"Cummings v. Premier Rehab Keller" - The Issues, The Takeaways

 “Plaintiffs claiming discrimination under the Affordable Care Act cannot get damages for emotional distress, a divided U.S. Supreme Court ruled … siding with a Texas physical therapy provider against a deaf woman who said she was denied an American Sign Language interpreter.” Brendan Pierson, Reuters Legal, April 29, 2022

THE HOLDING

Here is that SCOTUS holding. The core issues had been similar to those for “Barnes v Gorman,” in which the holding was against the plaintiff in 2022. Currently, the “Cummings” implications are being absorbed by the legal community as well as educational institutions, healthcare providers, and more.

KANNON SHANMUGAN FOR THE DEFENSE (35 TIMES)

In this controversial US Supreme Court case Kannon Shanmugan of Paul Weiss represented the defendant Premier Rehab Keller. That was the 35th case Shanmugan had argued before that high court. He is Chair of the Paul Weiss Supreme Court practice and Appellate Practice Group and is managing partner of the Washington D.C. office.

LOOKING AT THIS THROUGH PAUL WEISS’ LEGAL PERSPECTIVE

Today, Paul Weiss distributed a Client Memorandum providing details of the litigation, analysis of SCOTUS decision, and takeaways.

Here is the Paul Weiss summary of the SCOTUS decision on April 28, 2022.

“… damages for emotional distress are not available in an implied private action to enforce Spending Clause statutes that prohibit discrimination. The Court emphasized that those statutes are much in the nature of contracts because they depend on the consent of the federal funding recipient: in return for federal funds, the recipient agrees not to discriminate on the basis of enumerated grounds. But those statutory provisions do not expressly provide victims of discrimination a private right of action. Accordingly, to determine what remedies are available under the right of action that has been judicially implied and congressionally ratified, the Court asks a ‘simple’ question: At the time a federal funding recipient decided to accept federal dollars, would it have been aware that it faces liability for emotional distress?”

 SO MANY IMPLICATIONS

Scroll through the expert legal opinions on the internet on “Cummings” and there is broad range of takeaways. Here are the key ones from Paul Weiss:

  • Reaffirmed has been the limited nature of the implied private of action available under Spending Clause legislation. Plaintiffs are only entitled to compensatory damages.
  • Emphasized was that “statutory silence” isn’t “a license to freely supply remedies which would be an “untenable result in any context.”
  • Made clear is: Claims under Spending Clause legislation are not “literal suits in contract,” and that it will employ the contract analogy “only” as a potential limitation on liability.
  • The holding will extend to emotional distress damages for race, sex, and age discrimination claims brought against any funding recipient.
  • Seemingly it was taken for granted that the holding would necessarily render emotional distress damages unavailable under Title VI and Title IX.
  • Although none of the opinions referred to Title II of the Americans with Disabilities Act of 1990, that statute incorporates the same right of action and the same remedies.

FOR MORE INFORMATION

Experts are available at Paul Weiss’ Supreme Court and Appellate Litigation Practice.

Connect with Editor-in-Chief Jane Genova at janegenova374@gmail.com. Now and then she does freelance assignments for law firms such as Paul Weiss.

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