Seventh Circuit Issues Important New Guidance For Employers Seeking To Avoid Sexual Harassment Liability

The Seventh Circuit recently issued an opinion in EEOC v. Management Hospitality of Racine, Inc. d/b/a International House of Pancakes, et al., No. 10-3247 (7th Cir. Jan. 9, 2012) - substantially upholding a jury’s verdict that an employer allowed two teenage employees to be sexually harassed in violation of Title VII. In its ruling, the Seventh Circuit decided several key issues common in sexual harassment cases, setting precedent for future litigation and lessons for employers going forward. 

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