Carrasquillo-Ortiz v. American Airlines, Inc., No. 15-1424 (1st Cir. 2016)
Annotate this CaseArticle 3 of Puerto Rico’s Law No. 80 requires companies that operate in Puerto Rico to pay a “mesada” - or a statutory severance - to employees who are terminated without “just cause.” Plaintiffs were the former, and least senior, employees in American’s sole Puerto Rico office. Plaintiffs could be entitled to a mesada only if their seniority was computed in relation to America’s offices worldwide. The district court ruled in favor of American, concluding that Article 3 counts only those transfers that occur in Puerto Rico and none that are made to or from an office outside of it. In January, the First Circuit certified a question to the Supreme Court of Puerto Rico concerning the proper interpretation of Article 3. The First Circuit received the Supreme Court’s response and, on that basis, affirmed the district court’s judgment ruling in favor of American. Specifically, the First Circuit held that because American has only one office in Puerto Rico, American does not make transfers that could trigger the method for computing seniority that would benefit Plaintiffs.
This opinion or order relates to an opinion or order originally issued on January 22, 2016.
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