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Hospitality Industry: Changes to Gift Card Laws May Impact Hotel Gift Card Programs Alert - November 4, 2009

As hotels seek to expand their customer bases during these difficult economic times, one potential source of income and customers has been the rather prolific growth in gift card sales. Everyone is getting into the gift card game – restaurants, retailers, hotel companies, gas stations and more. Sales in 2008 alone totaled approximately $90 billion. For hotel companies, when someone purchases or gives a hotel gift card, it creates an opportunity to attract a new or returning customer to spend money at a hotel. However, implementing these programs requires careful consideration of both state and federal laws – which are complicated, sometimes inconsistent but necessary to understand in order to avoid fines and penalties for improperly designed programs.

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International Trade: Alert - November 3, 2009

The Obama administration has adopted a dual-track strategy toward Iran by opening a dialogue while also laying the groundwork for tougher sanctions. In addition to discussing this and other developments in U.S.-Iran relations, this alert examines what tougher sanctions – as well as pending House and Senate bills and increasingly aggressive actions taken by federal agencies against specific foreign entities that are believed to have violated U.S. embargo or export laws – could mean for foreign companies and U.S. subsidiaries that do business with Iran, particularly its petroleum industry.

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Labor, Employment and Benefits
Newsletter - May 2000
 
In this Issue...
Employee Who Voluntarily Fails to Take Prescribed Medication Not Protected Under ADA
 
May 1, 2000
 

The Americans with Disabilities Act (ADA) prohibits employers from discriminating against individuals with a disability. Someone is disabled if he or she has a physical or mental impairment that substantially limits one or more major life activities. What if an employee has an impairment, and also has the means, through technology, medication, or some other measure to control the effects of the impairment, but voluntarily decides not to do so? Is that employee entitled to the protection of the ADA if that failure to control the disability affects the employee’s performance and leads to termination? According to several courts that have ruled on the issue: No.

In Murphy v. United Parcel Service, (1999) and Sutton v. United Airlines, Inc., (1999), the Supreme Court held that an individual who takes medication which alleviates the effects of his or her impairment, and which allows that person to perform major life activities, is not disabled under the ADA. Similarly, several lower courts have held an employee’s voluntary failure to control a disability, which failure results in termination, deprives that employee of the protection of the ADA. For example, in Burrows v. City of Springfield, (8th Cir. 1998), a police recruit suffering from diabetes suffered two diabetic hypoglycemic episodes causing him to become disoriented and dysfunctional while on duty. It was undisputed that the two episodes resulted from voluntary changes in the recruit’s eating schedule. The city removed the recruit from active duty. The Court noted that the recruit’s "own eating schedule is a matter within his control." The employee in Siefken v. Village of Arlington Heights, (7th Cir. 1995) was also a diabetic. He failed to monitor his condition, experienced a diabetic reaction that resulted in disorientation and memory loss while on duty, and was discharged as a result. Because control of the diabetes was within the employee’s power, the Court granted the defendant’s motion to dismiss.

In Tangires v. The Johns-Hopkins Hospital, (D. Md. 2000), an employee refused to take certain medications and follow her doctor’s orders for the treatment of asthma based on her unsubstantiated belief the medications would harm her. Her failure to take medications resulted in prolonged absences from work, and ultimately resulted in the hospital placing her on medical layoff. The employee challenged the layoff under the ADA, but the court found that she was not disabled because her condition was readily treatable.

Each of the courts that have ruled on this issue have stated that the cause of the employee’s termination or layoff was not a disability, but the employee’s voluntary failure to control that disability. Similarly, the EEOC, in its Enforcement Guidance concerning Reasonable Accommodation, has stated that it is not an employer’s responsibility to make sure that an employee takes medication as prescribed because doing so does not remove a workplace barrier. The logical result of that position is that when an employee fails to take his or her medication, and job performance suffers resulting in termination, the employee may not invoke the ADA to challenge the termination.

Employers should make sure that relevant state statutes have not been amended to provide that whether a person has a disability is to be determined without regard to the availability or use of mitigating measures such as medications. Such a bill is currently pending in the Rhode Island General Assembly. If enacted, courts could find that an employee’s voluntary failure to control a disability does not deprive him or her of the protection of state statutes prohibiting discrimination against the disabled.

For more information please contact Neal McNamara at 1-888-688-8500 or nmcnamar@hklaw.com.

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