabetes Ass'n, 30 F. App'x 360 (6th Cir. 2002).

Opinion

[362]*362OPINION

COLE, Circuit Judge.

Plaintiff David Young appeals the district court’s grant of summary judgment in favor of defendant American Diabetes Association (“the ADA”), assigning error to the district court’s determination that defendant had just cause for terminating Young under his employment contract. Young sued the ADA, claiming that he was terminated without just cause in violation of his employment agreement and Ohio public policy. The district court, in an order dated June 16, 2000, granted the ADA’s motion for summary judgment on all claims. For the reasons set forth below, we AFFIRM the judgment of the district court.

BACKGROUND

A.

The ADA’s predecessor organization, the American Diabetes Association Ohio Affiliate, Inc. (“the ADAOA”), hired Young on April 1, 1988. For the first few years of his employment, Young served in a multitude of management positions. On July 28, 1995, Young signed an employment agreement wherein he agreed to assume the position of Executive Vice President. That agreement provides that employment may be terminated for “just cause,” defined as “including, but not limited to, proven dishonesty, fraud, or misrepresentation that prevent the effective performance of the Executive Vice President’s duties.”

In May 1998, the ADAOA and ADA entered into a merger agreement, whereby the ADAOA became a multi-state division of American Diabetes Association, known as the Heartland Region. On January 16, 1998, the ADA tendered a written offer of employment to Young for the position of Executive Vice President, Heartland Region. That written offer incorporated the terms of Young’s original employment agreement.

Prior to this merger and as early as 1994, Young became involved in an internal group that was very critical of the administration of the ADA. This group drafted a paper entitled “A Review of Certain Current Trends and Issues in the American Diabetes Association,” also known as the “White Paper.” The White Paper criticized the administration of the ADA and alleged, among other things, poor structure and financial policy and “significant trust, respect and relationship issues throughout the organization.” Many of the sixteen signatories to the White Paper are no longer employed by the organization.

In the beginning of July 1998, shortly after the absorption of the ADAOA into the ADA, the ADA received numerous complaints regarding Young’s conduct. In particular, subordinates complained that Young made inappropriate sexual references to numerous female employees and used profanity in directing subordinates. On July 10, 1998, Young and John Graham. Chief Executive Officer of the ADA, along with other ADA board members, discussed these complaints in a telephone meeting. Young denied all of the accusations. Following the meeting, employees continued to file complaints against Young, stating that he had threatened them professionally and physically once he found that they had filed complaints regarding his conduct. On July 21, 1998, the ADA placed Young on paid administrative leave while it conducted an investigation of all complaints made against him. The ADA directed Young not to interact with any employees until the investigation was complete.

[363]*363On August 3,1998, Young filed an action against the ADA for anticipatory breach of contract in the Court of Common Pleas of Franklin County, Ohio. Jerry W. Lee, Chief Executive Officer of the Heartland Region, testified in his deposition that John Graham indicated to him that he wanted to fire Young for filing a lawsuit against the ADA.

In late August, Gail Brooks, the ADA’s Vice President of Human Resources, submitted to Young a written representative sample of the complaints made against him, and gave him an opportunity to respond. Young, through his counsel, categorically denied all of the allegations and requested a meeting to discuss the complaints. On September 18, 1998, the ADA hired an independent investigator, Claudia Graham, (no relation to John Graham) to interview Young’s fellow employees regarding his conduct. In a report submitted to the ADA, Ms. Graham recounted several incidents of inappropriate conduct on the part of Young. Employees recounted that Young notified them that he would increase their compensation by “padding” their expense reimbursements. Young also repeatedly used derogatory racial terms in the office, including “nigger,” “dago,” “jap,” “spic,” and “rednecks.” He also told a co-worker that an African-American employee “is working with black churches even though she is a secretary because she speaks their language.” One subordinate recounted that “David Young would never refer to anyone without also telling you their ethnic and/or religious background.”

Ms. Graham found that Young also made numerous inappropriate sexual references to and about female employees. In particular, on one occasion, Young remarked to coworkers that he “would like to put his face between a certain woman’s breast.” On a separate occasion, Young also remarked in front of male and female coworkers, “wouldn’t you like to be titty-slapped and nipple scratched by that one.” Subordinates also complained that Young was repeatedly verbally abusive and threatening—so much so that they were uncomfortable returning to work each day.

On October 13, 1998, the ADA notified Young that after considering the contents of Ms. Graham’s report, Young would be terminated under the “just cause” provision of his employment contract.

B.

Young’s suit alleges that the ADA breached his employment contract and wrongfully discharged him in violation of Ohio public policy. Specifically, Young asserted that he was terminated for impermissible reasons: because of his outspoken stance against the administration of the ADA and his suit against the ADA after he was placed on administrative leave. Young also brought a claim for non-payment of benefits under Employee Retirement Income Security Act (ERISA). The ADA brought a counterclaim for defamation 1 and removed the case to the Southern District of Ohio under 28 U.S.C. § 1332. Both parties moved for summary judgment on all claims brought against them. The district court granted summary judgment to defendant on all claims and to plaintiff on the defamation counterclaim.

On appeal, Young challenges only the lower court’s determination of his breach [364]*364of employment contract claim. In particular, he alleges that the district court erred in applying the proper standard for determining just cause. In the alternative, Young asserts that even if the court applied the correct standard, there still exists a genuine issue of material fact as to whether Young was discharged in retaliation for bringing suit against the ADA. Young argues that this factual dispute precludes summary judgment.

Standard of Review and Applicable Law

We review de novo a district court’s order granting summary judgment. See Avery v. King, 110 F.3d 12, 13 (6th Cir. 1997). Summary judgment is appropriate when there exists “no genuine issue as to any material fact and ... the moving party is entitled to a judgment as a matter of law.” Fed.R.Civ.P. 56(c).

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Cite This Page — Counsel Stack

Bluebook (online)
30 F. App'x 360, Counsel Stack Legal Research, https://law.counselstack.com/opinion/young-v-american-diabetes-assn-ca6-2002.