Coats v. Dish Network: Colorado Lawful Activity Statute Does Not Protect Medical Marijuana Patients
| Publication year | 2015 |
| Pages | 61 |
Articles
Labor and Employment Law
Coats v. Dish Network: Colorado Lawful Activity Statute Does Not Protect Medical Marijuana Patients
By Cathy A. Klein
Labor and Employment Law articles are sponsored by the CBA Labor and Employment Law Section to present current issues and topics of interest to attorneys, judges, and legal and judicial administrators on all aspects of labor and employment law in Colorado.
Coordinating Editor
John M. Husband, Denver, of Holland & Hart LLP—(303) 295-8228, jhusband@hollandhart.com
The Colorado Supreme Court upheld Colorado's lawful activity statute by determining that the term "lawful" refers to those activities that are lawful under both state and federal law. Employees who engage in state-permitted medical marijuana use are not protected by the statute.
Brandon Coats was an employee of Dish Network, LLC (Dish) who had a valid medical marijuana license under Colo. Const, art XVIII, § 14. A quadriplegic, Coats used medical marijuana for tremors and to help relax at night. He was employed by Dish for approximately three years, handling customer service telephone calls. He had good employee evaluations and no disciplinary actions. He never used marijuana on Dish premises or during work hours, and was never under the influence of marijuana at work.
Coats tested positive for marijuana in May 2010. He then informed Dish that he was a registered medical marijuana patient and planned to continue using marijuana. Dish terminated Coats on June 7, 2010 for violating its zero-tolerance drug policy. There was no other reason given by Dish for his termination.[1] Because Dish was not a federal contractor, the Drug-Free Workplace Act did not apply.
Coats brought a wrongful termination claim against Dish in Arapahoe County District Court, alleging violation of the Colorado lawful activities statute.[2] The statute states: "It shall be a discriminatory or unfair employment practice for an employer to terminate the employment of any employee due to that employee's engaging in any lawful activity off the premises of the employer during nonworking hours . . . ." Coats contended that Dish violated the statute by terminating him based on his outside-of-work medical marijuana use, which was a lawful activity under the Medical Marijuana Amendment and its implementing legislation. His complaint was dismissed for failure to state a claim. The court found that the Amendment provided an affirmative defense to state criminal prosecution. The court granted Dish's motion for attorney fees and costs and awarded approximately $44,000.[3]
Coats appealed both rulings, and the Colorado Court of Appeals announced its split decision on April 25 , 2013. The Court of Appeals determined that Coats's state-licensed use of marijuana was not "lawful activity within the meaning of the Lawful...
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