Justia Labor & Employment Law Opinion Summaries

Articles Posted in Supreme Court of Virginia
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Plaintiff filed suit against his former employer (Defendant), claiming that Defendant violated Va. Code Ann. 40.1-51.2:1 by terminating his employment in retaliation for his complaining about unsafe practices at Defendant’s facility. Plaintiff sought punitive damages in addition to other remedies. The jury returned a verdict in favor of Plaintiff and awarded him compensatory and punitive damages. The circuit court entered judgment in accordance with the verdict. The Supreme Court reversed the judgment as to the award of punitive damages and otherwise affirmed, holding that “appropriate relief” in section 40.1-51.2:2, the provision providing the remedies for violations of section 40.1-51.2:1, does not include punitive damages. View "Property Damage Specialists, Inc. v. Rechichar" on Justia Law

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Andrews, a senior property manager of a public housing complex, challenged the termination of her employment with the Richmond Redevelopment and Housing Authority (RRHA) through RRHA’s grievance procedure. A hearing officer ordered her reinstatement snf advised that, under the terms of RRHA’s Grievance Policy, “[e]ither party may . . . appeal the decision to the Circuit Court of the City of Richmond, Virginia.” The circuit court reversed that decision as “‘contradictory to law’” under Code 2.2-3006. The Supreme Court of Virginia reinstated the hearing officer’s decision, holding that the circuit court lacked subject matter jurisdiction to hear RRHA’s appeal. Either party may appeal a hearing officer’s decision to a circuit court for review on grounds that it is “contradictory to law,” Code 2.2-3006(B), but no such right is available when the challenge to the decision presents a question whether it is“consistent with policy,” RRHA did not make a prima facie showing for invoking judicial review of the hearing officer’s decision under Code 2.2-3006(B) because the substance of RRHA’s appeal challenged only the hearing officer’s interpretation and application of RRHA’s policies. View "Andrews v. Richmond Redevelopment & Housing Auth." on Justia Law

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Johnston worked at William E. Wood & Associates, a real estate services firm, for 17 years. She was an at-will employee. Johnston’s employer terminated her without any advance notice. She sued, alleging that she was wrongfully discharged and that her employer breached an implied term of her employment contract. The trial court dismissed, holding that Virginia does not recognize either cause of action. The Supreme Court of Virginia affirmed, noting its 1906 holding that when an employment contract does not specify a time period for its duration, “either party is ordinarily at liberty to terminate it at-will on giving reasonable notice of his intention to do so.” Reasonable notice simply means effectual notice that employment has been terminated. View "Johnston v. Wood & Assocs" on Justia Law

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Scott Harvard was a former senior executive officer of Shore Bank and Hampton Roads Bankshares (HRB). During the 2008 financial crisis, HRB elected to participate in the federal Troubled Assets Relief Program (TARP). The TARP agreement required HRB to comply with the limits on executive compensation set forth in the Emergency Economic Stabilization Act (EESA) and its implementing regulations. In 2009, Harvard terminated his employment. Thereafter, Harvard filed a breach of contract action against Shore Bank and HRB alleging that HRB breached the parties’ employment agreement by refusing to make a “golden parachute payment” pursuant to the agreement. HRB filed a plea in bar, arguing that the prohibition on golden parachute payments in EESA section 111, as implemented by the June Rule, barred it from paying Harvard pursuant to the employment agreement. The circuit court rejected HRB’s argument and awarded Harvard $655,495 plus interest. The Supreme Court reversed and vacated the award of damages in favor of Harvard, holding that EESA section 111, as implemented by the June Rule, prohibited the golden parachute payment under the circumstances of this case. View "Hampton Roads Bankshares, Inc. v. Harvard" on Justia Law

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In 1992, Plaintiff was convicted of a felony drug offense. In 2006, Plaintiff applied to the Fairfax County School Board for a teaching position and disclosed her prior conviction on her application. The Board subsequently hired Plaintiff as a special education teacher. In 2012, the school system’s Assistant Superintendent for Human Resources determined that, pursuant to Va. Code 22.1-296.1(A), Plaintiff’s 2006 hiring had been in error because her conviction made her ineligible for employment by the Board. The Board subsequently filed a complaint seeking a declaratory judgment that section 22.1-296.1(A) made Plaintiff ineligible for hire. The circuit court entered an order declaring that the Board lacked authority to hire Plaintiff under section 22.1-296.1(A). The Supreme Court affirmed, holding that the Board lacked authority to make the contract, and therefore, the contract was void ab initio. View "Butler v. Fairfax County School Board" on Justia Law

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Two weeks after Preston McKellar announced that he would be retiring as a structural welder for Northrop Grumman Shipbuilding, McKeller was injured during the course of his employment. Two weeks later, McKeller retired as scheduled. McKeller filed a claim against Northrop Grumman seeking medical benefits and temporary total disability compensation. A deputy commissioner with the Virginia Worker’s Compensation Commission awarded medical benefits as well as temporary total disability benefits. The Commission affirmed the award of medical benefits but denied the claim for temporary total disability benefits. The Court of Appeals affirmed, concluding that McKellar’s retirement, rather than his injury, caused his loss of compensation because the record supported the Commission’s finding that McKellar intended to retire and not seek other employment income. The Supreme Court reversed, holding that the deputy commissioner correctly found that McKeller was entitled to temporary total disability compensation because he was totally disabled and lacked all earning capacity. View "McKellar v. Northrop Grumman Shipbuilding" on Justia Law