Fred L. PATRICK, Plaintiff-Appellee and Cross-Appellant,
v.
Eugene MILLER, individually and in his official capacity as
City Manager of the City of Norman; John Bloomberg,
individually and in his official capacity as Director of
Administrative Services, Defendants-Appellants and Cross-Appellees,
The City of Norman, a Municipal corporation, Defendant.
Nos. 90-6359, 90-6388.
United States Court of Appeals,
Tenth Circuit.
Jan. 27, 1992.
Kenneth L. Buettner (Steven R. Welch, with him on the briefs) of McAfee & Taft, P.C., Oklahoma City, Okl., for plaintiff-appellee and cross-appellant.
Jim T. Priest (Debra B. Cannon, with him on the briefs) of McKinney, Stringer & Webster, P.C., Oklahoma City, Okl., for defendants-appellants and cross-appellees.
Before MCKAY, BARRETT and BRORBY, Circuit Judges.
BRORBY, Circuit Judge.
After being terminated from his position as Finance Director for the City of Norman, Oklahoma, Plaintiff brought a 42 U.S.C. § 1983 action alleging Defendants' conduct violated his constitutional rights under the First and Fourteenth Amendments. Plaintiff also alleged a violation of his statutory civil rights under 42 U.S.C. § 1981. Defendants moved for summary judgment, claiming protection from suit under the doctrine of qualified immunity. The district court denied Defendants' motion with respect to Plaintiff's § 1983 claim. However, the district court granted Defendants' Motion for Summary Judgment on grounds of qualified immunity with respect to Plaintiff's § 1981 claim. These rulings appear before this court on Defendants' appeal and Plaintiff's cross appeal. We reverse in part and affirm in part.
I. FACTUAL BACKGROUND
The following facts are undisputed. Plaintiff Fred L. Patrick (Patrick) was employed as Finance Director and City Controller by the City of Norman, Oklahoma (City) from February 16, 1988 to August 17, 1988. Patrick's employment with the City was terminated on August 17, 1988 by Defendant Eugene Miller (Miller), the City Manager, and Defendant John Bloomberg (Bloomberg), the Director of Administrative Services (collectively "Defendants"). While under the City's employ, Patrick's responsibilities included serving as Chairman of the City of Norman Retirement Board and supervising the City print shop. Patrick alleges two incidents pertaining to his performance of these responsibilities ultimately resulted in his termination.
On May 18, 1988, Shirley Franklin, a black print shop employee, initiated a racial discrimination complaint against the City of Norman with the Oklahoma Human Rights Commission. Her affidavit submitted May 26, 1988 charged the City with discriminatory treatment on the basis of race, stemming from Defendant Bloomberg's denial of a mileage reimbursement request. The official complaint, signed by Franklin and filed with the Oklahoma Human Rights Commission and the Equal Employment Opportunity Commission on June 10, 1988, was served on the City June 16, 1988. Patrick, as print shop supervisor, was aware of Franklin's actions. In fact, Patrick intended to assist Franklin in preparing her discrimination complaints after he realized City officials would take no corrective action. The City officials were aware of Patrick's involvement because on or about June 16, 1988, Patrick met with City Attorney Jeff Raley to discuss Franklin's request for Patrick's assistance. Raley and Patrick met again on or about June 23, 1988, and decided it would not be in Patrick's best interest to continue to assist Franklin with her complaints.
On June 21, 1988, Patrick, while chairing a meeting of the City of Norman Retirement Board, expressed concern that certain retirement funds were being used to balance the City's fiscal year 1989 budget. As a result, the Retirement Board voted to seek the City Attorney's opinion as to the propriety of such conduct. Patrick's comments at the meeting greatly disturbed Defendant Miller, so much so that he commented to Defendant Bloomberg Patrick should be fired.
Prior to the Franklin and Retirement Board incidents, Patrick's job performance had never been evaluated. However, on or about June 22, 1988, the day after the Retirement Board meeting, Miller and Bloomberg informed Patrick his continued employment with the City was in jeopardy. Defendants documented this unsatisfactory performance evaluation in a letter to Patrick dated June 28, 1988. Notice of termination was subsequently delivered to Patrick on July 15, 1988.
