Horner v. Little Caesar Enterprises, Inc.

CourtDistrict Court, N.D. New York
DecidedMay 15, 2025
Docket5:22-cv-01324
StatusUnknown

This text of Horner v. Little Caesar Enterprises, Inc. (Horner v. Little Caesar Enterprises, Inc.) is published on Counsel Stack Legal Research, covering District Court, N.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Horner v. Little Caesar Enterprises, Inc., (N.D.N.Y. 2025).

Opinion

UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF NEW YORK _____________________________________ GORDON HORNER and ANN MARIE HUDSON, individually and on behalf of all others similarly situated, Plaintiffs, -v- 5:22-CV-1324 (AJB/TWD) LITTLE CAESAR ENTERPRISES, INC., et al., Defendants. _____________________________________ Hon. Anthony J. Brindisi, U.S. District Judge:

DECISION & ORDER Plaintiffs Gordon Horner and Ann Marie Hudson, former employees of Little Caesars pizza restaurants, bring this action against defendants, a collection of business entities involved in franchise agreements with the pizza chain.1 Plaintiffs allege defendants violated the Fair Labor Standards Act (“FLSA”) and the New York Labor Law (“NYLL”) through a common policy and practice of not paying them and other similarly situated employees for all hours

1 Defendant Little Caesar Enterprises, Inc. is the national franchisor of the pizza restaurants that operate under the name “Little Caesars.” Parties stipulated to, and the Court dismissed, defendant Little Caesar Enterprises, Inc. on January 25, 2024. See Dkt. Nos. 94, 95. The remaining named defendants—Phoenix Nexus Limited Liability Company (“Phoenix Nexus”), Main St LC LLC (“Main Franchise”), Manlius St SY LC LLC (“Manlius Franchise”), Onondaga Blvd SY LC LLC (“Onondaga Franchise”), Salina St SY LC LLC (“Salina Franchise”), Wolf St SY LC LLC (“Wolf Franchise”), Bartell Rd SY LC LLC (“Bartell Franchise”), Second St SY LC LLC (“Second Franchise”), State Rt SY LC LLC (“State Franchise”), North St SY LC LLC (“North Franchise”), Seventh St SY LC LLC (“Seventh Franchise”), Central Ave SY LC LLC (“Central Franchise”), Oswego Rd SY LC LLC and (“Oswego Franchise”) (collectively, “Phoenix Nexus defendants”)—are either themselves parties to franchise agreements with the national franchisor or acted as guarantor to those agreements. worked or paying overtime worked. The matter, which was initially assigned to Senior U.S. District Judge Thomas J. McAvoy, has recently been reassigned to this Court. Dkt. No. 133. Before the Court is plaintiffs’ motion for an order (1) conditionally certifying the FLSA claims as a collective action pursuant to 29 U.S.C. § 216(b); (2) approving plaintiffs’ proposed

form and manner of notice to potential opt-in plaintiffs; and (3) equitably tolling the statute of limitations for those potential opt-ins. For the reasons below, plaintiffs’ motion is GRANTED in part and DENIED in part. I. BACKGROUND Plaintiffs have moved to conditionally certify a “collective action” pursuant to Section 216(b) of the FLSA. They submit a proposed Notice of Lawsuit Pendency and Consent to Join Form (“Consent Form”) for the Court’s approval. See Dkt. Nos. 84-10, 84-11. In support of their motion for conditional certification, plaintiffs provide declarations, pay stubs, employee handbooks, and hearing transcripts. Named plaintiff Gordon Horner (“Gordon”)2 worked for Little Caesars between

November 2018 and July 2022. Starting in September 2019, Gordon worked at locations owned or operated by the Phoenix Nexus defendants. Horner’s Aff., Dkt. No. 84-4 at ¶ 2. He began as an assistant manager at the Manlius Street franchise. Id. After four or five months, Gordon was transferred to the Wolf Street franchise, where he became a store manager. Id. In total, Gordon worked at five Phoenix Nexus locations: Main Street, Manlius, South Salina, West Onondaga, and Wolf Street. Id. His transfers, he says, were all made at defendants’ direction. Id. Managers, Gordon asserts, were expected to be hands-on, performing the same tasks as hourly employees. Id. ¶ 14. Gordon dedicated “nearly all of [his] time” performing those

