Maybin v. Hilton Grand Vacations Co.

CARL MAYBIN, Plaintiff, v. HILTON GRAND VACATIONS COMPANY, LLC, Defendant.

CIVIL NO. 17-00489 DKW-KSC

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF HAWAI'I

March 6, 2018

ORDER DENYING DEFENDANT'S MOTION FOR SUMMARY JUDGMENT

INTRODUCTION

Hilton Grand Vacations Company, LLC ("Hilton") seeks summary judgment on Plaintiff Carl Maybin's claim that he was unlawfully terminated from his timeshare sales position due to his age in violation of the Age Discrimination in Employment Act ("ADEA"), U.S.C. § 621 et seq. After Maybin failed to meet sales quotas for several consecutive months and was subject to progressive written warnings, Hilton terminated him. Maybin, however, contends that age-based discrimination by his supervisors hindered his ability to complete sales and adequately perform his job. Because there are genuine issues of material fact with regard to the veracity of Hilton's performance-based explanations, which Hilton did not fully address, the Motion for Summary Judgment as to Count I is DENIED.

BACKGROUND

I. Factual Background

Maybin was hired by Hilton as a sales agent in September 2015 when he was 55 years old. Before his hiring, Maybin had a series of job interviews. He first interviewed with Derek Kanoa, Vice President of Sales, and then with Julia Montenegro, a senior member of Hilton's Human Resources department. Decl. of Carl Maybin ¶ 3, Dkt. No. 26-1. Maybin followed that by interviewing with Dave Colton, and last with Joshua Kannel, the Hawaii Director of Sales. Maybin Decl. ¶¶ 3-4. Based upon Kannel's recommendation and request, Maybin was hired on September 14, 2015. Decl. of Joshua Kannel ¶ 7, Dkt. No. 21-1.¹

According to Maybin, shortly after he was hired, he witnessed Kannel display overt animus towards older sales agents by making negative comments about their abilities at sales meetings. Maybin avers that Kannel "ridicule[d] [himself], Bob Bennett, Jose Henao, and Richard Green because of their ages[,]" each one of them "sales agents in [their] late 50s." Maybin Decl. ¶ 6. For example, Kannel said they "were too slow, can't learn, have a different way of doing things, are hard to teach new ways of sales, are too old to change, and don't have the energy necessaryfor sales." Maybin Decl. ¶ 6. Kannel made such comments at sales meetings from the time that Maybin first started "and continued [making them] throughout [his] employment" with Hilton. Maybin Decl. ¶ 6.

Although Hilton contends that Maybin was terminated because he was not performing his job adequately as measured by objective performance standards, Maybin asserts that from the inception of his employment until the beginning of February 2016, his sales were strong, and at times he "was number 2 or 3 in sales," compared to his peers. Maybin Decl. ¶ 7. From the end of February 2016, however, Maybin's sales numbers declined, and he attributes that decline, in part, to being "given less tours," and intentionally assigned fewer potential customers. Maybin Decl. ¶¶ 8-9. Kannel was responsible for creating the daily "'roter' or list of sales people in the order that they would get tours." Maybin Decl. ¶ 10. Those employees listed near the top of the "roter" were assigned a greater number of tours, according to Maybin, "usually 2 or 3 per day, [however,] [i]f you were at the bottom of the list, you would get none, or 1 to 2 tours per day." Maybin Decl. ¶ 11. In Maybin's version of events, he was "intentionally given less tours, even though he was a high producer of sales. Being given less tours resulted in less sales, [because] [i]f you don't get customers for tours, you get less sales." Maybin Decl. ¶ 9. From the end of February 2016, Maybin claims that he "was placed toward the bottom ofthe 'roter', even though [his] sales performance had been good, and [he] was meeting quotas." Maybin Decl. ¶ 12.

In March 2016, Maybin was assigned a new sales manager, James Tony Wilson, who treated Maybin "in a very hostile manner" from their first interaction. Maybin Decl. ¶¶ 13-14. Wilson made inappropriate comments to Maybin, "interfer[ing] with [his] sales by making sarcastic remarks about [his] clients." Maybin Decl. ¶ 15. Maybin lost sales because Wilson "would refuse to meet with [his] customers after [Maybin] gave them a tour to talk to them about purchasing." Maybin Decl. ¶ 15. Because "[o]nly the sales managers [such as Wilson] could do the actual sales," this meant that Maybin lost sales "about ten times" because of Wilson's alleged conduct. Maybin Decl. ¶ 15. Maybin asked three times to be reassigned to another sales manager, but claims that his requests were "refused." Maybin Decl. ¶ 16.

Maybin received his first written job performance warning in May 2016 for failure to meet Hilton's job performance standards. Hilton assesses sales agents and executives' performance under its "Minimum Performance Standards" system ("MPS"), which operates in the following manner:

Under the MPS, during the first three months of employment, Sales Executives were required to complete a total of five sales within that three month period.

