Wakeen v. Hoffman House, Inc.Wakeen v. Hoffman House, Inc.
Wayne Wakeen, plaintiff-appellant, commenced a class action under Title YII of the Civil Rights Act of 1964 (codified as amended at
I
The background facts are undisputed. Hoffman House Restaurants employed Wakeen as a bartender from June 1971 through August 1973, except for a three-month period between December 1971 and March 1972. Wakeen voluntarily terminated his employment. On August 3, 1973, Wakeen filed a complaint with the Equal Rights Division of the Wisconsin Department of Industry, Labor and Human Relations (“DILHR”) asserting two counts of sex discrimination against Hoffman House East: discrimination in the payment of overtime wages, and discrimination in the amount of paid break time allowed. Wak-een filed the same charge with the Equal Employment Opportunity Commission (“EEOC”), but, pursuant to Section 706(c) of Title VII,
On December 7, 1978, the DILHR Equal Rights Division hearing examiner dismissed Wakeen’s complaint. The Labor and Industry Review Commission affirmed the dismissal on April 27,1979. Wakeen appealed the DILHR’s dismissal to the Circuit Court of Dane County without success. On December 31,1979, the court found that Hoffman House acted involuntarily, paying overtime to women due to a direct order from the DILHR, issued pursuant to a Wisconsin protective law in effect at the time,
On July 18, 1980, however, Wakeen commenced a Title VII class action in the United States District Court for the Western District of Wisconsin, again alleging sex discrimination in the payment of overtime wages. Wakeen amended his complaint on August 13, 1980, to add an individual claim of sex discrimination in paid break time. Wakeen alleged that female bartenders received a half-hour paid break per shift, while male bartenders received only a fifteen minute break per shift. On March 11, 1982, in response to Hoffman House’s motion for a judgment on the pleadings and partial summary judgment, the district court dismissed this portion of Wakeen’s case. Wakeen moved for leave to file a
On May 24, 1982, while Wakeen’s motion to amend was pending, Hoffman House filed a motion for summary judgment, arguing that Wakeen’s action alleging sex discrimination in the payment of overtime wages was barred by res judicata under Kremer v. Chemical Construction Corp.,
On September 24, faced with the possible dismissal of Wakeen’s complaint, Gregory Hoffman
II
The main issue in this appeal is whether Wakeen’s adverse state court decision bars his Title VII claim of sex discrimination in the payment of overtime wages under Kremer v. Chemical Construction Corp.,
The procedural history in Kremer bears a remarkable similarity to the case before us now. Alleging that his former employer was guilty of unlawful discrimination in refusing to rehire him, Kremer filed a complaint with the EEOC. Pursuant to section 706(c) of Title VII,
After the Appellate Division rendered its decision, the EEOC issued a right to sue letter, and Kremer commenced a Title VII action in federal court. The district court dismissed Kremer’s complaint on the grounds that under res judicata the adverse state court decision barred further action on Kremer’s claim in the.federal courts.
The Supreme Court upheld the dismissal of Kremer’s federal action, ruling that
Wakeen does not dispute that Wisconsin courts would accord the Dane County Circuit Court decision preclusive effect,
Even if Wakeen’s interpretation of Title VII is correct, his argument comes too late. Res judicata extends not only to issues actually raised in a prior proceeding, but also to issues that could have been raised. See, e.g., Kremer,
Even assuming that the state court could go no further than review the propriety of the DILHR’s order, and that Wakeen could not raise an original Title VII complaint in the context of a state court review of an agency action,
In essence, Wakeen seeks to change the focus of the inquiry conducted by a federal court that is presented with a claim for an alleged wrong already adjudicated by a state court. Wakeen wants a federal court in this situation to determine whether the state and federal laws in question, though similar on their face, are truly coextensive on the point in issue (i.e., whether the laws would yield the same result when presented with the same operative facts) before according the state court decision preclusive effect. To require a federal court to conduct this type of focused inquiry, however, not only is unnecessary since res judicata extends to issues that could have been raised in a prior proceeding, but would sanction a form of judicial second-guessing that frustrates the purposes behind
In its order granting preclusive effect to the decision from the Circuit Court for Dane County, the district court explained that the relevant provisions of the Wisconsin Fair Employment Act and Title VII were virtually identical:
Moreover, allowing a federal court to adjudicate a Title YII claim arising out of the same facts as a discrimination claim conclusively adjudicated in the state courts simply because the plaintiff did not argue to the state court that the state law, if interpreted unfavorably to the plaintiff, allows a result that is contrary to federal law, produces harms that go beyond the harms traditionally associated with allowing multiple lawsuits: allowing such an exception to Kremer would adversely affect the quality of adjudication at the state level. Stripping state court judgments of finality whenever a party argues to a federal court that the state law upon which his prior adjudication was based yields a result contrary to federal law would:
lessen[] the incentive for full participation by the parties and for searching review by state officials. Depriving state judgments of finality not only would violate basic tenets of comity and federalism, Board of Regents v. Tomanio,446 U.S. 478 , 488, 491-92 [100 S.Ct. 1790 , 1797, 1798-99,64 L.Ed.2d 440 ] (1980), but also would reduce the incentive for States to work towards effective and meaningful antidiscrimination systems.
