918 F.3d 997
9th Cir.2019Background
- Ann Garcia worked for the Salvation Army (Estrella Mountain Corps) from 2002 to 2014 as an assistant and later social services coordinator; she stopped attending Salvation Army services in 2011.
- After a client complaint in July 2013 and deteriorating relations with her supervisor, Garcia filed internal grievances and EEOC/state charges alleging religion-based mistreatment and retaliation.
- Garcia took medical leave for fibromyalgia; after being cleared to return to work she refused to return without seeing the original client complaint and was terminated for unexcused absence.
- Garcia sued under Title VII (religion discrimination, retaliation, hostile work environment) and the ADA (failure to accommodate/interactive process). The Salvation Army invoked Title VII’s religious organization exemption (ROE) at summary judgment but had not pleaded it in its answer.
- The district court granted summary judgment for the Salvation Army, holding the ROE jurisdictional and dismissing the ADA claim on the merits; the Ninth Circuit affirmed.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Title VII’s Religious Organization Exemption (ROE) is jurisdictional or forfeitable | ROE cannot be forfeited by defendant’s failure to plead because it removes Title VII liability entirely | ROE is a statutory limit on Title VII coverage but not labeled jurisdictional; it can be forfeited if not timely pleaded unless prejudice shown | ROE is nonjurisdictional and subject to procedural forfeiture; but here it was raised at summary judgment without prejudice, so it was considered |
| Whether the ROE applies to retaliation and hostile work environment claims (beyond hiring/firing) | ROE covers only hiring and firing, not broader Title VII claims such as retaliation or hostile work environment | ROE’s text exempts religious organizations from the “entire subchapter” of Title VII with respect to employment of persons of a particular religion, so it reaches retaliation and harassment claims | ROE covers retaliation and hostile work environment claims based on religion and thus bars Garcia’s Title VII claims against a protected religious employer |
| Whether the Salvation Army qualified for the ROE despite revenue from sales and public services | Garcia: large sales revenue means Salvation Army primarily engages in exchange of goods/services beyond nominal amounts, defeating ROE | Salvation Army: nonprofit religious mission, evangelical church status, and doctrinal/religious characteristics establish primary religious purpose; revenue facts do not defeat ROE | Salvation Army qualifies for the ROE (clearly religious); Spencer fourth-factor concerns do not defeat exemption here |
| Whether Garcia’s ADA claim survives (failure to accommodate / interactive process) | Garcia: employer refused to negotiate in good faith and denied accommodation (copy of complaint) causing disability-related harm | Salvation Army: repeatedly extended leave, asked for medical documentation, Garcia was cleared to work without restrictions and failed to provide new medical support; requested ‘‘accommodation’’ (client complaint copy) is not a reasonable accommodation tied to essential job functions | ADA claim fails: Garcia was cleared to work without restrictions and did not provide medical evidence to support a continuing disability or her requested accommodation; employer had no duty to continue interactive process absent medical support |
Key Cases Cited
- Arbaugh v. Y & H Corp., 546 U.S. 500 (statutory limits not labeled jurisdictional are nonjurisdictional)
- EEOC v. Kamehameha Schs./Bishop Estate, 990 F.2d 458 (9th Cir. 1993) (burden on entity claiming ROE)
- EEOC v. Townley Eng’g & Mfg. Co., 859 F.2d 610 (9th Cir. 1988) (weigh religious and secular characteristics to determine primary religious purpose)
- United States v. Hui Hsiung, 778 F.3d 738 (9th Cir. 2015) (statutory limits on coverage are merits questions, not jurisdictional)
- Kennedy v. St. Joseph’s Ministries, Inc., 657 F.3d 189 (4th Cir. 2011) (ROE reaches retaliation and hostile-work-environment claims)
- Meritor Sav. Bank v. Vinson, 477 U.S. 57 (hostile work environment requires status-based harassment)
- Nationwide Mut. Ins. Co. v. Darden, 503 U.S. 318 (common-law definition of employment relationship)
- Rabe v. United Air Lines, Inc., 636 F.3d 866 (7th Cir. 2011) (similar statutory-limit provisions are nonjurisdictional)
- Schleicher v. Salvation Army, 518 F.3d 472 (7th Cir.) (recognizing Salvation Army as a church)
- McClure v. Salvation Army, 460 F.2d 553 (5th Cir.) (same)