ANNE FUCHILLA, RESPONDENT, v. WILLIAM A. LAYMAN, M.D.; UNIVERSITY OF MEDICINE AND DENTISTRY OF NEW JERSEY AND THE BOARD OF TRUSTEES OF THE UNIVERSITY OF MEDICINE AND DENTISTRY OF NEW JERSEY, APPELLANTS.
Supreme Court of New Jersey
Argued March 30, 1987—Decided February 8, 1988.
Maureen S. Binetti argued the cause for respondent (Wilentz, Goldman, & Spitzer, attorneys; James M. Burns, of counsel and on the brief).
The opinion of the Court was delivered by
POLLOCK, Justice.
This appeal concerns the applicability of the notice provisions of the Tort Claims Act (the Act),
We hold that UMDNJ is a “person” within the meaning of section 1983 and, therefore, may be liable for Civil Rights violations under that statute. We hold further that sexual harassment does not constitute an “injury” within the meaning of the Act. Consistent with that conclusion, the notice provisions of the Act,
-I-
This matter is presented on UMDNJ‘s motion for summary judgment. Consequently, we assume that the facts as alleged by Fuchilla are true, and give her the benefit of all inferences that may be drawn in her favor. R. 4:46-2; Pierce v. Ortho Pharmaceutical Corp., 84 N.J. 58, 65 (1980). Because the matter is presented on review of an order for summary judgment, our decision does not reflect any view of the appropriate disposition at trial.
Fuchilla was employed as a secretary at UMDNJ from January 1965 until June 1983, when UMDNJ terminated her employment. For most of the period of her employment, she was assigned to Dr. William A. Layman, but in July 1982, she began working for Dr. Darwin Prockop. While they were working together, Fuchilla and Dr. Layman engaged in an intimate relationship, which lasted until 1981. Between that date and the date of her transfer to Dr. Prockop, Fuchilla alleges that “Layman sexually harassed and intimidated plaintiff in the performance of her job functions and responsibilities, and retaliated against her for having terminated their intimate relations.” She contends that the alleged acts of discrimination
On September 3, 1982, while still employed by UMDNJ, Fuchilla instituted this action against UMDNJ, its trustees, and Dr. Layman. Insofar as UMDNJ is concerned, Fuchilla alleges that “[d]efendant UMDNJ has supported Layman in his continual sexual harassment actions and has failed to take any action or remedy to stop the discriminatory acts of defendant Layman.” She claims that in November 1982 Dr. Prockop asked her to resign and that in June 1983 UMDNJ fired her. Fuchilla settled her claim against Dr. Layman for $25,000, and on August 4, 1983, she filed a notice of claim with UMDNJ. She filed the notice, however, beyond the ninety-day period permitted by the Act,
During the pendency of this action, Fuchilla instituted a suit in the United States District Court for the District of New Jersey against Dr. Prockop and UMDNJ, Fuchilla v. Prockop, No. 85-0693 (D.N.J. Oct. 13, 1987). That court granted summary judgment dismissing the complete complaint against Prockop and granting partial summary judgment on Fuchilla‘s claims against UMDNJ based on substantive due process and equal protection, but not on her claims based on her free speech and liberty rights under the fourteenth amendment to the United States Constitution. The effect of that judgment on this action is not before us.
-II-
To be liable under
In the federal courts, a section 1983 action is subject to constraints not present in state courts. For example, the eleventh amendment limits the jurisdiction of federal, but not state, courts. Maine v. Thiboutot, 448 U.S. 1, 9 n. 7, 100 S.Ct. 2502, 2507 n. 7, 65 L.Ed.2d 555, 562 n. 7 (1980). One effect of the eleventh amendment is to subject a state in a federal court to prospective injunctive relief, but not to a claim for damages. Edelman v. Jordan, 415 U.S. 651, 94 S.Ct. 1347, 39 L.Ed.2d 662 (1974); Ex Parte Young, 209 U.S. 123, 28 S.Ct. 441, 52 L.Ed. 714 (1908). Because the present matter is pending in a state court, we are not concerned with eleventh amendment immunity as a defense or with the direct effect of that amend
In determining whether an entity is an “alter ego” of the state for eleventh amendment purposes, the Third Circuit has adopted the following criteria:
[L]ocal law and decisions defining the status and nature of the agency involved in its relation to the sovereign are factors to be considered, but only one of a number that are of significance. Among the other factors, no one of which is conclusive, perhaps the most important is whether, in the event plaintiff prevails, the payment of the judgment will have to be made out of the state treasury; significant here also is whether the agency has the funds or the power to satisfy the judgment. Other relevant factors are whether the agency is performing a governmental or proprietary function; whether it has been separately incorporated; the degree of autonomy over its operations; whether it has the power to sue and be sued and to enter into contracts; whether its property is immune from state taxation, and whether the sovereign has immunized itself from responsibility for the agency‘s operations.
