holding that a plaintiff who was terminated one week after her most recent request for FMLA leave did not establish pretext without other evidence
How later courts described this case
- holding that a plaintiff who was terminated one week after her most recent request for FMLA leave did not establish pretext without other evidence
- “the mere fact that adverse employment action occurs after a complaint will ordinarily be insufficient to satisfy the plaintiff’s burden of demonstrating a causal link between the two events.”
- suggesting that the timing of an alleged retaliatory action may allow an inference of causation when the temporal proximity is “unusually suggestive” of a retaliatory motive
- “[T]emporal proximity cannot be the sole basis for finding pretext.”
Written by the judges who cited it.
The opinion
IN THE UNITED STATES DISTRICT COURT
FOR THE EASTERN DISTRICT OF PENNSYLVANIA
WILLIAM GARCIA, : CIVIL ACTION
: NO. 19-3184
Plaintiff :
v. :
:
VERTICAL SCREEN, :
:
Defendant. :
M E M O R A N D U M
EDUARDO C. ROBRENO, J. March 21, 2022
TABLE OF CONTENTS
I. INTRODUCTION .............................................. 2
II. BACKGROUND ................................................ 3
III. LEGAL STANDARD .......................................... 6
IV. DISCUSSION ................................................ 7
A. Vertical Screen’s Motion ................................ 7
1. Discrimination Claims .................................. 8
2. Retaliation Claims .................................... 16
a. ADA & PHRA Retaliation ................................ 17
b. FMLA Retaliation ...................................... 18
c. Title VII Retaliation ................................. 23
3. FMLA Interference ..................................... 23
4. Failure to Pay Wages under the WPCL ................... 25
5. Punitive and Liquidated Damages ....................... 26
B. Vertical Screen’s Amended Counterclaims ................ 27
1. Breach of Contract .................................... 28
2. Trade Secret Claims under the DTSA and PUTSA .......... 29
C. Garcia’s Motion ........................................ 30
1. Breach of Contract .................................... 31
2. Misappropriation of Trade Secrets ..................... 32
3. Garcia’s WPCL Claim ................................... 38
V. CONCLUSION............................................... 40
I. INTRODUCTION
Plaintiff William Garcia brings this action against his
former employer, Defendant Vertical Screen Inc. (“Vertical
Screen”), claiming that Vertical Screen discriminated and
retaliated against him when it terminated his employment. Garcia
asserts claims pursuant to the Americans with Disabilities Act
(“ADA”), the Family and Medical Leave Act (“FMLA”), Title VII of
the Civil Rights act of 1964 (“Title VII”), and the Pennsylvania
Human Relations Act (“PHRA”). Garcia also brings a claim for
failure to pay wages owed under Pennsylvania’s Wage Payment and
Collection Law (“WPCL”).
Vertical Screen asserts counterclaims against Garcia for
breach of contract and misappropriation of trade secrets. The
parties have filed cross motions for summary judgment.
For the reasons set forth below, both motions will be
granted in part and denied in part. Specifically, Vertical
Screen’s motion will be granted as to Garcia’s claims under the
ADA, the FMLA, Title VII, the PHRA, and as to Garcia’s request
for punitive damages. It will be denied as to Garcia’s WPCL
claim and Vertical Screen’s counterclaims. Garcia’s motion will
be granted as to his WPCL claim and as to Vertical Screen’s
request for exemplary damages and attorneys’ fees pursuant to
its trade secret claims and denied as to the remainder of
Vertical Screen’s counterclaims.
II. BACKGROUND1
Vertical Screen is one of the world’s leading employment
applicant screening companies2 and is headquartered in
Warminster, Pennsylvania. Garcia was an employee at Vertical
Screen for five years until he was terminated on October 2,
2018.3 Garcia started as a Public Records Researcher and was
later promoted to Public Records Team Leader. As part of his
promotion, Garcia’s supervisors promised him a $.50/hour raise,
which he never received. During the final year of his employment
with Vertical Screen, Garcia’s supervisors were Katherine Denis,
Michael Hanna, Alison Graham, Samuel Twardowski, and Yahne
Johnson.
Garcia alleges that he suffered from disabilities during
his time at Vertical Screen, including rheumatoid arthritis
(originally misdiagnosed as Lupus) and anxiety. As a result of
these disabilities, Garcia took periodic time off from work. He
further claims that in response to his taking periodic time off,
Johnson told him on several occasions that he “shouldn’t be
1 As required at the summary judgment stage, the Court views the facts
“in the light most favorable” to the nonmoving party and draws “all
reasonable inferences” in that party’s favor. Young v. Martin, 801 F.3d 172,
174 n.2 (3d Cir. 2015).
2 As a screening company, Vertical Screen contracts with companies to
verify the identity, past employment history, education, and relevant
background of prospective applicants.
3 Garcia is also lead plaintiff in a putative collective action involving
FLSA overtime violations that is currently pending before Judge Brody. See
Garcia v. Vertical Screen, Inc., No. 18-cv-4718.
calling out,” or that Johnson would “take [his] position away
from [him].” Pl’s Stmt. of Facts ¶ 43, ECF No. 76.
Garcia asserts that he informed Hanna, Graham, and
Twardowski of his disabilities. He claims further that after he
informed his supervisors of his disabilities, Hanna disclosed
that Garcia was disabled to other co-workers. Hanna denies ever
disclosing Garcia’s medical conditions to anyone other than
Marcine Schiehser, Vice President of Human Resources at Vertical
Screen, or Twardowski, who was Hanna’s direct supervisor.
Garcia also claims that a co-worker falsely told other
employees that she and Garcia had a sexual relationship. He felt
this was sexual harassment and complained verbally to Twardowski
and asked him to communicate the complaint to the company’s
human resources department.
On September 17, 2018, Garcia requested necessary materials
to request FMLA leave from Vertical Screen’s human resources
department. He did not fill out the paperwork or otherwise
submit his FMLA request to Vertical Screen.
On October 2, 2018, Vertical Screen terminated Garcia’s
employment. Vertical Screen claims that he was terminated
because he violated the company’s confidentiality policy when he
allegedly sent a series of emails, one of which contained a
document titled “Courts Tier Training Spreadsheet” (the
“Spreadsheet”), from his work email to his personal email
account. According to Vertical Screen, the Spreadsheet included
information that was not only confidential, but amounted to
protectable trade secrets. Several Vertical Screen employees
testified that the decision to terminate Garcia was made solely
by Tim Gaudreau, the company’s chief operating officer. See
Gaudreau Dep. at 14:18-20, ECF No. 69-2; Schiehser Dep. at
46:14-17, ECF No. 69-12, Hanna Dep. 33:3-34:22, ECF No. 69-10.
