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before the enactment and effective date of the Civil Rights Act
of 1991, Pub. L. 102-166, 105 Stat. 1071. As to pre-1991 title
VII, the Supreme Court has concluded:
we cannot say that a statute such as Title VII, whose
sole remedial focus is the award of back wages,
redresses a tort-like personal injury within the
meaning of � 104(a)(2) and the applicable regulations.
Accordingly, we hold that the backpay awards
received by respondents in settlement of their Title
VII claims are not excludable from gross income as
“damages received ... on account of personal injuries”
under � 104(a)(2). [United States v. Burke, 504 U.S.
229, 241-242; fn. refs. omitted.]
On the basis of United States v. Burke, we hold that none of
the settlement proceeds attributable to petitioner’s pre-1991
title VII claim are excludable from income pursuant to section
104(a)(2).
We turn next to the portion (if any) of the settlement
amount that is attributable to petitioner’s remaining claims
under 42 U.S.C. secs. 1981 and 1983 (1986).
The Supreme Court in United States v. Burke, supra at 240,
noted: “Rev. Stat. � 1977, 42 U.S.C. � 1981, permits victims of
race-based employment discrimination to obtain a jury trial at
which ‘both equitable and legal relief, including compensatory
and, under certain circumstances, punitive damages’ may be
awarded.” The court went on to say unlike title VII actions such
actions were tortlike.
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