Ahn v. MB Rye Metro Nail, Inc.

CourtDistrict Court, S.D. New York
DecidedSeptember 20, 2023
Docket7:20-cv-09198
StatusUnknown

This text of Ahn v. MB Rye Metro Nail, Inc. (Ahn v. MB Rye Metro Nail, 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
Ahn v. MB Rye Metro Nail, Inc., (S.D.N.Y. 2023).

Opinion

UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF NEW YORK KYONG HO AHN, Plaintiff, No. 20-CV-9198 (KMK) v. OPINION & ORDER MB RYE METRO NAIL, INC., and SUN YOUNG KIM, Defendants. Appearances: Aaron B. Schweitzer, Esq. John Troy, Esq. Troy Law, PLLC Flushing, NY Counsel for Plaintiff Justin B. Perri, Esq. Blackstone Law Group LLP New York, NY Counsel for Defendants KENNETH M. KARAS, United States District Judge: Plaintiff Kyong Ho Ahn (“Ahn” or “Plaintiff”) brings this Action against her former employer, MB Rye Metro Nail, Inc. (“MBR”) and the owner of MBR, Sun Young Kim (“Kim”; collectively, “Defendants”), pursuant to the Fair Labor Standards Act of 1938 (“FLSA”), 29 U.S.C. § 201 et seq., and the New York Labor Law (“NYLL”), § 190 et seq. (See generally Compl. (Dkt. No. 1).) Before the Court are two motions: (1) Plaintiff’s Motion for Confirmation of an Arbitral Award, (see Not. of Mot. (“Pl’s Not. of Mot.”) (Dkt. No. 41)), and (2) Defendants’ cross-motion to Modify the Arbitral Award, (see Not. of Mot. (“Defs’ Not. of Mot.”) (Dkt. No. 45)). For the following reasons, Plaintiff’s Motion is granted, and Defendants’ Motion is denied. I. Background A. Factual Background The Court incorporates the recitation of the facts as outlined in the arbitration award decision (the “Award”) by Arbitrator Andrew J. Peck (“Arbitrator Peck” or the “Arbitrator”) on

July 11, 2022. (See Decl. of Aaron Schweitzer in Supp. of Mot. (“Schweitzer Decl.”) Ex. A (“Decision”) (Dkt. No. 42-1).) As relevant to the instant Action, Arbitrator Peck found that Plaintiff was entitled to $1,921.25 in overtime and $1,921.25 in liquidated damages. (Id. at 7.) In addition, Arbitrator Peck stated the following regarding statutory notice violations: [I]t is undisputed that respondents did not provide Ahn with the statutory notice upon hiring, or the statutory information along with her weekly wage payments. Ahn is entitled to payment of $5,000 for respondents’[] failure to give her the statutory notice upon hiring, and another $5,000 for failure to provide her notice with her weekly wage statements. Respondents have argued, relying on cases from Judge Chen, that Ahn lacks standing to recover under those statutes. The weight of the caselaw in the SDNY and EDNY is to the contrary. (Id. at 8 (citations omitted).) Finally, Arbitrator Peck awarded Plaintiff’s counsel $11,250 in attorneys’ fees, “greatly reduc[ing]” Plaintiff’s requested $46,000 in fees to exclude attorneys’ fees spent on federal court litigation, as well as excessive fees related to an attorney who recently graduated law school. (Id. at 1, 8–9.) B. Procedural History Plaintiff filed her initial Complaint on November 3, 2020. (See Compl.) On December 11, 2020, Defendants filed a pre-motion letter in anticipation of a motion to compel individual arbitration. (See Dkt. No. 12.) Plaintiff responded on December 16, 2020, requesting that the Court refer the matter to the American Arbitration Association for class arbitration, rather than individual arbitration. (See Dkt. No. 13.) At the request of the Court, (see Dkt. No. 14), Defendants responded to Plaintiff’s letter on December 22, 2020, (see Dkt. No. 15). On January 11, 2021, the Court held a pre-motion conference and set a briefing schedule for Defendants’ motion. (See Dkt. (minute entry for Jan. 11, 2021); Dkt. No. 18.) On February 1, 2021, Defendants filed their Motion to Compel Arbitration. (See Not. of Mot. (Dkt. No. 19); Defs’ Mem. of Law in Supp. of Mot. (Dkt. No. 19-1); Decl. of Justin B.