Patrick was afforded a pretermination hearing on August 16, 1988, conducted by George Shirley, City Personnel Director. Shirley affirmed Bloomberg's decision to terminate Patrick, and notified Patrick of his right to appeal the decision to Defendant Miller, the City Manager. Patrick pursued his appeal; however, Miller declined to overrule Patrick's termination. This suit was timely commenced after Patrick received a right to sue letter from the Equal Employment Opportunity Commission, dated March 30, 1990.
II. ANALYSIS
This appeal and cross appeal present a single legal issue: whether Defendants Miller and Bloomberg are qualifiedly immune from Patrick's § 1981 and § 1983 claims.
Because qualified immunity offers protection from suit rather than a mere defense to liability, the benefits to be gained by asserting qualified immunity would be lost if a case were erroneously permitted to go to trial. Consequently, a district court's ruling granting or denying qualified immunity is appealable as a "final decision" under 28 U.S.C. § 1291. Mitchell v. Forsyth,
In order to preserve the protections afforded government officials by the qualified immunity doctrine, see Harlow,
Once plaintiff has identified the clearly established law and the conduct that violated the law with sufficient particularity, the defendant then bears the burden as a movant for summary judgment of showing no material issues of fact remain which would defeat the claim of qualified immunity. Losavio,
We now examine the record before us, using the described analysis.
A. § 1983
Patrick asserts distinct violations of his First and Fourteenth Amendment rights actionable under 42 U.S.C. § 1983.1 First, he alleges Defendants' conduct deprived him of his property interest in continued employment without due process of law, in violation of the Fourteenth Amendment. Second, Patrick alleges he was terminated in violation of the First Amendment for expressing opposition to discriminatory employment practices based on race and for expressing concerns regarding perceived illegalities in the City's budgeting process. We examine each allegation individually to determine whether Patrick has shown that Defendants' alleged conduct violated the law and that the law was clearly established when the alleged violations occurred.
Due Process
General due process principles are beyond dispute--the Fourteenth Amendment prohibits a state from depriving a person of property without due process of law. Thus, it has long been established that an employer cannot deprive an employee of a legitimate claim of entitlement to continued employment without due process. See Perry v. Sindermann,
These clearly established principles are insufficient, however, to defeat Defendants' Motion for Summary Judgment on grounds of qualified immunity. In order to maintain his claim, Patrick must go beyond these generalities to convince this court 1) he had a clearly established property interest in continued employment with the City at the time of the alleged wrongful discharge, Graham v. City of Oklahoma City,
Whether Patrick had a property interest in continued employment with the City of Norman is a question of state law. Bishop v. Wood,
Defendants Miller and Bloomberg assert the Norman City Charter is ambiguous and therefore could not confer a clearly established property interest in continued employment. They further contend Patrick had no property interest in continued employment because he was a probationary employee. See Walker v. United States,
The Norman City Charter vests the City Manager with the power to appoint and dismiss City employees "at pleasure." However, the Charter also provides that "such appointments and removals shall be made upon the basis of merit and fitness alone." Notably, this provision makes no distinction between permanent and probationary employees. We find the restriction unambiguous.
The question remains, however, as to what effect Oklahoma courts would give the phrase "upon the basis of merit and fitness alone." Although Oklahoma courts have not yet reviewed this specific language, the Oklahoma Supreme Court has ruled that public employees subject to termination solely "for the good of the service" do not have a property interest in their continued employment. Hall,
As mentioned, due process protection provides, at minimum, an impartial tribunal, reasonable notice, and, absent exigent circumstances, a pretermination hearing. Miller,
In support of his allegation, Patrick presented evidence that both the pretermination hearing and the post-termination appeal were tainted by bias. For example, George Shirley, the City Personnel Director who served as hearing officer during Patrick's pretermination hearing, testified during deposition that Defendant Bloomberg instructed him to advertise for Patrick's replacement prior to the pretermination hearing. Shirley also testified he was given a prepared memorandum finding that Patrick should be terminated. Shirley felt coerced into approving Patrick's termination because he thought his own job might be jeopardized by finding in Patrick's favor. Thus, he approved the termination although he disagreed with it. In addition, Patrick's post-termination appeal was conducted by Defendant Miller, who, after the Retirement Board meeting, stated that Patrick should be fired.
