RICK WEBB, Plаintiff-Appellee, v. ABF FREIGHT SYSTEM, INC., a corporation, Defendant-Appellant, and TEAMSTERS LOCAL UNION No. 17, Defendant.
No. 96-1427
UNITED STATES COURT OF APPEALS TENTH CIRCUIT
SEP 4 1998
Before EBEL and HOLLOWAY, Circuit Judges, and BLACK,* District Judge.
PUBLISH. Appeal from the United States District Court for the District of Colorado (D.C. No. 94-Z-239). Andrew W. Volin (E. Lee Dale with him on the briefs) of Sherman & Howard, Denver, Colorado, for Defendant-Appellant. John R. Olsen of Olsen & Brown, Niwot, Colorado, for Plaintiff-Appellee.
This case involves a jury‘s verdict of $112,124 for the appellee on his claim that he was wrongfully fired from his job as a delivery truck driver on trumped up charges after his delivery truck skimmed the underside of some tree branches, and that the real reason for his discharge was retaliation for his union activities. Appellant argues that the verdict should not stand because the appellee failed to prove the elements necessary to his claims of breach of contract and breach of the duty of fair representation. The appellant also challenges numerous discretionary rulings by the district court during the course of the trial. We affirm on all grounds.
Background1
The dispute in this case arose in 1993, when defendant-appellant ABF Freight System, Inc. (“ABF“), fired plaintiff-appellee Rick Webb. ABF alleged
1. Webb‘s union activities
Webb worked as a truck driver with ABF for more than nine years before he was fired on August 2, 1993. Webb also was a member of Teamsters Local No. 17,3 which represents all of ABF‘s drivers in Colorado and elsewhere, and Webb had been the shop steward for Local 17 at ABF‘s Fort Collins terminal from the day the company opened its terminal there.
During the winter of 1992-93 one of Webb‘s grievances involved a dispute over ABF‘s use of drivers from the Denver terminal to do work in Fort Collins on weekends. Webb secured a grievance award of overtime pay for one Fort Collins driver who had lost weekend work to Denver drivers. However, two weeks later, the Denver leadership of Local 17, including union president Ron Schwab, negotiated a side letter with ABF that effectively reversed the results of the grievance decision. This side letter was negotiated without input from Fort Collins’ drivers, and it was adopted by the union before any Fort Collins drivers could comment on it. The dispute over work allocation between the Denver and Fort Collins terminals led to continuing friction between Webb and the Teamsters leadership in Denver, including union president Schwab, whose political support was based in the Denver terminal‘s drivers.
2. Webb‘s firing
On the afternoon of July 30, 1993, a Friday, Webb took a full truck out for deliveries, with the first delivery at the Colorado State University Alumni Center (“CSU“). As Webb was backing up to the alumni center, Webb‘s truck became
Company officials contended that Webb‘s entanglement with tree branches at CSU caused more than $600 worth of damage, bending the exhaust stack on the tractor and crushing a corner of the trailer. At Webb‘s subsequent grievance hearings, Company officials introduced a picture of a tree limb measuring four inches in diameter that they contend Webb‘s truck pulled down. However, during the trial in this case, Webb denied that he hit a branch that size. He also testified that he later returned to CSU to look at the tree branches on the driveway of the alumni center, and he noticed the stump where the pictured four-inch limb had come from. He testified that his truck could not have pulled down that branch because the stump showed that the branch had not been pointed out over the driveway where Webb could have hit it.
On the evening of July 30, 1993, after Webb had left work, ABF‘s manager at the Fort Collins terminal, Bill Higley, noticed damage to Webb‘s tractor and
When Webb returned to work the next Monday, Higley confronted Webb about the damage to the truck and trailer. Webb told Higley about the tree-skimming incident, and he pointed out that no driver had ever considered such an incident to be subject to the company‘s rule requiring the reporting of all accidents.4 Webb also requested an opportunity to view the damage for himself, and after inspecting the vehicle, Webb provided a handwritten statement about the incident. Webb‘s statement indicates that Webb did not notice that the stack on the tractor was askew until Saturday morning, after he had learned from a co-worker that Higley had been taking pictures of the truck. Webb‘s statement also indicates that Webb did not notice any damage to the trailer until Monday morning when he was confronted about the incident. However, nowhere in the
When Webb finished writing out this statement, Higley informed Webb that he was fired and he should leave the ABF premises. Higley then began drafting letters to notify Webb formally that he had been discharged, with the sole basis for Webb‘s firing being Webb‘s failure to report the tree-skimming incident as an accident.5
3. Webb‘s grievance
Immediately after being fired, Webb called Ron Schwab, who was the Local 17 official responsible for handling grievances out of the Fort Collins terminal, and Webb requested that the union challenge his discharge. After commenting that “we knew this was coming,” Schwab agreed to file a grievance on Webb‘s behalf. Schwab also agreed to obtain company documents that Webb said would be helpful for the grievance, as well as to interview one of Webb‘s co-workers who could testify about the events leading up to Webb‘s discharge.
