Wednesday, June 14, 2017

EEOC Obtains Summary Judgment on Perceived As Disabled Claim and Argues 6th Circuit Previously Misapplied Test

In disability discrimination claims, there are two routes:  actually disabled or perceived-as disabled.  While the vast majority of disability claims are brought under 'actual' disabilities (whether they are qualified disabilities is a different story and often the subject of litigation), the Equal Employment Opportunity Commission ("EEOC") presented a case before a federal district court in Michigan (which resides in the 6th Circuit) of blatant perceived-as disabled discrimination, which also went against circuit precedent as this district court believes the 6th Circuit misapplied the law in a previous perceived-as disabled case.

Facts

In September 2013 the defendant, M.G.H. Family Health Center ("MGH") hired the plaintiff, Avis Lane, as a community outreach coordinator.  MGH normally required new hires to undergo a "post-offer" physical with its third-party medical evaluator, Workplace Health, prior to beginning work.  Because such a physical is post-offer and before employment begins, this did not pose a problem under the ADA as a medical exam/inquiry.

However, in this case, Lane was assigned employment duties before undergoing a physical, and Workplace Health subsequently recommended that Lane be placed on a medical hold--even though it initially did not receive a job description and was unaware Lane had begun to work.  The Physician Assistant that briefly examined Lane found that while she passed the physical examination itself, Lane's medical records revealed impairments that concerned him and warranted a "medical hold."  After receiving the job description, this PA determined that Lane should not begin work until a functional capacity evaluation (FCE) was performed.  Little did this PA know, Lane continued to work.

After 14 days of successful work, Lane was confronted by MGH officials who noted that Workplace Health had recommended Lane be put on a "medical hold" and undergo a costly FCE, which MGH would not pay for.  Lane offered to pay for the FCE, but MGH instead encouraged Lane to obtain a medical clearance from her own doctor, which she did.  However, despite Lane's full medical clearance, a revised job description with lower lifting requirements, and learning late that Lane had successfully performed the job responsibilities for her sedentary position for 5 weeks, the PA still refused to change his recommendation.  MGH then abruptly ended the individualized inquiry by firing Lane without paying for the FCE or at a minimum, following up with Lane on her offer to pay for the FCE.

The Court then noted that, "the trouble for MGH, then, is that direct evidence of its unlawful discrimination is laid bare:  MGH, by its own admission, fired Lane because it perceived her impairments as rendering her ineligible for the position--but it did so prior to the completion of any individualized inquiry by Workplace Health. ...  To make the evidence worse for MGH, after termination, MGH offered Lane her position back without any conditions, medical examinations, or further inquiry."  The Court then opined that the EEOC was entitled to summary judgment as to liability under the ADA and that the matter proceed to a jury trial for a damages determination.

Opinion

The Court provided a relatively lengthy analysis, which is to be expected if they are refuting the appeals Court above them and going against circuit precedent.  This district court held that contrary to the 6th Circuit's decision in Ferrari v. Ford Motor Co., a plaintiff did not need to show she was regarded as limited in a major life activity, because such a requirement would turn the ADA Amendments Act of 2008 (ADAAA) "on its head."  Choosing not to follow Ferrari, the district court emphasized here that it was applying the ADAAA’s plain language “over case law that has been directly superseded by the Amendments Act and no longer is binding on the precise point at issue.”

Thus, even though the facts in this case were damn near a slam dunk for a plaintiff and their attorney(s), the legal analysis to reach this conclusion was more difficult for this court given how the 6th Circuit may have misapplied the law in a preceding case that is still considered 'good law.'

The case is Equal Employment Opportunity Commission v. M.G.H. Family Health Center, No. 1:2015cv00952 (W.D. Mich. 2017) and has since settled for $21,500, which means it won't be appealed to the 6th Circuit for clarity or new precedent.   For more, also read here.

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