Opinion ID: 1710801
Heading Depth: 2
Heading Rank: 2

Heading: Commission's authority to render judgment for compensatory damages.

Text: The complaint filed by Weitz makes no mention of monetary injury or damage to that company. There is nothing in chapter 105A which would have alerted respondents' counsel he was in the trial of an action for common law damages. The limited evidence in the record came in by way of reference to a rejected claim against the Postal Department. Exhibit A, admitted into evidence, is the same itemization of claimed damage set out above. Although this chapter provides Commission shall not be bound by strict rules of evidence (§ 105A.9(11)); there is a question whether the testimony on this point rises to the dignity of evidence at all. No one ever explained how the overhead loss was computed, nor did anyone testify the charges incorporated in the claim were fair and reasonable. The experienced trial counsel for respondents obviously did not understand he was trying a damage case: he objected this testimony was immaterial. We mention these circumstances to demonstrate the unsatisfactory nature of the statutes creating the Commission and its procedures if viewed as a vehicle to litigate questions of compensatory damages. Nor do we believe this was the legislature's intent. Section 105A.9(12) gives the Commission, if it finds respondent engaging in an unfair or discriminatory practice, tools to eliminate such practice. One tool is prohibitive actionCommission may order respondent to cease and desist. The other tool is to direct affirmative action to correct the conditionreinstatement, reemployment, and other such measures. The unfair practice shown here, within the language of the complaint, was making members of the negro race feel unwelcome, objectionable and not acceptable for membership in Local 67. The Commission decreed both prohibitive and affirmative action with respect to this problem. As it bore on the correction of the specific objectionable practice, Commission's order, as modified, was within the statute although it unquestionably probed the perimeter of authority granted by this legislation. But Commission also attempted to fix damages in a collateral matter for a corporation which had not been discriminated against because of its race, creed, color, sex, national origin or religion. In this, Commission clearly exceeded its statutory authority. A judgment for the employer does not affirmatively make negroes more welcome in Local 67. The right granted Commission to allow back pay for employees ordered hired, reinstated or upgraded is only incidental to affirmative action equitably decreed and cannot by analogy generate a power to enter judgment for other common law damages. If the legislature had intended to constitute Commission as an additional court for adjudicating damages it would have so stated. Our reasoning is further buttressed by § 105A.9 which provides the court shall fix actual damages of a respondent where there was no reasonable cause to believe the ground upon which the complaint was made. The vast majority of states which have adopted anti-discrimination legislation have not expressly provided for awarding compensatory damages in cases involving unfair employment practices. Minnesota (Minn.Stat.Ann. §§ 363.01-363.13 (1957)) and New York (N.Y. Executive Law §§ 290-301 (McKinney's Consol.Laws, c. 18, Supp.1970)) are exceptions, as is New Mexico (N.M.Stat. ch. 4, Art. 33, §§ 4-33-1 to 4-33-13 (Supp.1969)), where the amount is limited to actual damages in an amount not to exceed $1000.00. Commission argues if a discriminating respondent is not made to pay damages caused, the purposes of chapter 105A cannot as a practical matter be effectuated. We are not so convinced. The Commission, armed with broad statutory powers to enjoin and to compel affirmative action to eliminate discriminatory practices may surely fashion a remedy without resort to issues courts are better adapted to litigate. Of course, the damaged person continues to have his remedy in civil court, Amos v. Prom, Inc., 117 F.Supp. 615, 620-621 (N.D.Iowa 1954); Humburd v. Crawford, 128 Iowa 743, 105 N.W. 330 (1905). We hold Commission has no authority under § 105A.9(12) to enter judgment for compensatory damages per se. Accordingly, we reverse district court's decree insofar as it requires Local 67 to pay Weitz the sum of $1033.50.