The first hearing on Webb‘s grievance occurred two days after the firing, on August 4, 1993, in Denver before the joint Colorado-Wyoming Longline Grievance Committee, an arbitration panel evenly composed of union and company officials. Schwab focused his arguments during the hearing on Webb‘s account that the tree-skimming incident at CSU was not a reportable accident in light of the small size of the branches involved and the fact that Webb had not noticed any damage when he was at the scenе. Schwab, however, failed to object when an ABF official characterized the branch that Webb had hit as “about eight inches in diameter and about 30 foot [sic] long.” Schwab also failed to review the evidence ABF prepared before the hearing, and as a result, he was taken by surprise when ABF introduced a statement by one of Webb‘s co-workers that detailed ABF‘s account of the damage to Webb‘s tractor and trailer.6 Schwab‘s failure to review ABF‘s evidence before the hearing also may have affected his and Webb‘s ability to raise questions about ABF‘s alleged tampering with the evidence of damage to Webb‘s trailer.7 Finally, despite telling Webb again before
The grievance committee deadlocked on the question of whether to reverse ABF‘s discipline. As a result, the grievance was transferred one week later to the Joint Western Area Committee (“JWAC“) in San Diego, an arbitration panel whose voting members were again evenly split between union representatives and company representatives. In the days before this second hearing, Schwab apparently told Webb it wasn‘t necessary for Webb to be present because no new testimony or evidence would be introduced.8
At the conclusion of the hearing, the JWAC panel upheld Webb‘s discharge. No reason or written decision was issued by the panel.
4. Webb‘s federal suit
Webb subsequently brought suit in federal court under
5. Attorney misconduct claim
Following the end of the trial, the court fined Webb‘s lawyer $757 for conduct it found to be unethical.11 This matter arose near the end of the trial when Charles Cantrell, the superintendent of ABF‘s repair shop in Denver, testified about the damage to the tractor and trailer that Webb was driving on the day of
Discussion
I. ABF‘s motion for judgment as a matter of law
This appeal comes to us following the district court‘s denial of ABF‘s Rule 50 motion for judgment as a matter of law, or in the alternative, for a new trial. We review de novo a district court‘s denial of judgment as a matter of law, using the same standard applicable in the district court. See Harolds Stores, Inc. v. Dillard Dep‘t Stores, Inc., 82 F.3d 1533, 1546 (10th Cir.), cert. denied, 519 U.S. 928 (1996).
In support of its claim for judgment as a matter of law, ABF argues that Webb did not establish the elements of a hybrid § 301/DFR claim because: (1) Webb failed to prove that Local 17 breached its duty of fair representation; (2) Webb failed to prove the required level of causal connection in the DFR claim, and (3) Webb failed to prove a breach of contract by ABF. Furthermore, with respect to the question of damages, ABF argues that Webb was not entitled to an award of backpay from ABF for the period after the grievance arbitration hearings. Each of these issues intertwines questions of law with questions of fact. In light of our standard of review, we will discuss the applicable legal standards first before addressing whether the evidence was sufficient.
A. Elements of a hybrid § 301/DFR claim
Federal labor policy generally extends great deference and finality to the
[W]hen the union representing the employee in the grievance/arbitration procedure acts in such a discriminatory, dishonest, arbitrary, or perfunctory fashion as to breach its duty of fair representation. . . , an employee may bring suit against both the employer and the union, notwithstanding the outcome or finality of the grievance or arbitration proceeding.
DelCostello, 462 U.S. at 164 (citations omitted).
