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Press Release 03-31-2026

Cosmos Settles EEOC Pregnancy Discrimination Lawsuit

Bay St. Louis restaurant settles federal lawsuit alleging that it fired new employee after learning she was pregnant

MOBILE, Ala. – Smoke BBQ, LLC, and Thorny Oyster, LLC, operators of Cosmos Restaurant in Bay St. Louis, Mississippi, will pay significant monetary damages and provide other relief to settle a sex discrimination lawsuit filed by the U.S. Equal Employment Opportunity Commission (EEOC), the agency announced today.

According to the EEOC’s lawsuit, Cosmos fired a female server in November 2023 the day after the company learned of her pregnancy. The worker had held her position for less than a week when Cosmos terminated her.

“Employers cannot dismiss pregnant workers because of their pregnancy,” said Marsha Rucker, regional attorney for the EEOC’s Birmingham District. “Federal law is clear: Title VII prohibits pregnancy-based discrimination in the workplace.”

Such alleged conduct violates Title VII of the Civil Rights Act of 1964, as amended, which prohibits discrimination on the basis of pregnancy. The EEOC filed suit (EEOC v. Smoke BBQ LLC and Thorny Oyster LLC, Case No. 1:25-cv-00278) in U.S. District Court for the Southern District of Mississippi after first attempting to reach a pre-litigation settlement through its administrative conciliation process.

EEOC Birmingham District Director Bradley Anderson said, “The injunctive relief in this decree, including its mandatory training requirements, policy changes, and reporting obligations, underscores the EEOC’s commitment to enforcing federal protections for pregnant workers.”

For more information on pregnancy discrimination, please visit https://www.eeoc.gov/pregnancy-discrimination.

The EEOC’s Birmingham District Office has jurisdiction over Alabama, Mississippi (except 17 northern counties) and the Florida Panhandle.

The EEOC is the sole federal agency authorized to investigate and litigate against businesses and other private sector employers for violations of federal laws prohibiting employment discrimination. For public sector employers, the EEOC shares jurisdiction with the Department of Justice’s Civil Rights Division. The EEOC also is responsible for coordinating the federal government’s employment antidiscrimination effort. More information about the EEOC is available at www.eeoc.gov.