*3
M.
Before EMILIO
GARZA and
I
DeMOSS,
ZAGEL,
Judges,
Circuit
dispute
The critical issue in
on this
Judge.*
District
appeal
sufficiency
sup
evidence to
port
jury finding
DeMOSS,
discrimination.
Judge:
Circuit
That
upon
issue calls
us to exercise our
employer,
Calvin Rhodes sued his former
appellate
responsibility
review
to determine
(“Guiberson Oil”), alleg
Guiberson Oil Tools
whether there was
upon
sufficient evidence
ing that Guiberson Oil terminated him on
jury
which a
rationally
reasonable
could
con
age, in
Age
account of his
violation of the
clude that Guiberson Oil discriminated
Act,
Employment
in
Discrimination
29 U.S.C.
against
age.
Rhodes
the basis of
The
(1988) (“ADEA”).
§§ 621-34
parties
testimony presented at trial showed the fol
stipulated
magistrate judge
that a
would de
lowing.
except liability.
liability
cide all issues
jury
issues were tried to a
who
May
found
From 1955 until
Rhodes sold
against
products
Guiberson Oil had discriminated
wireline
for the Atlas Óivision of
(Atlas)
judgment
Rhodes. Guiberson Oil moved for
corporate predeces-
Dresser
and the
as a
of law
matter
both before and after the
sors of
collapse
that division. With the
of oil
jury
magistrate judge
prices
early
verdict. The
in
resulting
dis
1980’s and the
prejudice
missed
sharp
Rhodes’ case with
because
drilling
decline
domestic oil
Rhodes, prior
action,
bringing
production,
along
many
failed
Atlas
with
other
timely
charge
Equal
companies
file a
Em
industry
in the oil field services
ployment Opportunity
experienced
Commission. Rhodes
severe economic
In
difficulties.
dismissal,
appealed
contending
response
pressures,
that his
to these
Atlas reduced
panel
suit was not time-barred. A
of this
the size of its sales force from 70 to 25
agreed,
magistrate
court
through major
layoffs
reversed
occurring in
judge’s
setting
decision
early
aside the
ver
1986. In each round of these
dict,
layoffs,
and remanded for a
attempted
strong-
determination of
Atlas
to retain the
damages.
performers
go
See Rhodes v.
produc-
Guiberson Oil
est
and to let
the least
Din,
(5th Cir.),
time,
Tools
personnel.
still performers go. percent Rhodes selection in the bottom five decided to let layoffs was on his strategy based Rhodes’ trial was to for that round of below Allen. ability, comparison company’s of technical the low sales to the bid- lack attribute personnel, and his de- remaining practice sales of in-house materials ding other and use supervisor Rhodes’ clining competitively priced customer base. instead of materials layoff him both of his personally informed open showing nothing did market. This However, it. before and of the reasons legitimate business reason to undermine the Atlas became ef- Rhodes’ termination proffered Guiberson Oil.
fective, company official found Rhodes Next, important to note what is product selling line and position another testimony is no the record. There *4 in lieu of ter- accepted this transfer Rhodes age age any any that Rhodes’ or the of kind product new line was trans- mination. This employee other was ever mentioned or dis Oil, another from Atlas to Guiberson ferred decision-making cussed as a factor. There is Dresser, in the middle of 1986. division of testimony any employee from fellow no product line suffered the same This new management personnel Guiberson Oil’s had occurred at At- difficulties as economic age. There is no docu talked about Rhodes’ supervisor, July Rhodes’ Lee las. In any mentary indicating internal continuing reduction in Snyder, part as of Oil which dis memorandum Guiberson (RIF), 27-year released a old sales force age. cussed Rhodes’ There was no rebuttal it representative. In October 1986 became testimony by that could have estab Rhodes apparent in the sales force further reductions pattern lished that Oil had a or Guiberson Snyder selected Rhodes and a were needed. reducing practice of the sales force termi representative” 32-year “technical old nating employees. There was no re older they pro- were his least termination because testimony buttal from Rhodes that the 32- employees. At the time of his termi- ductive nation, year representative not ac years old old technical was Rhodes was 56 and received $65,000. tually salary terminated at the same time as an annual On Rhodes’ Finally, Rhodes. Rhodes did not rebut testi report, Guiberson Oil stated both severance mony Snyder, manager that it Rhodes because of a re- a sales above Rhodes, 32-year