Labor & Employment Law Daily Wrap Up, EEOC NEWS—New lawsuits focus on disability discrimination, unlawful medical exams, discriminatory qualification standards, (Sep 29, 2026)

By Pamela Wolf, J.D.

“Where an employer chooses to require an applicant to undergo medical examinations and inquiries, and to condition employment on the results of such examinations, the employer must use information gathered during that process in accordance with the law.”

As the EEOC’s fiscal year nears its end on September 30, 2026, the agency filed several new lawsuits against employers in Florida, Maryland, Nevada, North Carolina, and Texas, alleging disability discrimination, and in some cases, retaliation against individuals with disabilities. Alleged unlawful discrimination was related to a veteran’s disability rating, receipt of intravenous treatment, muscular dystrophy, job restrictions following a bus collision, and profound deafness.

Job offer to veteran with disability rating rescinded. Eastern Shipbuilding Group, Inc., violated the ADA when the Panama City, Florida, shipbuilding company rescinded an Army veteran’s job offer shortly after learning of his Veterans Administration disability rating, according to the EEOC’s lawsuit. The company allegedly gave him a job offer as a machinist in November 2024, conditional upon passing a pre-employment/post-offer physical examination. Although the veteran successfully passed the examination, the examiner noted that the veteran referenced a past military injury. Following the examination, the applicant informed Eastern Shipbuilding that he is a veteran with a disability. The company purportedly rescinded his conditional offer in February 2025 because of his disability, even though he was qualified to perform the job.

The EEOC filed its lawsuit in the Northern District of Florida; the case in No. 5:26-cv-00272-AW-MJF.

“Retired veterans like this serviceman have great experience and skills to contribute to the private sector,” said EEOC Acting District Director Linda Sales-Long. “Like every American, these men and women who have served our nation have the right to equal employment opportunity regardless of disability.”

Post offer denial of medical clearance, demand to stop IV treatments. The EEOC claimed that MedStar Health, Inc., a healthcare network in Maryland, and member hospital MedStar Southern Maryland Hospital Center in Clinton, violated the ADA by failing to hire an applicant with a disability and conducting an unlawful post-offer medical examination. In March 2024, MedStar purportedly extended a job offer to an applicant in an admitting registrar position, and the applicant accepted the offer. MedStar then subjected the applicant to medical examinations and inquiries, including requiring him to undergo an occupational health evaluation, respond to medical inquiries, and otherwise comply with medical examination and inquiry requirements, the EEOC said. After discovering that he is disabled, MedStar used results of the medical examinations and inquiries to discriminate against him, including denying him medical clearance to work and demanding that he stop receiving intravenous treatment for his disability. MedStar denied him reasonable accommodations, revoked the job offer, and refused to hire him, according to the federal agency.

“The Americans with Disabilities Act prohibits employers from making hiring decisions based on stereotypes or fears of a disability,” said EEOC Regional Attorney Debra M. Lawrence. “Where an employer chooses to require an applicant to undergo medical examinations and inquiries, and to condition employment on the results of such examinations, the employer must use information gathered during that process in accordance with the law.”

The EEOC brought its lawsuit in the District of Maryland, Southern Division; the case is No. 1-26-cv-03585- TDC.

Discriminated and retaliated against employees with disabilities. GSK Research Inc. and KGS Research, Inc., dba VRI Research, operators of a call center in Las Vegas, violated the ADA when they discriminated against employees because of their disabilities and retaliated against them for requesting accommodations, according to an EEOC lawsuit. Since August 2018 the defendants allegedly failed to observe their legal responsibilities under the ADA. In one example, when an employee needed short breaks to address muscle spasms caused by muscular dystrophy, a manager reportedly responded saying he “didn’t do accommodations.” In another instance, an HR official said she was not aware of any law that required the company to accommodate an employee’s medical condition. The defendants allegedly required another employee, who did not have use of his legs and worked remotely full time, to travel to the office to sign administrative paperwork and pick up his paychecks, refusing his request for accommodation to not travel to office for minor administrative tasks. Employees were terminated, placed on unpaid leave, and/or retaliated against for requesting accommodations, the EEOC said.

The EEOC filed its lawsuit in the District of Nevada; the case is No. 2:26-cv-03093.

Worker unable to return after medical leave in 100 percent capacity. The EEOC claimed that Summit Hospitality Group, Ltd., dba Residence Inn Raleigh Downtown, violated the ADA when it failed to accommodate an employee’s disability and discharged him from employment when he was not able to return to work at 100 percent capacity. In March 2024, an employee who worked at the Residence Inn Raleigh Downtown as a houseperson and laundry attendant since 2017, was reportedly injured in a bus collision and notified Summit Hospitality, which approved his medical leave and scheduled his return to work on July 1, 2024. As he approached his return date, the employee provided a note from his doctor advising he required modifications to his job duties, including a restriction of no “overhead activity/work and no lifting, pushing, pulling more than 20 lbs. at any time.” Rather than engage in an interactive process with the employee, Summit Hospitality Group demanded a medical note stating that he was “released for full duty” and then terminated his employment, according to the suit.

The EEOC brought its lawsuit in the Eastern District of North Carolina; the case is No. 5:26-cv-00698-M.

Discriminatory qualification standard. National discount retailer Ollie’s Bargain Outlet, Inc, violated the ADA when it refused to hire a profoundly deaf applicant at its distribution warehouse in Lancaster, Texas, because of her disability and subjected her to an overtly discriminatory qualification standard, an EEOC lawsuit alleged. In May 2025, Ollie’s purportedly refused to hire the applicant, who had several years of experience working in warehouse roles with comparable duties, because of her profound deafness. Ollie’s also subjected the applicant to a physical qualification standard requiring its workers in certain distribution warehouse positions to have the ability to hear, a requirement that intentionally screens out and tends to screen out individuals who are deaf or hearing impaired in violation of federal law, the federal agency said.

The EEOC filed its lawsuit in the Northern District of Texas, Dallas Division; the case is No. 3:26-cv-03222-B.

Companies: Eastern Shipbuilding Group, Inc.; MedStar Health, Inc.; MedStar Southern Maryland Hospital Center; Inc.; KGS Research, Inc.; VRI Research; Summit Hospitality Group, Ltd Residence Inn Raleigh Downtown; Ollie’s Bargain Outlet, Inc.

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