Section 1981 has a longer statute of limitations than Title VIIĬlose up of calendar and alarm clock gettyĪs noted above, the deadline for filing an EEOC charge of discrimination can be up to 300 days, depending on where you work and whether you are in the public or private sector. This distinction is particularly important if the employee has missed the deadline to file an EEOC charge of discrimination because the employee may still be able to assert a claim under Section 1981. Section 1981, however, does not require an employee to file a charge of discrimination with the EEOC. Different procedures and time periods apply if the employee works for the federal, state, or local government. Depending on which state the employee works in, the time period can be either 180 or 300 days to file the charge if the employee works in the private sector. To file a Title VII lawsuit in court, an employee must fist have exhausted their administrative remedies by filing a charge of discrimination with the Equal Employment Opportunity Commission (EEOC). Section 1981 does not require the employee to file an EEOC charge Section 1981, on the other hand, outlaws only intentional discrimination. Under the disparate impact theory, even if the employer did not intend for an employment practice to exclude protected groups, if the practice ultimately has the effect of rejecting an excessive number of otherwise qualified, for example, female or African-American applicants, then using the practice might violate Title VII. But Title VII also prohibits using hiring practices that are neutral on their face (such as written tests), which have a discriminatory outcome: disproportionately excluding female, African-American, and other protected classes of applicants. Other distinctions between Title VII and Section 1981 exist, including: Title VII outlaws disparate impact discrimination but Section 1981 does notīoth statutes prohibit intentional discrimination in employment based on race. Section 1981, however, has no cap on compensatory and punitive damages, which resulted in a $70 million verdict, an eye-popping $67 million more than could have been awarded under Title VII. Title VII’s cap would thus result in a maximum jury verdict of $3,000,000 for these 10 plaintiffs. This choice paid off handsomely as a key difference between these two employment discrimination laws is that Title VII caps the maximum amount that a plaintiff can receive for compensatory and punitive damages at $300,000. In the Yarbrough case, the employees filed their case under Section 1981 instead of Title VII. On a broader level, both Section 1981 and Title VII outlaw employment discrimination based on race. Differences Between Section 1981 And Title VII Race Discrimination Claims
Glow Networks will have an opportunity to appeal the jury verdict if it chooses to do so.
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The total award to the 10 employees thus equaled $70 million (this amount does not include any attorneys’ fees and trial expenses that the court may later order the company to pay). Notably, the jury then awarded each plaintiff $3 million in emotional distress damages and $4 million in punitive damages, which are designed to punish employers in particularly egregious cases of employment discrimination.
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