Venetian Casino Resort, L.L.C. v. Equal Employment Opportunity Commission

530 F.3d 925, 382 U.S. App. D.C. 12, 2008 U.S. App. LEXIS 13534, 91 Empl. Prac. Dec. (CCH) 43,250, 103 Fair Empl. Prac. Cas. (BNA) 1025
CourtCourt of Appeals for the D.C. Circuit
DecidedJune 27, 2008
Docket06-5361
StatusPublished
Cited by41 cases

This text of 530 F.3d 925 (Venetian Casino Resort, L.L.C. v. Equal Employment Opportunity Commission) is published on Counsel Stack Legal Research, covering Court of Appeals for the D.C. Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Venetian Casino Resort, L.L.C. v. Equal Employment Opportunity Commission, 530 F.3d 925, 382 U.S. App. D.C. 12, 2008 U.S. App. LEXIS 13534, 91 Empl. Prac. Dec. (CCH) 43,250, 103 Fair Empl. Prac. Cas. (BNA) 1025 (D.C. Cir. 2008).

Opinion

Opinion for the Court filed by Circuit Judge GINSBURG.

GINSBURG, Circuit Judge:

Seven years ago, Venetian Casino Resort, LLC repaired to district court for an injunction to keep the Equal Employment Opportunity Commission from disclosing certain confidential information without notice. The district court dismissed the case as unripe, but we held otherwise and remanded the case for proceedings on the merits. The district court then granted the Commission’s motion for summary judgment and Venetian appealed, arguing the Commission’s disclosure policy is unlawful. We agree, reverse, and remand the case for the district court to enter an injunction prohibiting the Commission from disclosing Venetian’s confidential information pursuant to its current disclosure policy.

I. Background

Venetian operates a hotel and casino in Las Vegas, Nevada. When it opened in 1999 it hired approximately 4,400 new employees out of 44,000 applicants. Numerous disappointed applicants filed complaints with the Commission alleging Venetian had violated various civil rights statutes, including, as relevant here, the Age Discrimination in Employment Act of 1967 (ADEA), 29 U.S.C. § 621 et seq.

To assist the Commission with its investigation of the ADEA claims, Venetian supplied the Commission with information that Venetian deemed, and identified as, confidential. The Commission subsequently issued a subpoena for more documents. In 2001, after the Commission denied Venetian’s petition to revoke the subpoena, Venetian brought this action. It argued the Commission’s policy, which permits Commission employees to disclose an employer’s confidential information to potential ADEA plaintiffs without first notifying the employer that its information will be disclosed, violates the Administrative Procedure Act (APA), the Freedom of Information Act (FOIA), and the Trade Secrets Act (TSA). In particular, Venetian contended the disclosure policy could not be reconciled with the Commission’s own FOIA regulations, 29 C.F.R. § 1610.19 et seq., which do require the Commission to notify an employer before disclosing its confidential documents to a third party pursuant to a FOIA request. Venetian’s particular concern was that competitors and labor unions would obtain confidential information regarding its hiring practices, which information they would use to its economic detriment. Venetian also sought to enjoin disclosure as infringing its copyrights.

The district court dismissed the case as unripe. Venetian Casino Resort, LLC v. EEOC (Venetian I), 360 F.Supp.2d 55, 60 (2004). We reversed, first noting that the case “presents a clear-cut legal question, i.e., whether the Commission’s disclosure *928 policy is inconsistent with the Trade Secrets Act, FOIA, or the APA.” Venetian Casino Resort, LLC v. EEOC (Venetian II), 409 F.3d 359, 364-65 (D.C.Cir.2005). We further concluded that Venetian would face the hardship necessary to make its claim ripe because, were review postponed, Venetian would be unable to prevent the Commission from disclosing the confidential information Venetian had already submitted. Id. at 365-66.

Turning to the merits of Venetian’s complaint, we found the precise terms of the disclosure policy at issue quite uncertain. In the district court, the parties had focused upon the disclosure policy as it appeared in the EEOC Compliance Manual of 1987, which permitted the Commission to disclose without notice an employer’s confidential information related to an ADEA investigation. Id. at 361-62. On appeal, however, the Commission informed this court that the parties had been arguing about a version of the Compliance Manual that was no longer in use; it had been superseded by a new version, released in 1992 but never approved by the Commissioners of the EEOC.

The 1992 Manual is not clear either about what the policy of the Commission is. The introduction to Section 83.1 of the 1992 Manual states: “This section applies to ADEA [and Equal Pay Act] files, but only as set out in [§ 83.1(a)] below.” The referenced subsection provides that information in an ADEA file related to an ongoing investigation may be disclosed either under the Commission’s regulations implementing the FOIA or under its regulations implementing the Privacy Act. The former regulations explicitly require that when a third party makes a FOIA request for confidential commercial information, the Commission must notify the submitter before disclosing the information. 29 C.F.R. § 1610.19 et seq. The latter regulations permit, as a “routine use” of confidential information, disclosure of “pertinent information to a ... third party as may be appropriate or necessary to perform the Commission’s functions under the [ADEA].” 56 Fed.Reg. 10,889, 10,889-90.

Venetian understood this “routine use” provision to mean that, absent a FOIA request, the Commission may disclose confidential information without first notifying the party that submitted it. According to the district court, counsel for the Commission had “unequivocally conceded” it might disclose Venetian’s confidential information without notice. Venetian II, 409 F.3d at 362. At oral argument on appeal, however, counsel for the Commission first seemed to repudiate that position outright and then expressed uncertainty whether the Commission had any policy at all regarding the disclosure of confidential information. Id. at 362-63.

We concluded that “the record of this case is deficient, in part because the argument before the District Court was based on an outdated version of the agency’s Manual and in part because the Commission’s litigation position has been inconsistent.” Id. at 367. Inasmuch as it remained “unclear what the disputed provision in the revised Manual means,” we remanded the case to the district court “to ascertain the contours of the precise policy at issue. If Venetian’s allegations turn out to be correct, the District Court must determine in the first instance whether the policy is contrary to law.” Id.

On remand, the Commission submitted the affidavit of Nicholas Inzeo, its Director of Field Programs. He reported that “[t]he 1992 version of the EEOC compliance manual was never submitted to the Commissioners for approval, and the Commissioners never rescinded the 1987 version,” but “EEOC employees rely on the 1992 version” nonetheless. Any difference *929 between the two versions was immaterial, however:

Neither version of section 83 requires EEOC field office staff to notify persons that have submitted information (confidential or otherwise) to EEOC during an investigation when a request for that information is received under section 83 or prior to release of information under section 83.

Inzeo added that “[n]othing in any EEOC policy ... is meant to contravene ...

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530 F.3d 925, 382 U.S. App. D.C. 12, 2008 U.S. App. LEXIS 13534, 91 Empl. Prac. Dec. (CCH) 43,250, 103 Fair Empl. Prac. Cas. (BNA) 1025, Counsel Stack Legal Research, https://law.counselstack.com/opinion/venetian-casino-resort-llc-v-equal-employment-opportunity-commission-cadc-2008.