1:04-cv-01337-JBM-JAG # 1 Page 1 of 6

E-FILED
FILED Wednesday, 29 September, 2004 12:20:16 PM Clerk, U.S. District Court, ILCD

IN THE UNITED STATES DISTRICT COURT S£p 2 9 2004

FOR THE CENTRAL DISTRICT OF ILLINOIS JOHN M IN4

'1' <)D ~.?'·

PEORIA DIVISION

CENr~:l DI~TRJg~~J1o-rk •

DISTRICT RT

OF lllJNOts

EQUAL EMPLOYMENT OPPORTUNITY )

COMMISSION,

Plaintiff,

)

)

7 CIVILACTIONNO. ~~-/3 3

)

)

v.

)

)

)

COMPLAINT

PAL HEALTH TECHNOLOGIES, INC.

)

JURY TRIAL DEMAND

)

Defendant.

)

NATURE OF THE ACTION This is an action under Title VII of the Civil Rights Act of 1964, as amended, 42 U.S.C. § 2000e et seq. ("Title VII"), and Title I of the Civil Rights Act of 1991, 42 U.S.C. § 198la, to correct unlawful employment practices on the basis of sex and to provide appropriate relief to a class of female employees who were adversely affected by such practices. Plaintiff U.S. Equal Employment Opportunity Commission (the "EEOC" or "Commission") alleges that Defendant PAL Health Technologies, Inc. ("PAL Health") discriminated against Dona Karen Sue Stratton ("Stratton"), Lori Rudd ("Rudd"), and a class of female employees by subjecting them to harassment because of their sex. EEOC also alleges that Defendant constructively discharged Stratton, Rudd and a class of female employees because of their sex, in violation of Title VII.
JURISDICTION AND VENUE 1. Jurisdiction of this court is invoked pursuant to 28 U.S.C. §§ 451, 1331, 1337, 1343 and 1345. This action is authorized and instituted pursuant to Section 706(f)(1) and (3) of Title VII of the Civil Rights Act of 1964, as amended, 42 U.S.C. § 2000e-5(f)(1) and (3), and
1

1:04-cv-01337-JBM-JAG # 1 Page 2 of 6
Section 102 of the Civil Rights Act of 1991,42 U.S.C. §1981a. 2. The employment practices alleged to be unlawful were and are now being
committed within the jurisdiction of the United States District Court for the Central District of Illinois, Peoria Division.
PARTIES 3. Plaintiff, the Equal Employment Opportunity Commission, is the agency ofthe United States of America charged with the administration, interpretation and enforcement of Title VII, and is expressly authorized to bring this action by Sections 706(f)(l) and (3) ofTitle VII, 42 U.S.C. §§ 2000e-5(f)(l) and (3). 4. At all relevant times, Defendant has continuously been and is now doing business in the State ofillinois and the City of Pekin and has continuously had at least fifteen (15) employees. 5. At all relevant times, Defendant has continuously been an employer engaged in an industry affecting commerce within the meaning of Sections 701 (b), (g) and (h) of Title VII, 42 U.S.C. § 2000e-(b), (g) and (h).
STATEMENT OF CLAIMS 6. More than thirty days prior to the institution of this lawsuit, Stratton and Rudd filed charges with the Commission alleging violations of Title VII by Defendant. All conditions precedent to the institution of this lawsuit have been fulfilled. 7. Since at least 2001 Defendant has engaged in unlawful employment practices at its facility in Pekin, I11inois in continuing violation of Section 703(a)(l) ofTitle VII, 42 U.S.C. § 2000e-2(a)(l). Such unlawful employment practices include, but are not limited to, subjecting
2

1:04-cv-01337-JBM-JAG # 1 Page 3 of 6
Stratton, Rudd, and a class of female employees to harassment because of their sex and constructively discharging Stratton, Rudd and a class of female employees because of their sex.
8. The effect of the practices complained of in paragraph seven (7) above has been to deprive Stratton, Rudd, and a class of female employees of equal employment opportunities and otherwise adversely affect their status as employees because of their sex.
9. The unlawful employment practices complained of in paragraph seven (7) were and are intentional.
10. The unlawful employment practices complained of in paragraph seven (7) above were and are done with malice or with reckless indifference to the federally protected rights of Stratton, Rudd, and a class of female employees.
PRAYER FOR RELIEF WHEREFORE, the Commission respectfully requests that this Court: A. Grant a permanent injunction enjoining Defendant, its officers, successors, assigns, and all persons in active concert or participation with it, from engaging in any employment practice which discriminates on the basis of sex; B. Order Defendant to institute and carry out policies, practices, and programs which provide equal employment opportunities for women, and which eradicate the effects of its past and present unlawful employment practices; C. Order Defendant to make whole Stratton, Rudd, and a class of female employees by providing appropriate back pay with pre-judgment interest, in amounts to be determined at trial, and other affirmative relief necessary to eradicate the effects of its unlawful employment practices;
3

1:04-cv-01337-JBM-JAG # 1 Page 4 of 6
D. Order Defendant to make whole Stratton, Rudd, and a class of female employees by providing compensation for past and future pecuniary losses resulting from the unlawful employment practices described above, in amounts to be determined at trial;
E. Order Defendant to make whole Stratton, Rudd, and a class of female employees by providing compensation for past and future non-pecuniary losses, including emotional pain, suffering, inconvenience, loss of enjoyment oflife and humiliation, in amounts to be determined at trial;
F. Order Defendant to pay Stratton, Rudd, and a class of female employees punitive damages for its malicious and/or reckless conduct described above, in amounts to be determined at trial;
G. Grant such further relief as the Court deems necessary and proper in the public interest; and
H. Award the Commission its costs in this action. JURY TRIAL DEMAND
The Commission requests a jury trial on all questions of fact raised by its Complaint.
4

1:04-cv-01337-JBM-JAG # 1 Page 5 of 6

Respectfully submitted,

ERIC S. DREIBAND General Counsel

JAMES LEE Deputy General Counsel

GWENDOLYN YOUNG REAMS Associate General Counsel

EQUAL EMPLOYMENT OPPORTUNITY

COMMISSION

1801 "L"

N.W.

I. Smason Supervisory Trial Attorney
EQUAL EMPLOYMENT OPPORTUNITY COMMISSION 500 West Madison Street Suite 2800 Chicago, Illinois 60661 (312) 353-7526

5

1:04-cv-01337-JBM-JAG # 1 Page 6 of 6

'JS 44 (Rev. 3/99)

CIVIL COVER SHEET

The JS-44 civil cover sheet and the infonnation contained herein neither replace nor supplement the filing and service of pleadings or other papers as required by law, except as provided by local rules of court. This fonn, approved by the Judicial Conference ofthe United States in September 1974, is required for the use of the Clerk of Court for the purpose of initiating the civil docket sheet. (SEE INS1RUCTIONS ON THE REVERSE OF THE FORM.)

