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May 20, 2013

An appointing authority’s threatening to take adverse personnel action against an employee that it has a legal right to undertake does not constitute duress


An appointing authority’s threatening to take adverse personnel action against an employee that it has a legal right to undertake does not constitute duress 
2013 NY Slip Op 03252, Appellate Division, Fourth Department


Supreme Court determined that the resignation of a tenured teacher [Educator] formerly employed by the school district, "was involuntarily submitted as a result of fraud, coercion and duress" and directed Educator’s reinstatement with back pay and benefits.”

The school district appealed and the Appellate Division reversed the Supreme Court’s decision, indicating that further consideration and evaluation of Educator’s allegations of duress by the Supreme Court was required.

Citing Gould v Board of Educ. of Sewanhaka Cent. High Sch. Dist., 81 NY2d 446, the Appellate Division said that as a general rule "A resignation under coercion or duress is not a voluntary act and may be nullified."

In contrast, the Appellate Division, citing Rychlick v Coughlin, 99 AD2d 863, affd. 63 NY2d 643, explained that "it has consistently been held that a threat to do that which one has the legal right to do does not constitute duress."

Stated in the alternative, as the Court of Appeals held in Abramovich v Board of Educ. of Cent. Sch. Dist. No. 1 of Towns of Brookhaven & Smithtown, 46 NY2d 450, motion to reargue denied 46 NY2d 1076, cert denied 444 US 845, "[a] person's resignation may not be considered to be obtained under duress unless the employer threatened to take action which it had no right to take.”

Further, said the Appellate Division, under "appropriate circumstances . . . a tenured teacher may, as part of a stipulation in settlement of a disciplinary proceeding brought against him [or her], waive his or her continued right to the protections afforded by §3020-a of the Education Law" provided that such a settlement is “voluntarily and knowingly made” in contrast to having been made "lightly, inadvertently, inadvisedly or improvidently….”

The Appellate Division ruled that under the circumstances Supreme Court should conducted a trial "to resolve the factual issue raised by the pleadings and affidavits concerning [Educator’s] allegations of duress and to make appropriate findings of fact before proceeding any further" and remanded the case to Supreme Court for that purpose.

The decision is posted on the Internet at:
http://www.nycourts.gov/reporter/3dseries/2013/2013_03252.htm

May 19, 2013

State Comptroller reports a returned 10.38 % on for the State’s pension fund Investments in FY 2013, currently valued at an all time high of $160 billion


State Comptroller reports a returned 10.38 % on for the State’s pension fund Investments in FY 2013, currently valued at an all time high of $160 billion

On May 13, 2013 New York State’s Comptroller Thomas P. DiNapoli announced that the New York State Common Retirement Fund (Fund) was valued at an estimated $160.4 billion and earned an estimated 10.38 percent rate of return on its investments for the fiscal year ending March 31, 2013.

“The New York State Common Retirement Fund has reached a milestone,” DiNapoli said. “The Fund ended the fiscal year at an estimated $160.4 billion, an all-time high, and it remains well-positioned for growth as the financial markets continue to gain strength. Fiscal year 2014-2015 will be the final year that employer contribution rates will reflect the market loss of 2008-2009.”

Returns for the Fund’s asset classes were:
  • Domestic Equities returned 14.48 percent (at 36 percent of the Fund’s total investments)
  • Fixed Income returned 4.87 percent (28.2 percent)
  • Non-US Equities returned 9.47 percent (14.1 percent)
  • Private Equity returned 11.75 percent (8.6 percent)
  • Real Estate returned 11.08 percent (6.8 percent)
  • Global Equities returned 13.88 percent (2.9 percent)
  • Absolute Return Strategies returned 7.95 percent (3.2 percent)
  • Opportunistic Alternatives returned 7.89 percent (0.2 percent)
The Fund is the third-largest public pension fund in the country and remains one of the nation’s best-managed and best-funded pension plans. In February, Funston Advisory Services completed an independent review of the Fund that found it is well-run, operates with an industry-leading level of transparency and invests effectively on behalf of its members.

The New York State and Local Retirement System provides benefits to over one million state and local government employees, retirees and beneficiaries. Over the last 20 years, 82 percent of the cost of benefits have been funded from investment returns.

Click herefor prior year returns.

