17 F.4th 547
5th Cir.2021Background
- Gezu worked for Charter (previously Time Warner Cable) from Dec 2007 to May 2019 and alleges race and national-origin discrimination and wrongful termination.
- On Oct 6, 2017 Charter emailed active, non-union employees announcing Solution Channel: a binding arbitration program with automatic enrollment unless employees opted out within 30 days; the email linked to full arbitration terms on the intranet.
- The arbitration agreement covered employment-related claims including discrimination and retaliation under federal and state law.
- Gezu sued pro se in June 2020 under Title VII and § 1981. Charter moved to compel arbitration and to dismiss under Rule 12(b)(3), submitting declarations from HR employees (Fries and later Vasey) attesting to email delivery/opening.
- The magistrate recommended, and the district court adopted, an order compelling arbitration and dismissing without prejudice; Gezu appealed, challenging formation, evidentiary rulings, and the court’s procedural handling of filings.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether a binding arbitration agreement was formed (valid modification of at-will employment) | Gezu says he never agreed and did not receive/read the notice | Charter says the Oct. 6 email provided unequivocal notice and auto-enrollment; non-opt-out + continued work = acceptance | Agreement valid: notice proven via email and mailbox-presumption; acceptance shown by failure to opt out and continued employment |
| Admissibility of Fries’s declaration (unsworn/not notarized) | Fries’s declaration is inadmissible because not sworn/not notarized | The declaration is signed and made under penalty of perjury, satisfying 28 U.S.C. § 1746 | Admissible: unsworn declaration under penalty of perjury is permissible |
| Consideration of Vasey’s declaration filed with defendant’s reply | Vasey’s declaration should not be considered as new evidence on reply | Vasey rebuts Gezu’s assertion he didn’t open the email; reply may rebut nonmovant’s response | Plaintiff forfeited challenge for not raising below; in any event reply evidence was proper rebuttal and the court did not err |
| District court’s striking of plaintiff’s surreply | Gezu argues surreply should be allowed to respond to new reply evidence | Charter argues surreplies are not permitted as of right and no extraordinary circumstances exist | No abuse of discretion: local rules do not allow surreplies as of right and none of the required extraordinary circumstances were shown |
Key Cases Cited
- Kubala v. Supreme Prod. Servs., Inc., 830 F.3d 199 (5th Cir. 2016) (two-step inquiry: contract formation then scope; standards for modifying at-will employment)
- First Options of Chicago, Inc. v. Kaplan, 514 U.S. 938 (1995) (arbitrability questions governed by state contract law unless parties agree otherwise)
- In re Halliburton Co., 80 S.W.3d 566 (Tex. 2002) (employer must unequivocally notify employee of definite changes to employment terms)
- Hathaway v. Gen. Mills, Inc., 711 S.W.2d 227 (Tex. 1986) (principles for notice of change to employment terms)
- In re Dillard Dep’t Stores, Inc., 198 S.W.3d 778 (Tex. 2006) (employees can be deemed to accept modifications if given opt-out and they fail to opt out)
- Duron v. Albertson’s LLC, 560 F.3d 288 (5th Cir. 2009) (mailbox rule: sworn statement of mailing creates presumption of receipt)
- Schikore v. BankAmerica Supplemental Ret. Plan, 269 F.3d 956 (9th Cir. 2001) (discussion of mailbox rule and presumption of receipt)
- Cambridge Toxicology Grp., Inc. v. Exnicios, 495 F.3d 169 (5th Cir. 2007) (review of district court’s discretion in motions to strike)
