15 Fair Empl.Prac.Cas. 487, 14 Empl. Prac.
Dec. P 7754
John D. PAGE and Don Thomas et al., Plaintiffs-Appellees,
v.
U. S. INDUSTRIES, INC., et al., Defendants-Appellants.
Rebecca WILLIAMS, Plaintiff-Appellant,
v.
CLE CORPORATION, d/b/а Sheraton-Chateau Lemoyne, Defendant-Appellee.
Nos. 76-3366, 75-3822.
United States Court of Appeals,
Fifth Circuit.
July 25, 1977.
Joseph W. Thomas, Okla Jones, II, New Orleans, La., for plaintiff-appellant in 75-3822.
Bernard Marcus, Amy R. Kennon, New Orleans, La., for defendant-appellee in 75-3822.
Samuel E. Hooper, Charles B. Gallagher, Houston, Tex., for defendants-appellants in 76-3366.
Carol Nelkin, Houston, Tex., for plaintiffs-appellees in 76-3366.
Appeal from the United States District Court for the Eastern District of Louisiana.
Appeal from the United States District Court for the Southern District of Texas.
Before WISDOM, GEE and FAY, Circuit Judges.
GEE, Circuit Judge:
In this opinion we dispose of two сases which, although involving different facts and somewhat different issues, are both concerned with procedures employed by the Equal Employment Opportunity Commission (the EEOC) in informing complaining individuals of their right to seek judicial action. In each case the question is whether the plaintiff timely filed suit after initially referring his case to the EEOC. We hold that, by the law of this circuit, the district court should hear each plaintiff's Title VII action.
Congress has enacted a comprehensive scheme for the resolution of Title VII claims, involving both administrative and judicial action. Section 706(f)(1) of Title VII of the Civil Rights Act of 1964, 42 U.S.C. § 2000e-5(f)(1) (1970), as amended, outlines the procedural scheme:
(f)(1) If within thirty days after a charge is filed with the Commission . . . the Commission has been unable to secure from the respondent a conciliation agreement acceptable to the Commission, the Commission may bring a civil action against any respondent not a government, governmental agency, or political subdivision named in the charge. . . . The person or persons aggrieved shall have the right to intervene in a civil action brоught by the Commission . . . . If a charge filed with the Commission pursuant to subsection (b) of this section is dismissed by the Commission, or if within one hundred and eighty days from the filing of such charge . . . the Commission has not filed a civil action under this section . . . or the Commission has not entered into a conciliation agreement to which the person aggrieved is a party, the Commission . . . shall so notify the person aggrieved and within ninety days after the giving of such notice a civil action may be brought against the respondent named in the charge (A) by the person claiming to be aggrieved or (B) if such charge was filed by a member of the Commission, by any person whom the charge alleges was aggrieved by the alleged unlawful employment practice.
Initially the individual must rely on the EEOC either to conciliate his claim or to file a civil action on his behalf. Only after 180 days have passed from the filing of his administrative complaint may he seek a judicial remedy, and even then before he can sue he must receive notice that the EEOC has failed to conciliate his claim and has not sued. He has 90 days from this notice to bring suit.
The commоn problem in these two cases is what suffices to trigger the running of the 90-day period within which an individual must file suit. Doubtless the Congress contemplated that the EEOC would complete its investigation, attempt to conciliate, and reach the decision whether or not to sue within 180 days, and then notify the complainant immediately. Unfortunately, the avalanche of discrimination complaints to the EEOC has prevented it from completing administrative action on complaints within the 180-day period. See Zambuto v. American Telephone & Telegraph Co.,
In Zambuto v. American Telephone & Telegraph Co., supra, we ruled that the EEOC improperly extended the period for filing suit when it gave notice that the administrative process was closed1 but then informed complainants that they could request the required statutory notice after which they must bring suit within 90 days. This procedure invalidly placed in a claimant's hands the power to postpone the commencement of the 90-day period after the administrative process had terminated. Congress designed the 90-day period to protect employers from stale claims, and the EEOC's practice deprived them of that protection. We went on to rule, however, that this "two-letter" procedure was "patently misleading" so that justice required that we make our ruling prospective only and allow Mrs. Zambuto to pursue her action. Against this background we turn to the individual cases before us.
