Diamond v. W.R. Berkley Corporation ( 2023 )

Appellate Case: 21-1331 Document: 010110811844 Date Filed: 02/13/2023 Page: 1
FILED
United States Court of Appeals
UNITED STATES COURT OF APPEALS Tenth Circuit
FOR THE TENTH CIRCUIT February 13, 2023
_________________________________
Christopher M. Wolpert
Clerk of Court
DALE DIAMOND,
Plaintiff - Appellant,
v. No. 21-1331
(D.C. No. 1:20-CV-02097-RMR-SKC)
W.R. BERKLEY CORPORATION, a (D. Colo.)
Delaware corporation; BERKLEY
INSURANCE COMPANY,
Defendants - Appellees.
_________________________________
ORDER AND JUDGMENT*
_________________________________
Before PHILLIPS, MORITZ, and EID, Circuit Judges.
_________________________________
Dale Diamond appeals the district court’s order granting summary judgment to
his former employer on his claims of age discrimination and retaliation. For the
reasons explained below, we affirm.
Background
Diamond was a vice president of underwriting and a product-line leader for
professional liability insurance at Verus Underwriting Managers, an operating unit of
defendants Berkley Insurance Company and W.R. Berkley Corporation.1 Diamond
*
This order and judgment is not binding precedent, except under the doctrines
of law of the case, res judicata, and collateral estoppel. But it may be cited for its
persuasive value. See Fed. R. App. P. 32.1(a); 10th Cir. R. 32.1(A).
1
For simplicity, we refer to Diamond’s former employer as “Berkley.”
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had decades of experience in the insurance industry, and he began working for
Berkley in August 2011.
In June 2019, Marlo Edwards became Diamond’s new immediate supervisor.
In October 2019, Edwards provided Diamond with a list of tasks to complete and
quickly became dissatisfied with his lack of progress. Diamond, for his part,
described the task list as “impossible” to complete. App. vol. 1, 139.
Late on November 12, 2019, Diamond emailed Donna Highfill, the vice
president of human resources, and asked to speak with her. Highfill replied the next
day, and the two spoke by phone. During that November 13 call, according to
Highfill’s deposition testimony, Diamond expressed his belief that Edwards was
attempting to replace him with someone “younger and less expensive.” Id. at 247.
Diamond specifically named Jeff Austin as his potential replacement; he also
complained that although he believed he was doing good work, Edwards was not
satisfied. According to Highfill’s notes from this call, Diamond further suggested that
if he was going to be separated from the company, he did not want to “end on a bad
note.” App. vol. 2, 197. With Diamond’s permission, Highfill discussed this
conversation with Edwards, and Edwards denied having plans to terminate
Diamond’s employment. Highfill relayed to Diamond that Edwards “had every
intention of helping [Diamond] succeed in his role.”2 Id.
2
Highfill also testified that despite Diamond’s brief invocation of age-related
motivation during the November 13 conversation, she viewed the conversation
overall as being more about Diamond “feel[ing] insecure in his job” and feeling that
“he was being pushed out.” App. vol. 1, 238, 247. Edwards likewise testified that her
2
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On November 25, Edwards asked Diamond (who was based in Denver,
Colorado) to travel to her office in Richmond, Virginia for an in-person meeting with
her and Highfill to discuss his role and performance. The same day, Diamond
received two emails criticizing his performance—one from Edwards about his
handling of a broker referral and another from a senior vice president of marketing
about his recommendation of a wholesale broker for an appointment.
