Granting in Part and Denying in Part the Plaintiff’s Motion for Partial Summary Judgment and Granting in Part and Denying in Part Defendant’s Motion for Summary Judgment of Count I and Motion to Dismiss Count III
I. INTRODUCTION
The plaintiff, Fran Hisler, brings this three-count complaint against her former employer, Gallaudet University. The plaintiff alleges in count I that the defendant acted in violation of both the Americans with Disabilities Act of 1990 (“ADA”), 42 U.S.C §§ 12101-12213, and the Rehabilitation Act, as amended, 29 U.S.C. §§ 701-796i, by improperly terminating her employment and failing to accommodate her disability. In count II, the plaintiff claims that the defendant failed to notify her of her rights under the Consolidated Omnibus Budget Reconciliation Act of 1985 (“COBRA”) pursuant to 29 U.S.C. § 1166(a)(1). The plaintiff alleges in count III that the defendant did not grant her appropriate pension credits towards her Civil Service Retirement System (“CSRS”) retirement benefits.
This matter comes before the court on the plaintiffs partial motion for summary judgment, specifically requesting that the court stay count I or, in the alternative, dismiss count I without prejudice, and further requesting summary judgment on count III (“PL’s Mot.”), as well as the defendant’s cross-motion for summary judgment as to count I and the defendant’s motion to dismiss count III (“Def.’s Mot.”). After a careful review of the submissions of both parties, the court, pursuant to its discretionary powers, grants the plaintiffs voluntary dismissal of count I, contingent on her acceptance of the terms and conditions that the court imposes in its discretion. Fed.R.Civ.P. 41(a)(2). The court grants the defendant’s motion to dismiss for lack of subject matter jurisdiction on count III. Finally, by request of the parties, the court dismisses count II with prejudice. PL’s Mot. at 13; Def.’s Opp’n at 2 n. 1.
II. BACKGROUND
A. Factual Background
From July 1983 to September 1986, the defendant, a government corporation that receives financial support from the federal government, employed the plaintiff as an occupational therapist at Kendall Demonstration Elementary School. Am. Compl. ¶¶ 6-8; PL’s Mot. at 2; Def.’s Mot. at 1; Def.’s Mot. Ex. 1 at 2-3. 1 Federal policies govern the administration of certain employment rights and benefits for the defendant’s employees. Id.
In June of 1986, upon exposure to the Epstein-Barr virus during the course of her employment at Kendall School, the plaintiff was diagnosed with Chronic Fatigue Immune Dysfunction Syndrome (“CFIDS”). Am. Compl. ¶8; Def.’s Mot. at 2. Subsequently, due to her medical condition, the plaintiff applied for and received benefits under the Federal Employees Compensation Act (“FECA”) from the Office of Workers’ Compensation Programs (“OWCP”) of the Department of Labor, for approximately ten years. Def.’s Mot. Ex. 1 at 2. The plaintiffs OWCP benefits ceased shortly after the defendant, in 1995, contracted with a private insurance company for its workers’ compensation benefits, thereby ending its par
During the approximate twelve-year period, 1986 through 1998, that the plaintiff was receiving workers’ compensation benefits from OWCP and later through a private insurer, she also requested that the defendant provide employment accommodations for her disability. Am. Compl. ¶ 10; Def.’s Statement of Material Facts Not in Dispute (“Def.’s Statement”) ¶ 1. The plaintiff and the defendant did not agree on the extent to which the plaintiff could work nor on the necessary accommodations. Am. Compl. ¶¶ 10-12; Def.’s Statement ¶¶ 4, 6. Despite the plaintiffs dissatisfaction with the defendant’s job offers, on January 18, 1998, the plaintiff made an attempt to return to work as a kiosk attendant for the defendant. Pl.’s Mot. at 3-4; Def.’s Statement ¶ 1. But shortly thereafter, the plaintiff stopped working and went on leave-without-pay due to her illness. Def.’s Mot. Ex. 25; Am. Compl. ¶¶ 14-16. The defendant required the plaintiff to produce medical documentation supporting her claimed inability to work. Def.’s Mot. Ex 25. The defendant claims that the plaintiff abandoned her position, while the plaintiff claims that she was terminated. Am. Compl. ¶¶ 14-16; Def.’s Statement ¶ 6. Nevertheless, subsequent to the parties ending their employment relationship, the plaintiff filed a claim with the Equal Employment Opportunity Commission (“EEOC”). Am. Compl.l 4. On January 18, 1999, the plaintiff received her “Rights to Sue” letter from the EEOC. Id. She then filed suit against the defendant in this court alleging the claims listed in count I of her amended complaint. 2 Id.
