Stewart v. SBE Entertainment Group, LLC
Stewart v. SBE Entertainment Group, LLC
Opinion of the Court
Order Granting Motion for Summary Judgment, Entering Judgment for Defendants and against Plaintiffs, and Closing Case
[ECF No. 39]
Former cocktail servers Kelly Stewart and Danielle Harrington challenge their 2015 termination from Hyde Bellagio, alleging that Hyde’s zero-tolerance alcohol policy was enforced selectively against them. Defendants move for summary judgment, arguing that plaintiffs’ claims either lack evidentiary support or fail as a matter of law. I agree, so I grant defendants’ motion for summary judgment, enter judg
Background
Defendants SBE Restaurant Group, LLC and Spoonful Management LV, LLC operate Hyde Bellagio, a nightclub located inside the Bellagio Hotel and Casino in Las Vegas.
A.Hyde’s alcohol policy
When Hyde opened in 2011, its alcohol policy prohibited employees from drinking alcohol while on duty unless given permission from a manager and from being intoxicated or under the influence of drugs.
B. Hyde’s collective-bargaining agreement
Hyde operates under a collective-bargaining agreement (CBA) between Bella-gio and the Local Joint Executive Board of Las Vegas on behalf of the Culinary Workers Union Local 226 and Bartenders Union Local 165 (“Union”).
C. Plaintiffs are fired from Hyde.
1. Stewart was fíred after she drank alcohol during her shift and refused testing; the Union declined to pursue her grievance.
On January 20, 2015, management observed Stewart take a shot at one of the tables she was servicing and ordered her to the back office where she admitted that
Three days after that, the Union notified Hyde management that Stewart was grieving "her termination and requested a “meeting of a Board of Adjustment”
2. Harrington was fired after she appeared intoxicated at work and refused testing; the Union declined to pursue her grievance.
During her shift on May 1, 2015, Harrington was questioned by two managers about her alcohol consumption after three other servers noticed .that she appeared to be intoxicated.
The Union informed Hyde that Harrington was grieving her termination and requested a meeting of a Board of Adjustment.
D. The lawsuit
Plaintiffs filed suit on August 14, 2015, alleging, that they were discriminated against based on’ sex and subjected to a hostile work environment because they were treated less favorably than other female cocktail servers who were exempted from the drug-and-alcohol-policy and enjoyed special privileges because they engaged in consensual sexual relationships with managers and customers.
Plaintiffs assert claims for “unlawful employment practice,” sex discrimination, and retaliation (under Title VII) and Nevada state-law claims for unlawful termination and defamation (Stewart only). Defendants move for summary judgment, arguing that plaintiffs’ claims fail because they were terminated for legitimate, non-discriminatory and non-retaliatory reasons,, and that plaintiffs lack evidence to show that they were discriminated against based on sex or subjected to any conduct that could possibly constitute a hostile work environment, or that they engaged , in any protected activity on which to base their retaliation claim.
Discussion
A. Summary-judgment standards
Summary judgment is appropriate when the pleadings and admissible evidence “show there is no genuine issue as to any material fact and that the movant is entitled to judgment as a matter of law.”
If the moving party satisfies FRCP 56 by demonstrating the absence of any genuine issue of material fact, the burden shifts to the party resisting summary judgment to “set forth specific facts showing that there is a genuine issue as to the material facts”; it “must produce specific evidence, through affidavits or admissible discovery material, to show that” there is a sufficient évidentiary basis on which a reasonable fact finder could find in its favor.
B. Sex discrimination (claims one, two, and four)
1. Intentional discrimination or disparate treatment
Courts apply the McDonell Douglas burden-shifting framework to Title VII discrimination claims. Under' this framework, plaintiffs have the initial burden to establish a prima facie case of discrimination
The burden of production, but not persuasion, then shifts to the employer to articulate some legitimate, nondiscriminatory reason for the challenged action.
Plaintiffs fail to make a prima facie showing of sex discrimination. Plaintiffs are members of a protected class—women—but they do not contend that they were discriminated against because they are women or that they were treated less favorably than similarly situated individuals outside their pi’otected class. Plaintiffs contend only that they were treated less favorably than similarly situated female cocktail servers, and this does not suffice under traditional Title VII principles. Unfortunately for plaintiffs, servers who were not engaged in relationships with managers are not a protected class.
Even if plaintiffs could make a prima facie showing of sex discrimination, they fail to offer specific and' substantial evidence to rebut defendant’s explanation for their termination: they refused to submit to a breath-alcohol test as required by the employee handbook and the CBA—both of which call for immediate termination. Plaintiffs have abandoned their allegations in the complaint that their terminations were pretextual because management falsely accused them of consuming alcohol, and each admitted during her deposition that she did in fact drink alcohol on the clock in violation of the policy on the night in question.