Later that day, Diamond made a second complaint, stating that he believed he
was being retaliated against for making his first complaint. Specifically, Diamond
emailed Edwards, copying Highfill, and expressed “surprise [at] the constant written
criticism that [he was] receiving.” Id. at 199. He wrote that he interpreted this
criticism as “a pretext for making a record for [his] termination due to [his] age and
high salary” and that he would “consider any adverse action taken against [him] to be
in retaliation for” his age-discrimination complaint. Id. In the same email, Diamond
declined Edwards’s proposed meeting dates of December 3, 4, 5, or 6, stating that he
had oral surgery scheduled for December 3. But according to Diamond’s deposition
testimony, he was actually in Miami until December 5; and according to the
scheduling records of his oral surgeon, Diamond’s only appointment that month was
“understanding was that [Diamond] wanted to talk with [Highfill] about . . . increased
frustration with working with [Edwards]” because they “weren’t necessarily seeing
eye to eye or communicating well.” App. vol. 2, 108. Because it is not material to our
decision, we accept Diamond’s characterization of his November 13 conversation
with Highfill as his first complaint of age discrimination.
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a consultation scheduled for December 12. In any event, Diamond proposed an
alternative date of December 10.
Edwards forwarded Diamond’s November 25 email to Highfill and to Rob
Stone, an executive vice president, stating that she planned to call Carol LaPunzina, a
senior vice president in human resources, to “advise her [about] what’s going on.”
App. vol. 3, 5. Highfill likewise testified that she “elevated” Diamond’s complaints
to LaPunzina after receiving his November 25 complaint. App. vol. 2, 147.
Diamond made a third complaint on December 2, in an attachment to an email
to Edwards that copied Highfill. This time, Diamond stated his belief that the task list
was “a pretext for removing [him] from [his] position due to [his] age and in
retaliation for [his] complaining about the age discrimination to . . . Highfill.” App.
vol. 1, 261. In this email, he also repeated his alleged unavailability to meet from
December 3–6 due to a scheduled oral surgery, stated he was also unavailable the
week of December 15, and offered the week of January 6.
On December 4, LaPunzina discussed Diamond’s complaints with Edwards
and Highfill and then later with Stone. Highfill testified that during her meeting with
LaPunzina, Diamond’s complaints were elevated to LaPunzina, who said that she
would take over. But LaPunzina testified that any further investigation was
interrupted by a separate issue related to Diamond’s performance in issuing a policy
to a solo practitioner’s law firm.
By way of background about this separate issue, in October 2019, an
independent insurance broker, Stephen Sylvester, contacted Diamond to request a
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policy for the law firm. Diamond initially declined, citing the frequency of claims
filed by the firm, the nature of the firm’s work, and the firm’s location. Sylvester
asked Diamond to reconsider, explaining that the firm worked with difficult clients
and was overly cautious in submitting more claims than necessary; he added that the
firm’s “clientele may not necessarily have all their marbles all the time[,] so they
tend to say crazy things . . . which [are] interpreted as potential for a claim when
[they are] really probably not.” App. vol. 4, 23. Sylvester’s explanation apparently
changed Diamond’s mind, and on October 15, he offered quotes for two different
types of policies: a traditional policy that would be effective when issued or a more
expensive policy with retroactive coverage. Nearly a month later, Sylvester replied in
a somewhat ambiguous manner but apparently meant to accept the retroactive
coverage. Even though Diamond’s colleague pointed out this ambiguity, Diamond
simply issued a traditional policy without retroactive coverage, effective November
21.
On December 3, the law firm filed a claim with Berkley based on a lawsuit
filed against the firm on November 22, one day after the policy’s effective date; the
lawsuit alleged failure to comply with fiduciary duties in August and September
2019. On December 4, Berkley told the insured it would be denying the claim
because the alleged breach predated the traditional policy’s effective date.
Less than an hour later on December 4 (the same day that LaPunzina met with
Edwards and Highfill about Diamond’s discrimination and retaliation complaints),
Sylvester contacted Diamond about this denial, stating that (1) the “policy was
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supposed to include the retro[active] coverage” that the law firm had paid for and
(2) this claim should have fallen within the retroactive coverage. Id. at 18. Sylvester
asked Diamond to correct the error and issue the requested retroactive coverage.
