RAMOS, District Judge.
Valerie Medcalf ("Plaintiff" or "Medcalf") brings this action against her former employer, the law firm Thompson Hine, LLP ("Defendant" or "Thompson Hine"). The litigation arises from Plaintiff's employment relationship with Defendant during and after her pregnancy. Specifically, Plaintiff alleges several claims against Defendant for employment discrimination and breach of privacy in violation of federal, state, and local laws. Defendants move to dismiss the Complaint pursuant to Rule 12(b)(6) of the Federal Rules of Civil Procedure. See Def.'s Mem. L. Support Mot. Dismiss, Doc. 24. Defendant contends that Plaintiff's claims are barred by the doctrine of res judicata, citing a separate case filed by Plaintiff in this district against one of Defendant's partners and his wife that the court dismissed with prejudice on April 9, 2013. Id. at 1 (citing Medcalf v. Walsh, 938 F.Supp.2d 478 (S.D.N.Y.2013)) (hereinafter Medcalf I). For the reasons set forth below, Defendants' motion is DENIED.
Plaintiff was employed as a legal secretary by Defendant from May 2005 until
Plaintiff gave birth to her daughter on May 30, 2011. Id. at ¶ 9. As a result of Defendant's maternity and medical leave policies, Plaintiff contends that she was "forced" to work full-time up until two weeks before she gave birth. Id. at ¶ 13. The Complaint indicates that Plaintiff's eight-week leave period, which commenced May 18, 2011, consisted of various types of leave and vacation days. Id. Plaintiff returned to work on July 19, 2011. Id. at ¶ 16. The Complaint explains that, since Plaintiff was breast-feeding her child and working full-time, she had to express breast milk at least once per day while at work. Id. at ¶ 26. It further alleges that she was only allowed to do so during her lunch break and only in a closet that stored excess alcoholic beverages, holiday decorations, and office supplies. Id. at ¶¶ 27-28. According to Plaintiff, other individuals had access to the materials stored in the closet and therefore the space was not entirely private. Id. at ¶ 27. She also maintains that the closet was "dusty and dirty" and that she saw insects and other unspecified vermin in and around the closet. Id.
Plaintiff claims that she began experiencing symptoms associated with "post-partum related mental health issues" on or about June 24, 2011, before returning to work. Id. at ¶ 14. She visited the hospital emergency room at least twice—once on July 14, 2011 and again on August 5, 2011. Id. at ¶¶ 15, 18. During the second visit, which occurred after she had returned from maternity leave, she was diagnosed with postpartum-related mental health issues and prescribed medication. Id. Plaintiff claims that she then began seeing a psychiatrist, who advised her that her condition was "very severe" and "would likely need up to five months of `no duty' time to fully recover."
Shortly after her visit with the psychiatrist, Plaintiff informed Palmer, Walsh, and the other attorneys whom she supported via email of the doctor's diagnosis and the recommended five-month recovery period. Id. at 21. In the same email, she asked that the information be kept confidential. Id. Plaintiff returned from her postpartum leave on November 21, 2011. Id. at ¶ 24.
Upon her return, Plaintiff learned that she was no longer officially supporting Walsh. Id. at ¶ 29. Nonetheless, Plaintiff alleges that she was still required to answer his phone and do other secretarial work for him. Id. at ¶ 29. Specifically, Walsh asked Plaintiff to conduct searches of his email account on a regular basis during the time that she worked for Defendant. Id. at ¶ 36. In order to carry out that task, Walsh granted Plaintiff the same level of access to his email as he
The following day, Plaintiff made Palmer aware of what had occurred. Id. at ¶ 42. Plaintiff also directly replied to Walsh's wife again. Id. Upon learning about Plaintiff's second communication to Walsh's wife, Palmer instructed Plaintiff to go home, with pay, while Palmer investigated the matter. Id. Following several telephone and email exchanges between Plaintiff, Palmer and Tony Brown, Defendant's Human Resources Director, Plaintiff was discharged on February 28, 2012. Id. at ¶ 43. Plaintiff claims that she was initially denied unemployment compensation because Defendant alleged misconduct on her part. Id. at ¶ 44. However, an administrative law judge determined that no misconduct had occurred and ruled that Plaintiff was eligible for unemployment benefits; Defendant's appeal was denied. Id. at ¶ 45.
