VANESSA L. BRYANT, District Judge.
Before the Court is the Plaintiff's, Rondell Miley ("Miley"), motion to remand this action to Connecticut Superior Court, asserting that his claim under the Connecticut Workers' Compensation Act is non-removable. Also before the Court is the motions to dismiss the Plaintiff's amended complaint, filed pursuant to Fed.R.Civ.P. 12(b)(6) for failure to state a claim, by the Defendants, the Housing Authority of the City of Bridgeport (the "Housing Authority") and its Executive Director, Nicholas Calace ("Calace"). The amended complaint advances a state statutory claim for retaliation under the Connecticut Workers' Compensation Act, Conn. Gen.Stat. § 31-290 and three federal law claims, two under 42 U.S.C. § 1983 claims for violation of procedural due process by virtue of the manner in which his employment was terminated by and one stigma-plus due process claim. For the reasons articulated below, the Court GRANTS IN PART AND DENIES IN PART Plaintiff's motion to remand and GRANTS IN PART AND DENIES IN PART Defendants' motions to dismiss. The Court severs the Plaintiff's Workers' Compensation Act claim and remands that claim back to Connecticut Superior Court.
The Plaintiff's amended complaint alleges the following facts. In October 2006, Miley commenced employment with the Housing Authority as a maintenance aide. [Dkt. #20, Amended Complaint, ¶ 1]. Miley alleges that on September 20, 2011, he was injured in the course of his employment. Id. at ¶ 3. Miley sought workers' compensation benefits. Id. at ¶ 4. Miley alleges that the Defendants discriminated against him for exercising his rights under the Workers' Compensation Act when they discharged him on March 5, 2012. Id. at ¶ 5.
Miley alleges that the Housing Authority and Nicholas Calace conducted an investigation into his compensation claim on
Miley further alleges that the "accusation of intentional misconduct published by the Defendants concerning the Plaintiff's occupation resulted in his wrongful discharge of his employment, stigmatized and effected the competency of the Plaintiff, and will preclude him from obtaining other job opportunities in his employment field." Id. at Count II, ¶ 8. Miley further alleges that the Defendants' action in "accusing the Plaintiff of fraud ... was irrational and wholly arbitrary without any proper basis" and ignored or failed to consider that Miley was treated for a work related injury by his physician who confirmed it was work related. Id. at Count II, ¶ 10.
Miley also alleges that he was denied a full and fair pre-termination hearing in violation of due process. Id. at Count III, ¶ 9. In particular, Miley contends that the Defendants failed to provide him with all the evidence they allegedly had pertaining to the basis of his termination and as a result he did not have an adequate opportunity to respond to the charges against him. Id. Miley claims that the "Defendants during the course of their investigation against [him] concerning his claim for workers' compensation benefits ... obtained and/or were aware of statements from co-workers of the Plaintiff and had in their possession an investigation conducted by the Defendants' workers compensation administrator Chartis, but failed to provide such evidence to the Plaintiff, thereby precluding the Plaintiff from having a reasonable opportunity to respond." Id. at Count III, ¶ 10.
Miley argues that the entire action must be remanded because 28 U.S.C. § 1445(c) provides that "[a] civil action in any State court arising under the workmen's compensation laws of such State may not be removed to any district court of the United States." 28 U.S.C. § 1445(c). Defendants argue that remand is not appropriate under 28 U.S.C. § 1445(c) because Miley has also asserted federal claims over which this Court has original federal question jurisdiction. Defendants point out that "Connecticut [federal] courts routinely exercise jurisdiction over Connecticut workers' compensation claims when such claims are brought with federal claims over which the court has original question jurisdiction." In support of this proposition the defense cites to six District of Connecticut cases in support. [Dkt. #14, Def. Mem., p. 14-15].
