Alvaro Albanil v. Coast 2 Coast, Inc., Et A

444 F. App'x 788
CourtCourt of Appeals for the Fifth Circuit
DecidedOctober 13, 2011
Docket10-20424
StatusUnpublished
Cited by17 cases

This text of 444 F. App'x 788 (Alvaro Albanil v. Coast 2 Coast, Inc., Et A) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fifth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Alvaro Albanil v. Coast 2 Coast, Inc., Et A, 444 F. App'x 788 (5th Cir. 2011).

Opinion

RODRIGUEZ, District Judge.

Plaintiffs-Appellants appeal the district court’s grant of summary judgment on their Fair Labor Standards Act (“FLSA”) claims. Appellants are forty-one individuals employed by Appellee Coast 2 Coast, Inc. (“C2C”). They travel around the country in C2C’s “rigs,” which consist of a pickup truck and trailer with an attached compressor, to various job sites, where they remove hardened concrete from the insides of concrete mixer drums and other enclosed spaces. Appellants sued C2C for alleged violations of the FLSA’s minimum-wage and overtime requirements.

The first issue on appeal is whether the Motor Carrier Act (“MCA”) exemption to the FLSA’s overtime requirements applies. Appellants challenge the district court’s conclusion that it does. This issue involves determining whether C2C operated “commercial motor vehicles” during the relevant time period. A “commercial motor vehicle” is defined by statute as a “self-propelled or towed vehicle used on the highways in interstate commerce to transport passengers or property, if the vehicle has a gross vehicle weight rating or gross vehicle weight of at least 10,001 pounds, whichever is greater” or meets certain other criteria not relevant here. The parties dispute whether the weight of the pickup truck and the trailer may be combined to reach the 10,001 pound threshold, as stated in a Department of Transportation regulation, or whether the use of the disjunctive “or” in the statutory definition requires them to be considered separately. We hold that the district court correctly combined the weights of the pickup and trailer to conclude that the MCA exemption applies, and that summary judgment was appropriate on Plaintiffs’ overtime claims.

The other issue on appeal is whether the district court committed harmful error in granting summary judgment sua sponte in favor of Defendants on certain Plaintiffs’ minimum wage claims. We hold that the district court erred by granting sua sponte summary judgment without sufficient notice, and that the error was harmful because Plaintiffs’ evidence raises a material fact issue concerning liability. Accordingly, the district court’s grant of summary judgment on certain Plaintiffs’ minimum wage claims is reversed, and this case is remanded for further proceedings consistent with this opinion.

I.

A. Factual Background

The facts of this case are largely undisputed. Defendant C2C provides concrete chipping services to customers in a number of states, and its employees travel to customer sites in company rigs to perform chipping services. Plaintiffs are current and former employees of C2C. Most are or were employed as “chippers,” who removed hardened concrete from the inside of mixer drums and other enclosed spaces. *791 Two are or were employed as foremen, who were primarily responsible for driving C2C’s rigs and who supervised the chippers’ work. 2 Plaintiffs reside in Harris County, Texas. They report to C2C’s office in Pasadena, Texas, and then load their equipment onto C2C’s rig. They depart from Pasadena to job sites around the country, traveling in the rig, and then return to Pasadena after several weeks. They are paid, on an hourly basis, only for the time between their arrival at and departure from a job site.

B. Procedural Background

On February 11, 2008, Plaintiffs filed this collective action under the FLSA, 29 U.S.C. §§ 206-207, 215, against C2C and its President, Jeffrey Taylor. Plaintiffs asserted claims under the FLSA for failure to pay minimum and overtime wages, as well as a claim for illegal deductions in violation of Texas Labor Code § 415.006 (by collecting a premium or fee for workers’ compensation insurance). 3 The parties filed a stipulation that all Plaintiffs are and were employees of Defendants under the FLSA and Chapter 415 of the Texas Labor Code during the relevant times, were not independent contractors, and that C2C was and is Plaintiffs’ employer. On November 17, 2008, the district court granted Plaintiffs’ motion to certify a class of chippers. The class consists of “all current and former hourly-paid workers who worked for Coast 2 Coast, Inc., performing concrete removal work, between June 16, 2005, and the present.”

On August 3, 2009, the parties filed cross-motions for partial summary judgment on the issue of whether the MCA exemption applies to Plaintiffs’ overtime claims. Plaintiffs also filed a second motion for partial summary judgment on specific issues related to their minimum-wage and Texas Labor Code claims.

On March 31, 2010, the district court issued an order granting Defendants’ motion for partial summary judgment on the MCA exemption and denying Plaintiffs’ motions for partial summary judgment. The district court concluded that the term “commercial motor vehicle” should be given its “current meaning” under the existing DOT regulations, which contemplate a combined gross weight, and thus the weight of the pickup trucks and the loaded trailers could be combined in determining whether Defendants’ rigs met the weight requirement. Considering the summary judgment evidence, the district court found that Defendants’ rigs met the weight requirement and that the chippers qualified as drivers’ helpers, and were thus exempt. Accordingly, the district court concluded that Defendants had shown the applicability of the MCA exemption as a matter of law.

Although Defendants did not file a motion for summary judgment on the issue of liability on Plaintiffs’ FLSA minimum-wage claims, the district court granted summary judgment in favor of Defendants. The district court found that Defendants had asked the court to deny the claims as a matter of law in their response to Plaintiffs’ motion, and that sufficient opportunity was afforded both sides to brief the matter. The district court stated that, *792 even if it were to agree with Plaintiffs that they should have been compensated for some of the activities they performed, “this would not be enough to show a minimum wage violation — the violation occurs only if the total hours worked divided by the pay is less than minimum wage.” Because the Plaintiffs had not offered evidence to show that their total hours worked divided by their pay was less than the minimum wage, the district court found that they had not met their initial burden on the minimum-wage violations and that summary judgment for Defendants was warranted. The district court also found that it lacked jurisdiction over Plaintiffs’ Texas Labor Code claims because they did not request an administrative hearing. That same day, the district court issued a final take-nothing judgment. 4

Plaintiffs timely filed a Motion to Alter or Amend the Judgment, challenging only the district court’s summary judgment on their FLSA minimum-wage claims. Plaintiffs noted that Defendants did not move for summary judgment on the minimum-wage claims, and argued that the district court’s grant of summary judgment was both without notice and harmful because Plaintiffs could adduce evidence in support of those claims, which they submitted with the motion.

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Bluebook (online)
444 F. App'x 788, Counsel Stack Legal Research, https://law.counselstack.com/opinion/alvaro-albanil-v-coast-2-coast-inc-et-a-ca5-2011.