Case: Harper v. Blockbuster Entertainment Corporation

Male employees sued employers under Title VII and Florida Civil Rights Act, alleging that employer's grooming

policy, which prohibited men, but not women, from wearing long hair, discriminated against them on

the basis of gender. The court held that the grooming policy did not violate Title VII or Florida law.

Carnes, J.

In May of 1994, Blockbuster implemented a new grooming policy that prohibited men, but not women, from wearing long hair. The employees, all men with long hair, refused to comply with the policy. They protested the policy as discriminatory and communicated their protest to supervisory officials of Blockbuster. Two of the employees were the subject of media stories concerning their protest of the policy. All of the employees were subsequently terminated by Blockbuster because they had refused to cut their hair and because they had protested

the grooming policy. The employees allege that Blockbuster's grooming policy discriminates on the basis of gender in violation of Title VII. In Willingham v. Macon Telegraph Pub. Co., our predecessor court held that differing hair length standards for men and women do not violate Title VII, a holding which squarely forecloses the employees' discrimination claim. [In Willingham, the court stated]: Willingham argues that the Telegraph discriminates among employees based upon their gender in that female employees may wear their hair any length deemed acceptable by the Telegraph. He, therefore, asserts that he was denied employment because of his gender because were he a girl with identical length hair and comparable job qualifications, he (she) would have been employed. We conclude that the undisputed discrimination practiced by the Macon Telegraph is not based upon gender, but rather upon grooming standards, and thus not a violation of Title VII. We perceive the intent of Congress to have been the guarantee of equal job opportunities for males and females. Providing such opportunity is where the emphasis rightly lies. This is to say that Title VII should lie to reach any device or policy of any employer which serves to deny acquisition and retention of a job or promotion in a job to an individual because the individual is either male or female. Equal employment opportunity may be secured only when employers are barred from discriminating against employees on the basis of immutable characteristics, such as race and national origin. Similarly, an employer cannot have one hiring policy for men and another for women if the distinction is based on some fundamental right. But a hiring policy that distinguishes on some other ground, such as grooming codes or length of hair, is related more closely to the employer's choice of how to run his business than to equality of employment opportunity. Hair length is not immutable and in the situation of an employer, vis--vis employee enjoys no constitutional protection. If the employee objects to the grooming code he has the right to reject by looking elsewhere for employment or alternatively he may choose to subordinate his preference by accepting the code along with the job. We adopt the view, therefore, that distinctions in employment practices between men and women on the basis of something other than immutable or protected

characteristics do not inhibit employment opportunity in violation of Title VII. Congress sought only to give all persons equal access to the job market, not to limit an employer's right to exercise his informed judgment as to how best to run his shop.

