Justia Labor & Employment Law Opinion Summaries

Reliance Standard Life Insurance Company denied Plaintiff’s claim for long-term disability benefits after concluding that she was not “Totally Disabled” as defined by her disability insurance plan. Plaintiff brought an under the Employee Retirement Income Security Act of 1974 (“ERISA”), 29 U.S.C. Section 1132(a)(1)(B), arguing that the denial of benefits violated that Act. After conducting a bench trial under Federal Rule of Civil Procedure 52, the district court awarded judgment to Plaintiff. Reliance appealed, arguing that courts in the Fourth Circuit are required to resolve ERISA denial-of-benefits cases via summary judgment and that the district court erred in dispensing with this case through a bench trial. Reliance also argued that this Court must review the district court’s legal conclusions.   The Fourth Circuit affirmed. The court first held that because the plan at issue here did not require objective proof of disability, the court rejected Reliance’s contention that Plaintiff’s claim fails for the lack of such evidence. Further, the court wrote that the record supports the district court’s determination that Plaintiff’s disability was not limited to a “specific locale.” Accordingly, the court agreed that Plaintiff was “totally disabled” under the terms of the plan. View "Anita Tekmen v. Reliance Standard Life Ins." on Justia Law

A Mississippi trial court dismissed David Saunders’s claims against the National Collegiate Athletic Association (NCAA) based on judicial estoppel because Saunders did not list these claims in his prior Chapter 7 bankruptcy. Until December 2010, Saunders served as football operations coordinator at the University of Mississippi. From January 2011 to October 2014, Saunders worked as an assistant football coach for the University of Louisiana. Based on Saunders’s alleged rule violations while at each institution, the NCAA conducted separate investigations and enforcement proceedings against both schools. The NCAA concluded Saunders had violated NCAA rules while at Louisiana. As punishment, the NCAA issued a show-cause directive to any NCAA member institution that may want to employ Saunders in an athletics position from January 2016 to January 2024. Saunders retained an attorney to represent him in NCAA proceedings. The attorney insisted financial strain prevented Saunders from traveling to defend himself personally. After a second show-cause directive, Saunders and his attorney discussed suing the NCAA, but at that time he did not pursue a lawsuit. Months later, Saunders filed a voluntary petition for Chapter 7 bankruptcy averring he had no claims against third parties. Saunders received a bankruptcy discharge in July 2018. Almost two years later, Saunders sued the NCAA: it was not until another football coach sued the NCAA, and made it past the summary judgment stage, that Saunders believed he had an actual shot at taking on the NCAA in court. The NCAA simultaneously filed an answer and a motion for summary judgment. In both, it asserted Saunders’s claims were barred by the doctrine of judicial estoppel because Saunders had not disclosed these claims against the NCAA in his 2018 bankruptcy proceedings. The court ruled that Saunders’s claims against the NCAA belonged to Saunders’s bankruptcy estate, so the bankruptcy trustee was substituted as the real party in interest and plaintiff in the action. Further, while judicial estoppel did not bar the trustee from pursuing these claims for the benefit of the bankruptcy estate, Saunders himself was barred by judicial estoppel from pursuing his claims against the NCAA, including the declaratory-relief claim abandoned by the bankruptcy trustee. The Mississippi Supreme Court concluded the trial court erred for two reasons: (1) the trial judge erred by estopping Saunders from pursuing this type of declaratory relief; and (2) it was error for the trial court to presume Saunders should be estopped based on his mere knowledge of the facts giving rise to his claims against the NCAA, coupled with his failure to list these claims on his bankruptcy schedule. View "Saunders v. National Collegiate Athletic Association" on Justia Law

Blount who is Black, worked for Stanley for 21 years, most recently as a forklift operator. Blount was warned multiple times against using his phone on the plant floor, in violation of safety policies. On January 31, 2018, Taylor reported that Blount was driving a forklift toward her with “neither of his hands on the wheel” because he was manipulating his smartwatch. Blount offered no explanation. Stanley credited Taylor’s account and took steps to terminate Blount. Blount’s union interceded and Blount signed a last-chance agreement, which provided that any additional safety violations within two years would result in Blount’s immediate termination. A few months later Taylor reported seeing Blount using his cell phone in his lap while sitting on an idling forklift. Blount denied the conduct. Stanley, after an investigation, fired him. Blount’s union withdrew a grievance when Blount refused to provide his phone records. As a separate matter, Blount had filed an EEOC complaint in 2015 that was dismissed in 2016.Blount sued under Kentucky Civil Rights Act, alleging that he was fired because of his race and in retaliation for his 2015 EEOC complaint. The Sixth Circuit affirmed summary judgment. Stanley offered a legitimate non-discriminatory reason—serious safety violations—for firing Blount, which was not a pretext for intentional discrimination. Blount’s proferred comparators, white employees who were not terminated, were not similarly situated. There was no evidence connecting Blount’s protected conduct and his termination. View "Blount v. Stanley Engineering Fastening" on Justia Law