On June 29, 2012, Plaintiff filed a Complaint against Walsh and his wife, along with John Does Numbered 1-25, in the Southern District of New York asserting four claims, each sounding in intentional tort: conspiracy to commit tortious interference with business relations, tortious interference, intentional infliction of emotion distress, and defamation. Medcalf I, 938 F.Supp.2d at 481-82, 484; see also Medcalf I, Doc. 1.
The Honorable Judge Paul A. Engelmayer granted the defendants' motion to dismiss the Amended Complaint with prejudice as to both defendants. Medcalf I, 938 F.Supp.2d at 491. In its opinion, the court referred to Walsh and his wife as the "sole defendants," explaining that, although Plaintiff initially brought claims against twenty-five additional defendants, she announced her intent to abandon those claims at her initial conference and the Amended Complaint did not pursue them. Medcalf I, 938 F.Supp.2d at 485 n. 4.
More than six months later, on October 25, 2013, Plaintiff filed the present action. In the Amended Complaint, Plaintiff asserts seven claims against Defendant: (1)
When ruling on a motion to dismiss pursuant to Federal Rule of Civil Procedure 12(b)(6), the court must accept all factual allegations in the complaint as true and draw all reasonable inferences in the plaintiff's favor. Nielsen v. Rabin, 746 F.3d 58, 62 (2d Cir.2014). The court is not required to credit "mere conclusory statements" or "threadbare recitals of the elements of a cause of action." Ashcroft v. Iqbal, 556 U.S. 662, 678, 129 S.Ct. 1937, 173 L.Ed.2d 868 (2009) (citing Bell Atl. Corp. v. Twombly, 550 U.S. 544, 555, 127 S.Ct. 1955, 167 L.Ed.2d 929 (2007)); see also id. at 681, 129 S.Ct. 1937 (citing Twombly, 550 U.S. at 551, 127 S.Ct. 1955). "To survive a motion to dismiss, a complaint must contain sufficient factual matter. . . to `state a claim to relief that is plausible on its face.'" Id. at 678, 129 S.Ct. 1937 (quoting Twombly, 550 U.S. at 570, 127 S.Ct. 1955). A claim is facially plausible "when the plaintiff pleads factual content that allows the court to draw the reasonable inference that the defendant is liable for the misconduct alleged." Id. (citing Twombly, 550 U.S. at 556, 127 S.Ct. 1955). More specifically, the plaintiff must allege sufficient facts to show "more than a sheer possibility that a defendant has acted unlawfully." Id. If the plaintiff has not "nudged [his] claims across the line from conceivable to plausible, [the] complaint must be dismissed." Twombly, 550 U.S. at 570, 127 S.Ct. 1955; Iqbal, 556 U.S. at 680, 129 S.Ct. 1937.
The question in a Rule 12 motion to dismiss "`is not whether a plaintiff will ultimately prevail but whether the claimant is entitled to offer evidence to support the claims.'" Sikhs for Justice v. Nath, 893 F.Supp.2d 598, 615 (S.D.N.Y.2012) (quoting Villager Pond, Inc. v. Town of Darien, 56 F.3d 375, 378 (2d Cir.1995)). "[T]he purpose of Federal Rule of Civil Procedure 12(b)(6) `is to test, in a streamlined fashion, the formal sufficiency of the plaintiff's statement of a claim for relief without resolving a contest regarding its substantive merits,'" and without regard for the weight of the evidence that might be offered in support of Plaintiff's claims. Halebian v. Berv, 644 F.3d 122, 130 (2d Cir. 2011) (quoting Global Network Commc'ns, Inc. v. City of New York, 458 F.3d 150, 155 (2d Cir.2006)).
"A court may consider a res judicata defense on a Rule 12(b)(6) motion to dismiss when the court's inquiry is limited to the plaintiff's complaint, documents attached or incorporated therein, and materials appropriate for judicial notice." TechnoMarine SA v. Giftports, Inc., 758 F.3d 493, 498 (2d Cir.2014) (citing Day v.
