Daniels v. Chugach Gov't Servs.

ERA XI — Present-Day Friction
Court Case
2022

Mr. Daniels was employed by Chugach’s Washington, D.C. office as an IT professional. Am. Compl. ¶ 4. Mr. Daniels’ employment with Chugach began in 2009 as a Systems Administrator. Id. At this time, Mr. Daniels was in his mid-fifties. The Lead Systems Administrator was an Ethiopian male in his sixties. Id. In 2011, Chugach announced a reorganization, including the consolidation of Mr. Daniels’ position with the Lead Systems Administrator position. Id. ¶ 5. Mr. Daniels and his Ethiopian colleague applied for the new position, but Chugach hired a younger Caucasian male. Id. ¶ 6. Mr. Daniels alleges that the new hire did not possess the relevant education or work experience requirements that were posted in the job description. Id. ¶ 7.

What Happened

Plaintiff John Daniels (“Mr. Daniels”) is a middle-aged man from Liberia, West Africa. Am. Compl. ¶ 4. A permanent resident of Maryland, Mr. Daniels worked for Defendant Chugach Government Services (“Chugach”) as a Systems Administrator from 2009 until 2011. Id. ¶ 4. In the fall of 2011, Chugach reorganized and Mr. Daniels was laid off. Id. ¶ 5. The position held by Mr. Daniels was combined with the position held by Mr. Daniels’ middle-aged Ethiopian colleague. Id. Mr. Daniels interviewed for the new position, but a younger Caucasian male was hired instead. Id. ¶ 6. Mr. Daniels trained the new hire. Id. ¶ 10. After one month, the new hired was dismissed for poor performance. Id. ¶ 11. Mr. Daniels served as Acting Lead Systems Administrator for approximately four months. Id. ¶ 12. Mr. Daniels was never invited to apply for the permanent position, which was awarded to a younger African American candidate in March 2012. Id. ¶ 10. Based on these events, Mr. Daniels alleges that Chugach discriminated against him based on his national origin, age and race. Id. ¶¶ 10-13. Chugach moves to dismiss Mr. Daniels’ Amended Complaint for failure to state a claim. Def.’s Mot. Dismiss, Docket No. 14. Upon consideration of the motion, the response and reply thereto, the applicable law, and the entire record, Defendant’s Motion is GRANTED in part and DENIED in part.Chugach is a government contractor based in Alaska. Am. Compl. ¶ 3. Mr. Daniels was employed at Chugach’s Washington, D.C. office. Id. At the time of the events alleged by Mr. Daniels, Chugach was a wholly owned subsidiary of Chugach Alaska Corporation, an Alaska Native Corporation created pursuant to the terms of the Alaska Native Claim Settlement Act (“ANCSA”). Def. Mem. Supp., Docket No. 14 at 7. The Alaska Native Settlement Claim Act of 1971 extinguished all Native claims to Alaskan land based on aboriginal use. Cook Inlet Region, Inc. v. Rude, 690 F.3d 1127, 1129 (9th Cir. 2012). Native Alaskans were compensated monetarily and with title to forty million acres of land. Id. ANCSA transferred title of the settlement land to twelve regional corporations, including the Chugach Alaska Corporation, and other entities created by the Act. Id.; see also United States v. Atl. Richfield Co., 435 F. Supp. 1009, 1020-21 (D. Alaska 1977) aff’d, 612 F.2d 1132 (9th Cir. 1980) (“The intent of Congress in the Settlement Act was to settle the claims of Alaska Natives and to compensate them without deciding the difficult and disputed question of the existence and extent of aboriginal title to Alaska lands.”).Mr. Daniels was employed by Chugach’s Washington, D.C. office as an IT professional. Am. Compl. ¶ 4. Mr. Daniels’ employment with Chugach began in 2009 as a Systems Administrator. Id. At this time, Mr. Daniels was in his mid-fifties. The Lead Systems Administrator was an Ethiopian male in his sixties. Id. In 2011, Chugach announced a reorganization, including the consolidation of Mr. Daniels’ position with the Lead Systems Administrator position. Id. ¶ 5. Mr. Daniels and his Ethiopian colleague applied for the new position, but Chugach hired a younger Caucasian male. Id. ¶ 6. Mr. Daniels alleges that the new hire did not possess the relevant education or work experience requirements that were posted in the job description. Id. ¶ 7.

Why It Matters Today

Adds precedent that influences how ANCSA corporations, regulators, and shareholders interpret governance rights and remedies.

Related Patterns

Related Governance Themes

No items found.

Sources

Primary Source
Secondary Source Link