MARGO K. BRODIE, District Judge.
Plaintiff Gary Sass commenced the above-captioned action against his former employer Metropolitan Transportation Authority Bus Company ("MTA Bus") for violations of Title VII of the Civil Rights Act of 1964, 42 U.S.C. § 2000e et seq. ("Title VII"), the New York State Human Rights Law, N.Y. Exec. Law § 296 ("NYSHRL") and the New York City Human Rights Law, N.Y.C. Admin. Code § 8-107 ("NYCHRL"). After a jury trial, on June 20, 2013, the jury found Defendant liable and awarded damages in the amount of $358,300. Plaintiff moved for equitable relief and attorneys' fees. (Docket Entry No. 47.) Four days after the verdict, on June 24, 2013, the Supreme Court of the United States issued a decision in University of Texas Southwestern Medical Center v. Nassar changing the standard of proof necessary to establish a retaliation claim pursuant to Title VII. Univ. of Texas Sw. Med. Ctr. v. Nassar, 570 U.S. ___, ___, 133 S.Ct. 2517, 2533, 186 L.Ed.2d 503 (2013). Based on Nassar, Defendant moved for judgment as a matter of law, or in the alternative, for a new trial. (Docket Entry No. 50.) By Memorandum and Order dated February 14, 2014, the Court granted Defendant's motion for a new trial, and denied as moot Plaintiff's motion for damages and attorneys' fees. (Docket Entry No. 60.) Plaintiff moved for reconsideration on the ground that the Court's order did not address Plaintiff's claim under the New York City Human Rights Law, since Nassar did not change the standard for establishing liability on a retaliation claim brought under that statute. (Docket Entry No. 61.) For the reasons set forth below, Plaintiff's motion for reconsideration is granted. Upon reconsideration, the Court (1) adheres to its prior ruling granting Defendant's motion for a new trial as to Plaintiff's Title VII claim, (2) finds that Defendant is entitled to a new trial as to Plaintiff's NYSHRL claim, (3) denies Defendant's motion for a new trial as to Plaintiff's NYCHRL claim, and (4) grants in part and denies in part Plaintiff's motion for equitable relief, damages, attorneys' fees and costs.
The Court assumes familiarity with the underlying facts and procedural history of this case as set forth in the Court's earlier decisions. See Sass v. MTA Bus Co., 6 F.Supp.3d 229, 234-36, 2014 WL 585418, at *4 (E.D.N.Y. Feb. 14, 2014); Sass v. MTA Bus Co., No. 10-CV-4079, 2012 WL 4511394, at *1-2 (E.D.N.Y. Oct. 2, 2012). The Court summarizes the facts necessary to the resolution of the instant motion.
According to Plaintiff, he was terminated from his position as a bus maintenance supervisor at MTA Bus in retaliation for telling MTA Bus investigators that he previously reported to his supervisor that he found a bus roster with Nazi symbols superimposed on it, and that his supervisor failed to take any action. On June 17, 2013, the Court commenced a jury trial on Plaintiff's retaliation claim. After the presentation of all the evidence, the Court instructed the jury that in order to establish liability on Plaintiff's retaliation claim, Plaintiff had to prove that "one or more of his protected activities played an important role in [D]efendant's decision to terminate [P]laintiff," and that "[P]laintiff's participation in protected activities were more likely than not a motivating factor in [D]efendant's termination of [P]laintiff." (Trial Transcript ("Trial Tr."), Docket Entry Nos. 57-59, 586:16-24.) On June 20, 2013, the jury returned a verdict in favor of Plaintiff. The jury awarded $0 in compensatory damages, $252,300 in back pay, and $106,000 in front pay. (Id. at 618:3-15; see also Jury Verdict Sheet, Docket Entry No. 46.) Plaintiff subsequently moved for reinstatement, pension contributions, back pay and attorneys' fees. (Docket Entry No. 47.)
On June 24, 2013, the Supreme Court of the United States issued a decision in Nassar holding that "Title VII retaliation claims must be proved according to traditional principles of but-for causation," expressly rejecting the motivating-factor standard. Nassar, 570 U.S. at ___, 133 S.Ct. at 2533. Based on the Supreme Court's Nassar decision, Defendant renewed its motion pursuant to Rule 50 of the Federal Rules of Civil Procedure for judgment as a matter of law. Defendant also moved, in the alternative, for an order vacating the verdict and granting a new trial pursuant to Rule 59 of the Federal Rules of Civil Procedure. Defendant argued that Nassar applied retroactively to the pending case, and that the charge to the jury that provided for a finding of liability if retaliation was a motivating factor in Plaintiff's termination was therefore erroneous. (Defendant's Memorandum in Support of Motion for Judgment as a Matter of Law ("Def. Rule 50 Mem."), Docket Entry No. 50, 13-14.) Defendant acknowledged that while the jury's verdict could arguably be upheld under the NYCHRL as claims under NYCHRL are to be given a liberal construction, independent of Title VII, (id. at 14), because there is textual and substantive similarity between NYCHRL and Title VII, the Court should find that the new standard for establishing causation announced in Nassar applies to Plaintiff's NYCHRL claim as well. (Id. at 14-15.)