The kind of suit authorized in Vaca, Hines, and DelCostello is a “hybrid” action under § 301 because it combines two conceptually independent causes of action, the first against the company for breach of the contract (a standard § 301 claim) and the second against the union for breach of the duty of fair representation (a claim implied by operation of a union‘s status under federal law as the sole bargaining representative of the employee). See DelCostello, 462 U.S. at 164. To prevail against his former employer under this hybrid § 301/DFR
B. Local 17‘s duty of fair representation
In light of a union‘s position as the sole and exclusive bargaining representative of an еmployee with his employer, every collective bargaining union has a duty to represent its members fairly in its dealings with management. See DelCostello, 462 U.S. at 164 & n. 14. The scope of this duty in the context of a grievance arbitration proceeding requires that the union “may not arbitrarily
In similar vein, this circuit also has reiterated the DFR standard as prohibiting arbitrary, discriminatory, bad faith, or perfunctory conduct. See Foust v. International Bhd. of Elec. Workers, 572 F.2d 710, 714-15 (10th Cir. 1978) (quoting and discussing Vaca and Hines), rev‘d on other grounds, 442 U.S. 42 (1979); Nelson v. Holmes Freight Lines, Inc., 37 F.3d 591, 594 & n.4 (10th Cir. 1994) (quoting and discussing Vaca); Young v. United Auto. Workers-Labor Employment & Training Corp., 95 F.3d 992, 998 (10th Cir. 1996) (quoting Vaca, 386 U.S. at 191); Lampkin v. International Union, United Auto., Aerospace & Agric. Implement Workers, No. 96-5212, slip op. at 18 (10th Cir. 1998) (proposed
1. “Perfunctory” grievance processing
ABF argues that the duty of fair representation includes only a duty to avoid acting in an arbitrary, discriminatory, or bad faith fashion, but does not include an obligation to avoid acting in a perfunctory manner. Based on the authority cited above, we reject that argument. The district court properly presented to the jury the duty not to act in a perfunctory fashion,13 and we believe the jury verdict can be upheld on the basis of that duty.
ABF relies principally on the Supreme Court‘s most recent hybrid § 301/DFR case, in which the Court stated that a union‘s duty of fair representation is “tripartite,” i.e., a union‘s actions may not be “‘arbitrary, discriminatory, or in bad faith.‘” See Air Line Pilots Ass‘n, Int‘l v. O‘Neill, 499 U.S. 65, 67 & 77 (1991) (quoting Vaca, 386 U.S. at 190)). In its omission of the
First, the dispute in O‘Neill involved claims of union misconduct in the context of contract formation, as opposed to contract administration in a grievance proceeding. See id. at 70. Thus, under the facts in O‘Neill there was no need to address the question of a union‘s duties when a union member seeks to challenge a discharge in a grievance proceeding. Indeed, it would have been dictum in O‘Neill for the Court to express any opinion as tо the DFR standards for a grievance arbitration in light of the fact that the O‘Neill case arose before any grievance arbitration process had been established by the parties.
Second, it is easy to read the Court‘s earlier cases prohibiting “perfunctory” grievance processing as merely expressing a concrete example of the kind of specific conduct prohibited by the tripartite standard. See Foust, 442 U.S. at 47 (listing perfunctory handling of a grievance as an “example” of union conduct that is “arbitrary, discriminatory or in bad faith“). If “perfunctory” grievance processing is a specific kind of conduct under the tripartite standard, then
In part, any potential doubt as to the applicability of the prohibition against “perfunctory” conduct may arise from the fact that courts generally have failed to give content to the meaning of that term. Indeed, the most this circuit has ever said on the meaning of the prohibition against “perfunctory” conduct is that one union‘s handling of a member‘s grievance was not perfunctory when “the record shows a prompt and diligent effort by the union business agent . . . to have appellant‘s grievance heard and decided by the panel.” See Nelson, 37 F.3d at 594 n.4.
The other circuits have similarly had little to say about the meaning of the term “perfunctory.” The most detailed explanation comes from the Eighth Circuit, where the court explained that “we construe the Supreme Court‘s reference in Vaca to the ‘perfunctory’ processing of a grievance to mean that ‘the union acted without concern or solicitude, or gave a claim only cursory attention.‘” Beavers v. United Paperworkers Int‘l Union, Local 1741, 72 F.3d 97, 100 (8th Cir. 1995) (quoting Curtis v. United Transp. Union, 700 F.2d 457, 458 (8th Cir. 1983)). The Eighth Circuit‘s construction comports with the standard dictionary definition of “perfunctory.” See Websters Third New International Dictionary (Unabridged) 1678 (1986) (defining perfunctory as “characterized by routine or superficiality: done merely as a duty: CURSORY, MECHANICAL . . .
