GEORGE LEAL; JOHN M. LOZANO, Plaintiffs-Appellants, v. JOHN MCHUGH, Secretary, Department of the Army, Defendant-Appellee.
No. 12-40069
United States Court of Appeals, Fifth Circuit
September 26, 2013
United States Court of Appeals Fifth Circuit FILED September 26, 2013 Lyle W. Cayce Clerk
Appeal from the United States District Court
Before STEWART, Chief Judge, and KING and OWEN, Circuit Judges.
CARL E. STEWART, Chief Judge:
Plaintiffs-Appellants, George Leal and John M. Lozano, appeal the district court judgment granting Defendant-Appellee John McHugh‘s1 motion to dismiss Appellants’ age discrimination claims and Leal‘s retaliation claim, as well as the court‘s denial of their request for leave to amend their complaint. We AFFIRM IN PART and REVERSE AND REMAND IN PART.
I. FACTUAL AND PROCEDURAL HISTORY
Appellants allege the following facts in their First Amended Complaint:2
Lozano began working for the CCAD in 1985, and acquired over twenty years of experience as an Engineering Technician, Project Manager, Quality Assurance Inspector, and Construction Officer Representative. Lozano also volunteered as a Construction Representative Technician with the Army Corps of Engineers for five years in Kuwait. He has received accolades such as “the most productive employee in the [FEMD].”
Leal began working for the CCAD in 1986. He worked as a Material Maintenance Management Specialist, and was promoted to Engineering Technician. From 2007 to the present, Leal has worked as a Contractor Officer Representative for contracts relating to various facilities, including elevators, solid waste disposal, grounds maintenance, and eyewash stations/showers at the CCAD. Leal has received top ratings for performance since 1992, except for one year when he received the second-highest rating.
In 2009, CCAD Facilities and Engineering announced two new positions at the GS-12 level.3 Lozano and Leal applied for the positions. Both applicants were omitted from the initial selection list in September 2009, but were added to the selection list in October 2009. The selecting official, Michael Webb, initially made selections after the first list was issued but before the second list was issued. Webb did not immediately announce these selections, however.
Webb selected John Clay and Rudy Solis to fill the two new positions. Solis is substantially younger than Appellants.4 Solis also had a close personal relationship with Webb‘s supervisor, Luis Salinas, who was the Chief of the FEMD. Salinas expressed a need for “new blood” in his department. Salinas denies involvement in the selection of Solis, although this denial is contradicted by Salinas‘s testimony during the equal employment opportunity (“EEO“) investigation. Webb also stated that Salinas told Webb to select Solis. Prior to his selection, Solis told his co-workers that he would be selected.
In their filings below, Appellants have asserted that the CCAD‘s failure to follow its own procedural rules for making selections-i.e., by choosing Solis and Clay before the second candidate list was issued-constitutes circumstantial evidence of discrimination. Appellants have also argued they are “clearly better qualified” than Solis and, thus, this finding supports an inference of pretext.
Additionally, Leal alleges that Salinas was his supervisor in 2000 when Leal filed
Following their non-selection, Appellants filed administrative complaints alleging that they were discriminated against based on age and, in the case of Leal, based on his protected EEO activity.5 An investigator with the
Department of Defense‘s Civilian Personnel Management Division investigated Appellants’ complaints. [See, e.g., R. 77-90]. Subsequently, an Administrative Law Judge (“ALJ“) at the Equal Employment Opportunity Commission (“EEOC“) conducted a hearing on Appellants’ complaints on April 13, 2011. [R. 91-102]. The ALJ issued a decision finding no discrimination, which the agency adopted on May 5, 2011. Appellants subsequently alleged in their complaint before the district court that the ALJ did not address the many inconsistencies in witness testimony or the “subtle pressure applied to one of the witnesses” during the EEO investigation.
Appellants filed suit in federal court on August 2, 2011, alleging that they were not hired for the two newly-created positions because of their age, in violation of the ADEA,
On November 4, 2011, the district court dismissed Appellants’ claims under
December 20, 2011, the district court vacated its prior dismissal order and substituted it with the court‘s opinion and order on Appellants’
In the December 20 opinion, the district court granted Appellee‘s motion to dismiss Appellants’ complaint, ruling that Appellants’ allegations regarding Solis‘s personal relationship with Salinas “defeat[ed]” their age discrimination claims, and that Appellants “asserted a mixed-motive case, which is prohibited” under Gross v. FBL Financial Services, Inc., 557 U.S. 176 (2009). See generally id. at 180 (holding that ADEA plaintiffs must prove that age was
II. DISCUSSION
Appellants challenge the district court‘s dismissal of their age discrimination claims and Leal‘s retaliation claim and the court‘s denial of their request for leave to amend their complaint. We address each set of challenges in turn.