May 18, 2013

NYPPL's Decision of the Week for the Week ending May 18, 2013 - Allegations of unlawful racial discrimination


NYPPL's Decision of the Week 
For the Week Ending May 18, 2013

Allegations of unlawful racial discrimination

This action was brought by the United States Department of Justice pursuant to Title VII of the Civil Rights Act of 1964, 42 U.S.C. § 2000e et seg. and alleged that hiring of New York City firefighters was tainted by unlawful racial discrimination and that the New York City Fire Department’s employment procedures for screening and selecting entry-level firefighters had an unjustified disparate impact on black and Hispanic applicants.

The principal issues in this appeal were [1] whether summary judgment was properly entered against the City on a claim of intentional discrimination, [2] whether claims against the City’s Mayor and former Fire Commissioner were properly dismissed, [3] whether an injunction, based both on the finding of intentional discrimination and an unchallenged finding of disparate impact in entry-level examinations, is too broad, and [4] whether, in the event of a remand, the case, or some portion of it, should be reassigned to another district judge.

UNITED STATES COURT OF APPEALS
FOR THE SECOND CIRCUIT
August Term 2011
Heard: June 26, 2012 Decided: May 14, 2013
Docket No. 11-5113-cv(L), 12-491-cv(XAP)
- - - - - - - - - - - - - - - - - - - - -

UNITED STATES OF AMERICA, Plaintiff-Appellee, THE VULCAN SOCIETY, INC., MARCUS HAYWOOD, CANDIDO NUNEZ, ROGER GREGG, Intervenors-Plaintiffs-Appellees-Cross-Appellants

v.

CITY OF NEW YORK, MICHAEL BLOOMBERG MAYOR, and NICHOLAS SCOPPETTA, NEW YORK FIRE COMMISSIONER, in their individual and official capacities, Defendants-Appellants-Cross-Appellees, NEW YORK CITY DEPARTMENT OF CITYWIDE ADMINISTRATIVE SERVICE, NEW YORK CITY FIRE DEPARTMENT, Defendants.

Before: NEWMAN, WINTER, and POOLER, Circuit Judges

Appeal by the City of New York, Mayor Michael Bloomberg, and former Fire Commissioner Nicholas Scoppetta from the December 8, 2011, order of the United States District Court for the Eastern District of New York (Nicholas G. Garaufis, District Judge), issuing an injunction against the City with respect to the hiring of entry-level firefighters, and a cross-appeal by the Intervenors from the February 1, 2012, partial final judgment dismissing federal and state law claims against Mayor Bloomberg and former Fire Commissioner Scoppetta.

The City’s appeal also seeks review of the January 13, 2010, order granting the Intervenors summary judgment on their disparate treatment claim, which alleged intentional discrimination, and, on the appeal from the injunction, seeks reassignment of the case to a different district judge.

Summary judgment on the disparate treatment claim against the City is vacated; dismissal of the federal claims against Mayor Bloomberg is affirmed; dismissal of the state law claims against Mayor Bloomberg and Commissioner Scoppetta is affirmed; dismissal of the federal law claims against Commissioner Scoppetta is vacated; the injunction is modified, and, as modified, is affirmed; and the bench trial on the liability phase of the discriminatory treatment claim against the City is reassigned to a different district judge.

Affirmed in part, vacated in part, and remanded.

[Judge Pooler dissents in part with a separate opinion.]

The full text of the majority’s 59-page opinion, together with the 23-page dissenting opinion of Judge Pooler, is posted on the Internet at:
http://www.ca2.uscourts.gov/decisions/isysquery/155a2259-8686-4d25-b6fc-6a56bd4db3e0/2/doc/11-5113_complete_opn.pdf#xml=http://www.ca2.uscourts.gov/decisions/isysquery/155a2259-8686-4d25-b6fc-6a56bd4db3e0/2/hilite/

Editor in Chief Harvey Randall served as Director of Personnel, State University of New York Central Administration; Director of Research, Governor's Office of Employee Relations; Principal Attorney, Counsel's Office, New York State Department of Civil Service; and Colonel, JAG, Command Headquarters, New York Guard. Consistent with the Declaration of Principles jointly adopted by a Committee of the American Bar Association and a Committee of Publishers and Associations, the material posted to this blog is presented with the understanding that neither the publisher nor NYPPL and, or, its staff and contributors are providing legal advice to the reader and in the event legal or other expert assistance is needed, the reader is urged to seek such advice from a knowledgeable professional.

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