- Sen. Rand Paul: ‘I am seriously thinking about’ running for president in 2016
- Sleet, ice, deepfreeze hit large swath of U.S.
- ‘Welcome to the edge of freedom’: Biden’s boots touch down in DMZ
- Obama: Hole U.S. ‘digging out of’ requires billions more in unemployment benefits
- Obama’s regulatory agenda will cost U.S. economy $143B next year: report
- Patriot Act author on James Clapper: Fire, prosecute him
- Russia P.M. Medvedev: No amnesty for political prisoners
- Michigan GOP Senate hopeful reminds government is the ‘servant’
- Christmas, by Congress: Members mull a 15-cent tax on trees
- U.S. unemployment falls to five-year low of 7 percent; 203K jobs added
Supreme Court rules on credit card rate hikes, retaliation lawsuits
The Supreme Court in separate rulings Monday gave employees more leeway in bringing illegal retaliation cases against employers and also provided credit card companies with protection from lawsuits based on rate increases.
At issue in the credit card case, known as Chase Bank v. McCoy, is an outdated federal regulation regarding whether credit card companies needed to inform customers of rate increases because of delinquency or default.
In 2009, the Federal Reserve Board implemented regulations specifying that credit card companies must provide 45 days notice for rate increases resulting from delinquency or default, but the rules weren’t that specific when James McCoy filed suit in 2006.
The Supreme Court unanimously ruled against Mr. McCoy in a 20-page decision, saying that Chase’s notice of terms specifying the possibility of a rate increase in case of a default met the legal requirements at the time.
Justice Sonia Sotomayor wrote in an opinion for the court that federal regulations “did not require Chase to provide McCoy with a change-in-terms notice before it implemented the agreement term allowing it to raise his interest rate following delinquency or default.”
While the issue may largely be moot because of the change in regulations in 2009, a victory for Mr. McCoy at the Supreme Court could have led to a flood of other lawsuits from people in a similar position to him under the old regulations.
In the employment case, the high court ruled that Eric Thompson could sue North American Stainless on the grounds that the company fired him in retaliation for his fiancee, who also worked at the company, filing a sex-discrimination case.
“We think it obvious that a reasonable worker might be dissuaded from engaging in protected activity if she knew that her fiancee would be fired,” Justice Scalia wrote.
In 2003, Mr. Thompson’s fiancee, Miriam Regalado, filed a sex-discrimination complaint with the Equal Employment Opportunity Commission against North American Stainless, a steel company, alleging she had twice been demoted because of her gender and that her pay was not on par with male employees.
Three weeks later, Mr. Thompson was fired.
The court ruled 8-0 for Mr. Thompson. Justice Elena Kagan took no part the because in her previous job as solicitor general she took part in shaping the government’s position in the case, known as Thompson v. North American Stainless. The Obama administration filed a brief in the case supporting Mr. Thompson’s position.
© Copyright 2013 The Washington Times, LLC. Click here for reprint permission.
About the Author
Ben Conery is a member of the investigative team covering the Supreme Court and legal affairs. Prior to coming to The Washington Times in 2008, Mr. Conery covered criminal justice and legal affairs for daily newspapers in Connecticut and Massachusetts. He was a 2006 recipient of the New England Newspaper Association’s Publick Occurrences Award for a series of articles about ...
- Obama: Hole U.S. 'digging out of' requires billions more in unemployment benefits
- Spike in battlefield deaths linked to restrictive rules of engagement
- Bill OReilly reminds: Nelson Mandela was a communist
- PRUDEN: British press horrified as London's new mayor dares to proclaim the truth
- Activists urge Obama to go rogue, sidestep Congress
- Obama tries to calm Israeli fears over Iranian nuke deal 'not based on trust'
- 'Hunger Games' delivers Obama's message on income inequality
- Obamas call to close Vatican embassy is 'slap in the face' to Roman Catholics
- Craigslist killers: Police say newlyweds stabbed man for thrills
- Dick Cheney: Family feud over gay marriage has been 'dealt with'
Independent voices from the The Washington Times Communities
Get in the middle of all the action inside and outside the boxing ring.
Opinion, analysis, and musings on politics, pop culture, reinvention, and the resultant flotsam and jetsam floating around the right-of-center quadrant of the Left Coast.
The cold hard truth about politics in America today and the state of this once great nation.
Find the latest news and happening that effect those in the Washington D.C., Northern Virginia and Maryland Metro region.
White House pets gone wild!