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Posts Tagged ‘Merrill Lynch’

Northern District Rejects Stay of Meal and Rest Break Action Pending California Supreme Court’s Decision in Brinker v. Superior Court

In Meal and Rest Breaks, Stay on October 11, 2010 at 6:56 am
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The Northern District rejected defendant’s motion for stay of a meal and rest break action where the primary focus of complaint was unrelated to the break claims.  Murphy v. J.B. Hunt Transport Services, Inc., No. C 10-01568 WHA, 2010 WL 3911786 (N.D. Cal. Oct. 5, 2010) (slip op.).  Defendant J.B. Hunt Transport, Inc., moved to stay a case alleging three claims for discrimination and one claim for nonpayment of wages for regular meal-and-rest periods.  Id. *1.  Defendant’s stay motion sought a stay pending the resolution of a case pending before the California Supreme Court, Brinker Restaurant Corp. v. Superior Court, 196 P.3d 216 (Oct. 22, 2008), in which the court will decide whether the California Labor Code requires employers to affirmatively ensure that employees take rest and meal breaks. Id.

The court recited the standard for a stay of federal court proceedings as follows:

The proponent of a stay bears the burden of establishing its need. Clinton v. Jones, 520 U.S. 681, 708 (1997). Read the rest of this entry »

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Southern District Holds That Compensation Received But Later Forfeited Under Cliff Vesting Schedule in Mandatory Investment Plan, Are Not Unpaid Wages

In Securities, Wages on September 16, 2010 at 6:40 pm
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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 »