I. (a) PLAINTIFFS
U.S. EQUAL EMPLOYMENT OPPORTUNITY COMMISSION

DEFENDANTS
PAL HEALTII TECHNOLOGIES, INC.

(b) County of Residence ofFirst Listed Plaintiff (EXCEPT IN U.S. PLAINTIFF CASES)

(c) Attorney's (Finn Name, Address, and Telephone Number)
Diane I. Smason Equal Employment Opportunity Commission
500 W. Madison, Suite 2800, Chicago, n.. 60661
312-353-7526
II. BASIS OF JURISDICTION (Place an "X" in One Box Ooly)

I U.S. Government Plaintiff

0 3 Federal Question (U.S. Government Not a Party)

County ofResidence ofFirst Listed

Taswell Countv

(IN U.S. PLAINTIFF CASES ONLY)
n NOTE: INLALNADNDINCVOONLDVEEMD.NATION CASES, USE THEFflo~~

- Attorneys (If Known)

SEP 2 9 2004

JOHN M. \IIJATER.c:; ~"'

III. CITIZENSHIP OF PRINCIPAL PARTIE~Jpff~~iieXf~~

(For Diversity Cases Only)

@.W~le.Qmt)lUN OIS

DEF

DEF

Citizen of This State 0 I 0 I Incorporated or Principal Place 0 4 04

of Business In This State

0 2 U.S. Government Defendant

0 4 Diversity (Indicate Citizenship of Parties in Item III)

IV. NATURE OF SUIT (Place an "X" in One Box Only)

CONTRACT

TORTS

Citizen of Another State 02 0 2 Incorporated and Principal

0 5 05

of Business In Another State

Citizen or Subject of a 03 0 3 Foreign Nation Foreilm Co~ntrv

0 6 06

FORFEITURE/PENALTY

BANKRUPTCY

OTHER STATUTES

0 110 Insurance

PERSONAL INJURY

PERSONAL INJURY 0 610 Agriculture

0 422 Appeal28 USC 158 0 400 State Reapportionment

0 l20Marine

0 310 Airplane

0 362 Personal lnjlliY- 0 620 Other Food & Drug

0 410 Anlittust

0 130 Miller Act

0 315 Airplane Product

Med. Malpractice 0 625 Drug Related Seizure 0 423 Widldrawal

0 430 Ban.l:s and Banking

0 140 Negotiable Instrument

Liability

0 36SPersonalJ.t!illiY-

ofPropeny 21 USC 881

28USC 157

0 450 Commerce/ICC Rates/ete.

0 150 Recovery ofOvapayment 0 320 Assault, Libel &

Product Liability 0 630 Liquor Laws

0 460 Deportation

& Enforcement of Judgment

Slander

0 !51 Medicare Act

0 330 Federal Employers'

0 152 Recovery of Defaulted

Liability

Student Loans

0 340Marine

(Exd Veterans)

0 345 Milrine Product

0 368 Asbestos Personal 0

Injuty Product

0

Liability

0

PERSONAL PROPERTY

0 370 Other Fraud

0

640 R.R. & Truck 650 Airline Regs.
6600ccupational Safety!Healdl
6900ther

'" 0 470 R.aclceteer lollueru:ed and

0 820 Copyrights 0 830Patent
0 840 Trademark

Corrupt Organimions
0 &10 Selective Service 0 850 Securities/Commodities/
Exchange

0 153 Recovery of Overpayment

Liability

of Veteran's Benefits

0 350 Motor Vehicle

0 371 Trudl in Lending 0 380 Other Personal

LABOR

SOCIAL SECURITY

0 875 Customer Cballenge l2USC 3410

0 0 0
0
0 0 0 0 0

160 Stockholders' Suits

0 355 Motor Vehicle

Property Damage

190 Other Contract

Product Liability 0 385 Properly Damage

195 Contract Product Liability 0 360 Other Personal Injuty

Product Liability

REAL PROPERTY

CIVIL RIGHTS

PRISONER PETITIONS

210 Land Condemnation
220 Foreclosure 230 Rent Lease & Ejectment 240 Torts to Land 245 Tort Product Liability 290 All Other Real Property

0 441 Voting
)g 442 Employment
0 443Housin,W Accommodations
0 444 Welfare 0 440 Other Civil Rights

0 510 Motions to Vacate
Seorence Habeas Corpus: 0 530 General 0 535 Death Penalty 0 540 Mandamus & Other 0 550 Civil Rights 0 555 Prison Condition

0 0 0

710 Fair Labor Standards 0

Act

0

720 Labor!Mgmt. Relations 0

0

730 Labor/Mgmt.Reporting 0

861 HlA (139Sff) 862 BW:k Lung (923) 863 DIWC/DlWW (405(g))
864 SSID Title XVI 865 RSI (405(g))

0 0 0
0 0

891 Agricultural Acts 892 &onomic Stabilization Act 893 Envirotunental Maltm;
894 Energy Allocation Act 895 Freedom of
Information Act

& Disclosure Act 0 740 Railway Labor Act

FEDERAL TAX SUITS

0 900Appeal of Fee Detennination Under

Equal Access to Justice

0

790 Other Labor Litigation

0

870 Taxes (U.S. Plaintiff or Defendant)

0 950 Constitutionality of

D 791 Empl. Ret. Inc. Security Act

0 8711RS-Third Pany 26USC7609

State Statutes 0 890 Other Statutory Actions

V. ORIGIN

'"'

I

POrroigcieneadling 0

2

Removed from State Court

(PLACE AN "X" IN ONE BOX ONLY)

0 3 Remanded from 0 4 Reinstated 0 5 Transferred from

Appe!late c0 urt

oRreopened

(asnpoetchiefyr )district

0 6 Multidistrict 0
Litigation

7

Appeal to District Judge from

Magistrate Judgment

VI. CAUSE OF ACTION (Cite the u.s. Civil Statuteunderwbichyou are filing and write briefstatement ofcause.
Do not cite jurisdictional statutes unless diversity.)

This is an action under Title VII of the Civil Rights Act of 1964, as amended, 42 U.S.C. § 2000e et seq. ("Title VIr'), and Title I ofthe Civil Rights Act of

1991, 42 U.S.C.§ 1981a, to correct unlawful employment practices on the basis of sex.

