James Finchum has filed a Partial Motion to Dismiss (Docket No. 12), to which Jane Doe has filed a Response (Docket No. 15). Matthew 25, Inc., ("Matthew 25") has filed a Motion to Dismiss (Docket No. 18), to which Doe has filed a Response (Docket No. 24), and Matthew 25 has filed a Reply (Docket No. 28). Finchum has filed a Motion to Stay (Docket No. 30), to which Doe has filed a Response (Docket No. 36), and Finchum has filed a Reply (Docket No. 39). For the reasons set out herein, the Motions to Dismiss will be granted in part and denied in part, and the Motion to Stay will be denied.
I. BACKGROUND
Matthew 25 is a Nashville-based nonprofit that receives federal funding to provide training and education services. (Docket No. 1 ¶¶ 5-6.) Doe is an African-American woman and was, at all times relevant to this case, employed by Matthew 25. (Id. ¶ 4.) Finchum was hired as Matthew 25's executive director on March 3, 2016, a position from which he voluntarily resigned on January 11, 2018. (Id. ¶¶ 9, 25.) Finchum, who was the highest ranking executive at Matthew 25, persistently made comments to Doe regarding her physical appearance, telling her that she reminded him of a black woman that he used to date and describing aspects of the sexual activities he had engaged in with that woman. (Id. ¶ 10.). Doe also describes Finchum "cornering [her] in his office with the door closed and physically touching her." (Id. ) Finchum would also frequently call Doe's cell phone when she was not at work and ask her if she was in the bathroom or was taking a bath. Doe objected to Finchum about his behavior, but he continued. Throughout this time period, Finchum displayed an explosive temper and routinely yelled at and berated Doe and other female employees. (Id. ¶¶ 10-11, 18.)
In June 2016, Doe asked a member of Matthew 25's board of directors, Karen Baggett, to lunch at a restaurant. While there, Doe told Baggett that she was afraid of Finchum and asked Baggett for help. Baggett responded by telling Doe
In December 2016, Finchum called Doe into his office, began massaging her shoulders, placed her hand on his groin, exposed his penis to her, and masturbated to the point of ejaculation. (Id. ¶¶ 10, 14.) In April 2017, Finchum pressed his genitals into Doe's body from behind "and hunched his private parts against her buttocks until the front of his pants were wet." (Id. ¶¶ 10, 15.) In October 2017, Doe told her coworkers that Finchum had been harassing her, after which her coworkers began making an effort to prevent Doe from being left alone with Finchum. (Id. ¶ 16.)
On December 29, 2017, Doe attempted
This letter [is] to inform you, Jim[,] to let you know that your inappropriate behavior toward me is unwanted and to inform all the Board Members:
I am being subjected to sexual comments and advances from Jim/CEO. The CEO has gone as far [as] to expose himself to me. These advances, comments and all sexual behaviors are unwelcomed.
I don't want any problems. I just want this to stop, so I can do my job.
(Id. ¶ 19.) Doe's complaint prompted Matthew 25 to hire an outside consulting group, HR Compass, to investigate Finchum. (Id. ¶ 20.) While the investigation was ongoing, Finchum remained in his capacity as the highest ranking executive at Matthew 25. In order to avoid having to work alongside Finchum, Doe used accrued leave time for part of the period of the investigation. (Id. ¶ 22.) On January 8, 2018, Doe was interviewed by an employee of HR Compass. Doe detailed Finchum's actions toward her, and the HR Compass employee suggested that Doe file a police report. The next day, Doe filed a complaint regarding Finchum with the Metropolitan Nashville Police Department ("MNPD"). (Id. ¶¶ 23-24.) Two days later, Finchum resigned. (Id. ¶ 25.)