Defendants boldly assert this evidence reveals nothing to suggest they "coerced" the hearing officer. They further assert an appeal was not constitutionally mandated, and therefore any impartiality by Defendant Miller is irrelevant. To the contrary, we find Patrick's evidence sufficient to demonstrate a genuine issue of material fact as to whether Defendants' conduct denied Patrick an unbiased tribunal. Thus, Defendants are not entitled to qualified immunity with regard to Patrick's due process claim.
First Amendment
"It is clearly established that a State may not discharge an employee on a basis that infringes that employee's constitutionally protected interest in freedom of speech." Rankin v. McPherson,
Defendants suggest this case-by-case First Amendment analysis cannot be reconciled with the Harlow requirement that the law be "clearly established" before the defense of qualified immunity can be defeated. They argue that "[b]ecause no 'bright-line standard' puts the reasonable public employer on notice of a constitutional violation in the First Amendment arena, the employer is entitled to immunity." We have found the application of competing First Amendment/qualified immunity principles difficult, but not impossible:
Harlow is intended as a shield against liability but cannot become an insuperable barrier; therefore, public officials lose immunity in the face of clearly established law. However, because a rule of law determined by a balancing of interests is inevitably difficult to clearly anticipate, it follows that where Pickering balancing is required, the law is less likely to be well established than in other cases. We believe that except for case-by-case analysis and application, the rule cannot be better stated than in Harlow itself with careful consideration of its underlying principles.
In some circumstances, the fact-specific nature of the Pickering balancing may preclude a determination of "clearly established law," thereby giving rise to qualified immunity under Harlow.... We believe that the approach we adopt gives proper consideration to the concerns which prompted the Supreme Court to recognize qualified immunity, while it protects individuals from unprincipled behavior by a public employee's supervisors acting under color of law.
Melton,
Patrick alleges he was terminated in retaliation for two incidents of protected speech: 1) expressing views critical and in opposition to the discriminatory employment practices of each of the defendants and in support of black female employees; and 2) expressing concerns over use of City retirement funds to balance the City budget.
Patrick's statements in opposition to discriminatory employment practices were made as a result of his awareness that one of his subordinates, Franklin, a black woman supervisor in the print shop, felt she had been discriminated against by Defendant Bloomberg. Franklin's discrimination claim arose from Bloomberg's decision to only allow Franklin out-of-pocket gas expense on a conference trip, rather than mileage reimbursement as provided by the Personnel Manual. Patrick supported Franklin's position in meetings with Defendants Bloomberg and Miller, the affected employees and the City Attorney. Patrick's statements were first made in the context of attempting to resolve the issue "in house." However, when that attempt proved unsuccessful, Patrick informed Defendants of the pending complaint and reaffirmed his support of the discrimination complaint.
Speech touching on matters of public concern relates to "any matter of political, social, or other concern to the community," in contrast to "matters only of personal interest." Connick v. Myers,
Defendants analogize the present case to Noyola v. Texas Dept. of Human Resources,
While the precise content of Patrick's statements is not disclosed by the record, the evidence presented is sufficient to distinguish this case from Noyola. In the present case, Patrick was not addressing concerns relating to employment practices which affected him directly. Rather, he was speaking in support of other employees. In addition, the record indicates Patrick voiced his opposition to the discriminatory practices and his support for his black co-worker on a number of occasions and in the presence of numerous individuals. Contrary to Defendants' assertion, Patrick's statements cannot be characterized simply as a personal grievance or an internal personnel matter. The disclosure and attempted remediation of racially discriminatory employment practices is better characterized as a matter of social concern to the community.
In Givhan v. Western Line Consol. Sch. Dist.,
Patrick's statements expressing concern over the use of retirement funds to balance the City budget were made at a public Retirement Board meeting. As trustee of the retirement fund and chairman of the Retirement Board, Patrick raised the issue with board members after first trying unsuccessfully to meet with Bloomberg and Miller. Applying the "public concern" standards enumerated above, we hold that Patrick's statements expressing concern over perceived illegal budgeting activities constituted speech on a matter of public concern.
