Bannon, Gloria v. Univ Chicago ( 2007 )


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  •                             In the
    United States Court of Appeals
    For the Seventh Circuit
    ____________
    No. 06-2955
    GLORIA BANNON and JACQUELINE BURTON,
    Plaintiffs-Appellants,
    v.
    THE UNIVERSITY OF CHICAGO,
    Defendant-Appellee.
    ____________
    Appeal from the United States District Court
    for the Northern District of Illinois, Eastern Division.
    No. 04 C 3081—William J. Hibbler, Judge.
    ____________
    ARGUED MAY 2, 2007—DECIDED OCTOBER 1, 2007
    ____________
    Before EVANS, WILLIAMS, and SYKES, Circuit Judges.
    WILLIAMS, Circuit Judge. Gloria Bannon and Dr.
    Jacqueline Burton both sued The University of Chicago,
    operator of the Argonne National Laboratory where both
    plaintiffs worked. Bannon, a woman of Mexican ancestry,
    claims her supervisor leveled racial epithets at her and
    repeatedly blocked her attempts to gain promotion from a
    secretarial position to a supervisory one because of her
    national origin. Further, Bannon says that after winning
    promotion in November 2002, she was “frozen out” of
    opportunities in retaliation for reporting funding irreg-
    ularities. Bannon began a medical leave in February 2003,
    and never returned to work. Instead, she initiated this
    2                                              No. 06-2955
    action, claiming she was: (1) denied promotion because
    of her national origin, (2) subjected to a hostile work
    environment, and (3) constructively discharged in viola-
    tion of Title VII of the Civil Rights Act. Burton, a white
    female, claims the university violated Title VII by deny-
    ing her a promotion to senior scientist because of her
    gender and that she was fired in retaliation for report-
    ing improper billing practices, and not for the reason
    provided by the school—a failure to report a conflict of
    interest.
    The district court dismissed Bannon’s retaliatory
    constructive discharge claim on the pleadings and granted
    summary judgment to the defendant on all other claims.
    We affirm as to Bannon because: (1) she has no timely
    failure-to-promote claim; (2) she did not establish that
    she found her workplace subjectively hostile; (3) her IIED
    claim is partially preempted and she was not the victim
    of extreme and outrageous conduct; and (4) Illinois does
    not recognize a cause of action for retaliatory constructive
    discharge. With respect to Burton, we affirm because
    she never applied for the promotion and cannot show
    that the reason given for her termination was pretextual.
    I. BACKGROUND
    Because this case is at the summary judgment stage, we
    summarize the facts as related by Bannon and Burton. See
    Perez v. Illinois, 
    488 F.3d 773
    , 776 (7th Cir. 2007).
    Bannon’s claims focus on her relationship with her super-
    visor at Argonne, Christopher Reilly. She began working
    as Reilly’s executive secretary in 1989. Initially the job
    went smoothly, and Bannon received frequent raises. In
    the 1990s, however, Reilly started using racial slurs,
    calling her “wetback” and “brown cow,” for instance. A few
    years later he heard other employees refer to Bannon as a
    No. 06-2955                                              3
    “Mexican terrorist in a miniskirt” and began to call her
    that too. Bannon told him to “knock it off ” when he made
    some of these remarks. In 2001, when Bannon told Reilly
    where she thought he might find a document, he told her,
    “I don’t know how that Mexican brain of yours works.” He
    made similar comments to her when she asked him
    about what she thought were questionable accounting
    practices, telling her that she couldn’t understand figures
    because of her “Mexican brain.” On at least one occasion,
    this comment was made in the presence of another em-
    ployee.
    Bannon also contends that Reilly blocked her chances
    for promotion within the lab. In 1997, the lab posted a
    vacancy for a more senior project analyst position. Bannon
    wanted to apply, but Reilly refused to recommend her.
    Bannon needed his recommendation to be considered
    for the promotion so she did not apply. The same thing
    happened when the position became available again in
    1998. In 2001, when the position became available for
    the third time, Reilly did not immediately post it. Instead
    he told Bannon that, if she took on many of the duties
    of the project analyst position while continuing to work
    as his secretary, he would create a new position for her
    that would be at a slightly higher pay grade than the
    project analyst job. Bannon agreed to do this. When she
    reiterated her interest in a promotion to Reilly during
    this time, he asked her if she “swam across the border
    or walked across the desert.”
