Justia California Court of Appeals Opinion Summaries

Articles Posted in Labor & Employment Law
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Plaintiff filed claims for discrimination and retaliation against her former employer, defendant and real party in interest Centinela Skilled Nursing & Wellness Centre West, LLC. The trial court granted Defendant’s motion to stay litigation and compel the parties to proceed in arbitration. When Defendant failed to pay its arbitration fees by a statutory deadline, Plaintiff moved the trial court to lift the stay of litigation and allow her to proceed in court. The trial court denied the motion, and Plaintiff filed the instant petition for a writ of mandate directing the trial court to reverse that denial.   The Second Appellate District granted the petition for writ of mandate. The court directed g the trial court to (1) vacate its order denying Plaintiff’s motion under Code of Civil Procedure sections 1281.97 and 1281.99; (2) enter an order lifting the stay of litigation and allowing Plaintiff to bring her claims in court; and (3) conduct further proceedings on Plaintiff’s motion for sanctions under section 1281.99.   The court agreed with Plaintiff that, based on the plain language as well as the legislative history of section 1281.97, the Legislature intended courts to apply the statute’s payment deadline strictly. Thus, under section 1281.97, subdivision (a)(1), Defendant was in material breach of the arbitration agreement even though, as the trial court found, the delay in payment was inadvertent, brief, and did not prejudice Plaintiff. Further, the court rejected Defendant’s argument that the FAA preempts section 1281.97. View "Espinoza v. Super. Ct." on Justia Law

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Rodriguez sued Parivar under California’s labor laws, alleging that Parivar misclassified her as an exempt employee, while she “spent the majority of her time performing the exact same duties as non-exempt employees” at Parivar's restaurant. As an affirmative defense, Parivar argued that under wage order 5-2001’s “executive exemption” Rodriguez was exempt from overtime, meal period, and rest period requirements. A jury rejected Parivar’s executive exemption defense; finding, by a 9-3 vote, Parivar failed to prove that, as the special verdict question put it, “Rodriguez performed exempt duties more than half of the time.” The jury found that Rodriguez was owed $26,786.54 in overtime pay. The court awarded $11,570.21 in prejudgment interest and $932,842.63 in attorney fees and litigation costs.The court of appeal reversed. The narrow framing of the special verdict question effectively barred Parivar from proving its executive exemption defense, allowing the jury to find liability without addressing Parivar’s realistic expectations for how Rodriguez should have allocated her time. Given the 9-3 vote that Parivar did not prove Rodriguez spent more than half of her time performing exempt duties and given the heavily-contested question of whether she spent that time performing duties that meet the test of the executive exemption, it is reasonably probable that the jury would have reached a result more favorable to Parivar absent the special verdict error. View "Rodriguez v. Parivar, Inc." on Justia Law

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Plaintiff-appellant Eleni Gavriiloglou brought this action against her former employer and its alleged alter egos. She asserted, among other things: (1) individual claims for damages based on Labor Code violations; and (2) a representative claim for civil penalties for Labor Code violations under the Private Attorneys General Act (PAGA). Gavriiloglou had signed an arbitration agreement, so the trial court compelled her to arbitrate her non-PAGA claims and stayed her PAGA claim while she did. The arbitrator found that the alleged Labor Code violations had not occurred. The trial court then granted judgment on the pleadings against Gavriiloglou on her PAGA claim, ruling that the arbitrator’s findings established that she was not an “aggrieved employee” within the meaning of PAGA, and therefore that she lacked standing to bring a PAGA claim. Gavriiloglou appealed, contending: (1) the trial court erred by denying her petition to vacate the arbitration award; and (2) the trial court erred by ruling that the arbitration award barred her PAGA claim. The Court of Appeal found that the trial court properly denied the motion to vacate the arbitration award. However, the Court also held that the arbitration did not bar the PAGA claim because Gavriiloglou was acting in different capacities and asserting different rights. Accordingly, judgment was reversed and the matter remanded for further proceedings. View "Gavriiloglou v. Prime Healthcare Management" on Justia Law

