Clarke v. Kentucky Fried

USCA1 Opinion









July 5, 1995 UNITED STATES COURT OF APPEALS
FOR THE FIRST CIRCUIT

__________________

No. 94-1950
KARIN CLARKE,

Plaintiff, Appellant,

v.

KENTUCKY FRIED CHICKEN OF CALIFORNIA, INC.,

Defendant, Appellee.

____________________




ERRATA SHEET




The opinion of this Court issued on June 14, 1995, is
amended as follows:


Cover sheet, under listing of counsel, add: Nan Myerson ____________
Evans, Bon Tempo & Evans and David A. Robinson on brief of amicus _____ _________________ _________________
curiae National Employment Lawyers Association.

































[Appendix not attached. Please contact Clerk's Office
for
opinion with appendix.]
UNITED STATES COURT OF APPEALS
FOR THE FIRST CIRCUIT
____________________

No. 94-1950

KARIN CLARKE,

Plaintiff, Appellant,

v.

KENTUCKY FRIED CHICKEN OF CALIFORNIA, INC.,

Defendant, Appellee.

____________________


APPEAL FROM THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF MASSACHUSETTS

[Hon. Edward F. Harrington, U.S. District Judge] ___________________

____________________

Selya, Circuit Judge, _____________

Campbell, Senior Circuit Judge, ____________________

and Cyr, Circuit Judge. _____________

____________________



Kevin G. Powers, with whom Robert S. Mantell and Law _______________ _________________ ___
Office of Kevin G. Powers were on brief for appellant. _________________________
Jeffrey G. Huvelle, with whom Melissa Cole, _____________________ _____________
Covington & Burling, Terry Philip Segal, Brenda R. _____________________ ____________________ __________
Sharton and Segal & Feinberg were on brief for appellee. _______ ________________
Nan Myerson Evans, Bon Tempo & Evans and David A. _________________ __________________ _________
Robinson on brief of amicus curiae National Employment ________
Lawyers Association.
____________________

June 14, 1995
____________________














CYR, Circuit Judge. Plaintiff Karin Clarke appeals CYR, Circuit Judge. _____________

from a district court judgment dismissing her sexual harassment

claim against her former employer, Kentucky Fried Chicken of

California, Inc. ("KFC"), for failure to exhaust administrative

remedies, and dismissing her related state-law tort claims on

preemption grounds. We affirm the judgment.


I I

BACKGROUND BACKGROUND __________

While employed by defendant KFC at a fast-food restau-

rant in Saugus, Massachusetts, Clarke was sexually harassed,

physically assaulted, and subjected to attempted rape by other

KFC employees. Clarke quit her job and initiated the present

lawsuit in Massachusetts Superior Court, alleging sexual harass-

ment, negligent and reckless infliction of emotional distress,

and negligent hiring, retention and supervision.

After removing the case to federal district court, see ___

28 U.S.C. 1441, 1446; see also id. 1332 (diversity jurisdic- ___ ____ ___

tion), KFC filed a motion to dismiss all claims, see Fed. R. Civ. ___

P. 12(b)(6), contending that the sexual harassment claim under

Mass. Gen. L. Ann. ch. 214, 1C, was barred for failure to

exhaust mandatory administrative remedies before the Massachu-

setts Commission Against Discrimination ("MCAD"), see Mass. Gen. ___

L. ch. 151B, 5 (prescribing six-month limitation period for

MCAD claims), 9 (making section 5 procedure "exclusive"), and

that Clarke's common law tort claims were preempted by the

Massachusetts Workers' Compensation Act, see Mass. Gen. L. ch. ___

2












152, 1 et seq. (Supp. 1994). The motion to dismiss was granted __ ___

in its entirety. Clarke v. Kentucky Fried Chicken of California, ______ _____________________________________

Inc., No. 94-11101-EFH (D. Mass. Aug. 17, 1994).1 ____


II II

DISCUSSION DISCUSSION __________

A. Sexual Harassment A. Sexual Harassment _________________

Clarke first contends that the district court should

not have dismissed her sexual harassment claim, because the

"jurisdictional" clause in Mass. Gen. L. Ann. ch. 214, 1C

(1986) ("The superior court shall have jurisdiction in equity to _____ ____ ____________

enforce this right and to award damages.") evinces a clear

legislative intent to except such claims from compliance with the

otherwise mandatory MCAD exhaustion requirement imposed on other

employment-based discrimination claims under Massachusetts law.

In order to place her contention in context, we examine pertinent

case law and statutes, see infra APPENDIX at pp. (i)-(iii). ___ _____

1. Fair Employment Practices Act, Mass. Gen. L. Ann. ch. 1. Fair Employment Practices Act, Mass. Gen. L. Ann. ch. _______________________________________________________
151B 151B ____

In 1946 the Massachusetts Legislature enacted the Fair

Employment Practices Act ("FEPA"), Mass. Gen. L. Ann. ch. 151B,

1 et seq., which contained a comprehensive list of unlawful __ ___

discriminatory acts by covered Massachusetts employers against




____________________

1We review Rule 12(b)(6) dismissals de novo, accepting all __ ____
well-pleaded allegations. Vartanian v. Monsanto Co., 14 F.3d _________ ____________
697, 700 (1st Cir. 1994).