Questions 25 thru 20 refer to Theresa Kearney Corporation whose Income Statement showed Net Income [for book purposes] Before Taxes of $20,000. The tax rate is 25%. [Consider each question as a stand-alone scenario] 25] 25] 27] 29] If Depreciation Expense for tax purposes is $4,000 higher than what was used for book purposes, the entry to record taxes is : A] Income Tax Expense...4,000 Income Tax Payable......4,000 B] Income Tax Expense ..... 4,000 Deferred Tax Asset.......1,000 Income Tax Payable ...... 5,000 C] Di Income Tax Expense ..... 5,000 Income Tax Payable.........5,000 Income Tax Expense ..... 5,000 Deferred Tax Liability.......1,000 Income Tax Payable.........4,000 If book Revenues [correctly] excluded $4,000 of cash collected related to ng year, the entry to record taxes is: Revenue that will be earned in a followi A] Income Tax Expense...5,000 Income Tax Payable......5,000 0] Income Tax Expense ..... 5,000 Income Tax Payable.........6,000 B] Income Tax Expense ..... 5,000 Deferred Tax Asset.......1,000 Income Tax Payable ...... B, 000 Di Income Tax Expense ..... 5,000 Deferred Tax Liability.......2,000 Income Tax Payable.........4,000 If book Revenues included 84,000 that will not be taxable until a following year, the entry to record taxes is: A] Income Tax Expense...4,000 Income Tax Payable ..... 4,000 0] Income Tax Expense ..... 5,000 Income Tax Payable.........5,000 B] Income Tax Expense....4,000 Deferred Tax Asset......1,000 Income Tax Payable ...... 5,000 D] Income Tax Expense ..... 5,000 Deferred Tax Liability.......1,000 Income Tax Payable.........4,000 If the Expenses include 54,000 of items that are permanently deductible for tax purposes, the entry to record taxes Is : A] Income Tax Expense...4,000 0] Income Tax Expense ..... 5,000 Income Tax Payable ..... 4,000 Income Tax Payable.........5,000 B] Income Tax Expense....4,000 D] Income Tax Expense ..... 5,000 Deferred Tax Asset......1,000 Income Tax Payable ...... 5,000 Deferred Tax Liability ..... 1,000 Income Tax Payable.........4,000 Cross hedge ( Part 1 & 2) Part 1 (Warming up) It is the end of May 1997. A cottonseed meal producer in Georgia would have the information about the acreage committed to cotton, and his expected production of cottonseed meal is 1,000 tons. On May 28, 1997, cottonseed meal is trading at the price of $197 per ton in Atlanta. The producer expects cottonseed meal prices to be much lower by the end of October 1997. To protect himself against the falling price, the cottonseed meal crusher decides to cross hedge using soybean meal futures. The May 28 soybean meal futures closing price is $280.30 per ton (CBOT; 1 contract = 100 tons of soybean meal). (Caution: it is not soybeans futures.) The producer decides to place the cross hedge on May 28, 1997. To place the cross hedge, he needs to determine the number of soybean meal futures contracts necessary to offset 1,000 tons of cottonseed meal. The cottonseed meal producer knows the following information. The correlation between the price changes of cottonseed meal and soybeans meal (p) = 0.84. The standard deviation of the price change of cottonseed meal (Oas) = $7.2. The standard deviation of the price change of soybean meal (OAF) = $6.0. Question) Find out the optimal hedge ratio. Question) Compute the optimal number of futures contract. Question) Compute the measure of hedging effectiveness.Question 29 (2 points) In a progressive tax system, the marginal tax rate increase as income increases but the average tax rate does not change as income increases. the marginal tax rate and the average tax rate are the same for every income level and the same as income increases. D the marginal tax rate and the average tax rate decrease as income levels Increase and the marginal tax rate is less than the average tax rate. O the marginal tax rate and the average tax rate increase as income levels increase and the marginal tax rate exceeds the average tax rate. Question 30 (2 points) Social Security taxes are paid by (both employers and employees. neither employers nor employees. Oemployers only. Oemployees only. Question 31 (2 points) State and local governments receive most of their revenue from individual income taxes, social insurance contributions, and property taxes. property taxes, sales and excise taxes, and Social Security contribution. corporate income taxes, property taxes, and personal income taxes. sales and excise taxes, revenue from the federal government, and property taxes. Question 32 (2 points) Current concern about Social Security is that () the fund is growing too rapidly and would trigger inflation. D)the government is planning to phase out the program. the fund might be depleted before long and might not be there for workers who retire later. () none of the aboveQUESTION 8 Among other things, Genevieve received an award from the court relating to her inability to sleep for 14 months following the collapse of the roof covering a newly built addition to her home. What is the nature of this portion of Genevieve's award? O a. non-pecuniary general damages 0 b. pecuniary expectation damages 0 c. punitive damages For tangible losses 0 d. punitive damages for intangible loss QUESTION 9 Both parties to the original contract must agree to an assignment for it to be enforceable. 0 True 0 False QUESTION 10 Everyone who suffers a breach of contract has a duty to mitigate. 0 True O False Question 1 (1 point) 3 Indicate (by number) how the component items listed below would appear in sequence on the US 1040 as described in the chapter notes. Adjusted Gross Income Adjustments to income (special deductions allowed to either itemizers or 9 non-itemizers) Total Income 12 Computed Income Tax Liability for the year Income Tax Liability after Nonrefundable Credits 15 Standard Deduction or Itemized Deductions Taxable Income Income Taxes Paid and Refundable Credits Taxes Due or Refund to be Received