Diamond responded less than 20 minutes later, noted that this “was [his] mistake,”
and concluded that he needed to amend the policy. Id. at 22. He made the change
within the same hour, issuing an endorsement that provided retroactive coverage back
to October 5, 2016. Diamond took this action independently, without contacting
Edwards or anyone in the claims department, knowing that the law firm had a claim
pending. And he did so despite knowing Berkley’s underwriting guidelines provide
that “[c]overage should never be put in place retroactively without a no-loss
statement or other evidence of past loss history.” Id. at 37.
Berkley’s claims department learned of the retroactive amendment the next
day, when the insured resubmitted its claim and attached the endorsement.3 The
claims department then notified Edwards.
On December 6, Edwards and a Berkley claims executive met with Diamond
to discuss his decisions related to the law-firm policy. In an email following up on
this meeting, Diamond “apologize[d] for the error of being a bit too accommodating
with this broker who was looking for help with a difficult risk” and stated that “the
best course of action would have been to stick with the decline” or “at most offer[]”
traditional coverage. Id. at 43. He also conceded that he had initially issued the
3
Berkley eventually denied the law firm’s claim on other grounds later that
month.
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wrong policy; he attributed that error in part to a “missing comma” in Sylvester’s
instructions and said that he had been “trying to do too many things at once and
going too fast.” Id.
On December 9, Edwards forwarded Diamond’s December 6 email to Stone,
Highfill, and LaPunzina. Edwards detailed the problems with the law-firm policy and
expressed serious concerns about Diamond’s judgment, concluding that she had
“never seen something like this take place,” that she “certainly wouldn’t expect this
from” someone in Diamond’s position, and that it “raise[d] more questions and
concerns.” Id. at 41. Edwards decided to terminate Diamond’s employment, with the
support of Stone, LaPunzina, and Highfill.
Berkley formally terminated Diamond’s employment on January 3, 2020,
citing the incident with the law firm’s insurance policy. Diamond was 60 years old.
Berkley later promoted Austin, who was 52 years old at the time, to fill Diamond’s
position.
Diamond then filed this action, bringing claims of age discrimination and
retaliation under the Age Discrimination in Employment Act (ADEA), 29 U.S.C.
§§ 621–634. The district court granted Berkley’s motion for summary judgment on
both claims. Diamond appeals.
Analysis
“We review the district court’s order granting summary judgment de novo,
applying the same standard as the district court.” Fassbender v. Correct Care Sols.,
LLC, 890 F.3d 875, 882 (10th Cir. 2018). Summary judgment is proper so long as
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“there is no genuine dispute as to any material fact and the movant is entitled to
judgment as a matter of law.” Fed. R. Civ. P. 56(a). A genuine issue of material fact
exists “if a rational jury could find in favor of the nonmoving party on the evidence
presented.” Fassbender, 890 F.3d at 882 (quoting EEOC v. Horizon/CMS Healthcare
Corp., 220 F.3d 1184, 1190 (10th Cir. 2000)).
We view the evidence presented at summary judgment in the light most
favorable to the nonmoving party; we also draw reasonable inferences in favor of the
nonmoving party. Id. But for a nonmoving party to defeat summary judgment, it must
produce competing evidence that is “based on more than mere speculation,
conjecture, or surmise.” Pioneer Ctrs. Holding Co. Emp. Stock Ownership Plan & Tr.
v. Alerus Fin., N.A., 858 F.3d 1324, 1334 (10th Cir. 2017) (quoting Bones v.
Honeywell Int’l, Inc., 366 F.3d 869, 875 (10th Cir. 2004)).
I. Age Discrimination
Diamond first argues that his age-discrimination claim survives summary
judgment. The ADEA prohibits age discrimination in employment, making it
“unlawful for an employer . . . to discharge any individual or otherwise discriminate
against any individual with respect to his [or her] compensation, terms, conditions, or
privileges of employment, because of such individual’s age.” 29 U.S.C. § 623(a)(1).