force and that it would con- duction work that Rhodes and the old months, re-hiring him. two representative” sider Within “technical were terminated however, 42-year they productive Guiberson Oil hired old “because were his least em salesman, $36,000, salary at an annual ployees.” support In of his claim that he had trial, replace During Rhodes con- Rhodes. age,” been terminated “because and, fact, ceded that his sales were low only following: Rhodes offered sales were lower than conceded that his terminated, 1. After Rhodes was Guiber- sales, Lloyd in the New Allen’s the salesman 42-year rep- son hired a old1 Oil sales tubing ad- Orleans services sector. He even resentative to cover sales in the New management, mitted that had he been he area; Orleans would have RIF’d himself instead of Allen. paid 42-year 2. Guiberson Oil this old group paraded Rhodes of customers before month, $3,000 per approxi- which was confirming jury, all that Rhodes was a $2,000 mately per month less than But each con- hard worker. customer also making; Rhodes had been competitive firmed that his bids were not (a Snyder manager sales 3. Alfred Lee they give jobs. him did not Guiber- Rhodes) said, and above testi- below Givens say, not and never that it son Oil does stated once that he lazy; says it fied Givens fired Rhodes because he was younger could hire two salesmen for selected Rhodes for reduction force be- cause his were down and his customer what some of the older salesmen were sales “replacement” over 40 and Rhodes. This was therefore protected younger within the class but was than “youn- completely Snyder Guiberson Oil therein were mis-
costing.
later retracted
two leading”
consequently
clarified that he said
and that
ger” and
for what some of
“pretextual.”
“new” salesmen
reasons were
Oil’s
costing, but it
“other” salesmen were
however,
opinion,
expressly
Rhodes I
Snyder
the statement
who offered
panel
stated
had not addressed the
age.
only reference made to
as
evidence,
sufficiency
issue of the
of the
proof
offered
The first
two items
therefore,
panel
whatever
conclusions
claim
of his discrimination
clearly
reached are
dicta as to that issue in
prima facie case. The
simply completed the
appeal.
this
We are at a total loss to under-
spoken
third item of his
opinion
stand how dicta
an
on interlocu-
makes no reference to
Rhodes in mind and
tory appeal,
attempt
which made no
to evalu-
any
age
or the
“other”
either Rhodes’
jury,
ate the evidence considered
being
paid. Surely
employees who were
over
any bearing
could have
whatsoever on the
inferring
dis-
there is no rational basis
sufficiency
of the evidence
on the basis of
from such
crimination
appeal.
before the
this
short,
generalized comments as this.
our
of the evidence in this case leads us to
review
During pendency
appeal, the
.of
or
conclude that there is no evidence
testimo-
Court decided St.
Honor
*5
ny
any connection between
which shows
—
Hicks,
v.
Center
his
Rhodes’
and the decision to terminate
(1993).
2742,
By
28(j)
Rule
employment.2 In several ADEA cases decid-
briefs,
letter
both sides
copies
furnished
of
circuit, it
that
previously
ed
in this
is clear
respective arguments
that decision
their
eyes
its
to situa-
our circuit has not closed
impact
as to how
decision should
our
this fundamental lack of evi-
tions which
many
determination of this case. Like
5-to-
dence exists.3
Court,
Supreme
opinion
4 decisions of the
briefs,
attempts
argue
Mary’s
easy
analyze,
is not
but
St.
insufficiency
prob-
away the
of the evidence
view,
opinion
our
breaks down into the
by reiterating
of his
lem
the essentials
following primary
secondary holdings:
and
proof
by repeated
references to
holding
Mary’s
primary
A. The
of St.
is
by
panel
language used
the other
of this
employee plaintiff
that an
is not entitled
interlocutory ap-
court who considered the
law,
judgment
argues
as a matter.of
even
peal in Rhodes I. Rhodes
that these
report
though the
concludes that the
statements indicate that the severance
factfinder
discharge
was “false”
that the reasons offered
reasons for his
proffered
1991) (affirming grant
colleague
castigates
of
2. Our
in dissent
us for our
of JNOV in favor
defen
Constructors, Inc.,
dant);
of what
and what is not in the
detailed review
v. Ebasco
986
Molnar
115,
testimony
jury.
(5th Cir.1993);
before the
We note however that
F.2d
118
Laurence v. Chev
point
ron,
Inc.,
280,
and the
(5th
Rhodes did not
out in his brief
U.S.A.