Garcia denies ever sending himself any of the emails in
question. According to Vertical Screen’s IT Security Analyst
Neelay Patel, the company’s email security system triggered an
alert that Garcia had sent the Spreadsheet, which was at least
partially encrypted, to his personal email. See Patel Decl., ECF
No. 69-18. A subsequent investigation into the event led Patel
to conclude that the Spreadsheet had left the company’s servers
and had reached Garcia’s personal email account. See id.
However, Vertical Screen later performed a forensic analysis of
Garcia’s personal devices and email account and found no trace
of the Spreadsheet.
Garcia’s Amended Complaint contains five counts: (I)
disability discrimination and retaliation in violation of the
ADA; (II) interference and retaliation in violation of the FMLA;
(III) retaliation in violation of Title VII; (IV) failure to pay
wages owed under the WPCL; and (V) discrimination and
retaliation in violation of the PHRA.
Vertical Screen asserts three counterclaims against Garcia:
(I) breach of contract; (II) violation of the Defend Trade
Secrets Act, 18 U.S.C. § 1836, et seq. (the “DTSA”); and (III)
violation of the Pennsylvania Uniform Trade Secrets Act, 12 Pa.
Cons. Stat. Ann. § 5301, et. seq. (the “PUTSA”).
III. LEGAL STANDARD
Summary judgment is appropriate if no genuine dispute as to
any material fact exists and the moving party is entitled to
judgment as a matter of law. Fed. R. Civ. P. 56(a). “A motion
for summary judgment will not be defeated by ‘the mere
existence’ of some disputed facts, but will be denied when there
is a genuine issue of material fact.” Am. Eagle Outfitters v.
Lyle & Scott Ltd., 584 F.3d 575, 581 (3d Cir. 2009) (quoting
Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 247 (1986)). A
fact is “material” if proof of its existence or nonexistence
might affect the outcome of the litigation, and a dispute is
“genuine” if “the evidence is such that a reasonable jury could
return a verdict for the nonmoving party.” Anderson, 477 U.S. at
248.
The Court views the facts in the light most favorable to
the nonmoving party. Am. Eagle Outfitters, 584 F.3d at 581.
“After making all reasonable inferences in the nonmoving party’s
favor, there is a genuine issue of material fact if a reasonable
jury could find for the nonmoving party.” Pignataro v. Port
Auth. of N.Y. & N.J., 593 F.3d 265, 268 (3d Cir. 2010) (citing
Reliance Ins. Co. v. Moessner, 121 F.3d 895, 900 (3d Cir.
1997)). While the moving party bears the initial burden of
showing the absence of a genuine issue of material fact, meeting
this obligation shifts the burden to the nonmoving party who
must “set forth specific facts showing that there is a genuine
issue for trial.” Anderson, 477 U.S. at 250 (quoting Fed. R.
Civ. P. 56(e) (1963)).
When confronted with cross-motions for summary judgment,
“[t]he court must rule on each party’s motion on an individual
and separate basis, determining, for each side, whether a
judgment may be entered in accordance with the Rule 56
standard.” Schlegel v. Life Ins. Co. of N. Am., 269 F. Supp. 2d
612, 615 n.1 (E.D. Pa. 2003) (alteration in original) (quoting
10A Charles A. Wright, Arthur R. Miller & Mary Kay Kane, Federal
Practice & Procedure § 2720 (3d ed. 1998)).
IV. DISCUSSION
A. Vertical Screen’s Motion
Vertical Screen moves for summary judgment on all Garcia’s
claims. Because Garcia fails to meet his burden for each of his
discrimination and retaliation claims as required by McDonnell
Douglas Corp. v. Green, 411 U.S. 792, 800 (1973), the motion
will be granted as to Garcia’s claims under the ADA, PHRA, FMLA,
and Title VII. The motion will also be granted as to Garcia’s
request for punitive damages, as he has not produced evidence to
support any claim under which punitive damages are available.
The motion will be denied as it applies to Garcia’s WPCL claim.
1. Discrimination Claims Under the ADA & PHRA
In considering claims of employment discrimination where no
direct evidence of discrimination exists, courts are informed by
the well-rehearsed burden shifting analysis of McDonnell
Douglas. The first step of the McDonnell Douglas framework
requires a court to ask whether the plaintiff has established a
prima facie case of disability discrimination. 411 U.S. at 802.
Then, the burden of production shifts to the employer to
articulate a legitimate, nondiscriminatory reason for the
employee’s termination. Id. And finally, if the employer
articulates a legitimate, non-discriminatory reason for the
termination, the plaintiff must then “establish by a
preponderance of the evidence that the employer’s proffered
reasons were merely a pretext for discrimination, and not the
real motivation for the unfavorable job action.” Sarullo v. U.S.
Postal Serv., 352 F.3d 789, 797 (3d Cir. 2003) (citing Tex.
Dep’t of Cmty. Affairs v. Burdine, 450 U.S. 248, 253 (1981)).
Under the burden-shifting framework, “the ultimate burden of
persuading the trier of fact that the defendant intentionally
discriminated against the plaintiff remains at all times with
the plaintiff.” St. Mary’s Honor Ctr. v. Hicks, 509 U.S. 502,
518 (1993) (citing Burdine, 450 U.S. at 253)).
In order to establish a prima facie case of disability
discrimination under the ADA & PHRA, a plaintiff must establish
that “(1) he is a disabled person within the meaning of the ADA;
(2) he is otherwise qualified to perform the essential functions
of the job, with or without reasonable accommodations by the
employer; and (3) he has suffered an otherwise adverse
employment decision as a result of the discrimination.” Gaul v.
Lucent Tech., 134 F.3d 576, 580 (3d Cir. 1998) (addressing the
ADA); Rinehimer v. Cemcolift, 292 F.3d 375, 382 (3d Cir. 2002)
(“The PHRA is basically the same as the ADA in relevant aspects
and Pennsylvania courts generally interpret the PHRA in accord
with its federal counterparts.”) (internal quotations omitted).
Vertical Screen first argues that Garcia is not disabled
within the meaning of the ADA. The ADA defines “disability” to
include “a physical or mental impairment that substantially
limits one or more major life activities.” 42 U.S.C. §
12102(1)(A). “[M]ajor life activities include, but are not
limited to, caring for oneself, performing manual tasks, seeing,
hearing, eating, sleeping, walking, standing, lifting, bending,
speaking, breaching, learning, reading, concentrating, thinking,
communicating, and working.” Id. at § 12102(2)(A). Congress also
provides that “[t]he definition of disability in this chapter
shall be construed in favor of broad coverage of individuals
under this chapter, to the maximum extent permitted by the terms
of this chapter.” Id. at § 12102(4)(A).4 Whether an individual is
substantially limited in the performance of a major life
activity is a question for a jury unless there is no evidence on
the record from which a reasonable jury could conclude the
plaintiff was substantially limited. See Sowell v. Kelly Servs.,
Inc., 139 F. Supp. 3d 684, 698 (E.D. Pa. 2015).
