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`NEW YORK STATE SUPREME COURT
`NEW YORK COUNTY : CIVIL TERM : PART 8
`---------------------------------------------------------X
`YU PRIDE ALLIANCE, MOLLY MEISELS, DONIEL WEINREICH, AMITAI
`MILLER, and ANONYMOUS,
`Plaintiffs,
`
`
`-against-
`YESHIVA UNIVERSITY, VICE PROVOST CHAIM NISSEL, and
`PRESIDENT ARI BERMAN,
`Defendants.
`---------------------------------------------------------X
`Index No. 154010/2021
`MICROSOFT TEAMS PROCEEDING
`
`February 10, 2022
`
`B E F O R E: HON. LYNN R. KOTLER
`
` Supreme Court Justice
`
`A P P E A R A N C E S:
`
`EMERY CELLI BRINCKERHOFF ABADY WARD & MAAZEL LLP
`Attorneys for the Plaintiffs
`600 Fifth Avenue - 10th Floor
`New York, New York 10020
`BY: KATHERINE ROSENFELD, ESQ.
`
`BECKET FUND FOR RELIGIOUS LIBERTY
`Attorneys for the Defendants
`1919 Pennsylvania Avenue NW - Suite 400
`Washington, D.C. 20006
`BY: ERIC BAXTER, ESQ.
`AND: WILLIAM HAUN, ESQ.
`AND: ABIGAIL SMITH, ESQ.
`
`Lori Ann Sacco
`Official Court Reporter
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`FILED: NEW YORK COUNTY CLERK 02/17/2022 11:31 AM
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`MS. ROSENFELD: Good afternoon. This is
`Katie Rosenfeld for plaintiffs.
`MR. BAXTER: Eric Baxter for the Yeshiva
`defendants. And I am with William Haun and Abigail
`Smith.
`
`THE COURT: Okay. Everybody who is with us
`today, I just want to let everybody who is appearing
`today, part of the public, we have not received any
`written application to videotape or audio report this
`proceeding. So, there is no taping of the
`proceeding, nor are there any photos allowed,
`including any screen graphs, okay. Thank you.
`All right. So we have -- we have a motion
`for summary judgment. The Court converted that
`motion for summary judgment. Then we have
`Ms. Rosenfeld's cross motion for partial summary
`judgment. Then we have obviously opposition, reply.
`So I think we have all the papers that we need today.
`Okay. Any -- any housekeeping issues that we need to
`take care of before we start with the oral arguments?
`MR. BAXTER: Not for defendants, your Honor.
`MS. ROSENFELD: Not for plaintiffs.
`THE COURT: I think what makes the most sense
`is to start with the defendants' motion for summary
`judgment and then Ms. Rosenfeld will have an
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`opportunity.
`MR. BAXTER: Thank you, your Honor.
`THE COURT: And also in support of your
`application for partial summary judgment. Okay.
`Mr. Baxter.
`MR. BAXTER: Thank you, your Honor, and good
`afternoon. Eric Baxter on behalf of the Yeshiva
`defendants. May it please the Court, the Yeshiva
`defendants are entitled to summary judgment for
`primarily two reasons. First, the New York City
`Human Rights Law does not apply to a religious
`corporation incorporated under the Education Law.
`And second, the First Amendment bars the Court from
`inserting itself into the religious decisions of an
`organization like yeshiva.
`Regarding the statutory defense, no one
`disputes that yeshiva is incorporated under the
`Education Law. So this question turns on whether it
`is religious. Despite plaintiffs' plea for
`additional discovery, they have made almost no
`mention of it in their briefing, in fact we're here
`on essentially the same facts that were before the
`Court at the preliminary injunction stage only
`stronger for yeshiva. We knew already that yeshiva
`students are required to engage in intense religious
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`studies. They pray and worship together on campus.
`They are asked to follow the laws of Sabbath and
`kashruth on campus.