Defendants' arguments are unavailing. All of the cases cited by the Defendant are distinguishable as all involve cases which were filed by the plaintiffs in and were not removed to federal court. This distinction is critical as it implicates the subtle distinction between removal jurisdiction and supplemental jurisdiction as
The parties do not appear to dispute that Miley's retaliatory discharge claim under Conn. Gen.Stat. § 31-290 arises under the workers' compensation laws of Connecticut for purposes of § 1445(c). In a matter of first impression, another court in this district persuasively held that such a claim does arise under such laws. Wilson, 401 F.Supp.2d at 190-91. The Wilson court explained that "the application of § 1445(c) to Connecticut state law is a question of federal law" and noted that courts have interpreted the phrase "arising under" in § 1445(c) as having "the same meaning as the identical phrase in the closely related federal question statute, 28 U.S.C. § 1331, which provides that the district courts shall have original jurisdiction of all civil actions arising under the Constitution, laws, or treaties of the United States." Id. at 190 (internal quotation marks and citations omitted). The Wilson court observed that "[a]pplying this test, courts have reached differing conclusions on the issue of removability, depending primarily on whether the plaintiff's cause of action for retaliatory discharge was created by statute or case law." Id. (collecting cases). Based on these cases, the Wilson court reasoned that a retaliatory discharge claim under § 31-290 arises under Connecticut workers' compensation laws for purposes of § 1445(c) because such a claim is "explicitly created by § 31-290(a)" and an integral part of Connecticut's scheme for compensating employees for work-related injuries. Id. at 191. This Court agrees with the Wilson court's analysis that a retaliatory discharge claim under § 31-290 arises under the workers' compensation laws of Connecticut for purposes of § 1445(c).
The Defendants contend that the prohibition on removal in § 1445(c) applies only to cases which were removed on the basis of diversity jurisdiction and should not extend to cases which were removed on the basis of federal question jurisdiction. The Wilson court only addressed whether § 1445(c) permitted removal of an entire action where there was diversity of citizenship and did not consider whether it also prevented removal of an action where a workers' compensation claim was joined with related federal claims. In addressing the question with respect to diversity jurisdiction,
In coming to this conclusion, the Wilson court explained that reading § 1441(a) to permit removal "would undermine the policies motivating § 1445(c). The legislative history of § 1445(c) shows that Congress enacted the statute to serve two objectives. Congress's primary objective was to reduce the number of diversity cases in federal court by preventing removal of workers' compensation claims against nonresident employers. At the same time, Congress wanted to relieve workers of the expense and delay associated with litigation in federal court." Id. at 196 (citing S.Rep. No. 85-1830 (1958), reprinted in 1958 U.S.C.C.A.N. 3099, 3106; Horton, 367 U.S. at 351-52, 81 S.Ct. 1570 (noting congressional concern for federal court congestion and potential burdens on workers' compensation plaintiffs if forced to litigate in federal courts); 14C Wright et al., supra, § 3729, at 215 (explaining that Congress sought to "limit[] the flow of these essentially local disputes into the federal courts")).
