On May 18, 1998, the Republic of Mexico and several individual employees filed a lawsuit against the DeCoster egg farm under 42 U.S.C. § 1981 and the Migrant and Seasonal Worker Protection Act, 29 U.S.C. § 1801 et seq., in the United States District Court for the District of Maine. The plaintiffs sought damages for breach of contract and fraudulent inducement. The plaintiffs, represented by private counsel, asked the court for compensatory and punitive damages, alleging racial discrimination. Specifically, the plaintiffs claimed that DeCoster had purposefully recruited Mexican laborers under false pretenses, prompted them to travel a great distance to Maine, and then discriminated against them on-site in terms and conditions of employment and housing.

On August 9, 1999 the court (Judge D. Brock Hornby) ruled that the Republic of Mexico did not have standing in court. Ramirez v. DeCoster, 59 F. Supp. 2d 120, (D. Me. 1999). On March 31, 2000, the court (Judge Hornby) denied the plaintiff's motion for class certification. The court also granted DeCoster's motion for summary judgment on all claims except those for racial discrimination in housing and employment discrimination. Ramirez v. DeCoster, 194 F.R.D. 348 (D. Me. 2000). However, at the time of this class certification decision a settlement agreement was already underway between the parties. As a result, on July 7, 2000, the plaintiffs brought a motion to enforce the settlement agreement.

On October 15, 2001, the court (Judge Hornby) found that there was an enforceable agreement as of February 21, 2000, and also certified a settlement class for all claims in the amended complaint. In the settlement agreement the defendants agreed to pay the plaintiffs a sum of $6 million and to consider rehiring certain former employees. Ramirez v. DeCoster, 203 F.R.D. 30 (D. Me. 2001). The case is closed.

Emily Kuznick - 07/25/2010


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