2. Sexual harassment
Plaintiffs may also establish a discrimination claim under Title VII and Nevada state law based on sexual harassment.
Plaintiffs contend that they were subjected to sexual harassment because they were treated less favorably than servers who dated managers and customers.
a. . Quid pro quo theory
Plaintiffs fail to create a triable issue of quid pro quo harassment. They do not allege that they were subject to any sexual advances by management, and there is no evidence that defendants made any unwelcome sexual advances toward any of the servers or encouraged them to engage in sexual relationships with customers.
b. Hostile-work-environment theory
Plaintiffs argue that management’s favoritism toward servers who dated managers and clients resulted in a hostile and abusive work environment because these servers were allowed to ignore and be rude to other servers; not help other servers; dance with, kiss, and sit on customers’ laps; and drink at work; and they enjoyed better shifts and parking privileges and were not punished for rule violations.
Title VII is not a “general civility code.”
Additionally, there is no indication that plaintiffs themselves even considered their work environment to be abusive until after they were terminated. Hyde had a zero-tolerance policy for harassment, which both plaintiffs signed and acknowledged.
C. Retaliation (claim three)
To make out a prima facie case of retaliation, plaintiffs must show that they (1) “undertook a protected activity under Title VII,” (2) defendants subjected them to an adverse employment action, and (3) “a causal link between the two.”
Plaintiffs fail to make a prima fa-cie showing of retaliation because they lack evidence that they made a protected communication under Title VII, i.e., that they complained about employment practices that they reasonably believed were prohibited under Title VII.
It is true that retaliation plaintiffs may show the requisite causal link between a protected communication and the adverse employment' action through circumstantial evidence, but this does not relieve plaintiffs of their burden to show that they made a protected communication in the first place. Stewart’s complaint about another server violating the company’s drinking policy and Harrington’s complaint that another cocktail server yelled at her are not protected communications about employment practices prohibited by Title VII.
Because plaintiffs lack evidence to show that they engaged in activity protected
D. Defamation (claim five)
An action for defamation under Nevada law requires the plaintiff to prove four elements: “(1) a false and defamatory statement; (2) an unprivileged publication to a third person; (3) fault, amounting to at least negligence; and (4) actual or presumed damages.”
Conclusion
Accordingly, IT IS HEREBY ORDERED, ADJUDGED, and DECREED that defendants’ motion for summary judgment [ECF No. 39] is GRANTED. The Clerk of Court is directed to ENTER
JUDGMENT for defendants and against plaintiffs and CLOSE THIS CASE.
. I find this motion suitable for disposition without oral argument. L.R. 78-1.
. ECF No. 39-28 at 5.
. ECF No. 43-2 at 5.
. ECF No. 43-4 at 2.
. ECF No. 39-2 at 2.
. ECF No. 39-3 at 2-3.
. id.
. ECF No. 39-35 at 4.
. ECF No. 39-4 at 2-3.
. ECF No. 39-5,
. Id. at 4.
. Id.
. Id. at 6-8.
. ECF No. 39-10 at 2-3; ECF No. 39-29 at 18-19.
. ECF No. 39-10 at 2-3.
. ECF No. 39-11.
. ECF No. 39-14 (citing a violation of Article 6, Section 6.01(b) of the CBA).
. ECF No. 39-34.
. Id. at 4.
. ECF No. 39-15; ECF No. 39-4 at 4.
. See ECF No. 39-18.
. Id. at 2.
. Id.
. Human Resources made several attempts to set up a due-prócess meeting with Harrington before her termination, but Harrington ultimately requested that HR just mail her the _ final paperwork. ECF No, 39-25.
. ECF No. 39-24.
. ECF No. 39-26; ECF No. 39-35 at 4-5. Harrington filed an Unfair Labor Practices Charge against the Union over its handling of her grievance. ECF No. 39-27, The NLRB ultimately abandoned the charge, and the Union is not a party to this lawsuit, ECF No. 39-35 at 5,
. ECF No. 34 at 5.
. Id.
. ECF No. 24 at 10.
. See generally ECF No. 39.
. See Celotex Corp. v. Catrett, 477 U.S. 317, 330, 106 S.Ct. 2548, 91 L.Ed.2d 265 (1986) (citing Fed. R. Civ. P. 56(c)).
. Kaiser Cement Corp. v. Fischbach & Moore, Inc., 793 F.2d 1100, 1103 (9th Cir. 1986).
. Warren v. City of Carlsbad, 58 F.3d 439, 441 (9th Cir. 1995); see also Nw. Motorcycle Ass'n v. U.S. Dep't of Agric., 18 F.3d 1468, 1471 (9th Cir. 1994).
. Orr v. Bank of Am., 285 F.3d 764, 783 (9th Cir. 2002) (internal citations omitted); Bhan v. NME Hosps., Inc., 929 F.2d 1404, 1409 (9th Cir. 1991); Ariderson v. Liberty Lobby, Inc., 477 U.S. 242, 248-49, 106 S.Ct. 2505, 91 L.Ed.2d 202 (1986).