A. Appellants’ Age Discrimination Claims
1. Standard of Review
We review de novo the district court‘s grant of a motion to dismiss for failure to state a claim under
2. Applicable Law
The ADEA prohibits employment discrimination in both the private and local government sectors, and in federal employment. See
To establish a prima facie case of discriminatory treatment based on age, Appellants are required to prove: 1) “they are within the protected class“; 2)
“they are qualified for the position“; 3) “they suffered an adverse employment decision“; and 4) “they were replaced by someone younger or treated less favorably than
In Gross, the Supreme Court held that a plaintiff alleging age discrimination under the ADEA has the burden of proving that age was the “but-for cause” of the adverse employment action, such as the discharge or failure to hire. See 557 U.S. at 176, 180 (quotation marks omitted). The Court interpreted the ADEA‘s statutory language pertaining to the nonfederal sectors, which proscribes discrimination “because of such individual‘s age.” Id. at 176 (citing
Gross contrasted the ADEA with Title VII, which requires that a plaintiff prove that the prohibited basis-i.e., race, color, religion, sex, or national
origin-was a “motivating factor” in the challenged employment decision. Id. at 174 (citing
Gross did not discuss the ADEA‘s federal sector provision, see Gross, 557 U.S. at 176, and neither we nor the Supreme Court has addressed whether Gross applies to that provision. The D.C. Circuit has held, however, that the but-for standard enunciated in Gross does not apply
In Ford, the court first compared the statutory language of
‘discrimination based on age.‘” Id. (alteration in original) (citing Gomez–Perez v. Potter, 553 U.S. 474, 486, 488 (2008)). The court further highlighted the Supreme Court‘s explanation that “Congress chose not to include the federal government in the ADEA‘s definition of employer and instead ‘deliberately prescribed a distinct statutory scheme applicable only to the federal sector.‘” Id. (citing Lehman v. Nakshian, 453 U.S. 156, 166 (1981)). Ford also noted that the D.C. Circuit itself has observed in prior cases that “Congress used sweeping language when it . . . extended the ADEA to cover federal agency employees.” Id. (omission in original) (citation omitted). Thus, “[t]o be faithful to that ‘sweeping’ language,” the Ford court held that Gross‘s more restrictive burden of proof, requiring “but-for” causation, does not apply to the broader federal employment provision. Id. at 205–06. Instead, Ford concluded, “[t]he plaintiff . . . has the burden to show that age was a factor in the challenged personnel action.” Id. (emphasis in original).
3. Discussion
As a threshold matter, the parties dispute both whether the federal sector provision is the applicable statute in this case, and whether the but-for standard announced in Gross applies to it. We conclude that the federal sector applies here, and we need not decide whether a federal plaintiff must prove but-for causation or some lesser standard under
Appellee contends that Appellants have waived their right to have their suit analyzed under the ADEA‘s federal sector provision. We note that Appellants’ complaint broadly identifies that they are bringing claims under ”
and referring to this action as “a federal sector case.” [Appellee Br. at 5 n.1, 18, 20; Def.‘s Mot. Dismiss/Mot. Summ. J., R. 50.] See, e.g., Duffie v. United States, 600 F.3d 362, 378 (5th Cir. 2010) (“In its Motion for Entry of Decisions, the IRS took the position that enhanced interest under [
On the merits, Appellants argue that the district court erred by concluding that they “have stated a mixed-motive case on which they cannot prevail,” which Appellants argue was based on the district court‘s misreading of Gross. Appellee contends that Appellants negate their own age discrimination claim by alleging that Solis was selected for the Construction Representative position both because he was substantially younger and because he had a close personal relationship with Appellee‘s management, Salinas. Appellee also argues that
Appellants’ decision to file a single, “unified complaint” precludes them from prevailing on their claims because both could not be selected for reinstatement to Solis‘s position even if they prevailed.
We conclude, however, that Appellants have stated a claim for which relief may be granted under
omitted)); cf. Iqbal, 556 U.S. at 681 (“To be clear, we do not reject [the] bald allegations on the ground that they are unrealistic or nonsensical. We do not so characterize them any more than the Court in Twombly rejected the plaintiffs’ . . . allegation . . . because it thought that claim too chimerical to be maintained.” (citation omitted)).
