For the second time in less than two months, a federal district court judge has dismissed a U.S. Equal Employment Opportunity Commission (EEOC) challenge to an employer’s separation agreement due to the agency’s failure to conciliate. On December 2, a federal district court judge in Colorado dismissed the portion of a lawsuit against CollegeAmerica alleging that the college’s separation and release agreements interfered with employees’ rights under the Age Discrimination in Employment Act (ADEA). In dismissing the claim, the judge held that the EEOC failed to give notice to the college or engage in conciliation efforts regarding the separation agreements being challenged in the lawsuit. This decision comes on the heels of a dismissal of a similar suit brought by the EEOC against CVS Pharmacy, which we wrote about in an earlier blog post.
On April 30, 2014, the U.S. Equal Employment Opportunity Commission filed suit against a private college, charging for the second time in two months that an employer’s severance agreement was unlawful. The EEOC alleged that CollegeAmerica, Inc.’s Separation and Release Agreements violated federal law by conditioning the receipt of severance payments and benefits on the employee’s promise not to file a charge with, or cooperate in investigations by, the EEOC against CollegeAmerica. READ MORE