`Discovery further showed the driving
`influence of the roshei yeshiva or the senior rabbis
`on campus. There is no major decision made without
`the participation of the roshei yeshiva and their
`assurance that the change or decision is in alignment
`with Torah values. Every student who is -- seeks
`application to the university undergoes an individual
`interview to make sure that they understand the
`religious nature of the environment they are entering
`and that's what they desire to do. And every student
`that is admitted is then assigned a mashgiach ruchani
`or a spiritual advisor to provide them personal
`spiritual guidance throughout their career at Yeshiva
`University. This is one -- You cannot step onto the
`campus or into a batei midrash without recognizing
`that this is a sacred space for students who are
`studying there. It is one of the most overtly
`religious schools in the country. If it doesn't
`qualify as religious, then there is no school in New
`York City or anywhere as a matter of fact that would
`qualify. And that's probably why plaintiffs have
`actually never really challenged the religious nature
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`of Yeshiva University. Their complaint concedes that
`students go to yeshiva for personal religious growth
`within a religious community, and their closing brief
`acknowledges that Judaism is essential to yeshiva's
`existence.
`So instead we have here an argument that --
`from plaintiffs that the phrase religious corporation
`is somehow a term of art that excludes yeshiva. The
`problem is that that argument is not supported
`anywhere in the statute, and in fact in its
`August 18th preliminary injunction order this Court
`already held that adopting plaintiffs' argument would
`require to entirely ignore the religious exemption or
`to give abnormal meaning to its words.
`Plaintiffs' arguments fair no better this
`time around. Their first argument is that a
`religious corporation requires a corporation to be
`incorporated or eligible to be incorporated under the
`Religious Corporations Law or the RCL. This is the
`exact same argument that the Court of Appeals
`rejected in the St. John's University case, where the
`plaintiff argued that the religious exemption under
`the State Humans Rights Law required incorporation
`under the RCL. The Court of Appeals said that's
`simply incorrect. There is nothing in the statute to
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`support that. The same is true here. This Court
`would have to contradict the Court of Appeals to rule
`in plaintiffs' favor.
`The corporation laws themselves also make
`clear the religious corporations can incorporate
`under a variety of different statutes. The RCL
`itself defines religious corporation. It says, "When
`religious corporation is used in this statute, we
`mean a religious corporation incorporated under the
`statute with one caveat, unless the context requires
`otherwise", a definition that would not be required
`if religious corporation inherently meant something
`incorporated under the RCL.
`The Education Law Section 313 states that
`it's a fundamental American right for religious
`institutions to form schools that promote their faith
`and serve students of their faith, and that those
`schools have to incorporate under the Education Law.
`The Not-For-Profit Corporation Law also provides that
`charitable organizations can organize under it for
`religious purposes. And, in fact, the St.
`Bartholomew case, which is from the First Department,
`held that it's actually the Not-For-Profit
`Corporation Law that is the default law for governing
`religious corporations not the RCL. That's because
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`the RCL and Education Law both incorporate the
`Not-For-Profit Law in explicit terms.
`And there are numerous cases, your Honor, the
`Watson case out of the Second Department, the Lueken
`case, which both distinguish and recognize that there
`are religious corporations under the RCL which is
`different from those that are more broadly classed as
`religious corporations in the terms of the Watson
`case.
`
`If the City Council had meant to exclude only
`religious corporations incorporated under the
`Religious Corporations Law, it would have had to say
`that, because leaving no definition would have
`inherently meant any religious corporations under any
`of these laws. And, of course, the City Council here
`specifically did say religious corporations
`incorporated under the Education Law or the Religious
`Corporations Law. So, plaintiffs' argument
`completely ignores the text. It ignores the cases
`that deal with these issues. To get around that
`plaintiffs move to say well, yes, but yeshiva's
`charter says it is organized exclusively for
`educational purposes. Well, religious formation is
`an educational purpose. That is within the ordinary
`meaning of the words. But there are also cases that
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`specifically say that religious formation is an
`educational purpose, and that's the In Re Moses case
`from the Second Department. The Kluger case also
`makes the same holding.
`More importantly, the Hapletah case, which is
`not in our briefs, your Honor, but it can be found at
`79 N.Y.2d at 249, it's a Court of Appeals case where
`the Court said that the phrase exclusively -- that
`the phrase exclusive purpose has to be read broadly
`and generously really to mean principal or primary
`purpose. And that's also supported by the Kluger
`case. The phrase is never intended to impose some
`kind of restriction on the things that the
`organization can do. If you look at paragraph 9 of
`yeshiva's 1967 amended charter, it's even more clear.