3












their employees.2 See id. 4; Katz v. MCAD, 312 N.E.2d 182, ___ ___ ____ ____

187 (Mass. 1974) (noting that FEPA was enacted "to implement the

right to equal treatment guaranteed to all citizens by the

constitutions of the United States and the Commonwealth").3

Gender-based discrimination was included in the section four

listing as an unlawful employment practice. See Mass. Gen. L. ___

Ann. ch. 151B, 4(1); see also College-Town v. MCAD, 508 N.E.2d ___ ____ ____________ ____

587 (Mass. 1987) (interpreting FEPA 4(1) as encompassing sexual

harassment by employers and supervisory employees).

FEPA claimants must file their MCAD claims within six

months after the alleged discriminatory act, or forfeit any

entitlement to judicial review. See Mass. Gen. L. Ann. ch. 151B, ___

5, 9 ("As to acts declared unlawful in section four, the __ __ ____ ________ ________ __ _______ ____

procedure provided in [chapter 151B, 5] shall, while pending,

be exclusive; and the final determination therein shall exclude _________

any other action, civil or criminal, based on the same grievance

of the individual concerned.") (emphasis added); see also Acker- ___ ____ ______

son v. Dennison Mfg. Co., 624 F. Supp. 1148, 1158 (D. Mass. 1986) ___ _________________

(holding that compliance with six-month limitation period becomes

unwaivable "jurisdictional" prerequisite to civil suit).

As to section four administrative claims which are

adjudicated by the MCAD within ninety days from filing, either ___________
____________________

2A covered FEPA "employer" is one who has more than five ____
employees. Id. 1(5). ___

3While FEPA primarily targets employment-based discrimina- __________
tion, it also proscribes a variety of other discriminatory
conduct in housing, real estate, credit extension, insurance
and banking not directly relevant to the appeal.

4












the claimant or the respondent may obtain limited review on _______

petition to the superior court, Mass. Gen. L. Ann. ch. 151B, 6,

followed by an appeal of right to the Supreme Judicial Court

("SJC").4 Unless the MCAD fails to act within ninety days or

grants an express dispensation, the claimant may not bypass the

administrative claims process by filing a civil action for

damages or injunctive relief directly with either the superior ________

court or the probate court. Id. 9. ___

In 1986, the Massachusetts Legislature presaging the

SJC's College-Town decision, supra amended FEPA by explicitly ____________ _____

including "sexual harassment" within the comprehensive list of

employer acts proscribed under section 4. See 1986 Mass. Acts ___

588 (codified at Mass. Gen. L. Ann. ch. 151B, 1(18) (definition

of "sexual harassment"), 4(16A)). At the same time, the

Legislature amended Chapter 214, a separate statutory provision

vesting the superior court with original equity jurisdiction as

follows: "A person shall have the right to be free from sexual

harassment, as defined in [FEPA 1(18)]. The superior court

shall have jurisdiction in equity to enforce this right and to _____ ____ ____________

award damages." 1986 Mass. Acts 588 (codified at Mass. Gen. L.

Ann. ch. 214, 1C) (emphasis added) [hereinafter: "Section 1C"].

____________________

4The superior court may set aside or modify an MCAD order
only if it finds, according "due weight to the [MCAD's] experi-
ence, technical competence, and specialized knowledge," that the
order was (1) unconstitutional, (2) beyond the MCAD's jurisdic-
tion or statutory authority; (3) based upon an error of law; (4)
issued pursuant to an unlawful procedure; (5) unsupported by
substantial evidence; or (6) arbitrary and capricious. See Mass. ___
Gen. L. Ann. ch. 30A, 14 (1995).

5












2. The ERA and Charland 2. The ERA and Charland ____________________

Enacted in 1989, the Equal Rights Act ("ERA"), Mass.

Gen. L. Ann. ch. 93, 102, 103, proscribes, inter alia, gender- _____ ____

based discrimination in connection with the execution and en- ___

forcement of contracts and provides that "[a] person whose rights _________ __ _________

. . . have been violated may commence a civil action for injunc-

tive and other appropriate equitable relief, including the award

of compensatory and exemplary damages. Said civil action shall

be instituted . . . in the superior court . . . ." Id. 102(b). ___

Later, in Charland v. Muzi Motors, Inc., 631 N.E.2d 555 ________ _________________

