F I L E D
United States Court of Appeals
Tenth Circuit
PUBLISH
JUL 23 1997
UNITED STATES COURT OF APPEALS
PATRICK FISHER
Clerk
TENTH CIRCUIT
LIA LEA RICHMOND,
Plaintiff - Appellant,
vs. No. 96-6228
ONEOK, INC.,
Defendant - Appellee.
APPEAL FROM THE UNITED STATES DISTRICT COURT
FOR THE WESTERN DISTRICT OF OKLAHOMA
(D.C. No. 95-CV-1267)
Steven M. Angel, Law Offices of Steven M. Angel, Oklahoma City, Oklahoma, for
Plaintiff-Appellant.
Larry D. Henry (Rebecca Brett and Patrick W. Cipolla with him on the brief), Gable,
Gotwals, Mock, Schwabe, Kihle & Gaberino, Tulsa, Oklahoma, for Defendant-Appellee.
Before TACHA, BALDOCK, and KELLY, Circuit Judges.
KELLY, Circuit Judge.
Plaintiff Lia Lea Richmond filed this action against Defendant ONEOK, Inc.,
alleging that her employment with ONEOK was terminated in retaliation for her assertion
of rights under the Fair Labor Standards Act (FLSA), 29 U.S.C. §§ 201-219, and the
Family Medical Leave Act (FMLA), 29 U.S.C. §§ 2601-2654. She also claimed that the
termination breached an implied contract of employment, or in the alternative, that her
whistleblowing activities created an exception to the at-will employment contract she had
with ONEOK. On summary judgment, the district court ruled against Ms. Richmond on
all but one limited claim. Ms. Richmond subsequently filed a motion for entry of final
judgment under Fed. R. Civ. P. 54(b), agreeing to dismiss the remaining claim if on
appeal the summary judgment against her is affirmed. We exercise jurisdiction under 28
U.S.C. § 1291 and affirm.
Facts
Ms. Richmond began working as a secretary at ONEOK in 1984 until her
termination in July 1994. During that time her employment was at-will. While employed
at ONEOK, Ms. Richmond was given an employee handbook, which permitted discretion
in imposing discipline.1 Both the introduction to the discipline section, as well as the
1
The handbook stated in relevant part:
DISCIPLINE
It is the responsibility of the Company to make reasonable, work-related
rules and regulations pertaining to conduct, safety, job performance,
attendance, and production. It is the responsibility of the employees to
maintain regular attendance and acceptable job performance and to follow
all other work-related rules made known to them. The employment
relationship is at will and may be terminated by the employee or the
Company at any time for any reason, with or without notice.
In the event that an employee has a problem with complying with these
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introduction to the handbook, contained a clear statement that the employment
relationship between ONEOK and its employees was at-will.
In 1991, Ms. Richmond was assigned to ONEOK’s Oklahoma City claims
department as an administrative secretary. From 1992 to April 1994, several performance
issues arose, with Ms. Richmond’s supervisor documenting what he considered to be
unacceptable performance.
In April 1994, Ms. Richmond’s supervisor refused to approve her claim for
overtime pay under FLSA. She went to the personnel department to resolve the dispute,
and also notified the department that her supervisor had engaged in “illegal and unethical
conduct.” She was apparently referring to the fact that she had seen her supervisor’s 1993
federal income tax return, which did not reflect any income other than his salary earned at
ONEOK. Ms. Richmond claims that her supervisor threatened to terminate her when he
heard of her accusation. On April 20, 1994—two days after the personnel department
resolved the overtime dispute in her favor—Mrs. Richmond was placed on a one-day
rules, it is the responsibility of the supervisor to initiate appropriate
discipline. Depending on the nature and seriousness of the violation and the
past work record of the employee, discipline may begin with reminder
counseling or disciplinary counseling or decision-making leave or
termination. Continued inability or unwillingness to adhere to work rules
during any stage of this discipline procedure will result in termination.
Each type of discipline will be documented by the supervisor and shown to
and signed by the employee to acknowledge that he or she has read the
documentation. . . .
Aplt. App. at 300-01.
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suspension for poor work performance.
Upon her return, Ms. Richmond’s supervisor required her to sign a confidentiality
statement regarding work-related issues. She considered this action retaliatory in nature,
and reported the statement to the personnel department. On June 1, Ms. Richmond took
leave to care for her daughter, who had chicken pox. Although she did not invoke FMLA
at the time, she now claims that her leave fell within the act. When she returned on June
6, she was again placed on a one-day suspension for unsatisfactory performance. Mrs.
Richmond was again on leave from July 2, 1994 until July 17, 1994. When she returned,
she was terminated.