Defendant alleges that all of Plaintiff's claims are barred by res judicata. See Doc. 24. The doctrine of res judicata broadly encompasses the notion that "a right, question, or fact distinctly put in issue and directly determined by a court of competent jurisdiction, as a ground of recovery, cannot be disputed in a subsequent suit between the same parties or their privies[.]" Mitchell v. Nat'l Broad. Co., 553 F.2d 265, 268 (2d Cir.1977) (quoting S. Pac. R. Co. v. United States, 168 U.S. 1, 48, 18 S.Ct. 18, 42 L.Ed. 355 (1897)). However, "[l]ike a river with more than one branch, res judicata embraces two concepts: issue preclusion and claim preclusion." Murphy v. Gallagher, 761 F.2d 878, 879 (2d Cir.1985). Issue preclusion, often referred to as collateral estoppel, is succinctly defined as "the preclusive effect of a judgment that prevents a party from litigating a second time an issue of fact or law that has once been decided." Id. Alternatively, the term "res judicata" is often used more narrowly in reference to claim preclusion—the concept that "a judgment, once rendered by a court of competent jurisdiction, will be treated thereafter as the full measure of relief to be accorded between the same parties on the same . . . [claim or] cause of action." Id. (quoting Kaspar Wire Works, Inc. v. Leco Eng'g & Mach., Inc., 575 F.2d 530, 535 (5th Cir. 1978)) (internal quotation marks omitted). Although Defendant does not expressly state the specific basis for its motion, it is clear that it intended to assert the defense of claim preclusion based on the cases and principles cited in its briefing.
In order to assert an affirmative defense of claim preclusion, a party must show that an earlier decision was: (1) a final judgment on the merits made by a court of competent jurisdiction; (2) in a case involving the same parties or their privies; and (3) involving the same cause
"Dismissal with prejudice as a result of a successful motion to dismiss is usually considered a final adjudication on the merits." Witchard v. Montefiore Med. Ctr., No. 05 Civ. 5957(JSR), 2006 WL 2773870, at *6 (S.D.N.Y. Sept. 26, 2006) (citing Mitchell, 553 F.2d at 271) ("It is well settled that . . . a motion to dismiss for failure to state a claim upon which relief can be granted and without reservation of any issue, is presumed to be upon the merits, unless the contrary appears of record or is stated in the decree, and the judgment has the same effect of res judicata as though rendered after trial, in a subsequent suit on the same claim."). Plaintiff does not dispute that Judge Engelmayer's dismissal of Medcalf I pursuant to the defendants' Rule 12(b)(6) motion constituted a final adjudication on the merits or that the Southern District of New York qualified as "a court of competent jurisdiction." See Hecht, 691 F.3d at 221.
The Second Circuit has observed that the question of privity in the claim preclusion context "is a functional inquiry in which the formalities of legal relationships provide clues but not solutions." Chase Manhattan Bank, N.A. v. Celotex Corp., 56 F.3d 343, 346 (2d Cir. 1995). Nonetheless, the Second Circuit has provided some guidance, noting that "the principle of privity bars relitigation of the same cause of action against a new defendant known by a plaintiff at the time of the first suit where the new defendant has a sufficiently close relationship to the original defendant to justify preclusion." Cent. Hudson Gas & Elec. Corp. v. Empresa Naviera Santa S.A., 56 F.3d 359, 367-68 (2d Cir.1995) (citing Amalgamated Sugar Co. v. NL Indus., Inc., 825 F.2d 634, 640 (2d Cir.1987)). A court should inquire into "whether a party `control[led] or substantially participate[d] in the control of the presentation on behalf of a party' to the prior action." Id. at 368 (quoting Nat'l Fuel Gas Distribution Corp. v. TGX Corp., 950 F.2d 829, 839 (2d Cir.1991)).
