Lilly Ledbetter Fair Pay Act of 2009
Lilly Ledbetter Fair Pay Act of 2009, Public Law No: 111-2, overrules the US Supreme Court decision Ledbetter v. Goodyear Tire & Rubber Co., 550 U.S. 618 (2007) The Ledbetter decision unduly restricting the time period in which victims of discrimination can challenge and recover for discriminatory compensation decisions or other practices.
The Lilly Ledbetter Fair Pay Act changes the rules for calculating the statute of limitations in employment discrimination lawsuits by amending the Civil Rights Act of 1964 to declare that an unlawful employment practice occurs when: (1) a discriminatory compensation decision or other practice is adopted; (2) an individual becomes subject to the decision or practice; or (3) an individual is affected by application of the decision or practice, including each time wages, benefits, or other compensation is paid.
The Act allows liability to accrue, and allows an aggrieved person to obtain relief, including recovery of back pay, for up to two years preceding the filing of the charge, where the unlawful employment practices that have occurred during the charge filing period are similar or related to practices that occurred outside the time for filing a charge.