YAKIMA — In a case closely watched by farm-industry groups, a $2 million federal-court damage award against two Lower Valley growers has effectively been put on hold until several state issues are heard by the Washington state Supreme Court.

The 9th U.S. Circuit Court of Appeals on Monday asked the state Supreme Court to hear questions that deal with provisions of the state Farm Labor Contractor Act.

In so doing, the federal appeals court withdrew its decision granting 600 workers damages against the now-defunct farm-labor contractor Global Horizons and Green Acre Farms and Valley Fruit Orchards for unlawfully displacing local farmworkers with guest workers from Thailand.

The appeals panel in August granted the maximum amount of $500 per worker per violation, which growers called unfairly punitive. They argue the judge had the discretion to award a lower amount of damages.

The growers, backed by several fruit-industry organizations, sought a rehearing before the 9th Circuit, leading to Monday's certification of the issues to the state's high court.

"We applaud the ruling, and, of course, agree that the meaning of a law (the Washington Farm Labor Contractor Act) that has the potential to impose such drastic penalties on Washington's farmers should be determined by the Washington judiciary," grower attorney Brendan Monahan said in a statement.

Lori Isley, a Columbia Legal Services attorney representing the workers, said Monday she will review options available with representatives of the class of workers.

The case stems from Los Angeles-based Global Horizons' move to fire local workers at the two orchard companies in 2004, replacing them with guest workers from Thailand. The fired workers sued, alleging violations of the state Farm Labor Contractor Act and the federal Migrant and Seasonal Agricultural Workers Protection Act.

A U.S. District Court judge granted the workers more than $1.8 million in damages. A different federal judge who took over the case reduced the award to $237,000, prompting Columbia Legal Services to appeal to the San Francisco-based 9th Circuit.

A three-judge panel reversed the district court, restoring the award at the maximum amount allowed under the Farm Labor Contractor Act and ordered the two farms to pay attorneys' fees.

Global Horizons served as the labor contractor for the orchards, which argue they had no control over the hiring and firing process.