VII. REQUESTED IN COMPLAINT:

0 CHECK IF TIIIS IS A CLASS ACTION DEMANDS
UNDER F.R.C.P. 23

VIII. RELATED CASE(S) IF ANY

(See instructions): JUDGE

\) '\ q DATE ~~e\

FOR OFFICE USE ONLY

R.ECElPT# _ _ __ AMOUNT _ _ _ _ __

APPLYING IFP - - - - - -

CHECK YES only if demanded in complaint: JURYDEMAND: }(Yes ONo DOCKET NUMBER
JUDGE _ _ _ _ __ MAG. JUDGE _ _ _ _ _ _ _ ___

 
 1:04-cv-01337-JBM-JAG # 15 Page 1 of 19

E-FILED
Wednesday, 30 November, 2005 03:37:45 PM Clerk, U.S. District Court, ILCD

IN THE UNITED STATES DISTRICT COURT FOR THE CENTRAL DISTRICT OF ILLINOIS

FILED

PEORIA DIVISION

Nov 2 9 zoos

EQUAL EMPLOYMENT OPPORTUNITY )

COMMISSION,

)

)

CEN-TKUR».siNAADlAu~tr~ ~CTliAO-Os.UC~i<ri~t CIVIL ACTION NO. 04-1337 'I'RICr OP lllWOfS

Plaintiff,

)

)

v.

)

JUDGE MCDADE

)

)

MAGISTRATE JUDGE

PAL HEALTH TECHNOLOGIES, INC.

)

GORMAN

)

Defendant.

)

CONSENT DECREE THE LITIGATION 1. On September 29,2004, Plaintiff United States Equal Employment Opportunity Commission (the "EEOC") filed its Complaint in this action alleging that Defendant PAL Health Technologies, Inc. ("PAL Health" or "Defendant") violated Title VII of the Civil Rights Act of 1964 ("Title VII11) and the Civil Rights Act of 1991 by subjecting Charging Parties Dona Karen Sue Stratton and Lori Rudd, and a class of females employees to harassment because of their sex and constructively discharging them. 2. As a result of having engaged in comprehensive settlement negotiations, EEOC and PAL Health have agreed that this action should be finally resolved by entry of this Consent Decree. This Decree fully and finally resolves any and all issues and claims arising out of the Complaint filed by EEOC in this action. This decree is not an admission by any party of the claims or defenses ofthe other.

1

1:04-cv-01337-JBM-JAG # 15 Page 2 of 19
FINDINGS 3. Having examined the terms and provisions ofthis Decree, and based on the pleadings, record, and stipulations of the parties, the Court finds the following:
A. This Court has jurisdiction ofthe subject matter of this action and of the parties to this case;
B. The terms of this Decree are adequate, reasonable, equitable and just and the rights of the Charging Parties, the EEOC, PAL Health, and the public interest are adequately protected by this Decree; and
C. This Decree conforms with the Federal Rules of Civil Procedure and Title VII, and is not in derogation of the rights or privileges of any person. The entry ofthis Decree will further the objectives of Title VII and will be in the best interests of the Charging Parties, EEOC, PAL Health, and the public.
NOW, THEREFORE, IT IS ORDERED, ADJUDGED AND DECREED THAT: NON-DISCRIMINATION
4. PAL Health, its directors, officers, agents, assigns, employees, and successors are permanently enjoined from (A) engaging in any employment practice which discriminates on the basis of sex; (B) engaging in or being a party to any action, policy or practice that is intended to or is known to them to have the effect of sexually harassing any female employee; and/or (C) creating, facilitating or tolerating the existence of a work environment that is sexually hostile to female employees.
5. PAL Health, its directors, officers, agents, assigns, employees, and successors shall not retaliate in any way against any person because such person has opposed any practice
2

1:04-cv-01337-JBM-JAG # 15 Page 3 of 19

made unlawful under Title VII, filed a Charge of Discrimination under Title VII, testified or

participated in any manner in any investigation, proceeding, or hearing under Title VII, or

asserted any rights under or benefited from this Decree.

MONETARY RELIEF FOR CLASS MEMBERS

6. PAL Health shaU pay monetary damages totaling$ 350,000.00 to Erin Hill, Cara

Linsley, Julie Reichel, Martie Rose, Zandra Tranchitella, Denise Turner, Teresa Wald, and

Kristin Wynn (referred to collectively as "Class Members"). The division of the total monetary

relief among the Class Members is as follows:

Erin Hill

$50,000.00

Cara Linsley

$50,000.00

Julie Reichel

$50,000.00

Martie Rose

$50.000.00

Zandra Tranchitella

$25,000.00

Denise Turner

$50,000.00

Teresa Wald

$50,000.00

Kristin Wynn

$25,000.00

7. Charging Parties have previously settled their claims with PAL Health and will

not receive any additional money as a result ofEEOC and PAL Health's agreement to settle this

case. PAL Health previously provided monetary damages to Stratton in the amount of

$135,000.00 and to Rudd in the amount of$45,000.00.

8. EEOC will mail a copy ofthe release agreement (attached hereto as Exhibit A) to

each Class Member. Each Class Member must execute and return a release agreement to EEOC.

3

1:04-cv-01337-JBM-JAG # 15 Page 4 of 19
EEOC will send to PAL Health the executed release agreements it receives from the Class Members.
9. Within ten (1 0) business days after receipt by PAL Health of the release agreements, PAL Health shall issue and mail by certified mail a check payable to each Class Member in the amount set forth opposite her name above at the address for that Class Member provided to PAL Health by EEOC. PAL Health shall also mail copies ofthe checks to EEOC. PAL Health will issue IRS Form 1099's with respect to these payments.
POSTING OF NOTICE l 0. Within five (5) business days following entry of this Decree, PAL Health shall post a same~sized copy of the Notice attached as Exhibit B to this Decree in a conspicuous location easily accessible to and commonly frequented by PAL Health's employees at each of PAL Health's locations for the duration of this Decree. PAL Health shall ensure that the postings are not altered, defaced or covered by any other material. PAL Health shall certify to EEOC in writing within ten (10) business days after entry of this Decree that the copies of the Notice have been properly posted and the location of each such posting. The Notices shall remain posted for a period of three (3) years from the date of entry ofthis Decree. PAL Health shall permit a representative ofEEOC to enter PAL Health's premises for purposes of verifying compliance with this Paragraph at any time during normal business hours without prior notice.
COMPLAINT MONITOR 11. During the term of the Consent Decree, there shall be an independent Complaint Monitor, who will have the responsibility to investigate independently and confidentially any and
4