I. Williams v. CLE Corporation
Rebecca Williams, a black female, was employed as a front-desk clerk at the Sheraton-Chateau Lemoyne Hotel in New Orleans, Louisiana, in mid-1973. The hotel management discharged her in October 1973, and she filed a timely complaint of racial discrimination with the EEOC. On January 27, 1975, the EEOC issued a determination that it had reasonable cause to believe the appellant's charge was true. After the defendant rebuffed its conciliation efforts, on March 25, 1975, the EEOC sent Ms. Williams the following letter:
This is to advise you that conciliation efforts . . . have failed to achieve voluntary compliance with Title VII of the Civil Rights Act of 1964, as amended. The Respondent Company has declined the invitation to resolve the issues in your case.
In accordance with Section 706(f)(1) of the Act, you have the right to file suit in Federal District Courts. Should you decide to exercise such right it must be done in writing. Please direct any communications to the Director, New Orleans District Office, EEOC.
Thank you for your cooperation and feel free to call me if you have any questions.
On May 6, 1975, the EEOC sent Ms. Williams another letter captioned "Conciliation Failure Notice of Right to Sue" that provided in pertinent part:
The Commission has determined that it will not bring a civil action against the respondent(s) and accordingly is issuing you this Notice of Right to Sue. The issuance of this Notice terminates the Commission's processing of your charge, except that the Commission may seek status as intervenor if you decide to sue on your own behalf as described below.
If you want to pursue your charge further, you have the right to sue the respondent named in this case in the United States District Court for the area where you live. IF YOU DECIDE TO SUE, YOU MUST DO SO WITHIN NINETY (90) DAYS FROM THE RECEIPT OF THIS NOTICE; OTHERWISE YOUR RIGHT IS LOST.
Ms. Williams filed her suit on July 31, 1975, 132 days after the March 25 letter but within 90 days of the May 6 letter. Plaintiff appended to her Title VII action a claim under 42 U.S.C. § 1981 alleging racial discrimination in employment. This claim сame approximately 18 months after her discharge.
The trial court dismissed plaintiff's suit. It held that the EEOC's March 25 letter began the 90-day prescriptive period and that Ms. Williams' failure to bring suit within 90 days of that letter barred her Title VII claim. The trial court dismissed the section 1981 suit on the grounds that Louisiana requires suits for back pay to be brought within one year, with the result that plaintiff's suit was clearly filed too late.
A. The Title VII claim. The CLE Corporation argues, and the district court apparently agreed, that the March 25 letter gave sufficient notice of the EEOC's failure to conciliate her claim and its decision not to sue to start the running of the 90-day period. CLE asserts that the March 25 letter's statement that "in accordance with Section 706(f)(1) of the Act, you have the right to sue in Federal District Courts (sic)" provides sufficient notice. We disagree.
To begin the 90-day limitation period, the complainant must receive notice that the EEOC has completed its administrative efforts. See Zambuto, supra at 1335. The March 25 letter only related that conciliation efforts had failed; it did not inform her that the EEOC had deсided not to sue. Perhaps she could have inferred this from the EEOC's reminder of her right to sue, but the reminder was ambiguous. She could easily have read it as saying that the EEOC still contemplated suit, but she might choose to institute her own action. It is true that, unlike Zambuto, the March 25 letter does not affirmatively mislead Ms. Williams as to when she may file suit, but neither does it convey sufficient notice of the termination of the administrative process.2 The 90-day period did not begin running from the date of Ms. Williams' receipt of the March 25 letter; only the May 6 letter provided adequаte notice.
