1 2 3 Anthony F. Pantoni, Esq. (State Bar No. 099971) Anthony F. Pantoni, APC 501 West Broadway, Suite 1370 San Diego, California 92101 Tel: 619.235.4400 Fax: 619.233.1969 4 5 Attorney for Plaintiff Darrell Pilant 6 7 SUPERIOR COURT OF THE STATE OF CALIFORNIA 8 FOR THE COUNTY OF SAN DIEGO 9 10 DARRELL PILANT, Case No. 11 ------------ Plaintiff, COMPLAINT 12 V. 1. Wrongful termination in violation of public policy 13 14 15 CAESARS ENTERPRISE SERVICES, LLC, a limited liability corporation; CAESARS ENTERTAINMENT, INC. a corporation; and DOES 1 through 20, inclusive, 16 Defendants 2. Violation of Cal. Labor Code§ 6310 3. Violation of Cal. Labor Code§ 1102.1 4. Breach of written employment agreement 17 Plaintiff Darrell Pilant ("Mr. Pilant" or "Plaintiff") hereby alleges as follows: 18 INTRODUCTION 19 1. This is a "whistleblower" employment law action in which Mr. Pilant, among 20 other things, alleges that CAESARS constructively terminated his employment because he 21 opposed and refused to carry out CAESARS' directive to re-open Harrah's Resort Southern 22 California ("Harrah's Resort SoCal") at a time when Mr. Pilant reasonably believed, and 23 government officials (including California Governor Gavin Newsom) as well as medical and 24 scientific experts also believed, that doing so would endanger the health and safety of 25 employees and the public in light of the wide-spread and dangerous COVID-19 pandemic. 26 Rather than carry out the illegal and dangerous directive of his employer, Mr. Pilant had no 27 alternative but to resign his long-time employment with CAESARS. 28 -1COMPLAINT PARTIES AND VENUE 1 3. 2 Plaintiff Darrell Pilant is an individual who currently resides in, and at the time 3 of the constructive termination of employment described herein resided in, San Diego 4 County, California. 4. 5 Defendant CAESARS ENTERPRISE SERVICES, LLC ("CEC") is, and at the time of 6 the constructive termination of employment described herein was, a limited liability 7 corporation headquartered in Las Vegas, Nevada, and doing business in San Diego County, 8 California and elsewhere. CEC was Mr. Pilant's employer at the time of the constructive 9 termination of his employment. At that time, Caesars Entertainment Corporation was CEC's 10 ultimate parent company. 5. 11 Defendant CAESARS ENTERTAINMENT, INC. ("CZR") is a Delaware corporation 12 headquartered in Las Vegas, Nevada, and doing business in San Diego County, California and 13 elsewhere. On or about July 20, 2020, CZR (formerly known as Eldorado Resorts, Inc.) 14 completed its acquisition of Caesars Entertainment Corporation and became the ultimate 15 parent company of CEC. 16 6. CEC and Caesars Entertainment Corporation (now CZR) were the joint 17 employers of Mr. Pilant at the time of the constructive termination of his employment and 18 are collectively referred to herein as "CAESARS" or the "Company". Mr. Pilant is informed 19 and believes that Caesars Entertainment Corporation (and now CZR) controlled the business 20 of CEC and was involved in and/or made the decision to re-open Harrah's Resort SoCal. 21 7. Mr. Pilant does not know the true names and capacities of the Defendants 22 sued herein as DOES 1 through 20, inclusive, and he therefore sues these Defendants by 23 fictitious names. Mr. Pilant alleges upon information and belief that each of the fictitiously 24 named Defendants is responsible in some manner for the acts or omissions alleged herein 25 and that his damages were proximately caused by the acts or omissions of these Defendants. 26 III 27 III 28 /// -2COMPLAINT 1 8. Venue is proper in San Diego County because at all times materially relevant 2 to this action, Mr. Pilant resided and worked in San Diego County, Harrahs' Resort SoCal was 3 located in San Diego County, and Mr. Pilant executed the Employment Agreement 4 referenced herein in San Diego County. 5 6 EMPLOYMENT AND PERSONAL BACKGROUND 9. Mr. Pilant was a long-time employee of CAESARS. He worked for the 7 Company for nearly 23 years. Mr. Pilant's employment history with CAESARS was 8 exemplary. Mr. Pilant began his employment with CAESARS (then Harrah's Entertainment) 9 in 1997 in the entry-level management position of First Mate. From there, he worked 10 himself up the chain of command, receiving a series of promotions and raises over his many 11 years of service. At the request of CAESARS, he moved all over the country, from Missouri to 12 Louisiana to Mississippi and back to Missouri. In 2011, he was transferred to a position at 13 Harrah's Rincon Casino & Hotel (now Harrah's Resort SoCal). In 2015, Mr. Pilant earned the 14 "Excellence in Leadership" Award, which was the highest honor that Caesar awarded its 15 executives. In 2016, Mr. Pilant was promoted to SVP and General Manager of Harrah's 16 Resort SoCal, a position in which he excelled for the past four years. In his last performance 17 review (for 2019}, Mr. Pilant received the highest job performance rating a General Manager 18 can receive, which is titled "Role Model." 