Opinion ID: 158562
Heading Depth: 4
Heading Rank: 2

Heading: Evidence of Intentional Discrimination

Text: The district court also held that the dismissal of Perry’s section 1981 racial discrimination claim was mandated by Perry’s failure to produce any evidence of intentional discrimination. See Durham v. Xerox Corp. , 18 F.3d 836, 839 (10th Cir. 1994) (“Only intentional discrimination may violate section 1981.”). It is well settled that a plaintiff can show intentional discrimination either by direct evidence of discrimination or by indirect evidence, employing the burden-shifting framework first articulated in the seminal case of McDonnell Douglas Corp. v. Green, 411 U.S. 792, 802-04 (1973). 4 See Trans World 4 Perry also argues that a plaintiff who has no direct evidence of racial discrimination and who is not able to establish a prima facie case through a typical McDonnell Douglas analysis can nevertheless satisfy her initial burden by -12- Airlines, Inc. v. Thurston, 469 U.S. 111, 121 (1985); Anaeme v. Diagnostek, Inc. , 164 F.3d 1275, 1278 (10th Cir.), cert. denied, 120 S. Ct. 50 (1999).
Perry argues that evidence of an existing discriminatory employment policy in the County Clerk’s office is direct evidence that there was an illegal discriminatory motive underlying her termination. This argument is misplaced in light of the evidence before the district court. In the line of cases referenced by Perry, the adverse employment action suffered by the plaintiff occurred as a direct result of the discriminatory policy. See, e.g., Trans World Airlines, Inc., 469 U.S. at 121. In the instant case, there is no direct evidence Perry was fired as a result of the racially discriminatory hiring barriers which Woodward allegedly attempted to impose. Any evidence of Woodward’s advocation or implementation of a discriminatory hiring policy does not constitute direct evidence that Perry’s termination was motivated by racial discrimination. Perry also argues that the pervasion of racist statements made by Woodward constitutes direct evidence of racial discrimination. When a plaintiff alleges that discriminatory comments constitute direct evidence of discrimination, introducing indirect evidence whose “cumulative probative force” supports a “reasonable probability of discrimination.” Appellant’s Brief at 16. We assume Perry is referring to the evidence of Woodward’s many, racially-charged statements. We decline to address this argument in light of our holding, infra, that Perry has met her prima facie burden. -13- this court has held that the plaintiff “must demonstrate a nexus exists between [the] allegedly discriminatory statements and the . . . decision to terminate her.” Cone v. Longmont United Hosp. Ass’n, 14 F.3d 526, 531 (10th Cir. 1994); see also Tomsic v. State Farm Mut. Auto. Ins. Co. , 85 F.3d 1472, 1477-78 (10th Cir. 1996). The evidence introduced by Perry consists of isolated, disparaging comments made by Woodward to and about Hispanics in general and Hispanic employees of the County Clerk’s office in particular. Perry acknowledged during her deposition that none of the derogatory comments made by Woodward were directed toward her. There is no evidence in the record that any of Woodward’s comments were intended to directly describe Perry. Further, Perry has failed to demonstrate a causal nexus between Woodward’s racist comments and her discharge. Woodward’s alleged comments are abhorrent and profoundly unprofessional. They, however, do not represent direct evidence that Perry’s termination was the result of Woodward’s alleged racism. Accordingly, we agree with the district court’s conclusion that Woodward’s comments are nothing more than an expression of her personal opinion and, as such, do not constitute direct evidence of a racially-motivated discharge.
