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EEOC v. Management Hospitality of Racine 666 F.3d 422 (7th Cir. 2012) OPINION BY DISTRICT JUDGE YOUNG: The Equal Employment Opportunity Commission ("EEOC") brought this action on behalf of two serv- ers, Katrina Shisler and Michelle Powell, who were em- ployed at an International House of Pancakes franchise in Racine, Wisconsin (the "Racine IHOP"), alleging that the servers were sexually harassed in violation of Title VII of the Civil Rights Act of 1964. A jury found in favor of Shisler and Powell on the hostile work envi- ronment claim...." Salauddin) Janmohammed was the principal owner and franchisee of twenty-one IHOPs, including the Ra- cine IHOP. He operated the Racine IHOP under the franchise name of MHR and was its president and sole share-holder. MHR contracted with Flipmcastack, a company solely owned by Janmohammed's wife, Vic- toria Janmohammed, to provide management consult- ing services for his IHOPs. These services included accounting and payroll, corporate IHOP franchise reporting and compliance, and human resources as- sistance. In addition, Flipmeastack hired the district managers, who, in turn, hired the general managers of each restaurant in the district, and oversaw the day-to- day operations of those particular restaurants. In 2005, Steve Smith was the district manager of the Racine IHOP, Michelle Dahl was the general manager, and Nadia Del Rio and Rosalio "Junior" Gutierrez were the assistant managers. The employees of each restaurant, including the general manager, assistant managers, and servers, were employees of MHR. *** banter, tinged with sexual innuendo. He told her he wanted to k her, propositioned her for three-way sex with his girlfriend, told her she was "kinky" and liked "rough" sex, and stared at the intimate parts of her body "like a piece of meat." Gutierrez engaged in physi- cal touching by "slap groping" her buttocks. Shisler testified that she felt "bullied by him and that his com- ments made her feel "dirty." Given the age difference between Shisler and Gutierrez and Gutierrez's position of authority over her, a rational jury could have con- cluded that Gutierrez's verbal and physical harassment directed at Shisler created an objectively hostile and abusive work environment. The Defendants attack Shisler's credibility by argu- ing that on cross-examination, she could only identify three specific instances of sexually harassing comments and conduct by Gutierrez over the four-week period that she worked at the Racine IHOP. As noted, however, Shisler testified to more than three specific instances of conduct, and she testified that some form of verbal harassment occurred on every shift that she worked with Gutierrez. Although Shisler could not remember the exact dates that specific instances of sexual harass- ment occurred, the jury was entitled to believe Shisler's version of events. In any event, to prevail, Shisler need not show that the conduct complained of was both se- vere and pervasive; "even one act of harassment will suffice if it is egregious." A jury could infer that the three instances that Shisler did testify to-telling her that he thought she was "kinky" and liked it "rough." propositioning her for sex on the pancake batter, and "slap groping her buttocks-were sufficiently severe to support a jury verdict. The Defendants also suggest that Shisler was not subjectively offended by Gutierrez's crude com- ments because her MySpace page contained a sexu- ally graphic video of young males masturbating in the presence of young females, and contains the comment, "funny as hell." The jury was entitled to disregard this video as evidence that Shisler did not find Gutierrez's comments to be offensive. As the district court ob- served, "sharing jokes with friends in an online com- munity is vastly different than being propositioned for sex by a supervisor at work." Further, there is sufficient evidence in the record showing that Shisler was sub- jectively offended by Gutierrez's comments and con- duct because she repeatedly informed Gutierrez that 1. Sexual Harassment Claims A sexually hostile or abusive work environment is a form of sex discrimination under Title VII of the Civil Rights Act of 1964. For sexual harassment to be action- able, a plaintiff must prove conduct that is so severe or pervasive as "to alter the conditions of [her] employ- ment and create an abusive working environment." *** We find that a rational jury could have found that Shisler was subjected to harassment that was both se- vere and pervasive.... Shisler testified that Gutierrez engaged in sexually harassing conduct during every shift that Gutierrez was her assistant manager. His comments to Shisler were highly offensive and easily surpassed what could reasonably be described as vulgar

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The server wrying in a restaurant Calf Surinary : claimed that they Колору - EOCC brought faced sexual harassment from the an action on behalf of the two serves against their employer in the courts Following are the legal issues in the case * Sexual harassment: whether the two serwey suffered the sexual harassment . ie. the action of the assistant Manager's conduct was severe to create a hostile envisontent. * Affirmative devene whether the Preventive and sredive measures taken by the employs can from the basis of defense against the vicarious liability. court decision The court of appedy held the district explained in detail of follows: * The court considered that manager are severe enough to create enuronment for the Tho serves the a act of histile

& The court deterge claim enforcing the the sexual rejected the defendants of fisnative and held them vicariously liable for not effective Poilies for Preventive and correcting harassment in workplosse. 12. Reasonable Care to Prevent harassment? Preventive reagway are the reaguage that on employer tako to prevent the several harassment at work place. This involve the following: * creation of a clear and well defined complaint Pooler * creation of a sound harassment Policy . * Defining a set of contact for complaint reloosset Cage analys. In corrent case, the employer faily to take sound and effective preventive reagere. The following pointo exploring the same: & The policy was not well defined and lakk in tering of providing a reaningful process for complaint raudbage. * The training provided by the employer to ilg seeper visar and employees was inadequate. * The points of contacto provided on the poster are not Provider Contact details of a Point person to their air the complian These points Policy in effective I came to prevent Po made and the the Court the employer harassment agree that fails t the harassment exercise reasonable *

legal Point: Reasonable care * Taking * Launching imediate through to correct harassment and Prompt action on the complaing investigation inudning unbiased investy * Taking gatos. measug to provide assurance and relief to the com -Plainort. & Tooking corrective and effective such of fisting, anti - harassment actions trainings on guilty etc. Person Case analysy. In aworant case, both the soorwey used | the complaint Mechanism to report the incident to the assistant Manager and the manager of the restaurant How ever , Both the manages failed to art Promptly and Investigate the issue using through Investigation The Managey did not respord to the complaints Propedy to Coost the haroffment. They shows that a reasonable Person can see that the employer fails to provide reasonable care to correct the harassment. sexual harassment is a form of discriminatory and disperate treatment attitude towary some are because of his/her ger Thing the type of discrimination is considered as ante discriminatory under the title of the "atle vil of the civil Rights Act".

The restaurant industry is more conductive to the serial harassment due to certain characterstic as mentiones below: * Higher degree of social contact Restaurant provides a highes degree of contact between customey and the sewey. Thy create rue oportunitig for the instancy to hollen. * Irregular working houses such as late evening shifty, Inding contact with the different types of customey. * Nature of restaurant Industry. All these points are responsible for high no of harassment incidents in the industry. şi Responsibility of employees In case of complains of sexual harassment by an exploxe, at is the responsibility of the emplosen to respond prompty in a reasonable manner to correct and stop the reports harassment. They should pospeily handle the complaints and Invest gate the to issue based on harassment Policy and procedure. I Recommendation & The company is requiry to do the following things * an current case, the employer is required to establish comunicate and enforce the Policies to prevent sexual harassed employer is required to provide multiple points for w fas-9 6+ 90-9kva.Е. The company is also required to train Managery inh to deal with the sealed harassment claing. OS