In the meantime, following the plaintiffs employment termination in 1998, the plaintiff also filed for disability retirement benefits under CSRS. Pl.’s Mot. at 3^1; Def.’s Mot. at 3. There were difficulties with the plaintiffs pension credit calculations from the outset. While initially the defendant agreed to credit the plaintiffs pension for the May 4, 1996 through January 18, 1998 period, the Office of Personnel Management (“OPM”) later discovered that the plaintiff had been overpaid because the May 4, 1996 through January 18, 1998 period was incorrectly included in the service credit calculation. Def.’s Mot. Ex. 1 at 3.
The plaintiff requested that OPM reconsider the exclusion of the above period. Def.’s Mot. Ex. 1 at 15. The plaintiff bootstrapped an argument to her request for reconsideration that the defendant erred by not adjusting the calculations with incremental merit raises for her projected salary.
Id.
The OPM affirmed its earlier decision of her overpayment, yet only briefly mentioned the inclusion of merit increases because it considered the issue to be in the defendant’s “exclusive purview.” Pl.’s Opp’n at 10; Def.’s Mot. Ex. 1 at 15. The plaintiff appealed the OPM decision with the Merit System Protection Board (“MSPB”).
Id.
The MSPB dismissed the appeal but gave the plaintiff the option of requesting a board review of its ruling. Def.’s Mot. Ex. 1 at 19-20.
At the end of her administrative review rope, the plaintiff still had judicial review at her disposal. MSPB stipulated in its final order that 5 U.S.C. § 7703 vested the plaintiff with a right to appeal the board decision in the United States Court of Appeals for the Federal Circuit. Def.’s Mot. Ex. 2 at 1. Instead of appealing to the Federal Circuit, the plaintiff brought this claim, as count III, to this court along with her ADA, Rehabilitation Act, and COBRA violation claims.
B. Procedural History
Following the plaintiffs receipt of her “Dismissal and Notice of Rights to Sue” letter from the EEOC, the plaintiff filed the instant suit on September 8, 1999, seeking reinstatement to her former position with appropriate accommodations and damages. Am. Compl. at 1;
Hisler v. Gallaudet Univ.,
On July 18, 2000, the court issued an order staying and administratively closing the case until the plaintiff secured new representation. Hisler, at 11, 12. On November 22, 2000, the defendant filed a motion to dismiss for failure to prosecute. In an order on November 30, 2000, the court directed the plaintiff to show cause by January 8, 2001 as to why the plaintiffs case should not be dismissed for failure to prosecute. The plaintiff filed a timely response on January 8, 2001. The court found the response sufficient and denied the defendant’s motion to dismiss. Order dated April 6, 2001, at 2.
On January 10, 2002, the court granted the plaintiffs motion for leave to file an amended complaint and granted the defendant’s motion to extend time for discovery. On that same day, the plaintiff filed her amended complaint, adding two claims premised on the defendant’s failure to notify her of COBRA rights and the failure to appropriately calculate pension credits. Am. Compl. ¶¶ 2, 18-24. The plaintiff also relied on the Employee Retirement Income Security Act (“ERISA”), 29 U.S.C. § 1132(c)(1)(B) and 29 U.S.C. § 1132(e) to support her contention that this court has subject matter jurisdiction to hear her claims.
The parties actively continued the litigation of the case. Then, on May 5, 2003, the court granted the parties’ joint motion to stay proceedings until the conclusion of the mediation process before Magistrate Judge Facciola.