Garcia has established that he is disabled under the ADA
and PHRA for the purposes of this motion. He testified in his
deposition that his anxiety causes him difficulty in getting out
of bed and getting to work. He further testified that he
occasionally had missed work due to his disabilities. This fits
into the broad definition of disability under the ADA (as
modified by the ADA Amendments Act of 2008, 42 U.S.C. § 12101,
et seq. (the “ADAAA”)), and a reasonable jury could conclude
that he was substantially limited in the performance of major
life activities based on the evidence presented. See Estate of
Murray v. UHS of Fairmount, Inc., No. 10-cv-2561, 2011 WL
5449364, at *8 (E.D. Pa. Nov. 10, 2011) (noting that the record
was “incredibly sparse” as to whether the plaintiff’s disability
substantially limited major life activities, but refusing to
4 These requirements apply equally to Garcia’s claim for disability
discrimination under the PHRA. See Rinehimer, 292 F.3d at 382.
grant summary judgment on those grounds due to the “stated
intent of the ADAAA”). Vertical Screen cites a number of
authorities for the proposition that Garcia has not established
that he is disabled under the ADA, but they were nearly all
decided prior to the passing of the ADAAA in 2008,5 which
directed courts to apply a broader definition of disability in
considering claims brought under the ADA. Based on the evidence
presented, Garcia has established the first element of his prima
facie case under the ADA and PHRA.
Vertical Screen next argues that Garcia has not established
the third element of his prima facie case under the ADA and
PHRA: that his disability was the cause of his termination. In
employment discrimination cases, courts look to several factors
in determining whether a plaintiff has established causation,
including (1) temporal proximity between a protected activity
and the adverse employment action, (2) whether there is a
“pattern of antagonism” following protected conduct, and (3)
whether the record, taken as a whole, raises an inference of
causation. See Kachmar v. SunGard Data Sys., Inc., 109 F.3d 173,
177 (3d Cir. 1997); Abdul-Latif v. County of Lancaster, 990 F.
5 The one (unpublished) case cited by Vertical Screen that was decided
after the passing of the ADAAA, Lackey v. Heart of Lancaster Reg’l Med. Ctr.,
704 F. App’x 41 (3d Cir. 2017), is also inapposite because the plaintiff in
that case sought to establish that she had a disability by arguing only that
her employer regarded her as disabled. Lackey, 704 F. App’x at 48-49. The
Lackey court therefore focused on the employee’s perception of the
plaintiff’s medical conditions rather than whether the plaintiff had
established that her condition substantially limited a major life activity.
Supp. 2d 517, 530 (E.D. Pa. 2014) (citing Farrell v. Planters
Lifesavers Co., 206 F.3d 271, 280 (3d Cir. 2000)).
Garcia essentially offers two arguments to support his
claim that he was fired because of his disability. First, he
avers that his supervisors at Vertical Screen exhibited a
pattern of antagonism against him after he disclosed his medical
conditions and began taking time off to attend medical
appointments, which pattern specifically included revealing his
private health information to others and exhibiting annoyance
with him taking time away from work. And finally, he argues that
Vertical Screen’s disparate treatment of similarly situated
employees (i.e., employees who also sent confidential documents
to their personal email addresses) raises an inference that his
disabilities motivated his termination.
Garcia’s first argument is unconvincing because he does not
point to any definitive pattern of antagonism by Vertical Screen
employees who would have been involved in the decision to fire
him. Garcia testified in his deposition that he felt threated by
Yahne Johnson, one of his supervisors, when he took time off to
care for his disabilities. Garcia claims that Johnson told him,
inter alia, that he “shouldn’t be calling out,” or that Johnson
would “take [his] position away from [him].” Garcia Dep. 262:2-
9, ECF No. 76-6. This behavior is certainly antagonistic, but
cannot serve as evidence of causation because there is no
evidence to suggest that Johnson played any part in the decision
to fire Garcia. Cf. Olson v. General Elec. Astrospace, 101 F.3d
947, 954 (3d Cir. 1996) (reversing summary judgment in a
discriminatory hiring case because the district court did not
consider representations made by a person “directly involved in
the hiring process”); see also Ezold v. Wolf, Block, Schorr &
Solis-Cohen, 983 F.2d 509, 545 (3d Cir. 1992) (explaining that
“[s]tray remarks by non-decisionmakers or by decisionmakers
unrelated to the decision process are rarely given great
weight”). In fact, the evidence presented at this stage suggests
that the decision to fire Garcia was made by Gaudreau alone. See
Gaudreau Dep. at 14:18-20, ECF No. 69-2; Schiehser Dep. at
46:14-17, ECF No. 69-12; Hanna Dep. 33:3-34:22, ECF No. 69-10.
Moreover, Plaintiff has not established why Hanna’s alleged
disclosure of his disability to Denis and Johnson, who were both
supervisors, resulted in a pattern of antagonism that would
suggest Garcia was terminated because he was disabled. To the
contrary, Garcia’s deposition testimony suggests that Hanna
informed Johnson of Garcia’s anxiety so that Johnson could
better accommodate him by reducing his workload, if necessary.
See Garcia Dep. at 333:4-7, ECF No. 76-6 (“Yahne Johnson came to
me and said, Mike [Hanna] told me about your anxiety. If you
need me to reduce some of your workload, I can.”). Therefore,
while the parties dispute whether Hanna actually did disclose
Plaintiff’s disability to others, this is not a material fact
because even if he did, this would still be insufficient to
support an inference that Garcia’s termination was caused by his
disability.
Garcia’s second causation argument—that he was treated
differently than similarly situated employees—also falls short.
Garcia identifies a Vertical Screen employee named Natasha James
who sent confidential information to her personal email address
but was given a written warning instead of being terminated. In
order to rely on this incident as evidence of discrimination,
Garcia “must establish that [James’] acts ‘were of comparable
seriousness to his own infraction.’” Anderson v. Haverford
Coll., 868 F. Supp. 741, 744 (E.D. Pa. 1994) (quoting Lanear v.
Safeway Grocery, 843 F.2d 298, 301 (8th Cir. 1988)).
But here, Vertical Screen has articulated a clear
difference between James’ conduct and Garcia’s. The information
James sent to herself was a non-encrypted list of applicant
names that did not “compromise[] how [Vertical Screen’s] systems
functioned or allowed access to [their] systems in any way.”