-14- A plaintiff who lacks direct evidence of racial discrimination may rely on indirect evidence of discrimination by invoking the analysis first articulated in McDonnell Douglas. See McDonnell Douglas, 411 U.S. at 802-04. While McDonnell Douglas involved a Title VII claim for failure to hire, the analytical framework it pioneered applies equally to claims brought pursuant to section 1981. See Thomas v. Denny’s , Inc. , 111 F.3d 1506, 1509 (10th Cir. 1997) ; Drake v. City of Fort Collins , 927 F.2d 1156, 1162 (10th Cir. 1991). When the McDonnell Douglas analysis is utilized, the burden of production shifts from plaintiff to defendant and back to plaintiff. See Texas Dep’t of Community Affairs v. Burdine, 450 U.S. 248, 252-53 (1981). The ultimate burden of proving discrimination, however, is borne by the plaintiff. See St. Mary’s Honor Ctr. v. Hicks, 509 U.S. 502, 507 (1993). A plaintiff relying on McDonnell Douglas bears the initial burden of establishing a prima facie case by a preponderance of the evidence. See Burdine, 450 U.S. at 252-53. One way a plaintiff may establish a prima facie case of wrongful termination is by showing that: (1) she belongs to a protected class; (2) she was qualified for her job; (3) despite her qualifications, she was discharged; and (4) the job was not eliminated after her discharge. See Lowe v. Angelo’s Italian Foods, Inc., 87 F.3d 1170, 1174-75 (10th Cir. 1996); Lujan v. New Mexico Health & Soc. Servs. Dep’t, 624 F.2d 968, 970 (10th Cir. 1980); Ray v. Safeway -15- Stores, Inc., 614 F.2d 729, 730 (10th Cir. 1980). If the plaintiff establishes her prima facie case, a rebuttable presumption arises that the defendant unlawfully discriminated against her. See Hicks, 509 U.S. at 506-07. The defendant must then articulate a legitimate, nondiscriminatory reason for the adverse employment action suffered by the plaintiff. See McDonnell Douglas, 411 U.S. at 802. If the defendant is able to articulate a valid reason, the plaintiff can avoid summary judgment only if she is able to show that a genuine dispute of material fact exists as to whether the defendant’s articulated reason was pretextual. See Randle v. City of Aurora, 69 F.3d 441, 451 (10th Cir. 1995). Defendants argue that to establish a prima facie case of racial discrimination under section 1981, Perry, who is Hispanic, must show that the individual who was hired to replace her was not Hispanic. Contrary to arguments advanced by Defendants, the Supreme Court has not adopted a test requiring a plaintiff to prove that his replacement does not share his protected attribute. See Hicks, 509 U.S. at 506. The language from Hicks relied on by Defendants in support of their position could not rationally be construed as the adoption of such a fourth element: Petitioners do not challenge the District Court’s finding that respondent satisfied the minimal requirements of such a prima facie case (set out in McDonnell Douglas, . . .) by proving (1) that he is black, (2) that he was qualified for the position of shift commander, (3) that he was demoted from that position and ultimately discharged, -16- and (4) that the position remained open and was ultimately filled by a white man. Id. (emphasis added) This language represents the Court’s restatement of a portion of the district court’s ruling and a clarification that the appeal did not involve any claim by the defendants that the plaintiff had not met his prima facie burden. The race of the plaintiff’s replacement was never an issue in Hicks and the Court did not consider it. Justice Souter, in his dissent, clarifies that the Court has never directly addressed the significance of the physical characteristics of an individual’s replacement. See id. at 527 n.1 (Souter, J., dissenting) (“The majority . . . mentions that Hicks’s position was filled by a white male. This Court has not directly addressed the question whether the personal characteristics of someone chosen to replace a Title VII plaintiff are material, and that issue is not before us today.”). Defendants also argue O’Connor v. Consolidated Coin Caterers Corp . supports their position that no inference of discrimination can ever arise unless a plaintiff shows that his replacement does not share his protected attribute. See 517 U.S. 308, 311-12 (1996). It is undeniable that the Court in O’Connor reiterated that there must be a logical connection between each element of the prima facie case and the inference of discrimination. See id . Nevertheless, O’Connor provides no support for Defendants’ position. In O’Connor, an age -17- discrimination case, the Court found no logical connection between a plaintiff’s replacement being outside the protected class and the inference of discrimination. See id. at 312. Justice Scalia, writing for a unanimous Court, held that the plaintiff was not required to show