1:04-cv-01337-JBM-JAG # 15 Page 5 of 19
all complaints of sexual harassment reported to PAL Health or directly to the Complaint Monitor; make recommendations to PAL Health regarding the appropriate disciplinary or corrective action to take to resolve a complaint of sexual harassment; and maintain detailed written records of all complaints of sexual harassment, the investigation of such complaints, and the resolution of such complaints.
12. The Complaint Monitor shall be Dana Pearl from The Human Organization, Inc. In the event Ms. Pearl can no longer serve as the Complaint Monitor, PAL Health shall have thirty (30) calendar days from the date it is notified that the Complaint Monitor will be unavailable to continue his/her duties for the duration ofthe Consent Decree to identify to EEOC by name, address, and telephone number a new independent Complaint Monitor. EEOC shall have fourteen (14) calendar days from the date of receipt ofthe information described above to accept or reject the new Complaint Monitor. In the event EEOC does not approve PAL Health's proposed Complaint Monitor, PAL Health shall have fourteen (14) calendar days to identify an alternate Complaint Monitor. EEOC shall have fourteen (14) calendar days from the date of receipt of the information described above to accept or reject the alternate Complaint Monitor. In the event that the parties cannot agree upon a monitor, the dispute shall be submitted to the Court for final resolution.
13. PAL Health shall notify the Complaint Monitor of all complaints of sexual harassment reported to PAL Health and shall transmit to the Complaint Monitor all documentation of each such complaint reported to PAL Health as soon as practicable and, in any event, no later than the close of the next business day after PAL Health receives any such
5

1:04-cv-01337-JBM-JAG # 15 Page 6 of 19
complaint. 14. PAL Health shall inform all employees ofthe appointment and function ofthe
Complaint Monitor, and each individual who makes a complaint (whether oral or written) to PAL Health shall receive, upon making a complaint, a written notice informing him/her of the existence and function of the Complaint Monitor. Such notice shall provide the name, telephone number and address at which the Complaint Monitor may be reached.
15. PAL Health shall fully cooperate with the Complaint Monitor in connection with his/her efforts to investigate complaints of sexual harassment, including providing prompt and reasonable access to employees, documents, and any other sources of information. The Complaint Monitor, as he/she deems it necessary or appropriate, shall have access to all PAL Health facilities.
16. In the event the Complaint Monitor determines that any employee of PAL Health, including Jeffrey Schoenfeld, President and Chief Executive Officer (hereinafter referred to as "CEO") has engaged in sexual harassment, PAL Health will take all necessary and appropriate remedial measures, as recommended by the Complaint Monitor. If PAL Health determines that additional remedial measures beyond those recommended by the Complaint Monitor are necessary and appropriate, PAL Health may take such additional remedial measures, but must at a minimum take the remedial measures recommended by the Complaint Monitor.
17. PAL Health shall be responsible for compensating the Complaint Monitor at his/her full customary rate and shall pay any and all reasonable costs and expenses ofthe Complaint Monitor that the Complaint Monitor deems necessary or appropriate to fulfill his/her
6

1:04-cv-01337-JBM-JAG # 15 Page 7 of 19
work as the Complaint Monitor.
ADOPTION AND DISTRIBUTION OF REVISED POLICY AGAINST SEXUAL HARASSMENT
18. Within fourteen (14) calendar days after entry of this Decree, PAL Health shall revise its sexual harassment policy (the "Policy") as necessary to include, at a minimum:
A. a definition of sexual harassment and examples of behavior that could constitute sexual harassment;
B. a provision that employees can make complaints of sexual harassment orally or in writing;
C. a provision that employees can complain of sexual harassment to any person in the chain of command above the employee, directly to human resources personnel, or to the Complaint Monitor, whose name, address, and telephone number shall be included in the Policy;
D. a provision that an employee found to have engaged in sexual harassment will be subject to discipline, up to and including termination;
E. a provision that employees are not required to complain of harassment to a person against whom they allege harassment;
F. a provision that PAL Health will protect the confidentiality of harassment complaints to the extent possible;
G. a provision that employees who complain of sexual harassment or provide information related to such complaints will not be retaliated against and that employees engaging
7

1:04-cv-01337-JBM-JAG # 15 Page 8 of 19
in retaliation will be subject to discipline, up to and including tennination; and H. a provision that, promptly upon the conclusion of its investigation of a
complaint, PAL Health will communicate to the complaining party the results of the investigation and the remedial actions taken or proposed, if any.
The inclusion of this paragraph in the Decree does not represent EEOC's or the Court's approval of PAL Health's policy against sexual harassment.
19. Within twenty-one (21) calendar days after entry of this Decree, PAL Health shall distribute a copy of the Policy to all current employees and shall provide a copy of the policy to EEOC.
20. The Policy shall be included in any relevant policy or employee manuals kept by PAL Health. The Policy shall also be posted in a conspicuous and accessible place for all employees.
21. A copy of the Policy shall be distributed to each new employee on the day the employee is hired. The manager responsible for distributing the Policy to each new employee shall review the Policy with the employee.
TRAINING 22. PAL Health shall provide training on the requirements of Title Vll as follows:
A. Defendant shall retain and pay for an outside consultant/lecturer ("trainer"), approved by the EEOC, to provide training for all employees during each of the three (3) years covered by this Decree with respect to the prevention and eradication of sexual harassment from the workplace. PAL Health shall conduct separate trainings for its non-
8

1:04-cv-01337-JBM-JAG # 15 Page 9 of 19
supervisory employees, its supervisory employees and human resources personnel, and its CEO. B. The annual training for non~supervisory employees shall include (but need
not be limited to) a detailed discussion of the law, PAL Health's complaint procedure, and the role of the Complaint Monitor.
C. The annual training of supervisory employees and human resources personnel shall include (but need not be limited to) a detailed discussion of the law, PAL Health's complaint procedure, the role of the Complaint Monitor, the responsibility of supervisors, managers, and human resources personnel to prevent and stop sexual harassment from occurring, the response supervisors, managers and human resources personnel should take if they become aware of sexual harassment occurring at PAL Health, and the response supervisors, managers, and human resources personnel should take if they become aware of sexual harassment by the CEO.
D. The CEO shall receive a minimum of four (4) hours of one-on-one training annually from the trainer on the prevention and eradication of sexual harassment from the workplace. The CEO shall receive additional training beyond the minimum four (4) hours of training required each year if the trainer deems that additional training is necessary. The training shall include, but need not be limited to, a detailed discussion of the law, the causes of sexual harassment, and the effect of sexual harassment on its victims.
E. PAL Health shall first provide training to all employees, including the oneon-one training for the CEO, within ninety (90) calendar days of the entry of this Consent Decree.
9