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Petitioner filed a complaint against Comprehensive Print Group LLC and its subsidiary American Pacific Printers College, Inc. for pregnancy and gender and sex-and-gender-based harassment in violation of FEHA; interference with her leave rights and retaliation for attempting to exercise those rights under the Pregnancy Disability Leave Law (PDLL) and the California Family Rights Act (CFRA); failure to prevent harassment, discrimination and retaliation in violation of FEHA and wrongful termination in violation of public policy.   Respondent Los Angeles Superior Court, in a terse order, granted Malloy’s employers’ motion for change of venue, concluding venue was proper only in Orange County. The Second Appellate District disagreed and granted Petitioner’s petition for writ of mandate and order respondent superior court to vacate its order granting the motion for change of venue and to enter a new order denying the motion, permitting Petitioner’s case to proceed in Los Angeles County.   The court reasoned that none of the real parties presented any evidence in the trial court disputing those allegations that Petitioner always worked from Orange County and would have been immediately required to return to the company’s Orange County office if she had not been fired. Further, Petitioner’s cause of action for interference with her PDLL rights—and, therefore, all her causes of action arising from the same set of operative facts— was properly filed in Los Angeles County. View "Malloy v. Superior Court" on Justia Law

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In this employment matter, Plaintiff appealed from the trial court’s grant of summary judgment in favor of her former employer, Defendant and respondent Foster Poultry Farms LLC (Foster Farms), on her claims of discrimination based on disability and race/national origin, and retaliation, under the Fair Employment and Housing Act (FEHA) and Labor Code section 1102.5. The principal issue on appeal is whether a decision by the Workers’ Compensation Appeals Board (WCAB) denying Plaintiff’s claim for disability discrimination under Labor Code section 132a has res judicata or collateral estoppel effect in the instant action.   The Fifth Appellate district reversed the trial court’s judgment. The court held that the trial court’s grant of summary judgment was based on giving collateral estoppel effect to the WCAB decision. The court that Foster Farms is not entitled to summary adjudication, based on application of the collateral estoppel doctrine, on Plaintiff’s claims for disability discrimination, failure to provide reasonable accommodation, and failure to engage in an interactive process. Foster Farms’ argument that summary adjudication is warranted, in light of the WCAB decision, on Plaintiff’s remaining claims for failure to take all reasonable measures to prevent discrimination under FEHA, retaliation for asserting FEHA rights, and retaliation under Labor Code section 1102.5, is unavailing. View "Kaur v. Foster Poultry Farms LLC" on Justia Law

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Bay Area Rapid Transit District (BART) Cash Handlers are supervised by Foreworkers. A labor agreement describes the selection of Foreworkers by an Evaluation Committee, comprised of three union representatives and three management representatives. Eight criteria, with assigned point values, are used. Each qualified applicant takes a written test and completes an oral interview with the Committee.In 2014, Plaintiffs sued BART alleging racial discrimination under the California Fair Employment and Housing Act (FEHA) by not promoting them to Foreworker in favor of less experienced non-African-Americans. Under a 2016 settlement, Plaintiffs released their employment-related claims; BART paid them a certain sum, admitting no liability. In the following years, the Evaluation Committee appointed four new Foreworkers; each had received the highest total point scores. No Plaintiff was promoted. Plaintiffs again sued BART under FEHA, alleging disparate treatment and disparate impact race discrimination.The court of appeal affirmed summary judgment in favor of BART. There was evidence of a non-discriminatory reason for not promoting Plaintiffs (selection process scores). Plaintiffs failed to submit evidence that BART’s stated reason for not promoting them was untrue or that racial bias against African-Americans drove the promotion decisions. Plaintiffs did not present evidence of a statistically significant disparity between the percentage of qualified African-American applicants for the Foreworker position and the percentage of African-Americans promoted to Foreworker. View "Arega v. Bay Area Rapid Transit District" on Justia Law