Discussion
We review the grant of summary judgment de novo, and apply the same legal
standard used by the district court under Rule 56(c). United States v. City and County of
Denver, 100 F.3d 1509, 1512 (10th Cir. 1996). Summary judgment is appropriate if
“there is no genuine issue as to any material fact and . . . the moving party is entitled to a
judgment as a matter of law.” Fed. R. Civ. P. 56(c); see also Celotex Corp. v. Catrett, 477
U.S. 317, 322-23 (1986). A disputed fact is “material” if it might affect the outcome of
the suit under the governing law, and the dispute is “genuine” if the evidence is such that
a reasonable jury could return a verdict for the nonmoving party. Anderson v. Liberty
Lobby, Inc., 477 U.S. 242, 248 (1986). We construe the factual record and reasonable
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inferences therefrom in the light most favorable to the nonmovant. Gaylor v. Does, 105
F.3d 572, 574 (10th Cir. 1997).
I. Retaliation Claims
We review Ms. Richmond’s retaliation claims under the analytical framework set
forth in McDonnell Douglas Corp. v. Green, 411 U.S. 792, 802-04 (1973). See Morgan
v. Hilti, Inc., 108 F.3d 1319, 1323 (10th Cir. 1997). Under that standard, the plaintiff
initially must establish a prima facie case. Id. The burden then shifts to the employer to
offer a legitimate non-retaliatory reason for the plaintiff’s termination. Id. If the
employer offers such a reason, the burden then shifts back to the plaintiff to show that
“‘there is a genuine dispute of material fact as to whether the employer’s proffered reason
for the challenged action is pretextual.’” Id. (quoting Randle v. City of Aurora, 69 F.3d
441, 451 (10th Cir. 1995)).
In order to establish a prima facie claim for FLSA or FMLA retaliation, a plaintiff
must show that: (1) she engaged in activity protected under either act; (2) she
subsequently suffered adverse action by the employer; and (3) a causal connection existed
between the employee’s activity and the adverse action. Archuleta v. Colorado Dep’t of
Institutions, 936 F.2d 483, 486 (10th Cir. 1991). A plaintiff can demonstrate pretext by
showing “weaknesses, implausibilities, inconsistencies, incoherencies, or contradictions
in the employer’s . . . reasons for its action,” which “a reasonable factfinder could
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rationally find . . . unworthy of credence.” Morgan, 108 F.3d at 1323 (citations and
internal quotations omitted). Mere conjecture that the employer’s reason is pretext,
however, will not defeat a motion for summary judgment. Id.
A. FLSA retaliation claim
Ms. Richmond claims that a suspension in April 1994 and her ultimate termination
in July 1994 were in retaliation for her claim to overtime pay under FLSA. The district
court denied ONEOK’s summary judgment on the issue of whether the suspension was
retaliatory.2 The court granted summary judgment as to the termination, however,
holding that the three-month period of time between her protected activity and
termination was insufficient to establish a causal connection. See Archuleta, 936 F.2d at
486. Ms. Richmond contends that the district court’s ruling directly contradicts the Tenth
Circuit’s panel decision in Marx v. Schnuck Markets, Inc., 76 F.3d 324 (10th Cir.), cert.
denied, 116 S. Ct. 2552 (1996). We disagree.
We note first that Ms. Richmond mischaracterizes the district court’s holding. The
court did not hold, as Ms. Richmond argues, that the three-month period between the
protected activity and her termination destroyed any causal connection. Rather, the
district court held that the three-month period between the activity and termination,
2
Although ONEOK spends part of its brief arguing that the suspension was not
retaliatory, we note that ONEOK has not cross-appealed the district court’s denial of
summary judgment as to Ms. Richmond’s suspension.
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standing alone, does not establish a causal connection. This is not inconsistent with
Marx. The court in Marx held only that, while retaliatory intent may be inferred from
adverse action which “closely followed” the plaintiff’s protected activity, “the phrase
‘closely followed’ must not be read too restrictively where the pattern of retaliatory
conduct begins soon after the filing of the FLSA complaint and only culminates later in
actual discharge.” 76 F.3d at 329 (emphasis added). Here, there is no pattern based on a
single request for overtime pay; hence, Ms. Richmond has not established a causal
connection.
B. FMLA retaliation claim
Ms. Richmond also claims that her suspension in June and termination one month
later were in retaliation for her use of FMLA leave. The district court granted summary
judgment against Ms. Richmond on her FMLA claim, holding that the reason for which
she took leave—her daughter’s chicken pox—was not a “serious health condition” within
the meaning of FMLA and that she failed to give ONEOK adequate notice that she
intended to take FMLA leave. We affirm the district court’s decision on other grounds.
See Bolton v. Scrivner, Inc., 36 F.3d 939, 942 (10th Cir. 1994), cert. denied, 513 U.S.
1152 (1995).
