JOLIET v PITONIAK
Docket No. 127175
Supreme Court of Michigan
Decided May 31, 2006
Rehearing denied 475 Mich 1236
475 MICH 30
WEAVER, J.
Virginia Joliet brought an action in the Wayne Circuit Court against Gregory E. Pitoniak, the mayor of the city of Taylor; and Frank Bacha, who was the former executive director of the city‘s Department of Public Works. The plaintiff alleged quid pro quo sex discrimination, hostile work environment sex discrimination, age discrimination, breach of contract, and misrepresentation. The defendants moved for summary disposition, asserting that the plaintiff‘s claims were barred by the three-year period of limitations in
In an opinion by Justice WEAVER, joined by Chief Justice TAYLOR and Justices CORRIGAN, YOUNG, and MARKMAN, the Supreme Court held:
Following the decision in Magee v DaimlerChrysler Corp, 472 Mich 108 (2005), a claim of discrimination accrues when the adverse discriminatory acts occur. Thus, if a plaintiff‘s complaint does not make out a claim of discriminatory discharge, a claim of constructive discharge for a separation from employment occurring after the alleged discriminatory acts cannot serve to extend the period of limitations for discriminatory acts committed before the termination. Jacobson v Parda Fed Credit Union, 457 Mich 318 (1998), which held that allegations of constructive discharge could operate to extend the applicable period of limitations, is overruled.
Reversed and remanded for entry of an order granting summary disposition for the defendants.
Justice KELLY, dissenting, stated that while the lower courts erred in relying on Collins v Comerica Bank, 469 Mich 628 (2003), their reliance on Jacobson v Parda Fed Credit Union, 457 Mich 318 (1998), was not misplaced. Because Magee v DaimlerChrysler Corp, 472 Mich 108 (2005), was wrongly decided, the majority should not overrule Jacobson. Leave to appeal should be denied in this case, and the decision in Jacobson should be affirmed.
Justice CAVANAGH would deny leave to appeal.
CIVIL RIGHTS — EMPLOYMENT DISCRIMINATION — ACCRUAL OF CLAIMS.
A claim of unlawful discrimination against a former employer, which claim does not involve an allegation of discriminatory discharge, accrues for the purposes of the three-year period of limitations on the date the alleged discriminatory act occurred, not on the plaintiff employee‘s last day of work (
E. Philip Adamaszek for the plaintiff.
Secrest Wardle (by Janet Callahan Barnes) and Johnson, Rosati, LaBarge, Aseltyne & Field, P.C. (by Edward D. Plato), for the defendants.
WEAVER, J. The issue before us is whether plaintiff‘s claims for violations of the Civil Rights Act (CRA),1 breach of contract, and misrepresentation accrue on the
Here, plaintiff does not assert a claim of discriminatory discharge. All the discriminatory acts or misrepresentations alleged in plaintiff‘s complaint took place before November 30, 1998. Therefore, plaintiff‘s November 30, 2001, complaint was not timely filed under the applicable three-year statute of limitations,
FACTS
Plaintiff worked for the city of Taylor as a data processing manager. Plaintiff testified by deposition
On August 31, 1998, the city hired a much younger man, Randy Wittner, as the new director of information systems. Plaintiff testified that many of her prior job duties were shifted to Wittner, and that she suffered a $15,000 reduction in income because she no longer received overtime pay.3
In late September 1998, Bacha went on leave, and then formally left his position on October 8, 1998. Bacha was apparently the subject of sexual harassment complaints from other women, and it was arranged for him to leave his job with the city of Taylor. After Bacha went on leave, plaintiff never saw him again.
Plaintiff testified that she became uncertain about her status at work in the fall of 1998. She attempted to meet with defendant Gregory Pitoniak, mayor of the city of Taylor, about her concerns, but he avoided meeting with her. Plaintiff repeatedly requested an “at will termination” by the city, which would have allowed her to receive 30 weeks’ severance pay, but she testified that Pitoniak refused to discuss her requests.
Plaintiff went on vacation on November 24, 1998. While on vacation she decided that she could no longer work for the city. Plaintiff sent in her resignation on November 30, 1998, to be effective December 1, 1998. In her letter of resignation, plaintiff again requested that she be given severance pay.