Gaudreau Dep. at 138:9-15, ECF No. 69-2; see also James Dep. at
70:9-11, ECF No. 69-19. In contrast, Garcia allegedly sent
himself an encrypted spreadsheet which contained information
that gave insight into the Vertical Screen’s “infrastructure”
and how it “managed [its] workflow.” Gaudreau Dep. at 137:1-14;
see also Patel Decl. ¶ 3, ECF No. 69-18 (stating that Patel
received a security alert on September 27, 2018, that Garcia had
sent an encrypted document to his personal email account); Pl’s
Resp. to Def’s Stmt. of Facts ¶ 43, ECF No. 76-2 (admitting
that, according to the Cyber Security Incident Report associated
with Garcia’s termination, the Spreadsheet was encrypted).
As further evidence that Garcia was not treated differently
than other employees who carried out similar conduct, Vertical
Screen points to two other researchers that it terminated for
sending similar confidential business and proprietary
information beyond company servers: (1) Arondai McGriff, who was
terminated for emailing himself a password-protected spreadsheet
containing Vertical Screen’s financial account information; and
(2) Olivia Scialanca, who sent herself client contact
information, applicant names, employee names, and information
regarding Vertical Screen’s internal processes and procedures.
See Gaudreau Dep. at 136:22-137:14. In other words, the evidence
before the Court suggests that Vertical Screen’s decision making
in firing Garcia was consistent with its treatment of other
employees; i.e., employees were fired when they shared
confidential information that contained insight into the
company’s proprietary information or internal workflow systems.
This class of employees includes Scialanca, McGriff, and Garcia,
and excludes James. The Court consequently finds that Garcia has
not shown that he was treated disparately from similarly
situated employees.
Because Garcia has not produced evidence that he was
terminated because of his disability, he fails to establish a
prima facie claim of discrimination under the ADA or PHRA. The
Court will accordingly grant Vertical Screen’s motion for
summary judgment as to these claims.
And as Garcia has failed to state a prima facie claim of
discrimination under the ADA or PHRA, the Court need not
consider whether Vertical Screen’s proffered reason for
terminating him was a pretext for disability discrimination.
2. Retaliation Claims Under the ADA, PHRA, FMLA &
Title VII
Garcia’s retaliation claims are also evaluated under the
McDonnell Douglas burden-shifting framework as set forth above.
See Carvalho-Grevious v. Delaware State Univ., 851 F.3d 249, 257
(3d Cir. 2017).
Garcia brings retaliation claims under the ADA, PHRA,6 FMLA,
and Title VII. The elements of retaliation under these four
statutes are essentially the same: in order to state a prima
facie case, a plaintiff must show that (1) he engaged in a
protected activity (such as taking FMLA qualifying leave,
6 As “the PHRA is basically the same as the ADA in relevant aspects and
Pennsylvania courts generally interpret the PHRA in accord with [the ADA],”
the elements of a retaliation claim under the PHRA and ADA are the same.
Rinehimer, 292 F.3d at 382.
requesting a reasonable accommodation under the ADA, or making a
complaint regarding an activity prohibited by Title VII), (2) he
suffered an adverse employment decision, and (3) there was a
causal connection between the protected activity and the adverse
employment decision. See Conoshenti v. Pub. Serv. Elec. & Gas
Co., 364 F.3d 135, 146 (3d Cir. 2004) (stating the elements of
an FMLA retaliation claim); Krouse v. Am. Sterilizer Co., 126
F.3d 494, 500 (3d Cir. 1997) (stating the elements of an ADA and
Title VII retaliation claim).
a. ADA & PHRA Retaliation
Garcia claims that he engaged in protected conduct under
the ADA and PHRA when he complained to management about Hanna’s
unauthorized disclosure of his disability.7 However, even if this
is true, his prima facie claim for retaliation under the ADA
fails at the causation prong. Garcia advances no argument that
would link his complaint to management to his termination.
Instead, he merely asserts that the Court should infer a causal
link here because his supervisors were aware that he had made
the complaint. The Court finds that asserting Defendant’s mere
7 Garcia also claims that his requests for intermittent leave were a
protected activity under the ADA, but he appears to use these same requests
for leave as the protected activity for his FMLA retaliation claim. And as
courts within the Third Circuit have recognized, “a request for FMLA leave is
not alternatively a request for a reasonable accommodation” under the ADA.
Capps v. Mondelez Global, LLC, 147 F. Supp. 3d 327, 341 (E.D. Pa. 2015)
(quoting Rutt v. City of Reading, Pa., No. 13-cv-4559, 2014 WL 5390428, at *3
(E.D. Pa. Oct. 22, 2014)). Garcia’s requests for leave will therefore only be
considered with respect to his FMLA claim.
awareness of Garcia’s protected activity is not sufficient to
support an inference that he was fired because of that protected
activity. See Krouse, 126 F.3d at 503 (“the mere fact that
adverse employment action occurs after a complaint will
ordinarily be insufficient to satisfy the plaintiff’s burden of
demonstrating a causal link between the two events.”) (quoting
Robinson v. City of Pittsburgh, 120 F.3d 1286, 1302 (3d Cir.
1997)); Parrotta v. PECO Energy Co., 363 F. Supp. 3d 577, 601
(E.D. Pa. 2019) (“To establish the requisite causal connection a
plaintiff must prove either (1) an unusually suggestive temporal
proximity between the protected activity and the alleged
retaliatory action, or (2) an intervening pattern of antagonism
[or other evidence of retaliatory animus] coupled with timing to
establish a causal link.”) (quotation marks and citations
omitted).
Because Garcia has failed to produce sufficient evidence of
causation and has therefore not established a prima facie case
of retaliation under the ADA or PHRA, and Vertical Screen’s
motion will be granted as to those claims.
b. FMLA Retaliation
Whether Garcia can establish causation for the purposes of
his FMLA retaliation claim is a closer case because of the
proximity between his request for FMLA leave and his
termination. See Krouse, 126 F.3d at 503 (suggesting that the
timing of an alleged retaliatory action may allow an inference
of causation when the temporal proximity is “unusually
suggestive” of a retaliatory motive). However, even assuming
Garcia has stated a prima facie case of FMLA retaliation, he
still cannot satisfy his burden of production under McDonnell
Douglas because the evidence presented does not support a
finding that Vertical Screen’s reason for terminating him was a
pretext for retaliation.
To establish that an employer’s justification for
termination was merely a pretext for retaliation, a plaintiff
must provide evidence “from which a factfinder could reasonably
either (1) disbelieve the employer’s articulated legitimate
reasons; or (2) believe that an invidious discriminatory reason
was more likely than not a motivating or determinative cause of
the employer’s action.” Burton v. Teflex, Inc., 707 F.3d 417,
427 (3d Cir. 2013) (quoting Fuentes v. Perskie, 32 F.3d 759, 764
(3d Cir. 1994)). Evidence undermining an employer’s proffered
reason must be sufficient to “support an inference that the
employer did not act for its stated reasons.” Sempier v. Johnson
& Higgins, 45 F.3d 724, 731 (3d Cir. 1995). A plaintiff can
satisfy that burden at the summary judgment stage by
“demonstrat[ing] such weaknesses, implausibilities,
inconsistencies, incoherencies, or contradictions” in the
employer’s explanation for its action “that a reasonable
factfinder could rationally find them ‘unworthy of credence.’”
