New York Gaslight Club, Inc v. Carey, 79-192

• Citation: 64 L.Ed.2d 723,447 U.S. 54,100 S.Ct. 2024
• Decision Date: 09 June 1980
• Docket Number: No. 79-192,79-192
• Parties: NEW YORK GASLIGHT CLUB, INC., et al., Petitioners, v. Cidni CAREY
• Court: United States Supreme Court

447 U.S. 54

100 S.Ct. 2024

64 L.Ed.2d 723

NEW YORK GASLIGHT CLUB, INC., et al., Petitioners,

v Cidni CAREY.

No. 79-192.

Argued Feb. 19, 1980.

Decided June 9, 1980.

Syllabus

Section 706(k) of Title VII of the Civil Rights Act of 1964 provides that in "any action or proceeding under this title" the court may allow attorney's fees to "the prevailing party," other than the Equal Employment Opportunity Commission (EEOC) or the United States. Alleging that petitioners had denied her employment because of her race, respondent filed an employment discrimination charge with the EEOC, which, as required by Title VII, forwarded the complaint to the appropriate New York administrative agency. Respondent was represented by counsel throughout administrative and judicial proceedings in the state system, which proceedings ultimately resulted in affirmance of the state agency's order directing petitioners to offer respondent employment and pay back wages but not awarding attorney's fees. Meanwhile, the EEOC reassumed jurisdiction and, under § 706(f) of Title VII, issued a right-to-sue letter to respondent, who filed suit in Federal District Court, alleging a claim under Title VII, inter alia, and seeking appropriate relief, including attorney's fees. Petitioners having agreed to comply with the state agency's order, the District Court dismissed the federal action, except for respondent's request for attorney's fees, including fees for her attorney's services in the state proceedings. The court later denied the fee request, ruling that although the EEOC's issuance of a right-to-sue letter had forced respondent to preserve her rights by filing a complaint in federal court, the mere filing of a federal suit did not entitle an aggrieved party to attorney's fees, and that respondent had the option of pursuing her state administrative remedies without incurring any expenses for legal services, since state law provides that the case in support of the complaint is to be presented to the administrative hearing examiner by one of the state agency's attorneys. The Court of Appeals reversed.

Held : Sections 706(f) and 706(k) of Title VII authorize a federal-court action to recover an award of attorney's fees for work done by the prevailing complainant in state administrative and judicial proceedings to which the complainant was referred pursuant to the provisions of Title VII, and no special circumstances exist in this case that would justify denial of a fee award. Pp. 60-71.

(a) Congress' use of the broadly inclusive disjunctive phrase "any action or proceeding" in § 706(k) indicates an intent to subject the losing party to an award of attorney's fees and costs that includes expenses incurred for administrative proceedings. Other provisions of the statute that interact with § 706(k), the purpose of § 706(k) to facilitate the bringing of discrimination complaints, the humanitarian remedial policies of Title VII, and the statute's structure of cooperation between federal and state enforcement authorities—calling for deferral to state proceedings, with proceedings before the EEOC and in federal courts being supplements to available state remedies—all point to the conclusion that fee awards are authorized for work done in state administrative or judicial proceedings as well as in federal proceedings. Since Congress intended to authorize fee awards for work done in administrative proceedings, § 706(f)(1)'s authorization of a civil suit in federal court encompasses a suit solely to obtain an award of attorney's fees for legal work done in state or local proceedings. Pp. 60-66.

(b) Awarding fees for work done in state proceedings for which the State does not authorize fees does not infringe on the State's powers under the Tenth Amendment, since Congress' power under § 5 of the Fourteenth Amendment is broad and overrides any interest the State might have in not authorizing awards for fees. Nor is there any merit in the argument that Congress' intent to pre-empt the state law has not been clearly expressed. Section 706(k) does not "pre-empt" state law, since § 706(f)(1) merely provides a supplemental right to sue in federal court if satisfactory relief is not obtained in state forums, and one aspect of complete relief is an award of attorney's fees, which Congress considered necessary for the fulfillment of federal goals. And even if it can be said that § 706(k) pre-empts the state rule, Congress' intent to achieve this result is manifest. Furthermore, the availability under New York law of an agency attorney to present the case in support of the complaint at the public hearing is not a "special circumstance" depriving a prevailing complainant of a fee award, since a private attorney is needed to assist the complainant during administrative procedures before and after the public-hearing stage, and even if an agency attorney appears at the public hearing, he does not represent the complainant's interests, but rather those of the State. Pp. 66-70.