Plaintiff opposed Defendant's motion on the grounds that (1) Defendant failed to object to the jury instruction on Plaintiff's retaliation claim, (Plaintiff's Memorandum in Opposition to Motion for Judgment as a Matter of Law ("Pl. Rule 50 Opp'n"), Docket Entry No. 55, at 4-5), (2) even assuming that Nassar applied retroactively, any error in the jury instruction was harmless, as the jury would have found that Plaintiff's protected activity was the but-for cause of his termination, (id. at 6-7), and (3) under the prevailing interpretation requiring employment discrimination claims brought pursuant to NYCHRL to be analyzed separately from claims
The Court denied Defendant's motion for judgment as a matter of law, finding that the evidence presented at trial could support a finding of liability for retaliation even under the more stringent standard announced in Nassar. See Sass, 6 F.Supp.3d at 235-36, 2014 WL 585418, at *4. The Court granted Defendant's motion for a new trial, finding that "the new standard for retaliation [announced by Nassar] applies retroactively to all cases still open on direct review, including the case before this Court," and that the mixed-motives instruction to the jury at trial was contrary to the new standard. Id. at 237, 2014 WL 585418, at *6. The Court did not address Plaintiff's claim regarding Nassar's applicability to NYCHRL. Plaintiff moved for reconsideration, noting that the Court did not directly address Plaintiff's argument with respect to his NYCHRL claim. (Pl. Mem. 1.)
The standard for granting a motion for reconsideration "is strict, and reconsideration will generally be denied unless the moving party can point to controlling decisions or data that the court overlooked — matters, in other words, that might reasonably be expected to alter the conclusion reached by the court." Shrader v. CSX Transp., Inc., 70 F.3d 255, 257 (2d Cir.1995); see also Local Civ. R. 6.3 (The moving party must "set[] forth concisely the matters or controlling decisions which counsel believes the Court has overlooked."); Smith v. New York City Dep't of Educ., 524 Fed. Appx. 730, 734 (2d Cir.2013). It is thus "well-settled" that a motion for reconsideration is "not a vehicle for relitigating old issues, presenting the case under new theories, securing a rehearing on the merits, or otherwise taking a `second bite at the apple.'" Analytical Surveys, Inc. v. Tonga Partners, L.P., 684 F.3d 36, 52 (2d Cir.2012) (quoting Sequa Corp. v. GBJ Corp., 156 F.3d 136, 144 (2d Cir. 1998)), as amended (July 13, 2012). A motion for reconsideration is "neither an occasion for repeating old arguments previously rejected nor an opportunity for making new arguments that could have previously been made." Simon v. Smith & Nephew, Inc., ___ F.Supp.3d ___, ___, 2014 WL 1257780, at *1 (S.D.N.Y. Mar. 26, 2014) (citation and internal quotation marks omitted). In order to prevail on a motion for reconsideration, "the moving party must demonstrate that the Court overlooked controlling decisions or factual matters that were put before the Court on the underlying motion." Lichtenberg v. Besicorp Grp. Inc., 28 Fed. Appx. 73, 75 (2d Cir.2002) (citations and internal quotation marks omitted).
Pursuant to Rule 59 of the Federal Rules of Civil Procedure, "[a] court may grant a new trial `for any reason for which a new trial has heretofore been granted in an action at law in federal court....'" Raedle v. Credit Agricole Indosuez, 670 F.3d 411, 417 (2d Cir.2012) (quoting Fed.R.Civ.P. 59(a)(1)(A)), cert. denied, 568 U.S. ___, 133 S.Ct. 789, 184 L.Ed.2d 582 (2012). Grounds for granting a new trial include verdicts that are against the weight of the evidence, Manley v. AmBase Corp., 337 F.3d 237, 245 (2d
Plaintiff moves for reconsideration, arguing that under controlling law, the Court's instruction with respect to his NYCHRL claim was not erroneous, and that this argument was not addressed by the Court in its Memorandum and Order of February 14, 2014. Plaintiff is correct that the Court's decision of February 14, 2014, only addressed the standard for establishing liability in a retaliation claim under Title VII. In his opposition to Defendant's motion for judgment as a matter of law or a new trial, Plaintiff argued that, even if Nassar applied retroactively, "the court's instruction on [P]laintiff's city and state law claims was not erroneous." (Pl. Rule 50 Opp'n 9.) In the instant motion, Plaintiff argues that "[u]nder controlling law, the Court's instruction to the jury with respect to [P]laintiff's City law claim was correct; therefore the verdict can be sustained, and any error with respect to [P]laintiff's federal law claim was harmless."
Defendant moved for a new trial on the basis that the standard for establishing causation under Title VII announced by the Supreme Court in Nassar was significantly more stringent than the "motivating-factor" standard charged to the jury at trial. The Court found that Nassar applied retroactively and as a result, the motivating-factor standard charged to the jury at trial was contrary to the new law. Sass, 6 F.Supp.3d at 237, 2014 WL 585418, at *6. However, Defendant was found liable for retaliation under Title VII, the NYSHRL and the NYCHRL, (Trial Tr. 583:11-13, 617:18-618:2), and Nassar addressed only the standard for retaliation under Title VII. See Nassar, 570 U.S. at ___, 133 S.Ct. at 2533 (holding that "Title VII retaliation claims must be proved according to traditional principles of but-for causation").