Defendants filed a motion for summary disposition under MCR 2.116(C)(7), asserting that plaintiff‘s suit was barred by the three-year period of limitations in
The trial court denied defendants’ motion for summary disposition, concluding that plaintiff had three years from the last day that she worked, which was sometime between November 30, 1998, and December 3, 1998, to file suit. The Court of Appeals affirmed the order denying defendants’ motion for summary disposition, finding that plaintiff‘s last day of work was November 30, 1998.5
Defendants then filed an application for leave to appeal in this Court. We ordered oral argument on the application, instructing the parties to address the following questions:
The parties shall submit supplemental briefs ... addressing: (1) what actions, if any, were taken by the two defendants after October 8, 1998, that contributed to a
STANDARD OF REVIEW
This Court reviews de novo rulings on summary disposition motions, viewing the evidence in the light most favorable to the nonmoving party.7 In the absence of disputed facts, whether a cause of action is barred by the applicable statute of limitations is a question of law, which this Court reviews de novo.8
ANALYSIS
All of plaintiff‘s claims against the defendants are subject to the three-year period of limitations in
The statute of limitations at issue,
(1) A person shall not bring or maintain an action to recover damages for injuries to persons or property unless, after the claim first accrued to the plaintiff or to someone through whom the plaintiff claims, the action is commenced within the periods of time prescribed by this section.
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(9) The period of limitations is 3 years after the time of the death or injury for all other actions to recover damages for the death of a person, or for injury to a person or property.
Furthermore, accrual under the three-year statute of limitations is measured by “the time the wrong upon which the claim is based was done regardless of the time when damage results.”10
Thus, plaintiff‘s claims are barred by the statute of limitations unless they were brought within three years of the date the claims accrued, which is the date of the alleged wrongdoing.
The trial court and the Court of Appeals both relied on Jacobson, supra, and Collins v Comerica Bank, 468 Mich 628; 664 NW2d 713 (2003), to hold that the period of limitations began to run on plaintiff‘s last day of work. Both courts found that plaintiff‘s last day of work was not before November 30, 1998, and thus plaintiff‘s suit was timely filed within the three-year period of limitations.
But here plaintiff does not assert a claim of discriminatory discharge. Rather, plaintiff‘s Civil Rights Act claims and her breach of contract and misrepresentation claim are based on alleged discriminatory conduct that occurred before she resigned her position. Thus, unlike the situation in Collins, the adverse employment action alleged in this case did not coincide with the date of the termination of plaintiff‘s employment. Collins is inapposite.
This Court recently recognized in Magee, supra, the distinction between a constructive and a discriminatory discharge. When the plaintiff does not make a claim of discriminatory termination, the court must examine whether the discriminatory conduct occurred within the three years that preceded the filing of the complaint. In Magee, the plaintiff went on medical leave on September 12, 1998, and resigned on February 2, 1999. She never returned to work from her medical leave. On February 1, 2002, the plaintiff filed a civil rights claim against the defendant, alleging an assortment of age, sex, and hostile work environment claims. The trial court granted the defendant‘s motion for summary
This Court reversed the Court of Appeals and distinguished Collins on the basis that the plaintiff in Magee did not allege a discriminatory discharge. Since she was not discriminatorily discharged by the defendant, and she could not allege any acts of discrimination within three years of her lawsuit, the plaintiff‘s claims were barred by the statute of limitations. We find the holding of Magee particularly instructive in this case, since both cases center on claims of constructive discharge where the alleged discriminatory acts preceded the date of resignation.
In addition to its misplaced reliance on Collins, the Court of Appeals in this case also relied on Jacobson, supra, to hold that plaintiff‘s claims accrued on her last day of work. In Jacobson, this Court considered whether the 90-day statute of limitations contained in the Whistleblowers’ Protection Act (WPA)13 barred the plaintiff‘s wrongful discharge claim.14 The plaintiff, an executive vice president and chief operating officer of
After the plaintiff received a favorable jury verdict, the trial court granted the defendant a directed verdict because the plaintiff failed to allege a violation of the WPA that occurred within the period of limitations. The Court of Appeals reversed, and this Court affirmed.
The majority held that the constructive discharge, although not itself a cause of action,16 was a violation of the WPA as a retaliatory act of discharge, since “a discharge occurs when a reasonable person in the employee‘s place would feel compelled to resign.”17 Although the plaintiff‘s voluntarily resignation was compelled by discriminatory acts that had occurred more than 90 days before filing her lawsuit, the majority found that her WPA claim was timely filed.