Burton, 707 F.3d at 427 (quoting Fuentes, 32 F.3d at 765).
Garcia advances several arguments to support his claim that
Vertical Screen’s stated reason for terminating him is a
pretext, including (1) that the information he allegedly sent
himself was not confidential, and thus did not require
termination, (2) that other Vertical Screen employees sent work
home to themselves in order to work from home but were not
disciplined, (3) that there are conflicts in the record that
support an inference of pretext, and (4) that the temporal
proximity between his request for FMLA leave and his termination
suggests his termination was retaliatory.
Garcia’s assertion that the information he allegedly
emailed to himself was not confidential information is
unsupported by the weight of the evidence. The Confidentiality
Agreement Garcia signed at the start of his employment defines
“Confidential Information” in part as “information concerning
the internal organization or business structure of Vertical
Screen or the work assignments or capabilities of any Employee,
officer and/or employee of Vertical Screen[.]” Confidentiality
Agreement § 2.2(vii), ECF No. 69-7. By Garcia’s own admission,
the Spreadsheet contained a compilation of employee names and
the search systems on which they were trained, which falls
squarely under the category of Confidential Information that
contains “work assignments or capabilities of any Employee.” Id.
at § 2.2(vii).
Garcia’s claim that other Vertical Screen employees sent
work home in violation of Vertical Screen’s “acceptable use
policy” does nothing to support a finding of pretext. Garcia
does not identify any employees who allegedly sent Vertical
Screen documents home other than James, Scialanca, and McGriff,
all of whom were disciplined for doing so. And as the Court
addressed in connection with the causation prong of Garcia’s ADA
and PHRA claims, there is no evidence of any disparate treatment
between these employees.
Garcia next points to two conflicts in the record that he
claims support a finding of pretext: (1) that he has denied
sending any confidential information to his personal email
address; and (2) that Garcia testified that Denis authorized
employees to send work home to themselves, while she denies ever
doing so. However, with respect to the first “conflict,” even if
Garcia’s assertions that he did not send himself any of the
emails in question is true, Vertical Screen was presented with
overwhelming evidence to the contrary when considering whether
the terminate his employment. See Patel Decl. ¶¶ 3-8, ECF No.
69-18. The issue here is not whether Vertical Screen was “wrong
or mistaken” in deciding to fire Garcia; rather, it is whether
Garcia has presented “evidence contradicting the core facts put
forward by the employer as the legitimate reason for its
decision.” Tomasso v. Boeing Co., 445 F.3d 702, 706 (3d Cir.
2006) (quoting Kautz v. Met–Pro Corp., 412 F.3d 463, 467 (3d
Cir. 2005)). And as to the second purported “conflict,” even if
Denis had authorized certain employees to send work home to
themselves, again, the weight of the evidence produced suggests
that Vertical Screen acted fairly and consistently with respect
to disciplining the identified employees (i.e., Scialanca,
McGriff, and Jones) who violated its confidentiality policy.
Again, Garcia has not shown that he was treated disparately from
other employees who similarly violated Vertical Screen’s
confidentiality policies.
Finally, the sixteen-day period between Garcia’s request
for FMLA leave and his termination, standing alone, is not
sufficient to support an inference of pretext. See Meneske v.
Harrah’s Chester Casino & Racetrack, 649 Fed. Appx. 142, 145 (3d
Cir. 2016) (holding that a plaintiff who was terminated one week
after her most recent request for FMLA leave did not establish
pretext without other evidence); Hughes v. City of Bethlehem,
294 Fed. Appx. 701, 704 (3d Cir. 2008) (finding that the
proximity between the plaintiff’s protected activity and her
employer’s adverse decision may be sufficient to establish the
causation element of her prima facie retaliation claim, but
without other supporting evidence, was insufficient to establish
pretext); see also generally Seeger v. Cincinnati Bell Tel. Co.,
LLC, 681 F.3d 274, 285 (6th Cir. 2012) (“[T]emporal proximity
cannot be the sole basis for finding pretext.”) (citation
omitted). The evidence before the Court, viewed as a whole,
simply does not support an inference that Vertical Screen’s
proffered reason for Garcia’s termination was a pretext for
retaliation. Vertical Screen’s motion will therefore be granted
as to Garcia’s claim for retaliation under the FMLA.
c. Title VII Retaliation
As Garcia advances the same “pretext” arguments with
respect to his Title VII retaliation claim as he did for his
FMLA retaliation claim, the preceding analysis applies to bar
his Title VII retaliation claim as well. In sum, Garcia has not
identified “weaknesses, implausibilities, inconsistencies, or
contradictions” that support any inference that Vertical
Screen’s stated reason for his termination was a pretext for
retaliation. Burton, 707 F.3d at 427 (quoting Fuentes, 32 F.3d
at 765). Vertical Screen’s motion for summary judgment will
therefore also be granted as to Garcia’s claims for retaliation
under Title VII.
3. FMLA Interference
“An [FMLA] interference action is not about
discrimination[;] it is only about whether the employer provided
the employee with the entitlements guaranteed by the FMLA.”
Callison v. City of Phila., 430 F.3d 117, 120 (3d Cir. 2005). In
order to successfully bring a claim of FMLA interference, a
plaintiff must establish the following:
(1) he or she was an eligible employee under the FMLA,
(2) the defendant was an employer subject to the
FMLA’s requirements; (3) the plaintiff was entitled to
FMLA leave; (4) the plaintiff gave notice to the
defendant of his or her intention to take FMLA leave;
and (5) the plaintiff was denied benefits to which he
or she was entitled under the FMLA.
Capps v. Mondelez Global, LLC, 847 F.3d 144, 152 (3d Cir. 2017)
(quoting Ross v. Gilhuly, 755 F.3d 185, 191-92 (3d Cir. 2014)).
For the purposes of its motion, Vertical Screen concedes
that Garcia has established the first four elements of his
interference claim. Accordingly, whether Garcia has established
his claim at this stage depends upon whether he has satisfied
the final element; namely, whether he was denied benefits to
which he was entitled under the FMLA. Garcia’s position is that
Vertical Screen interfered with his FMLA rights by denying him
the opportunity to obtain a certification from his medical
provider and complete his FMLA application.
