EPLI Claim Example: Age Discrimination

Claim Scenario: Age Discrimination

Though not common, law firms can do encounter age discrimination lawsuits.

Every few months, we like to share information on various claims experienced by different firms.  While the names and personal information have been removed, the claims are genuine and important to note.

TUV Law Firm terminated a long-time office manager for alienating employees and clients and a general disinterest in her job. The manager was 59 years old when the termination took place, and TUV checked off “other” instead of “poor performance” on the termination form as the reason for the termination.

The office manager filed a charge of discrimination with the Equal Employment Opportunity Commission, alleging she was terminated because of her age. In her charge, she stated that she had always received regular merit pay increases, was replaced by a worker in her 30s and that some members of senior management had made comments about needing “to get rid of the old guard.”

The office manager subsequently filed a lawsuit against the firm seeking two years of lost wages and benefits and compensation for emotional distress. Although TUV believed it was innocent of the allegations, the firm determined that defending against the lawsuit would be costly. The case eventually settled out of court for $250,000, while expenses totaled more than $60,000.

Don’t hesitate to contact our office if you want to find out more about how your law firm can protect itself from this type of claim. We can help provide you with multiple options for employment practices liability insurance.