Opinion ID: 714649
Heading Depth: 2
Heading Rank: 2

Heading: Age Discrimination in Violation of the ADEA

Text: 21 In reviewing the district court's decision to deny Halliburton's motion for judgment as a matter of law and to submit the issue of age discrimination to the jury, we review the question de novo, view[ing] the evidence most favorably to the non-moving party and giv[ing] that party the benefit of all reasonable inferences to be drawn from the evidence. James, 21 F.3d at 992 (quoting Spulak, 894 F.2d at 1153). We may reverse the district court only if the evidence is susceptible to no reasonable inferences sustaining the position of the party against whom the motion is made. Id. (quoting Spulak, 894 F.2d at 1153 (citation omitted)). Because the jury may have relied on the alleged ageist comments attributed to Joe McCalla, we first must determine whether this particular evidence was properly before the jury before deciding whether the totality of the evidence was sufficient for a jury finding of intentional age discrimination.
22 Halliburton argues that the district court erred in admitting age-related comments attributed to Joe McCalla because those comments were both highly prejudicial and of no probative value. Evidentiary rulings are reviewed for abuse of discretion and will not be disturbed unless we have a definite and firm conviction that the district court made a clear error or exceeded the bounds of permissible choice under the circumstances. Gilbert v. Cosco Inc., 989 F.2d 399, 402 (10th Cir.1993). 23 General and isolated age-related comments are not admissible to prove intentional age discrimination. Cone v. Longmont Hosp. Ass'n, 14 F.3d 526, 531 (10th Cir.1994). Instead, a plaintiff must demonstrate that a nexus exists between the discriminatory comments to be admitted and the allegedly discriminatory actions to be proven. Id. Even comments by a supervisor involved in the allegedly discriminatory actions are not admissible unless connected to the discriminatory actions themselves. See id. at 531-32 (holding that statement of supervisor involved in allegedly discriminatory termination was not admissible as there was no connection between the statement and the termination). 24 Touchet was permitted to testify at trial--over Halliburton's objection--that Joe McCalla told him to terminate, or pressure into resigning, another employee who was over 40, because he was too old. 6 Appellant App. at 243-44. Touchet attempts to provide the necessary nexus between McCalla's comments and Touchet's demotion and transfer by pointing to evidence of: 1) animus between McCalla and Touchet; 2) other ageist comments by McCalla to Harkins; and 3) McCalla's prior supervision of Travis Burke (Burke), one of the supervisor's involved in the decision to demote and transfer Touchet. However, none of these allegations--even if all true--provide the necessary nexus between the comments and the actions complained of. 25 McCalla himself was dead at the time the decision was made to demote and transfer Touchet. Thus, the relevance of any comments by McCalla is limited to any effect McCalla may have had on the decision makers prior to his death. Any animus between McCalla and Touchet is irrelevant in any case if it does not relate to age. In addition, there is no evidence that McCalla passed on any ageist attitudes or practices to the employees who made the decisions affecting Touchet. In short, there is no evidence of any kind indicating that Joe McCalla had any effect on the decision to demote and transfer Touchet or on the individuals who made that decision. In the clear absence of such a connection, the district court abused its discretion in admitting the evidence. 26 Touchet argues however that, even if the testimony was admitted in error, the error was harmless because there was other testimony establishing the same premise--that Halliburton discriminated against older employees. In determining whether an error is harmless, we assess the likelihood that the error affect[ed] the substantial rights of the parties. U.S. Indus., Inc. v. Touche Ross & Co., 854 F.2d 1223, 1252 (10th Cir.1988) (quoting 28 U.S.C. 2111). In a civil case, we must determine whether the verdict, more probably than not, was untainted by the error. Id. If so, then the error is harmless and retrial is unnecessary. Id. 27 In support of his argument that the testimony at issue did not substantially affect the judgment, Touchet points out other testimony by himself, Appellant App. at 245-46, 327-28, K.P. Campbell, Id. at 334, and Harkins, Id. at 427, 433, establishing that Halliburton supervisors told them to hire younger employees rather than older ones. While this other testimony relates only to discriminatory hiring--rather than termination--practices, we believe that the overall weight of evidence of age based discrimination by Halliburton was sufficient that, more probably than not, the jury verdict was not affected by Touchet's testimony as to McCalla's comments. We, therefore, hold that the district court's error in admitting the testimony was harmless. We must now determine whether Touchet's evidence--without the inadmissible testimony regarding McCalla's comments--was sufficient to justify submission to a jury. 28
