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SUBHASH SAHAI and WEBSTER CITY MEDICAL CLINIC INC. Appellants
vs.
STACEY D. DAVIES and THE IOWA CIVIL RIGHTS COMMISSION Appellees.
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Issues:
Third party administrator, policy and procedure, disparate treatment, pre-employment testing.
Case Summary:
Dr. Subhash Sahai appeals a lower court's ruling in a discrimination suit. Stacey Davies applied for an assembly-line position at a local meat packing facility. Company policy required Davies to complete a pre-employment physical and drug screening. The company contracted with Dr. Sahai's clinic for the physicals. Dr. Sahai examined Davies and reported to company officials that she was 14-weeks pregnant and should not be considered for employment on the assembly line. The company rejected Davies application for employment. Davies subsequently filed a sexual discrimination complaint against the doctor and the clinic with the Iowa Civil Rights Commission. The commission ruled that Dr. Sahai violated prohibitions concerning sexual discrimination.
Decision of lower jurisdiction:
A Hamilton County District Court affirmed the finding of the state's commission on civil rights. Dr. Sahai now appeals.
Outcome:
Dr. Sahai wins. The Iowa Supreme Court reversed the ruling of the district court and the finding of the state commission. The court ruled that the doctor was not liable for discrimination because he simply advised the company on the status of a potential employee. Company officials, not the doctor, made the decision not to hire Davies.