he was replaced by someone outside the protected class stating, “The fact that one person in the protected class has lost out to another person in the protected class is thus irrelevant, so long as he has lost out because of his age.” Id. This court has never applied a test containing the inflexible requirement that a plaintiff who is a member of a group that has historically been discriminated against must show that she was replaced by someone outside her protected class to establish a prima facie case of wrongful termination under the McDonnell Douglas framework. But see Reynolds v. School Dist. No. 1 , 69 F.3d 1523, 1534 (10th Cir. 1995) (requiring a white plaintiff who alleged she had been denied a promotion because of her race to show that the position she sought was filled by a non-white). 5 While several wrongful-discharge decisions have recited 5 Reynolds involved a white, female plaintiff who brought, among other claims, a section 1981 failure-to-promote claim. See Reynolds v. School Dist. No. 1 , 69 F.3d 1523, 1534 (10th Cir. 1995). The individual who received the promotion sought by Reynolds was also a white female. This court held that Reynolds had failed to meet her prima facie burden because she could not show that the promotion was given to someone of another race. See id . The court in Reynolds clearly stated that a modification of the traditional McDonnell Douglas prima facie elements is necessary in reverse discrimination actions. See id. A white plaintiff alleging reverse discrimination “does not necessarily deserve the -18- a test containing a requirement that a protected class member show that the position from which he was terminated remained open or was filled by a person not a member of the protected class, none of these decisions have applied the test. See, e.g., Murray v. City of Sapulpa , 45 F.3d 1417, 1420 (10th Cir. 1995); Randle, 69 F.3d at 451 n.13. 6 Similar tests have been articulated, but never applied, in cases involving failure-to-promote claims. See, e.g. , Sprague v. Thorn Americas, Inc. , 129 F.3d 1355, 1362 (10th Cir. 1997); Thomas v. Denny’s, Inc. , 111 F.3d 1506, 1509 (10th Cir. 1997); Kenworthy v. Conoco, Inc. , 979 F.2d 1462, 1469 (10th Cir. 1992). The physical characteristics of the individual who replaced the plaintiff or received the position sought by the plaintiff were not dispositive in any of these cases. Thus, a test requiring that the replacement or promoted person be outside the protected class exists only in dicta . It appears the language implicating the physical characteristics of the employee’s replacement originated in age discrimination cases in which this court presumption of discrimination afforded to a member of an ostensibly disfavored minority class.” Id. Additionally, a failure to promote does not implicate the economic disincentive to terminate a qualified employee, i.e, the individual denied the promotion does not need to be replaced. 6 Both Murray and Randle cite McDonnell Douglas as the source of the four elements of the prima facie test they recite. The original fourth element set out in McDonnell Douglas , however, did not require the plaintiff to show that the position he sought was filled by someone outside the protected class but merely required him to show that, “after his rejection, the position remained open and the employer continued to seek applicants from persons of complainant’s qualifications.” McDonnell Douglas Corp. v. Green , 411 U.S. 792, 802 (1973). -19- articulated a prima facie case that included a requirement of replacement by someone outside the protected class. See Schwager v. Sun Oil Co. of Pennsylvania , 591 F.2d 58, 61 (10th Cir. 1979) (holding that a plaintiff alleging age discrimination must show he was replaced by someone 45 years old or younger); see also Denison v. Swaco Geolograph Co. , 941 F.2d 1416, 1420 (10th Cir. 1991); MacDonald v. Eastern Wyoming Mental Health Center , 941 F.2d 1115, 1119 (10th Cir. 1991); Cooper v. Asplundh Tree Expert Co. , 836 F.2d 1544, 1547 (10th Cir. 1988); Cockrell v. Boise Cascade Corp. , 781 F.2d 173, 177 (10th Cir. 1986). The first non-ADEA case in which this court suggests a fourth element requiring an individual who suffered an adverse employment action to prove that the new hire or replacement employee did not share the protected attribute is Hooks v. Diamond Crystal Specialty Foods, Inc. , 997 F.2d 793, 799 (10th Cir. 1993), overruled in part on other grounds , Buchanan v. Sherrill , 51 F.3d 227, 229 (10th Cir. 1995). Hooks relied on three of the age discrimination cases cited supra for its recitation of that requirement. See id. Any discussion of the fourth element in Hooks is dicta , however, because Hooks was never replaced; his position was eliminated and he was given a choice between early retirement and a demotion. 