Dayle Eden v. Van Buren County Sheriff's Department and Van Buren County, Iowa , 922 N.W.2d 105 ( 2018 )


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  •                        IN THE COURT OF APPEALS OF IOWA
    No. 17-0631
    Filed July 18, 2018
    DAYLE EDEN,
    Plaintiff-Appellant,
    vs.
    VAN BUREN COUNTY SHERIFF'S DEPARTMENT and VAN BUREN COUNTY, IOWA,
    Defendants-Appellees.
    ________________________________________________________________
    Appeal from the Iowa District Court for Van Buren County, Mary Ann Brown,
    Judge.
    A former county employee appeals the grant of summary judgment in her wrongful
    termination suit. AFFIRMED.
    Curtis R. Dial of Law Office of Curtis Dial, Keokuk, for appellant.
    Carlton G. Salmons of Macro & Kozlowski, L.L.P., West Des Moines, for appellees.
    Heard by Vaitheswaran, P.J., and Potterfield and Tabor, JJ.
    2
    TABOR, Judge.
    A former employee of the Van Buren County Sheriff’s Department challenges the
    district court’s grant of summary judgment on her claim for wrongful discharge in violation
    of public policy. The employee alleges the sheriff provided pretextual reasons for firing
    her, and his actions violated public policy. Pretext or not, we conclude the employee’s
    failure to show participation in a protected activity is fatal to her claim of wrongful
    discharge, and the district court was correct in granting the employer’s motion for
    summary judgment.
    I.      Facts and Prior Proceedings
    Dayle Eden worked for Van Buren County from 1988 until she was fired by Sheriff
    Dan Tedrow on July 30, 2015. In a letter delivered to Eden that day, Tedrow identified
    three acts to “justify the termination of [Eden’s] employment.” He accused Eden of the
    following: (1) establishing a private password on the Van Buren County computer system;
    (2) intentionally keeping confidential records at her home; and (3) intentionally deleting
    computer files and an internet search history from a department computer. Tedrow
    further alleged Eden’s actions were deceitful and intended to hide misconduct, which
    compromised her ability to handle confidential matters.
    Eden sued the Van Buren County Sheriff’s Department and Van Buren County
    (collectively, the county) on September 14, 2015, alleging Tedrow falsified the evidence
    cited in the July 30 letter to justify her wrongful termination. On January 15, 2016, Eden
    filed an amended petition claiming wrongful discharge from employment.1 The county
    moved for summary judgment on the wrongful-discharge claim on May 11, stating Eden
    1
    The other count of the amended petition alleged defamatory conduct by the sheriff.
    3
    was an at-will employee who could be terminated at any time for any reason. The county
    argued the discharge of an employee for specified reasons and not solely at the
    employer’s discretion is within the recognized scope of the employment at-will rule.
    In her response, Eden claimed her discharge was not appropriate under the
    employment at-will rule because she had been terminated for reasons violating Iowa
    public policy. Eden asserted Sheriff Tedrow falsified evidence as justification for firing
    her. This falsification, Eden argued, violated the “communal conscience” and public
    policy of the State of Iowa in “matters of public health, safety, and general welfare.”
    After hearing argument from the parties, the district court denied the county’s
    motion for summary judgment stating, “If in fact a jury were to determine that documents
    were falsified, this would be a clear violation of public policy,” and finding material facts in
    dispute barring the case from being decided as a matter of law.
    Before a jury trial began, the case was assigned to a different judge who revisited
    the motion for summary judgment.           The district court determined for the lawsuit to
    continue, “The employee must have engaged in activity compelling the need for protection
    from wrongful discharge.” Unable to identify Eden’s participation in any activity which
    would warrant protection from termination, the court granted the county’s motion for
    summary judgment and dismissed the wrongful discharge claim.2
    Eden voluntarily dismissed the remaining defamation claim and appealed the
    district court’s summary judgment order. The supreme court transferred the case to us.
    2
    The county moved to dismiss this appeal based on references to matters outside the record,
    specifically the judicial review order in Eden’s employment appeal board case. After Eden filed
    an amended proof brief, the supreme court denied the motion to dismiss. The county renews its
    motion to dismiss on appeal. We find a more appropriate remedy in striking any reference to the
    district court’s judicial review findings and take no notice of the judicial review in reaching our
    decision.
    4
    II.       Scope and Standard of Review
    We review a district court’s grant of summary judgment for correction of legal error.
    Iowa R. App. P. 6.907; Theisen v. Covenant Med. Ctr., Inc., 
    636 N.W.2d 74
    , 78 (Iowa
    2001). Summary judgment is appropriate where the entire record shows no genuine
    issues of material fact. Iowa R. Civ. P. 1.981(3); 
    Theisen, 636 N.W.2d at 78
    . We view
    the record in a light most favorable to the nonmoving party. Lloyd v. Drake Univ., 
    686 N.W.2d 225
    , 228 (Iowa 2004).
    III.      Analysis
    Eden does not dispute she was an at-will employee in the Van Buren County
    Sheriff’s Department. Iowa’s doctrine of at-will employment allows an employer to fire an
    employee who is not under contract at any time for any lawful reason. 
    Theisen, 636 N.W.2d at 79
    . So Eden’s argument her firing was unlawful must fit within an exception to
    the at-will employment doctrine. Specifically, Eden argues the county violated public
    policy by terminating her employment.
    Iowa law allows a cause of action when the employer’s discharge of an employee
    violates a well-recognized and defined public policy of the state. See Springer v. Weeks
    & Leo Co., 
    429 N.W.2d 558
    , 560 (Iowa 1988). To successfully plead the county violated
    public policy, Eden must show all of the following:
    (1) The existence of a clearly defined public policy that protects an
    activity.
    (2) This policy would be undermined by a discharge from
    employment.
    (3) The challenged discharge was the result of participating in the
    protected activity.
    (4) There was lack of other justification for the termination.
    5
    See 
    Lloyd, 686 N.W.2d at 228
    .
    The public policy exception to the employment-at-will doctrine is narrow and
    intended to balance the rights of the individual with the rights of others and the public at-
    large. Jasper v. H. Nizam, Inc., 
    764 N.W.2d 751
    , 762-63 (Iowa 2009). A statutorily
    protected activity must be the basis of a claim of wrongful-discharge in violation of public
    policy. 
    Id. at 762.
    Protected activities generally fall into four categories: (1) exercising a
    statutory right or privilege; (2) refusing to commit an unlawful act; (3) performing a
    statutory obligation; or (4) reporting a statutory violation. See id.; see also Ackerman v.
    State, ___ N.W.2d ___, ___, 
    2018 WL 2999690
    , at *3 (Iowa 2018).
    Public policy supporting a claim of wrongful discharge must either state or clearly
    imply the activity responsible for the employee’s firing is protected in the workplace.
    
