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U.S. Equal Employment Opportunity Commission, et al. v. Cyma Orchids

December 1, 2011

U.S. EQUAL EMPLOYMENT OPPORTUNITY COMMISSION, ET AL. PLAINTIFF,
v.
CYMA ORCHIDS, CORP. D/B/A TAEAN ORCHIDS; TAEAN ORCHIDS USA, INC.; AND DOES 1 -- 10 INCLUSIVE, DEFENDANTS.



The opinion of the court was delivered by: Dolly M. Gee United States District Judge

JS-6

Consent Decree and Order

I. INTRODUCTION

Plaintiff the U.S. Equal Employment Opportunity Commission and Defendants Cyma Orchids, Inc. ("Cyma") and Taean Orchids, and its owners Sang K. Lee and Sang N. Lee, hereby stipulate and agree to entry of this consent decree and order ("Decree") to resolve the EEOC's complaint in U.S. Equal Employment Opportunity Commission v. Cyma Orchids, Corp., et al. , 2:10-cv-07122-DMG-RZ (the "Action").

The EEOC brought this Action pursuant to Title VII of the Civil Rights Act of 1964, as amended ("Title VII"). In this Action, the EEOC alleged that Defendants discriminated against Charging Party Francisca Alvarado Garcia and a class of employees by subjecting them to sexual harassment, disparate treatment, or retaliation, and/or by subjecting them to harassment based on the hybrid basis of sex (female) and national origin (Mexican). Defendants denied those allegations.

II. PURPOSES AND SCOPE

A. This Decree is entered into by the EEOC, Cyma Orchids, and Taean Orchids and its owners Sang K. Lee and Sang N. Lee (collectively, the "Parties").

B. This Decree is binding against Taean, Sang K. Lee, and Sang N. Lee only with respect to the specific monetary relief identified in section VIII below.

C. The EEOC and Cyma have entered into this Decree in order to:

1. provide appropriate monetary and injunctive relief;

2. ensure Cyma's employment practices comply with Title VII;

3. ensure that Cyma's managers, supervisors, and employees receive training on their obligations under Title VII;

4. ensure a work environment free from hostility and retaliation;

5. provide an appropriate and effective mechanism for handling discrimination complaints in the workplace; and

6. avoid the time, expense, and uncertainty of further litigation.

D. Any provision intended to bind Defendants also binds Defendants' officers, directors, successors, and assigns.

E. The injunctive relief in this Decree will be implemented by Cyma company-wide.

III. RELEASE OF CLAIMS

A. This Decree fully and completely resolves, and the EEOC hereby releases Cyma from, all issues, claims, and allegations raised in the complaint filed by the EEOC in this Action.

B. Nothing in this Decree precludes the EEOC from moving to enforce this Decree if Defendants fail to perform the promises contained herein.

C. Nothing in this Decree limits Defendants' obligation to comply with Title VII or any other applicable federal law.

D. Except for any and all claims contained in the complaint or charge at issue in this action, this Decree in no way affects the EEOC's right to bring, process, investigate, or litigate other charges that may be in existence or may later arise against Defendant in accordance with standard EEOC procedures.

IV. JURISDICTION AND FINDINGS

A. The Court has jurisdiction over the Parties and the subject matter of this Action. The complaint in this Action asserts claims that, if proven, would authorize the Court to grant the injunctive relief set forth in this Decree.

B. The terms and provisions of this Decree are fair, reasonable, and just.

C. This Decree conforms with the Federal Rules of Civil Procedure and Title VII.

D. This Decree does not derogate the rights or privileges of any person.

E. The Court retains jurisdiction over this Action during the duration of the Decree and may enter any order, judgment, or decree necessary to implement the relief provided herein.

V. EFFECTIVE DATE AND DURATION

The agreements contained herein are effective immediately upon the date this Decree is entered by the Court ("Effective Date") and remain effective for two years and six months thereafter.

VI. MODIFICATION AND SEVERABILITY

A. This Decree constitutes the complete understanding of the Parties with respect to the matters contained herein.

B. This Decree may be amended by mutual agreement. C. No waiver or amendment of any provision of this Decree will be effective unless in writing and signed by an authorized representative of each affected Party.

D. If one or more of the provisions of this Decree is rendered unenforceable, the Parties will make good faith efforts to agree upon appropriate amendments in order to effectuate the purposes of the Decree. In any event, the remaining provisions will remain in effect.

VII. COMPLIANCE AND RESOLUTION

A. If the EEOC has reason to believe that Defendants have failed to comply with any provision of this Decree, the EEOC may file a motion before this Court to enforce the Decree. Prior to initiating such action, the EEOC will notify Defendants of the nature of the dispute.

B. The Parties will cooperate with each other and use their best efforts to resolve any dispute referenced in the EEOC's notice.

C. Unless the EEOC believes that delay will cause irreparable harm, Defendants will have thirty days to attempt to resolve the alleged putative breach. If those thirty days pass without resolution, the EEOC may petition this Court for all available relief, including an extension of the term of the Decree and costs incurred in securing compliance with the Decree.

VIII. MONETARY AND VICTIM-SPECIFIC RELIEF

A. Taean, Sang K. Lee, and Sang N. Lee will pay the lump sum of $40,000 to Francisca Alvarado Garcia by September 14, 2011, by delivery via certified mail to the address provided by the EEOC.

B. Cyma will pay a total of $200,000, to be distributed, at the sole discretion of the EEOC, amongst the Claimants to this Action who the EEOC identifies as aggrieved individuals, including Ms. Garcia ("Claimants"). Cyma will pay $100,000 of this settlement by September 14, 2011. Cyma will thereafter make five monthly payments of $20,000 on or by October 14, 2011; November 14, 2011; December 14, 2011; January 14, 2012; and February 14, 2012. The EEOC will provide Cyma with a list identifying how these payments will be distributed, including each identified Claimant's portion and amount of monetary relief, the payment from which the amount will derive, and the name and address to which each identified Claimants' portion will be delivered. Cyma will send a check, via certified mail, to each Claimant in the amount specified by the payment date identified by the EEOC.

C. The EEOC has designated the monies to be paid to the Claimants as non-wage compensation under Title VII and no tax withholding will be made. However, Cyma shall report the entire amount of the payments set forth herein, on IRS Form 1099 as having been paid to Claimants, and Claimants shall be solely responsible to remit to any and all federal and/or state tax authorities any taxes due on such payments. Cyma shall not be liable or responsible for payment of any taxes to any taxing authorities on behalf of Claimants relating to payments hereunder.

D. Within five business days of the issuance of each settlement check, Defendants will provide a copy of each check and related correspondence to Anna Y. Park, Regional Attorney, U.S. Equal Employment Opportunity Commission, ...


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