The Third Circuit has instructed that “for an interference
claim to be viable, the plaintiff must show that FMLA benefits
were actually withheld.” Ross, 755 F.3d at 192 (citing Callison,
430 F.3d at 119). Because Garcia had admittedly not submitted
the necessary paperwork to request FMLA benefits, he has not
shown that any FMLA benefits to which he was entitled were
actually withheld. Garcia points out that an employee may have
an actionable interference claim where an employer takes action
that “could chill” an employee’s desire to take FMLA leave,
Grosso v. Fed. Exp. Corp., 467 F. Supp. 2d 449, 463 (E.D. Pa.
2006) (internal quotation omitted), but does not produce any
evidence that Vertical Screen took any such action. Vertical
Screen’s motion will therefore be granted as to Garcia’s FMLA
interference claim.
4. Failure to Pay Wages under the WPCL
The Pennsylvania Superior Court has instructed that “‘[t]o
present a wage-payment claim,’ the employee must aver a
contractual entitlement to ‘compensation from wages’ and a
failure to pay that compensation.” Braun v. Wal-Mart Stores,
Inc., 24 A.3d 875, 954 (Pa. Super. Ct. 2011) (quoting Sullivan
v. Chartwell Inv. Partners, LP, 873 A.2d 710, 716 (Pa. Super.
Ct. 2011)). When there is no formal written employment contract,
a plaintiff bringing a WPLC claim “would have to establish, at a
minimum, an implied oral contract between the employee and
employer.” Id. (citing De Asencio v. Tyson Foods, Inc., 342 F.3d
301, 309 (3d Cir. 2003)).
Garcia avers that when he was promoted to team leader in
June 2018 he was promised a fifty-cent raise, but he never
received that raise. In its motion, Vertical Screen acknowledges
that the promises were made, but argues that Garcia was not
contractually entitled to it the raise because “there is no
evidence that Vertical Screen intended to be bound by these
promises, or that the terms of this alleged contract were
sufficiently definite.” Def’s Mot. at 34, ECF No. 66. But this
argument is not supported by the relevant law. In any event,
even if Vertical Screen somehow did not intend to be bound by
the promise, Garcia’s supervisors acted as agents of Vertical
Screen and had at least apparent authority to promise the five
percent raise, which would bind Vertical Screen to comply with
the promise. See Revere Press, Inc. v. Blumberg, 246 A.2d 407,
410 (1968) (“Apparent authority is power to bind a principal
which the principal has not actually granted but which he leads
persons with whom his agent deals to believe that he has
granted.”); Apex Fin. Corp. v. Decker, 369 A.2d 483, 485-86
(1976) (an agent acts with apparent authority when “a man of
ordinary prudence, diligence and discretion would have a right
to believe and would actually believe that the agent possessed
the authority he purported to exercise.”). Vertical Screen has
therefore failed to show it is entitled to summary judgment on
Garcia’s WPCL claim, so its motion will be denied as to this
claim.
5. Punitive and Liquidated Damages
Vertical Screen also moves for summary judgment on the
issue of punitive and liquidated damages. The ADA allows for an
award of punitive damages. See 42 U.S.C. § 1981a. However, as
Garcia’s ADA claims do not survive summary judgment, his
corresponding request for punitive damages also fails.
Furthermore, Garcia points to no authority, and the Court is
aware of none, which states that punitive damages are an
available remedy under the WPCL. As his WPCL claim is the sole
claim that survives this motion, Vertical Screen’s motion will
be granted as to punitive damages.
However, the WPCL does provide for payment of liquidated
damages in certain instances, such was where wages remain unpaid
for thirty days beyond the scheduled payday and no good faith
dispute over the wage claim exists. See Andrews v. Cross
Atlantic Cap. Partners, 158 A.3d 123, 133 (Pa. Super. Ct. 2017)
(citing 43 P.S. § 260.10). As Garcia’s WPCL claim survives this
motion, Vertical Screen’s request for summary judgment on the
issue of liquidated damages will be denied.
B. Vertical Screen’s Amended Counterclaims
Vertical Screen also moves for summary judgment on its
counterclaims for breach of contract and misappropriation of
trade secrets under the DTSA and PUTSA. Because there are
disputed material facts on the record with respect to each of
these claims, the motion will be denied as to Vertical Screen’s
counterclaims.
1. Breach of Contract
To prevail on a breach of contract claim under Pennsylvania
law, a plaintiff must establish “(1) the existence of a
contract, including its essential terms, (2) a breach of a duty
imposed by the contract[,] and (3) resultant damages.”
CoreStates Bank, N.A. v. Cutillo, 723 A.2d 1053, 1058 (Pa.
Super. Ct. 1999) (citation omitted). Vertical Screen’s
counterclaim argues that Garcia breached the Confidentiality
Agreement (the “Agreement”) he executed when he began his
employment.
Vertical Screen argues that Garcia breached the agreement
by both sending the information to himself and by failing to
return the Spreadsheet to Vertical Screen upon his termination,
as required by the Confidentiality Agreement. See id. at § 2.3.
However, the issue of whether Garcia actually sent himself the
Spreadsheet and whether it remained in his possession for any
period of time is disputed by the parties and subject to
conflicting evidence on the record. In arguing that Garcia did
breach the agreement, Vertical Screen relies upon the
declaration of Neelay Patel, an Information Technology Security
Analyst for Vertical Screen, who allegedly determined, after an
investigation, that the Spreadsheet left Vertical Screen’s
servers and reached Garcia’s personal email account. See Patel
Decl. ¶ 7, ECF No. 69-18. In response, Garcia points out that
Vertical Screen performed a forensic examination of Garcia’s
personal devices and found no trace of the information in
question. Inquiry into the respective reliability of this
conflicting evidence is not appropriately performed by the Court
at the summary judgment stage. The issue of whether Garcia
breached the Confidentiality Agreement is a disputed fact for
trial and Vertical Screen’s motion will be denied as to its
counterclaim for breach of contract.
2. Trade Secret Claims under the DTSA and PUTSA
Vertical Screen next argues that it is entitled to summary
judgment on its claims for trade secret misappropriation under
both the DTSA8 and the PUTSA.9 Both statutes define
misappropriation of a trade secret as either (1) acquisition of
a trade secret with reason to know that it was acquired by
improper means or (2) disclosure or use of a trade secret
without consent. Teva Pharm. USA, Inc. v. Sandhu, 291 F. Supp.
3d 659, 674 (E.D. Pa. Jan. 30, 2018); Alpha Pro Tech, Inc. v.
VWR Int’l LLC, 984 F. Supp. 2d 425, 440 (E.D. Pa. 2013) (citing
12 Pa. Cons. Stat. § 5302). The statutes both define acquisition
by improper means as the “acquisition of a trade secret of
another by a person who knows or has reason to know that the
8 Defend Trade Secrets Act, 18 U.S.C. § 1836, et seq.
9 Pennsylvania Uniform Trade Secrets Act, 12 Pa. Cons. Stat. Ann. § 5301,
et. seq.
trade secret was acquired by . . . theft, bribery,
misrepresentation, [or] breach.” 18 U.S.C. § 1839(5)-(6); 12 Pa.
