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Supreme Court Eliminates Higher Burden for Majority-Group Plaintiffs in Title VII Claims

Client Alert

On June 5, 2025, the U.S. Supreme Court in Ames v. Ohio Department of Youth Services unanimously struck down the “background circumstances rule,” holding that Title VII claims must follow the same evidentiary standard for both majority and minority-group plaintiffs.

In sum, Title VII prohibits employers from discriminating against employees on the basis of race, color, sex, national origin, or other protected classes. Before the U.S. Supreme Court’s June 5th decision, the background circumstances rule imposed a higher evidentiary burden on plaintiffs from historically advantaged majority groups, requiring them to present additional evidence of background circumstances to support claims of employment discrimination, unlike minority-group plaintiffs who were not subject to this heightened standard.

Historically, courts have applied a three-step test for Title VII discrimination claims, known as the McDonnell Douglas framework. The first step requires a plaintiff to present evidence to support an inference of unlawful discrimination, which is generally not a high bar to meet. However, under the previous background circumstances rule, majority-group plaintiffs were required to provide additional evidence to support their allegation that an employer discriminated against the majority.

Specifically, the Ames case involved a heterosexual woman who brought a Title VII reverse discrimination claim against her employer alleging she was denied a promotion in favor of a lesbian woman and was demoted in favor of a gay man. The Sixth Circuit Court of Appeals, applying the background circumstances rule, held that the woman must meet a higher evidentiary burden as a member of the majority-group (i.e., heterosexuals). The U.S. Supreme Court vacated and remanded the Sixth Circuit’s holding, reasoning that the background circumstances rule “cannot be squared with the text of Title VII.” The U.S. Supreme Court reasoned that the disparate treatment provision of Title VII makes it unlawful for an employer to discriminate against any individual on the basis of protected classes. As such, the U.S. Supreme Court found that the text of Title VII does not draw “distinctions between majority-group plaintiffs and minority-group plaintiffs,” therefore requiring identical standards of proof.

As always, employers should continue to focus on equal employment for all individuals regardless of characteristics such as their race, color, sex, national origin, or other protected classes. Further, employers should consider undertaking legal review of their equal employment opportunity and anti-discrimination policies to reflect an equal treatment standard and ensure compliance with Title VII and similar state laws.

Should you have questions of the recent decision, or the content of this client alert, please contact Partners and Co-Chairs of BMD’s Labor & Employment Group, Adam Fuller or Bryan Meek at adfuller@bmdllc.com or bmeek@bmdllc.com.  


New Ohio Reporting Requirements for Non-Residential Contractors

Ohio’s E-Verify Workforce Integrity Act, effective March 19, 2026, requires all nonresidential construction companies, subcontractors, and labor brokers to use E-Verify to confirm employee work eligibility on projects across the state. The law applies regardless of company size and carries financial penalties and potential restrictions on future state contracts for noncompliance. Some uncertainty remains around requirements for existing employees, making early compliance planning important.

DOT Non-Domiciled CDL Rule

A new rule from the Federal Motor Carrier Safety Administration (FMCSA) will significantly narrow eligibility for non-domiciled Commercial Driver’s Licenses (CDLs) beginning March 16, 2026. The rule limits eligibility to holders of H-2A, H-2B, and E-2 visas and eliminates Employment Authorization Documents (EADs) as qualifying proof of work authorization. As a result, many lawfully present and work-authorized immigrants, including refugees, asylees, DACA recipients, and Temporary Protected Status holders, will no longer be able to obtain or renew a non-domiciled CDL. The change is expected to affect roughly 194,000 drivers nationwide and has prompted multiple legal challenges, including a pending emergency stay request before the United States Court of Appeals for the District of Columbia Circuit.

FinCEN Residential Real Estate Reporting Rule Now in Effect

FinCEN’s new Residential Real Estate Reporting Rule, effective March 1, 2026, requires certain real estate transfers to be reported to combat financial crimes. Transfers of residential property to entities or trusts without financing may require a Real Estate Report.

Department of Education Proposes Redefinition of “Professional Degree,” Excluding Nursing and Limiting Graduate Loan Borrowing

The U.S. Department of Education has issued a Notice of Proposed Rulemaking that would redefine “professional degree” programs under the One Big Beautiful Bill Act. The proposal excludes nursing from the recognized list and would impose new borrowing limits for graduate students while eliminating the Grad PLUS program. Public comments are due by March 2, 2026.

First-of-Its-Kind Federal Ruling Finds Use of Consumer AI Tool May Destroy Attorney-Client Privilege

On February 10, 2026, Judge Jed Rakoff of the U.S. District Court for the Southern District of New York issued a first-of-its-kind ruling finding that documents generated by a criminal defendant using a consumer AI platform were not protected by attorney-client privilege after being shared with counsel. The court treated the AI tool as a third party, concluding that entering sensitive information into a publicly available platform may waive confidentiality. The ruling also suggests that the work product doctrine may not apply where AI-generated materials are created independently by a client rather than at counsel’s direction. The decision signals that parties should exercise caution when using consumer AI tools in connection with legal matters.