Ninth Circuit Reverses District Court's Summary Judgment of Disparate Treatment Claim

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On 2/26/25, in Lui v. DeJoy, the Ninth Circuit Court of Appeals reversed a trial court summary judgment of a disparate treatment claim, remanded a hostile work environment claim, and affirmed the granting of summary judgment on a retaliation claim under Title VII of the U.S. Civil Rights Act.  The panel held that the district court erred in finding that Lui failed to establish a prima facie case of disparate treatment, because she had shown that she was treated less favorably than similarly situated individuals, as she was removed from her position and demoted, replaced by someone of different race and gender. The Ninth Circuit also found that the employer failed to establish a legitimate non-discriminatory reason or the adverse employment action, and there was a genuine dispute of material fact whether the decision to demote the employee was influenced by subordinate bias. The Ninth Circuit also disagreed that the employee failed to exhaust administrative remedies, and that the failure to address the issue in her opening brief was not a waiver. The Ninth Circuit also found that the district court properly found that the employee failed to establish a causal connection between conduct and her demotion to support a claim of retaliation, and therefore affirmed the district court's summary judgment on the retaliation claim.

https://cdn.ca9.uscourts.gov/datastore/opinions/2025/02/26/23-35378.pdf

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