This week, the California Supreme Court held there can be no individual liability for retaliation claims under the Fair Employment and Housing Act (FEHA). In Jones v. The Lodge at Torrey Pines Partnership(Sp. Ct. No. GIC811515), the Court concluded that although an employer may be held liable for discrimination under the FEHA, individual managers were not subject to personal liability; "The same rule applies to actions for discrimination: The employer, but not nonemployer individuals, may be held liable."
In California, the FEHA imposes liability for individual managers on claims of harassment, but not discrimination. Ten years ago, in Reno v. Baird(1998) 18 Cal.4th 640, the California Supreme Court held that although an employer may be held liable for discrimination under the FEHA (Gov. Code 12900 et seq.), individual managers are not personally liable for discrimination. The Court in Reno left unaddressed the issue of individual liability for retaliation claims. In the interim, a number of lower court decisions interpreted the FEHA to also find individual liability for retaliation claims.
In Jones, the California Supreme Court disapproved these lower court decisions, holding no such liability is permitted. As discussed in greater detail below, the Court relied on its rationale in Reno, to explain that imposing individual liability for retaliation claims is contrary to the Legislative intent and inevitably creates a conflict for managers who might face personal liability for normal personnel decisions. The Jones decision marks a significant victory for employers and offers further protection in defending against retaliation claims.
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Procedural History and Facts
Plaintiff Scott Jones sued his employer, The Lodge at Torrey Pines Partnership (The Lodge), and his supervisor at work, Jean Weiss, for various causes of action including sexual orientation harassment, sexual orientation discrimination, and retaliation, in violation of the Fair Employment and Housing Act.
In 2000, Plaintiff was the outlet manager for The Grill, a restaurant at The Lodge at Torrey Pines. Plaintiff alleged that Jean Weiss, the food and beverage director, and another manager, had a practice of telling sexually explicit jokes, including "gay-bashing jokes" directed at Plaintiff. Plaintiff eventually complained to Weiss about the comments. Shortly thereafter, Weiss allegedly threatened to fire Plaintiff if he "aired any dirty laundry" by reporting to human resources...