. Fed. R. Civ. P. 56(c).
. McDonnell Douglas Corp. v. Green, 411 U.S. 792, 802, 93 S.Ct. 1817, 36 L.Ed.2d 668 (1973).
. Id.; Reynaga v. Roseburg Forest Prod., 847 F.3d 678 (9th Cir. 2017) (explaining that Title VII discrimination plaintiffs need not show that similarly situated employees were treated more favorably and may alternatively show that a discriminatory reason motivated the employer).
. Aragon v. Republic Silver State Disposal, Inc., 292 F.3d 654, 659 (9th Cir. 2002) (emphasis in original).
. Texas Dep’t of Cmty. Affairs v. Burdine, 450 U.S. 248, 256, 101 S.Ct. 1089, 67 L.Ed.2d 207 (1981).
. Aragon, 292 F.3d at 659 (internal citations omitted) (emphasis in original).
. ECF No. 39-29 at 19; ECF No. 39-30 at 3.
. McDonnell Douglas, 411 U.S. at 805, 93 S.Ct. 1817. That people outside the plaintiffs’ protected class were treated better for offenses of comparable seriousness may help demonstrate pretext, but, again, other female cocktail servers are not people outside plaintiffs’ protected class.
.That Hyde transitioned from the original policy to the zero-tolerance policy more than two years before plaintiffs were fired does not show that Hyde's drinking policy was applied in a discriminatory manner or was in a state of flux. Both plaintiffs acknowledged receiving the zero-tolerance drinking policy and both clearly knew of its existence and enforcement. ECF No. 39-4 at 2-3.
Server Premak's testimony that, when she started in April 2013—approximately 21 months before Stewart was fired and 24 months before Harrington was fired—the servers were still allowed to drink champagne but that the zero-tolerance policy was later
. Switzer v. Rivera, 174 F.Supp.2d 1097, 1105 (D. Nev. 2001).
. Id. at 1103 (internal citations and quotations omitted).
. Id. at 1104.
. Though plaintiffs allege in their complaint that servers who dated customers received preferential treatment, the bulk of the evidence they cite relates to servers who they claim received preferential treatment based on their relationships with various Hyde managers. The only alleged special treatment that plaintiffs claim any server got for dating a customer was that she was allowed to drink with him or engage in physical contact with him when he patronized the club—behavior that would not ordinarily be allowed with customers who were not dating servers. See ECF No. 43 at 8.
. See Ackel v. Nat’l Commc’ns, Inc., 339 F.3d 376, 382 (5th Cir. 2003); Schobert v. Ill. Dep't of Transp., 304 F.3d 725, 733 (7th Cir. 2002); Womack v. Runyon, 147 F.3d 1298, 1300 (11th Cir. 1998) (per curiam) ("Title VII does not encompass a claim based on favoritism shown to a supervisor's paramour”); Taken v. Okla. Corp. Comm’n, 125 F.3d 1366, 1370 (10th Cir. 1997) ("Favoritism, unfair treatment and unwise business decisions do not violate Title VII unless based on a prohibited classification”); Becerra v. Dalton, 94 F.3d 145, 149-50 (4th Cir. 1996); DeCintio v. Westchester Cty. Med. Ctr., 807 F.2d 304 (2d Cir. 1986), cert denied, 484 U.S. 825, 108 S.Ct. 89, 98 L.Ed.2d 50 (1987); Candelore v. Clark Cty. Sanitation Dist., 752 F.Supp. 956, 960-61 (D. Nev. 1990).
. Candelore v. Clark County Sanitation Dist., 975 F.2d 588, 591 (9th Cir. 1992) (Kleinfeld, J., concurring) (citing DeCintio, 807 F.2d 304).
. Parker v. Otis Elevator Co., 9 Fed.Appx. 615, 617 (9th Cir. 2001).
. Ofc. of Legal Counsel, Policy Guidance on Employer Liability Under Title VII for Sexual Favoritism (Jan. 12, 1990) No. N-915-048 in 2 EEOC Compliance Manual foll.§ 615; Miller v. Department of Corr., 36 Cal.4th 446, 30 Cal.Rptr.3d 797, 115 P.3d 77 (2005) (discussing EEOC Policy Statement No. N-915-048, and differentiating isolated incidents of sexual favoritism from widespread sexual favoritism, which may support a claim for sexual harassment under quid pro quo or hostile-environment theories).
. It appears, at least from Harrington's deposition testimony, that servers were permitted to break the rules and drink with customers not because of a romantic relationship but based on the server's ability to exponentially increase that customer’s bill;
And when you’re in a good section, you sell champagne, you toast champagne with your guests, you drink champagne with your guests, and you keep everybody happy. I mean if a guest is spending $35,000, management doesn’t say anything to those girls. ECF No. 39-29 at 9-10.