Justice TAYLOR, joined by Justices WEAVER and BRICKLEY, dissented. The dissent distinguished be-
We note that, absent Magee, which the Court of Appeals in this case did not have the opportunity to consider, Jacobson would compel this Court to affirm the Court of Appeals, because plaintiff filed suit within three years of the date of her resignation. However, our decision in Jacobson is inconsistent with the statute of limitations accrual analysis we ultimately applied in Magee. Because Jacobson‘s analysis is contrary to the one adopted in Magee, we are obligated to resolve this conflict and decide which decision best reflects the Legislative intent expressed in the words of the statute of limitations.
Magee is more faithful in construing the plain language of the statute of limitations under the CRA than Jacobson was in construing the WPA statute of limitations. Magee recognized that the basic question to answer when analyzing the accrual date of a claim under the CRA is when did the “injury” or “wrong” take place. This is the most straightforward reading of
We agree with the Jacobson majority that a constructive discharge is not a cause of action, but simply the culmination of alleged wrongful actions that would cause a reasonable person to quit employment. Constructive discharge is a defense that a plaintiff interposes to preclude the defendant from claiming that the plaintiff voluntarily left employment. Jacobson, supra at 321 n 9. The resignation itself does not constitute a separate cause of action. Id.
However, notwithstanding the conclusion that a constructive discharge is not a cause of action, Jacobson erroneously treated an employee‘s resignation as a violation of the WPA. Where the resignation is not itself an unlawful act perpetrated by the employer, it simply is not a “violation” of the WPA under the plain language of
A. AGE AND SEXUAL DISCRIMINATION
1. DEFENDANT FRANK BACHA
Plaintiff recorded incidents by Bacha that she believed were discriminatory in her daily planner. The incidents that plaintiff recorded occurred between August 1997 and September 1998. Plaintiff testified in her deposition that she never saw Bacha after he ceased working for the city in September 1998:
Q. ... Was there any type of harassment by Mr. Bacha that you‘re aware of after he went on leave in September of 1998?
A. No, I never saw him again.[22]
Even viewing the evidence in the light most favorable to plaintiff, on the basis of plaintiff‘s deposition testimony it is clear that Bacha engaged in no discriminatory conduct within the limitations period.
The trial court and Court of Appeals erred in denying the motion for summary disposition with regard to Bacha.
2. DEFENDANT GREGORY PITONIAK
Although in her deposition plaintiff testified that there was no specific incident of discrimination by Pitoniak between November 24, 1998, and November 30, 1998,23 plaintiff claims on appeal that two discriminatory acts by Pitoniak occurred within the three years that preceded the filing of the complaint.
First, plaintiff claims that she received disparate pay until she resigned. Specifically, plaintiff alleges that her income was decreased by approximately $15,000 because she no longer received overtime pay after the city hired Wittner as the new director of information systems. Wittner was hired on August 31, 1998.
The hiring of the younger man was the alleged discriminatory act; the resulting loss of overtime pay was an ongoing damage that resulted from that discriminatory act, not a discriminatory act in itself. If an act is not in and of itself discriminatory, i.e., it has a discriminatory effect only because of a prior discriminatory act, it cannot sustain a cause of action. Sumner v Goodyear Tire & Rubber Co, 427 Mich 505, 530; 398 NW2d 368 (1986) (citing United Air Lines, Inc v Evans, 431 US 553; 97 S Ct 1885; 52 L Ed 2d 571 [1977]), overruled on other grounds by Garg v Macomb Co Community Mental Health Services, 472 Mich 263; 696 NW2d 646 (2005).
Plaintiff‘s claim based on the hiring of Wittner accrued when the alleged discriminatory act took place, when Wittner was hired on August 31, 1998, even though the damages from that discriminatory act continued during the limitations period.
Because plaintiff alleged no discriminatory acts by Pitoniak that occurred on or after November 30, 1998, her complaint against him was not timely filed.
B. BREACH OF CONTRACT AND MISREPRESENTATION
In count IV of her complaint, plaintiff alleged that defendants made various misrepresentations to her: that her working conditions “would not be affected by her acceptance of any sexual harassment or discrimination on the basis of her age or sex,” that her job was not being advertised or open for a replacement, and that she was to perform her duties in the best interests of the city of Taylor. All these allegations of misrepresentation stem from incidents that occurred before November 30, 1998. Because the claims did not accrue within the three years preceding the filing of the complaint, plaintiff‘s complaint was not timely filed.
