Cynthia Grantham Wright v. Peter J. Cayan, Individually and as President of the State University of New York College of TechnologyCynthia Grantham Wright v. Peter J. Cayan, Individually and as President of the State University of New York College of Technology
Lead Opinion
Plaintiff-appellant Cynthia Grantham Wright appeals from a grant of summary judgment,
I.
Wright was hired by William R. Kunsela, then president of the State University of New York College at Utica/Rome.
I am pleased to confirm your permanent appointment as the President’s Secretary____
3. The occupant of the position serves at the pleasure of the supervisor for the first two (2) years.
4. Under the Classified Rules of Civil Service, the occupant of the position serves a probationary period of between eight (8) and twenty-six (26) weeks —
On November 9, 1973, Kopecek wrote a letter to Wright which stated:
I am pleased to inform you that your probationary period has been satisfactorily completed, and that your permanent appointment as President’s Secretary, SG-15, at the University College at Utica/Rome is now confirmed.
Wright worked harmoniously with Kunsela for his entire tenure at the college.
In July 1982, Kunsela retired and was replaced as president by the defendant, Peter J. Cayan. Wright continued in her position as secretary to the president. While the working relationship between the two was initially cordial, it soon began to deteriorate, allegedly caused by Wright’s rebuff of Cayan’s sexual advances.
Wright continued as secretary to Cayan for two years. In July 1984, she received written notice from Cayan that she was to be dismissed effective October 19, 1984. Upon inquiry, the sole reason given by Cayan for dismissal was “incompatibility.”
Wright brought this suit, claiming that her property right in continued employment had been deprived without due process because no notice of or cause for her dismissal was given and no hearing was held. The property right was based upon the letter of August 14, 1973. She contended that paragraph three, the sentence stating that she would serve at the pleasure of her supervisor for two years, implies that after that time she could be dismissed only for cause and after notice and a hearing. Cross-motions for summary judgment were filed, which Judge Neal P. McCum, Northern District of New York, denied because, in his view, the language of the letter was reasonably susceptible of the plaintiff’s interpretation. He held that the case should proceed to trial. The deposi
The case was reassigned to Judge McAvoy, and defendant resubmitted a motion for summary judgment. Judge McAvoy granted the motion because, in his view, the evidence produced by Wright was insufficient to support her claim of a right to continued employment.
II.
The fourteenth amendment guarantees that no person may be deprived of property without due process of law. Property interests protected by that amendment in turn are created and defined “by existing rules or understandings that stem from an independent source such as state law.” Board of Regents v. Roth,
Generally under New York law, unless the duration of an employment contract is set forth explicitly, the employment is at will and can be terminated by either party at any time. Quinn v. Syracuse Model Neighborhood Corp.,
Both the August 14, 1973 and November 9, 1973 letters stated that Wright had been accorded a “permanent appointment;” we agree with the district court that this falls well short of an express limitation upon the right to terminate. Nor is paragraph three of the earlier letter (which provided that plaintiff would serve “at the pleasure of the supervisor” for the first two years) on its face such a limitation.
It could be argued that Weiner altered the New York rule that some sort of express limitation must exist, when it noted that in deciding whether the presumption of at will employment is overcome:
the trier of the facts will have to consider the “course of conduct” of the parties, “including their writings” ... and their antecedent negotiations. Moreover, ... it is not [the employer’s] subjective intent, nor “any single act, phrase or other expression”, but “the totality of all of these, given the attendant circumstances, the situation of the parties, and the objectives they were striving to attain”, which will control.
However, in the more recent case Murphy v. American Home Products Corp.,
[A]bsent a constitutionally impermissible purpose, a statutory proscription, or an express limitation in the individual contract of employment, an employer’s right at any time to terminate an employment at will remains unimpaired.