19 20 21 10. Mr. Pilant held the position of SVP and General Manager of Harrah's Resort SoCal at the time he was forced to resign his employment. 11. Mr. Pilant never received any form of performance counseling or discipline in 22 his 23 years with CAESARS, either from the Company or from any of the regulatory bodies in 23 the many jurisdictions in which he worked. 24 25 26 12. Mr. Pilant performed his duties in a diligent and highly competent manner throughout his employment with CAESARS. 13. In addition to his stellar work history, Mr. Pilant is a pillar of the.community. 27 He serves, or has served, on the boards of numerous non-profit and health foundations 28 (including California State University San Marcos, Tri-City Hospital Foundation, San Diego -3COMPLAINT 1 North Business Chamber, San Diego Food Bank, and Palomar Health Foundation). For the 2 past two years, Mr. Pilant has been named one of the Top 500 Influential Business Leaders in 3 San Diego by the San Diego Business Journal. In addition, Mr. Pilant served for more than 15 4 years in the United States Naval Reserves, attaining the rank of Lieutenant Commander. 5 6 14. In short, Mr. Pilant's job performance was extraordinary and his character and veracity are unassailable. 7 FORCED RESIGNATION DUE TO COVID-19 HEALTH AND SAFETY RISKS 8 15. As will be discussed more fully below, Mr. Pilant was forced to resign his 9 employment because he opposed practices that he felt presented a serious risk to the health 10 and safety of employees (including himself) and the public in light of COVID-19. Namely, Mr. 11 Pilant expressed strong opposition to CAESARS' decision to reopen Harrah's Resort SoCal on 12 May 22, 2020, a decision that was contrary to the clear direction and advice of the Governor 13 of California and local government and health experts and officials. Mr. Pilant simply could 14 not, in good conscience, carry out CAESARS' instruction to reopen the facility, and he 15 therefore was compelled to resign. 16 16. Mr. Pilant is informed and believes that Harrah's Resort SoCal is owned by The 17 Rincon Band of Luiseno Indians, and that CEC contracts with the Rincon tribe and is 18 responsible for the management of and operation of Harrah's Resort SoCal and other 19 hotel/casino properties. 20 17. In early May 2020, Mr. Pilant was contacted by Rincon Tribal Chairman Bo 21 Mazzetti and was told that the San Diego tribes were going to inform California Governor 22 Gavin Newsom that they were planning to reopen all of their casinos on or after May 18, 23 2020. On May 8, 2020, the tribal leaders sent a letter to Governor Newsom and San Diego 24 County Board of Supervisors Chairman Greg Cox setting forth their plan. Throughout this 25 time frame, Mr. Pilant was repeatedly assured that the Governor and the County were "on 26 board" with the reopening. 27 /// 28 /// -4COMPLAINT 1 18. However, on May 17, 2020, Mr. Pilant saw a May 15, 2020 letter from 2 Governor Newsom which responded to the tribal leaders' letter. In his letter, Governor 3 Newsom strongly advised that the casinos not be reopened . Among other things, Governor 4 Newsom's letter states: 5 "[The plan to reopen casinos] deeply concerns me, and I urge tribal governments to 6 reconsider .... I cannot stress enough that the risk of COVID-19 transmission remains a 7 serious threat for all Californians . ... [It] is in the best interest of public health to move 8 toward a reopening in concert [with California's phased reopening plan]." 9 19. The next day, May 18, 2020, Mr. Pilant forwarded Governor Newsom's letter 10 to CAESARS' management, including N. Lynne Hughes (VP Legal Affairs and Chief Legal 11 Officer), Robert Livingston (Regional President and Mr. Pilant's immediate supervisor} and 12 Tom Jenkin (Global President}. Mr. Pilant expressed his health and safety concerns about 13 reopening in contravention of advice and counsel of Governor Newsom. Later that evening, 14 Mr. Pilant had a telephone call with Ms. Hughes and Mr. Livingston and was told that 15 CAESARS was going to proceed with the reopening on May 22, 2020. Mr. Pilant continued to 16 express his opposition to that decision, making it clear that he felt the reopening would be a 17 danger to the health and safety of CAESARS employees and the public. 