Plaintiff Lindsay Buero brought a class action against defendants Amazon.Com Services, Inc. and Amazon.com, Inc. in Oregon state court, alleging, among other things, that defendants had violated Oregon’s wage laws by failing to pay employees for time spent in mandatory security screenings at the end of their work shifts. Defendants removed the case to federal court and moved for judgment on the pleadings, asserting that the time spent in the security screenings was not compensable. In support of that argument, defendants cited Integrity Staffing Solutions, Inc. v. Busk, (574 US 27), a case involving a similar claim against defendants, in which the United States Supreme Court held that, under federal law, time spent in the security screenings at issue in that case was not compensable. The district court agreed with defendants, noting the similarities between Oregon administrative rules enacted by the state’s Bureau of Labor and Industries (BOLI) and federal law. Plaintiff appealed to the Ninth Circuit and filed a motion asking that court to certify a question to the Oregon Supreme Court on whether time spent in security screenings is compensable under Oregon law. The Ninth Circuit granted the motion. The Oregon Supreme Court concluded Oregon law aligned with federal law regarding what activities were compensable. Therefore, under Oregon law, as under federal law, time that employees spend on the employer’s premises waiting for and undergoing mandatory security screenings before or after their work shifts is compensable only if the screenings are either: (1) an integral and indispensable part of the employees’ principal activities or (2) compensable as a matter of contract, custom, or practice. View "Buero v. Amazon.com Services, Inc." on Justia Law

The Court of Appeals affirmed the judgment of the appellate division reversing Supreme Court's order granting the petition filed by the City of Yorkers pursuant to N.Y. C.P.L.R. 75 to permanently stay arbitration of the underlying labor dispute, holding that grievances like the present one are arbitrable so long as no public policy, statutory, or constitutional provisions prohibit them and they are reasonably related to the provisions of the collective bargaining agreement (CBA).The underlying dispute between City of Yonkers and its firefighters concerned whether Yonkers must make certain types of payments to firefighters who were permanently disabled for work-related injuries and who qualified for benefits under N.Y. Gen. Mun. Law 207-a(2). Yonkers Fire Fighters, Local 628, IAFF, AFL-CIO (the Union) filed a grievance alleging that Yonkers violated the CBA and then served a demand for arbitration. Yonkers responded by filing a petition to permanently stay arbitration. Supreme Court granted the petition. The appellate division reversed. The Court of Appeals affirmed, holding that this grievance was arbitrable. View "City of Yonkers v. Yonkers Fire Fighters, Local 628, IAFF, AFL-CIO" on Justia Law

The Court of Appeals concluded that "regular salary or wages" within the meaning of N.Y. Gen. Mun. Law 207-a(2) includes monetary compensation to which current firefighters are contractually entitled based on the performance of their regular job duties but does not include monetary compensation based on the performance of additional responsibilities beyond their regular job duties.In this case stemming from a dispute between the City of Yonkers and dozens of their firefighters who were permanency disabled and retired as a result of work-related injuries the parties disputed whether certain compensation outlined in their collective bargaining agreements constituted "regular salary or wages" for the purpose of calculating the retirees' supplement under N.Y. Gen. Mun. Law 207-a(2). The Court of Appeals held (1) Yonkers's determination that holiday pay and check-in pay should be not included in the supplement was based on an error of law; and (2) substantial evidence supported Yonkers's conclusion that night differential should not be included when calculating the supplement. View "Matter of Borelli v. City of Yonkers" on Justia Law

The Supreme Court reversed the judgment of the court of appeals upholding the opinion and order of the Workers' Compensation Board denying Officer Tracy Toler's petition for reconsideration of the decision of the administrative law judge (ALJ) declining to award Toler an additional two percent impairment rating for pain, holding that a physician that is not licensed in Kentucky does not meet the definition of "physician" under Ky. Rev. Stat. 342.0011(32).Dr. Craig Roberts conducted an independent medical examination on Toler and assessed a six percent whole person impairment rating. To contest the rating, Toler's employer filed a report by Dr. Christopher Brigham believing a four percent impairment rating was more appropriate. The ALJ found Dr. Brigham's opinion to be more credible than Dr. Roberts' and did not award Toler an additional two percent impairment rating for pain. On appeal, Toler argued that Brigham did not qualify as a "physician" under section 342.0011(32). The court of appeals affirmed. The Supreme Court vacated the ALJ's opinion and order, holding that Dr. Brigham did not meet the statutory definition of "physician" under the statute, and therefore, his report was inadmissible. View "Toler v. Fiscal Court" on Justia Law