7 See id . at 795. Hooks demonstrates that the cases 7 Hooks also involved a failure-to-promote claim. See Hooks v. Diamond Crystal Specialty Foods, Inc. , 997 F.2d 793, 795 (10th Cir. 1993), overruled in part on other grounds , Buchanan v. Sherrill , 51 F.3d 227, 229 (10th Cir. 1995) . -20- which reference a fourth element implicating the physical characteristics of an employee’s replacement evolved from a rule previously applicable in age discrimination cases. This rule has since been specifically rejected by the Supreme Court. See O’Connor , 517 U.S. at 311-12 (holding that age discrimination plaintiff need not show that his replacement was outside the protected class). The imposition of the inflexible rule advocated by Defendants is untenable because it could result in the dismissal of meritorious claims. Defendant’s rule would preclude suits against employers who replace a terminated employee with an individual who shares her protected attribute only in an attempt to avert a lawsuit. It would preclude suits by employers who hire and fire minority employees in an attempt to prevent them from vesting in employment benefits or developing a track record to qualify for promotion. It would also preclude a suit against an employer who terminates a woman it negatively perceives as a “feminist” and replaces her with a woman who is willing to be subordinate to her male co-workers or replaces an African-American with an African-American who is perceived to “know his place.” Although each of these situations involves wrongfully-motived terminations, under the rule advocated by the Defendants, However, with respect to that claim, the court did not recite a prima facie test that implicated the physical characteristics of the individual who received the promotion. See id. at 796. -21- the terminated employee would be unable to meet the prima facie burden. Such a result is unacceptable. Neither the Supreme Court nor this court has previously applied the rule advocated by Defendants, and this court declines the invitation to adopt it. A non-white employee who claims to have been discharged as a result of racial discrimination can establish the fourth element of her prima facie case without proving that her job was filled by a person who does not possess her protected attribute. 8 See, e.g., Brown v. Parker-Hannifin Corp., 746 F.2d 1407, 1410 n.3 (10th Cir. 1984) (characterizing as “stricter” the tests adopted by some courts which require a plaintiff to show that her employer either assigned a non-minority person to her job or retained non-minority employees having comparable or lesser qualifications). 8 If a plaintiff is able to establish a prima facie case under the McDonnell Douglas analysis, she has merely created a rebuttable presumption that her employer unlawfully discriminated against her. See Texas Dept. of Community Affairs v. Burdine, 450 U.S. 248, 254-255 (1981). If the racial characteristics of a plaintiff’s replacement were applicable at the prima facie stage, a plaintiff would effectively be required to raise the inference not only that she was discriminated against but that her employer also discriminates against every other employee or potential employee who shares her protected attribute. Cf. Connecticut v. Teal, 457 U.S. 440, 455 (1982) (“It is clear that Congress never intended to give an employer license to discriminate against some employees on the basis of race or sex merely because he favorably treats other members of the employees' group.”) The replacement of a terminated plaintiff with an individual who shares the plaintiff’s protected attribute does not necessarily negate the inference that the plaintiff was unlawfully discriminated against. -22- This court has stated that a plaintiff may establish a prima facie case of wrongful termination by showing that: (1) she belongs to a protected class; (2) she was qualified for her job; (3) despite her qualifications, she was discharged; and (4) the job was not eliminated after her discharge. See Lowe, 87 F.3d at 1174-75; Lujan, 624 F.2d at 970; Ray, 614 F.2d at 730. This court has also stated that the fourth element of the prima facie test is met if the discharged plaintiff can show that someone was hired to replace her. See Mohammed v. Callaway, 698 F.2d 395, 398 (10th Cir. 1983) (holding that the fact the position was filled, instead of remaining open, did not preclude employee from establishing a prima facie case); Crawford v. Northeastern Okla. State Univ. , 713 F.2d 586, 588 (10th Cir. 1983) (same). Notwithstanding the large number of cases which articulate the prima facie test in wrongful-discharge cases, the issue before this panel has never been squarely addressed by this court. Several circuits have addressed the issue and have held that a plaintiff can satisfy the prima facie burden without proving that the position was filled by an individual who does not share the protected attribute. Some circuits have concluded only that a plaintiff is not precluded from meeting the prima facie burden by an inability to demonstrate that the -23- replacement employee does not share her protected attribute. 