Spencer v. World Vision, Inc. - 633 F.3d 723 (9th Cir. 2011)

Rule:

When confronted with a section 2000e-1 case, Townley and Kamehameha require the Court to analyze, on a case-by-case basis, whether the "general picture" of an organization is "primarily religious," taking into account "[a]ll significant religious and secular characteristics."

Facts:

Silvia Spencer, Ted Youngberg, and Vicki Hulse were terminated by World Vision, Inc. ("World Vision") on account of their religious beliefs. Religious discrimination is, of course, barred by Title VII of the Civil Rights Act. That bar, however, does not apply to "a religious corporation, association, educational institution, or society with respect to the employment of individuals of a particular religion to perform work connected with the carrying on by such [entity] of its activities." World Vision's eligibility for this exemption is the issue presented in this appeal.

Issue:

Is World Vision, a faith-based humanitarian organization, exempt from Title VII's prohibition against religious discrimination?

Answer:

Yes

Conclusion:

The court held that World Vision, Inc. qualifies as an entity exempt under 42 U.S.C. § 2000e-1(a) from Title VII's general prohibition against religious discrimination. Judges O'Scannlain and Kleinfeld concurred that an entity is eligible for the section 2000e-1 exemption, at least, if it is organized for a religious purpose, is engaged primarily in carrying out that religious purpose, holds itself out to the public as an entity for carrying out that religious purpose, and does not engage primarily or substantially in the exchange of goods or services for money beyond nominal amounts.