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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.


BMD Named to the 2024 U.S. News – Best Lawyers® “Best Law Firms”

Brennan Manna & Diamond (BMD) is recognized among the leading law firms in the nation according to the 2024 Edition of U.S. News – Best Lawyers®  "Best Law Firms." The firm has ranked in in 13 practice areas and has earned “National Tier 1” rankings in Health Care Law and Litigation-Trusts & Estates.

Friendly Physician Models: The Basics Through 5 Frequently Asked Questions

During the past several years, many health law practices have noticed a dramatic increase in the number of telehealth businesses and private equity backed health care providers. Both of these trends often rely heavily on corporate structures commonly referred to as “friendly physician,” “captive PC” or “MSO” models. Although friendly physician models are used by non-physician health care providers (e.g., physical therapists, psychologists, and dentists), this article focuses on physicians and how the model is used in connection with the provision of professional medical services.

The DOL and EEOC Enter a Partnership to Strengthen Federal Employment Law Enforcement

On September 13, the U.S. Department of Labor’s (DOL) Wage and Hour Division and the Equal Employment Opportunity Commission (EEOC) entered into a Memorandum of Understanding (MOU) agreeing to work together in enforcing federal employment laws. The MOU forms a partnership between the two agencies to encourage coordination through information sharing, joint investigations, training, and outreach.

Proposed Laboratory Arrangement Draws Heightened Scrutiny from the OIG

On September 25, 2023, the Office of Inspector General for the U.S. Department of Health and Human Services (OIG) issued Advisory Opinion 23-06 (AO). The Opinion involved a proposed arrangement between an independent laboratory and other physician laboratories for the purchase of the technical component of anatomic pathology services. The OIG ultimately concluded that the arrangement at issue, if it was entered into with the requisite intent, would implicate the Federal Anti-Kickback Statute (AKS) and constitute grounds for sanctions.

SMALL BUSINESS ALERT: January 1, 2024 - Beneficial Ownership Information Reporting

Beginning on January 1, 2024, many small businesses across the United States will have to report personal information about their owners, beneficial owners, and others who own or exercise control over the company. The information will have to be reported to, and maintained by, the Financial Crimes Enforcement Network (“FinCEN”) as part of the Beneficial Ownership Information Rule. FinCEN is a bureau of the U.S. Department of the Treasury.