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$27.5 million settles law firm age discrimination suit
October 07, 2007 by Ross Runkel at LawMemo
EEOC claimed Sidley Austin, a huge law firm (1,700 lawyers), demoted 32 partners to "counsel" in violation of the Age Discrimination in Employment Act (ADEA).
The law firm denied that age was a factor in its decisions. The firm also claimed that the partners were not "employees" and thus not covered by the ADEA.
For $27.5 the EEOC's law suit has ended. Sidley Austin admits no wrongdoing, but agreed to pay out the cash to the demoted ex-partners.
The firm also agreed not to require partners to retire at age 65, while denying that it had ever had such a policy.
The settlement leaves open the legal question of when, if ever, a "partner" in a huge and centrally-controlled partnership is really an "employee" for purposes of various anti-discrimination statutes such as the ADEA, ADA, and Title VII.
More details and comments from New York Law Journal.
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