The Court's charge to the jury on Plaintiff's retaliation claim explained that "Title VII, which is the Federal law, forbids an employer from retaliating against an employee
New York state courts have yet to directly address the impact of Nassar on the NYSHRL, and the Second Circuit has not addressed this issue in a reported opinion, although it has done so in several summary opinions. See Rodas v. Town of Farmington, 567 Fed.Appx. 24, 25 (2d Cir. 2014) ("Because the same analysis applies to retaliation claims under the NYSHRL as under Title VII, we discuss these claims together." (citing Hicks v. Baines, 593 F.3d 159, 164 (2d Cir.2010))); Giudice v. Red Robin Int'l, Inc., 555 Fed.Appx. 67, 69 (2d Cir.2014) (declining to address "any differences between the standard stated in Summa [v. Hofstra Univ., 708 F.3d 115 (2d Cir.2013)] [holding that retaliation claims under Title VII and NYSHRL are analyzed in an identical manner] and the Supreme Court's articulation of the `but-for' standard in Nassar"); Kwan v. Andalex Grp. LLC, 737 F.3d 834, 847 n. 7 (2d Cir.2013) ("Because the plaintiff's claims survive under the Nassar `but-for' standard, we do not decide whether the NYSHRL claim is affected by Nassar, which by its terms dealt only with retaliation in violation of Title VII."). In deciding a retaliation claim under the NYSHRL after Nassar, the First Department did not specifically decide the issue but noted that the plaintiff "will be unable to prove that the challenged failure to reassign occurred, in whole or in part, because of retaliation." Simmons-Grant v. Quinn Emanuel Urquhart & Sullivan, LLP, 116 A.D.3d 134, 981 N.Y.S.2d 89, 93 (2014) (emphasis added).
Traditionally, "[t]he standards for evaluating ... retaliation claims are identical under Title VII and the NYSHRL." Kelly v. Howard I. Shapiro & Assocs. Consulting Eng'rs, P.C., 716 F.3d 10, 14 (2d Cir.2013) (per curiam) (citing Weinstock v. Columbia Univ., 224 F.3d 33, 42 n. 1 (2d Cir.2000)); Vandewater v. Canandaigua Nat'l Bank, 70 A.D.3d 1434, 893 N.Y.S.2d 916, 917 (2010) ("It is well settled that the federal standards under [T]itle VII of the Civil Rights Act of 1964 are applied to determine whether recovery is warranted under the Human Rights Law." (citing Forrest v. Jewish Guild for the Blind, 3 N.Y.3d 295, 330, 786 N.Y.S.2d 382, 819 N.E.2d 998 (2004))). The relevant provisions of Title VII and NYSHRL are textually similar, and both prohibit an employer from discriminating or retaliating against an individual "because" he or she engaged in protected activity. In Nassar, the Supreme Court held that under "the default rules" of statutory construction, "causation" should be interpreted as "but-for causation" "absent an indication to the contrary in the statute itself," and interpreted Title VII's use of "because" as requiring "proof that the desire to retaliate was the but-for cause of the challenged employment action." Nassar, 570 U.S. at ___, 133 S.Ct. at 2528.
Since the NYSHRL statutory language is the same, and the New York Court of Appeals has consistently stated that federal Title VII standards are applied in interpreting the NYSHRL, this Court has interpreted
Other courts have done the same. See, e.g., Bethea v. City of New York, No. 11-CV2347, 2014 WL 2616897, at *10 (E.D.N.Y. June 12, 2014) ("This Circuit, and its district courts, has held that identical standards apply to state law discrimination and harassment claims and to claims brought under Title VII." (addressing, inter alia, claim for retaliation)); Leacock v. Nassau Health Care Corp., No. 08-CV-2401, 2013 WL 4899723, at *9 n. 4 (E.D.N.Y. Sept. 11, 2013) (continuing to construe the NYSHRL retaliation standard as requiring the same elements as Title VII after Nassar); Brown v. City of New York, No. 11-CV-2915, 2013 WL 3789091, at *19 (S.D.N.Y. July 19, 2013) (reviewing the but-for causation requirement for Title VII retaliation articulated in Nassar and stating that the plaintiff's "retaliation claim under the NYSHRL is analytically identical to her claims brought under Title VII" (alteration, citation and internal quotation marks omitted)). Thus, the jury verdict under the NYSHRL cannot be sustained based on the instruction given to the jury at trial.
The provisions of the NYCHRL must "be construed liberally for the accomplishment of the uniquely broad and remedial purposes thereof, regardless of whether federal or New York State civil and human rights laws, including those laws with provisions comparably-worded to provisions of this title have been so construed." Mihalik v. Credit Agricole Cheuvreux N. Am., Inc., 715 F.3d 102, 109 (2d Cir.2013) (quoting N.Y.C. Local L. 85 ("The Restoration Act") § 1). Although neither the Second Circuit nor the New York Court of Appeals has directly addressed whether the standard for establishing a claim of retaliation pursuant to NYCHRL has been changed by Nassar, several New York State Supreme Court Appellate Division and district courts, including this Court, have found that the NYCHRL standard has not been changed by Nassar. See Calhoun v. Cnty. of Herkimer, 114 A.D.3d 1304, 980 N.Y.S.2d 664, 667-68 (2014) (stating plaintiff's burden of establishing causation in retaliation claim by showing that "the defendant was motivated at least in part by an impermissible motive"); Brightman v. Prison Health Serv., Inc., 108 A.D.3d 739, 970 N.Y.S.2d 789, 792 (2013) (same); Joseph, 5 F.Supp.3d at 321, 2014 WL 1199578, at *18 ("the but-for causation standard established in Nassar should not be applied to NYCHRL claims"); Taylor v. Seamen's Soc. For Children, No. 12-CV-3713, 2013 WL 6633166, at *23 (S.D.N.Y. Dec. 17,
In sum, the Court's findings in other cases, as well as the prevailing findings of other courts, is that the standard for showing causation for a retaliation claim under NYCHRL has not been changed by Nassar. Because this standard only requires a jury to find that retaliation was a motivating factor in Plaintiff's termination, Defendant cannot show that the Court's charge to the jury with respect to Plaintiff's NYCHRL retaliation claim was erroneous. Therefore the Court cannot conclude that the jury "reached a seriously erroneous result," or that there was an error in the jury instructions as to Plaintiff's NYCHRL claim. See Snyder, 486 Fed.Appx. at 177.
