Ghusain v. Webb

CourtDistrict Court, N.D. California
DecidedJune 10, 2025
Docket3:24-cv-01863
StatusUnknown

This text of Ghusain v. Webb (Ghusain v. Webb) 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
Ghusain v. Webb, (N.D. Cal. 2025).

Opinion

1 2 3 4 UNITED STATES DISTRICT COURT 5 NORTHERN DISTRICT OF CALIFORNIA 6 7 AMEER ALGHUSAIN, Case No. 24-cv-01863-JSC

8 Plaintiff, ORDER RE: MOTIONS TO DISMISS v. 9 Re: Dkt. Nos. 77, 78, 79, 80 10 PETER WEBB, et al., Defendants. 11

12 Ameer Alghusain filed suit alleging violations of “state and federal laws concerning 13 retaliation, unpaid wages, defamation, interference with prospective economic relations and 14 misappropriation of trade secrets.” (Dkt. No. 74 ¶ 1.) Now pending before the Court are motions 15 to dismiss filed by Balfour Beatty Infrastructure, Inc. (“Balfour”), (Dkt. No. 78), and Scott 16 Richards, Wayne Richardson, and U.S. Rail Systems, Inc., (Dkt. No. 79). Having carefully 17 considered the parties’ submissions, the Court concludes oral argument is not required, see N.D. 18 Cal. Civ. L.R. 7-1(b), and GRANTS in part and DENIES in part the motions to dismiss. Plaintiff 19 plausibly alleges an employment relationship for purposes of the state law retaliation, overtime, 20 meal break, rest period, and wage statement claims. But Plaintiff fails to allege sufficient facts to 21 support his defamation, interference with prospective economic relations, and trade secret claims. 22 As to the federal retaliation claims, those are dismissed as to Mr. Richards and Mr. Richardson 23 because Plaintiff’s administrative complaint failed to provide them fair notice of the present suit. 24 BACKGROUND 25 I. COMPLAINT ALLEGATIONS 26 Plaintiff “is a Railroad & Trains Engineer.” (Dkt. No. 74 ¶ 13.)1 In June 2023, United 27 1 Construction Management, Inc. (“United”) approached him “on behalf of Defendant Balfour to 2 solicit his high-level electrical engineering skills and services.” (Id. ¶ 15.) United offered him “a 3 ‘contractor’ position as Senior Electrical Trains & Electrification Engineer to work for Balfour in 4 the last stage of CALTRAIN electrification project.” (Id. ¶ 16.) “From July 3, 2023, and until 5 August 3, 2023, Mr. Alghusain was an employee (or in the alternative a contractor) for United and 6 Balfour in a joint employer relationship.” (Id. ¶ 18.) “Defendants required him to work 50 hours 7 per week, every day in the offices of Defendant Balfour, under direct supervision of Scott 8 Richards, Wayne Richardson and Michael Vaz, who in turn reported to Peter Webb.” (Id. ¶ 42.) 9 Part of Plaintiff’s role was “complet[ing] the safety, operations, maintenance and 10 training documents and hand[ing] the documents to CALTRAIN on behalf of Balfour for 11 proper and safe implementation to operate the new electric trains by 2023.” (Id. ¶ 39.) Plaintiff 12 “discovered that these important and safety-sensitive documents created by Balfour were 13 unprofessional in copy/paste formats from the internet.” (Id. ¶ 51.) Plaintiff “clearly stated to the 14 management team including Michael Vaz and Matt Brassington from Balfour and Wayne 15 Richardson from United . . . that the quality and quantity of these documents [were] not compliant 16 with the railroad safety standards.” (Id. ¶ 54.) Plaintiff also expressed these concerns to Mr. 17 Richards, President of United. (Id. ¶ 65.) In response, Plaintiff was told by Mr. Richardson and 18 Mr. Richards to “just sign the documents and stop sending e-mails.” (Id. ¶¶ 58; id. ¶ 63 (“just 19 ignore them and sign the documents”); id. ¶ 65 (“just listen to Wayne and sign on these 20 documents”); id. ¶ 76 (“I do not care if the documents are wrong or unsafe, just sign the 21 documents and send over to CALTRAIN, we need to close this project and leave asap.”); id. ¶ 81 22 (“finish the documents and sign on the reports even if they are wrong or unsafe”).) Plaintiff 23 “submitted a total of 20 documents which he considered safe and adequate, but he refused to sign 24 on the other 100+ pending documents because they [were] wrong, unsafe and required re-testing 25 and re-construction.” (Id. ¶ 79.) Plaintiff also went to power stations “to validate what [was] on 26 engineering/ safety papers . . . match[ed] the actual products/installation in the field” and was told 27 “to stop looking at the field and only finish and sign the submittals papers at the office blindly.” 1 On August 3, 2023, Mr. Richardson called Plaintiff on the phone. “Mr. Webb got on the 2 call and said with loud and angry voice to Mr. Alghusain: ‘Do not bother coming to the office 3 tomorrow, F*** off, you are fired’.” (Id. ¶ 93.) After Plaintiff’s termination, Mr. Richards and 4 Mr. Richardson used documents, manuals, and presentations Plaintiff developed “without any 5 regards to [Plaintiff’s] brand name and trademark US Rail™ that is solely owned by Ameer 6 Alghusain in the electric trains and electrification markets since 2002.” (Id. ¶ 102.) 7 II. PROCEDURAL HISTORY 8 In August 2023, “Plaintiff filed a pro se complaint with United States Department of 9 Labor . . . under the Federal Railroad Safety Act and the National Transit Systems Security Act.” 10 (Id. ¶ 12.) He received a right to sue letter in April 2024. (Id.) 11 In March 2024, he filed suit without attorney representation. (Dkt. No. 1.) Upon retaining 12 counsel, he filed an amended complaint in June 2024 asserting 15 causes of action. (Dkt. No. 7.) 13 United moved to dismiss the breach of contract, unjust enrichment, and fraud claims and to strike 14 the punitive and emotional distress damages requests. (Dkt. No. 22.) Balfour joined United’s 15 motion. (Dkt. No. 29.) In September 2024, the Court denied United’s motion to dismiss as moot 16 because Plaintiff settled his claims against United. (Dkt. No. 44.) The Court granted Balfour’s 17 motion to dismiss with leave to amend and denied its motion to strike.2 (Id.) 18 On April 18, 2025, Plaintiff filed the Amended Complaint at issue alleging 12 causes of 19 action. The First and Second Causes of Action allege Balfour and Individual Defendants3 violated 20 the Federal Railroad Safety Act (“FRSA”) and National Transit Systems Security Act (“NTSSA”) 21 by “terminat[ing] [Plaintiff’s] contract and employment because he reported to Balfour, United 22 and CALTRAIN and the federal authorities that the safety, operations, maintenance and training 23 documents required by CALTRAIN [were] unsafe, incomplete and inadequate and they [would] 24 endanger Americans if used as a basis to operate or maintain the CALTRAIN commuter rail line.” 25

