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Hayes v. National Service Industries, Inc.

United States Court of Appeals for the Eleventh Circuit
196 F.3d 1252 (1999)


Facts

Robin Hayes (plaintiff) sued her employer and its parent company, National Linen Service and National Service Industries, Inc. (National) (defendants), alleging that she was wrongfully terminated from her job as a sales representative. Hayes’s attorney contacted National’s attorney and stated that he had authority from Hayes to settle the case for $15,000. The attorneys for National and Hayes settled the case for $15,000. However, Hayes rejected the settlement, claiming that she did not consent to the settlement. National filed a motion to enforce the settlement agreement. In district court, the magistrate judge issued a report finding that Hayes’s attorney had apparent authority to settle the case and that Hayes’s consent to the settlement was irrelevant if her attorney had the apparent authority to settle the case on her behalf. Hayes objected to the magistrate judge’s report. The district court overruled Hayes’s objections, adopting the report and recommendation of the magistrate judge, and dismissed Hayes’s complaint. Hayes appealed, asking for a determination of whether the magistrate judge had abused his discretion in deciding to enforce the settlement agreement.

Rule of Law

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Issue

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Holding and Reasoning (Hoeveler, J.)

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  • A "yes" or "no" answer to the question framed in the issue section;
  • A summary of the majority or plurality opinion, using the CREAC method; and
  • The procedural disposition (e.g. reversed and remanded, affirmed, etc.).

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