Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-2_09-cv-03546/USCOURTS-caed-2_09-cv-03546-0/pdf.json

Nature of Suit Code: 442
Nature of Suit: Civil Rights Employment
Cause of Action: 28:451 Employment Discrimination

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William R. Tamayo, SBN (CA) 084965 

David Offen-Brown, SBN (CA) 063321 Dana C. Johnson, SBN (CA) 187341 U.S. EQUAL EMPLOYMENT 

OPPORTUNITY COMMISSION 

350 The Embarcadero, Suite 500 

San Francisco, CA 94105-1260 

Telephone: (415) 625-5697 

Facsimile: (415) 625-5657 

E-mail: dana.johnson@eeoc.gov

Attorneys for Plaintiff EEOC 

Pankaj Bhatia 

BHATIA & ASSOCIATES 

445 South Figueroa Street, Suite 2600 

Los Angeles, CA 90071 

Telephone: (213) 426-2112 

Facsimile: (213) 426-2146 E-mail: pbhatia@bhatialaw.com

Attorneys for TBS Foods, Inc. 

UNITED STATES DISTRICT COURT 

EASTERN DISTRICT OF CALIFORNIA 

U.S. EQUAL EMPLOYMENT 

OPPORTUNITY COMMISSION, 

 Plaintiff, 

 vs. 

KOBRA ASSOCIATES, INC. d/b/a 

JACK IN THE BOX, 

 Defendant. 

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Case No.: 2:09-CV-03546-MCE-JFM 

CONSENT DECREE AND ORDER 

Case 2:09-cv-03546-MCE -JFM Document 17 Filed 05/19/10 Page 1 of 9
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Plaintiff U.S. Equal Employment Opportunity Commission (“Commission” 

or “EEOC”) brought this lawsuit under Title VII of the Civil Rights Act of 1964 

and Title I of the Civil Rights Act of 1991, to correct alleged unlawful employment 

practices on the basis of sexual harassment and to make whole Tammy Bright and 

other similarly situated women, who were aggrieved by the alleged unlawful 

practices. Plaintiff EEOC alleged that defendant Kobra Associates, Inc. d/b/a Jack 

in the Box (“Defendant Kobra”) unlawfully subjected Bright and similarly situated 

women to a hostile work environment because of their sex, female. TBS Group, 

(“TBS” or the “Company”) is in the process of acquiring Defendant Kobra’s Store 

513, located at 6729 Skyway Street, Paradise, CA 95969 (“Store 513”), and 

intends to continue to operate Defendant’s Store 513, which is the store where 

Bright and the similarly situated women had been employed. TBS is acquiring 

Store 513 free and clear of all claims, interests or encumbrances through a sale 

approved by the Bankruptcy Court, with the sole exception of this Consent Decree 

(“Decree”). TBS consents to this Court’s jurisdiction during the term of this 

Decree solely for purposes of compliance with this Decree. 

In the interest of resolving this matter and as a result of comprehensive 

settlement negotiations, the Commission and TBS (hereinafter “Parties to the 

Decree”) have agreed that the EEOC’s claim for non-monetary injunctive relief in 

connection with the above-captioned lawsuit (the “Lawsuit”) should be finally 

resolved by entry of this Decree. This Decree shall not constitute an adjudication 

of or a finding on the merits of the Lawsuit. Nor does it resolve the EEOC’s 

claims for monetary relief against Defendant Kobra, which claims, once liquidated, 

will be administered through the bankruptcy court proceedings. 

This Decree constitutes a complete resolution between the Parties to the 

Decree of all claims that were made or could have been made by the Commission 

against TBS as they relate to successor liability on behalf of Ms. Bright or 

similarly situated women based upon Ms. Bright’s charge of discrimination, EEOC 

Case 2:09-cv-03546-MCE -JFM Document 17 Filed 05/19/10 Page 2 of 9
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Charge No. 550-2007-02024. This Decree does not, however, prevent or affect the 

filing or resolution of any charges filed after entry of this Decree. Currently, the 

EEOC knows of no pending charges against TBS. 

This Decree comprises the full and exclusive agreement of the Parties to the 

Decree with respect to the matters discussed herein. No waiver, modification or 

amendment of any provision of this Decree shall be effective unless made and 

approved in writing by the Parties to the Decree, and any substantive change, 

modification or amendment of any provision of this Decree shall also require 

approval by the Court. 

The Court has reviewed this consent decree in light of the pleadings, the 

record herein, and now approves this consent decree. THEREFORE, IT IS 

ORDERED, ADJUDGED AND DECREED: 

 GENERAL PROVISIONS 

 1. This Court has jurisdiction over the subject matter and the 

Parties to this Lawsuit. This Court will retain jurisdiction over this Decree for all 

purposes until the expiration of the Company’s obligations as set forth herein. 

 2. This Decree is final and binding upon the Parties to the Decree, 

their successors and assigns. 