18 20. Later that evening, on May 18, 2020, Mr. Livingston sent an email to Mr. 19 Pilant, with copies to Ms. Hughes and Mr. Jenkin, stating: "Did anyone else open today 20 besides Viejas and Jamul? I feel better about opening in defiance of the Governor with 21 others open." (Emphasis added .} 22 21. On May 19, 2020, Mr. Pilant telephoned Mr. Livingston and again reiterated 23 his concerns that reopening the casino posed a serious health and safety risk. Mr. Pilant told 24 Mr. Livingston that in good conscience he could not carry out the reopening and he felt he 25 had no choice but to resign. Mr. Livingston confirmed that he knew CAESARS' plan to reopen 26 was contrary to the advice of the Governor and he never once disagreed with Mr. Pilant 27 regarding his concerns about employee and public health and safety. Nevertheless, Mr. 28 Livingston urged Mr. Pilant to stay on and carry out the reopening. Mr. Pilant was resolute -5COMPLAINT 1 that he could not execute a plan that he felt was unsafe for employee and the public. Mr. 2 Pilant submitted his resignation shortly after that telephone call. 22. 3 On May 20, 2020, Mr. Jenkins contacted Mr. Pilant and had a telephone call 4 with him to try to persuade him to reopen the casino. Mr. Pilant again conveyed his 5 understanding that Governor Newsom was being advised by top health official and experts 6 who had far more data, knowledge and experience on these issues than CAESARS or the 7 tribes had. In the end, Mr. Pilant reiterated that it was a matter of "right and wrong" and 8 what CAESARS was doing was wrong, and that he could carry out the reopening and go back 9 to work at an unsafe workplace. 23. Mr. Pilant spent the next two days working with his resort executive team to 11 prepare for the reopening. He did so in order to try to mitigate the risks as best as he could 12 prior to the reopening. Mr. Pilant handed in his gaming badge and other company materials 13 to Mr. Livingston on May 21, 2020. 14 24. CAESARS opened Harrah's Resort SoCal on May 22, 2020, notwithstanding the 15 Governor's clear warnings and the serious health and safety risk to employees and the 16 public. 17 25. As discussed above, Mr. Pilant repeatedly expressed opposition to CAESARS' 18 reopening of Harrah's SoCal Resort, made complaints to management that the reopening 19 created a health and safety risk for employees, the public, and himself, and warned CAESERS 20 that reopening would likely lead to an outbreak of COVID-19 among employees who worked 21 at the facility and the public who patronized the facility. Mr. Pilant was forced to resign 22 because CAESARS continued to insist that he reopen the facility despite the health and safety 23 risks. 24 26. Under California law, when an employer intentionally creates or knowingly 25 permits working conditions to exist that are so intolerable that a reasonable person in the 26 plaintiff's position would have had no reasonable alternative except to resign, a 27 "constructive discharge" has occurred. There is no difference between an actual discharge 28 and a constructive discharge in the eyes of the law. Here, by insisting that Mr. Pilant reopen -6COMPLAINT 1 the Harrah's Resort SoCal facility before it was safe and healthy to do so, and by requiring 2 Mr. Pilant to work in the Harrah's Resort SoCal facility after the reopening and expose 3 himself to serious health and safety risks, CAESARS created intolerable working conditions 4 which left Mr. Pilant with no reasonable alternative but to resign . 27. 5 Mr. Pilant is informed and believes that the premature reopening of Harrah's 6 SoCal Resort and other hotel/casino properties owned and/or operated by CAESARS did in 7 fact result in serious adverse health and safety consequences involving employees and 8 customers contracting COVID-19. 9 FIRST CAUSE OF ACTION 10 (Wrongful Termination in Violation of Public Policy) 11 12 the other paragraphs set forth in this Complaint. 13 · 14 15 Mr. Pilant realleges and incorporates by reference the allegations of each of 28. 29. Mr. Pilant reported and opposed conduct on the part of CAESARS that he reasonably believed presented serious health and safety risks to employees, to the public, and to himself. 16 30. The health and safety risks that Mf. Pilant reported and/or opposed as set 17 forth herein violated various state and federal statutes and regulations, including but not 18 limited to: 19 • Cal. Labor Code§ 6400(a) which provides: "Every employer shall furnish 20 employment and a place of employment that is safe and healthful for the 21 employees therein." 