Plaintiff-appellant Bernell Beco filed suit against his former employer, defendant Fast Auto Loans, Inc. (Fast Auto) alleging 14 causes of action relating to the termination of his employment. Plaintiff alleged causes of action under with), including claims under the California Fair Employment and Housing Act (FEHA), numerous wage and hour violations under the Labor Code, wrongful termination, unfair competition, and additional tort claims. Fast Auto moved to compel arbitration, arguing that Beco had signed a valid arbitration agreement at the time he was hired. The trial court found the agreement unconscionable to the extent that severance would not cure the defects and declined to enforce it. After its review, the Court of Appeal agreed with the trial court that the agreement was unconscionable, and further rejected Fast Auto’s argument that the arbitrator, not the court, should have decided the issue of unconscionability. Additionally, because the agreement included numerous substantively unconscionable provisions, the appellate court found no abuse of discretion in the trial court’s decision not to sever them. View "Beco v. Fast Auto Loans, Inc." on Justia Law

This action was brought by plaintiff Nancy Holm, administratrix of the estate of her husband, Christopher Friedauer, who died in 2015 after falling at his workplace, Holmdel Nurseries, LLC. As a longtime employee of the family-owned business, Christopher had been covered by workers’ compensation insurance, but he was no longer covered after he became a member of the LLC in 2012. Plaintiff claimed that defendant Daniel Purdy, who served as the insurance broker for Holmdel Nurseries from 2002 to 2015, failed to provide to the LLC the notice mandated by N.J.S.A. 34:15-36, and that Christopher was unaware that he no longer had workers’ compensation coverage in his new role as an LLC member. She alleged that as a result of defendant’s negligence and breach of fiduciary duty, Friedauer’s dependents were deprived of a workers’ compensation death benefit to which they would have been entitled under N.J.S.A. 34:15-13 had he been covered by workers’ compensation insurance at the time of his death. Defendant asserted that Friedauer’s father, Robert Friedauer, the LLC’s managing member for insurance issues, instructed defendant in 2002 that Holmdel Nurseries did not want to purchase workers’ compensation coverage for its LLC members because of the cost of that coverage. At the close of a jury trial, the trial court granted defendant’s motion for an involuntary dismissal pursuant to Rule 4:37-2(b) and his motion for judgment at trial pursuant to Rule 4:40-1. Informed by the New Jersey Legislature’s expression of public policy in N.J.S.A. 34:15-36, the New Jersey Supreme Court concurred with the Appellate Division that defendant had a duty to advise the LLC members, at the time of the workers’ compensation policy’s purchase or renewal, that an LLC member actively performing services on the LLC’s behalf was eligible for workers’ compensation coverage, but that the LLC must elect to purchase such coverage in order to obtain it. Consistent with N.J.S.A. 34:15-36, however, the Supreme Court held that defendant could not be held liable for breach of that duty unless the damages alleged were caused by defendant’s willful, wanton or grossly negligent act of commission or omission. The Supreme Court disagreed with the trial court’s assessment of the evidence presented by plaintiff on the question of proximate cause. Accordingly, the Court concurred that the trial court erred when it granted defendant’s motion to dismiss and his motion for judgment at trial, and affirmed as modified the Appellate Division’s judgment. The case was thus remanded to the trial court for further proceedings. View "Holm v. Purdy" on Justia Law

Plaintiff, a former employee of Drake University (Drake), brought this action against Drake and her former supervisor, (collectively, Appellees), after her 2019 termination. Plaintiff alleged disability discrimination, hostile work environment, and retaliation under both the Americans with Disabilities Act (ADA) and the Iowa Civil Rights Act (ICRA), as well as retaliation and discrimination based on the exercise of her rights under the Family Medical Leave  Act (FMLA). The district court granted summary judgment in favor of Appellees on all of Plaintiff’s claims. On appeal, Plaintiff challenged the district court’s grant of summary judgment on her retaliation claims under the FMLA, ICRA, and ADA, as well as her discrimination claim under the FMLA.   The Eighth Circuit affirmed. The court explained that here, Appellees have established a robust, well-documented set of legitimate reasons for Plaintiff’s termination—and Plaintiff does not dispute them. These reasons include a plethora of performance deficiencies, such as failing to pay staff members the appropriate amounts and missing deadlines, as well as non-FMLA tardiness and attendance problems. Here, the only evidence of pretext Plaintiff provides is: (1) a tenuous temporal connection between her harassment complaints and negative performance reviews; (2) a one-month temporal connection between her filing an NLRB complaint and her termination; and (3) Drake’s failure to follow its harassment-complaint policies. Therefore, the court held that Plaintiff’s FMLA claims fail as a matter of law because she has presented insufficient evidence of pretext. View "Margaret Corkrean v. Drake University" on Justia Law