(Mass. 1994), the SJC held that ERA section 102(b) does not ___

excuse claimants from compliance with the comprehensive adminis- ______

trative claims procedure established in FEPA section 9, supra. _____

Rather, in enacting the ERA, the Legislature presumably was aware

that FEPA section 9 had long mandated MCAD exhaustion for all ___

employment-based discrimination claims alleging "unlawful prac- ________ _____

tice[s]" listed in FEPA section 4. Charland, 631 N.E.2d at 558 _______ ________

(noting "legislative intent to subject all discrimination claims ___ ______________ ______

to administrative scrutiny") (emphasis added). And since Char-

land had alleged a breach of his employment contract, arising out __________ ________

of his wrongful discharge based on age and national origin an

employment-based claim actionable under FEPA, see Mass. Gen. L. __________ _____ ____ ___

Ann. ch. 151B, 4(1) (barring discharge from employment because

of "national origin" or "age") the SJC held that Charland's

superior court action must be dismissed for failure to file a

timely administrative claim with the MCAD. Charland, 631 N.E.2d ________


6












at 559; see also Agin v. Federal White Cement, Inc., 632 N.E.2d ___ ____ ____ ___________________________

1197, 1199 (Mass. 1994) (same).

3. Standard of Review 3. Standard of Review __________________

Where, as here, a district court dismissal turns upon

an interpretation of state law, we conduct plenary review. See ___

Salve Regina College v. Russell, 499 U.S. 225, 239-40 (1991).5 _____________________ _______

The issue before us on appeal is whether Section 1C, unlike ERA

sections 102 and 103, excepts the instant employment-based sexual

harassment claim from compliance with the administrative exhaus-

tion requirement in FEPA section 9. Clarke argues that Charland ________

is not controlling, because it resolved only the legislative ____

correlation between FEPA and the ERA, which would mean that ___ ___ ___

Charland's reference to "the legislative intent to subject all ________ ___

discrimination claims to administrative scrutiny" was mere ______________ ______

dictum. KFC responds that the Charland rationale likewise bars ________ _________

Clarke's unexhausted Section 1C claim -- a gender-based employ-

ment discrimination claim explicitly listed in FEPA section

4(16A) as an unlawful act.

4. Section 1C 4. Section 1C __________

Clarke would distinguish Section 1C from ERA sections

____________________

5Although Clarke belatedly urges certification to the SJC,
"[w]e are rarely receptive to . . . requests for certification
newly asserted on appeal." See Nieves v. University of Puerto ___ ______ ____________________
Rico, 7 F.3d 270, 278 (1st Cir. 1993); see also Fischer v. Bar ____ ___ ____ _______ ___
Harbor Banking & Trust Co., 857 F.2d 4, 8 (1st Cir. 1988), cert. _________________________ ____
denied, 489 U.S. 1018 (1989). Nor will we resort to certifica- ______
tion unless the issue presented is sufficiently unsettled under _________
state law that we could not essay a "reasonably clear" prediction
with adequate confidence. See Porter v. Nutter, 913 F.2d 37, 41 ___ ______ ______
n.4 (1st Cir. 1990).

7












102 and 103 on the ground that it evinces a clear legislative

intent to create two parallel remedial paths for redressing ________

sexual harassment claims one administrative, one judicial.

Unlike the ERA, which became law some fifty years after FEPA,

Section 1C was enacted at the same time the Legislature amended __ ___ ____ ____

FEPA section 4 to cover sexual harassment claims. Consequently,

Clarke argues, unless Section 1C is interpreted as establishing a

parallel judicial path that bypasses the MCAD administrative

remedy, Section 1C becomes surplusage. See Casa Loma, Inc. v. ___ ________________

Alcoholic Beverages Control Comm'n, 385 N.E.2d 976, 978 (Mass. ___________________________________

1979) ("It is a common tenet of statutory construction that,

wherever possible, no provision of a legislative enactment should

be treated as superfluous."). We agree with Clarke that Charland ________

is not directly controlling, since it did not consider the unique

language and legislative history of Section 1C.

Nevertheless, absent a definitive SJC ruling, we may

look to "analogous decisions, considered dicta, scholarly works, __________ _____

and any other reliable data tending convincingly to show how the

[SJC] would decide the issue at hand, taking into account the

broad policies and trends so evinced." Michelin Tires (Canada) _______________________

Ltd. v. First Nat'l Bank, 666 F.2d 673, 682 (1st Cir. 1981) ___ _________________

(emphasis added); see also Gibson v. City of Cranston, 37 F.3d ___ ____ ______ _________________

731, 736 (1st Cir. 1994).6 Charland categorically states that a ________
____________________

6Clarke points to an unpublished superior court opinion
entered after oral argument in this case, see Burman v. Boch ___ ______ ____
Oldsmobile, Inc., No. 92-02690 (Mass. Sup. Ct. Apr. 11, 1995), ________________
which held Charland inapposite to sexual harassment claims. Even ________
assuming it were proper to consider the unreported decision, see ___

8












claimant alleging an unlawful discriminatory act listed in FEPA ______

section 4 must comply with the MCAD administrative process, ____

absent clear evidence that the Legislature carved out an excep-

tion. Moreover, the listing of unlawful acts in section 4 is so

comprehensive that the SJC has yet to identify an exception. See ___

Charland, 631 N.E.2d at 558 (citing with approval Mouradian v. ________ _________

General Elec. Co., 503 N.E.2d 1318 (Mass. App. Ct. 1987) (Massa- __________________

chusetts Civil Rights Act claimants must first comply with FEPA's

MCAD procedure)).

