Court Dismisses EEOC’s Disparate Impact Claims Based on Criminal Background and Credit Checks

By Andrew D. Moran

In an opinion which sharply criticized the Equal Employment Opportunity Commission’s attempted use of statistics to support its discrimination claims based on criminal background and credit checks, the U.S. District Court for the District of Maryland granted summary judgment to Freeman, Inc. on the EEOC’s race and sex discrimination claims under Title VII of the Civil Rights Act of 1964.  EEOC v. Freeman, D. Md., No: 8:09-cv-02573, 8/9/13.  The EEOC has taken the position that employers’ use of credit and conviction records in making employment decisions can have the effect of discriminating against minorities, and such information should be considered only in limited circumstances. To read more, click here.

The Next Wave: Are We Facing Another Round of Big Chapter 11 Bankruptcies?
By Jay Reding

While the American economy continues to grow at a tepid pace, the filing rate for both personal and business bankruptcies has slowed dramatically.  As banks have cleared many, but certainly not all, of their problem loans and have curtailed lending activity, the main driver of small- and medium-business bankruptcies has slowed.  However, like death and taxes, bankruptcy is not going to go away.  The retail sector appears to be primed for the next wave in bankruptcy filings, and that means that vendors, suppliers, and other creditors should be prepared.. To read more, click here.

Business Litigation Department Attorneys:

This alert is provided as a service to our clients and firm associates. While the information provided in this publication is believed to be accurate, it is general in nature and should not be construed as legal advice.