EEOC Cannot Prove Disparate Impact Claim As Court Throws Cold Water On Its "Race-Rating" Theory

On January 28, 2013, Judge Patricia A. Gaughan of the U.S. District Court for the Northern District of Ohio granted summary judgment to the defense in EEOC v. Kaplan Higher Education Corp, et al., No. 10-CV-2882, 2013 U.S. Dist. LEXIS 11722 (N.D. Ohio Jan. 28, 2013) and thereby dismissed the EEOC’s first lawsuit challenging the use of credit reports in the hiring process on the grounds that such a screen adversely impacts African-Americans. The lawsuit, one of the Commission’s highest profile cases, received immediate media attention following the summary judgment order (click here, here, and here to read more).

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