29 The essential inquiry in an ADEA claim for intentional discrimination is whether age was a determinative factor, such that it made a difference in an employer's decision to terminate an employee. 7 Cooper v. Asplundh Tree Expert Co., 836 F.2d 1544, 1547 (10th Cir.1988). A plaintiff may prove such intentional discrimination through either direct or circumstantial evidence. Ingels v. Thiokol Corp., 42 F.3d 616, 620 (10th Cir.1994). To facilitate this inquiry, we have adopted the McDonnell Douglas burden shifting approach in ADEA cases. Ingels, 42 F.3d at 621. Under this approach, a plaintiff may establish a prima facie case by demonstrating that he or she: (1) was a member of the protected age group; (2) was performing satisfactory work; (3) despite satisfactory performance, was terminated; and (4) was replaced by a younger worker. Id. However, in reduction-in-force cases, the fourth element may be met through evidence that the plaintiff was treated less favorably than younger employees during the reduction-in-force. Id. 30 Touchet presented evidence that he was a member of the protected age group, that his work was satisfactory, and that he was nevertheless constructively terminated. He also provided evidence that Madden, a younger employee, was given the opportunity to serve as the Field Supervisor camp head at Worland, a position that was not offered to Touchet. Halliburton argues that it provided evidence to contradict each element other than Touchet's protected status; however, in doing so, Halliburton misunderstands the application of the McDonnell Douglas approach. Touchet's burden of establishing a prima facie case is not a heavy one, see MacDonald v. Eastern Wyo. Mental Health Ctr., 941 F.2d 1115, 1119 (10th Cir.1991), and he easily met that burden. Halliburton's arguments to the contrary provided an appropriate basis for its alleged nondiscriminatory reasons for its actions with respect to Touchet. Thus, while Halliburton's arguments were appropriate for the jury to consider in deciding whether Touchet met his overall burden of persuasion, they do not affect the fact that Touchet successfully established a prima facie case. 31 After a plaintiff has created a presumption of intentional discrimination by establishing a prima facie case, the defendant may rebut that presumption by providing a legitimate, nondiscriminatory reason for the employment decision in question. Ingels, 42 F.3d at 621. Halliburton met this burden by explaining that Touchet was demoted due to a reduction-in-force and transferred to Williston because that location could accommodate him economically. Halliburton further explained that Madden was given the Worland Field Supervisor position instead of Touchet because Halliburton believed Madden would be more likely to make Worland profitable again, Touchet's transfer would avoid ill effects of his demotion on morale, and the transfer would alleviate any stress that Touchet was experiencing as camp head. 32 Once the defendant has rebutted the presumption created by plaintiff's prima facie case, the plaintiff has the overall burden of persuading the finder of fact that the employer intentionally discriminated based on age. Ingels, 42 F.3d at 622. In carrying this burden, Touchet's evidence of age discrimination includes evidence: 1) of statements by Halliburton supervisory personnel that the company should hire younger rather than older workers; 2) that Halliburton denied Touchet a lateral transfer to field supervisor at Worland, essentially his old position as camp head and, instead, filled the position with Madden, a younger worker; 3) that Halliburton's decision to transfer Touchet to Williston and Madden to Worland was economically inefficient because it required two transfers instead of one; 4) that Williston was a dumping ground for undesirable or older workers; 5) that Touchet had health problems, of which Halliburton knew, which would be aggravated at Williston by longer hours, greater driving distances, and more physically demanding work; and 6) that Halliburton's employees tried to convince Touchet to take early retirement and leave the company, Appellee's App. at 108-21. We believe that this combination of evidence is sufficient for a reasonable jury to conclude that Halliburton intentionally discriminated against Touchet on the basis of his age in violation of the ADEA. Thus, we must next consider the jury instructions provided by the court in relation to Touchet's ADEA claim.