This is not to say that a union violates its duty of fair representation by mere negligent conduct; carelessness or honest mistakes are not sufficient to impose liability on a union. See United Steelworkers v. Rawson, 495 U.S. 362, 372-73 (1990); Young, 95 F.3d at 997. We need not here define the line between negligent conduct and perfunctory conduct because the evidence was sufficient to allow a jury to find, as it did, that the union conducted this arbitration in such a perfunctory, apathetic, indifferent, and cursory way that Local 17 brеached its duty of fair representation.14 Indeed the evidence was sufficient to support not just a finding of perfunctory conduct, but also conduct by the union that rose to
2. Pre-arbitration investigation
Next, ABF argues that the union did not have an obligation to conduct its own investigation of Webb‘s grievance because Webb undertook to do the investigation himself. ABF also contends that a union has no legal duty to conduct “some minimal investigation” of a grievance complaint.15
In Foust, the Tenth Circuit agreed with other circuits that “the failure to investigate the merits of a grievance could be arbitrary conduct and a breach of a duty.” See Foust, 572 F.2d at 716 (citing De Arroyo v. Sindicato de Trabajadores Packinghouse, 425 F.2d 281 (1st Cir. 1970); Hughes v. International Bhd. of Teamsters, Local 683, 554 F.2d 365 (9th Cir. 1977)). The amount of investigation required of a union to meet its duty of fair representation depends
In this case, a reasonable juror could have concluded that Local 17 made no serious effort to investigate the facts of Webb‘s claims. The jury also could, and apparently did, disbelieve the testimony from Schwab that Local 17 had no obligation to conduct its own investigation because Webb allegedly had agreed to undertake the investigation himself. It appears that the jury found Webb more credible than Schwab, and it is not for us to upset that credibility determination. See Yearous, 128 F.3d at 1353. Thus, we find the evidence sufficient to support Webb‘s contention that Local 17 breached its duty of fair representation by failing to undertake an adequate investigation under the circumstances.
3. Judicial estoppel from a grievance arbitration
At the conclusion of the first grievance hearing, the chairman of the grievance committee, a company representative, engaged Webb in the following colloquy:
Chairman Bradfield: I will now ask the grievant, based on the issue of your failure to report an accident are you satisfied that the Union has represented your position properly?
Mr. Webb: Yes.
Chairman Bradfield: Have they introduced all pertinent
information on your behalf in regard to this defense? Mr. Webb: Except for the bracket, I don‘t have anything else to say.
On the basis of these statements from Webb, ABF now suggests that Webb be precluded from raising any argument that Local 17‘s representation of his claims fell below the legal standards required of the union.
We reject ABF‘s argument for two reasons. First, ABF‘s contention relies on principles of judicial estoppel in which a party‘s statements or positions in one proceeding prevent him from subsequently raising a contradictory position in the same or related proceedings. The Tenth Circuit has firmly established that it will not be bound by the doctrine of judicial estoppel. See Rascon v. US West Communications, Inc., 1998 WL 223465, at *6 (10th Cir. May 6, 1998) (to be reported at 143 F.3d 1324) (holding that claims inconsistent with others raised in administrative context are not barred by judicial estoppel); United States v. 49.01 Acres of Land, More or Less, Situate in Osage County, Okla., 802 F.2d 387, 390 (10th Cir. 1986).16 Second, any statements Webb made at the first grievance hearing are not probative as to the quality of Local 17‘s representation at the
C. Causal connection between DFR breach and arbitration outcome
In Hines v. Anchor Motor Freight, Inc., the Court held that a plaintiff in a hybrid
The union‘s breach of duty relieves the employee of an express or implied requirement that disputes be settled through сontractual grievance procedures; if it seriously undermines the integrity of the arbitral process the union‘s breach also removes the bar of the finality provisions of the contract.
Id. at 567 (emphasis added). In a later opinion, the Supreme Court reiterated the “seriously undermines” standard. See United Parcel Serv., Inc. v. Mitchell, 451 U.S. 56, 61 (1981). The Court said, “As Hines makes clear, an employee may go behind a final and binding award under a collective-bargaining agreement and seek relief against his employer and union only when he demonstrates that his union‘s breach of its duty ‘seriously undermine[d] the integrity of the arbitral
In its brief on appeal, ABF contends that the appropriate causation standard in this case is the “but for” standard expressed in Edwards v. International Union, United Plant Guard Workers of America, 46 F.3d 1047, 1051 (10th Cir. 1995). We reject ABF‘s argument on this point. First, the discussion in Edwards was dicta – the issue to be decided in Edwards was not the definition of the elements of a hybrid
Having concluded that we must rely on the “seriously undermines” language from Hines and Barnett, we also conclude that there was sufficient
ABF, on the other hand, points to the testimony from the chairman of the JWAC board, E. James Roberts, who suggested that Webb‘s handwritten statement was suffiсient evidence alone to uphold his discharge. Putting aside the dubious validity of a single, non-voting chairman of an arbitration panel testifying as to the state of mind of the entire panel, ABF‘s argument misunderstands our standard of review in this appeal. Merely because there is some evidence in the
D. Breach of contract
During the course of the trial below, Webb presented two different grounds for finding that ABF had breached the collective bargaining agreement. First, Webb argued that ABF‘s asserted rationale for firing him – that he had failed to report an accident as required by Article 16 of the national contract – was baseless because the tree-skimming incident was not a reportable accident under the custom and practice at the ABF terminal in Fort Collins. Second, Webb argued that ABF‘s actual reason for firing him was to retaliate for Webb‘s union activities, which was a violation of Article 21 of the national contract.18 ABF
1. Failure to report an accident
There is no dispute in this case that Article 16, section 3 of the National Master Freight Agreement requires all employees “involved in any accident” to report that accident “immediately.” Instead, the dispute focuses on what is an “accident” under the Teamsters contract. ABF contends that any incident that causes damage to company equipment or to the property of a customer is an “accident.” Webb, on the other hand, contends that at least within the experience of ABF employees in Fort Collins and Denver prior to his discharge, brushes with overhanging branches that caused limited damage to ABF‘s trucks were not “accidents.”
