Court Opinion

ID: 9489755
Source: CourtListenerOpinion
Date Created: 2023-08-05 13:23:18.205761+00
Date Added: 2024-06-11T17:53:41.778636
License: Public Domain

HEANEY, Circuit Judge,
dissenting.
I respectfully dissent. I agree with the Second Circuit that professionals who elect to incorporate are “employees” for the purpose of Title VII. See Hyland v. New Haven Radiology Assocs., P.C., 794 F.2d 793, 798 (2d Cir.1986). Reading the statute either literally or broadly, the shareholders of a professional corporation fall under the general statutory definition of employee: they are employed by the corporation. The corporation pays them a bi-monthly salary, withholds taxes from them, and provides them with insurance, pension, and health benefits. The corporate structure also offers to the shareholders significant tax advantages and employee benefits. “Having made the election to incorporate, they should not now be heard to say that their corporation is ‘essentially a [legal] partnership among co-equal [attorneys].’ ” Id. Assuming that all of the attorneys at SL & G actively engage in the practice of law, they should be counted as “employees” and SL & G should be considered an “employer” under 42 U.S.C. § 2000e(b). Although this interpretation of Title VII exposes professional corporations to potential liability, it also offers to all of the shareholders, particularly the less senior ones, protection from discriminatory conduct. In my view, this interpretation is consistent with the broad, remedial purpose of this anti-discrimination statute. Thus, I would reverse the district court and allow Devine to go forward with her discrimination claim.