The Legal Intelligencer (2/4, Duffy) reports, “Deepening a split in the federal circuits, the 3rd U.S. Circuit Court of Appeals has ruled that winning plaintiffs in employment discrimination cases may be entitled to an additional award to compensate for the tax consequences of receiving a backpay award in one lump sum.” By way of the ruling, “the court made new law by holding for the first time that trial judges have the power to increase a winning plaintiff’s award to account for the increased tax burden of receiving a backpay award as a lump sum.”
From the American Association for Justice news release.
