On August 8, 2006, the Equal Employment Opportunity Commission (EEOC) filed suit against Shree Lalaji LLC (trading as Best Western Salisbury Plaza) on behalf of a black employee, who it alleged was subjected to racial epithets and remarks and retaliation, and a class of black employees who were subjected to the racially hostile work environment that accompanied the situation. Specifically, the EEOC alleged that the general manager made racially hostile statements, treated black employees less favorably, refused service to and overcharged black guests of the hotel, and reduced the individual employee's hours in retaliation for his complaints about the general manager's racially motivated actions. The EEOC also alleged that the employee had been constructively fired. The EEOC sought monetary and injunctive relief for the black employees, including backpay, compensation for emotional harm, and punitive damages.

The parties reached a settlement agreement, which the Court (Judge William M. Nickerson) entered as a consent decree on December 6, 2006. The decree provided monetary and injunctive relief. The employee who allegedly had been constructively fired received $7,000 in back pay and $8,000 in compensatory damages, while the class of black employees received a total of $5,000. Under the decree, the Best Western was restrained from racial discrimination and creating a hostile work environment. The Best Western agreed not to retaliate against employees who oppose practices believed the employees to violate Title VII, and was required to post an equal employment notice and provide its employees with at least four hours of training on keeping the work environment free of racial harassment. The parties bore their own costs and attorneys' fees. The decree did not have a specific overall duration, and the case is now closed.

Kenneth Gray - 07/17/2013


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