Edwards v. PJ Ops Idaho, LLC

District Court, D. Idaho·Decided June 7, 2022·No. 1:17-cv-00283·Unknown

Opinion

UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF IDAHO

CORY EDWARDS, et al., Case No. 1:17-cv-00283-DCN On behalf of himself and those similarly situated, MEMORANDUM DECISION AND Plaintiffs, ORDER v. PJ OPS IDAHO, LLC, et al., Defendants.

I. INTRODUCTION Pending before the Court is Plaintiffs’ Motion for Certification of Rule 23 Classes Under Idaho, Colorado, Kentucky, New York, and North Dakota Law (“Motion for Class Cert”). Dkt. 192.1 The Court held oral argument on April 21, 2022, and took the Motion under advisement. Upon review, and for the reasons outlined below, the Court GRANTS the Motion for Class Cert and GRANTS the attending organizational requests. II. BACKGROUND This is a putative hybrid Rule 23 class and 29 U.S.C. § 216(b) collective action.

1 In conjunction with this substantive Motion, Plaintiffs filed two motions to seal various documents. Dkts. 190, 220. Plaintiffs correctly filed the respective documents under seal, as well as redacted copies for the public record. Neither of the motions to seal are opposed. Good case appearing, the Court GRANTS the Motions to Seal. Named Plaintiffs Cory Edwards, James Hollingsworth,2 Matthew Garber, Seth Thomas Sweeney, John Carrigan, and Jeffrey Smith worked, at one point or another, as pizza- delivery drivers for various Papa John’s franchise locations in various states. In this action,

Plaintiffs assert Defendants violated the Fair Labor Standards Act, 29 U.S.C. § 201, et seq. (“FLSA”) and various states’ laws by improperly applying a tip credit to their wages and by failing to adequately reimburse them for their delivery expenses. On May 15, 2018, the Court conditionally certified a § 216(b) FLSA collective action. Dkt. 67. Notice was sent to 3,846 prospective plaintiffs and, to date, roughly 700

individuals have consented to join this action. On December 3, 2021, Plaintiffs filed the instant Motion seeking class certification for five classes—one each in Idaho, Colorado, Kentucky, New York, and North Dakota. Defendants oppose the motion. In connection with this certification, Plaintiffs also ask the Court to: (1) affirm them as class representatives; (2) approve their selection of counsel by appointing Biller &

Kimble, LLC; Paul LLP; and Weinhaus & Potashnick as Class Counsel pursuant to Rule 23(g); and (3) permit them to send notice of this lawsuit to putative class members pursuant to Rule 23(c)(2). III. LEGAL STANDARD Under the Federal Rules of Civil Procedure, a court may certify a class if the class

meets the numerosity, commonality, typicality, and adequacy prerequisites of Rule 23(a). Fed. R. Civ. P. 23(a); see also Parsons v. Ryan, 754 F.3d 657, 674 (9th Cir. 2014). In

2 Hollingsworth is not one of the prospective Rule 23 class representatives at this time. He is, nevertheless, still a named plaintiff and one of the FLSA Collective Action representatives. addition to meeting the four requirements of Rule 23(a), class actions must fall within one of the three types specified in Rule 23(b). The district court’s Rule 23(a) and (b) analysis must be “rigorous.” Comcast Corp. v. Behrend, 569 U.S. 27, 33 (2013) (quoting Wal-Mart

Stores, Inc. v. Dukes, 564 U.S. 338, 351 (2011)). The party seeking certification bears the burden of showing that each of the four requirements of Rule 23(a), and at least one of requirements of Rule 23(b), have been met. Id. In considering these requirements, the court should consider the merits of the case “only inasmuch as it must determine whether common questions exist; not to determine

whether class members could actually prevail on the merits of their claims.” Ellis v. Costco Wholesale Corp., 657 F.3d 970, 983 n.8 (9th Cir. 2011). “[T]he question is not whether the plaintiff or plaintiffs have stated a cause of action or will prevail on the merits, but rather whether the requirements of Rule 23 are met.” Eisen v. Carlisle & Jacquelin, 417 U.S. 156, 164 (1974) (cleaned up). A plaintiff need only present evidence showing a methodology to

provide common answers to common questions—not prove their claim. Dukes, 564 U.S. at 350 n.6. Finally, Rule 23 provides that, “[w]hen appropriate, a class may be divided into subclasses that are each treated as a class.” Fed. R. Civ. P. 23(c)(5). IV. ANALYSIS

The Court will begin with the Rule 23(a) factors. After considering each, the Court will address whether Plaintiffs have satisfactorily alleged a basis for their class under one of the enumerated options of Rule 23(b). A. Rule 23(a) 1. Numerosity Rule 23(a)(1) requires that the proposed class be “so numerous that joinder of all

members is impracticable.” Fed. R. Civ. P. 23(a)(1). And while Rule 23(a)(1) requires that the class be “numerous,” there is no “strict numerical cut-off.” McCurley v. Royal Seas Cruises, Inc., 331 F.R.D. 142, 167 (S.D. Cal. 2019) (cleaned up). Citing cases in every federal circuit, a leading treatise on class actions opines that, “a class of 40 or more members raises a presumption of impracticability of joinder based on numbers alone.” 1

Newberg on Class Actions, § 3:12 (5th Ed. 2021). In this case, Defendants operated at least 72 Papa John’s stores during the relevant time periods. And while all stores and all employees are not at play in the present motion, roughly 1,590 employees from 30 stores are—Idaho (300 drivers from five stores), Colorado (600 drivers from twelve stores), Kentucky (250 drivers from four stores), New

York (140 drivers from four stores), and North Dakota (250 drivers from five stores). Defendants argue “numerosity . . . is not merely numerousness,” Dkt. 209, at 18, and claim that if 3,846 plaintiffs can be joined in this case for the collective FLSA claim, then it is not impossible to join the 1,590 Rule 23 class members. While it is true the Court must look beyond the raw numbers when determining numerosity, it need not find joinder

impossible, only impracticable. See, e.g., Jones v. Fid. Res., Inc., 2019 WL 4141015, at *8 (D. Md. Aug. 30, 2019) (“The numerosity requirement is satisfied when joinder would be difficult or impracticable, not impossible.”). Defendants do not provide any examples of why joinder would be preferred in the present matter; they simply claim Plaintiffs haven’t explained why it is not. While related, collective actions and class actions are procedurally and functionally

different. Having joined 3,846 plaintiffs in an FLSA collective action might render joinder of a Rule 23 class action possible, but that doesn’t mean it is practical.3 For example, in Jones, the District Court for the District of Maryland held that joining 192 caregivers under Rule 23 would produce “serious logistical problems” even though “all 192 class members had an opportunity to opt-in to the FLSA collective action.” 2019 WL 4141015, at *8

(“FLSA’s collective action procedures merely render [] joinder possible, not practical, for purposes of Rule 23(a).”).

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