Even were we to conclude that the March 25 letter served as adequate notice, we could not ignore the misleading effect of the May 6 letter. In the May 6 letter the EEOC explicitly informed Ms. Williams that she had 90 days from the date of that letter to file suit. This action was no less "patently misleading," perhaps more so,3 than the letters in Zambuto. Ms. Williams was entitled to rely on this seemingly authoritative statement by the agency presumed to know the most about these matters. The same equitable considerations that led us to allow Mrs. Zambuto to pursue her action convince us that we should permit Ms. Williams to continue her action. See Zambuto, supra at 1336; Reeb v. Economic Opportunity Atlanta, Inc.,
B. The section 1981 claim. The district court dismissed Ms. Williams' claim under 42 U.S.C. § 1981 because it was not brought within one year of the alleged act of discrimination. It ruled that the Louisiana statute proscribing actions for back pay after one year applied to section 1981 actions seeking back pay, so that Ms. Williams' section 1981 suit was untimely.4 Because section 1981 states no limitations period, we must rely on applicable state statutes of limitation. See 42 U.S.C. § 1988; Guerra v. Manchester Terminal Corp.,
In Sims v. Orleans Railway & Light Co.,
Ms. Williams argues that under Louisiana law we must look to her pleadings: that the character she gives them and the form of her action determine the nature of her claim. See Federal Ins. Co. v. Ins. Co. of North America,
Ms. Williams also claims that the relief she seeks in her pleadings should control the characterization of her action. Because she seeks equitable relief only, she argues that her claim is a personal actiоn not enumerated in previous prescriptive provisions qualifying for treatment under Louisiana Civil Code art. 3544 and its ten-year prescriptive period. Louisiana does provide special prescriptive periods for actions seeking certain forms of relief. For example, actions seeking back wages proscribe in one year. La. Civ. Code art. 3534. Nevertheless, Louisiana lays down no special prescriptive period for any action seeking equitable relief, and a prayer for injunctive relief does not automatically invoke the ten-year period of art. 3544. The relief sought may help characterize the cause of action expressed in the plaintiff's pleadings, see e.g., Importsales, Inc. v. Lindeman,
At oral argument Ms. Williams' counsel suggested another prescriptive period that might prove applicable in this case. He argued that if we agree with the trial court that Ms. Williams' suit was essentially an attempt to seek monetary relief in the form of back salary, see n.7 supra, the Louisiana Civil Code art. 35388 providing a three-year prescriptive period for clerks' salaries supplies the appropriate prescriptive period. Assuming for purposes of argument that Ms. Williаms qualifies as a "clerk" under the statute, we nevertheless conclude that the three-year statute does not apply.
Ms. Williams' claim for back pay is one for compensatory damages arising from the employer's violation of his duty to her under section 1981. See Johnson v. Railway Express Agency,
In summary, we hold that the district court erred in dismissing Ms. Williams' Title VII action but that Ms. Williams' action under 42 U.S.C. § 1981 proscribed under Code art. 3536 when it was not brought within one year of the offense.
II. U.S. Industries, Inc. v. Page
Page, a black employee at the Wyatt Division of U.S. Industries in Houston, filed with the EEOC in 1969 a charge alleging discrimination in paying him less than similarly situated white employees. On April 13, 1973, the EEOC issued its "reasonable cause" notice, and conciliation efforts were begun, culminating in the execution on February 11, 1974, of a conсiliation agreement which provided for affirmative action on the part of U.S. Industries but no specific relief for Page. He was notified of this outcome by a letter dated February 15, 1974, from the Houston office of EEOC, which read as follows:
On February 13, 1974, the Equal Employment Opportunity Commission's Houston District Office successfully conciliated the above referenced matter. However, no specific remedy was provided for you.
You may now request a "Notice of Right to Sue" from this office at any time. If you so request and the notice is issuеd, you will have ninety (90) days from its receipt to file suit in Federal District Court.
It is advisable that if you wish to pursue this matter, further that you have an attorney ready to proceed with the case prior to issuance of the "Notice of Right to Sue." If you do not have an attorney available and you wish to proceed further with your case then call our General Attorney, for assistance in securing one for you.
Thus advised that the attack had carried but that he was one of the casualties, Page did secure an attorney, who on May 8 requеsted the notice from EEOC; it was sent on May 21. Page's suit was filed in the district court on August 14, within 90 days of his receipt of the notice of right to sue but some six months after the February 15 letter.
