ILNews

Circuit examines ministerial exception

Michael W. Hoskins
January 1, 2008
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Two former administrators of Salvation Army thrift stores in Indianapolis are appealing their lawsuit against the non-profit organization on grounds that they were wrongly denied overtime pay in violation of a federal labor law.

But at issue in their federal case is whether they're classified as "employees" and whether a religious freedom exception barring courts from getting involved in church management can be applied to their employment law claims.

The 7th Circuit Court of Appeals heard arguments Wednesday in Steve and Lorrie Schleicher v. Salvation Army, No. 07-1333, a case from U.S. District Judge Richard Young in Indianapolis. The husband and wife, who'd worked for the non-profit religious organization since 1995, sued on grounds that they weren't receiving compensation for their work in operating an adult rehabilitation center and five Indianapolis area thrift stores in 2003 - often entailing more than 40 hours of work each week.

The Salvation Army refused to pay them unpaid wages, contending that the ministerial exemption - barring civil courts from reviewing employment disputes between a minister and a church normally applied through Title VII of the Civil Rights Act of 1964 - applies and blocks the court's jurisdiction. Judge Young dismissed the case in January 2007, holding that the ministerial exemption applies to the Fair Labor Standards Act claims the Schleichers were making in regard to unpaid wages.

By allowing the case and applying Title VII employment laws, the court found this would result in an encroachment by the state into an area of religious freedom that's forbidden under the First Amendment.

But paving way for first impression at the Circuit level, Judge Young relied on opinions from other Circuit Courts and wrote in his decision, "Although the Seventh Circuit has not had occasion to apply the ministerial exception to FLSA suits, this court is persuaded that were the issue before the Seventh Circuit, it would find it applicable to such suits."

Appellate panel Judges Richard Cudahy, Richard Posner, and Terence Evans heard arguments Wednesday morning. Audio of the arguments wasn't available online through the court.

Indianapolis attorney Ronald E. Weldy contends that the court should reverse Judge Young's dismissal of the suit because it's contrary to controlling precedent of the 7th Circuit and Supreme Court of the United States.

"No ministerial exception to the FLSA exists when the work at issue concerns commercial activity," the brief states. "The fact that employees were ministers who performed ministerial duties for Employer does not alter the fact that Employees also managed and operated a commercial enterprise for Employer that was clearly governed by provisions of the FLSA."

Weldy cited caselaw that FLSA applies to any religious organization's activities if they are engaged in commerce and that those individuals claiming protection are classified as "employees" within the statute.

However, attorneys Edward Hollis and Scott Himsel with Baker & Daniels in Indianapolis counter that point in their 38-page brief, mentioning that the U.S. Department of Labor doesn't recognize ministers as "employees" within the coverage of the FLSA because of the ministerial exception.

The attorneys argue that the Schleichers were responsible for religious and spiritual guidance as part of their jobs, including the commercial aspects of selling clothes, furniture, and other items. Therefore, the ministerial exception applies.

"The First Amendment prohibits the government from determining who is a minister and how a church interacts with a minister," the brief states. "To avoid this problem, courts have consistently, indeed uniformly, not involved themselves in any aspect of the church-minister relationship. The First Amendment prohibits a court not just from deciding issues of religious doctrine but also from interfering in internal church government."
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  1. Bob Leonard killed two people named Jennifer and Dion Longworth. There were no Smiths involved.

  2. Being on this journey from the beginning has convinced me the justice system really doesn't care about the welfare of the child. The trial court judge knew the child belonged with the mother. The father having total disregard for the rules of the court. Not only did this cost the mother and child valuable time together but thousands in legal fees. When the child was with the father the mother paid her child support. When the child was finally with the right parent somehow the father got away without having to pay one penny of child support. He had to be in control. Since he withheld all information regarding the child's welfare he put her in harms way. Mother took the child to the doctor when she got sick and was totally embarrassed she knew nothing regarding the medical information especially the allergies, The mother texted the father (from the doctors office) and he replied call his attorney. To me this doesn't seem like a concerned father. Seeing the child upset when she had to go back to the father. What upset me the most was finding out the child sleeps with him. Sometimes in the nude. Maybe I don't understand all the rules of the law but I thought this was also morally wrong. A concerned parent would allow the child to finish the school year. Say goodbye to her friends. It saddens me to know the child will not have contact with the sisters, aunts, uncles and the 87 year old grandfather. He didn't allow it before. Only the mother is allowed to talk to the child. I don't think now will be any different. I hope the decision the courts made would've been the same one if this was a member of their family. Someday this child will end up in therapy if allowed to remain with the father.

  3. Ok attorney Straw ... if that be a good idea ... And I am not saying it is ... but if it were ... would that be ripe prior to her suffering an embarrassing remand from the Seventh? Seems more than a tad premature here soldier. One putting on the armor should not boast liked one taking it off.

  4. The judge thinks that she is so cute to deny jurisdiction, but without jurisdiction, she loses her immunity. She did not give me any due process hearing or any discovery, like the Middlesex case provided for that lawyer. Because she has refused to protect me and she has no immunity because she rejected jurisdiction, I am now suing her in her district.

  5. Sam Bradbury was never a resident of Lafayette he lived in rural Tippecanoe County, Thats an error.

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