4th Circuit bars contractual shortening of Title VII, ADEA filing deadlines

For years, some employers have attempted to shorten the applicable statute of limitations for certain federal discrimination claims by contracting with their employees. The U.S. 4th Circuit Court of Appeals (which has jurisdiction over Maryland, North Carolina, South Carolina, Virginia, and West Virginia) recently opined on this practice, holding that employers cannot, by contract, shorten the statutory deadlines for claims filed under Title VII of the Civil Rights Act of 1964 or the Age Discrimination in Employment Act (ADEA).

Background

Like most employers, EOTech, LLC required employees to sign onboarding documents, which included a clause stating that any employment-related lawsuit—including discrimination claims—had to be filed within 180 days of the challenged employment action. The agreement paused that deadline while an administrative charge was pending. 

Before starting her employment with EOTech, Natalie Thomas signed a document drafted by EOTech (limitations agreement) that included language purporting to shorten the time she would otherwise have to sue her employer for any disputes “relating to [her] employment.” By signing the limitations agreement, she agreed not to file any action or suit relating to her employment “more than 180 calendar days after the event and/or employment practice or action complained of.”