Case Study 1: Osborne Assocs. v. Cangemi, 2017 WL 5443146
Case: Osborne Associates, doing business as Generations Salon, wanted to enforce restrictive covenants against its former employees, Cangemi and Calianno.
Parties: The plaintiff was Generations Salon, and the defendants were Cangemi, Calianno, and Silver Salons.
Facts: The employees were in business development and operations roles, signed noncompete agreements, had access to customer, pricing, stylist, supplier, and marketing data, and started a competing senior salon business.
Issue: The primary question was whether the agreements were concerned with legitimate business interests, not competition.
Applicable Laws: Florida law on restrictive covenants permits enforcement if the employer demonstrates legitimate business interests and a reasonable need, which includes confidential information, significant customer relationships, goodwill, and trade secrets.
Result: The court upheld the covenants via the preliminary injunction, so Generations Salon won.
Reasoning: The court identified existing relationships, exclusive contracts, goodwill, and confidential information of the decision maker that is difficult to replicate.
Case Question 1: A different fact pattern would result in a different outcome if employees had no confidentiality, no customer contact, and competed on general ability.
Case Question 2: Without the Stanglware database, the plaintiff would have customer relationships, but the confidentiality would be diminished.
Case Question 3: The restriction was reasonable because it was limited in time and customer relationships.
Conclusion: The decision adequately protected business interests while alerting HR to create narrow agreements and distinguish confidential knowledge from employee know-how. The decision also highlights the need to specify before a dispute which customer relationships, documents, and methods employers want protected. A vague interest in avoiding competition would not be an adequate reason to enforce the covenant, but a system of protected client knowledge might support a narrow covenant.
Case Study 2: Guz v. Bechtel National Inc., 100 Cal. Rptr. 2d 352
Case: Guz sued Bechtel National for eliminating his work unit.
Parties: The Plaintiff was John Guz, and the Defendants were Bechtel National and Bechtel Corporation.
Facts: Guz was a long-term employee of Bechtel who lost his job in a cost-cutting downsizing and claimed age discrimination, breach of an implied contract, and breach of the implied covenant of good faith and fair dealing.
Issue: The key question was whether at-will employment and personnel policies put limits on discharge.
Applicable Laws: At-will employment allows termination at any time unless an express contract or an implied contract with the covenant provides otherwise, and the covenant cannot impose additional duties on top of the employment contract.
Result: Bechtel won on the implied covenant issue, but the court only remanded to determine if there were express terms.
Reasoning: The covenant is meant to protect contractual benefits. It does not provide a separate promise of ongoing employment or a separate tort for wrongful dismissal.
Case Question 1: The covenant cannot extend beyond the contract, but it does exist to protect real contract benefits.
Case Question 2: Implied covenants are different from implied terms because the covenant enforces the contract, while implied terms can be created by the conduct, policies, and statements of the employer.
Case Question 3: Employers create implied terms through consistent disciplinary action, progressive review, or promises of job security.
Conclusion: The ruling favors Bechtel because HR policy statements must maintain the at-will relationship, and managers must consistently apply processes. The case warns HR that they should not blend aspirational and binding language. If supervisors state that layoffs, transfers, or discipline require mandatory steps, courts may find this to be an implied term. Disclaimers, manager training, and communication minimize that risk.
Case Study 3: Petruska v. Gannon University, 462 F.3d 294
Case: Petruska v. Gannon University was a case about termination from chaplain duties.
Parties: The plaintiff was Petruska, and the defendant was Gannon University.
Facts: Petruska was a ministerial employee who opposed gender discrimination and sexual harassment at a university, and was allegedly retaliated against and discriminated against for his stance under Title VII after there was a reshuffling of roles performing spiritual duties.
Issues: The question was whether Title VII discrimination law applies to the selection of personnel to perform ministerial functions.
Applicable Laws: The First Amendment prohibits states from interfering in matters of religious governance, and the ministerial exception precludes a discrimination claim over the selection of clergy or other spiritual leaders.
Holding: Gannon won, and Petruska’s Title VII claims were denied.
Reasoning: The court concluded that determining whether the restructuring was a pretext would interfere with the religious decision-making about spiritual leadership.
Case Question 1: I agree legally because the position was ministerial, although the facts raise serious workplace equity concerns.
Case Question 2: A manager should have documented the complaints, used neutral review procedures, protected reporters from retaliation, and separated pastoral decisions from misconduct investigations.