The language of 1986 Mass. Acts 588 amending the

FEPA section 4 listing and adding new Section 1C, see supra p. 5 ___ _____

does not dictate the interpretation urged by Clarke, since it

does not specify at what point in the sexual-harassment-claim

process original superior court jurisdiction vests. Under the

Charland rationale, once employment-based sexual harassment ________

claims were added to the FEPA section 4 listing by the Legisla- _____

ture, the MCAD claim-filing procedure mandated by FEPA section 9 ______

presumptively became the exclusive procedural path for initiating _________ __________

all such claims against "employers." After the MCAD renders a

final decision, of course, jurisdiction to review its decision ______

would lie in the appropriate superior court. See supra pp. 4-5. ___ _____

In some instances, however, administrative claims may not be

acted upon within ninety days by the MCAD; alternatively, the
____________________

U.S. Ct. of App. 1st Cir. Rule 14, Burman contains no developed ______
analysis and no discussion of the relevant statutory provisions
or legislative history. See id. slip op. at 8 n.5 ("[T]his Court ___ ___
views the Charland holding as specific, not extending to G.L. c. ________
214, 1C.").

9












MCAD may permit the claimant to proceed directly with a civil

action in a judicial forum.

Thus, like its counterpart provision, FEPA section 9,

Mass. Gen. L. Ann. ch. 151B, 9 (vesting superior, probate, and

housing courts with original jurisdiction of FEPA claims),

Section 1C serves an essential function by vesting in the

superior court (as distinguished from the SJC, for example)

exclusive original jurisdiction to entertain such administrative-

ly exhausted but unadjudicated sexual harassment claims.7 _________ _____________

Therefore, much like ERA sections 102(b) and 103(b), which

provide that claimants "may commence a civil action for injunc-

tive and other appropriate equitable relief . . . in the superior

court" without indicating when such a civil action may be com- ____

menced, the mere fact that Section 1C designates which court _____ _____

shall have original jurisdiction over exhausted but unadjudi- _________ _________

cated MCAD claims does not mean that the designated judicial _____

forum may assert jurisdiction ab initio, i.e., before (or in the __ ______ ____ ______
____________________

7Chapter 214, 1, recognizes that the superior courts and
the SJC are endowed, concurrently, with the requisite general
power possessed by courts in equity to fashion appropriate
remedies in the exercise of their traditional equity jurisdic-
tion. Chapter 214, 2, on the other hand, vests the SJC with
"exclusive [original] jurisdiction of all civil actions in which
equitable relief [authorized by statute] is sought," unless the __ _______ ______ ___
statute expressly provides that another court shall have exclu- _______ _________ ________ ____ _______ _____ _____ ____ ______
sive or concurrent original jurisdiction over the statutory ____ __ __________ ________ ____________ ____ ___ _________
claims. Thus, contrary to Clarke's contention, the bare refer- ______
ence to superior court "jurisdiction" in Section 1C may have been
intended merely to overcome the automatic "default" mechanism in
Section 2 which would otherwise vest the SJC with exclusive _________
original jurisdiction over all Section 1C claims for equitable
relief and to designate which other court (i.e., superior _____ _____ _____ ____
court) possesses jurisdiction once the Section 1C claimant has
met the MCAD-exhaustion requirements imposed by FEPA section 9.

10












absence of) a timely MCAD claim. Neither party cites to

the legislative history relating to Section 1C, though it appears

fairly illuminating. The legislative bill approved by the House

Committee on Commerce and Labor (H.5732) represented a compromise

melded from eight competing Senate and House versions relating to _____

sexual harassment in employment and education. Two of these

predecessor versions provided as follows: "A person shall have

the right to be free from sexual harassment. . . . The superior

court shall have jurisdiction in equity to enforce this right and

to award damages. The filing of a complaint under chapter 151B ___ ______ __ _ _________ _____ _______ ____

shall not be a prerequisite to filing a complaint under this _____ ___ __ _ ____________ __ ______ _ _________ _____ ____

section in superior court." H.3136 (sponsor, B. Gray, Framing- _______ __ ________ _____

ham); see also H.488 (Saggese, Winthrop) (emphasis added). It is ___ ____

noteworthy that the only pertinent deletion before Section 1C ____

became law was the italicized language from H.3136 and H.488

quoted supra. See Russello v. United States, 464 U.S. 16, 23-24 _____ ___ ________ _____________

