Posts Tagged ‘Law’
California, Chipotle Mexican Grill, Elizabeth A. Grimes, Fast food restaurant, Government, Judicial Branch, Law, Madeleine Flier, O’Connell, Supreme Court, United States
In Certification, Class Actions, Meal and Rest Breaks on October 5, 2010 at 5:25 am
In a putative meal and rest break class action, the Second District denied class certification, holding that “employers must provide employees with breaks, but need not ensure employees take breaks.” Hernandez v. Chipotle Mexican Grill, Inc., No. B216004, 2010 WL 3789012 (Cal. Ct. App. 2d Dist. Sept. 30, 2010). Plaintiff and appellant Rogelio Hernandez (Hernandez) Hernandez filed a class action lawsuit against Chipotle Mexican Grill, Inc. (Chipotle) alleging that Chipotle violated labor laws by denying employees meal and rest breaks. Id. *1. The trial court denied class certification, and plaintiff appealed. Id. The Court of Appeal affirmed, holding that it would not be “practical” to require “enforcement of meal breaks” since it “would place an undue burden on employers whose employees are numerous or who … do not appear to remain in contact with the employer during the day.” Id. *7. “It would also create perverse incentives, encouraging employees to violate company meal break policy in order to receive extra compensation under California wage and hour laws.” Id.
Background
Chipotle is a fast food restaurant chain, and all employees are nonexempt, except for the salaried position of “restaurateur.” Id. *1. Chipotle’s written policies require managers to provide employees with meal and rest breaks, and employees are not permitted to self-initiate breaks and are prohibited from skipping breaks. Id. Chipotle directs employees to record their breaks. Read the rest of this entry »
Appeal, Arbitration, California Supreme Court, Contract, Federal Arbitration Act, Judge Kumar, Law, Legal Information, Paul Turner, Sandy R. Kriegler, United States, United States Supreme Court
In Arbitration, Class-wide Arbitration on October 4, 2010 at 8:55 am
The Second District compelled a class action plaintiff to arbitrate his individual claims in Maiorano v. Professional Community Management, Inc., No. B220127, 2010 WL 3786721 (Cal. Ct. App. 2d Dist. Sept. 30, 2010). Defendant, Professional Community Management, Inc., appealed from an order denying its petition to compel arbitration of a putative class action filed by plaintiff, Ray A. Maiorano. Id. *1. The Second District held that “based solely on the parties’ agreement, we conclude they cannot be compelled to arbitrate on a class basis”, but it directed the trial court to compel arbitration of plaintiff’s individual claims. Id. The court reasoned that the “presence of a provision limiting arbitration to individual rather than joined or representative claims did not present a basis upon which the trial court could conclude the present arbitration agreement was permeated by an unlawful purpose.” Id. *4.
Background
Plaintiff brought a class action complaint alleging violations of statutory meal and rest breaks, wage reporting and overtime requirements, and unlawful and unfair business practices. Id. *2. Plaintiff also asserted a cause of action for penalties under the Labor Code Private Attorneys General Act of 2004–Labor Code sections 2698 and 2699. Id. Defendant filed a petition to compel arbitration. The trial court denied defendant’s petition, ruling that: Read the rest of this entry »
California, Charles R. Breyer, Class Notice, Consuelo B. Marshall, Law, Lawsuit, Legal Information, Los Angeles, New York Times, Ninth Circuit, Stephen S. Trott, United States Court of Appeals for the Ninth Circuit, William A. Fletcher
In 23(b)(2) Class, Class Actions, Class Notice, Collective Action, Exemptions, FLSA, Jury, Meal and Rest Breaks, Opt-in, Opt-out, Overtime, Preemption, Professional, Trial, Unfair Competition Law on September 30, 2010 at 12:14 am
On Monday, the U.S. Court of Appeals for the Ninth Circuit affirmed in “all respects” the trial court’s grant of partial summary judgment to plaintiffs, a judgment after jury and bench trials, and an award of attorney’s fees to plaintiffs. Wang v. Chinese Daily News, Inc., Nos. 08-55483, 08-56740, — F.3d —-, 2010 WL 3733568 (9th Cir. Sept. 27, 2010). Among other things, the Ninth Circuit held that plaintiff newspaper reporters were non-exempt. (Thank you to Randy Renick for bringing this case to my attention.)