    Reilly was unable to create a new position for Bannon,
    apparently because the human resources department
    would not authorize it. However, Bannon did receive
    another raise as compensation for the extra work she
    had done. In August 2002, after over a year’s delay, Reilly
    posted the project analyst position. Bannon applied for
    it in early September 2002, and when she informed Reilly
    4                                               No. 06-2955
    that she had done so, he became very angry, screamed at
    her, and called her a “stupid Mexican.” Nonetheless, this
    time Reilly did not block Bannon’s promotion. In mid-
    September, Jacqueline Burton, who would be supervising
    the new project analyst and had been reviewing the
    applications for the position, told Reilly she wanted
    Bannon to have the job. At the end of the month, Reilly
    sent a letter to human resources asking them to give the
    job to Bannon.1 Bannon received the promotion in October,
    and it became effective on November 1, 2002.
    Bannon did not report Reilly’s behavior to his superiors,
    and in spite of all the problems she was having with him,
    she admits that they socialized together outside of work
    and that she “did not mind, and even enjoyed” some of
    these events. She and her husband even went on a week-
    long trip with Reilly and his wife in 1998. She also ad-
    mits sending him a card in October 2002 in which she
    referred to him as a “great boss” and invited him to lunch.
    After her promotion, Burton became Bannon’s immedi-
    ate supervisor, but Burton was fired by Argonne in
    January 2003. Lorraine LaFreniere replaced her, and at
    this point Bannon began having trouble at work again.
    She was excluded from meetings that she used to partici-
    pate in and was no longer allowed to organize and coordi-
    nate meetings although that had previously been one of
    her job duties. She felt that she was being “frozen out” of
    her department after Burton’s termination. She was also
    deeply upset by two incidents in which she was accused
    of wrongdoing by Mark Jones, Argonne’s general counsel.
    In October of 2002, he accused her of falsifying her over-
    1
    Although the defendant produced a copy of this letter dated
    September 27, 2002, Bannon disputes whether it was ever sent.
    However, she has presented no evidence showing that it was
    not sent on the same day that it was dated.
    No. 06-2955                                               5
    time. Bannon’s lawyers told Jones that any further ques-
    tions about her overtime should be directed to them, and
    that was the last she heard about the issue. Then in
    January 2003, Jones accused her of removing boxes of
    Argonne property without permission. She told him that
    she only removed personal items, and nothing more
    came of this accusation. Bannon was so upset by her
    treatment at Argonne that she took extended leave in
    February 2003 and resigned a few months later.
    Jacqueline Burton’s claims arise out of two incidents.
    The first occurred in 2001, when she expressed interest
    in being promoted to a senior scientist. Reilly, as Burton’s
    immediate supervisor, was responsible for submitting
    her application materials to the Associate Lab Director,
    Harvey Drucker, who would ultimately decide whether to
    promote her. Reilly did not submit Burton’s materials
    because, he says, she did not give him everything that
    was needed to complete her application. Specifically, he
    says that she did not give him a list of scientific peers
    who would be willing to write reference letters. Burton
    does not deny that she failed to submit the list, but
    contends that it was Reilly’s responsibility to ask for it,
    and he never did. She asserts that he failed to collect
    all the information he needed from her because he was
    biased against her because of her gender. She points out
    that in September 2002, he told Bannon that Burton was
    a “dyke” and a “bitch” and that her marriage was a
    “sham.”
    The second incident involves Burton’s termination
    from Argonne. In 2002, Argonne discovered that Burton’s
    husband, John Walker, who also worked for Argonne, had
    been doing consulting work on the side for an Argonne
    vendor named Air, Soil, & Water (ASW). After investigat-
    ing, Argonne discovered that Walker had earned a total of
    $56,000 from ASW while he was still employed by
    6                                             No. 06-2955
    Argonne. Drucker believed that this was a significant
    conflict of interest for both Burton and Walker and was
    upset that neither one had reported it to the company.
    He terminated Burton and Walker on account of this
    conflict in January 2003. Burton believes that she was
    really terminated because she expressed concerns about
    questionable accounting practices to Reilly, and she
    appealed her termination to both Drucker and an inde-
    pendent review committee. The termination was upheld,
    and the FBI ultimately investigated Burton’s and
    Walker’s relationship with ASW. As far as we know this
    investigation is still ongoing.