Case Question 3: Religious workplaces can address discrimination through internal grievance systems, independent investigation, board oversight, and written codes that honor doctrine while prohibiting harassment.
Conclusion: The ruling shows that HR must respect constitutional limits while still building ethical systems that protect employees from bias, silence, and retaliation. The case also demonstrates that legal immunity does not equal ethical sufficiency. Religious employers still need internal accountability because employees may experience discrimination even when civil courts cannot review ministerial decisions. HR should coordinate with legal counsel and faith leadership to preserve religious autonomy while maintaining safe reporting channels. Clear role descriptions, confidential investigations, and nonretaliation commitments can address many concerns before conflict reaches litigation.
Case Study 4: Caraballo Caraballo v. Correctional Administration, 829 F.3d 53
Case: Caraballo challenged a transfer from the Radio Communications Area.
Parties: The plaintiff was Corrections Officer Caraballo, and the defendant was the Corrections Department of Puerto Rico.
Facts: Caraballo excelled in her six years of radio communications work, was demoted to the commissary, and was replaced by men with different or less experience. Her supervisor asked her to return, but she was not permitted to.
Issue: The issue was whether she established a prima facie Title VII disparate treatment claim.
Applicable Laws: The McDonnell Douglas framework requires a protected class, qualification, adverse action, and a similarly qualified comparator, although the qualification inquiry changes when the employer has already deemed the employee qualified through prior performance.
Holding: Caraballo won the appeal because summary judgment for the employer was vacated.
Reasoning: The district court improperly emphasized educational credentials and ignored job experience, successful performance, and the second male comparator.
Case Question 1: The appellate court distinguished external hiring credentials from existing performance. Experience mattered because Caraballo had already performed the job successfully.
Case Question 2: A valid appraisal could have changed the outcome by documenting performance weaknesses or confirming that she was as qualified as the male replacements.
Conclusion: The ruling is persuasive because HR must use objective transfer criteria, written explanations, and documented appraisals rather than unsupported assumptions about credentials. The case also shows how unexplained staffing actions create risk. When HR cannot connect transfers to business reasons, comparator evidence can support an inference of discrimination. Objective job descriptions, written selection criteria, and contemporaneous appraisal records help distinguish legitimate operational judgment from gender based decision making. HR should also require decision makers to state why a replacement better satisfies operational needs when a transferred employee has successful experience.
Case Study 5: Ricci v. DeStefano, 557 U.S. 557
Case: Firefighters challenged New Haven’s refusal to certify promotion exam results.
Parties: The plaintiffs were white and Latinx firefighters, and the defendant was the City of New Haven.
Facts: The city gave valid promotional exams, obtained disparate results, was fearful of disparate impact litigation, and threw out the scores.
Issue: The central issue was whether an employer may intentionally disadvantage successful candidates because of race to avoid possible disparate impact liability.
Applicable Laws: Title VII bans disparate treatment and impact. Race-conscious measures to avoid disparate impact must be based on evidence that the employer would otherwise be liable.
Result: The firefighters win; the city is guilty of Title VII discrimination.
The city cited statistics without knowing the test was invalid, not job-related, or that there was a less discriminatory, equally valid test.
Case Question 1: I agree because fear of litigation cannot be a reason for intentional discrimination.
Case Question 2: The city attempted to correct the problem because officials feared litigation (disparate impact) and public backlash.
Case Question 3: The candidates justifiably protested because they trained for the test based on announced rules and then were denied a promotional opportunity due to race-based noncertification.
Conclusion: The decision demonstrates HR should validate selection methods, review for adverse impact early, and not change results after candidates are notified. The case also shows that equal opportunity and diversity goals should be designed into selection systems rather than imposed on the outcome. HR should do job analysis, test validation, review alternatives, and discuss adverse impact issues before a test is administered. This ensures equal opportunity and employee trust in promotion systems. When managers wait until after the test to fix equity issues, they make it look like race determined employment.
Case Study 6: Vaughn v. Edel, 918 F.2d 517
Case: Vaughn alleged race discrimination after Texaco terminated her for poor performance.
Parties: The plaintiff was Emma Vaughn, and the defendants were Edel, Keller, and Texaco.
Facts: Vaughn received prior good performance, was on maternity leave, and then received racially motivated criticism and was denied honest criticism, appropriate performance evaluations, and opportunities for improvement provided to whites.
Issue: Whether failure to give criticism to avoid a discrimination claim was race-based disparate treatment.