The posture of Appellants’ case is not unlike a case that another panel of this
When we review the grant of a motion to dismiss, we must accept the well-pleaded facts as true and consider them in the light most favorable to the plaintiff. Applying this standard, we conclude that Flores‘s factual allegations of (1) being fired immediately after his accident, in contrast with similarly situated younger employees not being fired after being involved in such accidents, and (2) Select‘s transmitting an improper job reference, are sufficiently plausible to support a claim of age discrimination at the
Rule 12(b)(6) stage of this case.
See id. at 432–33 (citation omitted).
Further, the fact that Appellants allege both age discrimination and a personal relationship as reasons for Solis‘s selection over them is not fatal to their complaint at the
suit. Appellee‘s contention that Appellants’ allegation of the personal relationship between Solis and Salinas “negates” Appellants’ age discrimination claims is incongruent with the Federal Rules. See
As to the multiple alleged bases for the adverse employment actions here, this feature, too, is not fatal to the complaint at this stage of the case. It simply will behoove Appellants-if subject to Gross‘s heightened evidentiary burden here-to prove at summary judgment or trial that, but-for their age, they would have been selected.8 For example, we recently vacated and remanded a district court‘s summary judgment in favor of an employer in an enforcement action by the EEOC, which alleged both age and disability as bases for the employer‘s decision not to hire the complainant. See EEOC v. DynMcDermott Petroleum Operations, Co., No. 12-40424, 2013 WL 3855553, at *10 (5th Cir. July 26, 2013) (per curiam) (unpublished). In DynMcDermott, the complainant
alleged that the employer failed to hire him both because he was too old and because he would have to tend to his wife who had cancer, in violation of the ADEA and the Americans with Disabilities Act, respectively. See id. (citations omitted). We remanded the case for trial, holding “the evidence is such that a reasonable jury could return a verdict for the EEOC, finding that but for [the complainant‘s] age and disabled wife, [the defendant] would have hired him.” Id. (emphasis added). Thus, at the
By dismissing Appellants’ complaint on the basis that they “have asserted a mixed-motive case, which is prohibited,” the district court misread Gross, since “but-for cause” does not mean “sole cause.” See Black‘s Law Dictionary 250 (9th ed. 2009) (defining “but-for cause” as “[t]he cause without which the event could not have occurred-[a]lso termed actual cause; cause in fact; factual cause” ); id. (defining “sole cause,” in relevant part, as “[t]he only cause that, from a legal viewpoint, produces an event or injury“); Jones v. Okla. City Pub. Schs., 617 F.3d 1273, 1278 (10th Cir. 2010) (holding that Gross does not place “a heightened evidentiary requirement on ADEA plaintiffs to prove that age was the sole cause of the adverse employment action“). In Jones, the Tenth Circuit rejected the employer‘s argument that, under Gross, “‘age must have been the only factor’ in the employer‘s decision-making process.” Id. at 1277. The Tenth Circuit reasoned instead that “an employer may be liable under the ADEA if other factors contributed to its taking the adverse action, as long as ‘age was the factor that made a difference.‘” Id. at 1277 (citations omitted). We find the reasoning of Jones persuasive.9 Even Appellee‘s brief here asserts, ”Gross and its progeny
concern a plaintiff‘s ultimate proof burden in ADEA claims, not the pleading burden.” (emphasis added). Thus, Appellants need not plead that age was the sole cause of their injury to survive a motion to dismiss.10
Appellee further argues that Appellants are not entitled to relief because they are challenging Solis‘s selection in a single “unified complaint.” Appellee asserts that, because there is only one challenged position, both Appellants could not be reinstated even if they prevailed, since reinstatement with back pay is the only remedy available to Appellants here. See Smith v. Office of Pers. Mgmt., 778 F.2d 258, 261 (5th Cir. 1985). Therefore, according to Appellee, “Appellants simply are not able to state a plausible ADEA claim upon which relief could be granted as to both of them.”