"Speech which discloses any evidence of corruption, impropriety, or other malfeasance on the part of city officials, in terms of content, clearly concerns matter of public import." Conaway,
Patrick's statements concerning potential illegalities in the City budget process most certainly addressed a matter of political and social concern to the community. These statements, which were made during a public meeting of the Retirement Board, did not address internal policies relevant only to City personnel; nor did they address essentially a private matter. See Conaway,
Having thus concluded Patrick met his initial burden of showing the speech involved in both incidents was protected speech, we must now determine whether it was clearly established Patrick's interest in making those statements would outweigh Defendants' interest in the effective functioning of the City government. Wulf v. City of Wichita,
Patrick's interest, as a citizen, in free comment upon matters of public concern--racially discriminatory employment policies and budgetary impropriety--is self-evident. "[S]peech on public issues occupies the 'highest rung of the hierarchy of First Amendment values,' and is entitled to special protection." Connick,
A number of factors are considered in evaluating Defendants' interest under the Pickering balancing test. Pertinent considerations include "the manner, time, and place of the employee's expression ... the context in which the dispute arose ... [and] whether the statement impairs discipline by superiors or harmony among co-workers, has a detrimental impact on close working relationships for which personal loyalty and confidence are necessary, or impedes the performance of the speaker's duties or interferes with the regular operation of the enterprise." Rankin,
Defendants make no assertion as to the effect of Patrick's statements regarding racial discrimination on the operation of City government. Defendants assert that Patrick's statements regarding the alleged inappropriate use of retirement funds to balance the City's budget were false, interfered with the operation of the budget process and openly discredited their integrity. The record, however, offers no support for these assertions--it discloses no evidence of interference with City operations, personnel relations or Patrick's job performance. Absent any particularized evidence of the Defendants' interest in this case, we must surmise that in light of the protected nature of Patrick's speech and the well-defined contours of the Pickering analysis, Defendants should have known their conduct in terminating Patrick would not survive a balancing inquiry.
In summary, Patrick has sufficiently established that his speech was constitutionally protected and that Defendants should have known their conduct would not survive First Amendment scrutiny. Moreover, Patrick's evidence raises a genuine issue of material fact as to whether his speech was a substantial or motivating factor in Defendants' decision to terminate him. Accordingly, Defendants are not entitled to qualified immunity from Patrick's First Amendment claim at this stage of the proceedings.
B. § 1981
The district court found Plaintiff's § 1981 claim2 was supported by this court's decision in Skinner v. Total Petroleum, Inc.,
On cross-appeal, Plaintiff contends this ruling is erroneous as "the district court utilized an incorrect standard in looking solely at whether there was 'clear authority in this circuit' to support Plaintiff's claim." Again, whether Plaintiff's rights were clearly established at the time Defendants terminated Patrick's employment is a question of law which we review de novo. Mitchell,
While the district court correctly determined Plaintiff could not rely on Skinner, and while Defendants accurately asserted that "[t]o date, the Supreme Court has not addressed the issue of whether a white person who is allegedly terminated for his efforts to support minorities in vindicating their rights is recognized under § 1981," we do not end our inquiry here. The law may be found to be clearly established by reference to decisions from other circuits. Walters v. Western State Hosp.,
The principal beneficiaries of § 1981 have traditionally been racial minorities. However, federal courts have consistently broadened standing under § 1981. Beginning most decidedly with McDonald v. Santa Fe Trail Transp. Co.,
The above referenced cases were sufficient to inform a reasonable government official in 1988 that retaliatory actions against a white employee because of his efforts to defend the rights of racial minorities may violate the employee's rights as enumerated in § 1981. Thus, we hold, as a matter of law, that Patrick's right to sue under § 1981 was "clearly established" at the time Miller and Bloomberg terminated his employment.