The Court adheres to its previous ruling that Nassar applies retroactively to Plaintiff's Title VII claim. The Court also finds that Nassar applies retroactively to Plaintiff's NYSHRL claim. Under Nassar, the Court's "motivating-factor" instruction to the jury as to Plaintiff's Title VII and NYSHRL claims was contrary to the current law. However, the Court's instruction to the jury with respect to Plaintiff's NYCHRL retaliation claim was not erroneous. Defendant's motion for a new trial as to Plaintiff's NYCHRL claim is therefore denied.
Subsequent to trial, Plaintiff moved for reinstatement, back pay and past pension contributions. (Docket Entry No. 47, Plaintiff's Memorandum of Law in Support of Post-Trial Motion ("Pl. Post-Trial Mem.").) Because the Court previously granted Defendant's motion for a new trial, it denied Plaintiff's motion for post-trial equitable relief, attorney's fees and costs as moot. The Court sua sponte reconsiders Plaintiff's motion in light of its decision as to Plaintiff's NYCHRL claim and addresses each of Plaintiff's requests below.
Plaintiff argues that he is entitled to reinstatement. (Pl. Post-Trial Mem. 1-2.) Plaintiff concedes that if he is reinstated, he would not be entitled to judgment on the jury's award of front pay. (Pl. Post-Trial Mem. 2 n. 1.) Defendant opposes Plaintiff's motion for reinstatement on the ground that Plaintiff waived his right to seek reinstatement by (1) failing to include the request for reinstatement in the pre-trial order, and (2) electing the remedy of front pay and advocating prior to trial that this remedy be decided by the jury. (Docket Entry No. 53, Defendant's Memorandum of Law in Opposition to Post-Trial Motion ("Def. Post-Trial Opp'n Mem.") 1-3.) Defendant also argues that New York
Defendant argues that Plaintiff waived his right to seek reinstatement by failing to include this form of relief in the pre-trial order, and by failing to submit to the Court "a detailed statement regarding damages and other relief sought," as required by the Court's Individual Rules. (Def. Post-Trial Opp'n Mem. 1-2.) Plaintiff sought reinstatement in his Complaint, (Compl., Docket Entry No. 1 at 7), but did not raise the issue of reinstatement until during the trial, (see Trial Tr. 304:14-307:9).
As an initial matter, Rule 54(c) of the Federal Rules of Civil Procedure provides that "[e]very ... final judgment [other than a default judgment] should grant the relief to which each party is entitled, even if the party has not demanded that relief in its pleadings," suggesting that the Court is not bound by the parties' pleadings in determining what relief to award plaintiff. Fed.R.Civ.P. 54(c); Pridgen v. Andresen, 113 F.3d 1230 (2d Cir.1997) (observing that the plaintiffs "correctly note that Fed. R.Civ.P. 54(c) authorizes a court to grant full relief, even if that relief is not requested in the complaint"); see also Rocket Jewelry Box, Inc. v. Quality Int'l Packaging, Ltd., 90 Fed.Appx. 543, 547 (Fed.Cir. 2004) ("[P]ursuant to Rule 54(c) of the Federal Rules of Civil Procedure `every final judgment shall grant the relief to which the party in whose favor it is rendered is entitled, even if the party has not demanded such relief in the party's pleadings.' Thus, whether or not [the plaintiff] had specifically requested it [in the joint pretrial order], the district court could grant the proper relief, including prejudgment interest and a permanent injunction." (quoting Fed.R.Civ.P. 54(c))).
Furthermore, Rule 16(e) of the Federal Rules of Civil Procedure provides that a court may modify a final pretrial order. See Fed.R.Civ.P. 16(e) ("The court may modify the order issued after a final pretrial conference only to prevent manifest injustice."). The Second Circuit has noted that a pretrial order is not "a legal strait-jacket binding the parties and court to an unwavering course at trial," and that "district courts have considerable discretion in the management of trials, and this necessarily includes a certain amount of latitude to deviate from the terms of a pretrial order." Hogan v. Novartis Pharm. Corp., 494 Fed.Appx. 132, 134 (2d Cir.2012) (alteration omitted) (quoting Manley v. AmBase Corp., 337 F.3d 237, 249 (2d Cir. 2003)). Factors a court must consider in deciding whether to modify a pretrial order include:
Hogan, 494 Fed.Appx. at 134 (quoting Potthast v. Metro-N. R.R. Co., 400 F.3d 143, 153 (2d Cir.2005)).
As the Court noted during trial, Plaintiff's eleventh-hour renewal of the request for reinstatement as a form of relief is "equitable in nature and ... an application that would have to be made to the Court," (Trial Tr. 307:8-9), therefore there was no
Defendant argues that by advocating prior to trial that back pay and front pay be decided by the jury rather than by the Court sitting in equity, Plaintiff waived his right to seek reinstatement subsequent to trial. (Def. Post-Trial Opp'n Mem. 1-3.) Plaintiff argues that submitting the front pay issue to the jury did not divest the Court of its power to grant equitable relief under the NYCHRL. (Pl. Letter dated April 18, 2014 at 1.) Plaintiff cites to New York City Administrative Code § 8-502 in support of his argument that injunctive relief is available under the NYCHRL.