`Plaintiffs only read half the sentence. It says yes,
`this organization is organized for exclusively
`educational purposes, but it goes on to say that
`therefore the profits of the organization cannot
`inure to any one individual. The purpose of the
`statement in the charter is not to impose some kind
`of strict exclusion on what Yeshiva University can
`do, it's to distinguish yeshiva as a not-for-profit
`educational corporation as opposed to a for-profit
`corporation.
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`So, plaintiffs next argue well, yeshiva at
`least should have included a religious purpose in its
`charter. Well, in the first place yeshiva does have
`a religious purpose in its charter. Again, the 1967
`amendment says that yeshiva is and continues to be
`organized for educational purpose. That is
`"continues to be" refers back to the original
`charter, which says that yeshiva was organized for
`the purpose of promoting the study of Talmud.
`Now plaintiffs are essentially elevating form
`over substance here. I don't think what they really
`want -- Yeshiva would be happy to stipulate to adding
`a more direct statement of religious purpose in its
`charter if plaintiffs would agree to dismiss the
`case. That's obviously not why they are here. So
`their argument to elevate form over substance really
`just shoots themselves in the foot, besides the fact
`that cases for over a century have rejected the form
`over substance argument. The Kittinger case from
`1936 looked at an organization incorporated under the
`Business Law with the purpose of being a stock
`corporation. And the Court said no, we're going to
`look past that to see what it's actually doing, which
`was religious activity. And then the converse in the
`Naarim case from 2005, which plaintiffs cite, a
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`religious canon had organized for religious purposes
`as an RCL organization. The Court said no, it's
`clear you're running a for-profit camp here. We are
`going to treat it like a for-profit camp. There is
`no basis for plaintiffs' argument that the form or
`the words of the charter should be elevated over the
`obvious nature of yeshiva's function.
`Your Honor, I would like to address the
`public policy argument that plaintiffs make. They
`essentially say that well yeshiva looks a lot like a
`public accommodation, because it provides networking
`opportunity and career development services. Things
`that are the types of things that would -- you know,
`other public accommodations do. Well, first yeshiva
`doesn't exclude any students from those services.
`More importantly the law doesn't cover anything that
`looks like a public accommodation. Very specifically
`defines certain categories as not being public
`accommodations. And your court noted this in the
`August 18th preliminary injunction order. The
`statute excludes organizations that are distinctly
`private, and then says that religious corporations
`incorporated under the Education Law, like yeshiva,
`are deemed to be distinctly private. So are
`benevolent societies. And the Gifford court, I
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`believe it's the Second Department, said that that
`exemption was absolute and not subject to
`limitations. So, that utterly destroys any argument
`by plaintiffs that the City Council somehow intended
`to reach something more broadly or to extend itself
`into the religious decisions of an organization like
`Yeshiva University. Quite the contrary, it shows
`that the City Council is extremely sensitive to the
`religious concerns. Defendants didn't rely on this
`section, but the Court can also refer to
`Section 8-107 12 of the NYCHYL, which addresses
`religious organizations that are not incorporated
`under the Education Law or RCL. So, this could be
`medical religious corporations or homeless shelters,
`a variety of other non profits, and says that the
`decisions that those organizations that are designed
`to promote the religious purposes of the
`organization, that those are also exempt from the
`statute. So clearly the City Council is very
`sensitive to the First Amendment concerns, the rights
`of religious organizations, and plaintiffs have
`identified no argument to the contrary.
`Now even if we were to assume that there is
`no statutory defense or that the statutory defense
`somehow fails in this case, the First Amendment also
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`provides extensive protection for Yeshiva University.
`Plaintiffs hardly even contend this. They have one
`sentence in their closing brief, citing to the Court
`of Appeals decision in Serio which involved a law
`that required all employers to provide contraception.
`One problem with that is the United States Supreme
`Court just a couple of months ago vacated a decision
`in Diocese of Albany versus State of New York
`addressing almost identical -- an almost identical
`regulation, and the Court vacated a decision
`upholding the regulation under Serio, and said that
`decision had to be reconsidered in light of the
`Supreme Court's most recent decision in Fulton versus
`City of Philadelphia. And in Fulton and a series of
`other cases that arose out of COVID situation,
`including Tandon, the Court said if a statute has a
`single secular exception, then it cannot deny an
`exception to religious organizations, because that
`exception shows that the city's claimed compelling
`interest is not so serious after all if it's able to
`give exceptions to other organizations that are doing
`similar things for nonreligious reasons.