Perri in Supp. of Mot. (Dkt. No. 20).) Plaintiff filed her Opposition on February 22, 2021. (Mem. of Law in Opp. to Mot. (Dkt. No. 21).) Defendants filed their Reply on March 3, 2021. (Defs’ Reply Mem. of Law in Supp. of Mot. (Dkt. No. 22).) The Court held oral argument on July 26, 2021, where the Court referred the matter to arbitration but denied Defendants’ motion for individual arbitration, leaving the issue of individual versus class arbitration to the arbitrator. (See Dkt. (minute entry for July 26, 2021); Dkt. No. 27.) The Parties proceeded to arbitration shortly thereafter, and provided status updates to the Court to indicate that the Arbitrator issued a final decision on July 11, 2022. (See Dkt. Nos. 29, 31). On September 19, 2022, Plaintiff filed a pre-motion letter in anticipation of moving to confirm the arbitral award. (See Dkt. No. 32.) After receiving Defendants’ responses on

October 12 and 17, 2022, (see Dkt. No. 35, 37), the Court set a briefing schedule in lieu of a pre- motion conference, (see Dkt. No. 40). On November 28, 2022, Plaintiff filed the instant Motion. (Pl’s Not. of Mot.; Mem. of Law in Supp. of Mot. (“Pl’s Mem.”) (Dkt. No. 43); Schweitzer Decl.) On December 27, 2022, Defendants filed their instant Cross-Motion. (Defs’ Not. of Mot.; Mem. of Law in Supp. of Mot. (“Defs’ Mem.”) (Dkt. No. 46); Decl. of John D. Lovi in Supp. of Mot. (“Lovi Decl.”) (Dkt. No. 47).) On January 23, 2023, Plaintiff filed her Reply. (Reply Mem. in Supp. of Mot & Opp. of Defs’ Mot. (“Pl’s Reply”) (Dkt. No. 48).) On February 1, 2023, Defendants filed their Reply. (Reply Mem. in Opp. to Pl’s Mot. & Supp. of Mot. (“Defs’ Reply”) (Dkt. No. 49).) II. Discussion A. Standard of Review “Section 301 of the [LMRA], 29 U.S.C. § 185 (1994), provides federal courts with jurisdiction over petitions brought to confirm labor arbitration awards.” Local 802, Assoc.

Musicians of Greater N.Y. v. Parker Meridien Hotel, 145 F.3d 85, 88 (2d Cir. 1998). Federal court review of arbitral awards is “severely limited so as not to frustrate the twin goals of arbitration, namely, settling disputes efficiently and avoiding long and expensive litigation.” United Bhd. of Carpenters & Joiners of Am. v. Tappan Zee Constructors, LLC, 804 F.3d 270, 274–75 (2d Cir. 2015) (quotation marks and citation omitted). “The federal policy in favor of enforcing arbitration awards is particularly strong with respect to arbitration of labor disputes.” N.Y. Hotel & Motel Trades Council v. Hotel St. George, 988 F. Supp. 770, 774 (S.D.N.Y. 1997) (citation omitted). Because the LMRA “embodies a ‘clear preference for the private resolution of labor disputes,’” National Football League Management Council v. National Football League Players Association, 820 F.3d 527, 536 (2d Cir. 2016) (quoting Int’l Bhd. of Elec. Workers v.

Niagara Mohawk Power Corp., 143 F.3d 704, 714 (2d Cir. 1998)), judicial review of arbitral awards in this context is “among the most deferential in the law,” id. at 532. Confirmation of an arbitration award is thus generally “a summary proceeding that merely makes what is already a final arbitration award a judgment of the court[.]” D.H. Blair & Co., Inc. v. Gottdiener, 462 F.3d 95, 110 (2d Cir. 2006) (quotation marks and citation omitted). The Court’s task is not to reconsider the merits of the dispute; after all, the Parties bargained for the arbitrator’s determination of the merits. Nat’l Football League Mgmt. Council, 820 F.3d at 536. Instead, the Court’s role is “simply to ensure that the arbitrator was ‘even arguably construing or applying the contract and acting within the scope of his authority’ and did not ‘ignore the plain language of the contract.’” Id. at 537 (quoting United Paperworkers Int’l Union v. Misco, Inc., 484 U.S. 29

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Ahn v. MB Rye Metro Nail, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/ahn-v-mb-rye-metro-nail-inc-nysd-2023.