Employment Law | Expert Legal Commentary
May 5, 2009
Eshelman v. Agere Systems: Grossing-up of Back Pay Award for ADA Claim
Eshelman v. Agere Systems Inc.
By
Jeremy J. Gray of Zuber & Taillieu
In Eshelman v. Agere Systems Inc., 554 F.3d 426 (3rd Cir. 2009), the U.S. Court of Appeals for the Third Circuit deepened the split among federal appeals courts in ruling that a trial judge may “gross up” a back pay award in order to offset additional taxes that the plaintiff will owe on the lump sum award. The decision is a boon to plaintiff’s lawyers, who can use the argument to increase their clients’ total awards. But more importantly, the jurisdictional split makes the issue ripe for a Supreme Court decision or remedial legislation, such as passage of the Civil Rights Tax Relief Act.
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About the Author
Jeremy J. Gray is a Partner of Zuber & Taillieu, focusing on employment law.
Image Credit: ©iStockphoto.com/nico_blue