We are unpersuaded by Appellee‘s argument. First, Appellants’ complaint seeks the following remedies that are applicable to their age discrimination claims: 1) reinstatement; 2) backpay; and 3) attorney‘s fees, litigation expenses and costs.11 If Appellants prevail, they may be entitled to attorney‘s fees, even if reinstatement and back pay are not feasible. See Eglit § 9:23, at 9-135 to 9-136 (“[M]ost courts . . . are in agreement that a prevailing plaintiff in a suit brought under the ADEA can be awarded attorney‘s fees and costs against the federal
government attributable to the suit itself (as opposed to the administrative proceedings preceding the lawsuit.)” (collecting cases)); see also
Even if Appellee‘s argument was meritorious, it still would be unclear at this early stage of the case which Appellant would be entitled to relief, Leal or Lozano. Thus, at a minimum, the case would need to proceed for the court to determine this question. The one case that Appellee relies upon for the proposition that “only one Appellant could receive the sole remedy of placement in the contested job” entailed the court conducting an evidentiary hearing to determine which of two plaintiffs vying for one position would have prevailed in the absence of the discriminatory selection. See generally Meredith v. Beech Aircraft Corp., No. 89-1592, 1995 WL 333123 (D. Kan. 1995) (unpublished). Even the district court here stated that it was “unwilling to find that all of Plaintiffs’ claims are eliminated by the mere fact that one of two positions was filled by someone of unspecified age [Solis].” For these reasons, we reject Appellee‘s argument that the alleged unavailability of a remedy renders Appellants’ complaint defective.
Accordingly, we REVERSE the district court‘s dismissal of Appellants’ age discrimination claims, and REMAND for further proceedings.
B. Leal‘s Retaliation Claim
We also review the district court‘s dismissal of Leal‘s retaliation claim de novo. Sullivan, 600 F.3d at 546 (citation omitted).
To state a claim for retaliation in violation of Title VII, a plaintiff must allege that “(1) he participated in an activity protected by Title VII; (2) his employer took an adverse employment action against him; and (3) a causal connection exists between the protected activity and the adverse
With respect to his retaliation claims, Leal alleged that he “had participated in prior EEO complaints on behalf of co-workers as recently as 2006” and that “Luis Salinas was [his supervisor] when Mr. Leal filed a claim of retaliation filed [sic] in 2006.” The district court concluded that “Plaintiff‘s allegations, even if accepted as true, are too attenuated to support a claim of retaliation.” We agree that Leal has failed to allege a plausible causal connection between his alleged EEO protected activity and his non-selection for a position three to nine years later. See Clark Cnty. Sch. Dist. v. Breeden, 532 U.S. 268, 273–74 (2001) (explaining that “cases that accept mere temporal proximity between an employer‘s knowledge of protected activity and an adverse employment action as sufficient evidence of causality to establish a prima facie case uniformly hold that the temporal proximity must be ‘very close,‘” and holding that an adverse action taken twenty months after protected activity “suggests, by itself, no causality at all“).
Accordingly, we AFFIRM the district court‘s dismissal of Leal‘s retaliation claim.
C. Appellants’ Motion for Leave to Amend the Complaint
We review the district court‘s denial of a motion to amend a pleading for abuse of discretion. Wilson v. Bruks–Klockner, Inc., 602 F.3d 363, 368 (5th Cir.
2010) (citation omitted). “The court should freely give leave [to amend] when justice so requires.”
We affirm the district court‘s denial of Appellants’ request for leave to amend, albeit on alternative bases than the district court. As discussed, we conclude that Appellants have pleaded a plausible claim for relief on their age discrimination claims; thus, Appellants’ pleading multiple bases for the adverse employment action is not fatal to their case at this early stage. However, Appellants had the benefit of both an administrative complaint process and an EEOC hearing before filing suit in federal court; thus, if Appellants had further facts to plead, we suspect they would have done so in their original or first amended complaints. Regarding Leal‘s retaliation claim, any amendment would be futile, as a three-year lapse, at best, between the protected activity and the adverse employment action is too attenuated temporally to state a claim for relief, even if Salinas was aware of the activity. As Leal‘s knowledge of his protected activity is completely within his control, an additional opportunity to amend would not aid in developing this claim further.
Further, Appellants have failed to demonstrate what additional facts they would plead, as they filed no proposed second amended complaint contemporaneously with their motion for leave to amend. We therefore conclude
that the district court did not abuse its discretion in denying
III. CONCLUSION
For the foregoing reasons, we AFFIRM the district court‘s dismissal of Leal‘s retaliation claim and denial of Appellants’ request for leave to amend their complaint. We REVERSE the district court‘s dismissal of Appellants’ age discrimination claims and REMAND for further proceedings.