The majority of courts have found that an agency relationship is sufficient to establish privity for the purposes of res judicata. John St. Leasehold, LLC v. Capital Mgmt. Res., L.P., 154 F.Supp.2d 527, 542 (S.D.N.Y.2001) aff'd, 283 F.3d 73 (2d Cir. 2002) (citing First, Fifth, and Eleventh circuit case law). "Finding privity in an agency relationship is consistent with the teaching of the Court of Appeals for the Second Circuit that privity is to be applied `flexibly' and is to be found where the new defendants have a `sufficiently close relationship' with the defendants in the first action." Id. (citing Cent. Hudson Gas, 56 F.3d at 367-68). Defendant argues that, because Walsh was a partner at the Defendant law firm, the two are in an agentprincipal relationship and "in `privity' for the purposes of res judicata." Doc. 24 at 13. Indeed, a general principle of partnership liability is that a partner is an agent for the partnership, and a partnership is liable for the wrongful acts of its partners committed in the ordinary course of the business of the partnership. See Uniform Partnership Act 1997 §§ 301, 305; see also Durkin v. Shea, 957 F.Supp. 1360, 1366 (S.D.N.Y.1997) ("[U]nder New York law, a partner is, in fact, an agent of his fellow partners, as well as of the partnership.").
However, the existence of an agency relationship between Walsh and Defendant does not establish privity for the purposes of res judicata without more. The Supreme Court has observed that actions
In Medcalf I, the email exchanges between Walsh and his wife formed the sole basis for each of Plaintiff's claims. As the court explained, "[t]he comments in question were contained in emails between two spouses, and on their face there is no reason to impute an intention to the Walshes that their commentary about Medcalf achieve broader circulation." 938 F.Supp.2d at 489. Because Walsh's communications with his wife were intended to be private, it is implausible that he authored them with the aim of serving Defendant's
Privity may also exist where one party can be held vicariously liable for the actions of another. The Second Circuit, albeit in dicta, has recognized the principle that "if two persons have a relationship such that one is vicariously responsible for the conduct of the other, a judgment against an injured person in favor of one person bars the injured person from reasserting his claim against the other." Falbaum v. Pomerantz, 19 Fed.Appx. 10, 14 (2d Cir.2001) (citing Restatement (Second) of Judgments § 51).
Defendants argue that the Amended Complaint itself is premised on a theory of vicarious liability with respect to Walsh's actions. Doc. 29 at 3-4. However, Defendant could not have been held vicariously liable for the claims alleged in the prior action, at least to the extent that they may be characterized as intentional torts.
Even if there existed privity between Thompson Hine and the Medcalf I defendants, the instant motion may also be denied insofar as Plaintiff has stated different claims that she either could not have brought against the defendants in the previous litigation or was otherwise not required to bring. "Whether a claim that was not raised in the previous action could have been raised therein `depends in part on whether the same transaction or connected series of transactions is at issue, whether the same evidence is needed to support both claims, and whether the facts essential to the second were present in the first.'" TechnoMarine, 758 F.3d at 499 (quoting Woods v. Dunlop Tire Corp., 972 F.2d 36, 38 (2d Cir.1992)). The question of whether two actions arise from the same transaction or claim is addressed by determining if the "underlying facts are related in time, space, origin, or motivation," the extent to which "they form a convenient trial unit," and whether such treatment "conforms to the parties' expectations or business understanding or usage." Id. (quoting Pike v. Freeman, 266 F.3d 78, 91 (2d Cir.2001)). The claim or cause of action is comprised of the "identity of facts surrounding the occurrence," and not the legal theory used to frame a complaint. Woods, 972 F.2d at 39.
First, Defendant wrongly assumes that simply because Plaintiff restates many of the facts alleged in the prior litigation, the causes of action alleged here necessarily arise from the same transaction or claim. Defendant maintains that all of Plaintiff's claims arise from the "same nucleus of operative facts," consisting
While there is undoubtedly some factual overlap between Plaintiff's first and second actions, the instant case plainly alleges institutional misconduct separate and apart from the purely private actions undertaken by the Walshes. Plaintiff's employment discrimination allegations concern Defendant's personnel policies and alleged discriminatory actions based on Plaintiff's status as a(1) woman (2) who was pregnant and (3) suffered from a disability. For example, Plaintiff alleges that she was prevented from keeping some of her regular prenatal appointments due to Defendant's "overly restrictive policy . . . for medical appointments," which Plaintiff claims most other female employees in her position viewed as disparately impacting pregnant women. Am. Compl. at ¶ 11. The Amended Complaint additionally references Defendant's "restrictive policies regarding medical leave" that "forced" her to work full-time up until two weeks before she gave birth. Id. at ¶ 13. Plaintiff recounts how she was allegedly denied reasonable accommodation by being restricted to using her breast pump machine during
Thus, the instant Complaint does not merely assert new legal theories;
Practical considerations also weigh against preclusion. It is settled law that there is no individual liability under Title VII or the ADA, even for those with supervisory responsibility. Spiegel v. Schulmann, 604 F.3d 72, 79 (2d Cir.2010) (no individual liability under Title VII or the ADA). Since the only named defendants in Medcalf I were Walsh and his wife, Plaintiff could not have brought either her Title VII or ADA claims in the previous litigation against the defendants in that case. Although the FMLA allows for individual liability in some instances, it is uncertain whether Plaintiff would have been able to sustain an FMLA claim against Walsh himself.