9 See, e.g., Pivirotto v. Innovative Sys., Inc. , 191 F.3d 344, 352-54 & n.6 (3rd Cir.1999) (collecting cases); Nieto v. L&H Packing Co. , 108 F.3d 621, 624 n.7 (5th Cir. 1997) (distinguishing inconsistent cases in the Fifth Circuit); Carson v. Bethlehem Steel Corp ., 82 F.3d 157, 159 (7th Cir. 1996) (“That one’s replacement is of another race, sex, or age may help to raise an inference of discrimination, but it is neither a sufficient nor a necessary condition.”) (relying on O’Connor in a reverse discrimination case); Williams v. Ford Motor Co. , 14 F.3d 1305, 1308 (8th Cir. 1994); Nesbit v. Pepsico, Inc. , 994 F.2d 703, 705 (9th Cir. 1993); Jackson v. Richard’s Med. Co. , 961 F.2d 575, 587 n.12 (6th Cir. 1992); Howard v. Roadway Express, Inc. , 726 F.2d 1529, 1534 (11th Cir. 1984). The First Circuit, however, has held that a plaintiff who claimed she was terminated because of her pregnancy could satisfy the fourth element simply by showing that her position was not eliminated. See Cumpiano v. Banco Santander Puerto Rico , 902 F.2d 148, 155 (1st Cir. 1990) (“[I]n a case where an employee claims to have been discharged in violation of Title VII, she can make out the fourth element of her prima facie case without proving that her job was filled by a person not possessing the protected attribute. . . . [A] complainant can satisfy 9 This position was recognized, but not applied, in Pitre v. Western Elec. Co. , Inc ., 843 F.2d 1262, 1272 (10th Cir. 1988), a case involving disparate treatment claims by female employees. -24- the fourth prong of her prima case simply by showing that, as here, the employer had a continued need for someone to perform the same work after [the complainant] left.” (citations and quotations omitted)). While Cumpiano presents a very narrow fact situation involving a pregnant employee and not a member of a racial minority, the language used by the First Circuit is broad. Additionally, the Second Circuit, in a failure-to-hire case, rejected a test requiring a plaintiff to show that someone outside the protected class was hired instead of plaintiff, and held that a plaintiff could establish the fourth element simply by showing that the employer continued to seek applicants after the plaintiff was rejected. See Meiri v. Dacon , 759 F.2d 989, 995-96 (2d Cir.1985) (“Furthermore, although certain courts -- including the district court in this action -- have required an employee, in making out a prima facie case, to demonstrate that she was replaced by a person outside the protected class, we believe such a standard is inappropriate and at odds with the policies underlying Title VII.” (citations omitted)). Both of these cases relied on the basic standard originally articulated in McDonnell Douglas which only required a plaintiff to show that the employer continued to seek applicants. The approach taken by the First and Second Circuits is superior to that followed in the other circuits that have addressed the issue. Although the latter circuits do not preclude a plaintiff from meeting the prima facie burden when the -25- replacement or new hire shares the protected attribute, some additional fact from which an inference of discrimination can arise must be shown. None of these courts give any examples of what evidence would be sufficient to give rise to such an inference. This results in too much uncertainty for the district courts and the parties. Additionally, the approach taken by the First and Second Circuits is in concert with Supreme Court precedent. The Supreme Court has held that when a qualified employee, who is a member of a racial minority group that has traditionally suffered workplace discrimination, is not hired for a job in which a vacancy exists, the failure to hire alone is sufficient to raise the inference of discrimination. See International Bhd. of Teamsters v. United States, 431 U.S. 324, 358 n.44 (1977) (involving Title VII claims for failure to hire and failure to promote). In Teamsters, the Court stated, The McDonnell Douglas case involved an individual complainant seeking to prove one instance of unlawful discrimination. An employer's isolated decision to reject an applicant who belongs to a racial minority does not show that the rejection was racially based. Although the McDonnell Douglas formula does not require direct proof of discrimination, it does demand that the alleged discriminatee demonstrate at least that his rejection did not result from the two most common legitimate reasons on which an employer might rely to reject a job applicant: an absolute