Doe claims to have suffered severe emotional injuries based on Finchum's actions, for which she has incurred medical expenses. In her Complaint, she states that she "asked to report her severe emotional injuries as a work-related injury and her request was denied." (Id. ¶ 27.) Matthew 25, however, has filed a Declaration of Hal E. Sauer, the president of its board of directors, explaining as follows:
In February 2018, [Doe] asked me if her counseling expenses might be covered by workers compensation insurance. I did not know the answer, so I contacted Matthew 25's workers compensation insurance carrier on February 7, 2018. While I spoke with the insurance representative, he initiated a claim with the information that I was able to provide him over the phone, including [Doe's] contact information. I believed the insurer would contact [Doe] for additional information.... I informed [Doe] by email on February 8, 2018 that a workers compensation claim had been initiated on her behalf.... Since then, through her counsel, [Doe] has been provided with the claim number, the claim, and contact information for Matthew 25's workers compensation insurer.
(Docket No. 21 ¶¶ 4-6.) Doe has since provided a letter, dated June 21, 2018, from Matthew 25's workers' compensation carrier, Eastern Alliance Insurance Group, denying workers compensation coverage for
On March 20, 2018, Doe filed her Complaint in this case. She pleads five counts: Count I is for common law assault and battery; Count II is for sexual harassment under the Tennessee Human Rights Act ("THRA"); Count III is for retaliation under the THRA; Count IV is for sex discrimination in a federally funded education program or activity, in violation of Title IX,
On April 27, 2018, Finchum filed a Partial Motion to Dismiss directed at Counts I and V. (Docket No. 12.) On May 21, 2018, Matthew 25 filed a Partial Motion to Dismiss, or, in the Alternative, for Summary Judgment, directed at Counts I, III, and V. (Docket No. 18) On June 26, 2018, Finchum filed a Motion to Stay (Docket No. 30), asking the court to stay all matters in this case, as related to him, in light of Doe's having filed a criminal complaint against him and the possibility that there is an ongoing criminal investigation regarding his alleged wrongdoing.
II. LEGAL STANDARD
A. Motion to Stay
A district court "has broad discretion to stay proceedings as an incident to its power to control its own docket." Clinton v. Jones ,
1) the extent to which the issues in the criminal case overlap with those presented in the civil case; 2) the status of the case, including whether the defendants have been indicted; 3) the private interests of the plaintiffs in proceeding expeditiously weighed against the prejudice to plaintiffs caused by the delay; 4) the private interests of and burden on the defendants; 5) the interests of the courts; and 6) the public interest.
B. Motions to Dismiss
In deciding a motion to dismiss for failure to state a claim under Rule 12(b)(6), the court will "construe the complaint in the light most favorable to the plaintiff, accept its allegations as true, and draw all reasonable inferences in favor of the plaintiff." Directv, Inc. v. Treesh ,
The complaint's allegations, however, "must be enough to raise a right to relief above the speculative level." Bell Atl. Corp. v. Twombly ,
III. ANALYSIS
A. Motion to Stay in Light of Potential Criminal Proceedings
The simultaneous litigation of criminal charges and civil causes of action against the same person, for the same conduct, "may give rise to Fifth Amendment concerns sufficient to warrant a stay of the civil proceedings." State Farm Life Ins. Co. v. Lindsey , No. 2:14-CV-1902,
The second of the four factors that courts typically consider when evaluating a motion such as Finchum's-the status of the criminal case, see E.M.A. Nationwide ,
Based on the information currently before the court, Doe's interest in the timely consideration of her claims and the general public's interest in the expeditious administration of justice outweigh any speculative burdens on Finchum. See E.M.A. Nationwide,
B. Motions to Dismiss
1. Count I
Finchum argues that the court should dismiss Count I, for assault and battery, with regard to all actions prior to March 20, 2017, one year prior to the filing of the Complaint, as untimely. Doe concedes that common law assault claims based on any acts prior to March 2017 would be untimely and, therefore, the only specific incident in her Complaint pursuant to which she has raised a timely claim of assault is Finchum's alleged April 2017 unwanted pressing his genitals into her from behind until his pants became wet. (Docket No. 15 at 3.) Count I, therefore, will be dismissed, insofar as it purports to state a claim based on Finchum's actions prior to March 2017, including the December 2016 incident in Finchum's office.
