Hernandez-Miranda v. Empresas Diaz Masso, Inc.
651 F.3d 167
| 1st Cir. | 2011Background
- Hernández-Miranda, a DM employee, received a $300,000 Title VII damages award for sexual harassment and discrimination in 2008; the district court reduced the award to $50,000 based on the cap tied to DM's workforce in the award year; DM showed its size as 98–241 employees across years 2003–2008, argument that the relevant year is the judgment year; plaintiff opposed but did not present clear employee counts; the court assumed the verdict year for cap calculation; court of appeals clarifies the cap applies per respondent and must be applied to the discrimination year rather than the judgment year; remand instructed to adjust damages to $200,000
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| What is the meaning of 'current calendar year' in §1981a(b)(3)? | Hernández-Miranda argues the 'current' year is the year of the discrimination | DM argues the 'current' year is the year of judgment/award | The 'current' year is the year of discrimination |
| Who bears the burden to prove the employer count for caps? | Hernández-Miranda contends burden is on plaintiff to show numbers | DM bears burden to prove employer count | Employer bears burden to prove relevant employee count for caps |
| Should the damages be remanded and recalculated to apply a $200,000 cap based on discrimination year? | Remand not necessary; full $300,000 may be reinstated | Cap should apply, resulting in lower award | Remand to reduce to $200,000 consistent with discrimination-year cap |
Key Cases Cited
- Vance v. Union Planters Corp., 209 F.3d 438 (5th Cir. 2000) (current year for §1981a(b)(3) aligns with discrimination year; capacity to pay relevance)
- Depaoli v. Vacation Sales Assocs., LLC, 489 F.3d 615 (4th Cir. 2007) (current year under §1981a(b)(3) determined by discrimination year)
- Walters v. Metropolitan Educational Enterprises, Inc., 519 U.S. 202 (U.S. 1997) (interpretation of 'current' under §2000e(b) as year of discrimination)
- Vera-Lozano v. International Broadcasting, 50 F.3d 67 (1st Cir. 1995) (definition of 'current year' under §2000e(b) as year of discrimination)
- Clackamas Gastroenterology Associates, P.C. v. Wells, 538 U.S. 440 (U.S. 2003) (Congressional aim to protect small employers from ruinous awards)