22 • 23 Regulations promulgated by the California Occupational Safety and Health Administration ("Cal-OSHA"). 24 • The General Duty Clause of the federal Occupational Safety and Health Act 25 ("OSHA") which provides that employers have the responsibility to provide a safe 26 and healthful workplace (see 29 U.S.C. § 654(a)(l)), as well as various OSHA 27 regulations. 28 /// -7COMPLAINT 1 • California premises liability laws and regulations, including the general duty to 2 exercise due care codified in Cal. Civil Code§ 1714(a) which provides: "Everyone is 3 responsible, not only for the result of his or her willful acts, but also for an injury occasioned 4 to another by his or her want of ordinary care or skill in the management of his or her 5 property or person." 6 31. Mr. Pilant was forced to resign his employment rather than follow CAESARS' 7 directive to prematurely reopen the Harrah's Resort SoCal facility despite the health and 8 safety risks presented by COVID-19. Accordingly, CAESARS constructively terminated Mr. 9 Pilant's employment. 32. The constructive termination of Mr. Pilant's employment with CAESARS was in 11 violation of the public policy of the State of California, embodied in the statutes and 12 regulations referenced above. The public policy violation was a substantial motivating 13 reason, if not the only reason, for the constructive discharge. 14 33. As a proximate result of Defendants' conduct, Mr. Pilant has suffered and will 15 continue to suffer special damc!ges (including, but not limited to, past and future losses in 16 compensation and employment benefits) in an amount exceeding the jurisdictional 17 minimum of this court, the exact amount to be proven at trial. 34. 18 As a proximate result of Defendants' conduct, Mr. Pilant has suffered and will 19 continue to suffer emotional distress and other general damages in an amount exceeding 20 the jurisdictional minimum of this court, the exact amount to be proven at trial. 21 35. Defendants' conduct was oppressive, fraudulent and malicious, and was done 22 with a willful and conscious disregard for Mr. Pilant's rights and the consequences of 23 Defendants' actions. Mr. Pilant is therefore entitled to an award of punitive damages against 24 Defendants, and each of them, for the sake of example and by way of punishing Defendants. 25 36. If Mr. Pilant is the prevailing party, he is entitled to recover reasonable 26 attorney's fees under Cal. Code of Civil Procedure§ 1021.5 in that this action will have 27 resulted in the enforcement of an important right affecting the public interest. 28 /// -8COMPLAINT 1 2 WHEREFORE, Mr. Pilant prays judgment Defendants, and each of them, as more fully set forth below. 3 SECOND CAUSE OF ACTION 4 (Violation of Cal. Labor Code§ 6310) 5 6 37. Mr. Pilant realleges and incorporates by reference the allegations of each of the other paragraphs set forth in this Complaint. 7 38. Cal. Labor Code § 6310(a) provides, among other things, that no person shall 8 discharge or in any manner discriminate against any employee because the employee has 9 made a complaint to his employer regarding employee safety or health concerns. 39. 11 CAESARS constructively terminated Mr. Pilant's employment on account of his health and safety complaints. 12 40. As a proximate result of Defendants' conduct, Mr. Pilant has suffered and will 13 continue to suffer special damages (including, but not limited to, past and future losses in 14 compensation and employment benefits) in an amount exceeding the jurisdictional 15 minimum of this court, the exact amount to be proven at trial. 16 41. As a proximate result of Defendants' conduct, Mr. Pilant has suffered and will 17 continue to suffer emotional distress and other general damages in an amount exceeding 18 the jurisdictional minimum of this court, the exact amount to be proven at trial. 19 42. Defendants' conduct was oppressive, fraudulent and malicious, and was done 20 with a willful and conscious disregard for Mr. Pilant's rights and the consequences of 21 Defendants' actions. Mr. Pilant is therefore entitled to an award of punitive damages against 22 Defendants, and each of them, for the sake of example and by way of punishing Defendants. 23 43. If Mr. Pilant is the prevailing party, he is entitled to recover reasonable 24 attorney's fees under Cal. Code of Civil Procedure§ 1021.5 in that this action will have 25 resulted in the enforcement of an important right affecting the public interest. 26 WHEREFORE, Mr. Pilant prays judgment Defendants, and each of them, as more fully 27 set forth below. 