 3. The Parties to the Decree shall each be responsible for its own 

costs and attorneys’ fees. 

 GENERAL INJUNCTIVE RELIEF 

 4. Retaliation: TBS and its officers, agents, managers (including 

supervisory employees), successors and assigns, are enjoined from engaging in, 

implementing or permitting any action with the purpose of retaliating against 

Tammy Bright because she (a) opposed any practice of harassment made unlawful 

under Title VII, (b) filed a Charge of Discrimination alleging any such practice, (c) 

participated in the EEOC’s investigation into claims of harassment, or (d) was 

identified as a possible witness in connection with this Lawsuit. If the EEOC 

Case 2:09-cv-03546-MCE -JFM Document 17 Filed 05/19/10 Page 3 of 9
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believes that TBS has violated this provision, it will provide TBS with written 

notice and a sixty (60) day period in which to engage in good faith efforts to 

resolve the issue, as set forth in Paragraph 15a, prior to petitioning the Court. 

 SPECIFIC INJUNCTIVE RELIEF 

 5. Zero-Tolerance 

 The Company affirms the following Statement of Zero-Tolerance 

Policy and Equality Objectives: 

 “The Company is firmly committed to maintaining a zero-tolerance 

policy concerning discriminatory harassment and retaliation against individuals 

who report harassment in the company’s workplace; to reasonably swiftly and 

appropriately respond to any acts of harassment and retaliation of which the 

Company becomes aware; to impose discipline designed to strongly deter future 

acts of harassment or retaliation; and to conduct training, distribute at hire the 

Company’s policy prohibiting harassment, and train managers and supervisors on 

their duties regarding workplace harassment, in order to ensure tolerance, respect 

and dignity for all employees.” 

 6. EEO and Harassment Policies 

 TBS shall present to the EEOC its EEO & harassment policies, within 

sixty (60) days of signing the Decree, such that the policies will: (i) include 

definitions of discriminatory harassment; (ii) include examples to supplement the 

definitions of sexual harassment; (iii) provide for appropriate discipline and/or 

corrective action for incidents of discriminatory harassment designed to deter 

future acts of harassment; (iv) include strong non-retaliation language; (v) provide 

for appropriate discipline for incidents of retaliation designed to deter future acts of 

retaliation; (vi) provide express options, as stated in the employee handbook, for 

making oral or written complaints of harassment and/or retaliation; (vii) provide 

for a prompt investigation after a complaint is made or received and for appropriate 

remedial action, if warranted, to be taken upon conclusion of an investigation; and 

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(viii) indicate that, upon the conclusion of the investigation of a complaint, the 

Company will communicate to the complaining party the results of the 

investigation and that remedial action was taken, if any. TBS is not required by 

this Decree to inform the complaining party of the nature of the discipline 

imposed, if any. 

 The Company shall ask each person who receives the policies to sign 

an acknowledgment that they have received and read the policy. 

 7. Complaint Procedure 

 a. The Company shall implement a complaint procedure designed 

to encourage employees to come forward with complaints about violations of its 

harassment policy. As part of the policy, the Company shall provide its employees 

with convenient, confidential and reliable mechanisms for reporting incidents of 

harassment and retaliation. The Company’s complaint procedure and harassment 

policy shall notify employees that they can lodge a complaint with their immediate 

supervisor, or a Company Corporate Officer or designee, and shall provide the 

name and telephone numbers for such individuals. Contact information for the 

Company Corporate Officer or designee shall also be continuously posted at Store 

513. 

 b. The Company shall undertake reasonable efforts to maintain 

anonymity of complainants and confidentiality of complaints in a manner 

consistent with applicable law. 

8. Training of Employees 

 The Company shall provide mandatory annual anti-harassment 

training for each year during the term of the Decree to all employees who are 

employed at Store 513 at the time of the training. Failure of an employee to attend 

is only excused for legitimate reasons. TBS will not be in default of the Decree if 

it substantially complies with this provision. The purpose of said training shall be 

to give participants an understanding of harassment issues, particularly sexual 

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harassment, including but not limited to what constitutes sexual harassment, 

sources of legal protection for sexual harassment victims, the employees’ 

obligation to report sexual harassment, the employer’s obligation to take 

preventive, investigative and remedial action with respect to harassment 

complaints, and to review company policies (including disciplinary policies) and 

practices related to sexual harassment and retaliation with Company employees. 

 9. Training Logistics 

 The content, persons providing training, method of training and size 

of training under Paragraph 8, above, is subject to review by the EEOC. The 

EEOC will consider qualified Jack in the Box, Inc. personnel as trainers to perform 

this function. The annual trainings will be conducted by live trainers. The 

Company agrees to provide the qualifications of the trainer(s) and a description of 

each training program and the date, time and location of the training to counsel for 

the Commission no later than twenty (20) days before each of the training 

programs are scheduled to be held. 