    II. ANALYSIS
    We review the district court’s grant of summary judg-
    ment de novo, drawing all reasonable inferences in favor
    of the non-moving parties. Perez, 
    488 F.3d at 776
    . Sum-
    mary judgment is appropriate if there are no disputed
    material facts and the moving party is entitled to judg-
    ment as a matter of law. Brewer v. Bd. of Trs. of the Univ.
    of Ill., 
    479 F.3d 908
    , 914-15 (7th Cir. 2007), petition for
    cert. filed, 
    76 U.S.L.W. 3001
     (U.S. June 19, 2007) (No. 06-
    1694).
    Likewise, our review of a district court’s grant of judg-
    ment on the pleadings, see Federal Rule of Civil Procedure
    12(c), is de novo. Moss v. Martin, 
    473 F.3d 694
    , 698 (7th
    Cir. 2007). “Only when it appears beyond a doubt that
    the plaintiff cannot prove any facts to support a claim
    for relief and the moving party demonstrates that there
    are no material issues of fact to be resolved will a court
    grant a Rule 12(c) motion.” 
    Id.
     With these standards in
    mind, we begin with Bannon’s Title VII and state-law
    claims.
    No. 06-2955                                                  7
    A. Bannon’s Title VII Claims
    1. Failure to Promote
    The defendant argues that Bannon has not established
    a timely failure-to-promote claim. Bannon does not mean-
    ingfully respond to this argument, and we think it
    is dispositive. Bannon had to submit her claim to the
    EEOC within 300 days of the failure to promote. 42 U.S.C.
    § 2000e-5(e)(1); Nat’l R.R. Passenger Corp. v. Morgan,
    
    536 U.S. 101
    , 109 (2002); Salas v. Wis. Dep’t of Corrs., 
    493 F.3d 913
    , 921 (7th Cir. 2007). She submitted her claim on
    July 14, 2003. As a result, she can only sue for events
    that happened on or after September 17, 2002.2 Therefore,
    to the extent her failure-to-promote claim is based on
    Reilly’s refusal to recommend her for promotion in 1997
    and 1998, it is time-barred. The other event that argu-
    ably constitutes a failure to promote is Reilly’s decision
    in 2001 not to post the project analyst position as soon as
    it became available—a decision that ultimately led to
    Bannon taking on many of the duties of a project analyst
    without receiving the corresponding promotion. But
    Reilly posted the job in August 2002, so any delay in
    making this promotion available to Bannon ended at that
    point, outside of the limitations period.
    However, Bannon also argues that, when she finally
    applied for the project analyst position in September 2002,
    Reilly “delayed” her promotion for two months until
    November. This claim would fall within the limitations
    period, and a delay in promoting an employee can consti-
    2
    The parties dispute whether Bannon filed her EEOC charge
    on July 14, 2003 or August 12, 2003. It ultimately makes no
    difference to the resolution of Bannon’s claims, so we give her
    the benefit of the doubt and assume she filed her charge on
    July 14.
    8                                             No. 06-2955
    tute an adverse employment action, see Cullom v. Brown,
    
    209 F.3d 1035
    , 1042 (7th Cir. 2000). But we do not think
    that the two-month gap in this case between the time
    Bannon applied for and received her promotion qualifies
    as an adverse employment action. Employees cannot
    expect to be promoted the instant they apply. Some lag
    time has to be allowed for the application to work its
    way through the administrative process and for the
    employer to consider other candidates.
    The record suggests that this is exactly what happened
    in Bannon’s case. She submitted her application to Burton
    in early September, and Burton took some time to re-
    view it along with the applications of other candidates.
    In mid-September, Burton informed Reilly that she had
    selected Bannon for the job. Just nine days later Reilly
    recommended Bannon for the job to human resources. It
    then took human resources some time to act on the
    recommendation, and the company officially awarded the
    job to Bannon in October, to take effect on the first day
    of the following month. The only “delay” in this sequence
    of events that can be attributed to Reilly is the nine days
    between Burton telling Reilly she had selected Bannon
    and Reilly’s request to human resources that Bannon be
    given the job. It is not unreasonable for a supervisor to
    take nine days to process a promotion application, espe-
    cially when the supervisor likely has other tasks. There-
    fore, the district court did not err in granting sum-
    mary judgment on this claim.
