EEOC v. Group Health Plan

212 F. Supp. 2d 1094, 2002 WL 1762733
CourtDistrict Court, E.D. Missouri
DecidedJune 14, 2002
Docket4:02MC0004 SNL
StatusPublished
Cited by3 cases

This text of 212 F. Supp. 2d 1094 (EEOC v. Group Health Plan) is published on Counsel Stack Legal Research, covering District Court, E.D. Missouri primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
EEOC v. Group Health Plan, 212 F. Supp. 2d 1094, 2002 WL 1762733 (E.D. Mo. 2002).

Opinion

212 F.Supp.2d 1094 (2002)

EQUAL EMPLOYMENT OPPORTUNITY COMMISSION, Applicant,
v.
GROUP HEALTH PLAN, Respondent.

No. 4:02MC0004 SNL.

United States District Court, E.D. Missouri, Eastern Division.

June 14, 2002.

*1095 Robert G. Johnson, Barbara A. Seely, St. Louis, MO, for plaintiff.

Alene V. Haskell, David L. Schenberg, Husch and Eppenberger, LLC, St. Louis, MO, for defendant.

MEMORANDUM OPINION

LIMBAUGH, Senior District Judge.

This matter is before the Court on an action for enforcement of a subpoena duces tecum. On January 4, 2002, the Equal Employment Opportunity Commission (EEOC) filed an application for order to show cause why a subpoena should not be enforced. On January 7, 2002, the Court issued a show cause order. Respondent, Group Health Plan (GHP), filed an objection to the enforcement of the subpoena, and a hearing was set for February 22, 2002 on the matter. The parties agreed that there was no need for an evidentiary hearing as there were no facts in dispute, but they did give oral arguments on their respective positions on February 22, 2002. The parties then filed further memoranda.

Background

The EEOC is a federal agency responsible for the investigation of Charges alleging that employers have committed employment discrimination in violation of the Americans With Disabilities Act (ADA). On May 30, 2001, Sandra Shifrin filed a charge with the EEOC alleging that GHP had committed unlawful employment discrimination against her in violation of the ADA. She alleged that GHP had discriminated against her in connection with the health insurance plan under which she received coverage as a dependent of her husband.[1] Her husband received the health *1096 insurance benefits as a retiree of McDonnell Douglas Corporation. On July 12, 2001, the charge was amended to substitute Eugene Shifrin, Mrs. Shifrin's husband, as the Charging Party.[2]

The EEOC served notice of the original charge, and later the amended charge, on respondent. In furtherance of the investigation of this charge, on August 7, 2001, the Commission issued and served upon GHP a subpoena duces tecum requiring GHP to produce certain documents on August 17, 2001. Respondent subsequently submitted to the Commission a Petition to Revoke or Modify Subpoena. On October 31, 2001, the EEOC issued a Determination denying the petition. Respondent did produce some of the documents requested, but to date, has not fully complied with the subpoena.

Mrs. Shifrin previously filed a lawsuit against GHP in state court, and GHP removed the action to federal court asserting federal jurisdiction based upon the Employee Retirement Security Act (ERISA). GHP asserted that ERISA preempted Mrs. Shifrin's claims, and this Court agreed. See Shifrin v. Group Health Plan, Inc., Case No. 4:01CV735-SNL (E.D.Mo. June 25, 2001). Mrs. Shifrin subsequently dismissed her cause of action.[3]

Discussion

The EEOC must show that its investigation is for a legitimate purpose authorized by Congress and that the subpoenaed documents are relevant to its inquiry before the Court can enforce the subpoena. EEOC v. Peat, Marwick, Mitchell & Co., 775 F.2d 928, 930 (8th Cir.1985). The EEOC issued the subpoena to GHP pursuant to its investigative authority under the ADA. The agency's authority under the ADA extends only to investigate Charges alleging employment practices covered by the ADA. 42 U.S.C. § 12117(a), incorporating 42 U.S.C. § 2000e-5, 2000e-8.

GHP argues that the face of the EEOC Charge makes it clear that the allegations do not involve employment practices covered by the ADA, and therefore, the EEOC's subpoena is not enforceable. GHP argues that the EEOC lacks jurisdiction to investigate this matter because the Charging Party was not, at the time he filed the Charge, an employee; there was no employment relationship between the Charging Party and respondent; and, the Charging Party lacked standing to assert a Charge based upon discrimination against his spouse. The EEOC responds by stating that GHP's jurisdictional argument is premature, and that as long as the EEOC makes a plausible argument in support of its jurisdiction, an administrative subpoena must be enforced.

The Court disagrees that GHP's jurisdictional argument is premature. The EEOC relies on Peat, Marwick which held that the EEOC could investigate the factual question of whether individuals that respondent classified as "partners" fell within the definition of "employees" for purposes of the ADEA. 775 F.2d 928, 930. The instant action is distinguishable because the parties have agreed that there is no factual dispute. Unlike the facts in Peat, Marwick, the EEOC is not seeking information to determine whether it has jurisdiction, but rather, it is seeking information related to the merits of the underlying Charge. Accordingly, the Court will address each of GHP's jurisdictional arguments.

*1097 I. Whether Former Employees Are Covered Under the ADA

The ADA makes it unlawful for an employer to "discriminate against a qualified individual with a disability because of that disability." 42 U.S.C. § 12112(a). The ADA defines "qualified individual with a disability" as "an individual with a disability who, with or without reasonable accommodation, can perform the essential functions of the employment position that such individual holds or desires." 42 U.S.C. § 12111(8). Therefore, the ADA protects disabled individuals who can perform the essential functions of the employment position.

GHP asserts that Mr. Shifrin, the Charging Party, lacks standing under the ADA as a retiree because he was neither a job applicant, nor a current employee at the time of the alleged discrimination. In other words, he is not an individual who "holds or desires" an employment position, only current employees or job applicants would fit that description. The EEOC responds by stating that the protection of federal employment discrimination laws extends to former employees. It relies on the United States Supreme Court decision that held that Title VII's prohibition against retaliation protects former employees. Robinson v. Shell Oil Co., 519 U.S. 337, 117 S.Ct. 843, 136 L.Ed.2d 808 (1997).

The Eighth Circuit has not ruled on whether former employees are covered under the ADA; however, it did address the issue under the Rehabilitation Act. Beauford v. Father Flanagan's Boys' Home, 831 F.2d 768 (8th Cir.1987). In Beauford, the court recognized that discrimination in the handling of health benefits for former disabled employees unable to perform the essential functions of their jobs is an undesirable thing. Id. at 773.

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212 F. Supp. 2d 1094, 2002 WL 1762733, Counsel Stack Legal Research, https://law.counselstack.com/opinion/eeoc-v-group-health-plan-moed-2002.