It is well-established that when interpreting the terms of a labor contract, a fact-finder is entitled – and indeed, in some cases required – to look to the past practices of the parties and the “common law of the shop” to determine the
In Webb‘s case, he presented extensive testimony from co-workers and an ABF maintenance worker that tree-brushing incidents were common, including incidents that resulted in minor damage to ABF tractors and trailers. In no case were these incidents treated as reportable accidents, and the witnesses testified that they could not recall anyone being fired for failing to report these incidents. In light of this testimony, a reasonable juror could conclude that the “common law of the shop” at ABF‘s Fort Collins and Denver terminals was that minor tree-skimming incidents were not subject to the mandatory reporting provision of the contract. As a result, a reasonable juror could conclude that ABF breached the contract by firing Webb for an incident that was not a reportable accident. Therefore, ABF is not entitled to judgment as a matter of law on its reportable-accident claim.
2. Retaliation for union activities
ABF contends that Webb should have bеen barred from presenting his retaliation claim to the jury because he failed to raise the claim during the
As the Supreme Court explained in Hines, a union‘s DFR breach “relieves the employee of an express or implied requirement that disputes be settled through contractual grievance procedures.” Hines, 424 U.S. at 567. This circuit has applied the non-exhaustion rule in several cases. See, e.g., Aguinaga v. United Food & Commercial Workers Int‘l Union, 993 F.2d 1463, 1472 (10th Cir. 1993) (“[I]n determining whether Plaintiffs are required to exhaust, the relevant inquiry is whether the Union . . . breached its duty of fair representation.“); United Food & Commercial Workers Local 7R v. Safeway Stores, Inc., 889 F.2d 940, 945 (10th Cir. 1989) (“[I]f the union refuses to press or only perfunctorily presses the individual‘s claim, or otherwise acts arbitrarily, discriminatorily, or in bad faith, then the union has breached its duty of fair representation and . . . the employee has ‘exhausted’ his or her remedies under the collective bargaining agreement.“) (quotation and citations omitted). Thus, when a union member proves that his or her ability to prosecute a particular breach of contract claim against his employer has been “seriously undermined” by the union‘s failure to represent him or her adequatеly in grievance proceedings, the union member has fulfilled the exhaustion requirement. Here, it was not error for the district court to present Webb‘s retaliation claim to the jury because Webb offered sufficient
ABF also contends that as a matter of law Webb could not prove retaliation because he failed to show that the company official who made the decision to fire Webb – which ABF contends was Sid Hatfield – was aware at the time of Webb‘s protected union activities. ABF‘s argument is based on its premise that Hatfield did not know that it was Webb who had caused the damage that terminal manager Bill Higley had reported. However, in light of Higley‘s initial report to ABF headquarters that Webb was the last driver of the damaged truck, a reasonable juror could have concluded that ABF was aware of Webb‘s identity at the time. Therefore, ABF is not entitled to judgment as a matter of law on Webb‘s retaliation claim.
E. Allocation of damages between union and employer
When allocating the amount of money damages in a hybrid
In Webb‘s case, the jury was instructed in accordance with this law,20 and the jury determined that Webb had suffered total economic damages of $112,124. The jury then allocated $22,424.80 of the damages to Local 17 and $89,699.20 to ABF. This allocation suggests that the jury found that Local 17 was 20 percent at
ABF argues that its damages should have been capped as a matter of law to those wages that Webb lost prior to the grievance proceedings and that the district court erred in giving the jury its proportionate fault instruction. We reject this argument because it carries forward ABF‘s mistaken argument as to the causation standard in a DFR claim.