Here, no determination was made that Plaintiff was not entitled to reinstatement, but when the issue was raised during a colloquy at trial, the Court noted that reinstatement was "not a relief that the jury can grant your client.... [I]t is equitable in nature and it's an application that would have to be made to the Court." (Trial Tr. 307:6-9.) Defendant did not object to this ruling. The jury also awarded Plaintiff front pay, in contrast to the jury in Beilan. Because the jury awarded Plaintiff front pay in this case, and because front pay and reinstatement can be considered equivalent ways to make a plaintiff whole, the Court retains discretion to order reinstatement, as an alternative to that front pay award. Cf. Pollard v. E.I. du Pont de Nemours & Co., 532 U.S. 843, 846, 121 S.Ct. 1946, 150 L.Ed.2d 62 (2001) ("[F]ront pay is simply money awarded for lost compensation during the period between judgment and reinstatement or in lieu of reinstatement.") (ADEA claim); Bergerson v. N.Y.S. Office of Mental Health, Cent. New York Psychiatric Ctr., 652 F.3d 277, 287-88 (2d Cir.2011) ("An award of front pay is an alternative to reinstatement where reinstatement is `inappropriate,'" (quoting Reed v. A.W. Lawrence & Co., 95 F.3d 1170, 1182 (2d Cir.1996))) (ADEA claim); Boodram v. Brooklyn Developmental Ctr., 2 Misc.3d 574, 773 N.Y.S.2d 817, 828 (Sup. Ct.2003) ("In cases in which reinstatement is not viable ..., courts have awarded front pay as a substitute for reinstatement." (quoting Pollard, 532 U.S. at 846, 121 S.Ct. 1946)) (NYSHRL claim). In light of the jury's verdict awarding Plaintiff front pay damages, Plaintiff's submission of the front pay damages to the jury did not waive Plaintiff's right to subsequently seek reinstatement from the Court.
Although it is not clear whether the Court can award reinstatement under the
Plaintiff is correct that reinstatement is a preferred remedy in employment discrimination cases. See Serricchio v. Wachovia Sec. LLC, 658 F.3d 169, 193 (2d Cir.2011) ("[O]ur Circuit favors reinstatement as a remedy in employment cases generally."); Reiter v. MTA N.Y.C. Transit Auth., 457 F.3d 224, 230 (2d Cir.2006) (observing that "[u]nder Title VII, the best choice is to reinstate the plaintiff, because
However, courts are hesitant to order reinstatement under certain circumstances, including "where there is animosity between an employer and an employee." Bergerson, 652 F.3d at 287-88; see also Banks v. Travelers Cos., 180 F.3d 358, 364 (2d Cir.1999) ("We have recognized ... that reinstatement is not always feasible for instance ... because animosity may impede the resumption of a reasonable employer-employee relationship."); Kirsch v. Fleet St., Ltd., 148 F.3d 149, 168-69 (2d Cir.1998) ("Although the ADEA allows the court, in its discretion, to order reinstatement, which can serve to reestablish the prior employment relationship ... and at the same time assure the plaintiff of employment free of discrimination ..., the court may find that relief inappropriate if `the employer-employee relationship may have been irreparably damaged'" (quoting Padilla v. Metro-North Commuter R.R., 92 F.3d 117, 125 (2d Cir.1996))); Zhou v. State Univ. of New York Inst. of Tech., 4 F.Supp.3d 404, 422, 2014 WL 897042, at *13 (N.D.N.Y.2014) (denying reinstatement where, inter alia, "[o]n Plaintiff's part there is clear antipathy toward Defendant Langdon"); Greenbaum, 979 F.Supp. at 987 (denying reinstatement where, inter alia, "there was ample evidence adduced at trial that the rancor between plaintiff and her superiors in defendant's employ far predated this action").
A plaintiff's violation of company policy can be a reason for denying reinstatement. See Zhou, 4 F.Supp.3d at 422, 2014 WL 897042, at *13 (denying reinstatement where, inter alia, "employees testified to their belief that Plaintiff provided fraudulent information to [defendant], either during the hiring process or during the contract renewal application process"); Picinich v. United Parcel Serv., No. 01-CV-01868, 2005 WL 3542571, at *27 (N.D.N.Y. Dec. 23, 2005) (denying reinstatement where plaintiff made secret tape recordings of conversations with defendant's employees, "threw [an] accommodations checklist form across the table," to one of defendant's employees, and "pushed pas[t] another employee"), aff'd in relevant part, 236 Fed.Appx. 663 (2d Cir. 2007).
