Adam Gomez v. Metro Air Service Inc.

District Court, C.D. California·Decided February 7, 2023·No. 2:22-cv-04979·Unknown

Opinion

Case 2:22-cv-04979-SP Document 31 Filed 02/07/23 Page 1 of 1J5S - P6 a(gReE IMD A#:N27D9)

ADAM GOMEZ, ) Case No. 2:22-cv-04979-SP ) Plaintiff, ) ) v. ) MEMORANDUM OPINION AND ) ORDER GRANTING PLAINTIFF’S ) MOTION TO REMAND METRO AIR SERVICE INC., et al., ) ) Defendants. ) ) ) I. On August 19, 2022, plaintiff Adam Gomez filed a motion to remand this case to the Superior Court of California, County of Los Angeles. Docket no. 24. Plaintiff’s motion is supported by the declaration of plaintiff’s counsel Piya Mukherjee and exhibit thereto. Defendant Metro Air Service, Inc. filed its opposition to the motion on September 6, 2022. Docket no. 26. Defendant’s opposition is supported by the declaration of its payroll manager Ashley Brice (“9/6/22 Brice Decl.”). On September 13, 2022, plaintiff filed his reply. Docket no. 27. 1 Case 2:22-cv-04979-SP Document 31 Filed 02/07/23 Page 2 of 15 Page ID #:280

The matter came before the court for a hearing on September 27, 2022. After carefully considering the information provided and arguments advanced and the record before it, the court now grants plaintiff’s motion to remand for the reasons discussed below. II. Plaintiff filed the instant putative class action in the Los Angeles County Superior Court on May 5, 2022, on behalf of himself and those individuals who were employed by defendant in California at any time from four years prior to the Complaint’s filing and classified as non-exempt. See docket no. 1, Compl. Plaintiff alleges he and other employees were not compensated with all their wages lawfully due in that, inter alia, they were from time to time: unable to take their meal and rest breaks or required to work while clocked out during their breaks; not provided complete and accurate wage statements; and not timely paid their correct wages. Plaintiff asserts nine causes of action under California’s Business and Professions Code and Labor Code: (1) unfair competition; (2) failure to pay minimum wages; (3) failure to pay overtime wages; (3) failure to provide required meal periods; (5) failure to provide required rest periods; (6) failure to provide accurate itemized statements; (7) failure to reimburse employees for required expenses; (8) failure to provide wages when due; and (9) failure to pay sick pay wages. Plaintiff alleges the aggregate amount in controversy is less than $5 million. On July 20, 2022, defendant removed the action to this court under the Class Action Fairness Act (“CAFA”), 28 U.S.C. 1332(d). See docket no. 1, Notice of Removal (“NOR”)). Defendant’s Notice of Removal was supported by, inter alia, an earlier declaration of payroll manager Ashley Brice (“7/20/22 Brice Decl.”). Defendant contends the aggregate amount in controversy exceeds $5 million, there 2 Case 2:22-cv-04979-SP Document 31 Filed 02/07/23 Page 3 of 15 Page ID #:281

are more than 100 proposed class members, and there is diversity of citizenship. Plaintiff argues removal was improper because defendant has failed to prove by a preponderance of the evidence that the amount in controversy exceeds $5 million. Mtn. at 3-10. Based on allegations in the Complaint and the declaration of Ashley Brice and exhibits, defendant contends the amount in controversy conservatively reaches $10,696,664.50. Opp. at 11. Any civil action over which the United States district courts have original jurisdiction may be removed to the district court for the district where such action is pending. 28 U.S.C. § 1441(a). A defendant seeking to remove a case to federal court must file a notice of removal containing a “short and plain statement of the grounds for removal.” 28 U.S.C. § 1446(a). But “[i]f at any time before final judgment it appears that the district court lacks subject matter jurisdiction, the case shall be remanded.” 28 U.S.C. § 1447(c). The Class Action Fairness Act gives federal district courts original jurisdiction over any class action in which (1) the aggregate amount in controversy exceeds $5 million, exclusive of interest and costs, (2) any member of a class of plaintiffs is diverse in citizenship from any defendant, and (3) the number of members of all proposed plaintiff classes exceeds 100 in the aggregate. 28 U.S.C. §§ 1332(d)(2), 1332(d)(5)(B); Ibarra v. Manheim Invs., Inc., 775 F.3d 1193, 1195 (9th Cir. 2015). A notice of removal based on CAFA jurisdiction must include “a plausible allegation that the amount in controversy exceeds the jurisdictional threshold.” Dart Cherokee Basin Operating Co., LLC v. Owens, 574 U.S. 81, 89, 135 S. Ct. 547, 190 L. Ed. 2d 495 (2014). “[N]o antiremoval presumption attends cases invoking CAFA, which Congress enacted to facilitate adjudication of certain class actions in federal court.” Id. (citations omitted). 3 Case 2:22-cv-04979-SP Document 31 Filed 02/07/23 Page 4 of 15 Page ID #:282

“[W]hen a defendant’s assertion of the amount in controversy is challenged . . . both sides submit proof and the court decides, by a preponderance of the evidence, whether the amount-in-controversy requirement has been satisfied.” Id. at 88. But although both sides “may submit evidence supporting the amount in controversy,” it is the defendant that has “the burden of supporting its ‘jurisdictional allegations with competent proof.’” Harris v. KM Indus., Inc., 980 F.3d 694, 699, 701 (9th Cir. 2020) (citation omitted). The plaintiff “need only challenge the truth of the defendant’s jurisdictional allegations by making a reasoned argument as to why any assumptions on which they are based are not supported by evidence.” Id. at 700 (citations omitted); accord Waltz v. Wal-Mart Assocs., Inc., 2022 WL 489697, at *2 (C.D. Cal. Feb. 17, 2022) (the plaintiff “bears no burden, here, to introduce any evidence”). In determining the amount in controversy, the court considers the facts alleged in the complaint and “summary-judgment-type evidence relevant to the amount in controversy at the time of removal.” Fritsch v. Swift Trans. Co. of Ariz., LLC, 899 F.3d 785, 793 (9th Cir. 2018). “[A] damages assessment may require a chain of reasoning that includes assumptions. When that is so, those assumptions cannot be pulled from thin air but need some reasonable ground underlying them.” Ibarra, 775 F.3d at 1199. Here, plaintiff’s Complaint alleges a putative class of “all individuals who are or previously were employed by defendant in California, including any employees staffed with defendant by a third party, and classified as nonexempt employees [] at any time during the period beginning four (4) years prior to the filing of this Complaint and ending on the date as determined by the Court[].” Compl. ¶ 4. In support of its Notice of Removal, defendant submitted a declaration that it employed 1,750 nonexempt employees in California during the proposed class period, and the average hourly rate of all nonexempt employees in California 4 Case 2:22-cv-04979-SP Document 31 Filed 02/07/23 Page 5 of 15 Page ID #:283

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