Maliandi v. Montclair State University, No. 14-3812 (3d Cir. 2016)Annotate this Case
Maliandi alleges that she began working for Montclair State University (MSU) in 2007 and took medical leave for breast cancer treatment in 2013. Despite having complied with all policies and procedures for taking such leave, Maliandi allegedly was denied her original position when she returned and instead was offered an inferior position, which she declined. She was subsequently terminated. Maliandi then filed suit against MSU, citing the Family Medical Leave Act, 29 U.S.C. 2601 and the New Jersey Law Against Discrimination, N.J. Stat. 10:5-1 to -49. The district court denied a motion dismiss, determining that MSU is not the state’s alter ego for purpose of Eleventh Amendment immunity. The Third Circuit reversed, applying a balancing test to the “close case” and concluding that MSU is an arm of the state. While the funding factor counsels against immunity the status under state law and autonomy factors weigh in favor of extending MSU immunity from suit. In analyzing the funding factor, the court considered the state’s legal obligation to pay a money judgment entered against MSU; alternative sources of funding from which MSU could pay such judgments; and specific statutory provisions that immunize the state from liability for money judgments.