Here, Defendant presented evidence at trial that Plaintiff was terminated because he lied during an investigation and because he deliberately altered a document. (See Trial Tr. 474:18-477:20.) David Franchesini, the senior director of labor relations, described the charge leading to Plaintiff's termination, the making of a false report, which included Plaintiff's initially falsely stating the date on which he provided the document with the swastika superimposed on it to his supervisor, as constituting a breach of trust. (Trial Tr. 123:7-10; 124:23-25; 182:4-6.) Franchesini explained that this conduct was considered unacceptable in an agency that owes a duty to the public, and that the false statements made by Plaintiff during the investigation impaired his credibility in the eyes of management. (Trial Tr. 175:3-176:3; 184:19-21.) Robert Bruno, a deputy general manager, described the misrepresentation of a document as a "very serious offense within the [MTA]," and explained that his previously good perception of Plaintiff had changed as a result of this incident, because, "within our organization, we have a lot of stock on truth in reporting." (Trial Tr. 444:23-25; 452:20-24.) Under these circumstances, the jury's award of front pay is the appropriate
Subsequent to trial, Plaintiff moved the Court to exercise its equitable discretion under Title VII, to modify the jury's award of $252,300 in back pay and increase it to $290,859. (Pl. Post-Trial Mem. 4.) However, the jury's verdict is only valid as to Plaintiff's NYCHRL claim, and Plaintiff conceded that "the jury's verdict as to damages was advisory only with respect to Title VII," and not to the NYCHRL. (Pl. Post-Trial Mem. 5.) In light of the well-established principle that back pay, like all money damages, is considered to be a legal remedy under the NYSHRL, the Court treats back pay as a legal remedy under the parallel NYCHRL. Cf. Chisholm v. Mem'l Sloan-Kettering Cancer Ctr., 824 F.Supp.2d 573, 576 (S.D.N.Y.2011) ("[A]ny form of money damages ... is a legal remedy to be decided by the jury under the NYSHRL."); Thomas v. iStar Fin., Inc., 508 F.Supp.2d 252, 258 (S.D.N.Y.2007) (noting that, while it was not clear whether the NYCHRL treated front pay as a legal or equitable remedy, "it would be difficult to reconcile a state law treating a remedy that derives from the state constitution (trial by jury) as legal and a city law in that state treating that same remedy addressing the same unlawful conduct as equitable"); Shannon v. Fireman's Fund Ins. Co., 136 F.Supp.2d 225, 228 (S.D.N.Y.2001) ("New York courts have ruled that all money damage awards under the NYSHRL are legal remedies." (citing Tyler v. Bethlehem Steel Corp., 958 F.2d 1176, 1189 (2d Cir.1992) and Murphy v. American Home Prods. Corp., 136 A.D.2d 229, 527 N.Y.S.2d 1, 2 (1988))); see also Song v. Ives Labs., Inc., 957 F.2d 1041, 1047 (2d Cir.1992) ("[B]ecause Executive Law § 296 permits the recovery of monetary damages, claims made in federal court under this provision are characterized as legal in nature."). The Court declines to disturb the jury verdict awarding Plaintiff back pay in the amount of $252,300.
Defendant argues that the Court should offset the back pay award by the amount of $18,630 in unemployment benefits received by Plaintiff. (Def. Post-Trial Opp'n Mem. 9 (citing Trial Tr. 387-89); Def. Letter dated July 25, 2014, Docket Entry No. 66, 1.) Plaintiff argues that the court should apply the collateral source rule and decline to offset the back pay award, and contends that Defendant has not adequately
Many courts addressing the award of back pay in employment discrimination claims apply the collateral source rule to deny defendants' requests to offset plaintiffs' recovery of damages from an employer by the amount of unemployment benefits received by plaintiffs after their termination.
The collateral source rule "is based on the reality that benefits paid by a third party — a collateral source — will amount to a windfall for the plaintiff if they are not deducted, and for the defendant if they are deducted." Norris, 2009 WL 3841970, at *1; see also Shannon, 136 F.Supp.2d at 232 ("[B]ecause unemployment benefits are paid by a state agency rather than by [defendant] directly, either [plaintiff] or [defendant] will receive this `windfall' no matter how the benefits are treated.... [F]airness dictates that the `windfall' be awarded to the victim of the discrimination rather than the perpetrator."). Thus, where the payment of unemployment benefits is not from a "collateral" source such as a state-run unemployment
Defendant has provided documentation establishing that, while the New York State Department of Labor provided unemployment benefits directly to Plaintiff, Defendants reimbursed the Department of Labor in full for these payments.
Plaintiff argues that the district court cases that deduct unemployment benefits in this manner "elevate form over substance," and that the Second Circuit has never held that unemployment benefits must be deducted in situations such as this one, although it has held that whether to deduct for unemployment benefits is within the Court's discretion. (Pl. Letter dated July 25, 2014 at 1 (citing Dailey v. Societe Generale, 108 F.3d 451, 461 (2d Cir.1997)).) Plaintiff argues that unemployment benefits are "like any other fringe benefit, earned by the employee and is part of the total employee compensation, even though it is paid by the employer." (Id.) Plaintiff notes that the New York State Department of Labor provides government employers with the option to either reimburse the state for benefits actually paid to former employees (the "benefits reimbursement method"), or to pay on a traditional contribution basis. (Id. at 2 (citing New York State Department of Labor, Benefit Reimbursement, December 2013, annexed to Pl. Letter dated July 25, 2014 as Ex. 1 (available at https://labor.ny.gov/formsdocs/ui/IA318.13.pdf)).) Plaintiff contends that, regardless of what method Defendant chose to fund its unemployment obligations — either the benefits reimbursement method or a "contribution method" — the benefits were coming from a collateral source, the state Department of Labor, and it is illogical to prohibit those employers who choose the contribution method to deduct unemployment benefits under the collateral source rule, while permitting those employers who choose the benefits reimbursement method to do so. (Id. at 1-2.)
The Court is not persuaded by Plaintiff's argument that the collateral source rule should be applied here because there is no crucial difference between an employer who chooses the reimbursement method and an employer who chooses a contribution method to meet their unemployment obligations.
Plaintiff seeks past pension contributions pursuant to his participation in a "defined benefit pension plan" as an employee with MTA Bus, and argues that "as part of its equitable relief, the Court should order [D]efendant to make payments into the plan sufficient to restore credit to [P]laintiff for his imputed earnings and years of service from October 19, 2009 and the effective date of reinstatement." (Pl. Mem. Post-Trial Mot. 5.) At oral argument, Plaintiff asked that if the Court were to decline to reinstate Plaintiff, it should order Defendants to restore Plaintiff's pension credits for the period between October 19, 2009, and the date of the jury's verdict. Counsel for Defendant did not oppose Plaintiff's application in principle. Accordingly, the Court orders Defendant to provide contributions to Plaintiff's pension plan and credit for the corresponding years of service covering the period of time between Plaintiff's termination, October 19, 2009, and the date of the jury verdict, June 20, 2013.