885 F.2d
284-85
Cir.
evidence,
any other
dissent does not mention
1989) (both reversing jury verdict in favor of
indirect,
or
than the
identi-
direct
other
matters
plaintiff)).
being
fied in our review of the evidence as
rele-
sufficiency
vant to a review of
of the evidence
arguments, particu-
dissent
Rhodes'
4.The
echoes
Furthermore,
claim.
there were no conflicts in
larly
"discrepancies
as to what is called
between
jury’s credibility
testimony
where the
choice
report
Rhodes’ severance
and Guiberson’s trial
binding.
be
would
discharge.”
justification for his
We see no dis-
crepancy
language
between the
of
whatsoever
Co.,
Lilly
3. See
v. Eli
&
990 F.2d
817
Moore
report indicating that Rhodes was
the severance
(5th Cir.1993) (listing
plain
cases in which
n.
because of a "reduction in force” and
terminated
proof,
tiffs
meet their burden
includ
failed to
of
testimony presented by
Guiberson as to the
Garland,
ing Waggoner City
that a
show discrimina- matter of law.
“indirectly by showing
language
Mary’s applies
tion
that
the what
of St.
to or
case,
language”
employer’s proffered explanation is
controls our
the “dicta
should
dictum,
unworthy
yield
language
holding
of credence” is
involved
Mary’s
Secondly, Mary’s
which is inconsistent with other lan-
of St.
itself.
St.
mendacity) may, together
position
5.
that the
com-
with the elements of
That
district court is
case,
pelled
plaintiff
to show intentional
to submit the case to the
once
suffice
discrimination,
Appeals
employer's
creates a
issue as to whether the
... and the Court of
fact
that, upon
rejection,
fol-
when it noted
such
asserted reason is true and is based on the
correct
lowing language:
of discrimination is re-
"The factfinder’s disbelief of
'no additional
”
at-,
Mary's,-U.S.
put
(partic-
quired.'
forward
the defendant
reasons
ularly
accompanied by suspicion
at 2749.
if disbelief is
sufficiency
just
picture”
not a
of the evidence
the trier of fact must then
and,
only at
we should look not
what the
decide the ultimate
of intentional
Supreme
Mary’s,
said in St.
but what
Court
Although
discrimination.
the Tenth Circuit
did, i.e.,
the Court
the Court reversed and
very
cited the
language
same St.
remanded the case to the Circuit Court to
upon by
28(j) letter,
relied
apply
appellate
review—“which
normal
summary judg-
nonetheless concluded that
should be conducted on remand
this case
appropriate
ment was still
because the em-
‘clearly
under the
erroneous’ standard of ployee had not offered sufficient evidence to
2(A)”
Rules of
Procedure
Federal
Civil
finding
employer’s
—to
that the
stated
the determinations made
the trial court in
pretext
reason was a
discrimination.
Id.
at-,
Mary’s6.
Id.
547
action;
in the ment.
Honor Ctr. v.
non-mover’s ease —but
ports the
—Hicks,
U.S. -,
2742,
all reasonable inferences
light and with
opposed
party
to the
(1993).
most favorable
2747,
If
Aff. position these reasons were false: Rhodes’ (1981), and the a reduction in force. eliminated as burden shifts to the defendant to “articulate Moreover, contrary con- to the statements legitimate, nondiscriminatory some reason” report, tained in the severance challenged Doug for the action. McDonnell Oil’s defense at trial was that Rhodes was Green, 792, 802, Corp. v. las poor perfor- because of his work (1973). 1817, 1824, L.Ed.2d The de mance. This contradiction between the false presenting fendant meet burden report given on the severance that, reasons fact, the trier believed “if justification presented at trial could rea- finding would that unlawful dis employ- sonably jury to disbelieve Guiberson’s crimination was not the cause of the lead a I.e., (4) (1) discharge; replaced he was some- Guiberson conceded that Rhodes was (2) substantially younger discharged; (3) qualified position; within two months of he for the one protected discharge. he was within the class the time *11 548 Ill Consequently, the evidence
explanation. jury’s finding that
supports the
Guiberson
terminating
proffered reasons
for
Oil’s
A
disbelief,
That
to
pretextual.
were
Rhodes
however,
majority,
finds Rhodes’ evi-
prima
of Rhodes’
gether with the elements
jury’s
support
dence insufficient to
the
find-
ease, permitted
require—
did not
facie
—but
My
ing of intentional discrimination.
first
jury
Oil intention
the
to find
Guiberson
majority
disagreement with the
concerns its
against
ally discriminated
Rhodes
account
appellate
an
review of the evidence. As
at -,
Mary’s,
age.
of his
See St.
court,
do not
our own
we
substitute
view
2749;
Anderson v. Baxter
weight
jury.
the
of the facts for that of the
(7th
1120,
Corp., 13 F.3d
1123-24
Healthcare
Instead,
light
we view
evidence in the
the
Cir.1994) (noting
plaintiff may pre
that “the
jury
Boeing
to
most favorable
verdict.
by establishing
vail
a discrimination case
Co.,
jury
prior panel does
ply Supreme
precedent properly.