“A plaintiff can show intentional discrimination either by direct evidence of
discrimination or by indirect evidence.” DePaula v. Easter Seals El Mirador, 859
F.3d 957, 969 (10th Cir. 2017). The parties here agree that this case involves only
indirect evidence, placing it within the “the three-part burden-shifting framework
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articulated in McDonnell Douglas [Corp. v. Green, 411 U.S. 792 (1973)].” DePaula,
859 F.3d at 969.
At the first step of this framework, the plaintiff must establish a prima facie
case of wrongful termination. Id. At the second step, the employer “must articulate a
legitimate, nondiscriminatory reason for the adverse employment action.” Id. If the
employer does so, then the plaintiff at the third step must demonstrate by a
preponderance of the evidence “‘that the employer’s justification is pretextual,’”
meaning that the justification is “not the true reason for the employment decision.”
Id. (quoting Smothers v. Solvay Chems., Inc., 740 F.3d 530, 540 (10th Cir. 2014)).
Applying this framework, the district court assumed that Diamond had
established a prima facie case. It then concluded that Berkley had advanced a
legitimate, nondiscriminatory reason for terminating Diamond’s employment: his
mishandling of the law-firm policy. In particular, the district court noted that it was
undisputed that Diamond apologized for changing his mind and issuing the policy in
the first place, admitted his mistake in issuing the policy without the requested
retroactive coverage, and failed to comply with Berkley’s guidelines on retroactive
coverage when he issued the policy amendment to correct the issuing mistake. And at
the third step, the district court determined that Diamond failed to present any
admissible evidence that Berkley’s proffered justification of Diamond’s mishandling
of the law-firm policy was mere pretext for age discrimination.
On appeal, Diamond challenges only the district court’s pretext analysis.
Indeed, Berkley “has conceded for purposes of summary judgment” that Diamond
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has met his prima facie burden at the first step.4 Aplee. Br. 19. And Berkley has met
its “exceedingly light” burden of proffering a facially legitimate and
nondiscriminatory reason for terminating Diamond’s employment—his handling of
the law-firm policy. DePaula, 859 F.3d at 970 (quoting Williams v. FedEx Corp.
Servs., 849 F.3d 889, 899–900 (10th Cir. 2017)). We therefore focus our analysis on
pretext.
“A plaintiff may show pretext by demonstrating the ‘proffered reason is
factually false,’ or that ‘discrimination was a primary factor in the employer’s
decision.’” Id. (quoting Tabor v. Hilti, Inc., 703 F.3d 1206, 1218 (10th Cir. 2013)). A
plaintiff can accomplish this “by revealing weaknesses, implausibilities,
inconsistencies, incoherences, or contradictions in the employer’s proffered reason,
such that a reasonable fact finder could deem the employer’s reason unworthy of
credence.” Id. (quoting Tabor, 703 F.3d at 1218). When “‘determining whether the
proffered reason for a decision was pretextual, we examine the facts as they appear to
the person making the decision,’ and [we] ‘do not look to the plaintiff’s subjective
evaluation of the situation.’” Id. at 971 (quoting EEOC v. C.R. England, Inc., 644
F.3d 1028, 1044 (10th Cir. 2011)). In other words, “[w]hen reviewing for pretext,
4
For this reason, we do not address the parties’ various arguments about the
precise ages of Diamond, his replacement, and the various decision-makers—such
considerations are more typically treated as part of a plaintiff’s prima facie case,
which we assume exists here. See, e.g., Frappied v. Affinity Gaming Black Hawk,
LLC, 966 F.3d 1038, 1058 (10th Cir. 2020) (finding age difference between new
hires and plaintiffs sufficiently substantial to show replacement by younger
employees as part of plaintiffs’ prima facie case of age discrimination).
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‘[w]e are mindful we must not sit as a superpersonnel department that second-guesses
the company’s business decisions, with the benefit of twenty-twenty hindsight.’”
Frappied, 966 F.3d at 1059 (quoting Tyler v. RE/MAX Mountain States, Inc., 232
F.3d 808, 813–14 (10th Cir. 2000)).