`So, Serio is a very thin read. Even on its
`own terms, Serio wouldn't apply here to yeshiva's
`religious autonomy argument. In Serio the Court said
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`well, there is no religious autonomy concerns because
`the regulation impacted such a small area of the
`religious organization's work. Only whether they had
`to provide contraception under -- under their health
`plans. Here plaintiffs' argument is that Yeshiva
`University has no protection at all under the NYCHRL,
`exposing it to all of its provisions. So it would
`not just be club decisionmaking. It would be
`yeshiva's, you know, segregated dorms. It's
`segregated prayers, even though these are mandated by
`Torah, all of these things would be subject to
`liability under NYCHRL.
`It goes much further than that. The NYCHRL
`also prohibits creed, creedal discrimination or
`religious discrimination. So, requirements that
`students engage in intense religious studies. The
`requirements that students observe the Sabbath,
`kashruth, laws of kashruth on campus. The fact that
`there are synagogues on campus but not churches or
`mosques, all of these decisions, religious decisions
`would be subject to lawsuits under plaintiffs'
`theory. There is no way that the Serio Court
`intended its decision there to have that type of
`consequence. Every religious school in New York
`would essentially be forced to stop being religious.
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`That can't be right.
`The NYCHRL was enacted in part because of
`anti-Semitism and to protect minority groups. Like
`Jews who wanted to study the Torah intensely at the
`graduate level or at the college level, it would be a
`perversion of the law to now apply it, to say that
`Yeshiva University has to stop being Jewish.
`So, plaintiffs' arguments ignore the statute.
`They ignore the case law. They ignore the
`legislative intent that's clear from the face of the
`statute. And they ignore the constitutional
`protections that protect organizations like Yeshiva
`University in making religious decisions about the
`religious environment on their campus. And for these
`reasons, your Honor, we would ask the Court to grant
`summary judgment to the Yeshiva defendants and
`without further delay. Thank you, your Honor.
`THE COURT: Okay. Thank you. I don't see
`Ms. Rosenfeld. Anybody who is appearing, if you
`could just put your microphones on mute if you're not
`speaking. Thank you.
`MS. ROSENFELD: Good afternoon, your Honor.
`THE COURT: Okay. Good afternoon. So to
`Ms. Rosenfeld, if I heard Mr. Baxter correctly, you
`know, are the plaintiffs saying that for an
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`organization to be religious it has to be
`incorporated under the RCL?
`MS. ROSENFELD: No, your Honor.
`THE COURT: No, okay. So then tell me.
`MS. ROSENFELD: Yeah. So, your Honor, the
`case law that we have put before your Honor and the
`definition of the Religious Corporations Law work
`together here to make it clear that under New York
`Law, a religious corporation is one that was created
`to, as the definition says in Section 2, enable its
`members to meet for divine worship or other religious
`observance. So a religious corporation that is
`created for that purpose of divine worship, a church,
`a synagogue, a mosque, a temple, may be incorporated
`under other statutes and qualify as a religious
`corporation if its purpose is, as the definition of
`the Religious Corporations Law in Section 2 says, is
`to meet for divine worship and other religious
`observances. So, your Honor, we have cited cases in
`our brief that, for example, Geeta Temple-Ashram,
`it's a Second Department case from 2011, and it says
`that a Hindu temple, which was a place of worship, as
`the Religious Corporation Law requires, although it
`was legally formed under the Not-For-Profit Law, was
`a de facto religious corporation, because it was a
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`place of worship. It had a religious corporation
`language in its Certificate of Incorporation. So it
`qualified.
`So, it is not our position, your Honor, that
`to be a religious corporation, an entity must be
`incorporated under the Religious Corporations Law.