1:04-cv-01337-JBM-JAG # 15 Page 10 of 19
F. A registry of attendance for each training shall be retained by PAL Health for the duration of the Consent Decree.
23. PAL Health shall obtain EEOC's approval of its proposed trainer prior to each year's set oftraining sessions. PAL Health shall submit the name, address, telephone number, resume, and training proposal of the proposed trainer, including all materials anticipated to be distributed during the training, together with the date(s) ofthe proposed training sessions to EEOC within thirty (30) calendar days prior to the first day of the proposed date(s) oftraining. EEOC shall have fifteen (15) calendar days from the date ofreceipt of the information described above to accept or reject the proposed trainer(s). In the event EEOC does not approve PAL Health's designated trainer(s), PAL Health shall have thirty (30) calendar days to identify an alternate trainer. EEOC shall have fifteen (15) calendar days from the date of receipt ofthe information described above to accept or reject the alternate trainer. In the event EEOC does not approve PAL Health's alternate trainer, and the parties cannot agree upon a trainer, the dispute shall be submitted to the Court for final resolution. Even though EEOC has approved of or designated a trainer for one year, it is not required to approve.of or designate the same trainer for future training sessions.
24. Prior to the trainings, the trainer shall be allowed to familiarize himself/herself with the allegations of this case by means of communicating with counsel for either party or reviewing documents provided by counsel of either party.
25. PAL Health agrees to provide EEOC with any and all copies of pamphlets, brochures, outlines or other written materials provided to the participants ofthe training sessions.
10

1:04-cv-01337-JBM-JAG # 15 Page 11 of 19
26. PAL Health shall certify to EEOC in writing within five (5) business days after each required training has occurred that the training has taken place and that the required personnel have attended. Such certification shall include: A) the dates, location and duration of the trainings; B) a copy of the registry of attendance, which shall include the name and position of each person in attendance; and C) a listing of all current employees as of the date of the training.
RECORD KEEPING 27. For the duration of this Decree, PAL Health shall maintain and make available for inspection and copying by the EEOC all documents and records which refer or relate to employee complaints regarding alleged sexual harassment made subsequent to the entry of this Decree. Such records shall include the name ofthe complainant, the date ofthe complaint, what was alleged, the name of any witnesses, what actions PAL Health took to resolve the complaint, if any, and the resolution of the complaint 28. PAL Health shall make all documents or records referred to in Paragraph 27 above available for inspection and copying within ten (10) business days after the EEOC so requests. In addition, PAL Health shall make available all persons within its employ whom the EEOC reasonably requests for the purpose of verifying compliance with this Decree, and shall permit the EEOC to enter PAL Health's premises during regular business hours for such purpose on five (5) business days advance business notice by EEOC. 29. Nothing contained in this Decree shall be construed to limit any obligation Defendant may otherwise have to maintain records under Title VII or any other law or regulation.
11

1:04-cv-01337-JBM-JAG # 15 Page 12 of 19
REPORTING 30. Every six months after entry of this Decree and for the term of this Decree, the Complaint Monitor shall provide to the parties, with a redacted copy filed with the Court, a written report containing a description of each complaint of sexual harassment, including the name ofthe complainant, the date of the complaint, what was alleged, the names of any witnesses, a summary of any investigation of the complaint, and the resolution of the complaint. The Complaint Monitor shall redact the names of all complainants, witnesses, or alleged harassers from the copy of the report filed with the Court. The frrst report shall be filed six (6) months after entry of the Consent Decree. The final report shall be filed twenty~one (21) calendar days prior to expiration of the Consent Decree. 31. Every six months after the entry of this Decree and for the term of this Decree, PAL Health shall certify to the EEOC that the Notice required to be posted in Paragraph I0, above, remained posted during the entire six (6) month period preceding the certification.
DISPUTE RESOLUTION 32. In the event that either party believes that the other party has failed to comply with any provisions ofthe Decree, the complaining party shall notify the alleged non-complying party in writing of such non-compliance and afford the alleged non~complying party fifteen (15) calendar days to remedy the non-compliance or satisfy the complaining party that the alleged non-complying party has complied. If the alleged non-complying party has not remedied the alleged non-compliance or satisfied the complaining party that it has complied within fifteen (15) calendar days, the complaining party may apply to the Court for appropriate relief.
12

1:04-cv-01337-JBM-JAG # 15 Page 13 of 19
DURATION OF DECREE AND RETENTION OF JURISDICTION 33. All provisions of this Decree shall be in effect (and the Court will retain jurisdiction of this matter to enforce this Decree) for a period of three (3) years immediately following entry of the Decree, provided, however, that if, at the end of the three (3) year period, any disputes under Paragraph 32, above, remain unresolved, the term of the Decree shall be automatically extended (and the Court will retain jurisdiction ofthis matter to enforce the Decree) until such time as all such disputes have been resolved.
MISCELLANEOUS PROVISIONS 34. The terms ofthis Decree are and shall be binding upon the present and future representatives, agents, directors, officers, assigns and successors of PAL Health. 35. Each party to this Decree shall bear its own expenses, attorney's fees, and costs. 36. If any provision(s) of the Decree are found to be unlawful, only such provision(s) shall be severed, and the remainder ofthe Decree shall remain in full force and effect. 37. When the Decree requires the submission by Defendant of documents to the EEOC, they shall be mailed to: Ann Henry, PAL Health Settlement, Equal Employment Opportunity Commission, Chicago District Office, 500 West Madison Street, Suite 2800, Chicago, Illinois 60661. When the Decree requires the submission by the EEOC of documents, they shall be mailed to: Barry Hartstein, Morgan, Lewis & Bockius LLP, 77 W. Wacker Dr., 5th Floor, Chicago, IL Q0601.
13

1:04-cv-01337-JBM-JAG # 15 Page 14 of 19

For the EQUAL EMPLOYMENT OPPORTUNITY COMMISSION 1801 L Street, N.W. Washington, D.C. 20507
JAMES LEE Deputy General Counsel
GWENDOLYN YOUNG REAMS Associate General Counsel
For the EQUAL EMPLOYMENT OPPORTUNITY COMMISSION 500 W. Madison St., Ste. 2800 Chicago, IL 60661 (312) 353-8558
sf John Hendrickson John Hendrickson ARDC # 1187589 Attorney for Plaintiff EQUAL EMPLOYMENT OPPORTUNITY COMMISSION Chicago District Office 500 West Madison Street, Suite 2800 Chicago, Illinois 60661 Telephone: (312) 353-8551 Fax: (312) 353-8555 E-Mail: john.hendrickson@eeoc.gov
sf Diane Smason Diane I. Smason ARDC # 6626130 Attorney for Plaintiff EQUAL EMPLOYMENT OPPORTUNITY COMMISSION Chicago District Office 500 West Madison Street, Suite 2800 Chicago, Illinois 60661 Telephone: (312) 353-7526 Fax: (312) 353-8555 E-Mail: diane.smason@eeoc.gov

