Roedocker v. Farstad Oil, Inc.
1:16-cv-00029
| D. Mont. | Mar 5, 2018Background
- Richard Roedocker was Billings branch manager for Farstad Oil (part of SPF Energy) and had worked there since 1991; Parkland acquired SPF in 2014 and Merv Carter became Roedocker's supervisor.
- On January 12, 2015, after a managers’ teleconference, Roedocker sent a text to co-manager Roger Pelzer calling another manager (Lori Thom) a "c**t"; Pelzer had earlier sent an angry/profane text about Thom as well.
- Profanity among managers was admitted to be common at Farstad; Pelzer was reprimanded but not terminated.
- HR learned of Roedocker’s message months later; no investigation occurred for about four months, and an intervening performance review rated Roedocker as "meets expectations."
- Carter terminated Roedocker on May 21, 2015, citing the offensive text and communication issues; Roedocker sued under Montana’s Wrongful Discharge from Employment Act.
- Magistrate Judge Cavan recommended denying Farstad’s summary judgment motion; the district court adopted most of the recommendation but disagreed that the text indisputably provided a legitimate business reason for termination and denied summary judgment in full.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Farstad had "good cause" (a legitimate business reason) to terminate Roedocker under Montana law | Roedocker argues termination was wrongful because the stated reason was pretextual: profanity was common, a co-manager who used similar language was not fired, and the employer delayed investigation for months | Farstad argues the offensive text by a branch manager violated its code of conduct and provided a reasonable, job‑related ground for dismissal | Court held a genuine issue of material fact exists whether Farstad’s reason was legitimate or arbitrary; summary judgment denied |
Key Cases Cited
- United States v. Syrax, 235 F.3d 422 (9th Cir. 2000) (standard for reviewing magistrate judge recommendations when no objections filed)
- Anderson v. Liberty Lobby, Inc., 477 U.S. 242 (U.S. 1986) (summary judgment standards; genuine issue and materiality)
- Reeves v. Sanderson Plumbing Prods., 530 U.S. 133 (U.S. 2000) (courts must not weigh credibility on summary judgment)
- Samper v. Providence St. Vincent Medical Center, 675 F.3d 1233 (9th Cir. 2012) (court must consider the record as a whole in employment cases)
- Becker v. Rosebud Operating Servs., Inc., 191 P.3d 435 (Mont. 2008) (definition and analysis of "legitimate business reason" under Montana law)
- Kestell v. Heritage Health Care Corp., 858 P.2d 3 (Mont. 1993) (employer discretion balanced against employee's right to employment)
- Johnson v. Costco Wholesale, 152 P.3d 727 (Mont. 2007) (employee may show given reason is not good cause or is pretext)
- Davis v. State Dep't of Pub. Health & Human Servs., 357 P.3d 320 (Mont. 2015) (undisputed facts providing good cause defeat wrongful discharge claim)
- Vettel-Becker v. Deaconess Med. Ctr. of Billings, Inc., 177 P.3d 1034 (Mont. 2008) (all reasonable inferences drawn for nonmoving party on summary judgment)