ABF contends that all of the economic damages Webb incurred aftеr the grievance hearings are attributable to Local 17 because “but for” the union‘s DFR breach Webb would have prevailed in the grievance hearings and he would have been reinstated to his job. However, Local 17‘s DFR breach need not have been the “but for” cause of Webb‘s subsequent economic damages; instead, Webb only needed to prove that Local 17‘s actions “seriously undermined the integrity of the arbitration proceedings.” See Hines v. Anchor Motor Freight, 424 U.S. 554, 567 (1976). In light of this standard, it is logically possible for a jury to assess damages against an employer based on proportionate fault that includes damages incurred after the date of the flawed grievance hearing. A proportionate fault system of allocating damages ensures that the “primary wrongdoer” shoulders an appropriate burden, especially when an allocation of damages based on the grievance arbitration date would shift a disproportionate amount of damages onto the party that was less at fault. See Aguinaga, 993 F.2d at 1476. Furthermore,
II. ABF‘s motion for a new trial
In addition to its request for judgment as a matter of law, ABF moved for a new trial in light of various procedural decisions by the court that ABF argues were in error. We review the denial of a motion for a new trial for an abuse of discretion, and we may reverse the district court “only if [it] made a clear error of judgment or exceeded the bounds of permissible choice in the circumstances.” See Weese v. Schukman, 98 F.3d 542, 549 (10th Cir. 1996). Furthermore, under
A. Attorney Misconduct
ABF contends that Webb‘s lawyer, John R. Olsen, committed an ethical breach in communicating with ABF‘s maintenance supervisor Charles Cantrell at
The applicable Rule of Professional Conduct in Colorado provides,
In representing a client, a lawyer shall not communicate about the subject of the representation with a party the lawyer knows to be represented by another lawyer in the matter, unless the lawyer has the consent of the other lawyer or is authorized by law to do so.
In any event, the district court promptly gave the jury a curative instruction, advising them to disregard this portion of the examination. Even if it was improper for Olsen to have asked the question, it was adequately addressed by the district court, and we see no error here that would render the failure to grant a
B. Evidentiary Rulings
ABF contends that it is entitled to a new trial in light of various evidentiary decisions during the trial. Such rulings generally are committed to the very broad discretion of the trial judge, and they may constitute an abuse of discretion only if based on an erroneous conclusion of law, a clearly erroneous finding of fact or a manifest error in judgment. See Cartier v. Jackson, 59 F.3d 1046, 1048 (10th Cir. 1995). Under this standard of review, we must “give deference to the district court‘s evidentiary rulings.” Id. Furthermore, if we find an erroneous evidentiary ruling, ABF would be entitled to a new trial only when the error affected the party‘s substantial rights. See Hinds v. General Motors Corp., 988 F.2d 1039, 1049 (10th Cir. 1993).
1. Other discipline against Webb
Before the trial began, the district court ruled on a motion in limine that the only evidence of company discipline against Webb that would be admitted during the trial was evidence concerning events during the nine months before Webb was fired. The court based this limitation on the provisions of the collective bargaining agreement that prevent an employer from considering multiple disciplinary incidents outside a nine-month window and the fact that ABF‘s basis
ABF challenges the district court‘s ruling on the grounds that Webb was allowed to introduce evidence to support his claim of retaliation. ABF contends that because Webb was allowed to claim retaliation, ABF shоuld have been allowed to present evidence of Webb‘s disciplinary record going farther back than nine months.
ABF‘s argument is unpersuasive because of its faulty premise that Webb opened the nine-month door with his retaliation claim. First, Webb‘s retaliation evidence – i.e., his testimony about grievances he had filed and complaints he had registered – all involved his conduct within nine months of his discharge. Second, ABF affirmatively denied having fired Webb as a result of his prior record of accidents. ABF has consistently insisted that the sole basis for the discharge was Webb‘s failure to report the incident at CSU. As a result, nothing about Webb‘s prior work history was relevant to the company‘s justification. Therefore, it was not an abuse of discretion to exclude ABF‘s evidence of Webb‘s prior discipline.
