Recently a federal district Court in Tennessee ruled that the EEOC could not force a Wendy’s restaurant franchisee to turn over broad information based on a single discrimination charge.
Bloomberg BNA reported about the decision in this case, which was a victory for employers.
Details of the Case EEOC Brought Against a Wendy’s Franchise
An employee at Southeast Food Services, a Wendy’s franchise, filed an EEOC complaint that alleged the franchise unlawfully retaliated against her because as a condition of promotion, she refused to sign a general release of past claims. The EEOC issued a subpoena for the franchise to submit all contact information for its employees since 2014, including employees who were promoted and who signed releases. The information was to include job titles and hiring and termination dates.
Court’s Decision
Magistrate Judge H. Bruce Guyton found that the EEOC could not use a single charge as a reason to expand an investigation into information that is not relevant to the single charge. A realistic expectation must exist to advance a broader investigation and none existed in this case. The EEOC would have to file a new commissioner’s charge to launch a broader investigation. A statement that stood out in the court’s decision was that an EEOC “decision to expand its investigation does not statutorily expand its investigable power.”
In most cases, employers agree to provide the EEOC with requested information as part of reaching a compromise.
Similar Case Pending Before the U.S. Supreme Court
Currently, McLane Co v. EEOC, a similar case, is pending U.S. Supreme Court ruling. This case also involves an employer who challenged the agency’s subpoena based on a single discrimination charge where the EEOC demanded contact information for thousands of employees.
If you have questions about your rights during an EEOC claim or investigation, Stephen Hans & Associates can provide you with seasoned representation.