598 F.2d 1253, affirmed.

Albert N. Proujansky, New York City, for petitioners.

James I. Meyerson, New York City, for respondent.

Harriet S. Shapiro, Washington, D.C., for the United States et al ., as amici curiae, by special leave of Court.

Mr. Justice BLACKMUN delivered the opinion of the Court.

This case presents the question whether, under Title VII of the Civil Rights Act of 1964, a federal court may allow the prevailing party attorney's fees for legal services performed in prosecuting an employment discrimination claim in state administrative and judicial proceedings that Title VII requires federal claimants to invoke.

I

Respondent Cidni Carey, in August 1974, applied for work as a cocktail waitress with petitioner New York Gaslight Club, Inc. After an interview, she was advised that no position was available.

The following January, respondent filed a charge with the Equal Employment Opportunity Commission (EEOC) alleging that petitioners, the Club and its manager, had denied her a position because of her race. App. to Brief for Respondent a1-a3. As required by § 706(c) of Title VII of the Civil Rights Act of 1964, 78 Stat. 259, as redesignated, 86 Stat. 104, 42 U.S.C. § 2000e-5(c), respondent's complaint was forwarded to the New York State Division of Human Rights (Division).

In May 1975, after an investigation during which respondent was represented by counsel,¹ the Division found probable cause to believe that petitioners had engaged in an unlawful discriminatory practice. Efforts at conciliation failed, and the Division, pursuant to N.Y.Exec.Law § 297(4)(a) (McKinney Supp.1979), recommended that a public hearing be held.

Counsel for respondent wrote to the EEOC on May 20, advising the Commission that respondent was proceeding in the Division. He asked that the Commission "reassume" jurisdiction over the claim so that, if necessary, respondent could obtain a right-to-sue letter at an appropriate time. On May 22, the EEOC responded, stating that an investigator would be assigned to respondent's matter as soon as possible.

The state administrative hearing was held on two separate days in late 1975 and early 1976. Both respondent and petitioners were represented by counsel. App. 68. No attorney for the State appeared. On August 13, 1976, the hearing examiner found that petitioners had discriminated against respondent because she is black. Id., at 70. Petitioners were ordered to offer respondent employment as a cocktail waitress and to pay her back wages from August 1974. Id., at 70-72. No attorney's fee was awarded.

Petitioners appealed to the New York State Human Rights Appeal Board, an agency established to hear appeals from orders of the Division. N.Y.Exec.Law § 297-a (McKinney 1972 and Supp.1979). The Board held a hearing in December 1976 at which counsel for petitioners, respondent, and the Division appeared.

Meanwhile, EEOC proceedings had begun. Giving due weight to the state finding of probable cause, see § 706(b), 42 U.S.C. § 2000e-5(b), the EEOC determined that there was reasonable cause to believe petitioners had violated Title VII. The EEOC's attempts at conciliation also failed. The Commission's General Counsel chose not to sue, and, as required by § 706(f)(1), § 2000e-5(f)(1), the EEOC issued respondent a right-to-sue letter. This was issued on July 13, 1977; respondent, under § 706(f)(1), then had 90 days to file a Title VII action in federal district court.

On August 26, the Appeal Board confirmed the Division's order. Petitioners immediately appealed the Board's decision to the New York Supreme Court. The Division cross-petitioned for enforcement of its order.

On September 30, respondent filed suit in the United States District Court for the Southern District of New York, asserting claims under the Civil Rights Act of 1866, 42 U.S.C. § 1981, Title VII, and the Thirteenth Amendment. App. 29. Respondent alleged that petitioners did not hire her because she is black, and that petitioner Club had employed only four blacks as waitresses during its 20-year existence. The complaint sought a declaratory judgment that petitioners' practices were unlawful under federal law, an order requiring petitioners to hire respondent, backpay with interest, retroactive employment-related benefits, attorney's fees, and other appropriate relief. Petitioners' answer denied virtually all the allegations in the complaint and cited the pendency of the state proceedings as an affirmative defense.

The Appellate Division of the New York Supreme Court on November 3 unanimously affirmed the Appeal Board's determination. New York Gaslight Club, Inc. v. New York State Human Rights Appeal Board, 59 App.Div.2d 852, 399 N.Y.S.2d 158 (1977). Petitioners unsuccessfully moved for reargument, and then filed a motion with the New York Court of Appeals for leave to appeal.

On February 3, 1978, while that motion was pending, the Federal District Court held a pretrial conference, after which petiti...