[Urbano v. Board of Managers of N.J. State Prison, 415 F.2d 247, 250-51 (3d Cir.1969), cert. denied, 397 U.S. 948, 90 S.Ct. 967, 25 L.Ed.2d 129 (1970) (quoting Krisel v. Duran, 258 F.Supp. 845, 849 (S.D.N.Y.1966), aff‘d per curiam, 386 F.2d 179 (2d Cir.1967), cert. denied, 390 U.S. 1042, 88 S.Ct. 1635, 20 L.Ed.2d 303 (1968) (footnotes omitted)).]
See Blake v. Kline, 612 F.2d 718, 722-26 (1979). Some federal courts have followed Urbano. E.g., Hall v. Medical College of Ohio at Toledo, 742 F.2d 299, 302-07 (6th Cir.1984); Bowen v. Hackett, 387 F.Supp. 1212, 1220 (D.R.I.1975). Other federal courts have cited Urbano with approval. E.g., Morrison-Knudsen Co. v. Massachusetts Bay Transp., 573 F.Supp. 698, 703 (D.Idaho 1983); Martin v. Choudhuri, 563 F.Supp. 207, 210 n. 2 (W.D.Wis.1983); Henry v. Texas Tech Univ., 466
Stated separately, the nine Urbano factors, as they are known, are: (1) local law and decisions; (2) whether, in the event plaintiff prevails, the judgment will have to be paid out of the state treasury; (3) whether the entity has the funds or the power to satisfy the judgment; (4) whether the entity performs a proprietary or a governmental function; (5) whether the entity has been separately incorporated; (6) the entity‘s degree of autonomy over its operations; (7) whether it has the power to sue and be sued and to enter into contracts; (8) whether the entity‘s property is immune from state taxation; and (9) whether the sovereign has immunized itself from responsibility for the entity‘s operations.
Turning to the application of the factors to UMDNJ, the Third Circuit has concluded that a section 1983 action may be maintained against UMDNJ. Mauriello v. University of Medicine & Dentistry, 781 F.2d 46 (3d Cir.), cert. denied, --- U.S. ---, 107 S.Ct. 80, 93 L.Ed.2d 35 (1986). Nonetheless, the Attorney General directs our attention to English v. College of Medicine and Dentistry of N.J., 73 N.J. 20 (1977), to support his argument that UMDNJ is the alter ego of the State. English, however, was concerned not with eleventh amendment immunity, but with UMDNJ‘s right to discharge the supervisor of the morgue. Similarly, none of the other reported decisions involving the then College of Medicine and Dentistry, the predecessor of UMDNJ, involved the immunity of the College under the eleventh amendment. College of Medicine and Dentistry of N.J. v. Morrison, 141 N.J.Super. 104 (App.Div.1976) (director of nursing is an employee-at-will subject to termination by College); Rich v. State, 171 N.J.Super. 91, 93 (Law Div.1979) (under predecessor statute, College is a state agency without power to sue and be sued, and suit for negligent scalding of patient was brought against State); De Angelis v. Addonizio, 103 N.J.Super. 238 (Law Div.1968) (UMDNJ employees not
The most important consideration, represented by the second and third Urbano factors, is whether payment of any judgment against UMDNJ would be made from its funds or those of the State Treasury. Blake v. Kline, supra, 612 F.2d at 723; see also Ford Motor Co. v. Department of Treasury of Indiana, 323 U.S. 459, 464, 65 S.Ct. 347, 350, 89 L.Ed. 389, 394 (1945) (“when the action is in essence one for the recovery of money from the state, the state * * * is entitled to invoke its sovereign immunity from suit“). According to the 1985-86 appropriations handbook, the total appropriation for UMDNJ was $95,278,000, and the Attorney General informs us that according to the appropriations bill for that fiscal year, the appropriation constituted approximately 39% of UMDNJ‘s operating budget or 52.4% if payment of fringe benefits, payments in lieu of taxes, and debt service are included. The balance of UMDNJ‘s funds are derived from private sources, such as tuition fees or payments by patients at University Hospital.