(1983) (noting that deletions of limiting language from predeces-

sor bills normally presumed intentional); State of Rhode Island ______________________

v. Narragansett Indian Tribe, 19 F.3d 685, 700 (1st Cir.) (same), _________________________

cert. denied, 115 S. Ct. 298 (1994). ____ ______

Clarke argues that Section 1C is unlike ERA sections

102 and 103, which encompass claims for employment-based discrim- __________

ination listed in FEPA section 4 as well as sundry non-employ- ___________

ment-based discrimination claims which might not be listed in ____ ___

FEPA. Thus, the ERA enactment may be seen as serving an indepen-

dent function even after Charland. That is, though all ERA ________


11












employment-based claims of a type listed in FEPA section 4 would __________

be subject to FEPA's administrative exhaustion requirement, see ___

Charland, 631 N.E.2d at 558-59, non-employment-based ERA claims ________ ______________ ___

not listed in FEPA section 4 (if any) might be initiated directly

in the superior court without administrative exhaustion. By

contrast, Section 1C encompasses only sexual harassment claims ____

which are employment-based, compare Mass. Gen. L. Ann. ch. 151B, __________ _______

1(18) (defining "sexual harassment" in terms of "employment

decisions," "work performance," and "work environment") with ____

Mass. Gen. L. Ann. ch. 214, 1C (prohibiting harassment "as

defined in chapter [151B]"), and all employment-based gender __________

discrimination claims already fall within FEPA section 4, and,

consequently, come within the mandatory administrative exhaustion

provision. Clarke reasons, therefore, that unless Section 1C is

interpreted as providing employment-based sexual harassment

claimants an MCAD bypass into superior court, its enactment was

redundant and superfluous. See Casa Loma, Inc., 385 N.E.2d at ___ _______________

978 (noting that, where possible, statutes ought not be inter-

preted so as to render any provision superfluous). But see supra ___ ___ _____

note 7 (investing superior court with jurisdiction over all

exhausted Section 1C claims, as opposed to superior, probate, and

housing courts designated in FEPA section 9).

On the other hand, KFC points out correctly in our

view that the Legislature may well have intended that Section

1C make all employment-based sexual harassment unlawful in ___ __________

Massachusetts, without regard to the number of employees working


12












for the particular employer, whereas other forms of employment- _____ _____ __ ___________

based discrimination would be covered by FEPA only if practiced _____ ______________

by employers who hire more than five persons. See supra note 2. ___ _____

This interpretation is substantiated by the fact that Section 1C

is not tied into FEPA's definition of "employer," but only to ___ ____

FEPA's definition of "sexual harassment." Although Clarke

counters that the Legislature could have achieved the same result

simply by amending the FEPA definition of "employer" to accommo-

date this exception, we are not persuaded-- nor aware of any

authority-- that the amendatory technique she suggests was the

only one open to the Legislature.

Clarke further contends that it would be incongruous to

require only the employees of large-scale employers to comply

with the MCAD administrative claims process, and not employees of

small-scale employers, since such an interpretation would contra-

vene the Charland holding that all discrimination claims are ________ ___

subject to the exhaustion requirement. This contention is

demonstrably flawed as well. Charland simply held that MCAD ________

exhaustion is required if the claim alleges an unlawful act

listed in FEPA section 4. And discriminatory conduct by small- ______

scale employers is not listed in section 4. See Mass. Gen. L. _____ ___ ___

Ann. ch. 151B, 4(16A) (unlawful "[f]or an employer, personally __ ________

or through its agents, to sexually harass any employee"); see ___

also supra note 2. Absent ambiguity in the statutory language, ____ _____

we think it inappropriate to second-guess the Legislature's clear

language establishing broadened protection for victims of sexual


13












harassment.

Finally, Clarke argues that the Legislature singled

out all sexual harassment claims from other types of employ- _____

ment-based discrimination claims under FEPA because sexual ______________

harassment normally warrants more urgent remedial action and, by

affording sexual harassment victims direct access to the superior

court, Section 1C would enable more immediate equitable relief.

Her contention is unavailing for two reasons.

First, Clarke reserved this argument for her reply

brief on appeal, thereby denying KFC an opportunity to respond.

See VanHaaren v. State Farm Mut. Auto. Ins. Co., 989 F.2d 1, 7 ___ _________ _______________________________

n.6 (1st Cir. 1993). Second, even if it were not waived, the

claim is meritless since FEPA already provides the very remedial

mechanisms Clarke would have us read into Section 1C. See Mass. ___

Gen. L. Ann. ch. 151B, 5 (MCAD commissioner "may also file a ____ ____________

petition in equity in the superior court . . . seeking appropri-

ate injunctive relief against such respondent . . . ."); 9 ("An __

aggrieved person may also seek temporary injunctive relief in the _________ ______

superior . . . court . . . at any time to prevent irreparable

injury during the pendency of or prior to the filing of a com-

plaint with the [MCAD].") (emphasis added).

