Gonzalez v. OLD LISBON RESTAURANT & BAR LLC

820 F. Supp. 2d 1365, 2011 WL 5082158
CourtDistrict Court, S.D. Florida
DecidedOctober 25, 2011
DocketCase No. 11-21147-CIV
StatusPublished
Cited by4 cases

This text of 820 F. Supp. 2d 1365 (Gonzalez v. OLD LISBON RESTAURANT & BAR LLC) is published on Counsel Stack Legal Research, covering District Court, S.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Gonzalez v. OLD LISBON RESTAURANT & BAR LLC, 820 F. Supp. 2d 1365, 2011 WL 5082158 (S.D. Fla. 2011).

Opinion

820 F.Supp.2d 1365 (2011)

Pastor Jesus GONZALEZ and all others similarly situated under 29 U.S.C. 216(B), Plaintiff,
v.
OLD LISBON RESTAURANT & BAR L.L.C. Old Lisbon Sunset, L.L.C Carlos Silva, Defendants.

Case No. 11-21147-CIV.

United States District Court, S.D. Florida.

October 25, 2011.

*1366 Jamie H. Zidell, K. David Kelly, J.H. Zidell, PA, Miami Beach, FL, for Plaintiff.

*1367 Benjamin Eric Olive, Kristy E. Armada, Olive & Associates PA, Fort Lauderdale, FL, for Defendants.

ORDER GRANTING DEFENDANTS' MOTION TO DISMISS PLAINTIFF'S AMENDED COMPLAINT

JONATHAN GOODMAN, United States Magistrate Judge.

This cause is before me on the Motion to Dismiss Plaintiffs Amended Complaint filed by Old Lisbon Restaurant & Bar L.L.C., Old Lisbon Sunset, L.L.C., and Carlos Silva (collectively "Defendants"). [ECF No. 17]. On June 20, 2011, Plaintiff, Pastor Jesus Gonzalez, filed a response in opposition to Defendants' motion to dismiss. Defendants did not file a reply and the time for doing so has now expired, which means the motion is ripe for a ruling.

For the reasons described below, Defendants' motion to dismiss is GRANTED and Plaintiff's complaint is DISMISSED WITHOUT PREJUDICE. Plaintiff may file an amended complaint within 14 days of today's date.

I. BACKGROUND

This is an action seeking unpaid overtime and minimum wages pursuant to the Fair Labor Standards Act, 29 U.S.C. § 201, et seq. [ECF No. 11]. In his Amended Complaint, Plaintiff claims that he worked as a busboy for Defendants from approximately January 4, 2010 to January 2, 2011, but that he was never paid minimum wage or overtime compensation as required by the FLSA. [Id. at ¶¶ 11-13, 23].[1] Plaintiff alleges that the individual defendant, Carlos Silva, was the managing member and day-to-day operator of the corporate defendants. [Id. at ¶ 5].

In the typical FLSA scenario, an employee sues a single employer for whom the employee worked more than forty hours per week. Plaintiff does not allege that he ever worked more than forty hours per week for a single defendant. Rather, he contends that he worked an average of sixty hours per week combined between the two corporate defendants and seeks to establish that his employment was covered by the FLSA under a joint enterprise theory.

Defendants moved to dismiss the amended complaint. [ECF No. 17]. According to Defendants, Plaintiff failed to state a claim under a joint enterprise theory because he did not sufficiently allege that both corporate defendants perform related activities for a common business purpose. Plaintiff contends in response that, to state a claim under the FLSA, he is only required to allege (1) a failure to pay overtime/minimum wages to covered employees and/or (2) a failure to keep appropriate payroll records. Plaintiff also claims that he has, in any event, alleged the purportedly necessary elements in paragraph 10 of his amended complaint and that "Defendants cannot claim they do not understand what the allegations are regarding Plaintiffs joint enterprise theory."

II. LEGAL STANDARDS

a. Motion to Dismiss Under Rule 12(b)(6)

Whether enterprise coverage exists is a question that implicates both the Court's jurisdiction and the merits of the case. Roberts v. Caballero & Castellanos, *1368 P.L., No. 09-23131-CIV, 2010 WL 114001, at *2 (S.D.Fla. Jan. 11, 2010); Diaz v. Solmar Rest., Inc., No. 08-21379-CIV, 2008 WL 5787709, at *1 (S.D.Fla. Dec. 22, 2008). Where the existence of enterprise coverage is questioned, the appropriate action "is for the district court to `find that jurisdiction exists and deal with the objection as a direct attack on the merits of the plaintiff's case'" under Federal Rule of Civil Procedure 12(b)(6). Roberts, 2010 WL 114001, at *2 (quoting Diaz, 2008 WL 5787709, at *1 (collecting cases supporting this proposition)).

In reviewing a motion to dismiss under Rule 12(b)(6), all well-pleaded facts in the plaintiff's complaint and all reasonable inferences drawn from those facts must be taken as true. Jackson v. Okaloosa Cnty., Fla., 21 F.3d 1531, 1534 (11th Cir.1994). Federal Rule of Civil Procedure 8(a)(2) requires a "short and plain statement of the claim showing that the pleader is entitled to relief." Ashcroft v. Iqbal, 556 U.S. 662, 129 S.Ct. 1937, 1950, 173 L.Ed.2d 868 (2009) (quoting rule).

"While a complaint attacked by a Rule 12(b)(6) motion to dismiss does not need detailed factual allegations, a plaintiff's obligation to provide the `grounds' of his `entitle[ment] to relief' requires more than labels and conclusions, and a formulaic recitation of the elements of a cause of action will not do." Bell Atlantic Corp. v. Twombly, 550 U.S. 544, 555, 127 S.Ct. 1955, 167 L.Ed.2d 929 (2007). Instead, a plaintiff must plead enough facts to state a plausible basis for the claim. Id.

b. FLSA Enterprise Coverage Standard

An employer falls under the enterprise coverage section of the FLSA if it: (1) "has employees engaged in commerce or in the production of goods for commerce, or . . . has employees handling, selling, or otherwise working on goods or materials that have been moved in or produced for commerce by any person;" and (2) has at least $500,000 of "annual gross volume of sales made or business done." 29 U.S.C. § 203(s)(1)(A); accord Polycarpe v. E & S Landscaping Serv. Inc., 616 F.3d 1217, 1220 (11th Cir.2010). Two nominally separate businesses can be considered a joint enterprise for purposes of establishing enterprise coverage.

The test for determining whether a joint enterprise exists is flexible. See Cornell v. CF Ctr., LLC, 410 Fed.Appx. 265, 268 (11th Cir.2011) (noting that courts must "look beyond formalistic corporate separation to the actual, pragmatic operation and control, whether unified or, instead, separate as to each unit") (quoting Donovan v. Grim Hotel Co., 747 F.2d 966, 970 (5th Cir.1984)). But to proceed under this joint enterprise theory, a plaintiff must at least allege facts which demonstrate the two businesses: (1) performed related activities, (2) through a unified operation or common control, and (3) for a common business purpose. 29 C.F.R. § 779.202; Donovan v. Easton Land & Dev., Inc., 723 F.2d 1549, 1551 (11th Cir. 1984); Jimenez v. Southern Parking, Inc., No.

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820 F. Supp. 2d 1365, 2011 WL 5082158, Counsel Stack Legal Research, https://law.counselstack.com/opinion/gonzalez-v-old-lisbon-restaurant-bar-llc-flsd-2011.