'§!Ann Henry AnnM. Henry ARDC # 6272394 Attorney for Plaintiff EQUAL EMPLOYMENT OPPORTUNITY COMMISSION Chicago District Office 500 West Madison Street, Suite 2800 Chicago, Illinois 60661 Telephone: (312) 353-8558
Fax: (312) 353-8555
E-Mail: ann.henry@eeoc.gov

14

1:04-cv-01337-JBM-JAG # 15 Page 15 of 19

For PAL HEALTH TECHNOLOGIES, INC. MORGAN, LEWIS & BOCKIUS LLP

sl MarkS. Dichter Mark S. Dichter ARDC#04399 Attorney for Defendant MORGAN> LEWIS & BOCKIUS LLP 1701 Market Street Philadelphia, PA 19103-2921 Telephone: (215) 963-5291 Fax: (215) 963- 5001 Email: mdicter@morganlewis.com

sl Daniel R. Begian Daniel R. Begian ARDC # 0312546 Attorney for Defendant The Lowenbaum Partnership 222 South Central Avenue, Suite 901 St. Louis, MO 63105 Telephone: (314) 746-4850 Fax: (314) 746-4848 E-mail: drb@lowenbaumlaw.com

s/ Barry A. Hartstein Barry A. Hartstein ARDC #01147048 Attorney for Defendant MORGAN, LEWIS & BOCKIUS LLP 77 W. Wacker Dr., 5th Floor Chicago, IL 60601 Telephone: (312) 324-1140 Fax: (312) 324-1001 E-mail: bhartstein@morganlewis.com
ENTER:

DATE:

s/Judge Joe B. McDade
·Judge Joe Billy McDade es District Judge

r '

15

1:04-cv-01337-JBM-JAG # 15 Page 16 of 19
EXHIBIT A

1:04-cv-01337-JBM-JAG # 15 Page 17 of 19

RELEASE

In consideration for $

paid to me by PAL Health Technologies, Inc., in

connection with the resolution of EEOC v. PAL Health Technologies, Inc., 04-1337 (C.D. Ill.) I

waive my right to recover for any claims of sexual harassment or constructive discharge arising

under Title VII of the Civil Rights Act of 1964, 42 U.S.C. § 2000e et g:g. and the Civil Rights

Act of 1991, 42 U.S.C. §198la, that I had against PAL Health Technologies prior to the date of

this release and that were included in the claims alleged in EEOC's complaint in EEOC v. PAL

Health Technologies, Inc., 04-1337.

Date: ------------------

Signature:------------

1:04-cv-01337-JBM-JAG # 15 Page 18 of 19
EXHIBITB

1:04-cv-01337-JBM-JAG # 15 Page 19 of 19
NOTICE TO ALL PAL HEALTH EMPLOYEES
This Notice is being posted pursuant to a Consent Decree entered by the federal court in EEOC v. PAL Health Technologies, Inc., Case No. 04-1337, resolving a lawsuit filed by the Equal Employment Opportunity Commission ("EEOC") against PAL Health.
In its suit, the EEOC alleged that PAL Health discriminated against female employees by subjecting them to a sexually hostile work environment and constructively discharging them.
To resolve the claims against PAL Health, PAL Health and the EEOC have entered into a Consent Decree which provides, among other things, that:
1) PAL Health will pay monetary relief to a class of fonner employees;
2) PAL Health is enjoined from discriminating against women on the basis of sex and from subjecting women to sexual harassment;
3) PAL Health is enjoined from retaliating against any person because (s)he opposed any practice made unlawful by Title VII, filed a Title VII charge of discrimination or participated in any Title VII proceeding;
4) PAL Health will provide mandatory training to employees regarding sexual harassment, including the President and CEO, Jeffrey Schoenfeld; and
5) A Complaint Monitor will be appointed to oversee the investigation of complaints of sexual harassment for the duration of the Consent Decree
EEOC enforces the federal laws against discrimination in employment on the basis of disability, race, color, religion, national origin, sex, and age. If you believe you have been discriminated against, you may contact EEOC at (312) 353-2713. EEOC charges no fees and has employees who speak languages other than English.
THIS IS AN OFFICIAL NOTICE AND MUST NOT BE DEFACED BY ANYONE
This Notice must remain posted for three (3) years from the date below and must not be altered, defaced of covered by any other material. Any questions about this Notice or compliance with its terms may be directed to: PAL Health Settlement, EEOC, 500 West Madison Street, Suite 2800, Chicago, IL 60661.
• s!Joe B. McDade 0 ..e.-
The H~rable Judge Joe Billy McDade

 
 Case: 1:04-cv-1337 As of: 04/06/2018 03:13 PM CDT 1 of 4
13,15,CLOSED,REFER
U.S. District Court CENTRAL DISTRICT OF ILLINOIS (Peoria) CIVIL DOCKET FOR CASE #: 1:04−cv−01337−JBM−JAG

Equal Employment Opportunity Commission v. Pal Health Technologies, Inc. Assigned to: Chief Judge Joe Billy McDade Referred to: Magistrate Judge John A. Gorman Cause: 42:2000e Job Discrimination (Employment)
Plaintiff

Date Filed: 09/29/2004 Date Terminated: 11/30/2005 Jury Demand: Plaintiff Nature of Suit: 442 Civil Rights: Jobs Jurisdiction: Federal Question

Equal Employment Opportunity Commission

represented by Diane I Smason EEOC Equal Employment Opportunity Commission Ste 2000 500 W Madison St Chicago, IL 60661 312−869−8120 Fax: 312−353−8555 Email: diane.smason@eeoc.gov LEAD ATTORNEY ATTORNEY TO BE NOTICED

John C Hendrickson EEOC Equal Employment Opportunity Commission Ste 2000 500 W Madison St Chicago, IL 60661 312−869−8099 Fax: 312−869−8124 Email: john.hendrickson@eeoc.gov LEAD ATTORNEY ATTORNEY TO BE NOTICED

Ann M Henry UNITED STATES EQUAL EMPLOYMENT OPPORTUNITY COMMISSION 500 W Madison Ste 2800 Chicago, IL 60661 312−869−8098 Fax: 312−869−8124 Email: ann.henry@eeoc.gov ATTORNEY TO BE NOTICED

V. Defendant Pal Health Technologies, Inc.

represented by Barry A Hartstein LITTLER MENDELSON PC Suite 1000 321 N Clark Street Chicago, IL 60654 312−372−5520 Fax: 312−324−1001 Email: bhartstein@littler.com LEAD ATTORNEY