or relative lack of qualifications or the absence of a vacancy in the job sought. Elimination of these reasons for the refusal to hire is sufficient, absent other explanation, to create an inference that the decision was a discriminatory one. Id. (emphasis added). -26- The Court later expounded on the observation made in Teamsters: “[W]e are willing to presume [discrimination] largely because we know from our experience that more often than not people do not act in a totally arbitrary manner, without any underlying reasons, especially in a business setting.” Furnco Constr. Corp. v. Waters, 438 U.S. 567, 577 (1978). Although both Teamsters and Furnco involved failure-to-hire claims, we see no reason why the Court’s reasoning does not apply equally when the plaintiff is alleging wrongful termination. See Crawford, 713 F.2d at 588 (“[T]here is no reason to apply a stricter version of the fourth part of the McDonnell Douglas test in a suit alleging a discriminatory discharge rather than a discriminatory failure to hire or promote . . . .”). When viewed against a backdrop of historical workplace discrimination, an employee who belongs to a racial minority and who eliminates the two most common, legitimate reasons for termination, i.e., lack of qualification or the elimination of the job, has at least raised an inference that the termination was based on a consideration of impermissible factors. The firing of a qualified minority employee raises the inference of discrimination because it is facially illogical for an employer to randomly fire an otherwise qualified employee and thereby incur the considerable expense and loss of productivity associated with hiring and training a replacement. -27- The purpose behind the prima facie requirement established in McDonnell Douglas is to obligate a plaintiff to “eliminate[] the most common nondiscriminatory reasons for the plaintiff’s rejection.” Burdine, 450 U.S. at 253-54. An inference of discrimination is raised when an employer rejects an otherwise qualified minority employment candidate and thereafter does not eliminate the position for which the candidate was rejected. Evidence of the seeking or hiring of a replacement to fill the position vacated by a discharged plaintiff who is a member of a group which has historically suffered discriminatory treatment is, by itself, sufficient to satisfy the fourth element of the plaintiff’s McDonnell Douglas prima facie case of racial discrimination. 10 Supreme Court precedent fully supports this court’s conclusion that the termination of a qualified minority employee raises the rebuttable inference of discrimination in every case in which the position is not eliminated. The test adopted herein requires a plaintiff to show more than the fact she was terminated to satisfy her prima facie burden; she must also show that she is a member of a protected class that has traditionally suffered workplace discrimination, she was qualified, and the job from which she was terminated was not eliminated. That 10 The elimination of the position, however, does not necessarily eviscerate a plaintiff’s claim that her discharge was racially motivated. See International Bhd. of Teamsters v. United States, 431 U.S. 324, 358 (1977) (emphasizing that the prima facie case is a flexible standard that may be modified to accommodate different factual situations). -28- employee, however, is not therefore entitled to go to trial. The employer has the opportunity to dispel the inference by articulating a legitimate, nondiscriminatory reason for terminating the employee. In meritless cases, the plaintiff will be unable to show that the employer’s articulated reason is pretextual, and summary judgment will then be entered for the defendant. Thus, the approach taken by this court clarifies the issues for the parties and the lower courts and will not result in meritless claims making it past the summary judgment stage. Accordingly, we hold that the district court erred as a matter of law when it held that Perry failed to make out her prima facie case of racial discrimination under section 1981 because she was replaced by an Hispanic woman. Defendants do not dispute Perry’s assertions that she is Hispanic and a protected person, was qualified to perform her job, and was terminated. Further, it is undisputed that after her termination, a replacement was hired to fill Perry’s position. Accordingly, we hold that Perry, a member of a minority group which has historically suffered discriminatory treatment in the workplace, has made out the fourth element of her prima facie case by her introduction of evidence that the position from which she was terminated was filled after her termination. -29- Consequently, the district court erred when it dismissed on this ground Perry’s racial discrimination claim arising under section 1981. 11