Applicable Laws: Title VII prohibits race-based employment decisions in hiring, promotions, performance reviews, discipline, and dismissals, and direct evidence necessitates a showing by the employer that it would have done the same without race.
Holding: Vaughn won because Texaco breached Title VII.
Reasoning: Keller admitted race played a role in the decision not to confront Vaughn, which denied her the opportunity for counseling and training.
Case Question 1: I agree because unequal feedback can harm opportunity as much as unequal discipline.
Case question 2: I would coach in a timely manner, clarify expectations, use the same method to improve all employees, and eliminate biased language in the evaluation.
Case Question 3: Referring to a Black matriarch and meeting with Black colleagues indicates stereotyping and fear of association. Concerned productivity should be about quantity, not race.
Conclusion: The case demonstrates HR needs to audit the equity of feedback, provide training, and mandate performance records. The case also demonstrates that procrastination can be discriminatory when it is based on race. HR should mandate calibration, bias audits, and coaching. Fairness means they get the same information, coaching, and procedural protections before they are terminated. This is fair because documentation provides employees with opportunities to correct problems and provides information to support termination decisions.
Case Study 7: Cortezano v. Salin Bank and Trust Company, 680 F.3d 936
Case: Cortezano sued Salin Bank after termination connected to her husband’s immigration status.
Parties: The plaintiff was Kristi Cortezano, and the defendant was Salin Bank and Trust Company.
Facts: Kristi, a US citizen, assisted her Mexican husband in opening bank accounts using his ITIN, and was terminated after refusing to sit in on an internal meeting without legal representation.
Issue: Is discrimination based on a spouse’s unauthorized status a Title VII national origin discrimination claim?
Applicable Laws: National origin is protected under Title VII, but the court distinguished alienage and unauthorized status from national origin, although it noted that spousal national origin discrimination is unsettled.
Holding: Salin Bank won on the Title VII claim.
Reasoning: The evidence stressed Javier’s illegal status rather than his national origin, and Title VII did not protect alienage in this case.
Case Question 1: Morally, discharge for a spouse’s status may still be wrong when it is based on punishment of association without job-related evidence.
Case Question 2: I would conclude as a juror that spousal national origin discrimination exists when the discrimination is based on ancestry or ethnic association.
Case Question 3: Hubbs’s statements are difficult to disentangle from national origin because immigration law can be ethnically biased, though the court needed more evidence.
Conclusion: HR should educate investigators to avoid derogatory language, check compliance facts, and refrain from family status assumptions. The case also highlights the narrowness of legal categories. Even if the court found no Title VII liability, the investigation posed reputational, cultural, and ethical problems. Human resources (HR) should distinguish financial compliance from ancestry, family, and immigration stereotypes. Training should note that derogatory language used during investigations may be used to demonstrate motive and harm the employer’s reputation.
Case Study 8: Wedow v. City of Kansas City, Missouri, 442 F.3d 441
Case: Female firefighters challenged unequal protective clothing and facilities.
Parties: The plaintiffs were Wedow and Kline, and the defendant was the City of Kansas City, Missouri.
Facts: The women lacked properly fitting bunker gear, adequate restrooms, showers, and private changing facilities, while male firefighters received appropriate equipment and facilities. The city knew of the complaints for years and diverted funds from female facility upgrades.
Issue: The issue was whether these conditions were merely inconvenient or sex based discrimination affecting the terms and conditions of employment.
Applicable Laws: Title VII prohibits discrimination because of sex in terms, conditions, privileges, and employment opportunities, including unequal safety equipment and workplace facilities.
Holding: The female firefighters prevailed.
Reasoning: Ill-fitting safety gear created physical risk, and inadequate facilities affected health, dignity, privacy, and daily working conditions.
Case Question 1: The 2006 timing is surprising because basic safety and sanitation should have been addressed long before litigation.
Case Question 2: The department should have immediately ordered properly sized gear, tracked complaints, inspected facilities, and dedicated budget funds to correction.
Case Question 3: The department likely treated women this way because leadership normalized a male-centered workplace and failed to integrate women into operational planning.
Conclusion: The ruling is correct because HR and leadership must design safety systems for all employees, not just the historic majority. The case also shows that inclusion requires operational resources, not only formal equal employment statements. HR should participate in budgeting, safety procurement, and facilities planning so that women receive equipment and spaces that permit equal performance. Delayed correction converts known inequity into legal exposure. Regular accommodation audits, purchasing reviews, and complaint response deadlines can prevent persistent inequity from becoming accepted workplace practice.