Cons. Stat. § 5302.
Vertical Screen is not entitled to summary judgment on its
trade secret claims because there is a disputed material fact as
to whether Garcia actually “misappropriated” or “acquired” the
information in question. As noted in the preceding section with
respect to its breach of contract claim, there is conflicting
evidence on the issue of whether Garcia actually sent or
received the Spreadsheet. This disputed material fact precludes
summary judgment in Vertical Screen’s favor on its trade secret
claims.
C. Garcia’s Motion
Garcia moves for summary judgment on Vertical Screen’s
counterclaims and on his own claim under the WPCL. Because
Garcia falls short of establishing that he is entitled to
judgment as a matter of law on Vertical Screen’s counterclaims
for breach of contract and misappropriation of trade secrets,
his motion will be denied as to Vertical Screen’s counterclaims.
However, Garcia has demonstrated that there are no disputed
material facts and that he is entitled to judgment as a matter
of law on his WPCL claim, so his motion will be granted as to
that claim.
1. Breach of Contract
Garcia essentially advances two arguments with respect to
Vertical Screen’s counterclaim for breach of contract: (1) that
he did not breach the Confidentiality Agreement; and (2) that
Vertical Screen has failed to establish cognizable damages.
As previously noted, whether Garcia sent or possessed the
Spreadsheet is a disputed material fact that cannot be resolved
at summary judgment. Garcia also appears to argue in his motion
that even if he did send the Spreadsheet to himself, he still
would not have breached the agreement because there is no
evidence that he sent the information to a third party. But even
assuming this is true, the Agreement also requires that an
employee return any and all “Confidential Information” to
Vertical Screen upon termination, which Garcia admittedly did
not do. Therefore, Vertical Screen’s breach of contract claim
still turns on the disputed material fact of whether the
Spreadsheet ever came into Garcia’s possession.
Garcia’s damages argument is also unconvincing. Because
nominal damages are available for breach of contract under
Pennsylvania law, courts have refused to grant summary judgment
on a breach of contract claim solely because a party has not
established damages. See Thorsden v. Iron & Glass Bank, 476 A.2d
928, 931 (Pa. Super. Ct. 1984) (noting that a party who proves
breach of contract but shows no resulting damages is entitled to
nominal damages, so “[a] grant of summary judgment on the sole
basis of absence of provable damages . . . is generally
improper”); see also Zeno v. Ford Motor Co., Inc., 480 F. Supp.
2d 825, 834 (Pa. Super. Ct. 1984) (“In light of the law of
Pennsylvania allowing nominal damages for breach of contract,
summary judgment cannot be granted for failure to show
damages.”).
Garcia has therefore failed to establish that he is
entitled to summary judgment on Vertical Screen’s counterclaim
for breach of contract.
2. Misappropriation of Trade Secrets
Garcia first argues that he is entitled to summary judgment
on Vertical Screen’s counterclaims for misappropriation of trade
secrets because the data at issue is not a trade secret as a
matter of law. Both the DTSA and the PUTSA essentially define a
trade secret as information that: “(a) the owner has taken
reasonable means to keep secret; (b) derives independent
economic value, actual or potential, from being kept secret; (c)
is not readily ascertainable by proper means; and (d) others who
cannot readily access it would obtain economic value from its
disclosure or use.” Teva Pharm. USA, Inc. v. Sandhu, 291 F.
Supp. 3d 659, 675 (E.D. Pa. Jan. 30, 2018) (first citing 18
U.S.C. § 1839(3) and then citing 12 Pa. Stat. § 5302). Courts
consider six factors in determining whether information is a
trade secret: (1) existence of knowledge of the information
outside of the business, (2) the extent of knowledge of the
information within the business, (3) measures taken to protect
the alleged secret, (4) the information’s value, (5) the amount
of resources used in creating the information, and (6) the
difficulty of legitimately acquiring or duplicating the
information. Bimbo Bakeries USA, Inc. v. Botticella, 613 F.3d
102, 109 (3d Cir. 2010).
Garcia argues that the Spreadsheet is not a trade secret
because it essentially consists of a compilation of publicly
available data. Because the information is largely publicly
available, he argues, knowledge of the information exists widely
outside the business, the information is not inherently
valuable, and it is easily acquired or duplicated by a potential
competitor. Vertical Screen acknowledges that much of the
information contained in the Spreadsheet is publicly available,
but claims that what makes the Spreadsheet a protectable trade
secret is its formatting. It asserts that the Spreadsheet groups
jurisdictions in a way that gives Vertical Screen a competitive
edge in its industry and outlines its workflow processes.
Vertical Screen further argues that the Spreadsheet took “many
months” to develop, and would be valuable in the hands of
competitors, as they could use the Spreadsheet’s formatting to
create workflow processes that would rival Vertical Screen’s in
efficiency. And finally, Vertical Screen points out that it took
efforts to keep the Spreadsheet secure, including by encrypting
the file with password protections and requiring its employees
to sign confidentiality agreements that prohibited them from
sharing it. Viewing the evidence in the light most favorable to
the non-moving party, which here is Vertical Screen, a
reasonable jury could conclude that the Spreadsheet is a trade
secret.
Garcia next argues that even if the Spreadsheet is a trade
secret, he is still entitled to summary judgment on these claims
because he did not “misappropriate” it as a matter of law. As
previously noted, the issue of whether Garcia actually acquired
the Spreadsheet is a disputed material fact. Even so, Garcia
appears to argue that even if he did acquire the Spreadsheet, he
still cannot have “misappropriated” it because he would not have
had reason to know it was acquired through “improper means.”
Teva Pharm. USA, Inc., 291 F. Supp. 3d at 674 (defining
“misappropriation” of a trade secret, in part, as the
“acquisition of a trade secret of another by a person who knows
or has reason to know that the trade secret was acquired by
improper means”).
Contrary to Garcia’s assertions, the record supports an
inference, at this point to be drawn in favor of Vertical Screen
as the nonmoving party, that Garcia had reason to know that
sending the Spreadsheet to his personal email constituted
acquiring it by improper means. For example, he signed the
Confidentiality Agreement, which designated as “confidential”
any information “concerning the . . . work assignments or
capabilities of any Employee.” Confidentiality Agreement §
2.2(vii), ECF No. 69-7. He also signed Vertical Screen’s
Acceptable Use Policy, which prohibited employees from “sending
confidential information to external recipients unless via
approved encryption methods.” Acceptable Use Policy at 9, ECF
No. 69-23. In light of these acknowledgments, the Court cannot
find that Garcia did not misappropriate any trade secret as a
matter of law.