33 Halliburton argues that the district court erred by improperly instructing the jury as to the relative burdens of proof in an ADEA case in instruction No. 9, and further erred by refusing to give three proposed instructions tendered by Halliburton. In reviewing these allegations, we examine the record as a whole to determine whether the instructions state the applicable law and provide the jury with an appropriate understanding of the issues and the legal standards to apply. Faulkner v. Super Valu Stores, Inc., 3 F.3d 1419, 1424 (10th Cir.1993). As long as the instruction as a whole correctly conveys applicable law, particular words or phrases are unnecessary. Id. Thus, [a]n erroneous jury instruction requires reversal only if we have substantial doubt whether the instructions, taken together, properly guided the jury in its deliberations.'  Id. (quoting Mitchell v. Mobil Oil Corp., 896 F.2d 463, 468 (10th Cir.), cert. denied, 498 U.S. 898 (1990)). 34 Jury Instruction No. 9 instructed the jury as follows: 35 As I mentioned before, if you find that the plaintiff proved the four elements by a preponderance of the evidence, then you may, but need not, find for the plaintiff. In deciding which party is entitled to a judgment, you must consider whether the defendant has produced evidence that the plaintiff was transferred for a reason other than age, that is, that the defendant had a legitimate, non-discriminatory reason other than age for the plaintiff's transfer. 36 The defendant is only required to produce evidence of a non-discriminatory reason; it is not required to prove this reason or reasons by a preponderance of the evidence. It is only required to come forward with, or to produce, evidence that explains that its actions were not based on the plaintiff's age. In addition, it is not necessary that the defendant's nondiscriminatory reason or reasons for discharging the plaintiff be correct, but only that it believed them in good faith. 37 If you find that the defendant has produced such evidence, then you must find for the defendant unless you conclude that the plaintiff has proved, by a preponderance of the evidence, that the reasons offered by the defendant for his discharge were a pretext, that is, they were not the true reasons why he was discharged, or that the plaintiff's age more likely than not was still a determining factor in his discharge. 38 The plaintiff is the party that bears the ultimate burden of proving to you, the jury, by a preponderance of the evidence that the defendant's decision was an intentional one that was predicated on the plaintiff's age. 39 Appellant's App. at 74-75. Halliburton argues that the instruction erroneously states that the jury may find for the plaintiff simply based on Touchet's establishment of a prima facie case--irrespective of Halliburton's proffered nondiscriminatory reason for its action--and also argues that the instruction erroneously states that Touchet can meet his burden of overcoming Halliburton's proffered nondiscriminatory reason through evidence only of the pretextual nature of that reason. While we agree that the instruction might be somewhat clearer, we have no substantial doubts that, taken as a whole, instruction no. 9 properly guided the jury. 40 The instruction states in the first paragraph that the jury may find for Touchet based solely on the elements of a prima facie case. However, in the second paragraph, the instruction goes on to explain Halliburton's burden of producing evidence of a nondiscriminatory reason for its actions. Then, in the third paragraph, the jury is instructed that, if Halliburton produces such evidence of a nondiscriminatory reason for its actions, the jury may only find for Touchet if he proves pretext. In the last paragraph, the instructions explain that Touchet must prove, by a preponderance of the evidence, that Halliburton intentionally discriminated against him based on his age. We believe that the overall instruction sufficiently conveyed to the jury that they could only find for Touchet if they believed that Halliburton's proffered nondiscriminatory reasons for its actions were merely a pretext for intentional discrimination based on age. 41 Halliburton next argues that the district court erred in refusing to give its proffered instructions that: 1) the ADEA doesn't require employees to give persons more than 40 years old preferential treatment, but requires only age neutrality; 2) the jury is not free to second guess a employer's age neutral business decisions; and 3) Halliburton's perceptions of Touchet's qualifications are controlling--not Touchet's own perceptions. While we do not quarrel with the legal correctness of these instructions, we do not believe that their omission gives us any basis for substantially doubting the adequacy of the overall ADEA instructions in guiding the jury. Thus, we affirm the decisions of the district court with respect to the challenged jury instructions.
42 The decision to order reinstatement or to award frontpay under the ADEA is committed to the discretion of the trial court. James, 21 F.3d at 997. Thus, we review the district court's decision to award frontpay in this case under an abuse of discretion standard. 43 While reinstatement is the preferred remedy under the ADEA, frontpay may be appropriate in circumstances where employer hostility makes a productive and amicable working relationship impossible. Id. The question of whether Halliburton had exhibited such hostility was submitted to the jury on an advisory basis, and the jury answered yes, Halliburton had. The district court agreed with the advisory jury finding and ordered frontpay. We believe the jury's advisory finding and the court's subsequent decision were supported by adequate evidence of hostility exhibited by Halliburton employees towards Touchet during trial. 44 Therefore, we affirm the decision of the district court to award frontpay in lieu of reinstatement. In summary, we affirm the district court's entry of judgment based upon the jury's verdict of intentional age discrimination in violation of the ADEA. 45