Plaintiff seeks an award of prejudgment interest on the jury award of back pay for the first time in his supplemental briefing. (Pl. Letter dated April 18, 2014 at 2.) Although the NYCHRL does not expressly provide for prejudgment interest on an award of backpay, the New York Court of Appeals has interpreted
Aurecchione v. New York State Div. of Human Rights, 98 N.Y.2d 21, 26, 744 N.Y.S.2d 349, 771 N.E.2d 231 (2002) (citing Loeffler v. Frank, 486 U.S. 549, 558, 108 S.Ct. 1965, 100 L.Ed.2d 549 (1988) (additional citations and internal quotation marks omitted)); see also Epstein v. Kalvin-Miller Int'l, Inc., 139 F.Supp.2d 469, 486 (S.D.N.Y.2001) (awarding prejudgment interest on back pay award under the NYSHRL). This principle has been applied to awards under the NYCHRL. See Insinga v. Cooperatieve Centrale Raiffeisen Boerenleenbank B.A., 478 F.Supp.2d 508, 512 (S.D.N.Y.2007) (applying statutory interest rate of 9 percent to award of back pay under NYCHRL); McIntyre v. Manhattan Ford, Lincoln-Mercury, Inc., 176 Misc.2d 325, 672 N.Y.S.2d 230, 236 (N.Y.Sup.Ct.1997) (same). Therefore, Plaintiff is entitled to prejudgment interest.
Plaintiff and Defendant agree that the applicable prejudgment interest rate is 4 percent under New York Public Authorities Law § 1276, (Def. Letter dated July 25, 2014; Pl. Letter dated July 25, 2014), and that this is calculated from an intermediate date between the date of termination and the date of judgment.
Plaintiff moves for attorneys' fees in the amount of $97,560 at the rates of $450 per hour for Michael O'Neill's time, $275 per hour for senior associates Theresa V. Wade and Aaron Solomon, and $175 per hour for junior associates Michael Ercolini and Emily Bertucci. (Declaration of Michael G. O'Neill in support of Post-Trial Motion ("O'Neill Decl.") ¶ 13; Pl. Mem. Post-Trial Mot. 8.) Plaintiff also seeks costs in the amount of $3,109.21. (O'Neill Decl. ¶ 15.)
The NYCHRL provides that "[i]n any civil action commenced pursuant to this section, the court, in its discretion, may award the prevailing party costs and reasonable attorney's fees." N.Y.C. Admin. Code § 8-502(f) provides:
Diaz v. Audi of Am., Inc., 57 A.D.3d 828, 873 N.Y.S.2d 308, 311 (2008) (citing In re Freeman's Estate, 34 N.Y.2d 1, 9, 355 N.Y.S.2d 336, 311 N.E.2d 480 (1974)) (additional citations omitted).
In this Circuit, when calculating reasonable attorneys' fees, courts must presumptively apply the "forum rule," which provides that "courts should generally use the hourly rates employed in the district in which the reviewing court sits in calculating the presumptively reasonable fee."
If the party seeking attorneys' fees fails to submit evidence of the prevailing market rate for attorneys with comparable skills, the Court can exercise its discretion to determine a reasonable hourly rate. See Moreno v. Empire City Subway
"Recent opinions issued by courts within the Eastern District of New York have found reasonable hourly rates to be approximately $300-$450 for partners, $200-$325 for senior associates, and $100-$200 for junior associates." Akman v. Pep Boys Manny Moe & Jack of Delaware, Inc., No. 11-CV-3252, 2013 WL 4039370, at *2 (E.D.N.Y. Aug. 7, 2013) (quoting Pall Corp. v. 3M Purification Inc., No. 97-CV-7599, 2012 WL 1979297, at *4 (E.D.N.Y. June 1, 2012) (collecting cases)); see also Konits v. Karahalis, 409 Fed.Appx. 418, 422 (2d Cir.2011) (affirming district court award of attorneys' fees where lower court noted that "courts have found that the prevailing rates for experienced attorneys in Eastern District of New York cases range from approximately $300-400 per hour." (alteration omitted)); In re Nassau Cnty. Strip Search Cases, ___ F.Supp.3d ___, ___, 2014 WL 1338426, at *9 (E.D.N.Y. Apr. 2, 2014) (noting likely range of "$300 to $450 for a partner," providing "first rate" legal representation in a class action); E. Sav. Bank, FSB v. Evancie, No. 13-CV-00878, 2014 WL 1515643, at *5 (E.D.N.Y. Apr. 18, 2014) ("[I]n the Eastern District, reasonable hourly rates currently range from $200 to $400 for partners depending on the nature of the lawsuit."); Brown v. Green 317 Madison, LLC, No. 11-CV-4466, 2014 WL 1237448, at *9 (E.D.N.Y. Feb. 4, 2014) (noting cases in the Eastern District where "lawyers with extensive experience were awarded fees at rates of $450 and $400 per hour"), report and recommendation adopted, No. 11-CV-4466, 2014 WL 1237127 (E.D.N.Y. Mar. 25, 2014).
Although the "size of the firm may be considered, as large firms tend to charge higher hourly rates than small firms, ... courts should not automatically
O'Neill contends that the "level and depth" of his experience justifies an award at the higher end of billing rates for partners in this district.