Of course, if there were an express limitation on the employer’s right of discharge it would be given effect even though the employment contract was of indefinite duration. Thus, in Weiner v. McGraw-Hill, Inc.,57 N.Y.2d 458 ,457 N.Y.S.2d 193 ,443 N.E.2d 441 [(1982)], cited by plaintiff, we recently held that,on an appropriate evidentiary showing, a limitation on the employer’s right to terminate an employment of indefinite duration might be imported from an express provision therefor found in the employer’s handbook on personnel policies and procedure. Plaintiff’s attempts on this appeal to bring himself within the beneficial scope of that holding must fail, however. There is here no evidence of any such express limitation. Although general references are to be found in his brief in our court to an employer’s “manual”, no citation is furnished to any provision therein pertinent to the employer’s right to terminate his employment____
The plaintiff in Weiner had significantly more evidence than that discussed in Murphy. In Weiner, plaintiff showed McGrawHill’s express promise not to discharge him without cause (which promise was incorporated into Weiner’s employment application), Weiner’s reliance on the promise in rejecting alternative offers of employment, an employee manual precluding discharge without just cause, and McGraw-Hill’s past practice of adhering to the procedures in the manual.
New York courts have required an express limitation in the wake of Weiner and Murphy. See, e.g., O’Connor v. Eastman Kodak Co.,
One New York case, however, Tiranno v. Sears, Roebuck & Co.,
You are * * * assured of steady employment as long as you are performing well. We expect from each employee his untiring effort toward the fulfillment of our business objectives.
Id. at 952,
The authority of Tiranno v. Sears, Roebuck & Co. is rather shaky, to say the least, in light of the same court’s subsequent decision in Collins v. Hoselton Datsun, Inc. The provision invoked in Tiranno, furthermore, at least dealt directly with the subject of termination, unlike the letters involved here. In sum, we doubt that Tirrano, a ruling by an intermediate appellate court from which that court appears to have retreated substantially in Collins, is a significant gloss upon the requirement of an express limitation established by the Court of Appeals in Murphy, even if it is, it does not extend far enough to vest this plaintiff with a viable claim under New York law.
Under Weiner, finally, the parties' intentions and conduct are paramount. Wright has testified in deposition that at the time she accepted employment, she expected to have protected employment after two years because Kunsela told her that she could be dismissed at his pleasure in the first two years of employment. Deposition of Wright, dated November 6, 1985, at 23-24. The phrase “at the pleasure of the supervisor for the first two years,” which was included in her letter of appointment dated August 14, 1973 and presaged in her earlier interview by Kunsela, constitutes virtually Wright’s entire case that a limitation should be implied.
III.
In conclusion, Wright’s evidentiary showing is not adequate to establish a restriction on her employer’s right to terminate her employment at will under New York law. Specifically, there was no genuine issue as to any material fact and the defendant was entitled to judgment as a matter of law within the meaning of
Notes
. The name of the college was subsequently changed to the State University of New York College of Technology.
. Because of the importance of this letter in this case, we set it out in full here:
Dear Mrs. Wright:
I am pleased to confirm your permanent appointment as the President's Secretary, SG-15, with the State University College at Utica/Rome effective April 16, 1973. Your annual salary for this position will be $10,089, subject to such changes as may be required by law.
As you know, this position has the following characteristics and specific conditions of employment;
1. It is a classified position, but it is not subject to competitive Civil Service examination.
2. It is in the Management/Confidential category and, therefore, cannot be occupied by an individual who belongs to the Civil Service Employee’s Association. This means further that the individual so employed may not participate in any of the specialized benefits extended to a CSEA member such as the purchase of Group Life Insurance.
3. The occupant of the position serves at the pleasure of the supervisor for the first two (2) years.
4. Under the Classified Rules of Civil Service, the occupant of the position serves a probationary period of between eight (8) and twenty-six (26) weeks.
If you wish to accept this appointment, please sign and date the endorsement on the enclosed copy of this letter and return that copy to my office.
We trust you will find working for the College to be an interesting and rewarding experience.
If you have any questions, please see me.