Court
Af-
underlying
Yet
those conclusions.10
evidence
stating
portions
holding
ter
various
of the
majority
include
Rhodes’
does
Hicks,12
Mary’s Honor Center v.
the ma-
St.
discrepancies between Rhodes’
evidence the
jority
following language
states that the
justifi-
trial
report
severance
and Guiberson’s
“obviously
dicta”13:
Instead,
ma-
cation for his termination.
The factfinder’s disbelief of the reasons
jority
report
the severance
characterizes
favor,
maj. op.
put
(particularly
n. 4
see
541
forward
the defendant
Guiberson’s
circuit,
may
direct or circumstan-
this
it is clear that our
[in which]
8. A
use either
circuit
prove
eyes
a case of intentional dis-
has not
tial evidence to
closed its
situations in which this
maj.
United States Postal Serv. Bd.
crimination.
fundamental lack of evidence exists.” See
Aikens,
711,
3,
Co.,
n.
103
op.
(citing
Lilly
Governors v.
460 U.S.
714
&541
n. 3
Moore v. Eli
&
denied,
1478,
3,
(1983).
812,
(5th Cir.),
L.Ed.2d 403
1481 n.
75
990 F.2d
817 n. 24
cert.
-,
467,
Because direct evidence is rare in discrimination
cases,
U.S.
114 S.Ct.
126 L.Ed.2d
-
ordinarily
circumstantial
uses
(1993)).
majority apparently
419
What
n
satisfy
evidence and inferences therefrom to
her
eyes
closed its
to is that the same footnote in
U.SA.,
persuasion.
v. Chevron
burden of
Davis
to which it cites indicates that
circuit
Moore
Inc.,
1082,
(5th Cir.1994) (applying
14 F.3d
1085
frequently
has also
found that sufficient evidence
developed
Douglas
inferential test
in McDonnell
Moore,
plaintiff's
lacking.
in a
case was not
See
Green,
792, 802,
1817,
Corp. v.
411 U.S.
93 S.Ct.
cases,
(citing
n. 24
Also,
majority
those cases that the
cites
(7th Cir.1994),
support
F.3d 1120
of its
not,
support of its conclusion do
when viewed
Mary’s language
contention that the St.
need
entirety,
majori-
in their
lend credence to the
followed,24
expressly
not be
when Anderson
ty’s conclusions.
adopts
language.
acknowledging
After
Indus., Inc.,
Bodenheimer v. PPG
rejected
judg-
that Hicks
an entitlement
(5th Cir.1993),20
and Durham v. Xerox
ment as a matter of law for
of a
(10th Cir.1994),
Corp.,
For the
sent. CORP., CREDIT
WESTINGHOUSE Party Plaintiff,
Plaintiff, Third ORLEANS, engines, her NEW
M/V rem, etc., tackle, apparel, et Defendants,
al., Machinery, Inc., &
Kenner Marine Defendants-Appellees, al.,
et DIESEL, INC., and
POWER SYSTEMS Defendants, Marine, Ltd., Third
Vener Plaintiffs-Appellees,
Party SERVICE, INC., MARINE
DOUGLAS *16 Party Defendant,
Third Fleet, CO., JNT
ATLAS ASSURANCE Party
Inc., Third Defendants-
Appellants.
No. 91-4697. Appeals, Court of
United States
Fifth Circuit. 23, 1994.
Nov. 3, 1995.
Rehearing Denied Jan. Orleans, Chenault, IV, T. New
Alanson LA, appellants. LA, Orleans, Koerner, Jr., New R.
Louis Marine, Ltd. Systems and Vener for Power Waits, Culver, Jr., Randolph J. William S. P.C., Kessenich, Cobb, Emmett, &Waits Marine, LA, Orleans, et al. for Kenner New
