Clayborne v. Chevron Corporation

CourtDistrict Court, N.D. California
DecidedSeptember 6, 2023
Docket4:19-cv-07624
StatusUnknown

This text of Clayborne v. Chevron Corporation (Clayborne v. Chevron Corporation) is published on Counsel Stack Legal Research, covering District Court, N.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Clayborne v. Chevron Corporation, (N.D. Cal. 2023).

Opinion

1 2 3 4 UNITED STATES DISTRICT COURT 5 NORTHERN DISTRICT OF CALIFORNIA 6 7 SHAWN CLAYBORNE, et al., Case No. 19-cv-07624-JSW

8 Plaintiffs, ORDER GRANTING MOTION FOR FINAL APPROVAL AND GRANTING, 9 v. IN PART, MOTION FOR ATTORNEYS' FEES, COSTS, AND 10 NEWTRON, LLC, et al., SERVICE AWARD Defendants. Re: Dkt. Nos. 201, 205 11

12 13 Now before the Court for consideration is the unopposed motion for final approval of class 14 action settlement and PAGA settlement and motion for attorneys’ fees and costs and service award 15 filed Plaintiff Shawn Clayborne (“Plaintiff”). The Court has considered the parties’ papers, 16 relevant legal authority, and the record in the case. The Court has also considered the parties’ 17 arguments presented at the fairness hearing on June 30, 2023.1 For the following reasons, the 18 Court GRANTS the Plaintiff’s motion for final approval and GRANTS, IN PART, the motion for 19 attorneys’ fees and costs and service award. 20 BACKGROUND 21 Plaintiff filed this lawsuit in Contra Costa County Superior Court against Defendants 22 Chevron and Newtron.2 (Dkt. No. 1.) Defendants removed the case to this court on September 23 20, 2019. The Court denied Plaintiff’s motion to remand, and after two amendments, the 24 operative complaint is the TAC. (Dkt. No. 105.) Chevron operates petroleum refineries in 25

26 1 The Court has also considered the supplemental submissions from the parties regarding missing class data. (See Dkt. No. 214.) 27 2 Plaintiff David Pool settled individually with Defendant Performance Mechanical, Inc. (“PMI”) 1 Richmond and El Segundo, California. Newtron and other third-party labor contracting 2 companies provide workers to staff these refineries. (Dkt. No. 105, TAC ¶¶ 17, 30.) Plaintiff 3 alleges Chevron is liable both as a joint employer together with Newtron and as a “client- 4 employer” under Cal. Labor Code § 2810.3. The TAC asserts class and PAGA wage and hour 5 claims relating to Defendants’ alleged failure to pay Settlement Group Members for time spent 6 traveling to and from jobsites and donning personal protective equipment. 7 Since this case was filed, the parties have engaged in motion practice, including a motion 8 to remand, and in substantial discovery, raising several disputes before Magistrate Judge 9 Westmore. The parties then participated in two days of settlement conferences supervised by 10 Magistrate Judge Spero. The parties then continued to negotiate a resolution for several months 11 before reaching an agreement to resolve this matter. 12 On February 22, 2023, the Court preliminarily approved the Settlement Agreement. (Dkt. 13 No. 196.) The proposed Settlement Class groups were defined as follows: 14 “PAGA Group” means those individuals who performed work from the period of July 17, 2018 through the date of the preliminary 15 approval of the settlement . . . at Chevron’s El Segundo, California and/or Richmond, California refineries as hourly workers employed 16 by Newtron or by any Third-Party Contractors. 17 “Participating Class Members” means those individuals in the Class who have not timely and properly opted-out of the Class. “Class” 18 means those individuals who performed work from the period of September 20, 2015 through the date of the preliminary approval of 19 the settlement . . . at Chevron’s El Segundo, California and/or Richmond, California refineries as hourly workers employed by 20 Newtron or by any Third-Party Contractors. 21 (Settlement Agreement § II.A.1-2.) 22 The $1,925,000 Gross Settlement fund provides for (a) payments to Participating Class 23 Members and PAGA Group members, (b) PAGA penalty payments in the amount of $115,000, 24 with 75% paid to the California Labor and Workforce Development Agency (“LWDA”) and 25% 25 paid to Aggrieved Individuals, (c) a Class Representative Service Award of up to $15,000, (d) 26 class counsel’s attorneys’ fees of up to $673,750, which is 35% of the settlement amount, (e) 27 litigation costs of up to $45,000, and (f) settlement administration costs not expected to exceed 1 Members for non-PAGA claims, is $986,250, and is defined as the Gross Settlement amount 2 minus items (b) through (f). Defendants have no reversionary interest in the settlement fund. 3 Unclaimed residual amounts will be allocated to the East Bay Community Law Center and 4 Neighborhood Legal Services of Los Angeles County in equal amounts. 5 Participating Class Members who do not opt out will automatically receive their individual 6 payments without submitting a claim form. Id. § II.F. The average gross settlement payment is 7 approximately $378, and the average net settlement payment is $200. 8 On April 7, 2023, pursuant to the notice requirements in the Settlement Agreement and 9 Preliminary Approval Order, the Settlement Administrator, JND, distributed notice to the 2,469 10 Settlement Group Members for whom Defendants provided addresses. (Dkt. No. 205-2, 11 Declaration of Gretchen Eoff (“Eoff Decl.”) ¶ 8.) The parties expected that the class list would be 12 incomplete because of the difficulty Chevron anticipated in getting data from the various third- 13 party contractor companies, and thus the parties supplemented the notice program in an effort to 14 reach Settlement Group Members for whom data was unavailable. In addition to the notice 15 program, Chevron continued to seek additional data from third-party contractors, and at the time 16 of the Final Approval Hearing, the total class list included 5,084 Settlement Group Members with 17 addresses.3 18 On May 19, 2023, Plaintiff filed his motion for final approval of the Settlement. (Dkt. No. 19 205.) The motion for attorneys’ fees was filed on April 17, 2023. The parties appeared for a Final 20 Approval hearing on June 30, 2023. 21 The Court shall address additional facts as necessary in the analysis. 22 // 23