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Plaintiff, surgeon Aram Bonni sued his employers, defendants Mission Hospital Regional Medical Center and St. Joseph Hospital of Orange, as well several other related entities and physicians (collectively, the Hospitals) for retaliation under California Health and Safety Code section 1278.5. Bonni alleged he made whistleblower complaints, which caused the Hospitals to retaliate against him by, among other things, suspending his medical staff privileges and initiating peer review proceedings to evaluate his privileges. In response, the Hospitals filed an anti-SLAPP motion, arguing Bonni’s retaliation cause of action arose from the peer review proceedings, which were protected activity, and that his claims had no merit. The trial court agreed and granted the motion in its entirety. Bonni appealed. The Court of Appeal reversed, finding Bonni’s retaliation claim did not arise from protected activity. The California Supreme Court then granted review, determining Bonni’s retaliation cause of action was composed of 19 distinct retaliation claims. Of these claims, it found eight arose from protected activity while the remainder did not. It remanded the matter back to the Court of Appeal to determine whether Bonni had shown a probability of prevailing on those eight claims. On remand, the appellate court concluded Bonni has not met the requisite burden because the eight claims at issue were all precluded by the litigation privilege. Based on this finding and the Supreme Court’s ruling, the Court of Appeal reversed the trial court’s order granting the Hospitals’ anti-SLAPP motion in its entirety. The trial court was directed to enter an order granting the motion as to the eight claims at issue and denying it as to the remaining retaliation claims. View "Bonni v. St. Joseph Health System" on Justia Law

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With the agreement of her supervisor, Johar, a salesperson, left work for about a week to care for a terminally ill relative. While she was away her employer (SWS) decided she had quit. Upon her return, SWS stated business was slow and gave her no new sales appointments. Johar sought unemployment benefits, citing a “temporary layoff.” SWS denied laying Johar off. While conceding that she left with her supervisor’s approval, SWS claimed that Johar’s failure to provide a return date or otherwise communicate with her supervisor while she was away amounted to a voluntary quit. The Employment Development Department agreed, found Johar ineligible for unemployment benefits, ordered reimbursement of benefits improperly paid, and imposed a penalty for willful misrepresentation. The California Unemployment Insurance Appeals Board (CUIAB) affirmed.After Johar sought judicial review, CUIAB confessed error for failing to consider new evidence discovered by Johar while the administrative appeal was pending. The court dismissed the case without reaching the merits. The court of appeal reversed. Johar was entitled to relief on the existing record. She left her job in emergency circumstances with the employer’s approval, thus for good cause; an employee who leaves work for good cause is presumed to have not voluntarily quit. SWS’ evidence did not establish that Johar positively repudiated her obligation to return in clear terms. View "Johar v. California Unemployment Insurance Appeals Board" on Justia Law

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Defendants are OS Restaurant Services, LLC and Bloomin’ Brands, Inc. Plaintiff worked there as a server. Plaintiff sued, alleging Defendants regularly failed to give Plaintiff her full uninterrupted rest periods, and that Defendants wrongfully terminated Plaintiff in retaliation.   The court explained that the Labor Code mandates an award of reasonable attorney fees to the prevailing party in any action brought for the nonpayment of wages if any party requests attorney fees at the initiation of the action. Here, the trial court awarded Plaintiff $280,000 in attorney fees under section 218.5, and the employer appealed the award. The Second Appellate District affirmed the award of attorney fees   In the court’s original opinion, the court held that an action brought for failure to provide rest breaks or meal periods is not an action brought for the nonpayment of wages. The court also held that a plaintiff could not recover penalties for waiting time and wage statement violations based on claims of rest break and meal break violations, and so could not recover attorney fees based on those penalties.   In Naranjo v. Spectrum Security Services, Inc., the Supreme Court held otherwise. That court concluded that “extra pay for missed breaks constitutes ‘wages’ that must be reported on statutorily required wage statements during and paid within statutory deadlines when an employee leaves the job. After the issuance of its opinion, the Supreme Court transferred this case to the Second Appellate District with directions to reconsider its opinion in light of Naranjo. Having done so, the court affirmed the award of attorney fees. View "Betancourt v. OS Restaurant Services, LLC" on Justia Law

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Plaintiff-appellant Steven Rodgers, a correctional sergeant employed by the Department of Corrections and Rehabilitation (CDCR), appealed the denial of his writ petition seeking to set aside the State Personnel Board’s (SPB) decision to reduce his salary by 10 percent for two years as a penalty for an incident that occurred in July 2017 while he was supervising a contraband surveillance watch shift at Pelican Bay State Prison. Rodgers argued the factual findings the SPB adopted after his administrative hearing were: (1) not supported by substantial evidence; and (2) significantly different from those alleged in the notice of adverse action (NOAA), and as a result, SPB’s decision violated his due process right to notice of the charges against him. After review, the Court of Appeal agreed with his second contention and therefore reversed the decision. View "Rodgers v. State Personnel Board" on Justia Law