Kremer,
As we said above, if the Wisconsin protective law Hoffman House relied upon did not provide a valid defense because it was inconsistent with Title VII, Wakeen should have argued that to the state court. If Wakeen worried that a state court would be unsympathetic, he should have bypassed the state courts altogether and gone directly to federal court. “The doctrine of res judicata contemplates, at a minimum, that courts be not required to adjudicate, nor defendants to address, successive actions arising out of the same transaction, asserting breach of the same duty.” Nilsen v. City of Moss Point,
Ill
The next issue is whether the district court erred in not allowing Wakeen leave to file a second amended complaint that was designed to reinstate a previously dismissed claim for discrimination in lunch breaks.
On March 11, 1982, the district court dismissed Wakeen’s lunch break discrimination claim for failure to present a claim for which relief can be granted. The court found that all bartenders were entitled to a one-half hour break during each eight-hour period, that female bartenders, all working the day shift, used their break for lunch, and that male bartenders working the night shift “apparently worked (voluntarily) for 15 minutes at the end of each shift and quit 15 minutes early.” On May 11, 1982, Wak-een moved for leave to file a second amended complaint to reinstate the lunch break discrimination claim. In relevant part, the only substantive difference between Wak-een’s proposed second amended complaint and the previously dismissed portion of his first amended complaint, is that the second amended complaint specifically alleged that male bartenders were “required” to work for an average of fifteen minutes at the end of each shift.
While Wakeen correctly points out that this circuit takes a liberal view of
The trial court dismissed Wakeen’s lunch break discrimination claim on March 11, 1982. It is fair to surmise from the transcript of the July 21, 1982, hearing on the motion to grant leave to amend that the trial judge did not believe that Wakeen had presented anything that warranted bringing the lunch break discrimination claim back into the lawsuit at that time. While Wakeen’s proposed amendment stated that he and other male bartenders were “required” to work for fifteen minutes at the end of each shift, Second Amended Complaint ¶ 18, the trial judge was not convinced after the July 21, 1982, hearing that Wakeen’s claim was any stronger then than it was when the court granted summary judgment against Wakeen on this claim four months earlier. Under these circumstances, the trial judge was within his discretion in denying Wakeen the opportunity to amend his complaint again in order to reinstate the previously denied claim. See Verhein v. South Bend Lathe, Inc.,
The final issue is whether the district court erred in denying Gregory G. Hoffman, a purported member of the class,
Under
On July 22, 1982, after initially denying the defendants’ motion for summary judgment on res judicata grounds, the district court certified the class of “All male bartenders employed by Hoffman House Restaurants, Inc. in Wisconsin who worked overtime and who were not paid the same overtime rate paid female bartenders at any time between August 3,1971 and April 30, 1974.” At a hearing on September 22, 1982, however, the district court indicated that it was inclined to reconsider and to enter summary judgment against Wakeen, an action that would necessitate vacating the prior certification order, since Wakeen was the only named plaintiff. Before making a final decision the court gave the parties until September 24, 1982, to file additional papers.
On September 24, Hoffman filed a motion for leave to intervene, alleging that he was a member of the class, and that he wished to assist Wakeen in representing the class. In an order dated October 14, 1982, the district court officially granted the defendants’ motion for summary judgment, thus dismissing Wakeen’s claims. At the same time, the court denied Hoffman’s motion for leave to intervene and consequently vacated the class certification for lack of an adequate class representative.
The enforcement provisions of Title VII require an aggrieved person to file a written charge with the EEOC as a condition precedent to seeking judicial relief. See
Vuyanich allowed three class members to intervene as representatives of various subclasses despite their failure to file EEOC charges. The court held that the subclass representatives did not have to meet the jurisdictional base; rather, the representatives could rely on the EEOC charges of the two named plaintiffs. Vuyanich,
In Wakeen, Hoffman does not seek to represent a subclass, but seeks to take over as the sole representative of the entire class. Since Wakeen’s claim has been dismissed in its entirety, Hoffman, unlike the three intervenors in Vuyanich, has no juris
Romasanta v. United Airlines, Inc.,
Wakeen did not abdicate at a point where the suit had gone far enough to affect the rights of other class members. Wakeen was involuntarily eliminated before the court made any determinations on the merits of the class claims. Romasanta is distinguishable, therefore, because denial of Hoffman’s motion to intervene compromises no male bartender’s rights, and creates no problem of inequality among class members.
