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"Disparate Impact" Theory Available In Age Discrimination Cases

Client Alert | less than 1 min read | 04.07.05

Resolving a split in the circuit courts, a divided Supreme Court in Smith v. City of Jackson, (Mar. 30, 2005) held that the "disparate impact" theory of liability, which does not require a showing of discriminatory intent, applies to claims asserted under the Age Discrimination in Employment Act (ADEA). However, the Court noted that "the scope of disparate-impact liability under ADEA is narrower" than under Title VII of the Civil Rights Act of 1964, due to statutory language in ADEA that permits employers to take "otherwise prohibited" employment action where the "differentiation is based on reasonable factors other than age," such as seniority or rank.

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Client Alert | 3 min read | 11.21.25

A Sign of What’s to Come? Court Dismisses FCA Retaliation Complaint Based on Alleged Discriminatory Use of Federal Funding

On November 7, 2025, in Thornton v. National Academy of Sciences, No. 25-cv-2155, 2025 WL 3123732 (D.D.C. Nov. 7, 2025), the District Court for the District of Columbia dismissed a False Claims Act (FCA) retaliation complaint on the basis that the plaintiff’s allegations that he was fired after blowing the whistle on purported illegally discriminatory use of federal funding was not sufficient to support his FCA claim. This case appears to be one of the first filed, and subsequently dismissed, following Deputy Attorney General Todd Blanche’s announcement of the creation of the Civil Rights Fraud Initiative on May 19, 2025, which “strongly encourages” private individuals to file lawsuits under the FCA relating to purportedly discriminatory and illegal use of federal funding for diversity, equity, and inclusion (DEI) initiatives in violation of Executive Order 14173, Ending Illegal Discrimination and Restoring Merit-Based Opportunity (Jan. 21, 2025). In this case, the court dismissed the FCA retaliation claim and rejected the argument that an organization could violate the FCA merely by “engaging in discriminatory conduct while conducting a federally funded study.” The analysis in Thornton could be a sign of how forthcoming arguments of retaliation based on reporting allegedly fraudulent DEI activity will be analyzed in the future....