CONCLUSION
Plaintiff‘s claims accrued on the dates that the alleged discriminatory acts or misrepresentations occurred. All the discriminatory acts or misrepresentations alleged in plaintiff‘s complaint took place before November 30, 1998. Thus, her November 30, 2001, complaint was not timely filed. The trial court and Court of Appeals erred in denying defendants’ motion for summary disposition based on the three-year period of limitations,
TAYLOR, C.J., and CORRIGAN, YOUNG, and MARKMAN, JJ., concurred with WEAVER, J.
KELLY, J. (dissenting). I respectfully disagree with the majority in this case. While the Court of Appeals and the trial court did err in relying on Collins v Comerica Bank,1 their reliance on Jacobson v Parda Fed Credit Union2 was not misplaced. And, because I continue to believe that Magee v DaimlerChrysler Corp3 was wrongly decided, I disagree with the majority‘s decision to overrule Jacobson.
Magee presented unique circumstances. There, the plaintiff‘s three medical leaves were directly related to the continual sexual harassment she experienced at work. The plaintiff did not return to the harassing work environment after her last medical leave because the defendant had taken no steps during her leave to stop the harassment. Magee should be limited to its unique facts.
Jacobson did involve allegations of constructive discharge. It raised claims under the Whistleblowers’ Protection Act (WPA),4 not the Civil Rights Act (CRA).5 The majority‘s decision to overrule Jacobson in favor of Magee is gratuitous and unnecessary in the context of this case. Here, plaintiff‘s claims are brought under the CRA, not the WPA.
The WPA‘s limitations provision was at issue in Jacobson. The provision requires that a civil action be brought “within 90 days after the occurrence of the
Insofar as Jacobson is inconsistent with the majority‘s statute of limitations analysis in Magee, it is Magee that is wrongly decided. I would resolve the conflict in favor of Jacobson. Jacobson addressed the question of when a constructive discharge occurs in the context of the WPA, and cited as instructive Champion v Nationwide Security, Inc, 450 Mich 702; 545 NW2d 596 (1996). In Champion, this Court addressed the question of constructive discharge in the context of a CRA claim, noting that constructive discharge occurs when employer conduct ” ‘is so severe that a reasonable person in the employee‘s place would feel compelled to resign.’ ” Jacobson, supra at 326, quoting Champion, supra at 710. The date that constructive discharge occurs is not dependent on the timing of the employer‘s actions. It is the point at which a reasonable employee would have felt compelled to resign.
I agree with the majority that plaintiff‘s claims against defendant Frank Bacha fail. Bacha engaged in no discriminatory conduct within the three-year limitations period, having left in September 1998. However, I disagree with the majority‘s conclusion that defendant Gregory E. Pitoniak did not engage in specific acts of discriminatory conduct during the three years that preceded the filing of plaintiff‘s complaint.
According to plaintiff, “the Mayor [Pitoniak] kept promising and promising and promising to meet with
I was even under a desk one day fixing Gail‘s computer. Gail was one of the Mayor‘s two executive secretaries at the time. The Mayor walked in, told Gail that he didn‘t have much to do and he was going to relax this afternoon. I finished fixing the computer and stood up, and he‘s, oh, he says, I didn‘t know you were there. I‘ve got a meeting to go to. Bye. And out he went.
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Q. Okay. So your complaint is that after Mr. Bacha left the employment of the City that thereafter the way you contend the Mayor discriminated against you was by failing to meet with you?
A. [Yes.] And by not addressing the situation. [Id., pp 93-94.]
Even if I agreed with the majority that the date of the adverse discriminatory act begins the running of the limitations period, I would still find plaintiff‘s complaint timely filed. I believe that defendant Pitoniak‘s act of shunning plaintiff constituted a specific incident of discriminatory conduct that occurred on every day leading up to and including plaintiff‘s last day of work, November 30, 1998. Thus, plaintiff‘s November 30, 2001, complaint was timely filed.
I would deny leave to appeal and affirm Jacobson.
CAVANAGH, J., would deny leave to appeal.
Notes
Q. Was there any incident of discrimination that occurred between November 24th and the date you resigned on November 30th?
A. I had no contact with City officials, but I maintained that their actions were cumulative.
Q. Okay. I—
A. But no specific—No.
Q. There was no specific incident of discrimination from November 24th till November 30th; is that correct?
A. Let me just make sure I didn‘t get—don‘t have a record of a phone call.
There was no specific act of discrimination during that time period.