    2. Hostile Work Environment
    This is the strongest of Bannon’s claims. To succeed
    with this claim she has to show that her work environ-
    ment was both subjectively and objectively offensive.
    Boumehdi v. Plastag Holdings, 
    489 F.3d 781
    , 788 (7th Cir.
    2007). Bannon correctly points out that the district court
    No. 06-2955                                              9
    erred by refusing to consider racial slurs made by Reilly
    outside the limitations period. When a plaintiff makes
    a hostile work environment claim, the court should
    consider harassing incidents that occur outside the
    limitations period as long as at least one harassing
    incident occurred within the period. Morgan, 
    536 U.S. at 116-17
    ; Isaacs v. Hill’s Pet Nutrition, Inc., 
    485 F.3d 383
    ,
    385 (7th Cir. 2007). At least some of the racial slurs took
    place within the limitations period so all of Reilly’s com-
    ments are fair game. And, we agree with Bannon that
    being repeatedly called a racist slur by one’s boss can be
    considered objectively offensive treatment, see Cerros v.
    Steel Techs., Inc., 
    398 F.3d 944
    , 950-51 (7th Cir. 2005),
    especially when those slurs are made in the context of
    comments denigrating one’s intelligence—as when Reilly
    told Bannon that her “Mexican brain” couldn’t under-
    stand figures.
    However, Bannon has not established that she consid-
    ered her workplace to be subjectively offensive. She has
    admitted that she socialized with Reilly outside of work
    not once but several times during the same period when
    she says he was harassing her. Furthermore, one of these
    social events—a week-long vacation that Bannon and
    Reilly took together with their spouses—was more pro-
    longed and extensive than typical socializing among office
    colleagues. Bannon argues that she only socialized with
    Reilly because she feared his anger if she refused his
    invitations, but we note that on at least one recent occa-
    sion in October 2002—when she invited him to lunch
    in the card praising him as a “great boss”—she initiated
    the contact. She also failed to report Reilly’s behavior to
    his superiors at Argonne even though the conduct she
    complains of continued for at least five years. See Wolf v.
    Nw. Ind. Symphony Soc’y, 
    250 F.3d 1136
    , 1144 (7th Cir.
    2001) (plaintiff did not show that he found treatment
    by supervisor subjectively offensive when he did not
    10                                            No. 06-2955
    complain about treatment and sent supervisor a letter
    telling her she was a good boss and he wanted to maintain
    their friendship); cf. Kampmier v. Emeritus Corp., 
    472 F.3d 930
    , 942 (7th Cir. 2007) (questioning whether plaintiff
    who maintained some social ties with alleged harasser
    subjectively viewed harassment as offensive but ulti-
    mately concluding that plaintiff ’s repeated complaints to
    supervisors about harasser’s conduct raised a fact issue
    on this point). We think that Bannon’s failure to report
    Reilly’s behavior over this long period of time combined
    with the unusually extensive social relationship she
    maintained with him would prevent a reasonable jury
    from finding that she subjectively viewed her work envi-
    ronment as hostile. So, although it is a closer call, we
    conclude that the district court did not err in granting
    summary judgment on this claim.
    3. Constructive Discharge Claim
    Bannon bases her Title VII constructive discharge claim
    on the same conduct that underlies her hostile work
    environment claim. But to succeed in a constructive
    discharge claim, Bannon has to show more than a hostile
    work environment. She has to show that her working
    environment was so intolerable that resignation was a
    fitting response. See McPherson v. City of Waukegan, 
    379 F.3d 430
    , 440 (7th Cir. 2004). Because we have decided
    that Bannon has not made the necessary showing to
    support her hostile work environment claim, it follows that
    her constructive discharge claim fails. See Roney v. Ill.
    Dep’t of Transp., 
    474 F.3d 455
    , 463 (7th Cir. 2007). Fur-
    thermore, Bannon has not presented sufficient evidence
    to connect her resignation to her ethnicity. Reilly is the
    only person Bannon says denigrated her ethnic back-
    ground, but when Bannon resigned she had been promoted
    and was no longer under Reilly’s direct supervision.