In its March 10, 2004 order, the court struck the parties’ dispositive motion submissions and set a revised briefing schedule. The court instructed the parties to submit new briefing that would clarify arguments on the plaintiffs alleged entitlement to merit salary increases and the defendant’s alleged failure to make disability annuity payments. Order dated March 10, 2004, at 2. The court further directed the parties to brief the question of subject
On April 30, 2004, the plaintiff submitted a motion for partial summary judgment. In her motion, the plaintiff dismisses count II with prejudice; requests that the court either stay count I or, in the alternative, permit the plaintiff to voluntarily dismiss count I without prejudice; and moves for summary judgment on count III. Pl.’s Mot. at 1-2. On May 3, 2004, the defendant filed a cross-motion for summary judgment as to count I and to dismiss count III for lack of subject matter jurisdiction. On May 13, 2004, the defendant filed its opposition to the plaintiffs motion, agreeing to dismiss count II with prejudice, but opposing the plaintiffs motion with regard to counts I and III. Def.’s Opp’n at 2. The next day, the plaintiff filed her opposition to the defendant’s motion. On May 19, 2004, both parties timely submitted their replies.
Because the parties have agreed to dismiss count II with prejudice, the court grants the plaintiffs motion, in part, to dismiss count II with prejudice and now addresses the two remaining counts. For the reasons that follow, the court grants each of parties’ motions in part. The court denies the plaintiffs motion to stay count I, grants the plaintiffs motion to dismiss count I without prejudice, denies the defendant’s motion for summary judgment of count I, grants the defendant’s motion to dismiss count III for lack of subject matter jurisdiction, and denies the plaintiffs motion for summary judgment of count III.
III. ANALYSIS
A. The Court Denies the Plaintiffs Motion to Stay Count I
The plaintiff requests that the court stay count I proceedings pending the outcome of the two cases in District of Columbia Court of Appeals and the Department of Employment Services, Labor Standards, Office of Worker’s Compensation (“DOES”). Pl.’s Mot. at 1. The court, in balancing the equities, concludes that granting a stay would be unfair to the defendants as it would unnecessarily delay this case at this late stage in the litigation.
A trial court has broad discretion to stay all proceedings in an action pending the resolution of independent proceedings elsewhere.
See Landis v. North American Co.,
The Supreme Court has guided that “the suppliant for a stay must make out a clear case of hardship or inequity in being required to go forward, if there is even a fair possibility that the stay for which [the movant] prays will work damage to some one else.”
Landis,
In balancing the equities, the court concludes that a stay would be unfair to the defendant Gallaudet who, after five years of litigation, is finally at the second round of dispositive motions.
3
See Landis,
B. The Court Grants the Plaintiffs Motion for Voluntary Dismissal of Count I
As an alternative to staying the proceedings on count I, the plaintiff requests that the court allow the plaintiff to voluntarily dismiss count I without prejudice. Contingent on specific conditions set forth by the court below, the court grants the plaintiffs voluntary dismissal of count I without prejudice.
1. Legal Standard for Voluntary Dismissal Under Rule 41
Federal Rule of Civil Procedure 41(a) governs voluntary dismissal of an action. Fed.R.Civ.P. 41(a)(1). Under Rule 41(a)(1), a plaintiff may dismiss a civil action without an order of the court by filing a notice of dismissal before the adverse party files an answer or motion for summary judgment, or by filing a stipulation of dismissal signed by all parties.
Id.; Swift v. United States,
2. The Defendant Will Not Suffer Legal Prejudice Upon Dismissal of Count I without Prejudice
As an initial matter, because the defendant has filed a motion for summary judgment as to count I, Rule 41(a)(1) does not apply.
Robinson v. England,
The court begins its analysis with the issue of whether the plaintiffs voluntary withdrawal is in good faith.
In re Vitamins,
The issue of good or bad faith alone, however, is not dispositive of the plaintiffs motion.