When faced with a similar set of facts, the First Circuit declined to preclude a plaintiff's claims brought under the Employee Retirement Income Security Act (ERISA) where they could not have been brought against the original defendant in the prior case. Negron-Fuentes v. UPS Supply Chain Solutions, 532 F.3d 1, 10 (1st Cir.2008). Specifically, it cited the fact that the plaintiff did not pursue his ERISA claims in his original action and could not have viably done so because the only defendant in that action could not be held liable in an ERISA benefits action. Id. While the concept of privity has allowed courts to preclude claims where different defendants are involved, the First Circuit described these cases as usually involving claims that "were or could have been brought against the original defendant in the original suit." Id. (listing
None of the cases Defendant cites are at odds with the reasoning in Negron-Fuentes. In Harris, the plaintiff filed a complaint against the same defendant that she had previously sued in New York State Supreme Court, containing virtually identical allegations. 2009 WL 612498, at *1. The only "material differences" were the jurisdictional allegations and the theory of recovery asserted. 2009 WL 612498, at *4. In Amadasu the second action was not only brought against the plaintiff's employer—which was also a named defendant in the prior litigation—it also stated claims against a different former employer, fellow employees, the lawyers and law firms that represented her employer in the original action, and a former patient. 2005 WL 121746, at *1. The court dismissed the plaintiff's state law claims as barred by either issue or claim preclusion as to all defendants, including those who were not parties in the previous litigation. Id. at *5-7. Unlike Negron-Fuentes, and the case at hand, neither of these decisions involved a plaintiff asserting claims that could not have been brought against the former defendant.
Since Walsh and his wife could not be held individually liable for these second set of claims, Defendant is essentially arguing that Plaintiff was somehow required to join Thompson Hine as a defendant in her original action. In its papers, Defendant boldly proclaims that Plaintiff "was obligated to name Defendant in that prior case and assert her present claims at that time" without proffering any authority to support its pronouncement. See Doc. 24 at 9; see also id. at 15-16 ("Plaintiff could have easily joined Defendant in her lawsuit in Medcalf I and asserted all of her present claims against it."). Defendant's argument is fundamentally at odds with the concept of joinder under the Federal Rules of Civil Procedure, which compels the joinder of parties only when the "court cannot accord complete relief among existing parties" or where a party's absence may impair its ability to protect its interests or subject it to multiple claims.
For the reasons set forth above, Defendant's motion to dismiss is DENIED. The Clerk of the Court is respectfully directed to terminate the motion, Doc. 23. Defendant is directed to answer the Amended Complaint by February 25, 2015.
It is SO ORDERED.
Restatement (Second) of Judgments § 51.
In any event, defamation is sometimes broadly treated as an intentional tort. See Apionishev v. Columbia Univ. in City of New York, No. 09 Civ. 6471(SAS), 2012 WL 208998, at *2, *8 (S.D.N.Y. Jan. 23, 2012) (characterizing a plaintiff's defamation claims against a former employer as intentional torts); Lindner v. Int'l Bus. Machines Corp., No. 06 Civ. 4751(RJS), 2008 WL 2461934, at *11 (S.D.N.Y. June 18, 2008) (applying one-year statute of limitations for intentional torts to defamation claim). Intentional infliction of emotional distress requires either intent to cause, or disregard of a substantial probability of causing, severe emotional distress. Medcalf I, 938 F.Supp.2d at 488. The required mental state for tortious interference with business relations where a plaintiff does not allege a crime or independent unlawful action is intent. Id. at 490. The Medcalf I court concluded that Plaintiff did not adequately allege a wrongful state of mind under any of these standards. Id. at 489, 490.