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Zeniuk v. Rka, Inc
472 N.W.2d 23
Mich. Ct. App.
1991
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*1 RKA, Zeniuk v INC ZENIUK 1990, at Detroit. Decided No. 119801. Submitted November Docket 6, 1991, May 10:05 a.m. at brought in the Oakland Circuit Court Zeniuk an action Criston R.K.A., Inc., alleging wrongful discharge. plaintiff against The just alleged that he was entitled to be dismissed cause policy company’s the basis of the termination em- on summary disposi- ployee The moved for handbook. defendant ground timely to file a that the failed tion discharge mandatory under the arbitra- for arbitration demand plain- procedure The set forth the handbook. tion argued that he never received an handbook and tiff remedy The his sole was defen- unaware that arbitration. was plaintiff’s explicit responded sworn that the and factual dant complaint regarding the handbook demon- his Statements familiarity and with the that he had of strated court, Breck, J., F. provisions of the handbook. The David questions the that of the motion on there were denied plaintiff had received the fact about whether the material granted appeal. leave to defendant was Appeals held: The Court of granted motion have The defendant’s should been because the is no issue of material fact and entitled there judgment as a matter law. rely 1. If the is entitled to on the handbook to Only may just he his claim that be terminated cause, then he bound the other terms relative to the is also provide policy claim of in the handbook which termi- grievance by filing just a without cause must be made nation request did file a a for arbitration. Plaintiff not Having pursue for arbitration. failed or make plaintiff may provided by company policy, the the as wrongful discharge pursue court a claim based on circuit policy. required to show that 2 The was References 2d, Labor 9.§ Am Jur Labor and Relations Employment. See Index to Annotations under Labor Opinion of the Court advantage was communicated to him in order to take Because he did not claim that was handbook, through communicated to him other than he is obligations bound as well as the benefits of the as *2 expressed in the handbook. entry granting Reversed and remanded for of an order disposition. defendant’s motion for Wahls, J., dissenting, plaintiff’s stated that the claim is not solely general knowledge defeated because he had of the defen- just-cause policy. plaintiff dant’s termination is not re- quired specific just-cause to know the terms of the termination legiti- clause in the in handbook order to show that he had a expectation applied him; rather, mate that it would be all required general knowledge that is is that he had of the applicability question and its to him. A of material fact existed regarding plaintiff whether the received the hand- book and therefore was aware of and to the arbitration policy. — Employee — Master and Servant Termination for Cause Handbooks. only An just who claims entitlement to dismissal for cause on the company basis of the termination in a handbook is also bound other terms in the handbook rela- making tive to the of claims under the Poplar Kalis), (by Kalis, & P.C. Michael L. for plaintiff. Keywell (by Gary & Rosenfeld W. Klotz and Sperstad-McElyea), Kari for the defendant. P.J., Before: Reilly, Doctorqff, and Wahls and JJ. appeals by granted

Reilly, P.J. Defendant leave deny- from an order of the Oakland Circuit Court ing summary disposition, its motion for 2.116(0(10), plaintiffs complaint, alleged which wrongful discharge. We reverse. hired

Plaintiff was October 1987 part-time general July as a contract laborer. plaintiff employee, 1988, became a full-time and in Zeniuk Opinion of the Court posi- promoted was October supervisor. evening tion of 23, 1988, his immedi- On December pay suspended supervisor without ate allegedly misappropriating were company funds. How- January 15, 1989, ever, supervisor immediate on acting misap- she, alone, confessed that the funds question. Despite plaintiff’s propriated February 16, 1989, exoneration, on he was fired on company allegedly that he falsified the records. alleging wrongful complaint Plaintiff filed his discharge April 11, on 1989. Plaintiff claimed he just cause was entitled because defendant be dismissed promulgated termi- company nation complaint, argu- Defendant moved to dismiss the ing, alia, inter was an with *3 seniority employee status. Defendant’s handbook "discharge procedure” contained a "discharge which stated that arbitration” was the employees seniority sole available with procedure required status. The arbitration a dis- charged regular employee seniority status to with grievance thirty days file a with defendant within discharge request after the and a written for arbi- thirty days tration within after defendant’s re- sponse grievance. employee’s to the Plaintiff did not file a or a written for arbi- argued, Thus, tration. it entitled to was summary disposition dismissing plaintiff’s breach employment ground of contract claims on the that plaintiff timely failed to file a demand for arbitra- mandatory "discharge tion under the arbitration” procedure set forth in the response summary

In to defendant’s motion for disposition, plaintiff argued he received that never that his handbook and was unaware [May- Opinion of the Court

sole responded was arbitration. Defendant remedy- explicit made factual sworn statements in his the complaint regarding em- handbook which ployee demonstrated had of familiarity provi- with the sions of the handbook.

The trial court denied defendant’s motion for disposition with respect to the breach of i, ii, employment contract claims counts and m plaintiffs of complaint that "there are questions of material fact about whether received the handbook.” Defendant appeals portion from that of the trial court’s decision.

