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Schraum v. Riviera Community Club2/9/2001
Janet Schraum appeals partial summary judgment dismissing her negligent supervision claim against Riviera Community Club (Riviera) for negligent supervision of Ronald Burgess (Burgess), who tortiously inflicted emotional distress upon her. We agree that the trial court erroneously dismissed this claim and reverse.
FACTS
The Riviera Board of Trustees (Board) hired Burgess as general manager. His duties included supervising three Riviera business office employees, including Schraum. Schraum had been working for Riviera for five years and was considered a 'great' employee.
Riviera did not authorize Burgess to hire or fire employees.
Nonetheless, on several occasions, Burgess, openly stated that he wanted Schraum to resign; he made his intentions known to Riviera employees and board members. He announced to bystanders on the Riviera golf course that he wanted to 'get ri{d}' of Schraum and told the Riviera grounds supervisor, 'I promise you, she'll {Schraum} leave.' When one employee asked whether Schraum did a good job, Burgess acknowledged that Schraum's work was 'all right'; but he added, 'She just doesn't fit in here.' When asked how he was going to 'get rid of her,' Burgess replied, 'You just wait and I will show you how.' As a result of these statements, Riviera employees and board members believed that Burgess planned to force Schraum to leave Riviera.
When Schraum became aware that Burgess was 'going to get rid of' her, she took notice of Burgess' treatment and feared that her job was in jeopardy. Burgess loudly criticized Schraum in front of co-workers, excluded her from informal staff meetings, revised her work schedule, forced her to work nights and weekends without additional pay, isolated her from co-employees in the office, assigned her additional job duties of another worker, and falsely accused her of failing to perform tasks. Within months of Burgess' hiring, board member Tom Rex (Rex) became aware of Burgess' 'mistreatment' of Schraum and spoke with him about it, without success.
In April 1995, Schraum's family doctor diagnosed her as suffering from acute stress reaction and depression caused by her work conditions; he prescribed an antidepressant and a tranquilizer. Schraum continued working, but the problems with Burgess persisted. Sometimes after encounters with Burgess, Schraum was visibly upset and cried in front of co- workers. Board member Janice Geyer (Geyer) visited Schraum and found her emotionally distraught over encounters with Burgess.
In October 1995, Schraum tried to discuss the matter with Burgess, pleading with him to behave professionally with her. But his mistreatment continued until later in the fall of 1995, when, after being falsely accused by Burgess, Schraum had a panic attack, took sick leave, and consulted a doctor. The problems continued after Schraum returned to work. Early in 1996, Burgess drafted a new job description for Schraum, cutting her hours and pay and assigning her janitorial duties. Burgess stated to another employee, 'There, this will take care of the bitch as soon as she reads this.'
Schraum had no prior history of emotional or psychological problems or of having consulted a psychological therapist. But finally, in February 1996, fearful of a nervous breakdown, Schraum consulted a psychologist, who diagnosed her with depression, panic disorder, and agoraphobia due to work- related stress. The psychologist recommended that Schraum not return to work until the issues with Burgess were resolved. At her family doctor's request, Schraum took a medical leave of absence in February 1996.
The Board was responsible for supervising Burgess. S
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