Diamond first argues that he can show pretext because Berkley’s proffered
reason for terminating his employment is false: He insists that he did not mishandle
the law-firm policy. Yet in his opening brief, he admits that he initially issued the
wrong policy to the law firm. And this is consistent with the record evidence, which
includes emails from Diamond acknowledging that issuing the wrong policy “was
[his] mistake,” App. vol. 4, 22, and that he had “misinterpret[ed]” Sylvester’s
instructions on which policy to issue, id. at 43. Diamond now attempts to minimize
the importance of this error, contending that it “was the one and only minor mistake
or ‘human error’” he made. Aplt. Br. 24. But Diamond’s subjective position on the
relative importance of the mistake does not establish a genuine issue of material fact
as to whether he mishandled the law-firm policy. See DePaula, 859 F.3d at 971(explaining that we look at facts from perspective of decision-maker, not plaintiff’s
subjective view).
Moreover, Diamond fails to point to any record evidence to support his related
position that Berkley’s reason for terminating his employment was false because
issuing retroactive coverage in the absence of a no-loss letter did not violate Berkley
guidelines. At best, Diamond points to deposition testimony in which one of
Berkley’s human-resources employees was unable to identify a specific Berkley
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guideline that Diamond violated in his handling of the law-firm policy. But a single
employee’s inability to identify the specific guideline at issue does not change the
fact that such a guideline unequivocally exists. Berkley submitted proof of that
guideline in its motion for summary judgment. And Diamond admitted knowing
about and understanding this guideline. Yet he offers no evidence that he obtained
the required no-loss statement before issuing retroactive coverage.5
Nor is it relevant that Diamond apparently felt compelled to issue the
retroactive coverage to correct his initial and admitted mistake of issuing the wrong
policy. On this point, Diamond relies on a single case from the Wisconsin Supreme
Court to argue that this correction was legally required. See Trinity Evangelical
Lutheran Church & Sch.-Freistadt v. Tower Ins. Co., 661 N.W.2d 789 (Wis. 2003)
(holding that insured was entitled to summary judgment on its bad-faith claim against
insurer where insurer initially issued wrong type of policy and later denied coverage
despite knowing of its initial mistake and that coverage would exist had correct
policy been issued). Aside from its lack of precedential authority, Trinity Evangelical
5
At oral argument, Diamond argued for the first time that Berkley’s standard
insurance application form includes the required no-loss statement; thus, Diamond
asserted, he did comply with Berkley’s guideline. But Diamond could not point to
anything in the record to support this argument. In response, Berkley highlighted the
lack of record support and contended that a no-loss statement required for retroactive
coverage would be more extensive than the boilerplate language included in the
standard application form. We need not wade into this issue: Given that Diamond
raised this argument for the first time at oral argument, we decline to consider it. See
Murphy v. City of Tulsa, 950 F.3d 641, 645 n.4 (10th Cir. 2019) (declining to
consider new argument because “arguments made for the first time at oral argument
are waived” (quoting Ross v. Univ. of Tulsa, 859 F.3d 1280, 1294 (10th Cir. 2017))).
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is unpersuasive for a more basic reason—it involved an insured’s bad-faith claim, not
an employment termination based on an employee’s issuance of a policy in violation
of an employer’s internal guideline.
Relatedly, Diamond suggests he didn’t violate Berkeley’s internal guidelines
because he issued the retroactive coverage simply to correct his initial error. In
support, he highlights portions of Sylvester’s testimony in which Sylvester agreed
that “promptly correct[ing] the error” was “the right thing to do” and that Diamond
“did a fine job underwriting the account.” App. vol. 1, 219, 221, 226. But Sylvester’s
belief that fixing the error was the correct course of action sheds no light on whether
Diamond violated Berkley’s guidelines in fixing the error by issuing retroactive
coverage without a no-loss statement. Indeed, Sylvester himself refused to speculate
on whether Diamond violated Berkley guidelines, stating that he “ha[d] no idea if
[Diamond] did something more wrong,” other than initially issuing the wrong policy.