As to the fourth Urbano factor, it is unclear whether UMDNJ is performing a governmental or proprietary function. The declaration in the authorizing legislation indicates that UMDNJ performs a governmental function. See
With respect to the fifth Urbano factor, the 1981 amendments to the enabling statute for the first time established UMDNJ as “a body corporate and politic.”
Concerning the seventh Urbano factor, UMDNJ has the power to contract.
Turning to the eighth Urbano factor, UMDNJ, like other non-profit colleges and hospitals, is immune from taxation.
On balance, we find that the Urbano factors tip in favor of finding that UMDNJ is not the alter ego of the State for eleventh amendment purposes and, therefore, is liable as a “person” under section 1983.
-III-
Having made that determination, we now must decide whether plaintiff‘s failure to file a notice of claim within ninety days of the date of her injury as required by the Act,
Pursuant to the Act, a person having a claim against a public entity must file a notice of claim with the entity within ninety days of accrual of the claim.
As a federal statute, however, section 1983 is entitled to the protection of the Supremacy Clause, article VI, of the United States Constitution, which precludes state laws that thwart the purposes of federal legislation. McGlynn v. New Jersey Pub. Broadcasting Auth., 88 N.J. 112, 137 (1981). Barring a section 1983 claim for failure to satisfy the notice provisions of the Act would permit state legislation to deny a federal right in violation of the Supremacy Clause. See T & M Homes, Inc. v. Township of Mansfield, 162 N.J.Super. 497 (Law Div.1978). Accordingly, we hold that the notice provisions of the Act do not apply to plaintiff‘s section 1983 claims. See Lloyd v. Stone Harbor, 179 N.J.Super. 496 (Ch.Div.1981).
This holding is in accord with the majority of out-of-state cases, which have held that the notice of claim provisions in their respective tort claims acts are inapplicable to actions brought pursuant to section 1983. See Williams v. Horvath, 16 Cal.3d 834, 129 Cal.Rptr. 453, 548 P.2d 1125 (1976); Mucci v. Falcon School Dist. No. 49, 655 P.2d 422 (Colo.App.1982); Overman v. Klein, 103 Idaho 795, 654 P.2d 888 (1982); Tomas v. Universal Health Services, Inc., 145 Ill.App.3d 663, 99 Ill.Dec. 451, 495 N.E.2d 1186 (1986); Spencer v. City of Seagoville, 700 S.W.2d 953 (Tex.App.1985); Doe v. Ellis, 103 Wis.2d 581, 309 N.W.2d 375 (Wis.App.1981). But see Felder v. Casey, 139 Wis.2d 614, 408 N.W.2d 19, cert. granted, --- U.S. ---, 108 S.Ct. 326, 98 L.Ed.2d 354 (1987); Indiana Dep‘t of Pub. Welfare v. Clark, 478 N.E.2d 699 (Ct.App.1985), cert. den., 476 U.S. 1170, 106 S.Ct. 2893, 90 L.Ed.2d 980 (1986); Mills v. County of Monroe, 59 N.Y.2d 307, 464 N.Y.S.2d 709, 451 N.E.2d 456 (1983), cert. denied, 464 U.S. 1018, 104 S.Ct. 551, 78 L.Ed.2d 725 (1983). The California precedents are particularly persuasive for our purposes because the New Jersey Tort Claims Act was patterned after the California Tort Claims Act of 1963. Kleinke v.