28 /// -9COMPLAINT 1 THIRD CAUSE OF ACTION 2 (Violation of Cal. Labor Code§ 1102.5) 3 4 5 44. Mr. Pilant realleges and incorporates by reference the allegations of each of the other paragraphs set forth in this Complaint. 45. Cal. Labor Code § 1102.5 provides, among other things, that an employer, or 6 or any person acting on behalf of the employer, shall not discharge or otherwise retaliate 7 against any employee because the employee disclosed information to the employer which 8 the employee reasonably believes is a violation of or noncompliance with local, state or 9 federal law. 46. CAESARS constructively terminated Mr. Pilant's employment because he 11 reported and/or opposed what he reasonably believed to be health and safety violations as 12 discussed above. 13 47. As a proximate result of Defendants' conduct, Mr. Pilant has suffered and will 14 continue to suffer special damages (including, but not limited to, past and future losses in 15 compensation and employment benefits) in an amount exceeding the jurisdictional 16 minimum of this court, the exact amount to be proven at trial. 17 48. As a proximate result of Defendants' conduct, Mr. Pilant has suffered and will 18 continue to suffer emotional distress and other general damages in an amount exceeding 19 the jurisdictional minimum of this court, the exact amount to be proven at trial. 20 49. Defendants' conduct was oppressive, fraudulent and malicious, and was done 21 with a willful and conscious disregard for Mr. Pilant's rights and the consequences of 22 Defendants' actions. Mr. Pilant is therefore entitled to an award of punitive damages against 23 Defendants, and each of them, for the sake of example and by way of punishing Defendants. 24 50. If Mr. Pilant is the prevailing party, he is entitled to recover reasonable 25 attorney's fees under Cal. Code of Civil Procedure§ 1021.5 in that this action will have 26 resulted in the enforcement of an important right affecting the public interest. 27 28 WHEREFORE, Mr. Pilant prays judgment Defendants, and each of them, as more fully set forth below. -10COMPLAINT 1 FOURTH CAUSE OF ACTION 2 (Breach of Written Employment Agreement) 51. 3 4 Mr. Pilant realleges and incorporates by reference the allegations of each of the other paragraphs set forth in this Complaint. 52. 5 Mr. Pilant and CEC are parties to a written employment agreement originally 6 dated September 6, 2016 (the "Employment Agreement"). The Employment Agreement 7 provides, among other things, that if CAESARS terminates Mr. Pilant' employment for 8 reasons other than "Cause," then Mr. Pilant is entitled severance pay equal to 12 months' 9 base salary. 10 53. "Cause" for termination is specifically defined in the Employment Agreement. 11 There was no "Cause" to terminate Mr. Pilant's employment as defined by the Employment 12 Agreement. 54. 13 Mr. Pilant performed all conditions required to be performed by him under 14 the terms of the Employment Agreement, except where such performance was excused by 15 the conduct of Defendants. 16 17 55. Employment Agreement as alleged above. 18 19 Accordingly, Mr. Pilant is entitled to the severance benefits under the 56. Defendant CAESARS breached the Employment Agreement by failing to pay Mr. Pilant the severance benefits to which he is entitled under the Employment Agreement. 20 57. As a proximate result of Defendants' conduct, Mr. Pilant has suffered and will 21 continue to suffer special damages in an amount exceeding the jurisdictional minimum of 22 this court, the exact amount to be proven at trial. 23 24 WHEREFORE, Mr. Pilant prays judgment Defendants, and each of them, as more fully set forth below. 25 PRAYER FOR RELIEF 26 Mr. Pilant prays judgment against Defendants, and each of them, and seeks the 27 following relief: 28 /// -11COMPLAINT 1 2 3 4 1. Special damages according to proof, including, but not limited to, past and future lost compensation and employment benefits. 2. General damages according to proof, including, but not limited to, damages for emotional distress and pain and suffering; 5 3. Punitive damages in an amount to be determined at trial; 6 4. Costs of suit pursuant to California Code of Civil Procedure§ 1032 or within 7 the discretion of the Court; 8 5. Attorney's fees pursuant to Cal. Code of Civil Procedure§ 1021.5; and 9 6. Such other and further relief as is deemed proper. JURY TRIAL DEMAND 10 11 Plaintiff hereby demands a trial by jury on all causes of action. 12 13 14 Dated: August 28, 2020 Respectfully submitted, By-,-~~ ~----'--•- - 15 A~ 16 Attorney for Plaintiff Darrell Pilant 17 18 19 20 21 22 23 24 25 26 27 28 -12COMPLAINT