Case: 1:04-cv-1337 As of: 04/06/2018 03:13 PM CDT 2 of 4
ATTORNEY TO BE NOTICED
Daniel R Begian MCMAHON BERGER PC Suite 200 2730 N Ballas PO Box 31901 St Louis, MO 63131 314−802−3935 Fax: 314−802−3936 Email: daniel.begian@ogletreedeakins.com LEAD ATTORNEY ATTORNEY TO BE NOTICED

Date Filed 09/29/2004 09/29/2004 09/29/2004 09/30/2004 10/14/2004
11/19/2004
12/06/2004 12/06/2004 12/06/2004
12/08/2004 01/04/2005 01/06/2005 01/06/2005 01/06/2005
01/07/2005

# Docket Text
1 COMPLAINT against Pal Health Technologies, Inc. (filing fee is waived), filed by Equal Employment Opportunity Commission.(HK, ilcd) (Entered: 09/29/2004)
2 NOTICE of Appearance of Attorney by Diane I Smason on behalf of Equal Employment Opportunity Commission (HK, ilcd) (Entered: 09/29/2004)
3 NOTICE of Appearance of Attorney by John C Hendrickson on behalf of Equal Employment Opportunity Commission (HK, ilcd) (Entered: 09/29/2004)
Remark: Counsel for EEOC called to advise they will be issuing Notice of Lawsuit/Waiver of Service. (RK, ilcd) (Entered: 09/30/2004)
4 REQUEST FOR WAIVER OF SERVICE and Notice of Lawsuit sent to Defendant on 10/7/04 by Equal Employment Opportunity Commission. Waiver of Service due by 11/9/2004. (Hendrickson, John) (Entered: 10/14/2004)
5 WAIVER OF SERVICE Returned Executed by plaintiff Equal Employment Opportunity Commission for service upon defendant Pal Health Technologies, Inc. Waiver sent on 10/7/2004, answer due 12/6/2004. (CL, ilcd) (Entered: 11/22/2004)
6 NOTICE of Appearance of Attorney by Daniel R Begian on behalf of defendant Pal Health Technologies, Inc. (CL, ilcd) (Entered: 12/06/2004)
7 ANSWER/AFFIRMATIVE DEFENSES to Complaint by Defendant Pal Health Technologies, Inc..(CL, ilcd) (Entered: 12/06/2004)
NOTICE of Hearing: Initial pretrail/Rule 16 Scheduling Conference set for Tuesday, 1/11/2005 at 10:30 AM in person in chambers before Magistrate Judge John A. Gorman. If an agreed discovery plan is filed by 1/7/05, then the hearing will be converted to a phone conference rather than in person and the court will set up the call.(WW, ilcd) (Entered: 12/06/2004)
8 NOTICE of Appearance of Attorney by Ann M Henry on behalf of Equal Employment Opportunity Commission (Henry, Ann) (Entered: 12/08/2004)
9 REPORT of Rule 26(f) Planning Meeting by Pal Health Technologies, Inc.. (Begian, Daniel) (Entered: 01/04/2005)
ORAL MOTION to Continue the Rule 16 conference from 1/11/04 to a different date by Defendant Pal Health Technologies, Inc. (WW, ilcd) (Entered: 01/06/2005)
TEXT ONLY ORDER granting Oral Motion to Continue . Entered by Judge John A. Gorman on 1/6/04. (WW, ilcd) (Entered: 01/06/2005)
Set/Reset Hearings: Rule 16 Scheduling Conference set for 1/11/2005 is CANCELED AND RESET to Friday, 1/7/2005 at 10:30 AM by telephone (court will place call) before Magistrate Judge John A. Gorman. (WW, ilcd) (Entered: 01/06/2005)
Minute Entry for proceedings held before Judge John A. Gorman: Parties present via phone by attorneys Henry/Begian for Rule 16 scheduling conference. Same held on 1/7/2005. Court approves proposed discovery plan. Discovery due by 11/4/2005. Dispositive motions due by 12/2/2005. Final Pretrial Conference set for Thursday,

Case: 1:04-cv-1337 As of: 04/06/2018 03:13 PM CDT 3 of 4

05/31/2005 06/01/2005 08/02/2005 08/02/2005 08/02/2005 08/12/2005 08/29/2005 08/30/2005
09/01/2005 09/01/2005
10/18/2005 11/04/2005

5/4/2006 at 10:30 AM (parties to meet with law clerk at 9:30 AM to discuss jury instructions); Jury Trial set for Monday, 6/5/2006 at 9:00 AM both in Courtroom B before Judge Joe Billy McDade. (CAD, ilcd) (Entered: 01/10/2005)
10 Joint MOTION to Stay Discovery and Extend Discovery Date by Plaintiff Equal Employment Opportunity Commission, Defendant Pal Health Technologies, Inc.. Responses due by 6/14/2005 (Begian, Daniel) (Entered: 05/31/2005)
TEXT ORDER granting 10 Motion to Stay Discovery. All previously set dates are VACATED. Supplemental Rule 16 Scheduling Conference set for Tuesday, 8/16/2005 at 10:00 AM by telephone (court will place call) before Magistrate Judge John A. Gorman. Entered by Judge John A. Gorman on 6/1/05. (WW, ilcd) (Entered: 06/01/2005)
11 Joint MOTION for Protective Order filed by by Defendant Pal Health Technologies, Inc.. Responses due by 8/16/2005 (Attachments: # 1 Text of Proposed Order)(Begian, Daniel) (Entered: 08/02/2005)
TEXT ONLY ORDER granting 11 Motion for Protective Order. Proposed Protetive order to enter. Entered by Judge John A. Gorman on 8/2/05. (WW, ilcd) (Entered: 08/02/2005)
12 AGREED PROTECTIVE ORDER regarding financial information. Entered by Judge John A. Gorman on 8/2/05. (WW, ilcd) (Entered: 08/02/2005)
Rule 16 Supplemental Scheduling Conference set for 8/16/2005 is cancelled upon oral request from defendant, unopposed by plaintiff, and reset to 8/30/2005 at 11:30 AM by telephone (court will place call) before Magistrate Judge John A. Gorman. Entered by Judge John A. Gorman on 8/12/05. (JB, ilcd) (Entered: 08/12/2005)
13 NOTICE of Appearance of Attorney by Daniel R Begian on behalf of Pal Health Technologies, Inc. (Begian, Daniel) (Entered: 08/29/2005)
Minute Entry for proceedings held before Judge John A. Gorman: Parties present via phone by attys Henry/Begian/Hartstein for Supplemental R16 hearing on 8/30/05 at 11:30 AM. Same not held. Status conference held. Court vacates all pending dates and schedules a Settlement Conference for 10/18/2005 at 10:00 AM in Chambers before Magistrate Judge John A. Gorman. Persons with settlement authority are to be present or readily available by phone. Parties to submit directly to Chambers a settlement memorandum stating their position in regard to settlement by 10/13/05. Do not file this memo with the Clerk's office or exchange with opposing parties. (TK, ilcd) (Entered: 08/30/2005)
ORAL MOTION to Continue the settlement conference to a later time by Plaintiff Equal Employment Opportunity Commission. (WW, ilcd) (Entered: 09/01/2005)
TEXT ONLY ORDER granting oral Motion to Continue. Settlement Conference previously set for Tuesday, 10/18/2005 at 10:00 AM is CHANGED IN TIME ONLY to 11:00 AM in person in chambers before Magistrate Judge John A. Gorman. Persons with settlement authority to be present or readily available by phone. Parties to submit directly to chambers a settlement statement stating their position in regard to settlement by 10/14/05. Do not file this statement with the clerk office or exchange with opposing partiesEntered by Judge John A. Gorman on 9/1/05. (WW, ilcd) (Entered: 09/01/2005)
Minute Entry for proceedings held before Judge John A. Gorman : Parties present in person by attorneys Smason/Henry/Begian/Hartstein with defendant reprsentative Lois Barnum for settlement Conference held on 10/18/2005. Settlement not reached. Status Conference set for 11/4/2005 at 11:00 AM by telephone (court will place call) before Magistrate Judge John A. Gorman. (WW, ilcd) (Entered: 10/19/2005)
Minute Entry for proceedings held before Judge John A. Gorman. Parties present via phone by Attys Henry/Hartstein/Begian at 11:00 a.m. on Friday, 11/4/2005 for Status Conference − same held. Parties report they have reached an agreement and are drafting consent decree. Parties to submit paperwork to court by 11/30/2005. Case set for Status Conference at 11:30 a.m. on Friday, 12/16/2005 by telephone (court will place call) before Magistrate Judge John A. Gorman. (KB, ilcd) (Entered: 11/04/2005)