Id. at 226. Sylvester also declined to “speak to” Berkley’s decision to terminate
Diamond’s employment based on his handling of the law-firm policy, explaining that
he was “not privy to” relevant “internal Berkley guidelines and directives.” Id. at
227. Sylvester’s testimony therefore fails to create a genuine dispute of material fact
as to whether Berkley’s legitimate, nondiscriminatory reason for terminating
Diamond’s employment—that Diamond mishandled the law-firm policy, including
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issuing retroactive coverage in direct violation of Berkley guidelines—was factually
false.6
Diamond next attempts to show pretext by alleging various inconsistencies and
irregularities in Berkley’s actions. He first contends that Berkley’s failure to
investigate his age-discrimination and retaliation complaints was contrary to
Berkley’s own guidelines and therefore demonstrates a significant procedural
irregularity indicative of pretext. See Fassbender, 890 F.3d at 889 (noting that
“‘disturbing procedural irregularities’” can suggest pretext, provided that they are
“somehow related to the decision-maker’s discriminatory purpose” (quoting Garrett
v. Hewlett-Packard Co., 305 F.3d 1210, 1220 (10th Cir. 2002))). In support, he points
to a general Berkley guideline stating that “[e]very reported complaint will be
promptly investigated,” App. vol. 2, 172, and asserts that “Berkley never investigated
any of Diamond’s three ADEA complaints,” Aplt. Br. 41.
But given the timing of the unrelated intervening issue with the law-firm
policy, Diamond’s evidence fails to establish that Berkley violated this general
policy. Specifically, the record shows that Highfill both discussed Diamond’s
complaints with him and appropriately elevated his complaints. In particular,
Highfill’s notes reflect that she discussed Diamond’s first complaint with Edwards
and then relayed back to Diamond that Edwards did not intend to terminate his
6
Because we conclude that Sylvester’s testimony does not create a genuine
dispute of material fact, we do not reach Diamond’s arguments about whether the
district court erred by failing to credit Sylvester’s testimony or by making improper
credibility determinations at summary judgment.
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employment and wanted him to succeed. Additionally, Edwards passed Diamond’s
second complaint on to LaPunzina, and Highfill likewise testified that she “handed
the entire . . . matter over” to LaPunzina on December 4—the same day that Diamond
violated Berkley’s guideline on issuing retroactive coverage on the law-firm policy
(and only about three weeks after Diamond’s initial discrimination complaint, just
over one week after Diamond’s second complaint, and two days after Diamond’s
third complaint). App. vol. 2, 148. And that the law-firm matter effectively derailed
investigation of Diamond’s ADEA complaints is neither disturbingly irregular nor
indicative of pretext. See Riggs v. AirTran Airways, Inc., 497 F.3d 1108, 1119 (10th
Cir. 2007) (finding no disturbing procedural irregularity in employer’s decision to
discharge employee based on customer complaint without first interviewing
employee “to complete her side of the story”). Indeed, we see no connection between
this interrupted investigation and any discriminatory purpose—Highfill adequately
elevated Diamond’s concerns, but before the investigation could proceed, Diamond’s
own unrelated conduct intervened. Cf. Fassbender, 890 F.3d at 889–90 (finding
procedural irregularity could indicate pretext where decision-maker failed to attach
narrative to termination paperwork, which allowed her to change her reasons for
termination over time).