Background
Employees of Chinese Daily News, Inc. (“CDN”), a Chinese-language newspaper, filed suit against CDN on behalf of current, former, and future CDN employees based in CDN’s San Francisco and Monterey Park (Los Angeles), California locations. Id. *1. Plaintiffs claimed violations of the FLSA, California’s Labor Code, and California’s Unfair Competition Law, Cal. Bus. & Prof. Code § 17200, alleging that employees were made to work in excess of eight hours per day and forty hours per week. Id. Read the rest of this entry »
California, Fair Labor Standard Act, Frank C. Damrell, Jr., Law, Legal Information, New York, Overtime, United States, United States District Court
In Collective Action, First to File, FLSA, Transfer on September 29, 2010 at 5:25 am
The United States District Court for the Eastern District of California denied defendant employer’s motion to transfer pursuant to the “first-to file” rule. Wilkie v. Gentiva Health Services, Inc., Civ. No. 10-1451 FCD/GGH, 2010 WL 3703060 (E.D. Cal. Sept. 16, 2010) (slip op.). Plaintiff filed a putative nation-and California-wide class action/collective action against plaintiff’s former employer Gentiva for alleged violations of the Federal Labor and Standards Act (“FLSA”) and the California Labor Code § 201 et seq. for: (1) misclassification as exempt from overtime pay and failure to pay overtime; (2) willful failure to pay wages due within the time specified by the Code; (3) violation of California Wage Order No. 4 for knowingly and intentionally failing to provide timely, accurate, itemized wage statements including request for an injunction and damages; (4) failure to give proper rest and meal breaks; and (5) violation of California’s Business & Professions Code § 17200 et seq. Id. *1
A prior FLSA collective action and New York and North Carolina state law class action against Gentiva was filed in the United States District Court for the Eastern District of New York, entitled Rindfleisch, et al. v. Gentiva Health Services, Inc., No. CV10-2111 (E.D.N.Y.) (“Rindfleisch”). Defendant moved to transfer plaintiff’s complaint under the “first-to-file rule,” on the ground plaintiff’s claims are the subject of the Rindfleisch action. Plaintiff opposed the motion, arguing the parties and claims are not substantially similar in the two actions and other equitable factors militate against transfer under the first-to-file rule. Id. The court denied Gentiva’s motion. Id. Read the rest of this entry »
California, California Supreme Court, Gentry, Law, Lawrence K. Karlton, Rent-A-Center, Stolt-Nielsen, Supreme Court, Supreme Court of the United States, United States, United States District Court
In Arbitration, Class-wide Arbitration on September 27, 2010 at 5:20 am
United States District Court for the Eastern District of California rejected defendant’s argument that Stolt-Nielson preempted Gentry, and the court held that a class-wide arbitration agreement was unenforceable as against an unpaid wage and overtime plaintiff. Mathias v. Rent-A-Center, Inc., Civ. No. S-10-1476 LKK/KJM, 2010 WL 3715059 (E.D. Cal. Sept. 15, 2010) (slip op.).
Background
Ryan Mathias (“Mathias” or “plaintiff”) was employed by Rent-A-Center, Inc. (“RAC” or “defendant”) as an Assistant Manager, a position that was classified as a non-exempt or hourly position. Id. *1. As a condition of employment, plaintiff executed an arbitration agreement (“Agreement”), which Agreement contained a class action waiver and excluded arbitration private attorney general actions. Id. Plaintiff filed a class action alleging eight claims arising from his employment with defendant, including claims for unpaid wages and overtime, unpaid rest and meal period premiums, and penalties arising from non-compliant wage statements under the California Labor Code and California Business and Professions Code. Id. Read the rest of this entry »
Breach of contract, California, California Supreme Court, Class action, Employment, Irma E. Gonzalez, Law, Michael Jordan, Supreme Court of the United States
In 23(b)(3) Class, Class Actions, Contract, Paystub, Uniform, Vacation, Wages on September 24, 2010 at 2:20 pm
The Southern District of California granted class certification in a vacation, uniform, paycheck, wage and contract class action. Lopez v. G.A.T. Airline Ground Support, Inc., No. 09cv2268-IEG(BGS), 2010 WL 3633177 (S.D. Cal. Sept. 13, 2010) (slip op.).
