Clackamas Gastroenterology v. Wells
Wells filed suit under the Americans with Disabilities Act (ADA) against Clackamas after her employment was terminated. At the time, Clackamas was a professional corporation consisting of four physician-shareholders and 12-15 employees. The district court granted summary judgment for Clackamas on the ADA claims because it did not have 15 or more employees as required by the statute. The district court based its decision on the ”economic realities” test and counted the physician-shareholders as partners rather than employees. The court of appeals reversed, concluding that the shareholders should be counted as employees for ADA purposes, and that the incorporators’ choice of a corporate form precluded any consideration of the shareholders as partners.
Question Presented:
Whether a federal court should apply an economic realities test to determine if a medical clinic's physician-shareholders should be counted as ”employees” for the purpose of determining
if the clinic is a ”covered entity” subject to the ADA and other federal anti-discrimination statutes.
