[ by Melanie Gretchen ]

Greenberg Traurig is being sued by a former shareholder who, on Monday, filed a proposed $200 million gender discrimination class action.  The complaint alleges the Florida-based law firm underpays female lawyers and is governed by an "old boys club."

Lawsuit Details.   Philadelphia lawyer Francine Friedman Griesing accuses the 1,700-lawyer firm of violating the Equal Pay Act, a federal law aimed at abolishing wage disparity based on sex.  In her 52-page complaint filed in New York federal court, she said she seeks to represent 215 other current and former female Greenberg Traurig shareholders, with the intent of having a trial by jury, collecting compensation, and reforming firm policies.

GT Responds.   Greenberg Traurig denies the allegations and filed a petition in Philadelphia federal court on Monday to block a jury trial and compel confidential arbitration.  Hillarie Bass, a current female shareholder called Ms. Griesing's action is a "financially motivated public stunt," after they had a conversation about the alleged discrimination.  Ms. Bass issued a statement, noting that the firm has "an exemplary record of fairness and advancement irrespective of gender, race or creed," and its compensation system is based on merit."

Specific Allegations.    The plaintiff made the following allegations in her complaint: 

• Greenberg Traurig's all-male compensation committee, headed by CEO Richard Rosenbaum, makes "compensation decisions based on archaic assumptions that men were responsible for financially supporting a family."

• Michael Lehr, a member of the compensation committee, in admitting that Greenberg Traurig had underpaid her by more than $200,000 since she joined in 2007, made the following comment:   "GT prioritizes, pays and promotes women who have intimate relationships with firm leaders or who acquiesce to sexualized stereotypes."

• Firm leaders made inappropriate comments at a firm social event.  One unnamed member of GT's compensation committee asked Ms. Griesing if she was "the fifty-year-old Philadelphia shareholder who looked like she was thirty."  He added that he would take better care of her if she moved to California where he had more managerial responsibility.

Precedent.   Prior to filing this lawsuit, Ms. Griesing filed a complaint in 2009 with the Federal Equal Employment Opportunity Commission.  According to the complaint, the EEOC found that it had "reasonable cause to believe" that Greenberg Traurig discriminated against its female lawyers by underpaying and "treating them less favorably" than men.   A spokesperson for the EEOC said the commission does not make public any part of the administrative process, "including copies of the charge or any administrative determination."

Plaintiff Offered These Statistics.   The plaintiff notes that women have long struggled for a more equal role in law firms.

• A survey by the Minority Corporate Counsel Association, released earlier this year, reportedly states that male partners earn $237,000 more per year than female partners. 
• A 2012 study by the American Bar Association reportedly showed that just under half of law firm associates are women, while only 15% are equity partners.

The case: Francine Friedman Griesing, On Behalf of Herself and Others Similarly Situated v. Greenberg Traurig, U.S. Court for the Southern District of New York, No. 12-CV-8734

For further details, go to [ Reuters, /12/3/12 ].