Our inquiry does not end here, however. In order to defeat Defendants' Motion for Summary Judgment, Patrick must present facts and allegations sufficient to demonstrate Defendants' conduct violated a right protected by § 1981--facts and allegations demonstrating discriminatory interference with Patrick's right to make or enforce a contract. After reviewing the record, we conclude Patrick has presented evidence sufficient to establish the essential elements of his § 1981 claim.
First, Patrick alleges Defendants were motivated by racial animus. Racial animus is an element necessary to support a discrimination claim under § 1981. General Bldg. Contractors Ass'n, Inc. v. Pennsylvania,
Second, Patrick alleges that Defendants Miller and Bloomberg denied him his right under § 1981 to make and enforce an employment contract. This court, relying on the language and reasoning of the United States Supreme Court in Patterson v. McLean Credit Union,
The record indicates that Patrick may have been denied a "promotion." Defendants, relying on the City Charter, the Norman Personnel Handbook and references by Patrick himself in a letter dated August 16, 1988, contend Patrick was an "at will" and probationary employee who was denied "permanent employee status." The Personnel Handbook makes clear that permanent employees have rights, privileges and benefits not available to probationary employees. Therefore, by Defendants' own evidence, the change from probationary to permanent employment status drastically alters the relation between the employee and the employer. This evidence supports Patrick's § 1981 claim. For purposes of his § 1983 claim, however, Patrick denies he was a probationary employee by asserting he had a property interest in continued employment. Based on this evidence, we find a disputed issue of material fact exists as to Patrick's employment status. Accordingly, Defendants are not entitled to qualified immunity from Patrick's § 1981 claim at this stage of the proceedings.
III. CONCLUSION
As we have shown, Plaintiff has sufficiently identified his clearly established rights under 42 U.S.C. §§ 1981 and 1983. Plaintiff has also presented facts and allegations sufficient to show Defendants' conduct may well have violated those rights. Defendants, on the other hand, have failed to satisfy their burden as movants for summary judgment--they have failed to show that no material issues of fact remain which would defeat their claim of qualified immunity.
Therefore, the district court's October 12, 1990 order denying Defendants' Motion for Summary Judgment on grounds of qualified immunity with respect to Plaintiff's § 1983 claim is AFFIRMED. However, that same order is REVERSED insofar as it granted Defendants' Motion for Summary Judgment on grounds of qualified immunity with respect to Plaintiff's § 1981 claim. Accordingly, we REMAND for further proceedings consistent with this opinion.
Notes
42 U.S.C. § 1983 provides:
Any person who, under color of any statute, ordinance, regulation, custom, or usage, of any State or Territory or the District of Columbia, subjects, or causes to be subjected, any citizen of the United States or other person within the jurisdiction thereof to the deprivation of any rights, privileges, or immunities secured by the Constitution and laws, shall be liable to the party injured in an action at law, suit in equity, or other proper proceeding for redress. For the purposes of this section, any Act of Congress applicable exclusively to the District of Columbia shall be considered to be a statute of the District of Columbia.
42 U.S.C. § 1981 provides:
All persons within the jurisdiction of the United States shall have the same right in every State and Territory to make and enforce contracts, to sue, be parties, give evidence, and to the full and equal benefit of all laws and proceedings for the security of persons and property as is enjoyed by white citizens, and shall be subject to like punishment, pains, penalties, taxes, licenses, and exactions of every kind, and to no other.
The conduct upon which Plaintiff's § 1981 claim is based occurred no later than September 9, 1988, the date of Millers' ruling on appeal
In 1969 the United States Supreme Court granted standing to a white lessor to sue a community recreation corporation because of his expulsion from the corporation for assigning his membership interest to his black lessee. Sullivan v. Little Hunting Park, Inc.,
Defendants cite one district court case, Van Hoomissen v. Xerox Corp.,
The Civil Rights Act of 1991 was enacted, in part, to overrule restrictive case precedent and to give effect to Congress' intended broad scope of civil rights protection in the employment context. Civil Rights Act of 1991, Pub.L. No. 102-166, § 3 (1991). The 1991 Civil Rights Act specifically amended § 1981 to include protection against discriminatory termination of an employment contract. Id. § 101. However, it is neither necessary nor appropriate for us to discuss the potential applicability of this new legislation given the present posture of this case