Our holding is also consistent with the overwhelming majority of federal cases, which have uniformly refused to apply the state notice of claim requirement to actions brought pursuant to section 1983. Brown v. United States, 742 F.2d 1498, 1509 (D.C.Cir.1984); see cases cited id. at n. 6; Gamel v. City of San Francisco, 633 F.Supp. 48 (N.D.Cal.1986); Burroughs v. Holiday Inn, 621 F.Supp. 351 (W.D.N.Y.1985); Williams v. Allen, 616 F.Supp. 653 (E.D.N.Y.1985); cf. Wilson v. Garcia, 471 U.S. 261, 279, 105 S.Ct. 1938, 1949, 85 L.Ed.2d 254, 268 (1985) (“Congress * * * intended that the remedy provided in [42 U.S.C.A.] § 1983 be independently enforceable whether or not it duplicates a parallel state remedy” (citing Monroe v. Pape, 365 U.S. 167, 173, 81 S.Ct. 473, 476, 5 L.Ed.2d 492 (1961))). But see Cardo v. Lakeland Cent. School Dist., 592 F.Supp. 765 (S.D.N.Y.1984) (federal case applying the state notice requirement).
-IV-
We now turn to the issue whether the notice provisions of the Act apply to plaintiff‘s claim under the Law. In holding that the notice provisions did not apply, the Appellate Division reasoned that the Law contains its own notice provisions and that the Legislature could not have intended that a discrimination claim be included within the coverage of the Act. Again, we agree. By declaring as a “civil right” that all persons shall have “the opportunity to obtain employment,”
We acknowledge that the Legislature has not expressly described the relationship between the Act and the Law, and that the history of neither statute refers to the other. The Act does not specifically include discrimination, and the Law does not indicate that the Legislature intended discrimination to be treated as a tort. In the absence of a clear direction from the Legislature, another part of the Appellate Division concluded that acts of discrimination are included within the term “injury” as defined in the Act. Healey v. Township of Dover, 208 N.J.Super. 679, 682 (1986) (claims of sexual discrimination and harassment “fall within the expansive Tort Claims Act definition of ‘injury’ that includes ‘injury to a person’ and ‘damage to or loss of property.‘“). The Chancery Division, moreover, has concluded that a claim of sexual discrimination predicated upon the New Jersey Constitution is an “injury” under the Act. Lloyd v. Stone Harbor, supra, 179 N.J.Super. at 511-12. Additionally, one state supreme court has recognized a sexual harassment claim as a tort claim. Phillips v. Smalley Maintenance Servs., 435 So.2d 705 (Ala.1983) (employer‘s sexual solicitation constitutes a wrongful invasion of privacy). Finally, the United States Supreme Court has also stated that a discrimination claim under section 1983 is a “tort action for the recovery of damages for personal injuries * * *.” Wilson v. Garcia, supra, 471 U.S. at 275-77, 105 S.Ct. at 1947-48, 85 L.Ed.2d at 266-67.
Furthermore, we recognize that the Legislature intended that the Act would provide a comprehensive scheme for adjudicating tort claims against public entities. For example, in stating generally the immunity of public entities, the Legislature declared: “Except as otherwise provided by this [A]ct, a public entity is not liable for an injury, whether such injury arises out
a. A public entity is liable for injury proximately caused by an act or omission of a public employee within the scope of his employment in the same manner and to the same extent as a private individual under like circumstances.
b. A public entity is not liable for an injury resulting from an act or omission of a public employee where the public employee is not liable.
“Injury” is broadly defined as: “death, injury to a person, damage to or loss of property or any other injury that a person may suffer that would be actionable if inflicted by a private person.”
Notwithstanding the breadth of the definition, ambiguity lurks in the term “injury.” Because we are concerned in the present case with the relationship between the Act and the Law, we must consult both statutes in addressing this ambiguity. To find the legislative intent behind a statute, particularly as it applies to a specific controversy, a court should consider the entire legislative scheme. Lott v. Mayor & Council of Borough of Franklin, 21 N.J. 274, 277-78 (1956); see, e.g., Terry v. Mercer County Freeholder Bd., 86 N.J. 141, 150-52 (1981) (legislative intent of both the Civil Service statutes and the Law relevant to determining whether a remedial promotion under the Law violated the Civil Service statutory “rule of three“). Thus, in the present case, we read the Act in the light of the Law. So viewed, the inquiry becomes whether the Legislature intended a discriminatory act allegedly committed by a public entity to be an injury subject to the notice requirements of the Act.