For the foregoing reasons, therefore, we conclude that

it is reasonably likely that the SJC would extend its Charland ________

rationale to Section 1C, thereby preserving the comprehensive

procedural framework established by the Legislature in FEPA

section 9. Consequently, the district court judgment dismissing


14












the sexual harassment claim for failure to exhaust administrative

remedies under the MCAD must be affirmed.







B. Common Law Tort Claims8 B. Common Law Tort Claims ______________________

Clarke contends that the district court erred in ruling

that the three remaining common law claims alleging negligence

in hiring, supervising and retaining the offending KFC employees

were preempted by the Massachusetts Workers' Compensation

Act, Mass. Gen. L. Ann. ch. 152, 24. We briefly reprise the

legislative history relating to recent amendments to the workers'

compensation statute.

From the start, section 24 of the Massachusetts wor-

kers' compensation statute included a comprehensive preemption

provision precluding injured workers from instituting tort

actions "in respect to an [employment-related] injury that is ______

compensable [through the payment of disability benefits] under ___________

this chapter." Mass. Gen. L. Ann. ch. 152, 24 (emphasis

added).9 Until 1985, employment-induced emotional disabilities _________

____________________

8The failure to file a claim with the MCAD did not bar the
common law claims. See Felinske v. New Eng. Teamsters & Trucking ___ ________ _____________________________
Indus. Pension Fund, 855 F. Supp. 474 (D. Mass. 1994) (citing ___________________
Melley v. Gillette Corp., 475 N.E.2d 252 (Mass. 1985)). However, ______ ______________
Clarke has not appealed the dismissal of the common law claims
alleging intentional tortfeasance.

9Massachusetts workers may avoid section 24 preemption by
expressly reserving their common law rights at the time they are
hired. Id. Clarke made no such reservation. ___

15












were considered fully "compensable" injuries under the workers'

compensation statute, without regard to whether the disability

resulted from employer negligence. See Foley v. Polaroid Corp., ___ _____ ______________

413 N.E.2d 711, 714-15 (Mass. 1980).

Clarke concedes that her negligence-based claims

against KFC allege employment-induced emotional injury and, thus, _________

would have been preempted under the pre-1985 workers' compensa- ___

tion statute. In 1985, however, the SJC held that employment-

related emotional injuries likewise were "compensable" under the

workers' compensation statute, even though the emotional injury ____ ______

resulted from such bona fide employer decisions as layoffs and

interdepartmental transfers. Kelly's Case, 477 N.E.2d 582, 584- _____________

85 (Mass. 1985) (noting that disallowance of workers' compensa-

tion for such emotional injuries is a policy decision for the

Legislature, not the courts).

The ensuing uproar from the Massachusetts business

community over the implications of Kelly's Case prompted the _____________

Legislature to amend the "personal injury" definition in chapter

152 to read:

Personal injuries shall include mental or
emotional disabilities only where the predom-
inant contributing cause of such disability
is an event or series of events occurring
within any employment. . . . No mental or __ ______ __
emotional disability arising principally out _________ __________ ___________
of a bona fide, personnel action including a ____ _____ _________ ______ _________
transfer, promotion, demotion, or termination
except such action which is the intentional
infliction of emotional harm shall be deemed ______
to be a personal injury within the meaning of _ ________ ______
this chapter.

See 1985 Mass. Acts 572 ("Workers' Compensation Reform Act"); ___

16












1986 Mass. Acts 662 (codified at Mass. Gen. L. Ann. ch. 152,

1(7A)). Although ostensibly a pro-employer enactment, serendi- ____________

pitously the 1985 amendment also presented claimants like Clarke

with a basis for attempting to circumvent the broad preemption

provision in section 24 of the workers' compensation statute.

From the beginning, section 24 had preempted tort actions at

common law, but only in respect to injuries compensable by ___________

disability benefits under the workers' compensation statute. See ___

Mass. Gen. Laws Ann. ch. 152, 24. After the 1985 amendment,

however, emotional injuries caused by an employer's "bona fide []

personnel action[s]" [hereinafter otherwise: "BFPA"]

literally became "noncompensable" under the workers' compensation

statute. Consequently, Clarke argues, if it can be established

that her emotional injuries were caused by a good faith, albeit ____ _____

negligent, personnel decision on the part of KFC for which she _________

would not be entitled to workers' compensation benefits under

chapter 152, amended section 1(7A), see supra p. 16 she would ___ _____

be entitled to redress her negligence-based tort claims in the

courts by virtue of the "noncompensability" exception to section

24 preemption.