Assuming without deciding that Ms. Richmond proved a prima facie case of
FMLA retaliation, she did not carry her burden of showing that ONEOK’s proffered
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reasons for her dismissal were pretextual. ONEOK’s stated reason for Ms. Richmond’s
suspension and discharge was deficient work performance. Ms. Richmond’s supervisor,
in fact, documented fifteen incidents between February 1991 and March 1994 which
demonstrated her poor work performance; Ms. Richmond acknowledged that each of
these incidents occurred, but denied any fault. Moreover, Ms. Richmond herself kept a
diary which detailed 23 separate incidents, many of which also demonstrated her poor
performance.
Ms. Richmond responds that ONEOK’s proffered reason is pretextual because she
did not receive any “documented counseling” regarding her poor performance pursuant to
the handbook. The mere fact that each incident of deficient work was not “documented”
does not address the inherent performance issues. Ms. Richmond failed to show that
ONEOK’s proffered reason for her dismissal was one which a rational jury could find
“unworthy of credence.” Morgan, 108 F.3d at 1323.
II. Implied Contract
Ms. Richmond next claims that ONEOK’s employee policy manual created an
implied contract, giving her the right to be disciplined progressively and to be terminated
only on grounds provided in the manual. The district court granted summary judgment
against Ms. Richmond on this claim, holding that the employee manual did not create an
implied contract. We agree.
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Under Oklahoma law, an employment contract of indefinite duration may be
terminated at will by either party. Burk v. K-Mart Corp., 770 P.2d 24, 26 (Okla. 1989).
However, at-will employment may, under some circumstances, be converted by implied
contract to employment which may only be terminated on certain grounds. Dupree v.
United Parcel Serv., Inc., 956 F.2d 219, 222 (10th Cir. 1992). The employee’s implied
contract claim “must be reasonable under an objective standard, not merely the subjective
belief of the employee.” Hayes v. Eateries, Inc., 905 P.2d 778, 784 (Okla. 1995).
Ms. Richmond claims that ONEOK’s policy manual created an implied contract,
and argues, relying upon Johnson v. Nasca, 802 P.2d 1294 (Okla. Ct. App. 1990), that the
clear and unambiguous disclaimers contained in ONEOK’s handbook do not prevent the
finding of an implied contract. The court in Johnson held that despite the disclaimers
contained in the handbook, “when viewed in conjunction with a pattern [or] practice
indicating the adoption and consistent use of these procedures, [the handbook] may lead
reasonable minds to differing conclusions about the existence of implied contractual
rights to use of the procedures.” Id. at 1297 (emphasis added). Here, the record is devoid
of any evidence indicating such a “pattern or practice.” The manual does not mandate
that progressive discipline be imposed, but only states that such discipline may be
imposed, at the supervisor’s discretion. No reasonable employee could view the
handbook as creating an implied contract.
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III. Public Policy Exceptions to At-Will Employment
Finally, Ms. Richmond argues that her discharge was in violation of public policy.
Oklahoma law recognizes an exception to the at-will employment relationship when “the
discharge is contrary to a clear mandate of public policy as articulated by constitutional,
statutory or decisional law.” Burk, 770 P.2d at 28. The Burk exception to at-will
employment, however, is a narrow one, and is to be “tightly circumscribed.” Id. at 28-29.
Ms. Richmond claims that her discharge was in violation of the public policies expressed
in FLSA, FMLA, and state whistleblowing protections. The district court held that her
discharge was not contrary to a clear mandate of Oklahoma public policy.
With respect to Ms. Richmond’s Burk claims based on FLSA and FMLA, we have
already held that she has no claim under either of those acts. Even if she had valid claims
under those acts, however, this circuit has already ruled that Burk claims must have their
basis in Oklahoma state law, McKenzie v. Renberg’s, Inc., 94 F.3d 1478, 1487 (10th Cir.
1996), cert. denied, 117 S. Ct. 1468 (1997). Ms. Richmond has failed to produce, nor
have we found, any Oklahoma law which would apply FLSA or FMLA to Ms.
Richmond’s situation. Moreover, even if there were such a law, we note that Ms.
Richmond’s Burk claim might still be barred if that law provided adequate remedies. See
List v. Anchor Paint Mfg. Co., 910 P.2d 1011, 1013-14 (Okla. 1996).
We similarly reject Ms. Richmond’s claim that Oklahoma law provides an
exception to at-will employment on the basis of her “internal whistleblowing”—that is,
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her reports to ONEOK’s personnel office of her supervisor’s “illegal and unethical
activity.” This court has already held that there is no clear mandate of Oklahoma public
policy against terminating employees for whistleblowing activity. Burk v. K Mart Corp.,
956 F.2d 213, 214 (10th Cir. 1991) (finding no clear mandate in Oklahoma law against
termination for whistleblowing).
AFFIRMED.
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