See In re Vitamins,
The first factor of prejudice that the court considers is the defendant’s trial preparation. On its face, it appears that if the court grants the plaintiffs voluntary dismissal of count I, the defendant’s work-product, purchased through expense and diligent effort, would all be for naught. The defendant argues that the trial preparation efforts since the incipience of this case in 1999, are potentially wasted. On second glance, the diligence of the defendant does not necessarily lose all usefulness on dismissal. As stated by both parties, related claims are pending in two additional fora. Pl.’s Mot at 1, 12-13; Def.’s Opp’n at 8-9. It does not tax one’s legal imagination to surmise that between related cases, efforts are freely lent from one to the other.
E.g., In re Vitamins,
The court is wary of meandering into the forest of speculation by postulating on the usefulness of the defendant’s efforts elsewhere. It is enough to note the fact that the defendant “may have incurred substantial expense prior to dismissal does not amount to legal prejudice.”
Piedmont Resolution v. Johnston, Rivlin & Foley,
The court next considers the second factor of prejudice, the plaintiffs lack of dili
The court next turns to the adequacy of the plaintiffs need for dismissal. In prior cases, the court has found' insufficient those explanations that served as veiled maneuvers to avoid adverse rulings.
In re Vitamins,
The plaintiff posits her need for nonsuit on financial constraints and her desire to avoid legal impact and interference among her claims. Pl.’s Mot. at 12-13. The plaintiff filed her pending suits after count I was initially filed in this court in 1999. Compl. at 1. The plaintiff must have realized at some earlier stage that there was overlap between her multiple claims, which could cause legal inconsistency. Yet, faced with the financial reality of litigating in multiple courts, the plaintiff seeks quickly to jettison this claim for possible later retrieval. Although the gauge for sufficiency is not precise, the court is unconvinced that the plaintiffs explanation is sufficient.
But even when a plaintiff does not present a “compelling reason for dismissal,” the court, to avoid legal prejudice, has broad discretion to impose “such terms and conditions as the court deems proper.” Fed.R.Civ.P. 41(a)(2);
In re Vitamins,
To prevent legal prejudice to the defendant, the court conditions the plaintiffs voluntary dismissal on the plaintiffs acceptance of these following conditions. First, the plaintiff may only refile in this court if these pending cases have been resolved and no concurrent litigation on common issues exist in other fora. Furthermore, if the plaintiff should chose to refile, the defendant then has the option of submitting a detailed statement itemizing its costs and fees for work-product in this litigation that cannot be used in the future action. The defendant must produce supporting documentation that includes, but is not limited to, billing statements and times sheets.
See Collins v. Baxter Healthcare Corp.,
The court also notes that the pendency of a summary judgment motion is also a factor the court considers in determining legal prejudice. The defendant has filed a summary judgment motion on count III, which is currently pending. The court has considered that “most denials for voluntary dismissals are justified by the fact that the defendants had already filed motions for summary judgment or that the parties were on the eve of trial.”
In re Vitamins,
The parties are, however, on the eve of trial, so to speak. The plaintiff filed her motion to dismiss at a late stage in this litigation, that is, more than two years after the deadline for completion of discovery. The defendants have incurred substantial expense prior to this dismissal motion. Although this does not amount to legal prejudice, the court concludes that potential burdens of relitigation are satisfactorily cured by conditioning the plaintiffs dismissal and refiling of the claim on “the payment of costs for work and effort incurred in the first case that would not be of use in the second.”
Piedmont,
C. The Court Denies the Defendant’s Motion for Summary Judgment as to Count I
The court, having dismissed count I without prejudice, subject to conditions, does not reach the issue of the pending summary judgment on this count. Because this issue is moot, the court accordingly denies the defendant’s motion for summary judgment as to count I.
D. The Court Grants the Defendant’s Motion to Dismiss Count III for Lack of Subject Matter Jurisdiction
The court next considers the pending motions on count III. In its order dated March 9, 2004, the court instructed the parties to review and brief whether this court has subject matter jurisdiction over count III. Subsequently, the plaintiff
1. Legal Standard for a Motion to Dismiss Pursuant to Rule 12(b)(1)
Federal courts are courts of limited jurisdiction and the law presumes that ‘‘a cause lies outside this limited jurisdiction.”