2 Plaintiffs submitted affidavits and documents from Gordon Horner, Malaisha Hines, and Christina Hines in support of their pending Motion. For clarity and consistency, the Court refers to these plaintiffs by their first names. duties—cashiering; taking, preparing, and boxing orders; and keeping the restaurant clean, among others. Id. Gordon found these expectations and tasks consistent at each of the locations he worked. Id. Despite his title, Gordon spent little time on “managerial” tasks. Id. ¶ 15. Every week, about two hours went to “inputting crew member schedules,” based on labor hours set by

his superiors. Id. He spent twenty minutes a week placing truck orders: a task requiring little more than a button click, as the shipment contents were pre-set “by corporate.” Id. On the rare occasion he needed to make a change, it took about ten minutes. Id. Payroll approval took him about the same amount of time. Id. Though “approval” may be a misnomer, since Gordon had little latitude. Id. He could not adjust anything or change pay rates. Id. Given his workload, these managerial tasks often had to be done off the clock, usually from home. Id. About once a month, Gordon interviewed a job applicant. Id. It seldom took more than ten minutes, asking a few basic questions and checking boxes on a list. Id. If the applicant met the provided list’s criteria, Gordon sent their materials up the chain for approval and onboarding. Id. Gordon’s shifts were usually ten hours a day, five days a week: a total of fifty hours a

week. Horner’s Aff. ¶ 4. Often, he worked up to seventy hours. Id. The restaurants closed at 9:30 p.m., yet Gordon often had to stay later, sometimes as late as 1:00 a.m. Id. ¶ 5. Even so, he was required to clock out by 11:00 p.m. Id. If not, he risked reprimand. Id. Whenever another worker called out, Gordon had to cover. Id. ¶ 6. That happened between one and fifteen times a month. ¶ 6. Despite the extra hours, Gordon made no overtime pay at all. Id. ¶ 7. He earned, purportedly, a “flat salary.” Id. Notwithstanding being “salaried,” he had to clock in and out like an hourly employee. Id. When Gordon worked fewer than fifty hours, defendants paid him for the number of hours he actually worked: calculating his “hourly rate” by dividing his “salary” by fifty. Id. ¶ 9. However, when he worked more than fifty hours, neither his pay stubs nor his paycheck reflected it—fifty, sixty, or seventy hours, it made no difference; Gordon was paid the “flat salary” rate. Id. ¶ 13. Gordon provides corroborating pay records. See Dkt. No. 84-8. These records suggest a pattern of diminished pay for the weeks where he worked less than fifty hours. See, e.g., id. at 3

(providing the following over a seven-week period in August and September 2021—42.29 hours, $809.85 earned; 50 hours, $957.50 earned; 50 hours, $957.50 earned; 43.05 hours, $824.41 earned; 44.95 hours, $860.79 earned; 50 hours, $957.50 earned; 46.40 hours, $888.56 earned). Gordon eventually learned that his experience was not unique to him. From 2019 to 2021, defendants held group meetings for the different location managers at a Little Caesars in North Syracuse. Horner’s Aff., Dkt. No. 84-4 at ¶ 17. From conversations at those meetings, Gordon discovered that at least six of the other location “managers” there were paid as he was (i.e., hourly) and also spent most of their time doing the same work as hourly employees. Id. Eventually, in 2022, defendants switched to paying him and the other managers exclusively on an hourly basis (including overtime). Id. ¶ 16.

Malaisha Hines (“Malaisha”) and Christina Hines (“Christina”) offer comparable accounts. See Dkt. Nos. 84-5, 84-6. Both started at Phoenix Nexus defendant franchises in 2019 and left in Summer 2023. M. Hines’ Aff., Dkt. No. 84-5 at ¶ 2; C. Hines’ Aff., Dkt. No. 84-6 at ¶ 2. Malaisha worked at several of the same franchises as Gordon did: Main Street, Manlius, Onondaga, and Salinas. Christina worked at Main Street and Manlius (like Gordon and Malaisha), in addition to the Brewerton and Oswego franchises (the latter of which was also worked at by Malaisha).

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