Monthly Archives: July 2010

Alabama Dep’t of Mental Health Violated Servicemember’s Right to Reinstatement Following Deployment to Iraq

July 28th, 2010

The United States Department of Justice won a bench trial against the Alabama Department of Mental Health after suing on behalf of a servicemember who was denied reinstatement following deployment to Iraq. The Uniformed Services Employment and Reemployment Rights Act (USERRA) mandates that employers reinstatement employees following active duty and prohibits discrimination and retaliation against members of the military. It is rare for a state agecy to violate USERRA, but the court found that the health department did exactly that. The employee was awarded approximately $25,000 and a permanent injunction was issued against the state mandating future compliance with USERRA. The DOJ press release is here.
The blog has previously commended the DOJ for prosecuting these actions. Frequently the financial value of these types of cases is too low for a private attorney to handle on a contigency basis. Sarelson Law Firm has successfully settled similar actions. If you or someone you know is in the military, is about to be deployed, or has any questions about a servicemember’s employment rights, contact us today for a free consultation.

Breaking News: Corbitt v. Home Depot is Dismissed by Eleventh Circuit Court of Appeals

July 27th, 2010

The blog has previously posted about the Eleventh Circuit’s controversial opinion in Corbitt v. Home Depot. The appellate court, with a 2-1 majority, affirmed summary judgment in a steamy sexual harassment lawsuit. A district court judge, sitting by designation, wrote a forceful dissent. The panel’s decision was immediately criticized and the Eleventh Circuit decided on its own – without being requested by any party – to vacate the panel opinion and to rehear the case en banc. It was widely anticipated that the full court would reverse summary judgment and overrule its much earlier decision in Mendoza v. Borden, Inc.. The Mendoza opinion made it next to impossible for victims of sexual harassment to get to a jury in federal court. Mendoza had also been widely criticized.
Earlier today, the Eleventh Circuit, at the request of both parties, dismissed the Corbitt case in its entirety. (No doubt because the parties settled the case). In dismissing the entire case, the Eleventh Circuit made clear that its original decision in Corbitt was and remains vacated. The controversial Corbitt decision is gone.
This may reflect a wholesale change in the Eleventh Circuit’s sexual harassment jurisprudence. Of course, the original Mendoza decision, itself widely criticized, will remain binding law in Georgia, Alabama and Florida until another case finds it way to the appellate court. Plaintiff employment lawyers now have Mendoza squarely in their sights.

False Claims / Qui Tam Retaliation Lawsuit Filed Against MedVance Institute

July 27th, 2010

According to a recent lawsuit filed by Sarelson Law Firm on behalf of a terminated employee of MedVance Institute, the private, for-profit career college has been violating the False Claims Act. When the employee complained about irregularities in the school’s enrollment policy – specifically why students were being kept on the rolls despite not meeting eligibility requirements – he was terminated. MedVance, like several other private career colleges, benefits enormously from student loans that are insured by the federal government. These private schools make more money when more students are enrolled, and more students can enroll when they have access to affordable, government-backed loans. If a student drops out for personal reasons or fails out for whatever reason, the student’s tuition payments stop. Since the school is for-profit, it will do what is necessary to maintain the student’s enrollment – even if means changing grades or attendance records.
In recent years, several other private colleges have faced similar False Claims Act cases. Kaplan University has been for years defending a case assigned to the Southern District of Florida in Miami pursuant to a multi-district litigation order, and Texas-based Alta College settled a similar case in 2009 for $7 million.
In addition to recovering the value of the false claims, the False Claims Act has a specific anti-retaliation provision that entitles terminated employees to double back pay, as well as attorneys’ fees and costs.
A copy of the pending lawsuit is here:
MedVance Institute False Claims
If you are familiar with MedVance’s enrollment or business practices, Sarelson Law Firm would like to speak with you.