The Wilson court acknowledged that it did not address the complicated question of "whether § 1445(c) prevents removal of an action when a workers' compensation claim is joined with related federal law claims" but noted that courts faced with this scenario "have remanded the workers' compensation claim only, retaining jurisdiction over the federal claim." Id. at 197 n. 13 (collecting cases). Those courts which have concluded that § 1445(c) prevents removal in an action where there are related federal claims cite many of the same reasons as the Wilson court in support of their conclusion. For example, the Fifth Circuit explained that it would "broadly interpret § 1445(c) in order to further Congressional intent toward maintaining state court jurisdiction over workers' compensation cases filed in state court." Sherrod v. American Airlines, Inc., 132 F.3d 1112, 1118 (5th Cir.1998). The Fifth Circuit explained that there was no reason to distinguish between removal based on diversity or federal question jurisdiction when construing § 1445(c). Id. Consequently, the Fifth Circuit in Sherrod adopted its prior reasoning regarding removal under § 1445(c) in Jones v. Roadway Exp., Inc., 931 F.2d 1086 (5th Cir. 1991) which involved removal based on diversity jurisdiction. Id. at 1118-1119. The Fifth Circuit noted that its analysis in Jones did not distinguish between diversity and federal question jurisdiction when construing § 1445(c) and instead focused on the language of § 1445(c) which broadly prohibits removal of a civil action in any State court arising under the workmen's compensation laws of such State. Id. The Fifth Circuit in Sherrod emphasized that "[a] plain reading of the statute lends credence to the proposition that § 1445(c) prohibits the removal of any state worker's compensation claims" regardless of whether jurisdiction is based on diversity or federal question. Id. at 1119. The Eighth Circuit likewise concluded that § 1445(c) prohibits removal of state workers' compensation claims regardless of whether the
Having determined that § 1445(c) applies to prevent removal of Miley's retaliatory discharge claim under Conn. Gen. Stat. § 31-290 despite the fact that Miley has also brought related federal claims, the Court must next determine whether it should remand the entire action or just Miley's workers' compensation claim. This question appears to have been resolved by Congress's most recent revision to the removal statutes, which mandates that the Court must sever and remand only the non-removable workers' compensation claim. On December 7, 2011, Congress passed the Federal Court's Jurisdiction and Venue Clarification Act of 2011, Pub.L. No. 112-63, §§ 103(b) 104, 125 Stat. 758, 760, 762 (Dec. 7, 2011). The Statute took effect on January 7, 2012, and amended, in part, several of the removal statutes, including of relevance 28 U.S.C. § 1441(c).
28 U.S.C. § 1441(c) (emphasis added).
In light of these revisions, § 1445(c)'s prohibition on removal and § 1441(c) now work in concert based on the inclusion of the language regarding claims made nonremovable by statute in subparagraph (1)(B). A workers' compensation claim plainly falls within the scope of subparagraph(1)(B) as it is a claim that has been
Although the amended version of § 1441(c) could result in judicial inefficiency by mandating two lawsuits as opposed to one, it does protect the choice-of-forum privilege for plaintiffs under § 1445(c) and furthers the Congressional intent toward maintaining state court jurisdiction over workers' compensation cases. As the Belyea court acknowledged this potential for judicial inefficiency could be remedied by the parties who could "[i]n any event, if both sides truly wish to litigate in a single forum and can agree on whether to do it in state or federal court, they apparently can bring about the desired result, either by having the plaintiff file a new case in federal court asserting all the claims, or by having the plaintiff file a new case in state court that the defendant does not remove. In short, they can start over." 859 F.Supp.2d at 1276. Consequently, the Court is required by § 1441(c) and § 1445(c) to sever and remand Miley's retaliatory discharge claim under Conn. Gen. Stat. § 31-290. The Court will therefore maintain jurisdiction over Miley's federal Section 1983 claims and proceed to consider the Defendants' pending motion to dismiss on those claims.
"`To survive a motion to dismiss, a complaint must contain sufficient factual matter,
In considering a motion to dismiss for failure to state a claim, the Court should follow a "two-pronged approach" to evaluate the sufficiency of the complaint. Hayden v. Paterson, 594 F.3d 150, 161 (2d Cir.2010). "A court `can choose to begin by identifying pleadings that, because they are no more than conclusions, are not entitled to the assumption of truth.'" Id. (quoting Iqbal, 129 S.Ct. at 1949-50). "At the second step, a court should determine whether the `well-pleaded factual allegations,' assumed to be true, `plausibly give rise to an entitlement to relief.'" Id. (quoting Iqbal, 556 U.S. at 679, 129 S.Ct. 1937). "The plausibility standard is not akin to a probability requirement, but it asks for more than a sheer possibility that a defendant has acted unlawfully." Iqbal, 556 U.S. at 678, 129 S.Ct. 1937 (internal quotations omitted).
