We granted review to address the standard for an employers liability in supervisor sexual harassment cases under the Tennessee Human Rights Act following the recent United States Supreme Courts decisions in Burlington Indus. Inc. v. Ellerth, 118 S.Ct. 2257 (1998), and Faragher v. City of Boca Raton, 118 S.Ct. 2275 (1998). Upon review, we adopt a standard consistent with Ellerth and Faragher and hold that an employer is vicariously liable for sexual harassment by a supervisor. An employer, however, may raise an affirmative defense to liability or damages when no tangible employment action has been taken. The decision of the Court of Appeals is affirmed as modified.
