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Codd v. Velger | 429 U.S. 624 (1977)

The Constitution guarantees that no person shall be deprived of their liberty without due process of law. However, not all governmental deprivations implicate due process. For example, reputational harm, standing alone, is insufficient. In Codd versus Velger, the United States Supreme Court considered whether a discharged employee’s liberty interest was violated after his employer made stigmatizing claims without offering the employee an opportunity to contest the claims.

Elliot Velger worked as a patrolman for the New York City Police Department. During Velger’s probationary period, he allegedly put a revolver to his head in an apparent suicide attempt. Following this incident, the city dismissed Velger.

Velger then began working for the Penn-Central Railroad Police Department. An officer from the railroad reviewed the city’s personnel file on Velger and determined that Velger had been dismissed after his alleged suicide attempt. The officer attempted to verify this story, but the city wouldn’t cooperate. As a result, the railroad dismissed Velger.

Velger brought suit against the city police department’s commissioner, Michael Codd. Velger claimed that he was entitled to a hearing before dismissal due to the stigmatizing effect of the information in his personnel file. Velger also sought damages for injuries to his reputation and future employment opportunities.

The district court considered whether Velger’s dismissal imposed a stigma that foreclosed his freedom to take advantage of future employment opportunities. The court concluded that Velger hadn’t demonstrated that he was stigmatized. Velger appealed. The Second Circuit reversed, holding that the district court’s finding of no stigma was clearly erroneous. The United States Supreme Court granted cert.

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