`And so therefore what the law is very clear about is
`that to be a religious corporation, it is not a
`subjective, far ranging, nebulous inquiry into
`whether an entity is religious. Because that, of
`course, would involve the Court in subjective,
`standardless decisions about whether an entity is
`sufficiently religious to qualify. A religious
`corporation is an entity that exists, as the
`Religious Corporation Law sets out in great detail,
`for divine worship or religious observance, and a
`certain set of rules govern its meetings, its
`incorporation, the duties of its trustees. If you
`meet for divine worship, and when we look at your
`Certificate of Incorporation, courts say let's start
`there. Maybe we don't end there. Maybe we look then
`if whether you are a place of worship or a place of
`prayer, right. So in the Kroth case the Supreme
`Court looked at okay, the corporation owns a
`synagogue. It operates a synagogue. It's a house of
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`FILED: NEW YORK COUNTY CLERK 02/17/2022 11:31 AM
`NYSCEF DOC. NO. 325
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`worship. It's a religious corporation. It's a de
`facto religious corporation.
`In the Watt case, the corporation, the
`Certificate of Corporation, the Court looks at that
`first. Okay, it's purpose is to provide a place of
`worship. You're operating a Buddhist temple. It's a
`place where people go to pray. You're a religious
`corporation.
`And so the Court here, we start with a
`Certificate of Incorporation which says clearly that
`Yeshiva University has no religious purpose. It's an
`educational corporation with an educational purpose
`unlike, your Honor, its seminary. The Yeshiva
`University seminary, as the Court is aware from the
`papers, was divorced from yeshiva in 1967. Yeshiva
`made a choice at that point. It separated itself
`from its seminary, which granted religious degrees.
`It incorporated itself solely for educational
`purposes. And it reads, "The seminary maintains the
`religious purpose". The purpose it reads, under its
`1970 Certificate of Incorporation, is "To prepare
`students for the rabbinate and to issue Certificates
`of Incorporation therewith." Yeshiva put the
`religious degrees and the religious purpose with its
`seminary, and it chose for whatever reasons it may
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`FILED: NEW YORK COUNTY CLERK 02/17/2022 11:31 AM
`NYSCEF DOC. NO. 325
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`have which are not at issue here, to become an
`educational corporation, to become a university and
`to change.
`So, the Court starts under New York Law,
`which the case is, of the analysis of what it means
`in certificate interpretation. And here we have
`clear charter documents. And we have an even clearer
`set of facts here about those incorporating
`documents, your Honor, because this is an entity that
`intentionally decided to become the type of entity it
`is today and to place religious degrees and religious
`clergy and religious purpose in a different entity.
`And then the Court looks and says is this a church.
`Is this a synagogue. Is this a place where people
`come to worship. And when we look at that, your
`Honor, those are the two things the Court can look
`at, whether it's a place of divine worship, and
`whether the Certificate of Incorporation and the
`charter documents reflect and support that.
`There is no case, your Honor, before the
`Court where an entity, that is not a house of worship
`and is has no religious purpose in its charter
`documents, has ever been found to be a religious
`corporation. And I really want to focus my remarks
`today for your Honor on the narrowness of the
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`FILED: NEW YORK COUNTY CLERK 02/17/2022 11:31 AM
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`question before the Court.
`We have a narrow question of statutory
`interpretation that the Court correctly identified in
`its August ruling. The Court said, I have a narrow
`legal question here, and your Honor reiterated this
`in your discovery ruling. Is this a religious
`corporation under New York Law. That is a question
`of law. We look to answer that to the statute. We
`look to the language in the statute under Court of
`Appeals precedent about basic canons of
`interpretation, the Carroll case that we cite in our
`papers. And we start there and we says what does
`this text say. It says a religious corporation,
`under the Religious Corporations Law or the Education
`Law.
`
`So, you can be incorporated under the
`Education Law and be a religious corporation
`according to the council there if -- if then we look
`to what is a religious corporation, and we start with
`the Religious Corporations Law. It's the only place
`in New York Law that defines what a New York
`corporation is. Again, we go back to it's a place of
`divine worship. Every chapter in the Religious
`Corporations Law governs the operation of a different
`denomination, a church, a synagogue, a mosque.
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`FILED: NEW YORK COUNTY CLERK 02/17/2022 11:31 AM
`NYSCEF DOC. NO. 325
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`That's what the Religious Corporations Law deals
`with. That is a familiar distinction, your Honor, in
`law. A protection for houses of worship as opposed
`to a broader protection for religious institutions or
`organizations.