    Jasper, 764 N.W.2d at 765
    . Further, a court may not provide public policy protection to
    an activity the legislature has not identified under a statutory scheme. 
    Id. at 766.
    To prevail on her wrongful discharge claim, Eden must show she was engaged in
    some activity warranting protection from an adverse employment action. See Rivera v.
    Woodward Res. Ctr., 
    865 N.W.2d 887
    , 898 (Iowa 2015) (“[T]he plaintiff must show the
    protected conduct was the determining factor in the adverse employment action.”
    (emphasis added)); Fitzgerald v. Salsbury Chemical, Inc., 
    613 N.W.2d 275
    , 287 (Iowa
    2000) (recognizing a dismissed employee must engage in conduct related to public policy
    before the discharge can undermine that public policy). Our supreme court has also
    recognized the need to protect employees who refuse to engage in activity which would
    violate an established public policy. See 
    Fitzgerald, 613 N.W.2d at 286
    (concluding the
    statutory public policy against committing perjury is sufficient to support protection to
    6
    provide truthful testimony). The common focus in both determinations is the nature of the
    employee’s activity or conduct.
    The county argues Eden was fired for misconduct. Eden denies misconduct and
    claims the sheriff invented pretextual reasons for firing her.3 Often a dispute regarding
    an employee’s actions or inferences drawn from an employee’s conduct is a question of
    fact and must be resolved by the jury. 
    Id. at 289.
    But Eden’s assertion the sheriff relied
    on pretext to justify her discharge is not the same as showing the employer’s action
    infringed on her performance of a statutorily protected activity. See Teachout v. Forest
    City Comm. Sch. Dist., 
    584 N.W.2d 296
    , 301 (Iowa 1998) (holding an employer’s action
    must “have the effect of discouraging” publicly protected employee behavior).
    Eden’s counsel acknowledged at oral argument Eden was not terminated for
    participating in a protected activity but nevertheless insists the sheriff acted improperly by
    misrepresenting his reasons for firing her. Stated differently, Eden essentially contends
    the county breached a covenant of good faith and fair dealing when it fired her. Iowa
    does not recognize a breach of good faith and fair dealing as an exception to at-will
    employment. See 
    Fitzgerald, 613 N.W.2d at 281
    ; Phipps v. IASD Health Servs. Co., 
    558 N.W.2d 198
    , 204 (Iowa 1997). Under the facts presented and viewed in a light most
    3
    Other jurisdictions have decided pretextual reasons by themselves are not sufficient to warrant
    protection of at-will employees under the public-policy exception. See, e.g., Wisehart v. Meganck,
    
    66 P.3d 124
    , 128 (Colo. Ct. App. 2002) (“[L]aw will not punish a party for doing by misdirection
    that which it has a right to do forthrightly.” (citation omitted)); Andress v. Augusta Nursing
    Facilities, Inc., 
    275 S.E.2d 368
    , 369 (Ga. Ct. App. 1980) (“[A]llegations as to improper motive for
    firing . . . are legally irrelevant and present no genuine issues of material fact.” (citations omitted));
    Clark v. Acco Systems, Inc., 
    899 So. 2d 783
    , 787 (La. Ct. App. 2d Cir. 2005) (holding employer’s
    reasons for termination immaterial in an at-will employment setting so long as termination was
    not otherwise illegal under federal or state law); Mackenzie v. Miller Brewing Co., 
    623 N.W.2d 739
    , 750 (Wis. 2001) (finding at-will employment may be terminated for “good cause, no cause,
    or morally wrong cause” without exposing the employer to liability under tort law).
    7
    favorable to Eden, her contentions do not generate a material question of fact. See Iowa
    R. Civ. P. 1.981(3); accord Linn v. Montgomery, 
    903 N.W.2d 337
    , 342 (Iowa 2017) (“A
    genuine issue of material fact exists when reasonable minds can differ as to how a factual
    question should be resolved.” (citation omitted)).
    Because Eden fails to show she participated in any activity warranting protection,
    she fails to generate a material question whether her termination violated a public policy.
    The district court was correct in granting the motion for summary judgment.
    AFFIRMED.