Abundiz Carranza v. VBFS, Inc.

CourtDistrict Court, S.D. New York
DecidedApril 2, 2021
Docket1:20-cv-02635-PAE
StatusUnknown

This text of Abundiz Carranza v. VBFS, Inc. (Abundiz Carranza v. VBFS, Inc.) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Abundiz Carranza v. VBFS, Inc., (S.D.N.Y. 2021).

Opinion

USDC SDNY DOCUMENT UNITED STATES DISTRICT COURT ELECTRONICALLY FILED SOUTHERN DISTRICT OF NEW YORK DOC #: DATE FILED:_4/2/2021 ABUNDIZ CARRANZA, on his own behalf and on behalf of others similarly situated, Plaintiff, 20-cv-02635 (PAE) (KHP)

-against- OPINION & ORDER

VBFS, INC. d/b/a M & M MARKET DELI et al., Defendants.

----X KATHARINE H. PARKER, United States Magistrate Judge: Plaintiff Fili Abundiz Carranza, individually and on behalf of others similarly situated, brings this action against Defendant VBFS Inc. d/b/a M & M Market Deli (“M&M”) and against Virgilio Branco and Fernando Pinho Sanches, the former owners and managers of M&M (and collectively with M&M, “Defendants”). Plaintiff claims that Defendants violated the Fair Labor Standards Act (“FLSA”), 29 U.S.C. §§ 201 et seq. and the New York Labor Law (“NYLL”), by failing to (1) pay Plaintiff and other non-managerial employees the statutory minimum wage under the FLSA and NYLL, (2) pay Plaintiff and other non-managerial employees for overtime hours worked, and (3) satisfy other notice and wage statement requirements under the NYLL. Plaintiff further claims that Defendants breached an implied contract for reimbursement of the costs of maintaining Plaintiff's bicycle, which Plaintiff used to carry out his job as a deliveryman. Plaintiff has moved for conditional certification of his FLSA claims as a collective action and for leave to disseminate notice to the putative FLSA collective, pursuant to 29 U.S.C. § 216(b). In connection with the motion, Plaintiff asks that the Court compel Defendants to

produce identifying information for former employees so that the proposed notice may be efficiently sent to all individuals who worked in non-managerial roles at M&M for the three- year period preceding the filing of the Complaint. Carranza also requests that he be allowed to

use a variety of methods to deliver the proposed notice to the potential opt-in plaintiffs. Further, Plaintiff moves to extend the opt-in period to 90 days and asks that the statute of limitations for the potential opt-in Plaintiffs be equitably tolled for the duration of the opt-in period. While Defendants do not oppose conditional certification of the FLSA collective at this

time, they oppose several terms related to the conditional certification and Plaintiff’s proposed manner and method of providing notice to potential opt-in plaintiffs. Specifically, Defendants request: (1) that the definition of the proposed collective should only include former employees, reflecting the fact that M&M permanently closed on February 28, 2020 and has no current employees; (2) that the conditional certification should provide for a 60-day opt-in period, as opposed to the 90-day opt-in period suggested by Plaintiff; (3) that equitable tolling

of the FLSA statute of limitations is inappropriate in this case; (4) that Defendants not be required to post the notice of pendency at M&M’s former premises; and (5) that the Court deny several of Plaintiff’s proposed methods of disseminating the notice of pendency. BACKGROUND Plaintiff Fili Abundiz Carranza worked for Defendants as a deliveryman from approximately 1990 to February 28, 2020. (ECF No. 1 ¶ 7.) Carranza contends that during this

2 time he and other non-managerial M&M employees were subjected to, and harmed by, Defendants’ willful violations of the FLSA and the NYLL. Plaintiff submitted a sworn affidavit in conjunction with the instant motion stating that

Defendants employed a consistent practice and policy of not paying any of their employees minimum wage or overtime pay, as is required under the FLSA and the NYLL. (ECF No. 28-5). Instead, Carranza claims he was paid a flat fee of $300 per week from 2014 until 2018, a weekly fee of $600 throughout 2019, and $800 per week from January 1, 2020 until January 23, 2020, despite regularly working over 40-hour work weeks. (Id. ¶¶ 10-13.) Throughout his

employment, Carranza alleges that he was paid in cash on a weekly basis, did not receive any required wage statements, and was never informed of his hourly rate. (Id. ¶¶ 16-18.) Furthermore, despite consistently working in excess of 40 hours per week, Carranza claims that he was not paid overtime or New York’s spread of hours premium for shifts lasting longer than ten hours. (Id. ¶¶ 22-23.) Carranza also claims that, during the period from March 28, 2014 to January 23, 2020, he worked from 8:00 AM to 7:00 PM without a break, and that at all relevant

times he worked without a fixed time for lunch or dinner. (Id. ¶¶ 5, 8.) Finally, Plaintiff alleges that during the relevant period Defendant required their deliverymen – Carranza among them – to bear all out-of-pocket expenses for purchasing and maintaining their delivery vehicles. For instance, Carranza notes that Defendants required him to pay the maintenance costs for his bicycle. (ECF No. 28-1 ¶¶ 117-18.) Carranza also submitted a spreadsheet showing the name, position, work period, work

schedule, and pay of many of his coworkers. (ECF No. 28-5 ¶ 25.) This spreadsheet shows at 3 least six other employees who, Plaintiff alleges, were similarly underpaid by Defendants during the relevant period. Plaintiff further alleges that the individual Defendants – Virgilio Branco and Fernando

Pinho Sanches – owned and operated M&M. According to Carranza, these defendants “(1) had the power to hire and fire employees, (2) supervised and controlled employee work schedules or conditions of employment, (3) determined the rate and method of payment, and (4) maintained employee records at [M&M].” (ECF No. 28-1 ¶¶ 12, 17.) LEGAL STANDARD

The FLSA provides that "any one or more employees" may bring an action against an employer "for and in behalf of himself or themselves and other employees similarly situated." 29 U.S.C. § 216(b). To become parties to such an action, employees other than the named plaintiff(s) must opt in by filing written consents in the court in which the action is brought. Id. "Although they are not required to do so by FLSA, district courts 'have discretion, in appropriate cases, to implement [§ 216(b)] . . . by facilitating notice to potential plaintiffs' of the pendency

of the action and of their opportunity to opt-in as represented plaintiffs." Myers v. Hertz Corp., 624 F.3d 537, 554 (2d Cir. 2010) (quoting Hoffmann-La Roche Inc. v. Sperling, 493 U.S. 165, 169 (1989)). Courts in this Circuit apply a two-step method for certification of a collective action under Section 216(b) of the FLSA. In the first step – known as "conditional certification" – the named plaintiff must make a "'modest factual showing' that they and potential opt-in plaintiffs

'together were victims of a common policy or plan that violated the law.'" See Myers, 624 F.3d 4 at 55 (quoting Hoffmann v. Sbarro, Inc., 982 F. Supp. 249, 261 (S.D.N.Y. 1997)). If the plaintiff can make such a showing, the trial court may send a notice to potential opt-in plaintiffs. Id. At the second stage, which typically occurs after discovery has been completed, the court

determines whether the plaintiffs who opted in are in fact "similarly situated" to the named plaintiff(s). See Myers, 624 F.3d at 555. If not, the court may decertify the collective action and dismiss the opt-in plaintiffs' claims without prejudice.

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