From Casetext: Smarter Legal Research

Feeney v. Marine Midland Banks, Inc.

Appellate Division of the Supreme Court of New York, First Department
Feb 11, 1992
180 A.D.2d 477 (N.Y. App. Div. 1992)

Opinion

February 11, 1992

Appeal from the Supreme Court, New York County (Irma Vidal Santaella, J.).


Plaintiff, a security analyst for 13 years with Irving Trust Company, began working for defendant Marine Midland Bank, N.A. ("Marine") after being recruited in 1983 by two Senior Vice Presidents, who offered her a position as a Vice President in their Resources Management Sector. She commenced this action on or about March 11, 1988 to recover damages for alleged wrongful termination, breach of contract, tortious interference with contract, and defamation.

During her employment, plaintiff had been provided with two employee handbooks issued by defendant parent company, Marine Midland Banks, Inc. ("MMBI"). The first, effective January 1984 stated, in pertinent part, as follows: "Since there is no contractual arrangement between the Bank and its employees, an employee may resign his/her employment at any time, for any reason. Likewise, an employee may be terminated at any time for reasons determined solely by Marine's management."

Similar language was contained in the second employee handbook, effective July 1, 1986, which, as relevant to this appeal, contained the following provision: "Since there is no contractual arrangement between the Bank and its employees, an employee is employed at will and may resign his/her employment at any time * * * [B]ecause every employee has been employed as an employee at will an employee may be terminated at any time for reasons determined solely by Marine's management."

In 1986, Marine underwent restructuring, and defendant Marinvest, Inc. ("Marinvest"), was formed to manage securities portfolios for institutional clients. Plaintiff left to join Marinvest, as did most of Marine's other securities personnel, and began working there in January 1986. On January 12, 1987, she was terminated for reasons stated in an internal memorandum from defendant Donald Gilbert, the Director of Research, including antagonistic attitude, substandard research, and lack of contribution.

Seeking damages in the amount of $3.5 million for each cause of action plus $5 million in punitive damages, plaintiff argued that a contract of employment had been established through oral promises and a letter, dated February 14, 1983, which confirmed the original offer of employment by Marine. Plaintiff further argued that her discharge was in violation of the National Bank Act. We disagree.

It is well settled that "absent an agreement establishing a fixed duration, an employment relationship is presumed to be a hiring at will, terminable at any time by either party" (Sabetay v. Sterling Drug, 69 N.Y.2d 329, 333; Murphy v. American Home Prods. Corp., 58 N.Y.2d 293, 300). It is only where a plaintiff can establish the existence of an express written agreement limiting the employer's right of termination, that the principles governing employment at will are inapplicable. (See, Weiner v McGraw-Hill, Inc., 57 N.Y.2d 458, 461; Weintraub v. Phillips, Nizer, Benjamin, Krim, Ballon, 172 A.D.2d 254.) The record before us supports no such exception.

The letter of February 14, 1983 does not provide a guaranteed term or limitations on the right to discharge, and its reference to a bonus payable in January 1984 is not a guarantee of employment for a minimum duration. (See, Dalton v. Union Bank, 134 A.D.2d 174, 176.)

We further reject plaintiff's claims under the National Bank Act, since, at the time of her dismissal, plaintiff was not employed by Marine, but by Marinvest, which is not a bank. Assuming, arguendo, that plaintiff retained her status as an officer of Marine during her employment by Marinvest, the fact that the Board of Directors did not dismiss her does not constitute a violation of the National Bank Act, which permits termination by a designee, if effected in accordance with the bank's by-laws. (See, Mahoney v. Crocker Natl. Bank, 571 F. Supp. 287, 290-291.) Marine's by-laws provide that the designee of the Chief Executive Officer may remove other officers or employees, and plaintiff was terminated by Marinvest's Director of Research with the approval of its President and Managing Director.

Our examination of the record leads us to further conclude that the balance of plaintiff's claims, including that of tortious interference with employment and defamation, present no bona fide issues of fact requiring trial, and that defendants' motion for summary judgment should, accordingly, have been granted. (See, Alvord Swift v. Muller Constr. Co., 46 N.Y.2d 276.)

Concur — Sullivan, J.P., Carro, Kassal and Smith, JJ.


Summaries of

Feeney v. Marine Midland Banks, Inc.

Appellate Division of the Supreme Court of New York, First Department
Feb 11, 1992
180 A.D.2d 477 (N.Y. App. Div. 1992)
Case details for

Feeney v. Marine Midland Banks, Inc.

Case Details

Full title:PATRICIA FEENEY, Respondent-Appellant, v. MARINE MIDLAND BANKS, INC., et…

Court:Appellate Division of the Supreme Court of New York, First Department

Date published: Feb 11, 1992

Citations

180 A.D.2d 477 (N.Y. App. Div. 1992)
579 N.Y.S.2d 670

Citing Cases

Pauza v. Standard Group, Inc.

Under New York law, such agreements are not enforceable. "It is only where a plaintiff can establish the…

Gabriel v. Therapists Unlimited

This "Employment Offer" notably contained not the slightest indication that defendant was acting as an…