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Southwest Gas v. Vargas8/24/1995
or shoulder when speaking to her and that, when he began putting his arm around her waist, she went through a process of moving away from him, physically brushing his arm away, and finally telling him to stop. Shirley R. Shutt stated that Vargas would often try to flatter her and make comments like, "come here, I need a hug," and other comments to the effect that he would like to have her alone for just five minutes. Shutt reported, "When he did get ahold of me . . . he put his arm around me . . . he tried to French kiss me . . . he tried to feel my breasts or put his hand on my back side & feel me. I would literally force him from me and tell him to get out before someone sees him alone in my office." Shutt reported further that on one occasion she saw Vargas stroking the back side of another female employee's leg to about eight inches above the knee.
[111 Nev. 1064, Page 1068]
After reviewing the written statements, Ray, Thaxton, and Olsen met with Thomas Trimble, Southwest's general counsel, and Preston Thompson, a senior member of the accounting department, to discuss the results of the interviews. The next day, Vargas was called in to discuss the findings of the ongoing investigation, the specific complaints of certain women, and to obtain his version of the facts. When Olsen refused to divulge the names of the complaining women, Vargas allegedly stated: "Whoever the people responsible are they are going to hear from me" and "I'd sure like to have their names and I'll get them no matter what it takes. They'll hear from me that's for sure." Although he denied it at trial, Vargas allegedly confessed during the interview that he had "Carol and Bippy" sit on his knee, that he may have touched someone, and that he had hugged Gail, Terri, and Carol. After the meeting with Vargas, Olson, Ray, Thompson, and Trimble met to consider options, and outside counsel was consulted. As an alternative to termination, the group considered placing Vargas on probation and assigning him to another work unit, but that option was rejected because of Vargas's qualifications and because Vargas would still be required to supervise female clerical employees. The group determined that Southwest could not allow Vargas to continue working in the accounting department. In Olsen's opinion, Vargas had created a hostile working environment, and, considering the threatening manner assumed by Vargas against the women who had complained about his conduct, the group, with the approval of counsel, decided to terminate him. Upon notification of his termination, Vargas claimed that all of the complaining women were lying and conspiring against him. Southwest CEO Michael Maffie did not believe Vargas's conspiracy theory was credible and affirmed the decision to terminate. Vargas thereafter filed suit against Southwest, alleging fourteen separate causes of action. The district court granted summary judgment in favor of Southwest on all claims except the breach of contract claim, which was eventually tried before a jury. Vargas testified at trial that during his initial employment interview he was guaranteed that if he accepted employment, he could work for an indefinite period and that the company would only terminate his employment for cause after following progressive disciplinary procedures. Vargas presented evidence pertaining to the discipline rendered in five previous incidents at Southwest involving accusations of sexual harassment. Specifically, it was noted that none of the alleged offenders had been terminated. The district judge, however, expressly disallowed any evidence regarding the specific allegations of misconduct in the other cases and evidence regarding
[111 Nev. 1064, Page 1069]
the in
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