Equal Employment Opportunity Commission v. Allstate Insurance

570 F. Supp. 1224, 26 Wage & Hour Cas. (BNA) 635, 4 Employee Benefits Cas. (BNA) 2147, 1983 U.S. Dist. LEXIS 13943, 32 Empl. Prac. Dec. (CCH) 33,792, 32 Fair Empl. Prac. Cas. (BNA) 1337
CourtDistrict Court, S.D. Mississippi
DecidedSeptember 9, 1983
DocketCiv. A. J82-0186(B)
StatusPublished
Cited by30 cases

This text of 570 F. Supp. 1224 (Equal Employment Opportunity Commission v. Allstate Insurance) is published on Counsel Stack Legal Research, covering District Court, S.D. Mississippi primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Equal Employment Opportunity Commission v. Allstate Insurance, 570 F. Supp. 1224, 26 Wage & Hour Cas. (BNA) 635, 4 Employee Benefits Cas. (BNA) 2147, 1983 U.S. Dist. LEXIS 13943, 32 Empl. Prac. Dec. (CCH) 33,792, 32 Fair Empl. Prac. Cas. (BNA) 1337 (S.D. Miss. 1983).

Opinion

MEMORANDUM OPINION

BARBOUR, District Judge.

On Friday, August 18, 1983, this Court issued a Summary Order granting summary judgment for the Defendant, Allstate Insurance Company. This Memorandum Opinion is written pursuant to that order and incorporates the same.

On April 14,1982, the Equal Employment Opportunity Commission (hereafter EEOC) sued to enforce the Equal Pay Act. The EEOC alleged that it had authority to enforce the Equal Pay Act 1 pursuant to Section 1 of Reorganization Plan No. 1 of 1978, 92 Stat. 3781, which amended 29 U.S.C.A. §§ 216(c) and 217. Reorganization Plan No. 1 of 1978 was “enacted” pursuant to the Reorganization Act of 1977, 5 U.S.C.A. Section 901, et seq.

The present motion for summary judgment made by Allstate places before this Court the legal question of whether or not the EEOC has the authority to enforce the Equal Pay Act by the initiation of litigation. 2 There are no genuine issues of material fact with regard to the matters presented by this motion; therefore, it is appropriate to decide the issue of law by summary judgment.

ONE-HOUSE VETO

The basis of Allstate’s motion for summary judgment relates to the one-house veto provision contained in the Reorganization Act of 1977. Under this Act the President was granted the authority to present reorganization plans to Congress which either House of Congress could veto by a resolution passed by a majority vote. Reorganization Plan No. 1 of 1978 was not objected to by either House and therefore was “enacted” into law. Section 1 of this Plan transferred the enforcement of the Equal Pay Act from the Labor Department to the EEOC. See 1978 U.S.Code Cong. & Ad. News 9799 (reprint of Reorganization Plan No. 1 of 1978).

' In a recent United States Supreme Court decision the question of the constitutional validity of one-house veto provisions was decisively resolved. The motion before this Court for summary judgment is based on this decision and the determination of its effect under the facts presented here.

*1227 CHADHA

On June 23, 1983, the United States Supreme Court announced its decision in Immigration and Naturalization Service v. Chadha, - U.S. -, 103 S.Ct. 2764, 77 L.Ed.2d 317 (1983). Chadha held that the retention by Congress of the power to veto the act of the Attorney General suspending deportation proceedings violated the constitutional doctrines of separation of powers and the constitutional requirement that legislation be accomplished by action by both houses of Congress and by presentment to the President of the United States. Chadha, - U.S. at---, 103 S.Ct. at 2779-2783. The Supreme Court’s exhaustive analysis of the history behind Article I and its limit on the exercise of legislative power are unnecessary to repeat. 3 Congress may legislate and grant certain power, but it may not revoke that power granted without legislating again. 4 In Chadha the Supreme Court found that the one-house veto provision not only violated the bicameralism and presentment requirements of the Constitution, but also infringed upon the doctrine of separation of powers. 5

STANDING

The EEOC asserts a standing argument which, if sustained, would preclude summary judgment.

The EEOC alleges that Allstate does not have standing to challenge the constitutionality of the Reorganization Act of 1977 by claiming that Allstate was not injured by that Act, even if it is unconstitutional.

It is beyond dispute that every defendant has standing to question the legal authority of the plaintiff to sue. The EEOC has attempted to turn Allstate’s defense into an offensive weapon by questioning AJlstate’s standing to assert the alleged constitutional infirmity as a defense. Clearly Allstate has standing to challenge the plaintiff’s legal right to sue, but assuming arguendo, that standing is not self-evident in this case this Court will address the merits of the EEOC’s standing argument.

The EEOC claims that Allstate has no injury such as may satisfy the standing requirements of Article III of the Constitution. The Article III requirement of standing was recently summarized by the Supreme Court in Valley Forge Christian College v. Americans United for Separation of Church and State, Inc., 454 U.S. 464, 472, 102 S.Ct. 752, 758, 70 L.Ed.2d 700 (1982) as follows:

At an irreducible minimum, Art. Ill requires the party who invokes the Court’s authority to “show that he personally has suffered some actual or threatened injury as a result of the putatively illegal conduct of the defendant,” Gladstone Realtors v. Village of Bellwood, 441 U.S. 91, 99 [99 S.Ct. 1601, 1607, 60 L.Ed.2d 66] (1979), and that the injury “fairly can be *1228 traced to the challenged action” and “is likely to be redressed by a favorable decision”. Simon v. Eastern Kentucky Welfare Rights Org., 426 U.S. 26, 38, 41 [96 S.Ct. 1917, 1924, 1925, 48 L.Ed.2d 450] (1976). In this manner does Art. Ill limit the federal judicial power “to those disputes which confine Federal Courts to a role consistent with a system of separated powers and which are traditionally thought to be capable of resolution through the judicial process.” (citations omitted).

Allstate has shown that it has personally suffered actual injury in that it has been subjected to a law suit filed pursuant to an unconstitutional statute. There is no doubt that a favorable decision by this Court would redress the injury of which Allstate complains. The identification of this injury to the allegedly unconstitutional passage of the Reorganization Plan No. 1 of 1978 is obvious insofar as the EEOC would have no legal authority to engage in litigation for the purpose of enforcing the provisions of the Equal Pay Act without a constitutional delegation of power from Congress. Therefore, the injury of Allstate in that it is subject to litigation 6 at the instance of a governmental agency whose authority to institute such litigation is being questioned on constitutional grounds meets the Art. Ill requirements of injury in fact which is traceable to the alleged illegality and which will be redressed by a favorable decision. 7

UNCONSTITUTIONALITY OF THE ONE-HOUSE VETO

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570 F. Supp. 1224, 26 Wage & Hour Cas. (BNA) 635, 4 Employee Benefits Cas. (BNA) 2147, 1983 U.S. Dist. LEXIS 13943, 32 Empl. Prac. Dec. (CCH) 33,792, 32 Fair Empl. Prac. Cas. (BNA) 1337, Counsel Stack Legal Research, https://law.counselstack.com/opinion/equal-employment-opportunity-commission-v-allstate-insurance-mssd-1983.