Hines v. Grand Casinos L L C

IN THE UNITED STATES COURT OF APPEALS FOR THE FIFTH CIRCUIT _______________ m 01-30692 Summary Calendar _______________ KATY HINES, Plaintiff-Appellee, VERSUS GRAND CASINOS OF LOUISIANA, LLCSSTUNICA-BILOXI, Defendant-Appellant. _________________________ Appeal from the United States District Court for the Western District of Louisiana _________________________ January 4, 2002 Before JONES, SMITH, and dismiss Katy Hines’s title VII claims. Grand EMILIO M. GARZA, Circuit Judges. Casinos argues that the district court erred in concluding that Grand Casinos was Hines’s JERRY E. SMITH, Circuit Judge:* employer, in failing to join the Tunica-Biloxi Indian Tribe of Louisiana (“the Indian Tribe”) Grand Casinos of Louisiana, LLC (“Grand as a necessary and indispensable party under Casinos”), appeals a denial of its motion to FED. R. CIV. P. 19(a), and in failing to dismiss Hines’s claims because joinder of the Indian Tribe is not feasible under FED. R. CIV. P. * 19(b). Finding no error, we affirm. Pursuant to 5TH CIR. R. 47.5, the court has determined that this opinion should not be I. published and is not precedent except under the limited circumstances set forth in 5TH CIR. R. Grand Casino Avoyelles is a gaming 47.5.4. enterprise owned and operat ed by the Indian Tribe pursuant to the Indian Gaming received a right to sue letter, and sued Grand Regulatory Act, 25 U.S.C. § 2703. The Indian Casinos. Grand Casinos argued that it was not Tribe entered into a Management and Hines’s employer, so she had failed to state an Construction Agreement (“the agreement”) essential element of her title VII claim under with Grand Casinos. The agreement declared FED. R. CIV. P. 12(b)(6). Grand Casinos also Grand Casinos solely responsible for “all argued that the Indian Tribe was an business and affairs in connection with indispensable party under rule 19(b), and thus financing, construction, improvement, Hines’s failure to name the Indian Tribe as a development, and day-to-day operation, defendant mandated dismissal under rule management and maintenance.” Grand 12(b)(7). While this motion was pending, Casinos was assigned “exclusive responsibility Hines filed employment discrimination claims and authority to direct the selection, control against Grand Casinos and the Indian Tribe in and discharge of all personnel performing tribal court. regular services for the Enterprise,” including the duty to perform background checks, draft The district court treated the motion to dis- personnel policies, design a job classification miss as a motion for summary judgment, which and salary system, and establish an employee it denied. The district court and this court grievance procedure. granted leave to appeal the denial of the motion under 28 U.S.C. § 1292(b). Grand Casino promised to provide a security force “comprised of security officers III. employed directly by the Tribe, or under a Grand Casinos argues that the Indian Tribe, third party and the Tribe, who shall report to not Grand Casinos, was Hines’s employer, so the General Manager.” The General Manager the Indian the Tribe is an indispensable party. is, in turn, selected by Grand Casinos and ap- FED. R. CIV. P. 19(a). Because title VII does proved by a tribal representative. The not apply to Indian tribes, 42 U.S.C. § 2000e, agreement contradicts itself as to who employs joinder of the Indian Tribe is not feasible and the General Manager, first stating that Grand therefore, Grand Casinos argues, the suit Casinos is the employer, but fourteen pages should be dismissed. FED. R. CIV. P. 12(b)(7), later stating that the Tribe is. 19(b). Hines worked as a security officer at Grand To determine whether a protected Casino Avoyelles. She alleges that her employment relationship exists under Title supervisor, Patrick Laborde, made VII, we apply the “hybrid” common law con- inappropriate sexual remarks to her; when she trol/economic realities test. Mares v. Marsh, complained, the casino retaliated against her 777 F.2d 1066 (5th Cir. 1985). “The right to through more difficult work assignments and control an employee’s conduct is the most a demotion. Consequently, she suffered important component of this test.”1 In evalu medical problems, missed work, and was fired. II. 1 Deal v. State Farm County Mut. Ins. Co., 5 Hines filed a complaint with the Equal F.3d 117, 119 (5th Cir. 1993); accord Fields v. Employment Opportunity Commission, Hallsville Indep. Sch. Dist., 906 F.2d 1017, 1019 (continued...) 