Miley's procedural due process claim is predicated on Defendants' failure to provide him with the statements of his co-workers and the worker's compensation investigation report at his pre-termination hearing which Miley alleges deprived him of the opportunity to reasonably respond to such evidence. Defendants argue that under Second Circuit precedent an employer is only required to provide an explanation of the evidence that forms the basis for the employee's termination and is not required to turn over a copy of such evidence. The Second Circuit in Otero v. Bridgeport Housing Authority, 297 F.3d 142 (2d Cir.2002) held that the "pretermination process need not be elaborate or approach the level of a full adversarial evidentiary hearing, but due process does require that before being terminated such an employee [be given] oral or written notice of the charges against h[er], an explanation of the employer's evidence, and an opportunity to present h[er] side of the story." Id. at 151 (internal quotation marks and citations omitted). In Otero, an employee was terminated after being accused of stealing a toilet without being fully informed about the nature of the evidence against her including statements of her co-workers accusing her of the theft. The Second Circuit explained that it was insufficient to merely provide some semblance of the evidence against the plaintiff as that "does not necessarily afford the accused an adequate opportunity to present her side of the story." Id.
At the motion to dismiss stage, the Court is required to accept all factual claims in the complaint as true and draw all reasonable inferences in the plaintiff's
Plaintiff argues that he has plausibly pled a stigma-plus due process claim on the basis of the Defendants' accusations that he falsified Housing Authority records and defrauded the workers' compensation benefit program. Defendants argue that Miley does not allege any specific facts as to what statements were made and how they impacted his reputation and restricted his employment. It is well established that a "person's interest in his or her good reputation alone, apart from a more tangible interest, is not a liberty or property interest sufficient to invoke the procedural protections of the Due Process Clause or create a cause of action under § 1983." Patterson v. City of Utica, 370 F.3d 322, 329-30 (2d Cir.2004) citing Paul v. Davis, 424 U.S. 693, 701, 96 S.Ct. 1155, 47 L.Ed.2d 405 (1976). However, "Loss of one's reputation can, however, invoke the protections of the Due Process Clause if that loss is coupled with the deprivation of a more tangible interest such as government employment." Id. at 330.
"`In an action based on a termination from government employment, a plaintiff must satisfy three elements in order to demonstrate a deprivation of the stigma component of a stigma-plus
The Court agrees with Defendants that Miley's allegations are devoid of specific factual content to state a claim to relief for a stigma-plus violation that is plausible on its face. Miley conclusory alleges without supporting facts that the Defendants made stigmatizing comments regarding his alleged falsification of workers' compensation benefits that negatively impacted his career prospects. First, Miley has not alleged that any of Defendants' alleged comments were made public. In his opposition memorandum, Miley argues that the publication requirement may be "satisfied where the stigmatizing charges are placed in the discharged employee's personnel file and are likely to be disclosed to prospective employers." Guerra v. Jones, 421 Fed.Appx. 15, 18 (2d Cir.2011) (internal quotation marks and citations omitted). However nowhere in the amended complaint does Miley allege that the stigmatizing statements were placed in his personnel file that will likely be disclosed to prospective employers. It is well established that "[p]laintiffs cannot amend their complaint by asserting new facts or theories for the first time in opposition to Defendants' motion to dismiss." K.D. ex rel. Duncan v. White Plains School Dist., No. 11 CIV. 6756(ER), 2013 WL 440556, at *14 n. 8 (S.D.N.Y. Feb. 5, 2013) (citing Tomlins v. Vill. of Wappinger Falls Zoning Bd. of Appeals, 812 F.Supp.2d 357, 363 n. 9 (S.D.N.Y.2011); Scott v. City of New York Dep't of Corr., 641 F.Supp.2d 211, 229 (S.D.N.Y.2009), aff'd, 445 Fed.Appx. 389 (2d Cir.2011)).