 10. Acknowledgment of Training Attendance 

 All persons attending mandatory anti-harassment training pursuant to 

this Decree shall sign an acknowledgment of their attendance at the training and 

the date thereof. The Company shall retain these acknowledgments and provide 

the EEOC with a copy thereof each year that the Decree remains in effect. 

11. Reports to the Commission 

 Within forty-five (45) days of completion of the training required by 

this consent decree, the Company will send the EEOC verification of its 

completion of harassment training for its employees. 

 12. Harassment Complaint Reports 

 During the term of the Decree, TBS shall provide to the EEOC reports 

concerning internal complaints of harassment containing the following 

information: (1) a description of the complained-of events, (2) the name of the 

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complaining employee, and (3) the resolution that TBS reached in connection with 

the complaint. At the EEOC’s request, TBS shall provide the EEOC with the 

complaining party’s last known telephone number or shall provide the EEOC with 

a statement signed by the complaining party that he or she does not want his or her 

telephone number to be provided to the EEOC. 

On the twenty-fifth day of January and June of each year during the duration 

of this Decree, TBS shall mail to counsel for the Commission a report containing 

the above information. 

13. Policies Designed to Promote Supervisor Accountability 

a. Communication of Potential Discipline for Engaging in 

Harassment 

 TBS shall impose appropriate discipline, up to and including 

termination, suspension without pay or demotion, upon any supervisor or manager 

who engages in harassment or knowingly permits any such conduct to occur in his 

or her work area or among employees under his or her supervision, or who 

retaliates against any person who complains or participates in any investigation or 

proceeding concerning such conduct. The Company shall communicate this policy 

to all of its supervisors and managers via the employee handbook. 

 b. Communication of Duty to Monitor Worksite. 

 The Company shall advise all managers and supervisors via the 

employee handbook of their duty to monitor their work areas to ensure employee 

compliance with the company’s anti-harassment policy, and to report any incidents 

and/or complaints of harassment and/or retaliation of which they become aware to 

the individuals charged with handling such complaints. 

 14. Notice of Decree to Potential Purchasers 

In the event that TBS sells Store 513 during the term of the Decree, it shall 

provide the purchaser with a copy of the Decree at least fifteen (15) days before the 

sale takes place. 

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15. Retention of Jurisdiction and Expiration of Decree 

 a. For purposes of enforcing the provisions of this Decree, and 

pursuant to Kokkonen v. Guardian Life Ins. Co. of Am., 551 U.S. 375, 381-82 

(1994) and Flanagan v. Arnaiz, 143 F.3d 540, 543-44 (9th Cir. 1998), this Court 

will retain jurisdiction of the instant lawsuit until the expiration of the Decree. 

This Decree shall terminate two (2) years from the date of entry by the Court, 

unless the Commission petitions this Court for an extension of the Decree because 

of substantial noncompliance by the Company. If the Commission determines that 

the Company has not complied with the Decree, the Commission will provide 

written notification of the alleged breach to the Company, and will not petition the 

Court for enforcement sooner than sixty (60) days after providing written 

notification. The sixty-day period following written notice shall be used by the 

Parties to the Decree for good faith efforts to resolve the issue. If the Commission 

petitions the Court and the Court finds the Company to be in substantial violation 

of the terms of the Decree, the Court may extend this Decree. 

 b. Except as provided in the preceding paragraph 9, two (2) years 

after the entry of this Decree, this lawsuit will be deemed to have been dismissed 

with prejudice, provided that the Company has complied substantially with the 

terms of this Decree. The Company will be deemed to have complied substantially 

if the Court has not made any findings or orders during the term of this Decree 

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that the Company has failed to comply with any of the terms of this Decree. The 

Decree will automatically expire without further Court Order. 

Dated: _May 5____, 2010 U.S. EQUAL EMPLOYMENT 

 OPPORTUNITY COMMISSION 

 By: /s/ 

 William R. Tamayo 

 Attorney for Plaintiff EEOC 

Dated: __________, 2010 TBS FOODS, INC. 

 By: /s/ 

 Ben Nematzadeh 

 

 President, TBS Foods, Inc. 

ORDER 

In accordance with the parties’ stipulation, the foregoing Consent Decree is 

hereby approved. The instant matter is hereby dismissed, with prejudice, and the 

Clerk of Court is directed to close the file. The pending Motions to Dismiss 

(Docket No. 6) and to stay these proceedings (Docket No. 12) are accordingly 

denied as moot. Pursuant to the terms of the Consent Decree, however, the Court 

will retain jurisdiction over this matter for a period of two (2) years to ensure 

compliance with the terms of the settlement reached between the parties as set 

forth above. 

IT IS SO ORDERED. 

Dated: May 18, 2010

__________________________________ 

MORRISON C. ENGLAND, JR 

UNITED STATES DISTRICT JUDGE

 

Case 2:09-cv-03546-MCE -JFM Document 17 Filed 05/19/10 Page 9 of 9