Clarke's argument cannot succeed, however, unless she

can demonstrate both that (1) the decision not to screen KFC ____

hirees, nor alter their working conditions to minimize the risk

that Clarke be emotionally harmed by sexual harassment, consti-

tuted a "bona fide personnel action" within the meaning of

amended section 1(7A); and (2) the 1985 Legislature, in rendering ___


17












all BFPA-induced emotional injuries noncompensable under the

workers' compensation statute, intended to deny BFPA claimants

like Clarke the right to collect workers' compensation benefits,

and, as an offsetting form of relief, to save their common law

tort remedies from preemption under section 24. Since Clarke's

argument plainly founders on the second prong, we simply assume,

arguendo, that the personnel actions at issue qualify as BFPAs ________

under amended section 1(7A).

Although there is no SJC decision directly in point,

the interpretation Clarke urges was rejected recently by the Mas-

sachusetts Appeals Court, in Catalano v. First Essex Sav. Bank, ________ ______________________

639 N.E.2d 1113 (Mass. App. Ct.), review denied, 644 N.E.2d 225 ______ ______

(1994). The Catalano court noted that the 1985 amendments to the ________

workers' compensation statute were in direct response to an

invitation the SJC extended to the Legislature in Kelly's Case: _____________

to "determine, as a matter of public policy, whether one of the

costs of doing business in this Commonwealth shall be the compen-

sation of those few employees who do suffer emotional disability

as a result of being laid off or transferred." Id. at 1115 ___

(quoting Kelly's Case, 477 N.E.2d at 584-85): ____________

It is obvious that the Legislature wished to
protect the employer from liability under the
[Workers' Compensation] Act for claims aris-
ing out of bona fide personnel actions unless
motivated by an intent to inflict emotional
distress. In those circumstances, it seems
unlikely that the Legislature intended to
preserve a civil action for claims based on
negligent infliction of emotional distress
that arise from a bona fide personnel action.
To do so would negate . . . the purpose of
relieving employers from the financial bur-

18












dens of such claims . . . .

Id. at 1116. ___

Clarke correctly points out that the Catalano analysis ________

constitutes dicta because the court dismissed the appeal on an

alternate ground. Id. Nevertheless, persuasive, reasoned dicta ___

may provide a valuable guide to statutory interpretation. See ___

Gibson, 37 F.3d at 736 (absent explicit ruling by state's highest ______

court, federal court sitting in diversity may consult "considered

dicta") (citing Michelin Tires, 666 F.2d at 682); see also Bank ______________ ___ ____ ____

of New England Old Colony, N.A. v. Clark, 986 F.2d 600, 603 (1st _______________________________ _____

Cir. 1993) (relying on "persuasive" dicta of United States

Supreme Court); cf. also Sainz Gonzalez v. Banco de Santander- ___ ____ _______________ ____________________

Puerto Rico, 932 F.2d 999, 1001 (1st Cir. 1991) (declining to ___________

credit dicta unsupported by reasoned analysis); United States v. _____________

Rivera, 872 F.2d 507, 509 (1st Cir.) (same), cert. denied, 493 ______ ____ ______

U.S. 818 (1989). Moreover, the Catalano analysis was prompted by ________

the appeals court's express desire to resolve "the alleged

uncertainty and confusion that purportedly exists among the

members of the [Massachusetts] bar and public concerning the

initiation of legal proceedings involving the claims raised in

this appeal," Catalano, 639 N.E.2d at 1115, and the SJC summarily ________

denied review.

The original workers' compensation statute effectively

preempted a broad range of civil actions based on employment-

related emotional injury, see supra p. 15, and one would expect ___ _____

any significant retreat from this longstanding legislative policy


19












to be heralded with considerably greater clarity than is discern-

ible in Mass. Gen. L. Ann. ch. 152, 1(7A). We agree with the

appeals court that it would strain credulity and common sense to

presume that the Legislature chose to limit employers' collective

liability under the workers' compensation scheme, only to expose

individual employers to greater liability in common law negli-

gence suits based on bona fide personnel actions.



III III

CONCLUSION CONCLUSION __________

The grievous sexual harassment claims alleged by appel-

lant were entitled to just adjudication in the first instance

under the administrative claims process established by Massachu-

setts law. As the courts are powerless to reinstate legal

remedies foreclosed by failure to comply with a mandatory admin-

istrative exhaustion requirement, the district court judgment

dismissing the sexual harassment claim must be affirmed. Final-

ly, the district court judgment dismissing the related common law

tort claims must be affirmed on preemption grounds.

The district court judgment is affirmed. The parties The district court judgment is affirmed. The parties ________________________________________ ___________

shall bear their own costs. shall bear their own costs. __________________________












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APPENDIX APPENDIX


A. Equal Rights Act, Mass. Ann. Laws ch. 93, sec. 102 (1994): A. Equal Rights Act, Mass. Ann. Laws ch. 93, sec. 102 (1994): ________________

Section 102. Equal Rights for All Persons Within Com-
monwealth; Enforcement by Civil Action for Equitable
Relief; Jurisdiction of Superior Court; Degree of
Proof; Damages, Costs and Attorneys' Fees.