    No. 06-2955                                               11
    Instead her resignation seems to have been prompted by
    her new supervisor, Lorraine LaFreniere’s actions in
    “freezing her out” of some of her job duties and by her
    distress over the investigations Argonne’s general coun-
    sel, Mark Jones, conducted into her behavior. Bannon
    has never suggested that either LaFreniere or Jones
    harbored any bias towards Hispanics.
    B. Bannon’s State-Law Claims
    Bannon also made two state-law claims, intentional
    infliction of emotional distress and retaliatory construc-
    tive discharge. The district court decided, and the defen-
    dant now argues, that Bannon’s claim for intentional
    infliction of emotional distress was preempted by the
    Illinois Human Rights Act (IHRA). Whether a state-law
    tort claim is preempted depends on whether the IHRA
    “furnish[es] the legal duty that the defendant was alleged
    to have breached.” Naeem v. McKesson Drug Co., 
    444 F.3d 593
    , 604 (7th Cir. 2006). If the plaintiff ’s allegations
    against the defendant implicate only a duty provided by
    the IHRA, such as the duty of employers to refrain from
    discriminating against employees on the basis of their
    race or national origin, then the plaintiff ’s claim is pre-
    empted. 
    Id.
     In this case, Bannon’s primary allegation is
    that Reilly caused her emotional distress by his use of
    racial slurs. It is Reilly’s alleged breach of his duty under
    the IHRA to refrain from discrimination that Bannon
    claims caused her distress. It is true, as Bannon points
    out, that her claims are not entirely based on Reilly’s
    discriminatory behavior—so her claim may not be en-
    tirely preempted. She also asserts that she was distressed
    by being “frozen out” of her job duties and investigated
    by Jones. In addition, it is possible to view Bannon’s
    allegations against Reilly as being independent of any
    duty imposed by the IHRA. For example, she could be
    12                                            No. 06-2955
    claiming that, regardless of his motivation, his hostile
    attitude towards her and denigration of her intelligence
    caused her distress. But this does not help Bannon since
    the conduct she complains of—being excluded from some
    meetings, being denied the responsibility of organiz-
    ing meetings, being forced to attend a few unpleasant
    sessions with Argonne’s general counsel that led to no
    disciplinary action, and having a mean boss who some-
    times told her she was stupid—does not qualify as “ex-
    treme and outrageous” conduct. Rather it is the kind of
    ordinary workplace stress that is not actionable. See
    Graham v. Commonwealth Edison Co., 
    742 N.E.2d 858
    ,
    867-68 (Ill. App. Ct. 2000) (plaintiff ’s temporary reas-
    signment and demotion were not extreme and outrageous;
    investigations of employees undertaken for legitimate
    purpose are not extreme and outrageous).
    As for Bannon’s final claim, retaliatory constructive
    discharge, the district court correctly concluded that
    Illinois law does not recognize such a claim. See Fisher v.
    Lexington Health Care, Inc., 
    722 N.E.2d 1115
    , 1121 (Ill.
    1999); see also Thomas v. Guardsmark, Inc., 
    381 F.3d 701
    ,
    708 (7th Cir. 2004) (collecting cases).
    C. Burton’s Title VII and State-Law Claims
    1. Failure to Promote
    Burton first contends that Reilly stymied her promotion
    on account of her gender when he failed to ask her for her
    references, thus ensuring that her application for promo-
    tion would be incomplete. Burton attempts to prove this
    claim under the indirect method. Therefore, she must
    show that she is a member of a protected class, was
    qualified for the promotion, was denied the promotion, and
    that similarly situated employees outside the protected
    class were treated more favorably. Perez, 
    488 F.3d at 776
    ;
    No. 06-2955                                              13
    Pantoja v. Am. NTN Bearing Mfg. Corp., No. 06-1252, 
    2007 WL 2230095
    , *4 (7th Cir. Aug. 6, 2007) (suggesting
    alternate manner of satisfying prima facie case). She
    argues that a genuine issue of material fact exists about
    whether she or Reilly was responsible for compiling her
    references and whether Reilly ever asked her for refer-
    ences. But even if we assume that Reilly was responsible
    for compiling the references and never asked Burton for
    them, she has still failed to establish the third and
    fourth elements of the indirect method. First, she has
    not shown that she was denied a promotion to senior
    scientist because she cannot show that she even applied for
    this promotion. Even if Reilly was responsible for compil-
    ing Burton’s references, he could not do this until she told
    him whom she wanted to serve as references. Yet Burton
    does not deny that she failed to provide him with even this
    minimal amount of information. Burton faults Reilly for
    not asking for this information, but we do not see how his
    failure to ask prevented Burton from submitting a com-
    plete application. Argonne has submitted its policy on
    promotions which clearly shows that references are
    required for promotion to senior scientist. Burton does not
    contest the accuracy of this document or seriously contend
    that references were not required. Nor does she say that
    Reilly misled her by telling her that this rule would not
    apply to her. Therefore, she should not have needed a
    request from Reilly to know that she had to give him at
    least a list of references before her application for promo-
    tion would be complete. Finally, Burton has not presented
    evidence that Reilly took more initiative when compiling
    references from male candidates for promotion.