Even if the Court did permit Miley to amend his complaint to allege that stigmatizing comments were placed in his personnel file, his stigma-plus claim would still fail as Miley has not plead facts sufficient to support the conclusion that Defendants' allegedly stigmatizing comments impugned his reputation in such a fashion as to effectively put a significant roadblock in his continued ability to practice his profession. Courts have routinely held that "merely conclusory allegations that Plaintiff was stigmatized, that her reputation was substantially damaged and that she lost professional standing are insufficient without factual support to allege a plausible stigma-plus claim." Piccoli v. Yonkers Bd. of Educ., No. 08-cv-8344(CS), 2009 WL 4794130, at *4 (S.D.N.Y. Dec. 11, 2009); see also Srinivas v. Picard, 648 F.Supp.2d 277, 290 (D.Conn.2009) (concluding that plaintiff had not "plead facts sufficient to support a conclusion that her reputation was damaged to the extent that it has placed a significant roadblock in [her] ... continued
In Monell v. New York City Dept. of Social Servs., 436 U.S. 658, 98 S.Ct. 2018, 56 L.Ed.2d 611 (1978), the Supreme Court held that municipalities cannot be held liable for constitutional torts under 42 U.S.C. § 1983 on a respondeat superior theory but could be liable where execution of a municipality's policy or custom inflicts the injury. As this Court has dismissed Miley's stigma-plus claim, the sole remaining Section 1983 claim is Miley's claim that he was denied due process when he was not provided with certain evidence at his pre-termination hearing. As Defendants point out, the complaint is entirely devoid of any allegations that the Housing Authority had a custom, policy, or practice of withholding evidence or the explanation of evidence at pre-termination hearings. In his opposition memorandum, Plaintiff argues that his Monell claim survives under a final policy maker theory. Miley contends that his claim is plausible as he has alleged that the Executive Director of the Housing Authority, Nicholas Calace, was involved in the alleged due process violation. When a plaintiff does not claim "that the actions complained of were taken pursuant to a local policy that was formally adopted or ratified, but rather that they were taken or caused by an official whose actions represent official policy, the court must determine whether the official had final policymaking authority in the particular area involved." Jeffes v. Barnes, 208 F.3d 49, 57 (2d Cir.2000). "Whether an official in question possessed final policy making authority in a particular area is a legal question to be determined by reference to state law, local law, and custom and usage having the force of law." Russo v. City of Hartford, 341 F.Supp.2d 85, 108 (D.Conn.2004). In other words, Miley must plead specific facts establishing that Calace had final policymaking authority over the provision of evidence prior to a termination hearing and that he either implemented or by act or omission acquiesced in the implementation of a policy or practice which resulted in the employee statements and investigation report being withheld from him. However, Miley has not alleged in his amended complaint that Calace was a final policy maker in the particular area involved nor has he alleged that Calace participated in the decision to withhold evidence from him before the pretermination hearing. As noted above, Miley may not assert new facts or theories for the first time in a memorandum in opposition to Defendants' motion to
Defendants also argue that the amended complaint is devoid of any plausible allegations that Calace was personally involved in the alleged due process violation. Although couched as a qualified immunity defense, it is "well established in this Circuit that personal involvement of a defendant in the alleged constitutional deprivations is a prerequisite to an award of damages under § 1983." Farid v. Ellen, 593 F.3d 233, 249 (2d Cir.2010). Consequently to state a claim under § 1983, a plaintiff must allege personal involvement of a defendant. Wright v. Smith, 21 F.3d 496, 501 (2d Cir.1994). This Court agrees that Miley has only conclusorily alleged that Calace was involved in the alleged due process violation. Miley has not alleged any facts to support the conclusion that Calace was present at the pre-termination hearing or was personally involved in the decision to not disclose or provide an explanation of the co-worker statements and the investigation report to Miley.