2 ating this component, we look to who has the IV. power to hire, fire, supervise, and set the work A. schedule for the employee. Deal, 5 F.3d at Grand Casinos argues that the federal and 119; Mares, 777 F.2d at 1068. tribal courts may render inconsistent judgments as to who is Hines’s employer, and The agreement is unambiguous; Grand Ca- the Indian Tribe should be joined to avoid this sinos has total, nearly exclusive authority over risk. This argument is meritless. all perso nnel decisions. It hires and fires all regular employees; it alone designs the There is nothing inconsistent in holding that casino’s personnel policies, job classification for purposes of title VII, Grand Casinos is and salary system, and employee grievance Hines’ employer, but under certain tribal or procedure; and it performs all employee state anti-discrimination laws, the Indian Tribe background checks. The fact that the Indian is her employer. Nor is there any risk of doub- Tribe preserved a veto power over other hiring le liability for the Indian Tribe. The agreement decisions and imposed an Indian-preference re- renders Grand Casinos solely liable for any quirement for hiring does not alter our title VII judgment against it; the Indian Tribe conclusion. See Fields, 906 F.2d at 1020; has no duty to indemnify. Mares, 777 F.2d at 1068. B. The Indian Tribe did pay Hines’s salary, Grand Casinos asserts that the Indian Tribe, withhold her taxes, and provide her benefits, as a party to the agreement, has an interest in satisfying the economic realities component of how the agreement is interpreted, and this this test. See Deal, 5. F.3d at 119. The interest makes it an indispensable party. But, common law control component is the crucial Grand Casinos fails to articulate any concrete factor, however; the economic component is effect from this title VII suit on the Indian secondary. Thus, where one party exercises Tribe. Even if it could, such a weak, indirect total control over hiring, firing, and interest would not be sufficient. The Indian supervising an employee, it must be the Tribe cannot be joined as a defendant under employer under title VII, regardless of whether rule 19(a) unless Hines has a cause of action a different party exercises economic control. against it. See Vieux Carre Prop. Owners, Accordingly, the district court was correct to Residents & Assocs., Inc. v. Brown, 875 F.2d conclude that Grand Casinos was Hines’s 453, 457 (5th Cir. 1989). Title VII explicitly employer. excludes Indian tribes from its scope, 42 U.S.C. § 2000e, and thus the Indian Tribe can- not be joined. 1 C. (...continued) (5th Cir. 1990); see also Nowlin, 33 F.3d at 506 Grand Casinos contends that the Indian (stating that “the right to control is an especially Tribe has a “sovereign interest” in having this crucial factor”); Mares, 777 F.2d at 1067 (opining suit heard in tribal court. We disagree. Indian that the hybrid test “focuses more on the extent of tribes enjoy limited sovereignty. Although the employer’s right to control the means and they have retained certain inherent powers as manner of the worker’s performance” (internal sovereignsSSthe power to punish tribal quotation marks omitted)). 3 offenders, to determine tribal membership, to regulate domestic relationships among tribe members, and prescribe rules of inheritance for membersSSthey have been divested of nearly all power to regulate relations with non- members of the tribe. Montana v. United States, 450 U.S. 544, 563 (1981). Only where “necessary to protect tribal self-government or to control internal relations” do they have sov- ereign power over non-members. Id. Hines’s claim involves two nonmembers, a federal (not tribal) statute, and no possibility of liability for the Indian Tribe. Grand Casinos has not even alleged that this suit implicates the Indian Tribe’s self-government or internal relations. Accordingly, the district court did not err in concluding that the Indian Tribe is not indispensable under rule 19. V. Grand Casinos argues that the Hines is re- quired to exhaust her remedies in tribal court before the district court may hear them. As a matter of comity, a federal court will not en- join tribal court proceedings or rule on a tribal court’s jurisdiction before tribal court remedies are exhausted.2 None of these elements applies to the instant suit, so the exhaustion doctrine is inapposite. The order denying Grand Casinos’ motion to dismiss is AFFIRMED. We express no view on the ultimate merits of this case. 2 Iowa Mut. Ins. Co. v. LaPlante, 480 U.S. 9, 15-16 (1987); Nat’l Farmers Union Ins. Cos. v. Crow Tribe of Indians, 471 U.S. 845, 857 (1985). 4