Kokkonen v. Guardian Life Ins. Co. of Am.,
Because “subject-matter jurisdiction is an ‘Art. Ill as well as a statutory requirement^] no action of the parties can confer subject-matter jurisdiction upon a federal court.’ ”
Akinseye v. District of Columbia,
Because subject matter jurisdiction focuses on the court’s power to hear the claim, however, the court must give the plaintiffs factual allegations closer scrutiny when resolving a Rule 12(b)(1) motion than would be required for a Rule 12(b)(6) motion for failure to state a claim.
Macharia v. United States,
2. CSRA Precludes Judicial Review of the Plaintiffs Claim in This Court
Following the court’s March 9, 2004 order directing the parties to brief the subject matter jurisdiction of this court over count III, the defendant moved to dismiss for lack of subject matter jurisdiction, citing
Graham v. Ashcroft,
The plaintiff, on the other hand, asserts that ERISA, 29 U.S.C. §§ 1132(c)(1)(B) and 1132(e), provide a basis for subject matter jurisdiction. Am. Compl. ¶ 2; Pl.’s Mot. at 7; Pl.’s Reply at 3. Specifically, she avers that “the defendant’s conduct as a sponsor of a pension program is subject to review under ERISA.” Pl.’s Reply at 3. The court disagrees. The court finds that ERISA does not preempt CSRA in the administration of CSRS.
Congress enacted ERISA, intending “to provide uniform federal regulation of employee retirement benefit plans and to make regulation of benefits an entirely federal concern.”
Nat’l Rehab. Hosp. v. Manpower Int’l, Inc.,
CSRS falls under ERISA’s “governmental plan” exception. Congress, in 1920, “passed the first civil service retirement act, which provided that any eligible employee in the classified civil service could receive an annuity based upon his or her years of federal service and average annual salary.”
Am. Postal Workers Union, AFL-CIO v. U.S. Postal Serv.,
Unsatisfied with this plain meaning of the statute, the plaintiff suggests that even if her CSRS benefits are generally exempt from the ERISA coverage, the defendant as a nongovernmental employer is not exempt from ERISA. Pl.’s Reply at 4. The plaintiffs concern over the defendant’s governmental status is oblique to the main question. The court points out that an entity may be governmental for one purpose and non-governmental for another.
Alley v. Resolution Trust Corp.,
In Alley, the court found ERISA applicable because the defendant related to its employees “as would a private business— an entity whose employees are not subject to laws governing public employees generally.” Id. Those “laws governing public employees” include 5 U.S.C. § 2105 (defines federal “employee” for purposes of title 5), 5 U.S.C. § 5101 (classifies positions for purposes of pay and for use “in all phases of personnel administration”), and 5 U.S.C. §§ 8331 et seq. (outlines civil service retirement benefits). Id.
Here, in stark contrast, the defendant’s employees’ retirement rights are primarily governed as public employees. The defendant’s employees, unlike those involved in
Alley,
are subject to personnel rules or restrictions on salaries and benefits im
CSRA governs all administrative and judicial remedies for the plaintiffs CSRS claim. In 1978, CSRA overhauled the civil service system and created both the OPM and MSPB. Congress included in OPM’s responsibilities the administration of the CSRA. 5 U.S.C. § 8347(a);
Lindahl v. Office of Pets. Mgmt.,
Title 28 U.S.C. § 1295(a) provides: The United States Court of Appeals for the Federal Circuit shall have exclusive jurisdiction ... (9) of an appeal from a final order or final decision of the Merit System Protection Board, pursuant to sections 7703(b)(1) and 7703(d) of title 5. Title 5 U.S.C. § 7703(b)(1) in turn provides that, except for discrimination cases covered by subsection (b)(2), a petition to review a final order or final decision of the Board shall be filed in the United States Court of Appeals for the Federal Circuit. Sections 1295(a)(9) and 7703(b)(1) together appear to provide for exclusive jurisdiction over MSPB decisions in the Federal Circuit, and do not admit any exceptions for disability retirement claims. 6
Id.