Next, Diamond argues that Berkley’s decision to terminate his employment
despite his prior good performance shows pretext, especially when compared to
Berkley’s decision to promote Austin. See Orr v. City of Albuquerque, 531 F.3d
1210, 1215 (10th Cir. 2008) (noting that “differential treatment of similarly situated
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employees” can show pretext (quoting Trujillo v. PacifiCorp, 524 F.3d 1149, 1158
(10th Cir. 2008))). But we agree with the district court that Diamond’s “prior
performance is irrelevant to the question of whether he mishandled the [l]aw[-f]irm
[p]olicy” and does not tend to show that Berkley used the law-firm matter as pretext
for termination. App. vol. 3, 60. Moreover, Diamond fails to show that he and Austin
were similarly situated. Diamond asserts that the law-firm policy eventually resulted
in a profit for Berkley, whereas another policy written by Austin resulted in Berkley
paying a large claim. But as Berkley points out, the comparison is inapt because
Berkley’s ultimate profit or loss is not the relevant point of comparison: The relevant
point is Diamond’s conduct as compared to Austin’s. And although Diamond
undisputedly violated Berkley’s guidelines in connection with the law-firm policy, he
does not allege that Austin violated any Berkley guidelines in writing the policy that
resulted in a large claim. Indeed, Diamond doesn’t challenge Edwards’s observation
(in deciding to terminate Diamond’s employment for his mishandling of the law-firm
policy) that she had “never seen something like this take place.” App. vol. 4, 41.
Thus, Diamond fails to show any disparate treatment that could support pretext.7
Diamond next argues that Edwards’s prior treatment of him shows pretext. See
Garrett, 305 F.3d at 1217 (noting that “prior treatment of plaintiff” can show pretext
7
On a related note, Diamond asserts that another Berkley employee—someone
who apparently worked under Diamond—also attempted to correct the law-firm
policy by issuing retroactive coverage but was not fired for such conduct. We decline
to consider this argument because, as Berkley points out, Diamond did not make it
below and does not argue for plain error on appeal. See Richison v. Ernest Grp., Inc.,
634 F.3d 1123, 1131 (10th Cir. 2011).
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(quoting Simms v. Oklahoma ex rel. Dep’t of Mental Health & Substance Abuse
Servs., 165 F.3d 1321, 1328 (10th Cir. 1999))). In support, Diamond points to
Edwards’s performance notes, highlighting that she began compiling those notes the
day after his first complaint. Similarly, he points to Edwards’s task list and argues
she was setting him up to fail.
As Diamond suggests, temporal proximity can be some evidence of pretext.
See DePaula, 859 F.3d at 976 (noting that temporal proximity, in combination with
other evidence of pretext, can support inference of pretext). But here, Edwards based
her decision to terminate Diamond’s employment on an intervening event—his
violation of the company’s internal policies—not on the issues included in her
performance notes or on Diamond’s failure to adequately complete the task list.
Diamond also argues that Berkley’s reasons for terminating his employment
have shifted over time and were based on subjective criteria. See Fassbender, 890
F.3d at 887 (noting inference of pretext can arise “when an employer is ‘inconsistent
in the reasons it provide[s] for the termination’” (quoting Whittington v. Nordam
Grp. Inc., 429 F.3d 986, 994 (10th Cir. 2005)); Garrett, 305 F.3d at 1217 (noting that
employer’s use of subjective criteria can show pretext). But we agree with the district
court that Berkley has consistently maintained that it terminated Diamond’s
employment based on the law-firm matter. Edwards told Diamond as much during his
termination call. She advanced the same rationale during her deposition in this
litigation. And Berkley continues to assert the same reason on appeal, contending that
it “decided to terminate Diamond’s employment for his handling of the [l]aw[-f]irm
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[m]atter in its totality.” Aplee. Br. 21. Nor was Berkley’s decision based on
subjective criteria; Diamond admitted he initially issued the wrong policy, and the
guideline Diamond undisputedly violated objectively requires a no-loss statement
before issuing retroactive coverage.
Overall, Diamond’s proffered pretext evidence, considered together, would not
allow a reasonable jury to deem Berkley’s reason for terminating his employment
“unworthy of credence.” Tabor, 703 F.3d at 1218 (quoting Garrett, 305 F.3d at
1217). Diamond has therefore failed to establish a genuine issue of material fact on
pretext, and the district court did not err in awarding summary judgment to Berkley
on Diamond’s age-discrimination claim.
II. Retaliation
Diamond next asserts that his retaliation claim survives summary judgment.