Garcia next argues that Vertical Screen’s PUTSA claim is
barred by the gist of the action doctrine. Pennsylvania’s “‘gist
of the action’ doctrine provides that an alleged tort claim
against a party to a contract, based on the party’s actions
undertaken in the course of carrying out a contractual
agreement, is barred when the gist or gravamen of the cause of
action stated in the complaint, although sounding in tort, is,
in actuality, a claim against the party for breach of its
contractual obligations. Bruno v. Erie Ins. Co., 106 A.3d 48, 53
(Pa. 2014).
To support his argument, Garcia cites Wiggins v.
Physiologic Assessment Servs., LLC, 141 A.3d 1058, 1064-65 (Del.
Super. Ct. 2016), in which the Superior Court of Delaware
dismissed misappropriation of trade secrets claims as barred by
the gist of the action doctrine because the defendant’s conduct
was clearly defined and prohibited by the employment agreement
between the parties. Wiggins is, of course, not binding, as it
is a Delaware state court decision. It is also distinguishable.
The trade secret claims in Wiggins were brought under the common
law rather than under federal and/or state statutes, as they are
here. And courts within this district and elsewhere within the
Third Circuit have suggested that the gist of the action
doctrine does not function to bar claims that seek to enforce a
right created by a federal or state statute. See, e.g., Sproul
Hill Assocs., L.P. v. Newell Rubbermaid Inc., No. 13-cv-4998,
2013 WL 6731976, at *3 (E.D. Pa. Dec. 23, 2013) (declining to
use gist of the action doctrine to bar Pennsylvania state
statutory claims); The Knit With v. Knitting Fever, Inc., Nos.
08-cv-4221, 08-cv-4775, 2009 WL 3427054, at *5-6 (E.D. Pa. Oct.
20, 2009) (declining to apply the doctrine to bar claims under
federal RICO statute); Pittsburgh Logistics Sys., Inc. v.
LaserShip, Inc., No. 18-cv-1382, 2019 WL 2443035, at *9 (W.D.
Pa. Jun. 12, 2019) (declining to dismiss DTSA and PUTSA claims
under the gist of the action doctrine because the statutes
create private rights “that are enforceable in the absence of a
mutual consensus between contracting parties”). Based on this
persuasive authority, the Court finds that the gist of the
action doctrine does not apply to bar Vertical Screen’s
counterclaim for misappropriation of trade secrets under the
PUTSA.
Garcia next argues that Vertical Screen’s trade secret
claims fail because there is no evidence that Vertical Screen
has sustained any actual damages as a result of the
misappropriation. While Garcia is correct that Vertical Screen
has not produced any evidence of monetary damages, the
counterclaims for misappropriation of trade secrets also seek an
injunction prohibiting Garcia from further misappropriation or
use of the alleged trade secrets and directing him to destroy or
erase confidential documents or information. See Amended
Counterclaims at 13, ECF No. 24; see also 18 U.S.C. §
1836(b)(3)(A) (authorizing injunctive relief under the DTSA); 12
Pa. Cons. Stat. § 5303(a) (authorizing injunctive relief under
the PUTSA). Again, the issue of whether Garcia misappropriated
any trade secret is a disputed material fact that cannot be
resolved at summary judgment. However, if Vertical Screen
establishes at trial that Garcia did misappropriate its trade
secrets, it may be entitled to injunctive relief. The Court
accordingly declines to enter summary judgment on Vertical
Screen’s trade secret claims based on any failure to establish
damages at this stage.
Garcia finally argues that he is entitled to at least
partial summary judgment on Vertical Screen’s DTSA claim to the
extent it seeks exemplary damages or attorneys’ fees. In order
to be awarded exemplary damages or attorney fees under the DTSA,
an employer must provide notice of the immunity offered under
section 1833(b)(1) of the DTSA, which prohibits an individual
from being held liable for disclosure of a trade secret in
certain situations not applicable to this action. The
Confidentiality Agreement is silent as to this immunity, so
Vertical Screen has not complied with DTSA’s notice requirement.
Vertical Screen is therefore unable to seek exemplary damages or
attorney fees pursuant to its DTSA claim, and Garcia’s motion
will be granted to that extent.
3. Garcia’s WPCL Claim
Garcia is entitled to summary judgment on his WPCL claim.
He has established at least an implied oral contract for
increased wages between him and Vertical Screen and that
Vertical Screen did not pay him the promised salary increase.
See Braun v. Wal-Mart Stores, Inc., 24 A.3d 875, 954 (Pa. Super.
Ct. 2011) (“‘To present a wage-payment claim,’ the employee must
aver a contractual entitlement to ‘compensation from wages’ and
a failure to pay that compensation.”) (quoting Sullivan v.
Chartwell Inv. Partners, LP, 873 A.2d 710, 716 (Pa. Super. Ct.
2011)).
Vertical Screen admits that Garcia’s supervisors promised
the raise and that it did not comply with the promise, but
argues in response that the promises did not establish a
contract because Garcia should have been aware that additional
approval of either Gaudreau or Twardowski was required to
confirm the promise of a raise. However, it points to no written
policy requiring such approval and no reason that Garcia should
have been aware of such a policy. Garcia has therefore
established that his supervisors had at least apparent authority
to offer him the raise in return for his acceptance of the
promotion. This creates a binding contract that is enforceable
under the WPCL. See Scully v. US WATS, Inc., 238 F.3d 497, 516-
17 (3d Cir. 2001) (noting that the WPCL “establishes a right to
enforce payment of wages and compensation that the employer has
legally obligated itself to pay”) (citation omitted). There are
no disputed material facts as to this claim, and no reasonable
jury could find that Vertical Screen did not breach an
employment contract with Garcia. The Court will accordingly
enter summary judgment in favor of Garcia on his WPCL claim.
Garcia also presents a calculation of damages to which he
claims he is entitled in connection with his WPCL claim. But
because Vertical Screen has not addressed this calculation and
because Garcia also requests prejudgment interest, the Court
will grant Garcia’s motion as to Vertical Screen’s liability
under the WPCL only and reserve the issue of damages for the
conclusion of the litigation.
V. CONCLUSION
For the reasons stated above, Vertical Screen’s motion for
summary judgment will be granted as to Garcia’s claims under the
ADA, PHRA, FMLA, Title VII, and Garcia’s request for punitive
damages, and denied as to Garcia’s WPCL claim and Vertical
Screen’s counterclaims.
Garcia’s motion will be granted as to Vertical Screen’s
liability under the WPCL and Vertical Screen’s request for
exemplary damages and attorneys’ fees pursuant to its trade
secret claims, and denied as to Vertical Screen’s breach of
contract claim and Garcia’s potential liability for
misappropriation of trade secrets under the DTSA and PUTSA.
An appropriate order follows.