Matthew 25 argues that Count I should be dismissed against it in its entirety, because Doe's sole avenue for relief against her employer under Tennessee law is through the state's workers' compensation statutes. Tennessee's workers compensation statute provides that "the rights and remedies granted to an employee subject to this chapter, on account of personal injury or death by accident ... shall exclude all other rights and remedies of the employee, the employee's representative, dependents or next of kin, at common law or otherwise, on account of the injury or death."
Tennessee courts have "created an exception to the exclusivity provision for intentional torts committed by an employer against an employee."
The exception for intentional injury, however, is not the only potential obstacle facing a defendant seeking to rely on the exclusive remedy provision to shield itself from liability for a work-related assault. As an initial matter, "[i]f an injury to an employee does not fall within the parameters of the [workers' compensation]
(1) assaults with an "inherent connection" to employment such as disputes over performance, pay or termination; (2) assaults stemming from "inherently private" disputes imported into the employment setting from the claimant's domestic or private life and not exacerbated by the employment; and (3) assaults resulting from a "neutral force" such as random assaults on employees by individuals outside the employment relationship.
Assaults with an "inherent connection" to employment are compensable. Assaults stemming from "inherently private" disputes imported into the employment setting from the claimant's domestic or private life and not exacerbated by the employment are not compensable. Assaults resulting from a "neutral force" such as random assaults may or may not be compensable depending on the facts and circumstances of the employment.
Woods v. Harry B. Woods Plumbing Co. ,
Applying the same principles, the Tennessee Supreme Court has held that, generally speaking, emotional injuries arising out of supervisor sexual harassment are not covered by workers' compensation law because those injuries "d[o] not arise out of [the injured employee's] employment," but rather "resulted from conduct that was purely personal between the plaintiff and her supervisor." Anderson v. Save-A-Lot, Ltd. ,
"Since tort claims arising out of sexual harassment are not covered by the [Tennessee Workers' Compensation Act]," an injured employee's claims "are not covered by the exclusive-remedy provision." Sims v. Meridian Sr. Living, LLC , No. 2:12-CV-02898-JPM,
Matthew 25 seeks to overcome the case law that Doe has identified by relying on Williams v. Smith ,
Doe has provided limited detail regarding the precise context of the alleged April 2017 assault. Based on the information provided, however, and construing the allegations in the light most favorable to Doe, she has alleged an assault that would fall outside the bounds of Tennessee workers' compensation law and, therefore, could permissibly give rise to a tort claim without running afoul of the exclusive remedy bar. Matthew 25's suggestion that the court, in the alternative, consider its motion under Rule 56 does nothing to change that analysis. The additional evidence that Matthew 25 has provided establishes that Doe did, in fact, have the opportunity to attempt to avail herself of the workers' compensation process. However, the determinative issue, under the exclusive remedy provision, is not whether she had the opportunity to seek workers' compensation but whether her injury, as a legal matter, is of the type reached by workers' compensation law. As alleged, it appears that it likely is not-and, indeed, Matthew 25's workers' compensation carrier appears to agree. The court, accordingly, will not dismiss the assault claim against Matthew 25 based on the April 2017 incident on that ground.