Moreover, if the court had not initially denied the defendants’ summary judgment motion, the court never would have certified the class, and Hoffman never would have had the opportunity to even request intervention. Hoffman attempts to use the district court’s initial mistake in not immediately dismissing Wakeen’s overtime wage discrimination claim to circumvent the process by which one obtains a right to sue under Title VII.
The Supreme Court was confronted with a somewhat analogous situation in General Telephone Co. of the Southwest v. Falcon,
We hold, therefore, that a class member who does not meet the procedural prerequisites for waging a Title VII suit may not use the guise of a motion to intervene to take over as the sole class representative for someone who initiates but is not legitimately able to continue a class action. To hold otherwise would make a mockery of the concept of a right to sue and of the procedures by which one obtains the right.
The judgment dismissing Wakeen’s complaint and vacating the class certification is affirmed.
Notes
. Ind. 74.03, Wis.Admin.Code (1971), promulgated pursuant to
. Gregory Hoffman is not related to the family that previously owned Hoffman House Restaurants, Inc.
.
. Wakeen had 30 days in which to appeal the adverse Dane County Circuit Court decision.
. Research done by this court has revealed a recent case from the Southern District of New York that follows this line of analysis. The Southern District held that an adverse state court decision should not preclude a subsequent federal court action in a situation where the federal and state laws, though facially similar, may lead to different results. The court explained that the application of res judicata was inappropriate because by deciding that the plaintiff’s claim is meritless under state law, the state court did not explicitly or implicitly decide that the claim was meritless under Title VII. See Reynolds v. New York State Department of Correction Services,
.Wakeen asserts that state courts do not have jurisdiction over Title VII claims, and that even if they do, a Wisconsin court could not entertain a Title VII claim within the context of a Wis.Stat. ch. 227 review of an administrative order. Appellant’s Reply Brief at 17. Since these points do not affect the resolution of this case, we assume, arguendo, that they are true.
. Compare
. Noting the “New York law is at least as broad as Title VII,” Kremer,
. Defendants contend that there was no error in the district court’s denial of leave to' amend because the lunch break discrimination claim, like the overtime wages discrimination claim, is barred by res judicata. Wakeen answers that since the defendants did not raise their res judicata defense with respect to the lunch break discrimination claim in the court below, they cannot raise it on this appeal because factual questions exist as to whether Wakeen had a full and fair opportunity to litigate his lunch break claim in the state proceedings. Because we affirm the district court on other grounds, we need not address these contentions.
. In relevant part, the first amended complaint alleged:
19. During this period [of plaintiffs employment with defendant], female bartenderswere entitled to a paid half-hour break in the middle of their shift. Female bartenders normally ate lunch during this half-hour break.
20. During this period, male bartenders were entitled to a paid half-hour break at the end of their shift. Male bartenders normally worked through half of this break (15 minutes) and completed their shift 15 minutes earlier. As a result, male bartenders were paid one-quarter of an hour less than female bartenders.
The relevant portion of the proposed second amended complaint stated:
16. During this period, female bartenders were entitled to a paid half-hour break in the middle of their shift. Female bartenders normally ate lunch during this half-hour break.
17. When Mr. Wakeen was employed, he was told by management that male bartenders did not receive a paid break of one-half hour or any other duration at the mid-point of their evening shifts because these breaks would have come at a prime time for the receipt of customer tips. Mr. Wakeen was told by management that, in lieu of a paid half-hour break at the mid-point of their shifts, male bartenders received, in effect, a paid one-half hour break at the end of their shifts in that, while allowed to leave work at one o’clock a.m., they were paid until one-thirty a.m. Mr. Wakeen was offered no choice in this matter.
18.In actual practice, Wakeen and other male bartenders at Hoffman House East were not permitted by their superiors to leave work at one o’clock a.m., but were required to work until, on the average, one-fifteen a.m. Still, they were paid for a work period extending to one-thirty a.m. As a result, male bartenders were paid on the average for all hours actually worked plus a quarter-hour paid terminal break, while female bartenders were paid for all hours actually worked plus a half-hour paid break. This practice constituted sex discrimination in violation of Title VII.
. The defendants allege that Gregory Hoffman was paid for overtime work and thus cannot intervene because he is not a member of the class. Appellee’s Brief at 37-39. We need not consider this contention since we affirm the district court’s denial of leave to intervene on other grounds.