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Tuesday, December 7, 2010

Supreme Court to hear Wal-Mart case: Claim of discrimination against hundreds of thousands of women in pay and promotion


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The Supreme Court on Monday agreed to hear an appeal in the biggest employment discrimination case in the nation's history, one claiming that Wal-Mart Stores discriminated against hundreds of thousands of women in pay and promotion. The lawsuit seeks back pay that could amount to billions of dollars.

The question before the court is not whether there was discrimination but rather whether the claims by the individual employees may be combined as a class action. The court's decision on that issue will almost certainly affect all sorts of class-action suits, including ones asserting antitrust, securities and product liability, as well as other claims.

If nothing else, many pending class actions will slow or stop while litigants and courts await the decision in the case. Arguments in the case are likely to be heard this spring with a decision expected by the end of June.

In April, an 11-member panel of the 9th Circuit U.S. Court of Appeals, in San Francisco, ruled 6-5 that the class action could go forward.

Judge Michael Daly Hawkins, writing for the majority, said the company's policies and treatment of women were similar enough that a single lawsuit was both efficient and appropriate. He added that the six women who represent the class, four of whom had left Wal-Mart, had claims typical of the other plaintiffs.

The size of the proposed class was not an obstacle, Judge Susan Graber wrote in a concurrence.
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