To the extent that the amended complaint can be construed to assert that Calace is liable, in his individual capacity, on a theory of supervisory liability in that Calace failed to supervise and stop his subordinates from engaging in unconstitutional conduct, the complaint is devoid of any specific facts to support such an assertion. Supervisory liability may be "`imposed against a supervisory official in his individual capacity for his own culpable action or inaction in the training, supervision or control of his subordinates.'" Odom v. Matteo, 772 F.Supp.2d 377, 403 (D.Conn.2011) (internal quotation marks and citation omitted). Supervisory liability may be established by the following factors articulated by the Second Circuit in Colon v. Coughlin, 58 F.3d 865, 873 (2d Cir.1995) (hereinafter the "Colon Factors"):
Id.
The Court notes that if the complaint particularly alleged that that Calace was personally involved in the alleged constitutional violation, he would not be entitled to the protections of qualified immunity at the motion to dismiss stage. When reviewing a claim of qualified immunity, a court must consider "whether the facts that the plaintiff has alleged (See Fed. Rules Civ. Porc. 12(b)(b)(6), (c)) or shown (see Rule 50, 56) make out a violation of a constitutional [or statutory] right," and "whether the right at issue was `clearly established' at the time of defendant's alleged misconduct." Pearson v. Callahan, 555 U.S. 223, 232, 129 S.Ct. 808, 172 L.Ed.2d 565 (2009).
Although previously the Supreme Court prescribed a mandatory two-step analysis, considering first the constitutional violation prong and then the clearly established prong, the Court has since recognized that this rigid procedure "sometimes results in a substantial expenditure of scarce judicial resources on difficult questions that have no effect on the outcome of the case," as "[t]here are cases in which it is plain that a constitutional right is not established but far from obvious whether in fact there is a constitutional right." Pearson, 555 U.S. at 236-37, 129 S.Ct. 808. Thus, the Supreme Court has provided district courts with the discretion to decide the order in which the two prongs of the qualified immunity analysis are applied. Id. at 243, 129 S.Ct. 808. In providing the lower courts with the discretion to determine the order of qualified immunity analysis to be applied to a given case, the Supreme Court explicitly acknowledged that "there will be cases in which a court will rather quickly and easily decide that there was no violation of clearly established law before turning to the more difficult question of whether the relevant facts make out a constitutional question at all." Id. at 239, 129 S.Ct. 808.
Qualified immunity "protects government officials from liability where the officials' conduct was not in violation of a `clearly established' constitutional right." Sudler v. City of New York, 689 F.3d 159, 174 (2d Cir.2012). "If the conduct did not violate a clearly established constitutional right, or if it was objectively reasonable for the [official] to believe that his conduct did not violate such a right, then the [official] is protected by qualified immunity." Id. (quoting Doninger v. Niehoff, 642 F.3d 334, 345 (2d Cir.2011)). "Qualified immunity thus shields government officials from liability when they make `reasonable mistakes' about the legality of their actions, and `applies regardless of whether the government official's error is a mistake of law, a mistake of fact, or a mistake based on mixed questions of law and fact." Id. (internal citations omitted) (quoting Pearson, 555 U.S. at 231, 129 S.Ct. 808).
As the Court has dismissed Miley's stigma-plus claim, the Court will only consider whether qualified immunity applies with respect to Miley's remaining Section 1983
Based upon the above reasoning, the Court GRANTS IN PART AND DENIES IN PART Plaintiff's [Dkt.#13] motion to remand. The Court severs Plaintiff's workers' compensation claim from the action and remands that claim back to Connecticut superior court. The Court also GRANTS IN PART AND DENIES IN PART Defendants' [Dkt.#13, 21] motions to dismiss. The Plaintiff's stigma-plus and Monell claims have been dismissed. The Court grants Plaintiff leave to amend his procedural due process claim by 3/15/2013 to add allegations as to Defendant Calace's personal involvement or to name an appropriate individual capacity defendant. The Court has recognized the practical implications of its remand and reminds the parties of the alternatives available to them to address the inefficiencies which the Court has explained above.
IT IS SO ORDERED.