The Maryland Supreme Court ruled that the damages cap in the Local Government Tort Claims Act does not apply to claims filed under the Maryland Fair Employment Practices Act, though it may still affect certain county anti-discrimination ordinances.
In a July 13 opinion, the court addressed the effect of the LGTA cap on employment discrimination claims brought by local government employees. The case involved Joseph Watts, a former correctional officer for Prince George’s County who alleged discrimination and retaliation after losing his left foot to an infection.
A jury awarded Watts $1.7 million, including back pay, future losses and other compensatory damages. The trial court capped the recovery at the LGTA limit of $400,000 per claim. The Court of Appeals reversed that decision, finding the LGTA does not apply to the MFEPA or the county ordinance.
The Supreme Court split the difference. Watts is entitled to the higher amount between his MFEPA claims (subject to that statute’s own limitations) or his county ordinance claim (subject to the LGTA cap).
Chief Justice Matthew Fader, writing for the majority, noted the LGTA was enacted to address rising lawsuit costs against local governments. However, when the General Assembly creates specific statutory schemes with different balances, the general LGTA cap does not control.
The MFEPA explicitly states that claims against local governments are subject to the same rules and remedies as private sector cases. For claims under county ordinances like Prince George’s, the LGTA cap may still apply unless otherwise specified.
The decision provides important clarification for employment discrimination litigation involving local governments across Maryland. It balances protection for taxpayers with accountability for discriminatory practices.
Justice Shirley Watts filed a separate opinion arguing the LGTA cap should not apply to either claim.
The case returns to the trial court to determine the final judgment amount based on the court’s guidance.
