MIAMI—Should commercial real estate firms be cautious about class action employment discrimination suits in 2014? As noted in the first part of this interview, it's not as likely as a Walmart suit but it could happen.
In part two, we continue our conversation with Andrew Melzer, a senior litigation counsel at Sanford & Heisler. You can still read part one, "Should You Be Worried About Employee Lawsuits?"
GlobeSt.com: What has been the major strategy that you have seen the plaintiffs' class action bar develop in response Comcast Corp. vs. Behrend?
Melzer: As to Comcast, a number of Circuits have made clear that its holding is limited. Plaintiffs need only "be able to show that their damages stemmed from the defendant's actions that created the legal liability." We expect that trend to continue, including in the Applebee's wage and hour case before the Second Circuit.
The reach of Comcast is especially narrow in employment discrimination cases, where Teamsters sets out a well-worn path on how to prove damages in class litigation. Indeed, the Supreme Court has reaffirmed Teamsters in its recent decisions.
These types of strategies have been successful on the employment front. For example, the plaintiffs' bar has repeatedly defeated Walmart-based motions to dismiss, such as in our cases against Bayer and KPMG. Cases like McReynolds in the Seventh Circuit and Ellis in the Northern District of California illustrate that the right cases are properly certified. Indeed, our firm currently represents a certified Rule 23 class of 34,000 employees in a wage and hour action against Costco.
GlobeSt.com: In light of the rulings in Dukes and Comcast, do you think the EEOC will take a more active role in bringing class-wide litigation on behalf of certain plaintiffs? As you know, the commission doesn't need to meet the requirements of Rule 23(a) of the Federal Rules of Civil Procedure. But at the same time, the commission is facing limiting resources.
Melzer: We are hearing from more employees seeking representation than ever before and it would be wonderful if the EEOC were able to play an even greater role in holding corporations accountable for discrimination and retaliation. But, the agency's resources are understandably limited. Therefore, the private bar shoulders a large share of the load in addressing employment discrimination and will continue to do so going forward. There are new challenges, but they are not insurmountable.
GlobeSt.com: Any final thoughts on employment-related class action filings?
Melzer: Employment class actions continue to be an important and robust mechanism by which average Americans can protect their rights to a fair playing field in the workplace. The class action mechanism is essential to the enforcement of our nation's civil rights laws, and dedicated lawyers around the country will continue to seek out the best and most compelling ways to articulate the realities of what our clients confront.
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