2. Count III
Matthew 25 argues that the court should dismiss Count III, for retaliation under the THRA, because Doe has not alleged retaliatory behavior on which such
Doe identifies four alleged adverse actions that, she argues, are sufficient to support her retaliation claim: (1) she "has been ostracized" within Matthew 25; (2) "her job duties [were] reduced, including her role in implementing a federal grant through the U.S. Veterans Administration"; (3) she "utilized her accrued paid time off during part of the investigation period so that she would not have to work next to Finchum at the office"; and (4) "[a]s a result of the severe emotional distress she has endured from the unsafe work environment she experienced, [she] has taken an extended sick leave from her employment." (Docket No. 1 ¶¶ 22, 30-31.). The third and fourth examples-Doe's use of paid leave to avoid Finchum and her use of sick time due to her injuries-are not sufficient to form the basis of a retaliation claim, because neither is an action taken by her employer. The fact that Doe would feel the need to use accrued leave just to avoid Finchum and the fact that her psychological injuries ultimately required her to take sick leave are both unfortunate, but neither reflects an action by Matthew 25. Doe's use of sick leave was a consequence of the initial alleged harassment against her, not an instance of retaliation. Matthew 25's decision not to give Doe additional leave time to use during the investigation is simply the continuation of the status quo that would have prevailed if Doe had never engaged in a protected activity. After all, if she had not reported Finchum, Matthew 25 would not have given her extra leave time either. What remains, then, is whether Doe's being ostracized and having her duties reduced are a sufficient basis for her retaliation claim.
A materially adverse action, in the retaliation context, is one that is sufficiently severe that "it well might have 'dissuaded a reasonable worker from making or supporting a charge of discrimination." Burlington N. & Santa Fe Ry. Co. v. White ,
3. Count V
Finally, Finchum and Matthew 25 argue that the court should dismiss Doe's § 1981 claim on the ground that what she has described is sexual harassment, and § 1981 applies only to discrimination on the basis of race, not sex. See Runyon v. McCrary ,
First enacted as § 1 of the Civil Rights Act of 1866, see Runyon ,
A plaintiff may establish a violation of Title VII by proving that racially based harassment in the workplace created a hostile or abusive working environment. See Meritor Savings Bank v. Vinson ,
Doe has alleged that Finchum singled her out for unwanted sexual attention because she was African-American, which he confirmed by discussing his attention to her by comparing her to a prior African-American sexual partner. Matthew 25 does not, at this stage, dispute that the resulting harassment was sufficiently severe and pervasive as to affect a term, condition, or privilege of employment, nor does Matthew 25 dispute any other factor in the prima facie case for harassment under Title VII. Matthew 25 argues only that Doe cannot proceed under § 1981, because Finchum's harassment was sexual in nature and § 1981 does not prohibit discrimination on the basis of sex.
Matthew 25's argument assumes that, because § 1981 does not outlaw sexual harassment in and of itself, then Finchum's sexual harassment must have been permissible under the statute. Matthew 25's conclusion, though, does not follow from its premise. Section 1981 prohibits racial discrimination in contracts, including sufficiently severe workplace racial harassment; it does not matter whether the means of discrimination and harassment are, in and of themselves, independently prohibited. For example, § 1981 does not prohibit using e-mail, but it prohibits using e-mail to engage in harassment on the basis of race. It does not prohibit one-on-one meetings, but it prohibits using one-on-one meetings as an opportunity to engage in harassment on the basis of race. And, although § 1981 admittedly does not prohibit unwanted sexual comments or contact, Matthew 25 has identified no reason to doubt that the law prohibits using unwanted sexual comments or contact to engage in harassment-and, therefore, discrimination-on the basis of race.
IV. CONCLUSION
For the foregoing reasons, Finchum's Partial Motion to Dismiss (Docket No. 12) and Matthew 25's Motion to Dismiss (Docket No. 18) will be granted in part and denied in part. Any claims for assault based on actions that occurred prior to March 20, 2017, will be dismissed. Finchum's Motion to Stay (Docket No. 30) will be denied without prejudice to refiling in light of future developments in any criminal investigation of or proceeding against Finchum.
An appropriate order will enter.
Notes
The facts in this Memorandum, except where otherwise indicated, are taken from Doe's Complaint and are taken as true for the purposes of the Motions to Dismiss.
The e-mail address she used for Finchum was actually that of another James Finchum-the offending James Finchum's son. Members of the board of directors, however, apparently received the e-mail without any such complications. (Docket No. 1 ¶ 19 n.3.)
Matthew 25 likens this case to Padilla Cintron v. Rossello Gonzalez ,