26 2 Mr. Richards was served on August 28, 2024. (Dkt. No. 41.) Mr. Richardson waived service on September 6, 2024. (Dkt. No. 42.) So, their responsive pleadings were not yet due. 27 3 The Individual Defendants are Peter Webb, Wayne Richardson, and Scott Richards. (Dkt. No. 1 (Id. ¶¶ 74, 121.) The Third Cause of Action alleges Balfour and Individual Defendants violated 2 California Labor Code § 1102.5 by “discharge[ing] him in retaliation for his disclosure of 3 improper safety practices and documentation.” (Id. ¶ 129.) Causes of Action Four through Seven 4 allege Balfour and Individual Defendants violated the California Labor Code by intentionally 5 misclassifying Plaintiff as an independent contractor and thus failing to provide overtime 6 compensation, meal breaks, rest periods, and wage statements. (Id. ¶¶ 135-51.) Cause of Action 7 Eight, against Balfour, alleges a UCL violation premised on these employment claims. (Id. ¶ 8 160.) Cause of Action Nine alleges Balfour and Individual Defendants defamed Plaintiff through 9 false statements made to CALTRAIN, union representatives, and other subcontractors. (Id. ¶¶ 10 164-66.) The Tenth Cause of Action against all Defendants alleges interference with prospective 11 economic relations on the ground Plaintiff did not get a three-year contract because of the 12 defamatory statements. (Id. ¶¶ 172-73.) Finally, Causes of Action Eleven and Twelve against 13 Individual Defendants, Richards and Richardson, and U.S. Rail Systems allege misappropriation 14 of trade secrets in violation of federal and state law. (Id. ¶¶ 176-90.) 15 U.S. Rail Systems, Mr.

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