    2. Retaliatory Discharge
    Burton’s claim that she was discharged in retaliation
    for informing Reilly about questionable accounting prac-
    14                                                  No. 06-2955
    tices is also without merit. To succeed on this claim, which
    is brought under Illinois law, Burton must show that she
    was discharged in retaliation for her activities and that the
    discharge violates public policy. Hartlein v. Ill. Power Co.,
    
    601 N.E.2d 720
    , 728 (Ill. 1992). If the employer offers a
    legitimate, nondiscriminatory reason for the discharge, the
    employee must show that the reason is pretextual. Gomez
    v. The Finishing Co., 
    861 N.E.2d 189
    , 197-98 (Ill. App.
    Ct. 2006). On appeal, Burton’s only argument is that
    Argonne’s stated reason for firing her, her failure to report
    her husband’s $56,000 worth of consulting work for an
    Argonne vendor, was pretextual because Argonne’s con-
    flicts policy by its terms does not apply to consulting fees.3
    We do not think the terms of Argonne’s conflicts policy
    establish pretext. First, contrary to Burton’s contention,
    the conflicts policy can be read as applying to consulting
    fees. In any case, Burton is essentially arguing that
    Argonne erred in applying its conflicts policy to her
    situation. Even if this were true, there is a difference
    between a mistake and a lie. The fact that Argonne’s
    3
    In her reply brief, Burton also argues that Argonne’s stated
    reason for her discharge was pretextual because in 1999 (three
    years before Argonne investigated Burton’s conflict) Drucker
    told her that there was no need to report conflicts involving
    Argonne’s partners in a special program called QuickSite. Burton
    says that ASW was a QuickSite partner, and thus it was disin-
    genuous for Drucker to fire her for not reporting a conflict
    with ASW when he had already told her that conflicts with
    QuickSite partners like ASW did not have to be reported. This
    argument is waived because it was not presented in Burton’s
    opening brief. See United States v. Dabney, No. 06-2192, 
    2007 WL 2200481
    , at *4 (7th Cir. Aug. 2, 2007). In any case, this argument
    also disregards the fact that, even if Drucker gave Burton mixed
    signals about whether work for ASW presented a conflict,
    Drucker’s initial decision to fire her was ultimately reviewed
    and upheld by an independent committee of Argonne officials.
    No. 06-2955                                            15
    stated reason for firing Burton may have been mistaken
    does not mean it was pretextual. See Miller v. J.M. Jones
    Co., 
    587 N.E.2d 654
    , 661 (Ill. App. Ct. 1992) (question is
    not whether employer treated employee fairly but whether
    discharge was retaliatory).
    In addition, Burton has presented no evidence to show
    that Drucker knew that she had questioned Reilly about
    accounting practices when he made the initial decision to
    fire her. She makes a half-hearted attempt to suggest
    that Reilly was the real decision-maker, in contradiction
    to what both Reilly and Drucker said in their affidavits,
    but she has not presented sufficient evidence to support
    this allegation.
    III. CONCLUSION
    For the above reasons, we AFFIRM the judgment of the
    district court.
    A true Copy:
    Teste:
    ________________________________
    Clerk of the United States Court of
    Appeals for the Seventh Circuit
    USCA-02-C-0072—10-01-07