Takeaway: Employers that permit high-ranking officials to serve as the face of the company can no longer claim an affirmative defense in sexual-harassment claims in the 3rd Circuit, which covers Delaware, New Jersey, Pennsylvania and the U.S. Virgin Islands.

The 3rd U.S. Circuit Court of Appeals found that a plaintiff-employee should have been allowed a jury instruction that eliminated the Faragher-Ellerth defense when there was alleged harassment by a person who served as a proxy for the organization. Nonetheless, the court declined to overturn the jury's verdict when the jury found that no harassment had occurred.

The plaintiff was employed as the organization's controller. She was also responsible for the organization's human resource functions. She filed suit in federal court, alleging she had been sexually harassed by the organization's director, who was her direct supervisor.

At trial, the plaintiff argued that the employer should be barred from raising the Faragher-Ellerth defense because the director was a proxy for the organization. Normally, the defense applies when the employee was not subject to a tangible employment action, such as being fired, demoted or reassigned, so long as: 1) the employer exercised reasonable care to prevent and correct any harassing behavior, and 2) the plaintiff unreasonably failed to take advantage of the preventive or corrective opportunities provided. Here, though, the plaintiff claimed that the defense should not be available if...

Read Full Story: https://news.google.com/__i/rss/rd/articles/CBMigAFodHRwczovL3d3dy5zaHJtLm9yZ...