Background
Former employees of Defendant G.A.T. Airline Ground Support, Inc. (“GAT”) sued for systematic wage and hour violations in violation of federal and state law. Id. *1. GAT provides services to airlines, including ground transportation, aircraft maintenance, and cargo operations management. Id. The four named Plaintiffs are former ramp agents employed by GAT in California. Id. Read the rest of this entry »
California, Financial Services, Law, Lawyers and Law Firms, Martin J. Jenkins, Peter J. Siggins, Recreation, Services, United States, Wall Street, William R. McGuiness
In Alter Ego Liability, Attorney's Fees, Labor Code 218.5 on September 24, 2010 at 1:06 pm
The Court of Appeal for the First District held that an officer’s failure to pay wages and commissions to an employee, while paying himself and his wife during the same period, is not the type of conduct that requires piercing the corporate veil. Wymore v. Minto, No. A125476, 2010 WL 3687511 (Cal. Ct. App. 1st Dist. Sept. 22, 2010).
Nor do we see any merit to appellants’ various arguments that it would work an injustice to allow respondent to hide behind EWM because it was his decision, as a director and officer of EWM, not to pay appellants wages and commissions in 2007, while paying himself and his wife during the same calendar year. The fact that respondent, as the president of EWM, may have intentionally failed to pay appellants is not the type of conduct that requires piercing the corporate veil. Read the rest of this entry »
California, California Supreme Court, Class action, Economic development, Hotel, Hyatt, Law, Lawsuit, Legal Information, Privacy, Radhika Sainath, Randy Renick, Real estate, Swimming pool, United States, Victor B. Kenton
In Class Discovery, Discovery, Opt-out on September 21, 2010 at 6:42 pm
The Central District granted plaintiff’s motion to compel disclosure of the name and contact information (full name, last known addresses and telephone numbers) for class members of a putative class action for unpaid commission wages. Celia Alvarez, et al. v. The Hyatt Regency Long Beach, et al., CV 09-04791-GAF (VBKx). According to the court, the class was defined as all non-exempt employees for the period commencing May 7, 2005. (Thank you to Radhika Sainath for alerting me to the decision.)
Defendants contended that the information was not relevant for class certification and invaded the privacy rights of the putative class. Plaintiffs offered to enter into a protective order and offer that the information be given to a third party who would send the class members an opt-out letter. Defendant rejected these proposal. Read the rest of this entry »
Allegedly Unethical Firms, Business, Cable television, California, Comcast, Law, Legal Information, Susan Illston, TriWire Engineering Solutions
In Class Actions on September 20, 2010 at 11:36 am

- Image by Kat… via Flickr
The Northern District of California granted a motion to strike aiding and abetting allegations from an overtime class action complaint. Toy v. Triwire Engineering Solutions, Inc., No. C 10-1929 SI, 2010 WL 3448535 (N.D. Cal. Sept. 1, 2010) (slip op.).
Background
Plaintiff Jason Toy filed a putative class action in state court against defendants TriWire Engineering Solutions, Inc., Comcast Corporation, and Comcast Cable Communications Management LLC, alleging that TriWire and Comcast employed Toy as a cable technician to install, disconnect, and upgrade cable television and computer services for consumers throughout California. Id. *1. Plaintiff contended he was not exempt from overtime requirements, and was not paid overtime in accordance with the law. Id. Read the rest of this entry »
Business, California, Employment, Labour law, Law, Merrill Lynch, Roger T. Benitez, San Diego, United States
In Securities, Wages on September 16, 2010 at 6:40 pm
In Callan v. Merrill Lynch & Co., Inc., No. 09 CV 0566 BEN (BGS), 2010 WL 3452371 (S.D. Cal. Aug. 30, 2010) (slip op.), the Southern District held that compensation plans that contained cliff vesting schedules in which awards are forfeited if employment terminates before the awards are vested did not constitute unpaid wages under the Labor Code.
Facts
Former employees of the Defendants Merrill Lynch & Co., Inc. and Merrill, Lynch, Pierce, Fenner & Smith, Inc. participated in three of Merrill Lynch’s employee compensation packages. Id. *1. Plaintiffs alleged they were required to accept part of their wages in the form of “awards” under the plans. Id. Plaintiffs alleged the plans contain forfeiture provisions that constitute unlawful conversion and violate California’s Labor Code and Unfair Competition Law. Id. Read the rest of this entry »