We begin by recognizing that the clear public policy of this State is to abolish discrimination in the work place. Indeed, the overarching goal of the Law is nothing less than the eradication “of the cancer of discrimination.” Jackson v. Concord Co., 54 N.J. 113, 124 (1969). As the Legislature has declared, “discrimination threatens not only the rights and proper privileges of the inhabitants of the State but menaces the institutions and
In contrast to the sweep of the Law, the Act seeks to provide compensation to tort victims without unduly disrupting governmental functions and without imposing excessive financial burden on the taxpaying public. See
With their contrasting backgrounds in mind, we turn to the history, purpose, and text of each statute. As a historical matter, the Act is the legislative response to this Court‘s decision in Willis v. Department of Conservation & Economic Dev., 55 N.J. 534 (1970), which abrogated total governmental immunity from tort liability. According to the Act‘s stated purpose, it is “the public policy of this state that public entities shall only be liable for their negligence within the limitations of this Act.”
Reflecting its concern with eliminating discrimination, the Law contains different procedural requirements. Under the Law, an aggrieved person may either file an administrative complaint with the Director of the Division on Civil Rights or file a civil action in the Superior Court.
The Law contains its own procedural requirements for filing pleadings,
Yet another difference between the two statutes is the manner in which each addresses damages. The Act prohibits the award of damages for pain and suffering, except “in cases of permanent loss of a bodily function, permanent disfigurement or dismemberment where the medical treatment expenses are in excess of $1,000.00”
By comparison, the Law does not prohibit damages for pain and suffering. Awards under the Law are intended to serve not only the interest of the individual involved but “it is plain that the public interest is also involved.” Jackson v. Concord Co., supra, 54 N.J. at 124-25. This Court has approved the administrative interpretation of the law by the Director of the Division on Civil Rights to permit so-called “humiliation damages.” Zahorian v. Russell Fitt Real Estate Agency, 62 N.J. 399, 415-16 (1973); Goodman v. London Metals Exch., Inc., supra, 86 N.J. 24. Although such damages are “incidental,” they are not circumscribed by the same requirements pertaining to the recovery of pain and suffering damages under the Act. Arguably, therefore, the Legislature contemplated different treatment for the humiliation and pain and suffering of discrimination victims than that provided by the Act.
Our reading of the history, purpose, and provisions of the two acts leads us to conclude that the Legislature did not intend
The judgment of the Appellate Division is affirmed, and the matter is remanded to the Law Division.
Justice HANDLER has filed a separate concurring opinion in which Justice CLIFFORD joins.
For affirmance—Justices HANDLER, CLIFFORD, O‘HEARN, GARIBALDI, POLLOCK and STEIN—6.
For reversal—None.
HANDLER, Justice, concurring.
In this case, the Court affirms the judgment of the Appellate Division upholding plaintiff‘s right to bring an unlawful gender-discrimination complaint against the University of Medicine and Dentistry (UMDNJ) unemcumbered by the restrictions of the New Jersey Tort Claims Act.
I join in this determination of the Court, but write separately to express more emphatically the view that the result reached by the Court not only accommodates the legislative intent underlying both the Law Against Discrimination and the Tort Claims Act, but further, this result clearly advances our strong public policy in maximizing protections against invidious discrimination.
I.
A convenient point of embarkation for an analysis of this issue is the language of the Tort Claims Act. The primary focus of the Act is on negligence and similar tortious conduct impliedly involving fault. The legislative declaration of the Act
In light of these provisions, I have little doubt—perhaps less than the Court—that the Legislature did not intend to include unlawful discrimination violative of the Law Against Discrimination as an “injury” to be governed by the Act. Fault or lack of reasonable care, which are the basis of “negligence,” are generally not essential in determining whether conduct constitutes invidious discrimination that is unlawful under the Law
We note also, that the Tort Claims Act provides no immunity for willful or malicious acts caused either by the employee or the entity itself. The Tort Claims Act in
N.J.S.A. 59:3-14a andb permits personal liability and full recovery against a public employee for the results of actual malice or willful misconduct.N.J.S.A. 59:2-10 forbids only vicarious liability for such conduct on the part of a public entity. Discriminatory conduct actionable under the Law Against Discriminatory is more akin to the malicious or willful acts exempted from the Tort Claims Act than the negligently or similarly inflicted injuries covered thereby. [Fuchilla v. Layman, 210 N.J.Super. 574, 579 (App.Div.1986).]
Moreover, if the Act were to apply, it would preclude the imposition of vicarious liability on public entity employers for unlawful discrimination under the Law. Cf.