`So when we look at the statutory language,
`when we look at all the cases which show clearly that
`under New York Law you must be a place of worship,
`you must reflect that you are meeting for divine
`worship, and you must, in your Certificate of
`Incorporation, starting to look there, find a
`religious purpose. Yeshiva is not a religious
`corporation.
`Your Honor, significant 8-107 12 --
`THE COURT: But, Ms. Rosenfeld, it just seems
`like you're focusing on the Certificate of
`Incorporation and that's it. I mean, because what
`happens with like St. John's or St. Barnabas, the
`hospital?
`MS. ROSENFELD: It --
`THE COURT: They clearly have religious
`undertones, and they -- they follow certain religious
`beliefs with those institutions.
`MS. ROSENFELD: Your Honor, I'm really glad
`that you asked that, because if that's the impression
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`FILED: NEW YORK COUNTY CLERK 02/17/2022 11:31 AM
`NYSCEF DOC. NO. 325
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`that I'm leaving, that's the wrong impression and I
`want to very much clarify that. The issue here is if
`you're a religious corporation under the exemption in
`the Public Accommodations Law. When the City Council
`passed the public accommodations expansion in 1984,
`it added this language, right. It said there are
`broad public accommodation protections for almost any
`kind of public accommodation, probably the broadest
`in the city. There is three exceptions, a club of
`less than 300 -- 400 people. A benevolent
`corporation or a religious corporation under the two
`statutes. Those are small, membership based groups
`where the council -- where the record reflects that
`there was an interest in protecting the intimate
`associational rights of those people in the face of
`what is otherwise public accommodations protections
`for the public. You can come to my university and
`eat in my cafeteria if you're Muslim. You can come
`to my university as a student and form a club
`regardless of your protected status. That is what a
`public accommodation section of the law provides.
`Separately, your Honor, in the statute there
`is 8-107 12. That says that nothing is going to bar
`a religious or denominational institution or
`organization or one operated for those purposes from
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`FILED: NEW YORK COUNTY CLERK 02/17/2022 11:31 AM
`NYSCEF DOC. NO. 325
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`taking steps and employment in sales, in housing
`accommodation rentals, in admissions to giving
`preference to persons of its own denomination or for
`making decisions to promote its religious principles.
`So, your Honor, it is true that St. Barnabas
`or St. John's or Fordham cannot, as a public
`accommodation, refuse to give equal benefits and
`services to people because of a protected reason.
`That is impermissible under the New York City Human
`Rights Law, and that is the determination of the
`council. What they can do is, as a religious, much
`broader 8-107 12 entity, an institution, an
`organization, any of these things controlled by, in
`connection with, they can make housing decisions.
`They can make, you know, all of the other types of
`employment, sales, rental, admission decisions. So
`that reflects a very careful distinction by council
`to protect the religious principles of those broader
`group of organizations with respect to co-religionist
`as to who they might want to hire or admit, but not
`for public accommodations, your Honor. Public
`accommodations has a narrower statutory term. The
`only kind of exemption that is available for public
`accommodations is of the religious corporation. And
`that is a narrower term.
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`FILED: NEW YORK COUNTY CLERK 02/17/2022 11:31 AM
`NYSCEF DOC. NO. 325
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`INDEX NO. 154010/2021
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`RECEIVED NYSCEF: 02/17/2022
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`THE COURT: So you're telling me that yeshiva
`is not religious, and also it divested itself from
`the seminary a long time ago, and it's only
`educational?
`MS. ROSENFELD: No, your Honor. I am saying
`that Yeshiva University has a wonderful religious
`tradition and heritage, an affiliation and culture
`that my clients very much have benefited from and are
`proud to be a part of. But I am saying that the City
`Council determined, in drafting the statute, that a
`religious culture or affiliation or identity is not
`the legal status that exempts you from the Public
`Accommodations Law. I am saying that council's
`determination is that a narrower group, a narrower
`group of entities is entitled to say we're not public
`accommodations, and you don't have to let us in
`because we're -- maybe we're a synagogue. And Jewish
`people are here. And Jewish people are members. And
`we're not going to force a synagogue to be treated as
`a public accommodation. That's very different

