Edwards v. Publishers Circulation Fulfillment, Inc.

268 F.R.D. 181, 2010 WL 2428083
CourtDistrict Court, S.D. New York
DecidedJune 17, 2010
DocketNo. 09 Civ. 4968(LAK)
StatusPublished
Cited by6 cases

This text of 268 F.R.D. 181 (Edwards v. Publishers Circulation Fulfillment, 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
Edwards v. Publishers Circulation Fulfillment, Inc., 268 F.R.D. 181, 2010 WL 2428083 (S.D.N.Y. 2010).

Opinion

[183]*183MEMORANDUM OPINION

LEWIS A. KAPLAN, District Judge.

This is an action by present and former drivers who delivered newspapers for defendant Publishers Circulation Fulfillment, Inc. (“PCF”) under their respective Independent Contractor Agreements (“ICAs”) with PCF. It seeks to recover (1) deductions from their compensation that allegedly violated Article 6 of the New York Labor Law, (2) amounts that plaintiffs allegedly were required to pay in violation of Section 193(2) of the Labor Law, and (3) damages under Section 198 and Article 19 of the Labor Law. All claims for relief depend upon plaintiffs’ overall accusation that PCF wrongly classified them as independent contractors rather than employees. The matter is before the Court on plaintiffs’ motion for class certification.

I

Rule 23(a) requires proof of four elements: (1) numerosity, (2) the presence of common issues, (3) typicality, and (4) that plaintiffs and their counsel would adequately represent the class.1 Where, as here, the principal relief sought is money damages, Rule 23(b)(3) requires that the plaintiffs establish also that “the questions of law or fact common to class members predominate over any questions affecting only individual members (‘predominance’), and that a class action is superior to other available methods for fairly and efficiently adjudicating the controversy (‘superiority’).”2 Before certifying a class, a district court is obliged to conduct a “rigorous analysis” to determine whether the plaintiffs have satisfied all of the requirements.3 The burden of demonstrating their satisfaction by a preponderance of the evidence, moreover, rests with the moving party.4

II

In this case, there is no dispute that the proposed class is sufficiently numerous and that plaintiffs’ counsel would represent the class adequately. The bones of contention are whether the question whether .the members of the alleged class were misclassified as independent contractors rather than as employees is common or, in other words, susceptible of proof by classwide evidence and the closely related questions whether common issues predominate and whether plaintiffs’ claims are typical of those of the class as a whole. To prevail on the issue of predominance, plaintiffs must show “that those issues in the proposed action that are subject to generalized proof outweigh those issues that are subject to individualized proof.”5 To prevail on the typicality issue, they must show that “each class member’s claim arises from the same course of events and each class member makes similar legal arguments to prove the defendant’s liability.”6

In an effort to carry their burden, plaintiffs rely heavily on the form ICA, which they claim all PCF deliverers are required to sign, and certain PCF training materials. Together, they argue, these establish that PCF has reserved the right to control the manner in which the deliverers perform then-task, thus making them employees rather than independent contractors, and that employee status therefore may be proved on a classwide basis by this common evidence. There are two problems with this argument.

First, plaintiffs’ contention that common proof of a reserved right to control the deliverers, as opposed to proof of whether PCF, in fact, controlled them would be sufficient to [184]*184establish their employment status rests on a misreading of the pertinent authorities.

Second, even assuming that the employee/independent contractor classification turns on whether PCF had the right to control the deliverers, as opposed to having exercised such control in fact, the evidence does not support plaintiffs’ claim that the classification issue is subject to common proof.

Ill

Plaintiffs argue that “the critical determinant [in evaluating employment status] is the ‘existence of the right to control over the agent in respect of the manner in which his work is done.’ ”7 To be sure, our Circuit in Chaiken used the quoted language in determining that a journalist who wrote for the Village Voice from time to time on a per article basis was an independent contractor rather than an employee for purposes of deciding that the Village Voice was not liable on a respondeat superior basis for a defamatory statement in one of the journalist’s pieces. But Chaiken is not the last word on the subject.

This case is governed by state law, and it is the decisions of the New York Court of Appeals that ultimately control the analysis. In Bynog v. Cipriani Group, Inc.,8 a case decided six years after Chaiken, that court reversed a determination that banquet waiters at Cipriani-owned catering facilities were “employees” for purposes of the New York Labor Law. In the course of doing so, they conspicuously did not apply the “right to control” formulation used by the Second Circuit in Chaiken. It stated:

“Article 6 of the Labor Law governs employers’ payment of wages and benefits to employees. The parties agree that the critical inquiry in determining whether an employment relationship exists pertains to the degree of control exercised by the purported employer over the results produced or the means used to achieve the results (see Matter of Ted Is Back Corp. [Roberts], 64 N.Y.2d 725, 726, 485 N.Y.S.2d 742, 475 N.E.2d 113 [1984]; Matter of 12 Cornelia St. [Ross], 56 N.Y.2d 895, 897, 453 N.Y.S.2d 402, 438 N.E.2d 1117 [1982]; see also Matter of Morton, 284 N.Y. 167, 30 N.E.2d 369 [1940]). Factors relevant to assessing control include whether the worker (1) worked at his own convenience, (2) was free to engage in other employment, (3) received fringe benefits, (4) was on the employer’s payroll and (5) was on a fixed schedule (see Lazo v. Mak’s Trading Co., 84 N.Y.2d 896, 897, 620 N.Y.S.2d 794, 644 N.E.2d 1350 [1994] [applying standard in tort context]; see also Bhanti v. Brookhaven Mem. Hosp. Med. Ctr., 260 A.D.2d 334, 335, 687 N.Y.S.2d 667 [2d Dept. 1999]).”9

Thus, the critical determinant is the degree to which the purported employer exercises control in fact over the results produced or the means used to obtain them. Accordingly, while forms of agreement and other standardized documents surely are pertinent to the analysis, they are not necessarily dispositive of what, ultimately, would be an individualized determination of the degree of control that PCF actually exercised over each of the putative class members. A reliance even on unambiguous documents arguably would be insufficient to establish the requisite control in the face of contradictory evidence. Hence, plaintiffs’ effort to avoid consideration of what actually occurred with each putative class member by reference to the form ICA and the training materials is insufficient to show that there are common issues, that they predominate, or that the named plaintiffs’ claims are typical of the putative class members.10

[185]

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Cite This Page — Counsel Stack

Bluebook (online)
268 F.R.D. 181, 2010 WL 2428083, Counsel Stack Legal Research, https://law.counselstack.com/opinion/edwards-v-publishers-circulation-fulfillment-inc-nysd-2010.