The ADEA makes it “unlawful for an employer to discriminate against any of [its]
employees . . . because such [employee] has opposed any practice made unlawful by
this section.” § 623(d). In the absence of direct evidence, as here, a retaliation
plaintiff may proceed under the three steps of the McDonnell Douglas framework:
prima facie case, legitimate nondiscriminatory reason, and pretext. See Hinds v.
Sprint/United Mgmt. Co., 523 F.3d 1187, 1201 (10th Cir. 2008).
To establish a prima facie case of retaliation, a plaintiff must “show that (1) he
or she engaged in protected opposition to discrimination, (2) a reasonable employee
would have considered the challenged employment action materially adverse, and
(3) a causal connection existed between the protected activity and the materially
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adverse action.” Id. at 1202. The district court assumed the first two elements and
rejected Diamond’s claim based on the third.
“To establish the requisite causal connection between . . . protected conduct
and termination, [a plaintiff] must show that [the employer] was motivated to
terminate his [or her] employment by a desire to retaliate for [the] protected activity.”
Id. at 1203. “[W]e may infer retaliatory motive from a close temporal proximity
between an employee’s protected conduct and an employer’s adverse employment
action.” Id. at 1204. But “evidence of temporal proximity has minimal probative
value in a retaliation case where intervening events between the employee’s protected
conduct and the challenged employment action provide a legitimate basis for the
employer’s action.” Twigg v. Hawker Beechcraft Corp., 659 F.3d 987, 1001–02 (10th
Cir. 2011). The district court accordingly concluded that Diamond could not show a
causal connection between his complaints of age discrimination and his employment
termination because his improper handling of the law-firm policy was an intervening
event that broke the temporal proximity between the two events.
On appeal, Diamond again asserts that the temporal proximity establishes the
requisite causal connection, emphasizing that Edwards decided to terminate his
employment only seven days after his third ADEA complaint and contending that the
law-firm matter is not a legitimate intervening event. But his only argument on this
front is that Berkley’s view of the law-firm matter—that Diamond made a series of
mistakes in connection with the law-firm policy, including issuing retroactive
coverage without a no-loss statement in violation of Berkley guidelines—is factually
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false. As we have explained, this argument fails. Diamond’s handling of the law-firm
policy is therefore a legitimate intervening event that weakens any inference of
retaliation based on temporal proximity. See id. at 1002 (finding no inference of
retaliatory motive where employee had unreported absences after her initial
discrimination complaint).
Diamond also argues that he can show a causal connection based on additional
evidence. See Garrett, 305 F.3d at 1221 (finding causal connection at prima facie
stage based in part on “documented evidence of a marked shift in the attitudes and
treatment of [employee] by . . . supervisors”). In support, he asserts that Edwards
“angrily” confronted him nine days after learning about his first complaint and made
him feel that going to human resources was a “mistake” and that he “was in trouble.”
Aplt. Br. 59. Diamond also points out that Edwards began compiling performance
notes after his first complaint and emphasizes that those performance notes
commingle issues of his performance and his complaints. But critically, all of these
events occurred before the intervening event—and Diamond’s handling of the law-
firm policy breaks any inference of a causal connection between Edwards’s reaction
to Diamond’s initial complaint and her later decision to terminate his employment.
We therefore agree with the district court that Diamond’s retaliation claim fails
because he cannot establish a prima facie case for lack of a causal connection.
Conclusion
Diamond fails to create a genuine issue of material fact as to whether
Berkley’s decision to terminate his employment based on his handling of the law-
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firm policy was mere pretext for age discrimination, so we affirm the district court’s
order granting summary judgment to Berkley on Diamond’s age-discrimination
claim. We also affirm the district court’s ruling on Diamond’s retaliation claim
because Diamond fails to create a genuine issue of material fact as to whether
Berkley’s termination decision was causally connected to Diamond’s complaints of
age discrimination.
As a final matter, we grant Diamond’s unopposed motion to seal.
Entered for the Court
Nancy L. Moritz
Circuit Judge
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