Sincerely,
Robert J. Kopecek
Vice President, Administration
. Judge McAvoy was presented with and rejected, on the basis that discovery had since been completed and the case was ready for trial, the argument that Judge McCurn’s earlier denial of summary judgment was the “law of the case,” precluding Judge McAvoy’s consideration of the issue. Judge McCurn specifically held in the earlier ruling, however, that plaintiff had shown a genuine disputed issue of material fact, and stated that "we will proceed to trial in the case.” On these facts, his denial of summary judgment was the law of the case. See Middle Atlantic Utilities Co. v. S.M.W. Development Corp.,
. Judge McAvoy’s opinion dealt only with the "permanent appointment” language, and omitted any consideration of the statement that Wright would serve "at the pleasure of the supervisor” for two years. Wright contends that the latter language necessarily implies that after two years, she assumed a new status which precluded dismissal without stated cause and a hearing. Although, for the reasons hereinafter stated, we do not agree, this is clearly her stronger argument, especially since the announcement of a "permanent appointment” in the letter dated August 14, 1973 was coupled with statements that Wright would serve “at the pleasure of the supervisor for the first two (2) years” and would also serve “a probationary period of between eight (8) and twenty-six (26) weeks,” and the identical announcement in the November 9, 1973 letter, although coupled with the advice that Wright's probationary period had been successfully completed, obviously occurred in the continuing context of service “at the pleasure of the supervisor.”
. There would appear to be no reliance here. The letter of August 14, 1973 was sent to Wright approximately four months after she began working at the college, and she accordingly could not have relied upon it when accepting the position. See Rizzo,
. See supra note 5, with respect to the insubstantial assistance provided to Wright's case by the use of the phrase "permanent appointment” in the letters dated August 14, 1973 and November 9, 1973.
Dissenting Opinion
(dissenting):
Although my brothers never fully describe their view of what is an express limitation, apparently they believe that, for a restriction to be express, it must be explicit, definitive and unambiguous. Hence, on the theory that “serves at the pleasure of the supervisor for the first two years” is susceptible of more than one meaning, the majority concludes that the restriction on which the plaintiff relies is not express.
In my opinion, the decision in Murphy cannot bear the majority’s interpretation. There, the plaintiff sued for breach of contract alleging that his discharge after twenty-three years was an act of bad faith. Completely lacking any evidence that the defendant had in fact agreed to restrict its right to terminate his employment, the plaintiff urged the court to impose a limitation as a matter of law, on the theory that in all contracts the law implies an obligation on the part of the parties to act fairly and in good faith.
The Court of Appeals dismissed the complaint. Recognizing that in certain circumstances an obligation of good faith may be implied, the court refused to supply such a covenant because it would be inconsistent with other terms of the parties’ agreement. Since the contract specified an at will employment, and the law affords an employer in that relationship an unfettered right of discharge, the court reasoned, it would be incongruous to infer that the employer impliedly agreed to a provision which would be destructive of his right to terminate. Although the parties may by express agreement limit the employer’s right of discharge, the court concluded, where there is no evidence of any express restriction the court will not imply one.
The salient distinction in the Murphy case, therefore, is between a restriction on an employer’s discharge right that the parties actually bargained for and agreed to, e.g., Weiner v. McGraw-Hill, Inc.,
Thus, where a plaintiff points to contractual language addressing the subject of the employer’s right of discharge, it seems to me, then he or she has satisfied the express limitation requirement. See Weiner,
Applying this rule to the present case, I am convinced that Ms. Wright has demonstrated an express limitation on the university’s right to discharge her. Without doubt, the August 14 letter from Robert Kopecek was part of the written employment contract. Indeed, that letter explicitly provided that “this position has the following characteristics and specific conditions of employment.” Equally plainly, the statement that she would serve “at the pleasure of the supervisor for the first two years” addresses the subject of the university’s right of termination.
Of course, as in any action based on an express agreement, to survive a motion for summary judgment, not only must the plaintiff point to some contractual language pertinent to the alleged breach, but that language must also be sensibly susceptible of the interpretation urged by the plaintiff. See Tiranno v. Sears Roebuck & Co.,
Here, neither the university anywhere in its presentation nor my colleagues in their majority opinion proffer even a plausible suggestion of what “serves at the pleasure of the supervisor for the first two years” meant if it did not mean that, after the expiration of two years, Ms. Wright would no longer be subject to termination at the mere whim of her supervisor. I am not prepared to rule, therefore, that no reasonable fact-finder could attribute to the contract the same meaning as the plaintiff does.
Accordingly, I would reverse the district court’s order granting summary judgment to the university and remand for a trial and a jury determination as to whether the language relied on by Ms. Wright means what she says it does.