2. Exhibits of grievance arbitration decisions
During the course of its case-in-chief, ABF called one of its executives to testify about its interpretation of contract provisions that allow an employer to fire a worker who fails to report an accident even if the worker has no prior
3. Evidence of Webb‘s NLRB complaint
During ABF‘s cross-examination of Webb, ABF attempted to introduce evidence that Webb filed an unfair labor practice charge against ABF with the National Labor Relations Board (NLRB) prior to filing the instant federal suit, claiming that his discharge was in retaliation for his union activities. Because Webb withdrew his NLRB charge after preliminary investigation, ABF sought to argue that Webb did not believe his retaliation claim had merit. The district court excluded this evidence as not relevant because there could have been many reasons for Webb‘s decision not to pursue his NLRB charge, including difficulties in his divorce and responsibility for his children. We find no abuse of discretion
4. Excerpts of Webb‘s deposition testimony
At the close of all the evidence in this case, ABF sought to introduce blown-up reprints showing excerpts from Webb‘s pre-trial deposition. These exhibits illustrated various portions of Webb‘s deposition testimony that ABF contends contradicted Webb‘s testimony at trial. The district court excluded the exhibits on the grounds that the jury had heard the deposition testimony during ABF‘s efforts to impeach Webb on cross-examination.
We find no abuse of discretion in the district court‘s decision. Our own review of the proffered excerpts confirms the implication that the exhibits were merely cumulative and offered nothing new. In addition, because ABF failed to identify any contradictory statements in the proffered deposition excerpts that were not already brought out during ABF‘s cross-examination of Webb, we can find no prejudice.
5. Emotional distress evidence
The district court allowed Webb to present evidence of his emotional distress. ABF now argues that the court abused its discretion by admitting this evidence because ABF contends emotional distress damages are not available against an employer in a
We need not reach ABF‘s substantive argument, however, because the jury
6. Hearsay statements by Schwab
During the course of Webb‘s direct testimony, he discussed Schwab‘s reaction to the news that ABF had fired Webb. Webb testified over ABF‘s hearsay objection that Schwab had said, “We knew this was coming,” indicating that Schwab felt Webb‘s firing came in reaction to Webb‘s union activities. Prior to eliciting this testimony, the district court instructed the jury on the definition of hearsay and on Webb‘s stipulation that the Schwab statement was non-hearsay
We find no abuse of discretion because we agree with the district court that Webb‘s testimony about Schwab‘s statement was not hearsay. Although Schwab‘s statement could have been interpreted as suggesting that ABF actually had retaliated against Webb, the district court properly instructed the jury not to consider the statement for that purpose. Instead, Schwab‘s statement was probative of Schwab‘s own state of mind and his awareness of Webb‘s desire to raise a retaliation claim, both of which were relevant to Webb‘s claim that Local 17 breached its duty of fair representation in failing to raise his retaliation claim. Thus, the court did not abuse its discretion in admitting the testimony.
C. Jury Instructions
ABF challenges a series of decisions by the district court admitting or excluding certain jury instructions. We review a trial court‘s decision on whether to give a particular instruction for abuse of discretion. See Thomas v. Denny‘s, Inc., 111 F.3d 1506, 1509 (10th Cir. 1997), cert. denied, 118 S. Ct. 626 (1997). Within the scope of this review, we will find an abuse of discretion if the challenged
ABF argues that two of the instructions given to the jury incorrectly stated the applicable law. First, ABF repeats its contention that Jury Instruction No. 1021 incorrectly allowed the jury to find a breach of Local 17‘s duty of fair representation based on “perfunctory” conduct. Second, ABF also contends that Jury Instruction No. 1722 incorrectly allowed the jury to find a DFR breach if Local 17 failed to conduct at least a “minimal investigation.” Both of these claims, however, rely on legal arguments rejected in our discussion, in Part I.A above, on the substantive scope of a hybrid
ABF also challеnges the district court‘s refusal to give five of its proposed
D. Special verdict form
In addition to its challenges to the district court‘s jury instructions, ABF also raises two challenges to the wording of the special verdict form given to the jury. We will review the language of a special verdict form with the same abuse of discretion standard that we apply to jury instructions. See United States v. Reed, 1998 WL 372749, at *2 (9th Cir. July 7, 1998).
ABF‘s first contention points to the wording of the initial question in the special verdict form, which asks the jury to decide whether Webb was “wrongfully discharged.” ABF argues that the phrase “wrongfully discharged” incorrectly characterizes the legal requirement of finding that Webb‘s firing breached the collective bargaining agreement. We see no mischaracterization in the use of the phrase “wrongfully discharged” instead of “breached the contract.” Furthermore, we note that Jury Instruction No. 10 ensures that the jury was aware that in order to find that Webb wаs “wrongfully discharged,” it must find that
ABF next contends that the special verdict form incorrectly failed to set forth a “but for” causation standard for Webb‘s DFR claim. However, as we discussed above in Part I.C., the case law does not require a “but for” causation standard in a DFR case.