Under the MPS, during the second three months of employment, Sales Executives were required to complete a total of seven sales within that second three month period.

Once a Sales Executive had passed the first six months of employment, their MPS requirements changed from being based on the number of sales made to a "Value Per Guest" ("VPG") basis.

Under the MPS, after six months of employment, Sales Executives were required to meet a monthly VPG minimum of $2,200 in at least one of the three following categories: (1) current month, (2) an average of the prior three month period, or (3) an average of the prior twelve month period.

Kannel Decl. ¶ 8(b)-(e) (citing Ex. 1). The consequences of failure to meet minimum performance guidelines after the three-month introductory period are as follows:

Starting in the fourth month of a Sales Executive's employment[,] if a Sales Executive fails to meet the required MPS, they were subject to a system of progressive written warning documenting their lack of performance and failure to satisfy the MPS ("Job Performance Warning System").

Under the Job Performance Warning System[,] the progression is as follows: (1) written warning, (2) a second/final written warning, and (3) termination.

Kannel Decl. ¶ 12(a)-(b) (citing Ex. 1).

According to Hilton, during the final four months of his employment, Maybin did not meet any of the standards under the MPS. That is, he failed to have a VPG of at least $2,200 on the basis of current sales or an average of the prior three months of sales. During April, May, June, and July 2016, Maybin performed as follows:

VPG Month

Plaintiff's Sales

Plaintiff's VPG

Current Month

Plaintiff's VPG

3 Month Avg.

Month 7

(April 2016)

$1,202

$943

$943

Month 8

(May 2016)

$1,247

$1,809

$1,291

Month 9

(June 2016)

$1,161

$401

$952

Month 10

(July 2016)

$0.00

$0.00

$648

Kannel Decl. ¶ 11. When Maybin did not meet his required VPG in May 2016, he received his first written job performance warning on June 25, 2016. Kannel Decl. ¶ 13; Ex. 2 (6/25/16 Performance Management Review Document), Dkt. No. 21-3. Maybin received a second and final written warning when he did not meet his VPG for June 2016. Kannel Decl. ¶ 15; Ex. 3 (7/26/16 Performance Management Review Document), Dkt. No. 21-4.

Maybin acknowledges that during April, May, and June of 2016, he did not meet sales quotas, but says that he "was intentionally given less tours which kept [his] sales numbers down and [his] sales manager was refusing to meet [with his] customers." Maybin Decl. ¶ 17. Hilton maintains that Maybin always received at least 15 tours per month—even after February 2016—and that "[o]nly 15 tours are required each month for a sales executive to meet his sales quotas." Decl. of Julia Montenegro ¶ 5, Dkt. No. 29-1.

According to Hilton HR's Montenegro, in May 2016, Maybin was not required to attend any training and had 19 tours. Montenegro Decl. ¶ 9. After he received his first written warning, he was "placed into remedial training for June 2016," and that month, his tours increased from 19 to 29. Montenegro Decl. ¶¶ 9-10. In July, Maybin received 23 tours and "was given an extra month of remedial training." Montenegro Decl. ¶ 13.

According to Maybin, in July 2016, he was ordered to attend mandatory training of undisclosed duration at the Pan Am Building on Kapiolani Boulevard. Maybin Decl. ¶ 18. As a result of the required training, Maybin claims to have only received one tour per day at 8:00 a.m., and had no sales in July 2016. According to Maybin, he "could not possibly have met quota because he was in mandatory training." Maybin Decl. ¶ 18.

When Maybin did not meet his VPG in July 2016, he was terminated the following month. Kannel Decl. ¶¶ 17-18; Ex. 4 (8/23/16 Performance Management Review Document), Dkt. No. 21-5; Ex. 5 (8/29/16 Personnel Authorization Form), Dkt. No. 21-6. Per Kannel, he recommended this course of action to Hilton HR solely due to Maybin's sales performance, and declares that "Maybin's age had no part in [his] decision to recommend Mr. Maybin's termination." Kannel Decl. ¶ 20. Montenegro likewise avers that "age had no part in [Hilton's] decision to terminate Mr. Maybin." Montenegro Decl. ¶ 22. Maybindisagrees, contending that he was wrongfully terminated in August 2016 due to age discrimination.

II. Procedural Background

Maybin filed his Charge of Discrimination with the Equal Opportunity Employment Commission on January 4, 2017, Montenegro Decl. Ex. 1, Dkt. No. 32-1, which then issued a Notice of Right to Sue on June 30, 2017. See Mem. in Opp'n at 3. On September 27, 2017, Maybin filed his Complaint alleging three counts under the ADEA: (1) age discrimination; (2) hostile work environment; and (3) retaliation. Compl. ¶¶ 18-28, Dkt. No. 1. The Complaint alleges that on "August 1, 2016, Plaintiff was terminated from his position with Defendant Hilton due to discrimination based on...