Bluestein v. Central Wisconsin Anesthesiology, S.C., 769 F.3d 944

Bluestein, a physician-shareholder and board member of Central Wisconsin Anesthesiology, began as an employee in 1996 but became a full partner/shareholder and director in 1999 with equal voting rights and profit sharing.
Shariﬀ policies and bylaws applied uniformly to all physician-shareholders; major decisions were made by majority vote of the shareholder-board.
Bluestein submitted an open-ended medical leave request after injuring herself; the board denied the open-ended leave and offered two alternatives, including a four-month leave with potential termination.
Bluestein was terminated after shareholder votes, with deferred compensation paid afterward; she sued for ADA, Rehabilitation Act, and Title VII discrimination.
The district court granted summary judgment for Central Wisconsin, holding Bluestein an employer, and awarded attorneys’ fees; Bluestein appeals both the merits and the fees.
The Seventh Circuit reviews summary judgment de novo and reviews fee awards for abuse of discretion.

Issue	Plaintiff's Argument	Defendant's Argument	Held
Whether Bluestein was an employee protected by the statutes	Bluestein argues she was an employee due to board role and contract.	Central Wisconsin contends Bluestein was an employer given equal board control and profit/loss sharing.	Bluestein was an employer as a matter of law.
Whether Bluestein raised genuine issues on disability and sex discrimination	Bluestein asserts genuine issues of disability and sex discrimination exist.	Court found no disability or similarly situated male comparator; no merit to sex claim.	Merits of discrimination claims were not reached because Bluestein was an employer.
Whether the district court abused its discretion in awarding fees	Bluestein argues fee award was improper or premature.	Court properly awarded fees for frivolous, unreasonable, and unfounded suit.	Fees on appeal affirmed; district court did not abuse its discretion.

Clackamas Gastroenterology Associates, P.C. v. Wells, 538 U.S. 440 (U.S. 2003) (establishes the six-factor test for employee status in the ADA context)
Schmidt v. Ottawa Medical Center, P.C., 322 F.3d 461 (7th Cir. 2003) (shared control and equal voting can still render shareholder-employers)
EEOC v. Sidley Austin Brown & Wood, 315 F.3d 696 (7th Cir. 2002) (demonstrates considerations of executive control in professional corporations)
Christiansburg Garment Co. v. EEOC, 434 U.S. 412 (U.S. 1978) (test for awarding fees to prevailing defendants)
Munson v. Milwaukee Bd. of School Directors, 969 F.2d 266 (7th Cir. 1992) (discretionary standard for fee awards in discrimination cases)