Allen v. Reliaquest, LLC
8:23-cv-00806
M.D. Fla.Aug 1, 2024Background
- Aaron Allen, a former employee of ReliaQuest, LLC, sued the company for race and religious discrimination under Title VII and the Florida Civil Rights Act, as well as various contract-related claims.
- Allen was terminated from ReliaQuest in March 2022 and, on the same day, was offered and signed a severance agreement waiving most legal claims against ReliaQuest.
- Allen alleged that ReliaQuest management told him the agreement did not waive federal discrimination claims (e.g., Title VII claims that could be raised in the EEOC).
- Despite attempts, Allen did not consult with an attorney before signing the agreement, relying on management’s assurances.
- Allen subsequently filed an EEOC charge and, after receiving a right to sue letter, brought this lawsuit raising discrimination and contractual claims.
- The court converted ReliaQuest’s motion to dismiss to a motion for summary judgment on the interpretation of the severance agreement’s release provision.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Does the release provision of the severance agreement bar Allen's individual discrimination and contract claims? | Allen: The release excludes individual claims protected by law, allowing federal discrimination lawsuits. | ReliaQuest: The release is clear, covers all individual claims except those not waivable by law (e.g. EEOC filings). | The release provision is unambiguous and bars Allen’s individual claims; exceptions do not include individual federal lawsuits. |
| Is the release language ambiguous as to what claims are waived or preserved? | Allen: The language about claims "and" relief is ambiguous and could be read to preserve more rights. | ReliaQuest: The language is clear; Allen waived all claims except administrative filings permitted by law. | No ambiguity; the court interprets the language in its ordinary sense and rejects Allen’s contrary readings. |
| Should extrinsic evidence (e.g., management’s statements) be considered to interpret the release? | Allen: Ambiguity and oral representations justify considering parol evidence. | ReliaQuest: The provision is clear—extrinsic evidence is unnecessary. | Not needed; contract's plain text is clear, so extrinsic evidence is not considered. |
| Has Allen preserved a challenge to the validity or voluntariness of the release? | Allen: Relied on oral assurances, did not consult counsel, so voluntariness is disputed. | ReliaQuest: Not yet fully briefed; issue not currently before the court. | Court defers ruling on knowing and voluntary nature of the release; parties may raise the issue later. |
Key Cases Cited
- Anderson v. Liberty Lobby, Inc., 477 U.S. 242 (1986) (summary judgment standard and materiality of facts)
- Celotex Corp. v. Catrett, 477 U.S. 317 (1986) (movant’s burden in summary judgment and shifting burden framework)
- Hibiscus Assocs. Ltd. v. Bd. of Trs. of Policemen and Firemen Retirement Sys. of the City of Detroit, 50 F.3d 908 (11th Cir. 1995) (plain language of contract governs intent)
- Hurt v. Leatherby Ins. Co., 380 So. 2d 432 (Fla. 1980) (plain meaning rule in contract interpretation)
- Jenkins v. Eckerd Corp., 913 So. 2d 43 (Fla. 1st DCA 2005) (courts may not consider extrinsic evidence for unambiguous contract provisions)