A motion for summary disposition premised on 2.116(0(10) tests the factual for a motion, claim. on ruling the the trial court affidavits, must consider pleadings, depositions, the and other documentary evidence submitted Ass’n, Dumas v Auto Club Ins parties. 626; 425 NW2d 480 Giving the benefit nonmoving reasonable doubt party, test is whether kind record which might be developed open will leave an issue upon Id. This which reasonable minds might differ. Court is liberal in finding genuine issue of mate- fact. St Paul Fire & Marine Quin- Ins Co v rial tana, 165 Mich App

Nonetheless, where the opposing fails party evidence, come forward with beyond allega- tions or denials in pleadings, establish existence of a material factual dispute, the motion Morganroth Whitall, is properly granted. *4 Mich App

2.116(G)(4).

Defendant’s motion for un- 2.116(0(10) der MCR should granted have been because there is no issue of material fact and Zeniuk Opinion op the Court judgment to as a matter of is entitled defendant law. to dis- that he was entitled be Plaintiff claims just employer only because the missed promulgated cause just-cause a termination company either em- handbook. Plaintiff was just only ployee cause who could be terminated employee. If the is he was an at-will rely on the handbook to entitled just-cause employee than that he is a rather claim employee, then he must also be bound an at-will just-cause policy by in the the other terms of the handbook, i.e., that of termination with- claim filing just must be made a out cause request may not a for arbitration. Plaintiff of a stated while claim rejecting the benefits obligation griev- file

the concomitant a to enforce ance and order those benefits. argues that he is entitled to the

Plaintiff further expressed company policy as benefits though copy copy handbook, not receive a even he did of the of can If did not receive a handbook. handbook, contents, how didn’t know its just-cause employee? he he a Tous- claim Michigan, saint v Blue Cross & Blue Shield (1980), requires a com- policy, just subjective munication of the not a expectation. Plaintiff does not claim that the com- pany’s just-cause policy him was communicated to through other offered than He has any basis, handbook, other than for his just-cause employee. claim that he is a Either he is company because the com- simply him municated that or he is an at- will with no for his termination. just-cause employee, If he is a obligations he is bound

as well as the benefits of that *5 by Wahls, J. Dissent parties agree filed neither a Having nor a pursue policy, plaintiff for arbitration. failed to provided company

his as pursue cannot now circuit court wrongful discharge a claim based on that entry

Reversed and remanded for of an order granting disposi- summary defendant’s motion for 2.116(0(10). tion under MCR J., concurred.

Doctoroff, (dissenting). case, In this I am of the Wahls, opinion question whether re- employee ceived the of and handbook and was thus aware to defendant’s arbitration presented question of material fact for the fact- respectfully finder’s Therefore, determination. I dissent. response

In addition to his to defendant’s motion summary disposition, plaintiff presented his argued own sworn affidavit in which he that he never received an handbook and was remedy, following discharge, unaware that his sole response, argued was arbitration. that sworn statements, factual in complaint, plaintiff’s knowledge established of and familiarity with However, plaintiff argued rebuttal, that while he was told general employment about terms in employee handbook, i.e., that defendant would plaintiff only upon just through terminate other cause, employees, plaintiff never received or viewed plaintiff argued Further, the actual handbook. (not "employee guide” his reference to an ployee an "em- handbook”) complaint was not so intelligent, unequivocal clear, knowledge as to constitute

of the handbook in its en- tirety. Notably, plaintiff’s complaint does not cite Zeniuk by Wahls, J. any specific paragraphs or reference sections employee handbook. defendant’s summary A motion general that there is no issue of material fact tests claim. the factual enko, (1988). for a Leitch v Switch- granting Before a motion for 2.116(0(10), pursuant disposition made to MCR *6 the court must consider the affidavits and the pleadings evidence,

as well as all other and be impossible that it is for the satisfied supported claim to be deficiency at trial because of some that Schippers Corp, cannot be overcome. v SPX 186 (1990). App 595, 596; 465 34 Mich are giving NW2d Courts finding genuine exists, in that a liberal issue resolving all benefits of doubt and all rea- nonmoving in sonable inferences party. favor of the Slaughter App Smith, v 167 Mich NW2d 2.116(G)(4)provides party that "an adverse may upon allegations not rest the mere or denials pleading, must, of his or her but affidavits or as provided specific rule, otherwise in this set forth showing genuine facts trial.” there is a issue for plaintiff Morganroth

Thus, unlike the (1987), Whitall, 161 Mich any response who failed to file to the defendant’s motion and did not come support finding forward with evidence to that a genuine existed, issue of material fact in this case claim not could be defeated on the opposition that he based his to defendant’s summary disposition allega- motion on the mere pleadings. tions and denials majority argues if is enti- rely tled to handbook of his just-cause employee, claim that he is a then he is the other also bound terms by Wahls, handbook, that he is namely, stated terms I disagree. therein. in an contract which provision employment