24 3 At the Final Approval Hearing, the parties notified the Court that the class list was missing Social Security numbers and workweek data for many individuals. The Court directed the parties 25 to meet and confer as to what methods would be used to obtain the missing third-party data and thus enable the administrator to issue the proper tax form and calculate settlement payments to the 26 class. The parties stipulated that for class members missing a social security number, their settlement payments will be treated as 100% non-wages for tax purposes. For class members 27 missing workweek information, their settlement payments will be calculated based on the average 1 ANALYSIS 2 A. The Court Grants the Motion for Final Approval. 3 1. Subject Matter Jurisdiction. 4 The Court has jurisdiction over this action pursuant to CAFA, 28 U.S.C. section 5 1332(d)(2). Defendants have provided the required CAFA notices to the appropriate 6 governmental agencies. 7 2. Certification of the Settlement Class. 8 For purposes of the settlement, the Court approves the Settlement of the following groups 9 defined as follows: 10 “PAGA Group” means those individuals who performed work from the period of July 17, 2018 through the date of the preliminary 11 approval of the settlement . . . at Chevron’s El Segundo, California and/or Richmond, California refineries as hourly workers employed 12 by Newtron or by any Third-Party Contractors. 13 “Participating Class Members” means those individuals in the Class who have not timely and properly opted-out of the Class. “Class” 14 means those individuals who performed work from the period of September 20, 2015 through the date of the preliminary approval of 15 the settlement . . . at Chevron’s El Segundo, California and/or Richmond, California refineries as hourly workers employed by 16 Newtron or by any Third-Party Contractors. 17 3. Notice, Objections, and Requests for Exclusion.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

In Re Bluetooth Headset Products Liability
654 F.3d 935 (Ninth Circuit, 2011)
Robert Radcliffe v. Experian Information Solutions
715 F.3d 1157 (Ninth Circuit, 2013)
Rodriguez v. West Publishing Corp.
563 F.3d 948 (Ninth Circuit, 2009)
Silber v. Mabon
18 F.3d 1449 (Ninth Circuit, 1994)
Harris v. Marhoefer
24 F.3d 16 (Ninth Circuit, 1994)
Hanlon v. Chrysler Corp.
150 F.3d 1011 (Ninth Circuit, 1998)
Vizcaino v. Microsoft Corp.
290 F.3d 1043 (Ninth Circuit, 2002)
Dyer v. Wells Fargo Bank, N.A.
303 F.R.D. 326 (N.D. California, 2014)

Cite This Page — Counsel Stack

Bluebook (online)
Clayborne v. Chevron Corporation, Counsel Stack Legal Research, https://law.counselstack.com/opinion/clayborne-v-chevron-corporation-cand-2023.