(a) All persons within the commonwealth, regard-
less of sex, race, color, creed or national ori-
gin, shall have, except as is otherwise provided
or permitted by law, the same rights enjoyed by
white male citizens, to make and enforce contracts
. . . and to the full and equal benefit of all
laws and proceedings for the security of persons
and property . . . .

(b) A person whose rights under the provisions of
subsection (a) have been violated may commence a
civil action for injunctive and other appropriate
equitable relief, including the award of compensa-
tory and exemplary damages[] . . . in the superior
court . . . .


B. Fair Employment Practices Act, Mass. Ann. Laws ch. 151B, B. Fair Employment Practices Act, Mass. Ann. Laws ch. 151B, _______________________________
sec. 1 (1995): sec. 1 (1995)

Section 1. Definitions.

As used in this chapter
. . . .

5. The term "employer" does not include . . .
any employer with fewer than six persons in his
employ . . . .

. . . .

18. The term "sexual harassment" shall mean
sexual advances, requests for sexual favors, and
other verbal or physical conduct of a sexual na-
ture . . . (b) . . . [which] have the purpose or
effect of unreasonably interfering with an indivi-
dual's work performance by creating an intimidat-
ing, hostile, humiliating or sexually offensive
work environment. Discrimination on the basis of
sex shall include, but not be limited to, sexual
harassment.


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Section 4. Unlawful Practices; Certain Records to be
Kept; Employer, etc., Not Required to Grant Preferen-
tial Treatment to Any Individual or Group.

It shall be an unlawful practice:

1. For an employer, by himself or his agent,
because of the race, color, religious creed, na-
tional origin, sex, sexual orientation, . . . or
ancestry of any individual to refuse to hire or
employ or to bar or to discharge from employment
such individual or to discriminate against such
individual in compensation or in terms, conditions
or privileges of employment, unless based upon a
bona fide occupational qualification. . . .

. . . .

16A. For an employer, personally or through
its agents, to sexually harass any employee.

Section 5. Complaints Alleging Unlawful Practice or
Violation of Certain Statutes; Proceedings Before
Commission; Injunctive Relief; Award of Damages.

Any person claiming to be aggrieved by an
alleged unlawful practice [listed in section 4] .
. . may . . . make, sign and file with the
commission a verified complaint in writing . . . .

. . . .

. . . Before or after a determination of
probable cause hereunder such commissioner may
also file a petition in equity in the superior
court . . . .

Section 6. Judicial Review of Order of Commission;
Injunctive Relief.

Any complainant, respondent or other person
aggrieved by such order of the commission may
obtain judicial review thereof . . . in the supe-
rior court . . . .

Section 9. Chapter Construed Liberally; Inconsistent
Laws; Procedure Exclusive; Damages or Injunctive Re-
lief.

. . . [A]s to acts declared unlawful by sec-
tion four, the procedure provided in this chapter
shall, while pending, be exclusive; and the final

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determination therein shall exclude any other
action, civil or criminal, based on the same grie-
vance of the individual concerned.

Any person claiming to be aggrieved by a
practice made unlawful under this chapter or under
chapter one hundred and fifty-one C, or by any
other unlawful practice within the jurisdiction of
the commission, may, at the expiration of ninety
days after the filing of a complaint with the
commission, or sooner if a commissioner assents in
writing, but not later than three years after the
alleged unlawful practice occurred, bring a civil
action for damages or injunctive relief or both in
the superior or probate court . . . or in the
housing court within whose district the alleged
unlawful practice occurred if the unlawful prac-
tice involves residential housing. . . . An ag-
grieved person may also seek temporary injunctive
relief in the superior, housing or probate court
within such county at any time to prevent irrepa-
rable injury during the pendency of or prior to
the filing of a complaint with the commission. . .
.


C. Equity Jurisdiction Statute, Mass. Ann. Laws ch. 214 (1995) C. Equity Jurisdiction Statute, Mass. Ann. Laws ch. 214 (1995) ___________________________

Section 1. General Equity Jurisdiction, Concurrent.

The supreme judicial and superior courts
shall have original and concurrent jurisdiction of
all cases and matters of equity cognizable under
the general principles of equity jurisprudence
and, with reference thereto, shall be courts of
general equity jurisdiction . . . .

Section 1C. Right to be Free From Sexual Harassment.

A person shall have the right to be free from
sexual harassment, as defined in chapter one hun-
dred and fifty-one B and one hundred and fifty-one
C. The superior court shall have the jurisdiction
in equity to enforce this right and to award dam-
ages.

Section 2. Statutory Equity Jurisdiction.

The supreme judicial court shall have origi-
nal and exclusive jurisdiction of all civil ac-
tions in which equitable relief is sought cogniza-
ble under any statute and not within the jurisdic-

iii












tion conferred by section one, unless a different
provision is made; and the superior court shall
have like original and exclusive, or like original
and concurrent, jurisdiction only if the statute
so provides.
















































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