Levine v Pee Wee & Tyson, Ltd.
Attorneys and Parties
Brief Summary
Employment discrimination and retaliation damages under the New York City Human Rights Law (NYCHRL) (Administrative Code of City of NY § 8-101 et seq.) [provides for compensatory and punitive damages and other remedies against employers and employees found liable for discrimination; the court may, in its discretion, award the prevailing party reasonable attorney's fees, expert fees, and costs].
After a damages inquest following a default, the Supreme Court found plaintiff failed to prove entitlement to any damages and dismissed the complaint.
The dismissal of the complaint and the determination that plaintiff established no compensable damages.
A default admits liability but not damages; plaintiff’s testimony established garden‑variety emotional distress under the NYCHRL warranting compensatory damages. However, her proof for lost wages was too vague and failed to establish amount, and her testimony did not meet the NYCHRL punitive damages standard. Attorney’s fees were warranted but reduced to a reasonable amount based on the record.
Background
Plaintiff, a waitress at Café Gitane, sued for gender discrimination and retaliation under the NYCHRL (Administrative Code of City of NY § 8-101 et seq.) [provides for compensatory and punitive damages and other remedies; allows discretionary award of attorney’s fees, expert fees, and costs]. In June 2022, the Supreme Court granted a default judgment against Pee Wee & Tyson, Ltd. (Café Gitane) and directed an inquest on damages. At the inquest, plaintiff alone testified and sought: $100,000 lost wages, $150,000 mental anguish, and $250,000 punitive damages. In March 2023, the court dismissed the complaint for failure to establish entitlement to damages. On appeal, the notice of appeal was deemed an application for leave to appeal, and leave was granted (CPLR 5701[c] [permits the Appellate Division to grant leave to appeal from certain nonappealable orders]).
Lower Court Decision
The Supreme Court, Kings County (Sharon A. Bourne-Clarke, J.), after a nonjury inquest on damages, held that plaintiff did not prove entitlement to damages and dismissed the complaint despite the defendant’s default.
Appellate Division Reversal
Reversed on the law, facts, and in the exercise of discretion. The Appellate Division held that while lost wages were not proven due to vague testimony about hours and time period, and punitive damages failed under the NYCHRL standard, plaintiff’s testimony supported garden‑variety emotional distress damages. The court awarded $7,500 in compensatory damages for mental anguish and, exercising discretion under Administrative Code § 8-502(g), $7,500 in attorney’s fees plus $726.55 in costs, and remitted for entry of judgment against Pee Wee & Tyson, Ltd. (Café Gitane).
Legal Significance
Confirms that a default admits liability but not the amount of damages; plaintiffs at NYCHRL damages inquests can recover garden‑variety emotional distress based solely on credible testimony without medical corroboration, though vague proof will defeat lost wage claims. Reiterates the NYCHRL punitive damages standard from Chauca v Abraham requiring willful or wanton negligence, recklessness, or conscious disregard. Affirms discretionary, reasonable attorney’s fee awards to prevailing NYCHRL plaintiffs under Administrative Code § 8-502(g). The Appellate Division may fix damages after a nonjury inquest when the record permits.
On a default under the NYCHRL, plaintiffs may obtain modest garden‑variety emotional distress damages and reasonable attorney’s fees based on their testimony alone, but must present specific, competent evidence to recover lost wages and punitive damages.