A discharged that an shall be provides is enforceable whether except legally for cause written, or express agreement, is an oral provision legitimate expec- employee’s the result of an or is state- employer’s policy in an grounded tations expectations be legitimate may ments. These written state- grounded employer’s in an personnel poli- in a manual of ments as set forth Blue Shield of v Blue Cross & cies. Toussaint 579, 598-599; 292 Michigan, 408 Mich NW2d Hosp, Huron Renny v Port 428; 398 personnel employer an need not establish While

policies establish them known to its relationship practices, employer where an chooses to policies practices such and makes

employees, employment presumably enhanced. The em- cooperative ployer orderly, loyal secures *7 force, peace the the of mind work and security and the job associated with conviction preemployment fairly. that he will be treated negotiations minds No parties’ place and the need take subject; it need not meet on the nor does nothing of the matter knows policies practices particulars employer’s of the and change employer may them unilater- or that chooses, pre- enough employer It is ally. interest, sumably in its own to create an environ- that, ment in which the believes what- practices, personnel policies they are ever the time, given purport and official at established fair, applied consistently and are and uni- to be [Toussaint, employee. supra, p 613. formly to each Emphasis added.] required specific

A is not to know the 41 Zeniuk v Inc by Wahls, J. in an of termination clause terms employee handbook; of the em- applicability ployer’s policy its required. Jordan, 141 Mich See Rasch v East is App (1985). Therefore, 336, 345; 367 NW2d 856 solely plaintiffs case, claim is not defeated this general knowledge of defendant’s he had bécause just-cause termination public Michigan’s policy favors arbitra

While disputes, of it is well settled resolution tion Grand is a matter of contract. that arbitration Rapids 628, Police, Order 415 Mich v of Fraternal (1982). An 634-635; agreement 52 arbitration 330 NW2d requiring contract, the mutual is a parties parties, by which all assent agree rights proceed forego their with a court disputes instead, to a and, their action panel submit Cooke, 118 Horn Mich v arbiters. (1982), 740, 744; Arbitration is a required party contract, cannot matter of and a be which he has not to submit to arbitration an issue Living agreed Wiley Sons, John & Inc v to submit. ston, 546-547; 376 Ct 11 L Ed 2d US 84 S (1964); of America v War 898 United Steelworkers Navigation 574, 582; 80 S Co, & 363 US rior Gulf (1960); 1347; L Ed 2d 1409 Arrow Overall Ct 4 Supply Peloquin Enterprises, Co v 323 1 Kaleva-Norman-Dickson NW2d 6 School School Dist No v Kaleva-Norman-Dickson Ass’n, 583, 587; 227 NW2d Teachers' (1975); Omega Co, Altman, v Construction App 649, 655; Grosse Mich MERC, Pointe Farms Police Officers Ass’n App 173, 176-177; 218 NW2d pro- Except compulsory where a step by statute, toward the settle- vided the first *8 by entry is the ment of difference arbitration App Mich by Wahls, agreement to An parties into a valid arbitrate. contract, agreement of the liabilities of the of contracts. to arbitrate is a the relation contractual, rights parties is and the and parties are controlled the law 2d, [Id., p (quoting 5 Am Jur Award, 11, p 527).] Arbitration & § Thus, determining in inquiry threshold whether a matter is to arbitration is exists. Roberts agreement whether Hosp, Community McNamara-Warren 138 Mich (1984). 694; 360 NW2d 279 The burden is plaintiff knowingly, on the defendant to show that intelligently, right and waived his voluntarily Id.; Fragatos, Moore v court access. (1982).

179, 186; 321 case, In supporting this claimed affidavit that he did not receive an hand- book, and did not have of the arbitra- agreement tion plain- contained therein. Whether tiff is subject agreement to the arbitration is a question of material fact this case. Where the truth of a material factual assertion of a movant’s depends affidavit on the affiant’s there credibility, genuine inheres a issue to be decided at trial by trier of fact and a motion for summary disposi- Pointer, Brown v granted. tion cannot be 346, 354; 212 NW2d 201 ques- Close factual tions are the stuff of which trials are made and are not properly subject disposition on motions Metropolitan Lewis v for summary disposition. Co, Life Ins sum, giving the benefit of every reasonable

doubt all resolving reasonable favor, inferences I am not satisfied it impossible would be his claim at trial. is Summary never proper present, when an issue of material fact it is an overuse of to make appellate authority *9 Zeniuk 43 by Wahls, findings appeal.

what amounts of fact on See Cronin, Ridge Pine Coal Co v Kratochvil v Grayling, (1972); 682, 687; Warren Mich NW2d Stephenson, Tool Co v

Case Details

Case Name: Zeniuk v. Rka, Inc
Court Name: Michigan Court of Appeals
Date Published: May 6, 1991
Citation: 472 N.W.2d 23
Docket Number: Docket 119801
Court Abbreviation: Mich. Ct. App.
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