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Subway Wins Latest Round Of 15-Year Construction Litigation Saga

Client Alert | less than 1 min read | 12.15.05

After 15 years of litigation, two trials and the deaths of two judges, Chief Judge Hogan of the U.S. District Court in D.C. wrote the latest chapter in the subway litigation saga, Mergentime-Perini v. WMATA (11/28/05), issuing a 192-page opinion upholding the default terminations of contracts for two Washington Metro subway stations, denying virtually all of the contractors' claims and awarding WMATA over $21 million in excess reprocurement costs and other damages, plus prejudgment interest. Crowell & Moring has represented WMATA in this protracted litigation, which has already established precedent on such issues as whether performance bonds cover allegedly unauthorized contract modifications and the duties of successor judges who take over an uncompleted case after trial.

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Client Alert | 3 min read | 06.12.26

DOJ Guidance Backs Away From Disparate Impact Liability

On June 9, 2026, the U.S. Department of Justice (DOJ) issued a formal opinion concluding that the Equal Opportunity Employment Commission’s (EEOC) existing interpretations of Title VII of the Civil Rights Act of 1964 (Title VII) disparate-impact liability, including the Uniform Guidelines on Employee Selection Procedures (UGESP), are unconstitutional. According to the opinion, EEOC’s prior interpretations contemplate liability based on disproportionately adverse effects alone, without regard to an employer’s likely intent, rather than treating disparate impact as an evidentiary mechanism to “smoke out” intentional discrimination. DOJ found that this approach functions as a “qualified racial-proportionality mandate” that places “a racial thumb on the scales, often requiring employers to evaluate the racial outcomes of their policies, and to make decisions based on (because of) those racial outcomes.” The opinion fulfills one mandate of Executive Order 14281, which rejected disparate-impact liability insofar as it “creates a near insurmountable presumption that unlawful discrimination exists wherever there are any differences in outcomes among different [demographic groups].”...