E. Excessive damages
ABF‘s final basis for claiming a right to a new trial is a rearticulation of its earlier argument on the allocation of damages. ABF contends that the jury‘s award of $89,699.20 in damages against ABF was “plainly excessive” because this amount includes lost wages incurred by Webb after the date of the grievance hearings. However, as discussed above in Part I.E., the jury properly allocated damages on the basis of its findings of proportional fault. As a result, we reject ABF‘s related claim that the damages are excessive.
Conclusion
In this case, a properly instructed jury having heard seven days of testimony
Notes
National Mater Freight Agreement, for the period of April 1, 1991 through March 31, 1994, art. 16, § 3.Accident Reports
Any employee involved in any accident or cargo spill incident, involving any hazardous or potentially polluting product, shall immediately report said accident or spill incident and any physical injury sustained. When required by his Employer, the employee, before starting his next shift, shall make out an accident or incident report in writing on fоrms furnished by the Employer and shall turn in all available names and addresses of witnesses to the accident or incident. . . . Failure to comply with this provision shall subject such employee to disciplinary action by the Employer.
On July 30th, 1993, you were involved in an accident which has been judged preventable by the ABF Safety Department. You failed to report this accident. . . .
In accordance with Article 46 of the Western Area Supplemental Agreements and Article 16 Section 3 of the National Master Freight Agreement, you are hereby discharged for failing to report a preventable accident.
In any event, Schwab‘s statement about the JWAC proceeding turned out to be incorrect. ABF officials introduced new photographs of the alleged damage to Webb‘s truck at the second hearing. Also, they offered new testimony as to the specific events on the morning when Webb was fired, implying that Webb knew he had “wrecked” his truck: Rick Porter, ABF‘s manager for industrial relations, told the JWAC panel that Webb gave his handwritten statement “when Mr. Higley was asking him ‘Did you know that you wrecked the tractor?’ He said ‘Let me tell you аbout it.‘”
In order to prevail against his employer on his claim under
29 U.S.C. § 185 , plaintiff Rick Webb must prove . . .2. That the Teamsters Local No. 17 breached its duty of fair representation to the plaintiff by:
(a) failing properly to process his grievance; and
(b) acting in a discriminatory, dishonest, arbitrary, or perfunctory fashion.
ABF insists these conclusions are contradicted by testimony from Schwab and others. However, this contention misunderstands our standard of review, which must uрhold the jury‘s verdict if any reasonable juror could have ruled as the jury did. See Yearous, 128 F.3d at 1353.
Jury Instruction No. 17 provides as follows:
An incomplete investigation of a grievance, or not making every conceivable argument on behalf of the grievant during the grievance procedure, does not violate the union‘s duty of fair representation unless the union‘s actions were discriminatory, dishonest, arbitrary or perfunctory. However, some minimal investigation is required.
At trial, ABF objected to the last sentence of this instruction on the grounds that “there is no minimum investigation threshold under the duty of fair representation cases.”
Indeed, it seems likely that ABF cannot succeed on the merits of a judicial estoppel claim because one of the elements of this doctrine is that the party against whom estoppel is asserted must have prevailed on the basis of his contradictory position in the prior proceeding. See 49.01 Acres of Land, 802 F.2d at 390. In Webb‘s case, he most assuredly did not prevail.
According to Jury Instruction No. 10, to award damages to the plaintiff the jury in Webb‘s case was required to find “That the breach of its duty of fair representation by Teamsters Local No. 17 seriously undermined the integrity of the grievance proceeding.”
Article 21 of the National Master Freight Agreement providеs as follows:
Union Activities
Any employee, member of the Union, acting in an official capacity whatsoever shall not be discriminated against for his acts as such officer of the Union so long as such acts do not interfere with the conduct of the employer‘s business, nor shall there be any discrimination against any employee because of union membership or activities.
Jury Instruction No. 8 reflects this understanding of the law. It states,
The interpretation of a contract by the parties, as shown by their conduct before any dispute arose between them, is one of the best indications of their intent.
Jury Instruction No. 23 provides as follows:
You must apportion any award of damages between the employer and the union according to the damages caused by the fault of each. Damages attributable solely to the breach of the National Master Freight Agreement by ABF Freight Systems, Inc. should not be charged to Teamsters Local Union No. 17, and increases in those damages caused by Teamsters Local Union No. 17‘s failure to fairly represent Rick Webb should not be charged to the employer. The combined amount of these damages should make Rick Webb whole.
The relevant text of Jury Instruction No. 10 is provided in footnote 13.
The text of Jury Instruction No. 17 is provided in footnote 15.