O'Neill is a solo practitioner who has been practicing law since 1980, 33 years at the time of trial, and has handled approximately 500 employment discrimination cases since the founding of his law firm in 1995. (O'Neill Decl. ¶ 6.) In a 2012 case, O'Neill was awarded fees at the rate of $300 per hour, in light of his status as a solo practitioner. See Holness v. Nat'l Mobile Television, Inc., No. 09-CV-2601, 2012 WL 1744847, at *6 (E.D.N.Y. Feb. 14, 2012), report and recommendation adopted as modified on other grounds, No. 09-CV-2601, 2012 WL 1744744 (E.D.N.Y. May 15, 2012). In Holness, a civil rights case, the court cited "prevailing Eastern District rates of $300-400 for partners," lower than the range found by courts in this district in more recent cases, and did not cite cases establishing prevailing rates for experienced solo practitioners in civil rights cases. See Holness, 2012 WL 1744847, at *8. Rather, the court, noting that "the size and caliber of a firm may also be considered when determining a reasonable hourly rate," appeared to award attorneys' fee at the low end of the then-prevailing range of rates for all partners in the Eastern District of New York. Id. Mindful of both the higher range of
Defendant opposes the requested rate of $275 for O'Neill's senior associate Aaron Solomon, contending that little information is provided regarding Solomon's experience. O'Neill states that Solomon graduated from law school in 2009, and was employed at O'Neill's firm from January 2013. (O'Neill Decl. ¶ 7.) Prior to that, Solomon "was employed by a busy litigation firm in Brooklyn and handled cases in both [f]ederal and [s]tate courts." (Id.) O'Neill does not state that Solomon's experience prior to joining O'Neill's firm was focused on employment discrimination. Even if an attorney with only four years of experience could accurately be described as a senior associate, the Court finds that an award at the lower end of the range for senior associates is appropriate. The rate for Solomon is reduced to $225 per hour.
Theresa V. Wade graduated from law school in 2007 and has experience litigating small and mid-sized employment discrimination cases in state and federal court, including serving as second chair in three trials in this district. (O'Neill Decl. ¶ 8.) The Court finds that the rate requested for Wade's time of $275 per hour is reasonable.
The rate requested for Bertucci and Ercolini, $175 per hour, is a reasonable rate for junior associates.
Having reviewed the time records submitted, the Court finds that the time spent by the attorneys is reasonable.
The Court awards $3,109.21 as requested by Plaintiff for costs, including expenses for court costs, photocopies, messenger service, service of subpoenas and deposition reporters, for which he provides documentation. (See O'Neill Decl. Ex. C.)
For the foregoing reasons, the Court grants Plaintiff's motion for reconsideration. Upon reconsideration, the Court (1) adheres to its prior ruling granting Defendant's motion for a new trial as to Plaintiff's Title VII claim, (2) finds that Defendant is entitled to a new trial as to Plaintiff's NYSHRL claim, (3) denies Defendant's motion for a new trial as to
The Court denies Plaintiff's application for reinstatement, and awards $106,000 in front pay as determined by the jury. The Court awards Plaintiff $252,300 in back pay as determined by the jury, but offsets that amount by $18,630 received by Plaintiff in unemployment compensation from Defendant, for a total back pay award of $233,670. The Court also awards prejudgment interest on Plaintiff's back pay at the applicable statutory rate of 4 percent commencing from the intermediate date of March 12, 2014. The Court awards attorneys' fees to Plaintiff in the amount of $99,210, and expenses in the amount of $3,109.21.
SO ORDERED.
Defendant also asserts that "in the case of public employment, ... a wrongfully discharged employee is generally restricted to a N.Y. C.P.L.R. Article 78 proceeding as the sole vehicle for seeking reinstatement to his or her position," (Def. Letter dated Apr. 18, 2014 at 1 (citing Finley v. Giacobbe, 79 F.3d 1285, 1291 (2d Cir.1996))), and that the equitable remedy of reinstatement is disfavored by New York courts where a remedy at law, of damages, is adequate to make a plaintiff whole, (id. at 2 (citing Zahler v. Niagara Cnty. Chapter of the N.Y.S. Ass'n for Retarded Children, Inc., 112 A.D.2d 707, 491 N.Y.S.2d 880 (1985))). The cases relied on by Defendant involved breach of contract claims, which is not the claim before the Court. Defendant's reliance on case law limiting specific performance in the context of breach of contract claims is inapposite here, where the remedy of reinstatement is an equitable remedy designed to redress statutorily-proscribed discrimination rather than a breach of contract claim.
N.Y. C.P.L.R. § 5001(b). The New York State Supreme Court Appellate Division has applied § 5001(b) and determined that, for purposes of calculating prejudgment interest in an employment discrimination case pursuant to the NYSHRL, damages should be calculated "from a single reasonable intermediate date," which "would be the date halfway between the date the plaintiff was first deprived of a paycheck and the date of the verdict." Jattan, 883 N.Y.S.2d at 113; see also Argyle Realty Associates v. New York State Div. of Human Rights, 65 A.D.3d 273, 882 N.Y.S.2d 458, 468 (2009) ("Given that the complainant incurred damages for each pay period between her unlawful termination by Argyle Realty in November 1995 and her commencement of new employment in September 1996, it was proper to calculate interest from April 15, 1996, as a `single reasonable intermediate date.'" (citing CPLR 5001(b) and Matter of Boylan v. Town of Yorktown, 179 A.D.2d 753, 579 N.Y.S.2d 126 (1992))).