Equal Employment Opportunity Commission v. Astra U.S.A., Inc.

929 F. Supp. 512, 1996 U.S. Dist. LEXIS 9143, 71 Fair Empl. Prac. Cas. (BNA) 1259
CourtDistrict Court, D. Massachusetts
DecidedJune 27, 1996
DocketCivil Action 96-40133-NMG
StatusPublished
Cited by4 cases

This text of 929 F. Supp. 512 (Equal Employment Opportunity Commission v. Astra U.S.A., Inc.) is published on Counsel Stack Legal Research, covering District Court, D. Massachusetts 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. Astra U.S.A., Inc., 929 F. Supp. 512, 1996 U.S. Dist. LEXIS 9143, 71 Fair Empl. Prac. Cas. (BNA) 1259 (D. Mass. 1996).

Opinion

MEMORANDUM AND ORDER

GORTON, District Judge.

On June 7, 1996, plaintiff, the Equal Employment Opportunity Commission (“EEOC” or “Commission”) commenced this action by filing, pursuant to 42 U.S.C. § 2000e-5(f)(2) and Fed.R.Civ.P. 65, an Application for an Order to Show Cause for the Issuance of a Temporary Restraining Order and Preliminary Injunction (“the Application”). 1 The Application requested that this Court enjoin defendant, Astra U.S.A., Inc. (“Astra”) from: 1) entering into and/or enforcing certain provisions of a Settlement Agreement which prohibit employees or former employees from filing charges with the EEOC and/or assisting others who file charges with the Commission, and 2) taking any retaliatory employment action against any individuals who participate in any EEOC proceeding. Application at 1-2. This Court declined to issue a temporary restraining order on that date, but scheduled and conducted a hearing on the Commission’s request for a preliminary injunction on June 14,1996. 2

The gravamen of the EEOC’s Motion is that certain provisions in written Settlement Agreements between Astra and some of its former employees settling claims of sexual harassment violate §§ 604 and 710 of Title VII, 42 U.S.C. §§ 2000e~3 and 2000e-9, in that the agreements 1) prohibit former employees from communicating with or assisting the EEOC with respect to the Commission’s investigation of charges of sexual harassment at Astra, and 2) expressly prohibit the settling employees from filing charges with the EEOC. Maintaining that such provisions not only “impede and interfere with EEOC investigation” but also “violate the anti-retaliation provisions” of Title VII, Application at ¶¶ 7, 8, the Commission seeks to enjoin the enforcement of such provisions with a preliminary injunction and to prevent Astra from entering into future agreements containing such provisions. For the reasons that follow, this Court concludes that injunctive relief is appropriate.

1. Findings of Fact

Pursuant to Fed.R.Civ.P. 52(a), the Court makes the following findings of fact:

*515 1. The EEOC is an -agency of the United States of America charged with the administration, interpretation and enforcement of Title VII and is expressly authorized to bring this action by section 706(f)(2). 42 U.S.C. § 2000e-5(f)(2).

2. At all relevant times, Astra has been a corporation doing business in the Commonwealth of Massachusetts and continuously has had at least fifteen employees. Astra is an employer engaged in an industry affecting commerce within the meaning of sections 701(b), (g) and (h) of Title VII.

3. EEOC’s Boston Area Office is in the process of investigating three separate charges against Astra, at least two of which allege class-wide sexual harassment, Charge Nos. 161-95-0199, 161-95-0326 and 161-95-0296. Sanders Aff. ¶¶ 5, 6; Carter Aff. ¶ 2.

4. Beginning in or before January, 1993, Astra entered into certain confidential Settlement Agreements with employees and/or former employees who made claims of sexual harassment and/or witnessed sexual harassment at Astra.

5. Common to all of the Settlement Agreements is a provision waiving the right of the employee (or former employee) to file a charge with the EEOC or to assist others who have filed charges with the Commission. Supp. Carter Aff. ¶ 3, Exhs. 1-6.

6. At least six, but perhaps ten or more, such Settlement Agreements have been signed since January 1, 1993. 3 See Tetrault Aff. ¶ 3; Supp. Carter Aff. ¶¶ 3, 6. Astra has not entered into any such Agreements relating to claims of sexual harassment since January 5,1996, and there currently are no such Agreements under negotiation. Tetrault Aff. ¶ 7.

7. The Settlement Agreements were thoroughly negotiated by Astra’s counsel and each settling claimant’s counsel. Tetrault Aff. ¶ 4. In exchange for settling and releasing their claims, the claimants received consideration in amounts ranging from $20,000 to $100,000. Id.

8. Redacted versions of several of the Agreements have been submitted by the parties to this Court. See Application Exh. 1; Tetrault Aff., Exh. A; Supp.Carter Aff., Exhs. 1-6. Although the specific wording of the Agreements vary, all contain provisions waiving the right of the employee/former employee to file a charge with the EEOC or to assist others who have filed charges with the Commission. Supp. Carter Aff. ¶ 3, Exhs. 1-6 thereto. 4

9. Each of the Agreements also contains a confidentiality provision, providing that the settling claimant:

agrees to keep the provisions and conditions of this Release confidential and that neither she, her agents (including her attorney, [ ]), servants, representatives, nor employees will disclose said provisions and conditions to any third party without the written consent of ASTRA. [The settling claimant and her attorney] hereby acknowledges and agrees that disclosure of any of the terms and conditions in this Agreement shall constitute a material breach of this Agreement. Violations of *516 this provision shall give ASTRA the right to enjoin such conduct in any court of competent jurisdiction, to discontinue performance of its obligations under the terms of this Agreement, and to seek repayment of any consideration already paid under this Agreement.

Supp.Carter Aff., Exhs. 1-3, 6; Tetrault Aff., Exh. A.

10. During the course of its investigations into the charges of classwide sexual harassment, the EEOC has unsuccessfully attempted to interview witnesses who have signed Astra Settlement Agreements and who have stated that the Agreements prohibited them from cooperating with EEOC investigations. Carter Aff. ¶¶4, 7. In one instance, an EEOC investigator spoke with a former Astra employee who advised the official that she had information to provide, “but was unable to talk due to a confidential settlement agreement she had entered into with Astra.” Carter Aff. ¶ 4. When the investigator asked whether the Agreement prohibited the settling claimant from assisting in the investigation, the former employee responded affirmatively. Id. Other employees have expressed similar reluctance to talk with EEOC investigators but refuse to divulge whether they have signed similar releases. Carter Aff. ¶ 6.

11. The ability of EEOC investigators to obtain witness cooperation and to complete the investigation into the charges of sexual harassment at Astra has been impaired by the Settlement Agreements and the “resultant fear by employees/former employees” caused by those Agreements.

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Related

Dorn v. ASTRA USA
975 F. Supp. 388 (D. Massachusetts, 1997)
EEOC v. ASTRA U.S.A., Inc.
First Circuit, 1996

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Bluebook (online)
929 F. Supp. 512, 1996 U.S. Dist. LEXIS 9143, 71 Fair Empl. Prac. Cas. (BNA) 1259, Counsel Stack Legal Research, https://law.counselstack.com/opinion/equal-employment-opportunity-commission-v-astra-usa-inc-mad-1996.