Case: 1:04-cv-1337 As of: 04/06/2018 03:13 PM CDT 4 of 4

11/29/2005
11/29/2005
11/30/2005 05/30/2006 12/11/2006 06/04/2007
11/30/2007 06/02/2008 12/02/2008

14 Joint MOTION to Approve Consent Judgment by Plaintiff Equal Employment Opportunity Commission. Responses due by 12/13/2005 (Attachments: # 1 Exhibit Consent Decree)(Henry, Ann) (Entered: 11/29/2005)
NOTICE of Cancellation of Hearing: Status conference set for 12/16/05 is cancelled due to the filing of a motion for consent decree by the parties on 11/29/05 (WW, ilcd) (Entered: 11/29/2005)
15 CONSENT DECREE entered and civil case terminated. Entered by Judge Joe Billy McDade on 11/30/05. (RK, ilcd) (Entered: 11/30/2005)
16 STATUS REPORT filed 5/30/06 by the consent decree monitor (HK, ilcd) (Entered: 06/02/2006)
17 STATUS REPORT from Dana Pearl, complaint monitor dated 12/3/6. (HK, ilcd) (Entered: 12/11/2006)
18 Letter from Dana M. Pearl, designated Complaint Monitor to Judge McDade. The letter serves as the May 2007 report as required by the Consent Decree. (RK, ilcd) (Entered: 06/04/2007)
19 STATUS REPORT for November 2007 filed by Dana M. Pearl, Complaint Monitor. (RK, ilcd) (Entered: 11/30/2007)
20 STATUS REPORT by Pal Health Technologies, Inc. (RK, ilcd) (Entered: 06/02/2008)
21 STATUS REPORT by Dana Pearl dated 12/1/08. (RK, ilcd) (Entered: 12/02/2008)

 
 EEOC LITIGATION SETTLEMENT REPORT - November 2005

http://www.eeoc.gov/litigation/settlements/settlement11-05.html

EEOC v. PAL Health Technologies, Inc. No. 04-1337 (C.D. Ill. Nov. 30, 2005)
The Chicago District Office filed this Title VII suit alleging that defendant, which manufactures and markets orthopedic equipment, subjected two charging parties and similarly-situated women at its Pekin, Illinois facility to sexual harassment and constructively discharged the two charging parties. At the time they resigned, both charging parties had worked for defendant for at least a year and held responsible positions (territory sales manager and director of new business development). The President/CEO, who managed defendant from a Florida office, visited the Pekin office for 3 or 4 days every few weeks and kept in frequent contact with the Pekin employees by telephone. The CEO made sexually suggestive comments, used derogatory terms to refer to women, and touched women inappropriately. Although defendant investigated at least two of the women's complaints, it failed to take effective corrective action. Finally, both charging parties quit because of the sexual harassment, one after she was hospitalized for an emotional breakdown caused by the negative tone of the investigation into her internal harassment complaint.
Under the 3-year consent decree resolving this case, defendant will pay $350,000 in monetary relief to eight women named in the decree: two will receive $25,000 each and the other six $50,000. The decree states that the two charging parties received additional monetary damages totaling $180,000 under a separate, private agreement with defendant. Defendant is permanently enjoined from sex discrimination, sexual harassment, and creating, facilitating, or tolerating a work environment that is sexually hostile to female employees. Defendant is also prohibited from engaging in retaliation under Title VII. At each of its locations, defendant must post a notice summarizing the allegations in the complaint and the principle requirements of the consent decree as well as information on how to contact the EEOC's Chicago District Office with a complaint.
Defendant will retain Dana Pearl, President of The Human Organization, Inc., based in Evanston, Illinois, as the Complaint Monitor. The Complaint Monitor will be responsible for independently investigating all sexual harassment complaints against defendant and for recommending disciplinary or corrective action. The decree requires defendant to take at a minimum all necessary and appropriate remedial measures that the Complaint Monitor recommends. Defendant is required to retain an outside Trainer, approved by EEOC, to train all employees in each of the 3 years covered by the decree on the prevention and eradication of sexual harassment from the workplace, the complaint procedure, and the Complaint Monitor's role. The Trainer will provide the CEO with a minimum of 4 hours of one-on-one training (or longer if the Trainer deems it necessary) annually, which will include the causes of sexual harassment and the effect of sexual harassment on its victims. Prior to the trainings, the Trainer will be allowed to familiarize himself/herself with the allegations raised in the case. The decree provides that every 6 months the Complaint Monitor will provide the parties with a detailed written report on each sexual harassment complaint received (including the name of the complainant, allegations, summary of the investigation, and resolution). The Complaint Monitor must file a redacted copy of the report with the court.

1 of 1

6/28/2007 9:54 AM