. Employees could be fired only for "just cause,” ECF No. 39-5 at 6-8.
. Plaintiffs primarily claim that servers who dated management and clients were able to drink at work while they were not. Plaintiffs were not denied a tangible employment benefit by being denied the ability to violate Hyde's drug-and-alcohol policy. Candelore v. Clark Cty. Sanitation Dist., 975 F.2d at 590 (affirming grant of summary judgment for employer where employee did not identify employment opportunities or benefits that were extended to less qualified female coworkers who responded to sexual overtures from work supervisors); see also Olvera v. Sierra Nevada Coll, 2010 WL 185950 (D. Nev. 2010) (granting summary judgment on the plaintiff's Title VII claim where the plaintiff failed to identify employment benefits or opportunities that she was entitled to but did not receive because of the alleged improper relationship).
Plaintiffs also claim that a server who dated managers and clients was allowed to ignore their requests for help on the floor, “snap at” and be rude to them, not help with bottle service, and kiss, dance with, and sit on customers' laps. ECF No. 43 at 12. None of these things is a tangible employment benefit.
. Though plaintiffs conclusorily allege that they suffered unfavorable scheduling, which resulted in an unspecified loss of income, they offer no evidence to back up these assertions. This is probably because, as Harrington admitted at her deposition, scheduling after approximately February 2013 was determined based on seniority, and before that it was based on a lottery system. ECF No. 39-29 at 7-8.
.In their opposition, plaintiffs identify four servers whom they claim were given preferential treatment based on their relationships with Hyde Managers: Grace, Cindy, Andrea, and Megan, The evidence that plaintiffs cite to establish that these women were in relationships with Hyde managers—let alone that they received preferential treatment because of these relationships—is completely speculative.
As to Grace and Cindy’s alleged relationships, plaintiffs cite a third server’s testimony that she "heard” that Grace and Cindy were in relationships with managers Klaasen and Ar-ash, respectively, at some uncertain time but that she "didn’t know for sure.” ECF No. 43-6 at 4-6. This is wholly insufficient to create a genuine issue of fact for trial. As to Andrea, plaintiffs rely on former general manager James Plataniotis’s statement in his affidavit that, although he lacked knowledge of Andrea's personal affairs, he "believed” that she was in a romantic relationship with someone higher up the SBE foodchain. But Andrea expressly denied this allegation in her deposition. ECF No. 43-12 at 8. The record does show that Megan was in a relationship (and is now married to) manager Danilovic, and plaintiff Stewart testified that she saw Megan drinking on the job with her then-boyfriend or fiancé Danilovic, But this is precisely the type of isolated preferential treatment that is not' actionable under Title VII. See n.48, 51 supra.
. ECF No. 43 at 12-14.
. Faragher v. City of Boca Raton, 524 U.S. 775, 788, 118 S.Ct. 2275, 141 L.Ed.2d 662 (1998).
. Harris v. Forklift Sys., Inc., 510 U.S. 17, 21-22, 114 S.Ct. 367, 126 L.Ed.2d 295 (1993).
. ECF No. 39-6 at 2-3; ECF No. 39-17 at 2-4.
. Nev. Rev. Stat. § 613.330(1) is almost identical to Title VII, and courts apply the same analysis. See Apeceche v. White Pine Cty., 96 Nev. 723, 615 P.2d 975, 977-78 (1980).
. Vasquez v. Cty. of Los Angeles, 349 F.3d 634, 646 (9th Cir. 2003).
. Steiner v. Showboat Operating Co., 25 F.3d 1459, 1465 (9th Cir. 1994).
. Trent v. Valley Elec. Ass'n Inc., 41 F.3d 524, 525 (9th Cir. 1994) (an employee "must only show that she had a 'reasonable belief’ that the employment practice she protested was prohibited under Title VII”).
. ECF No. 43 at 14.
. There is nothing in the record to suggest that plaintiffs reasonably believed that they reported an employer practice that violated Title VII, especially because their complaints were about co-workers, not employment practices. Trent, 41 F.3d at 525.
. ECF No. 43-9.
. ECF No. 43-4 at 53.
. Clark Cty. School Dist. v. Virtual Educ. Software, Inc., 125 Nev. 374, 213 P.3d 496, 503 (2009).
. ECF No. 43-4 at 17.
. Stewart admitted at her deposition: "I don’t know the exact details of who told what, who told who, I just know I didn’t get hired at Hakkassan Group.” ECF No. 39-29 at 25.
Reference
- Full Case Name
- Kelly STEWART v. SBE ENTERTAINMENT GROUP, LLC, d/b/a/ Hyde LV LLC
- Cited By
- 12 cases
- Status
- Published