I find especially significant the history of the Tort Claims Act. This further underscores the notion that the Legislature intended to govern redress only for negligence and similar tortious wrongdoing and not for unlawful discrimination. The Act was a legislative response to the Court‘s abrogation of the State‘s tort sovereign immunity in Willis v. Department of Conservation and Economic Dev., 55 N.J. 534 (1970). In Willis, the Court reviewed previous judicial limitations on the use of sovereign immunity as a defense. It is instructive to note that all of the cases cited involve claims of ordinary
In this case, in ascertaining legislative intent, a consideration of the purposes and goals of both statutes—the Law Against Discrimination and the Tort Claims Act—is essential. See Fuchilla v. Layman, supra, 210 N.J.Super. at 579 (App.Div.1986). The objectives of the Law Against Discrimination are markedly different from those of the Tort Claims Act. As observed by the Appellate Division: “The Law Against Discrimination is directed at ending discrimination in employment and public accommodations while the Tort Claims Act provides liability for damages for the negligence of public entities.” Id. at 578.
These contrasting legislative goals are manifest in very different statutory schemes. Awards under the Law Against
The Act disavows any remedial purpose to vindicate societal interests or to rectify public or governmental misconduct or to protect any individual constitutional interest or civil right. It thus expressly prohibits exemplary or punitive damages under the Act.
The Act thus ignores what the Law seeks to prevent. The Law Against Discrimination is solicitous of the hurt endured by a victim of discrimination. It is designed so that no citizen shall be subject to the embarrassment and humiliation of discrimination. See, e.g., Evans v. Ross, 57 N.J.Super. 223, 231 (App.
Distinctive substantive standards, as well as procedural rules, have been developed in the litigation of a claim under the Law Against Discrimination to advance its special goals of combatting discrimination. To reduce what otherwise might be an “insuperable burden” of proving discriminatory motive or intent, see Goodman v. London Metals Exch. Inc., 86 N.J. 19, 30 (1981), courts under the Law have borrowed procedures developed in litigation under federal antidiscrimination statutes. See, e.g., Peper v. Princeton Univ. Bd. of Trustees, supra, 77 N.J. at 81 (adopting procedures formulated in McDonnell-Douglas v. Green, 411 U.S. 792, 93 S.Ct. 1817, 36 L.Ed.2d 668 (1973), in litigation under Title VII,
These substantive liability standards under the Law Against Discrimination are totally at odds with the deference to governmental discretion that serves as a cornerstone for the scheme
It follows from this analysis and comparison of different goals, substantive standards, procedural rules, and remedial provisions that an interpretation of the Law that requires the superimposition of the Tort Claims Act to claims of unlawful discrimination would be wholly inconsistent with the intent of the Legislature when it provided expressly for suits under the Law to be brought in Superior Court.
It cannot be overstated that under the Law the Legislature has provided a wide assortment of remedial weapons to combat discrimination. A complainant has the option of either filing an administrative complaint with the Director of the Division on Civil Rights or filing a civil action with the Superior Court.
Judicial actions to enforce the civil right to be free from discrimination are created to provide something in addition to what is provided by the administrative remedy. Christian Bros. Inst. v. Northern New Jersey Interscholastic League, 86 N.J. 409, 415 (1981) (discrimination claims have alternative state statutory and constitutional and federal statutory and constitutional remedies); see also Lally v. Copygraphics, 85 N.J. 668, 672 (1981) (penal and administrative remedies based on retaliatory firing for the filing of workers compensation claims augmented by judicial remedy for retaliatory discharge). The prevailing assumption is that the relief provided
II.
Any interpretation of the current statutory scheme that engrafts upon the Law the Tort Claims Act, with its shorter notice filing period, higher standards of liability, heavier burdens of proof, reduced damages, and broad immunity provisions would substantially weaken the relief that could be obtained in a judicial civil rights action for unlawful discrimination under the Law. I do not for a moment believe that it was legislative inadvertence or carelessness that accounts for the possible failure to include invidious discrimination cases under the Tort Claims Act. It is to me inconceivable that the Legislature contemplated such inclusion or indeed might even be sympathetic to such an approach in view of its own distinguished history in giving great vigor and maximum protection to these civil rights.
For the foregoing reasons I concur with the result reached by the majority. Justice CLIFFORD joins in this opinion.
