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Ministerial Exception to Title VII

Client Alert

On July 8, 2020, the United States Supreme Court issued a 7–2 decision holding that religious institutions, such as churches and religion-based schools, are shielded from employment discrimination lawsuits — including claims brought under Title VII of the Civil Rights Act of 1964. In doing so, the Court decided in favor of two Catholic schools facing legal discrimination claims from former teachers who alleged wrongful termination from their employment for age and disability.

The cases, Our Lady of Guadalupe School v. Morrissey-Berru and St. James School v. Biel, concern the ministerial exception to employment discrimination laws which protect religious employers from certain lawsuits brought by employees. The exception, arising from protections under the First Amendment, bars the government from interfering with religious institutions’ hiring and firing of clergy.

The ruling ultimately broadens the ministerial exception to Title VII by holding that school teachers who perform a religious role in the course of their employment fall within a ministerial exception from civil rights protections afforded to other employees. To be under the exception, the individual does not need to be ordained and religion duties need only to make up a small portion of their overall responsibilities.

Here, the expanded ministerial exemption means that employees at religious institutions who perform any religious role will no longer be able to sue for sexual harassment, equal pay, and other civil rights protections under Title VII of the Civil Rights Act.

For more information, contact Bryan Meek at bmeek@bmdllc.com.


Corporate Transparency Act Overhauled: U.S. Entities No Longer Required to Report

The Department of Treasury has issued an interim final rule significantly altering the Corporate Transparency Act (CTA). As of March 21, 2025, all U.S.-created entities and their beneficial owners are exempt from reporting requirements. Only non-U.S. entities registered to do business in the U.S. must still report, but they are not required to disclose U.S. citizen owners. Business owners should stay informed on these changes and consult legal counsel for compliance guidance.

ODM to Implement Medicaid Work Requirements: What Providers and Medicaid Expansion Recipients Need to Know

The Ohio Department of Medicaid (ODM) has submitted a waiver to impose work requirements for Medicaid expansion recipients. If approved, the new eligibility criteria will take effect on January 1, 2026. A federal public comment period is open until April 7, 2025.

Ohio Appellate Court Rules in Favor of Gender-Affirming Care

On March 18, 2025, the 10th District Court of Appeals in Franklin County ruled that Ohio’s House Bill (HB) 68, which restricts puberty blockers and hormone therapy for minors seeking gender-affirming care, violates the Health Care Freedom Amendment and is therefore unenforceable. The court found that the law unlawfully interferes with parental rights and medical decision-making. The case, Moe v. Yost, has been remanded, and Ohio Attorney General Dave Yost intends to appeal.

HHS Revokes Public Comment Requirement on Certain Policy Changes

The U.S. Department of Health and Human Services (HHS) has revoked the Richardson Waiver, eliminating the requirement for public notice and comment on certain policy changes. This decision allows HHS to implement new policies more quickly, potentially affecting healthcare funding rules like Medicaid work requirements. While it speeds up policymaking, it also reduces opportunities for stakeholder input, raising concerns over transparency and unintended consequences for healthcare providers, states, and patients.

Don't Get Caught Dazed and Confused: Another Florida Court Weighs in on Employer Obligations to Accommodate Medical Marijuana Use

A Florida trial court ruled in Giambrone v. Hillsborough County that employers may need to accommodate off-duty medical marijuana use under the Florida Civil Rights Act (FCRA). This contrasts with prior rulings and raises new compliance challenges for employers. With the case on appeal, now is the time to review workplace drug policies.