Page's complaint charged violations of Title VII and of 42 U.S.C. § 1981 (1970). On motion of U.S. Industries, the district court initially dismissed Page's Title VII claim because of his failure to file his suit within 90 days after receipt of the February 15 letter and also dismissed his section 1981 claim as to any acts of discrimination alleged to have occurred more than two years before his suit was filed. Later, on motion for reconsideration, the district court reinstated both the section 1981 and Title VII claims the former because of its conclusion that Johnson v. Railway Express Agency,
A. The Title VII claim. Whatever validity the two-letter procedure might appear to possess when employed in the situation where the EEOC has unsuccessfully sought conciliation and is still in the process of determining whether to file its own suit, it is entirely inappropriate in the factual context presented by the case before us. The logical import of the February 15 letter could only be that the EEOC was satisfied with the outcome of the conciliation process and would not be filing suit against U.S. Industries, since one does not typically sue to remedy the outcome of an administrative proceeding he regards as successfully terminated. Thus, this letter should have informed Page both that the conciliation process had come to a close and that the EEOC did not intend to file suit as the statute has been read to require before the 90-day period begins to run. See Zambuto,
As in Zambuto, however, the initial letter receivеd by Page did not stop at informing him that his case had in effect been administratively closed; it went on to inform him, in terms more explicit than those of Zambuto's first letter, that the 90-day time period would not run until he requested and received a notice of right to sue. He was carefully advised to secure an attorney, or ask EEOC's assistance in securing one, before starting the clock running by requesting the notice. Unless he had carefully read Title VII with a prescience about forthcoming appellate decisions uncommon even among experienced civil rights lawyers, Page would certainly have been misled by the February 15 letter and would have assumed that no deadline impended until his lawyer had requested and received the notice. The affirmatively misleading character of the February 15 letter requires our application of the Zambuto rule and, as in that case, "we will not visit the effects of EEOC's erroneous practice on (Page) who was misled by terminating (his) right to judicial examination of (his) employer's conduct."
B. The section 1981 claim. In Johnson v. Railway Agency, Inc.,
In summary, in Williams v. CLE Corp., we affirm the district court's dismissal of the section 1981 claim but reverse its dismissal of her Title VII claim, and in U.S. Industries v. Page, we affirm the district court's retention of Mr. Page's Title VII claim but hold that the section 1981 claim is time barred. We also note, in closing, the extreme importance of EEOC's heeding our admonition in Zambuto and ceasing forthwith to deliver misleading or incomplete notices to claimants; April 11, 1977, has now long passed. IT IS SO ORDERED.
FAY, Circuit Judge, specially concurring:
Although joining in Judge Gee's excellent oрinion, I feel compelled to note this concurrence recognizes the binding effect of Zambuto v. American Telephone and Telegraph Co.,
Notes
In Zambuto we also stated that to be adequate as statutory notice of right-to-sue, the notice must not only state that conciliation efforts have failed but also that the EEOC has decided not to sue. In essence, the notice must indicate that the administrative process has terminated.
We reject Ms. Williams' proposition that an adequate statutory notice must include the information that the complainant has only 90 days within which to file suit. Although other courts have required such language, see Coles v. Penny,
In Zambuto the letter clearly informed the complainant that her case was administratively closed but assured her in the next paragraph that she could request a right-to-sue letter and have 90 days to sue upon its receipt. In this case the first letter, read in a manner most favorable to the defendant, only implied that the EEOC had completed its administrative еfforts. Whatever Ms. Williams thought after the first letter, the second letter like the next paragraph of the Zambuto letter assured her that she had 90 days in which to act
Although Ms. Williams argued that the filing of her Title VII claim tolled the statute of limitations on the section 1981 action, it is clear now that this is not the case. See Johnson v. Railway Express Agency,
42 U.S.C. § 1981 provides that:
All persons within the jurisdiction of the United States shall have the same right in every State and Territory to make and enforсe contracts to sue, be parties, give evidence, and to the full and equal benefit of all laws and proceedings for the security of persons and property as is enjoyed by white citizens, and shall be subject to like punishment, pains, penalties, taxes, licenses, and exactions of every kind, and to no other.
We recognize that dicta in Boudreaux v. Baton Rouge Marine Contracting Co.,
As part of her prayer for equitable relief, Ms. Williams asks that the court make her whole by providing back pay, social security and other benefits. Although we agree with the district court that this part of the prayer more closely resembles a prayer for damages, we will assume, for purposes of this argument, that it is a prayer for equitable relief
Art. 3538. The following actions are prescribed by three years:
That for the salaries of overseers, clerks, secretaries, and of teachers of the sciences who give lessons by the year or quarter.
La.Civ. Code art. 3538.