(emphasis deleted) (internal quotations and footnotes omitted). CSRA’s statutory scheme essentially leaves no room for federal district court review of MSPB decisions regarding disability retirement.
Denton v. Merit Sys. Prot. Bd.,
The plaintiff protests that because the OPM and MSPB have no jurisdiction to review the certification of pay, this court is the proper forum to adjudicate issues related to the administration of an employee benefit plan. Pl.’s Opp’n at 10. The plaintiff points to the MSPB’s initial decision on September 6, 2001, where the MSPB held that it had no authority to review the defendant’s salary structure and pension credit calculations. Def.’s Mot. Ex. 1 at 17.
Assuming that the OPM and MSPB could do no more for her, the plaintiff still cites no legal support for jurisdiction in this court. Unlike other employees governed by CSRA, the plaintiff had the benefit of judicial review through the Federal Circuit upon receipt of a final order. She received her final order from the MSPB on
For background purposes, President Carter’s concerns over the increasingly inefficient and labored management and merit protection of the civil service system prompted him to propose legislation in 1978, that would restructure the civil service to strengthen employee rights, improve the efficiency and responsiveness of the federal government, and reduce the red-tape and costly delay in the then inefficient personnel system.
Frazier Jr. v. Merit Sys. Prot. Bd.,
The court recognizes that “it is the comprehensiveness of the statutory scheme involved, not the adequacy of specific remedies thereunder, that counsels judicial abstention.”
Spagnola v. Mathis,
The court holds that the CSRA precludes this court’s review of the plaintiffs claim that the defendant failed to properly calculate her pension credits for her disability retirement annuity under the Retirement Act. Neither ERISA nor CSRA provides this court with any basis for subject matter jurisdiction. Accordingly, the court grants the defendant’s motion to dismiss count III for lack of subject matter jurisdiction.
E. The Court Denies the Plaintiffs Motion for Summary Judgment as to Count III
The court, having dismissed count III with prejudice, does not reach the issue of
IV. Conclusion
For the foregoing reasons, the court grants the plaintiffs voluntary dismissal of count I without prejudice, contingent on the plaintiffs acceptance of stipulated conditions. The court further dismisses count II with prejudice by the request of both parties and grants the defendant’s motion to dismiss count III. An order consistent with this Memorandum Opinion is separately and contemporaneously issued this 21st day of October 2004.
Notes
. The defendant adopts the facts as written from the initial decision by the Merit System Protection Board ("MSPB”) on September 6, 2001. Def.'s Mot. for Summ. J. of Count I and to Dismiss Count III ("Def.’s Mot.”) at 2 n. 1.
. The plaintiffs claim in her original complaint, which is claim I of her amended complaint, is that the defendant violated both the Americans with Disabilities Act of 1990 ("ADA”), 42 U.S.C §§ 12101-12213, and the Rehabilitation Act, as amended, 29 U.S.C. §§ 701-796Í, by improperly terminating her employment and failing to accommodate her disability.
. The parties filed dispositive motions prior to those currently pending before the court. The court struck those from the record. Order dated March 10, 2004 at 3.
. The plaintiff claims that the statute of limitations will likely run before the plaintiff's other cases conclude and thus before the plaintiff can refile her suit in this court, which protects the defendant from the prejudice of a second lawsuit. Pl.'s Mot. at 13. The court, however, notes that although the passing of the statute of limitations may guard against a second lawsuit, the prospect of a second lawsuit or other tactical disadvantage, in general, does not legally prejudice the nonmovant.
Conafay v. Wyeth Labs.,
. Both parties also cite
Becker v. Gallaudet,
. 5 U.S.C. § 7703(b)(2) lists the exceptions to judicial review procedures for claims involving discrimination. The court does not address this issue because the court granted the voluntary dismissal of count I (the only claim asserting discrimination) supra.
