Jones v. SCO Family of Services

202 F. Supp. 3d 345, 2016 U.S. Dist. LEXIS 107868, 2016 WL 4257523
CourtDistrict Court, S.D. New York
DecidedAugust 10, 2016
Docket15 Civ. 8733 (GBD)
StatusPublished
Cited by14 cases

This text of 202 F. Supp. 3d 345 (Jones v. SCO Family of Services) 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
Jones v. SCO Family of Services, 202 F. Supp. 3d 345, 2016 U.S. Dist. LEXIS 107868, 2016 WL 4257523 (S.D.N.Y. 2016).

Opinion

MEMORANDUM DECISION AND ORDER

GEORGE B. DANIELS, United States District Judge

Plaintiff Doreen Jones initially filed this action, on behalf of herself and others similarly situated, before the Supreme Court of New York State in New York County (“the state court”) on October 13, 2015 against Defendants SCO Family of Services (“SCO”), Douglas O’Dell, Diane Krasnoff, Sybrina Richardson, and Joann Josey (collectively “Management Defendants”) under the Fair Labor Standards Act (“FLSA”), 29 U.S.C. §§ 201, 207(a)(1), and the New York State Labor Law (“NYLL”) for unpaid overtime wages. (See Complaint, ECF No. 4, Ex. A to Notice of Removal (“Notice”), ¶¶ 55-66.) Defendants removed to this Court under 28 U.S.C. §§ 1331 and 1441 on November 4, 2015, with jurisdiction arising out of Plaintiffs FLSA claim. (See Notice, at 1.)

Plaintiff, employed by SCO as a case worker since December 8, 2008, asserts that Defendants have intentionally failed to pay her, and other past and current ease workers, overtime wages. (Compl. ¶¶ 4, 25, 53.) As a result of Defendants’ conduct, Plaintiff alleges economic loss in the form of lost wages, plus an equivalent amount of liquidated damages and prejudgment interest. (See Compl. ¶¶ 60, 66.) Plaintiff seeks certification of the putative class and/or as a collective action, and that she and her attorneys be named as class representative and counsel, respectively. (Compl., Prayer for Relief.) Plaintiff also seeks declaratory and injunctive relief, compensatory and liquidated damages plus prejudgment interest, expert and attorneys’ fees, as well as any other “just and proper” relief. (Id.)

Defendants move to dismiss the Complaint for failure to state a claim upon which relief can be granted pursuant to Federal Rule of Civil Procedure 12(b)(6). (Defs.’ Mot. to Dismiss, ECF No. 15; Defs.’ Mem. in Supp. of Mot. to Dismiss (“Mem.”), ECF No. 17, at 1.)1 Defendants argue Plaintiff has failed to allege (1) that SCO is an enterprise engaged in commerce under the FLSA; (2) that Plaintiff is an individual engaged in interstate commerce; and (3) that Plaintiff has failed to plead individual liability as to the Management Defendants. (Mem. at 1.) Defendants also argue that, upon dismissal of Plaintiffs federal FLSA claim, this Court should also dismiss Plaintiffs New York Labor Law claim.2 (Id.)

[347]*347Defendant SCO is a not-for-profit corporation excluded from FLSA regulations. It is not an enterprise and Plaintiff is not a covered individual. Plaintiff therefore has failed to state a claim for FLSA overtime wage violations upon which relief can be granted. Defendants’ motion to dismiss the First Cause of Action for FLSA overtime violations is hereby GRANTED. Further, this Court declines to exercise supplemental jurisdiction over the Second Cause of Action for overtime wage violations brought under New York Labor Law.

I. FACTUAL BACKGROUND

Plaintiff alleges that Defendant SCO is a “domestic not-for-profit organization incorporated in the State of New York,” whose mission includes, inter alia, “facilitatfing] the placement of children with families.” (Compl. ¶¶8, 34.) According to Plaintiff, SCO has a total revenue of approximately $245 million a year and “extensive operations in New York County,” leading to “hundreds of millions of dollars” in fees paid to SCO. (Id. ¶¶ 1, 8-9.) Plaintiff further alleges that SCO “receives contributions, grants and revenue from various persons, companies and organizations outside of New York States [sic], as well as within New York State, ... regularly solicits contributions and revenues,” and “regularly orders supplies” from parties within and outside of New York. (Id. ¶¶ 10-11.) Plaintiff alleges that SCO is “an enterprise engaged in interstate commerce within the meaning of the FLSA.” (Id. ¶ 13.)

Case workers, such as Plaintiff, allegedly visit client homes to meet with families and children on a regular basis, appear in court, and complete paperwork in connection with case files and office administration. (Id. ¶¶ 34, 40.) Plaintiff alleges that over her almost eight-year tenure as an employee of SCO, her salary increased from $35,500 to $38,515, but that she receives no additional compensation for time worked in excess of forty hours. (Id. ¶¶ 49-51). Plaintiff further alleges that she and other putative class members3 have regularly worked approximately fifty-five hours, and sometimes up to seventy, hours a week. (Id. ¶¶ 36, 39.) Plaintiff and putative class members allegedly lack an automated system to track their hours and use a bi-weekly written time sheet to record their time. (Id. ¶¶ 42-44.)

Plaintiff alleges that she has been “discouraged by management from submitting time sheets showing any overtime hours worked,” (id. ¶ 45), “with the threat of termination if the work is not completed” according to deadlines. (Id. ¶ 3.) According to Plaintiff, Defendants have knowingly and intentionally misclassified her and the putative class members as exempt employees, and regularly return time sheets showing in excess of forty hours worked in a workweek. (Id. ¶¶ 35, 41, 47-48.)

II. LEGAL STANDARD

To survive a motion to dismiss, “a complaint must contain sufficient factual matter, accepted as true, to ‘state a claim to relief that is plausible on its face.’ ” Ashcroft v. Iqbal, 556 U.S. 662, 678, 129 S.Ct. 1937, 173 L.Ed.2d 868 (2009) (quoting Bell Atl. Corp. v. Twombly, 550 U.S. 544, 570, 127 S.Ct. 1955, 167 L.Ed.2d 929 (2007)). A plaintiff must demonstrate “more than a sheer possibility that a defendant has acted unlawfully”; stating a facially plausible claim requires pleading facts that enable [348]*348the court “to draw the reasonable inference that the defendant is liable for the misconduct alleged.” Iqbal, 556 U.S. at 678, 129 S.Ct. 1937. That is, the factual allegations pleaded “must be enough to raise a right to relief above the speculative level.” Twombly, 550 U.S. at 555, 127 S.Ct. 1955. “[A] pleading that does nothing more than recite bare legal conclusions is insufficient to ‘unlock the doors of discovery.’ ” Arena v. Delux Transp. Servs., Inc., No. 12 Civ. 1718, 2013 WL 654418, at *2 (E.D.N.Y. Feb. 15, 2013) (quoting Iqbal, 556 U.S. at 678, 129 S.Ct. 1937).

A district court must first review a plaintiffs complaint to identify allegations that, “because they are no more than conclusions, are not entitled to the assumption of truth.” Iqbal, 556 U.S. at 679, 129 S.Ct. 1937. The court then considers whether Plaintiffs remaining well-pleaded factual allegations, assumed to be true, “plausibly give rise to an entitlement to relief.” Id. In deciding the 12(b)(6) motion, the court accepts the complaint’s well-pleaded factual allegations as true and draws all reasonable inferences in the non-moving party’s favor.

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202 F. Supp. 3d 345, 2016 U.S. Dist. LEXIS 107868, 2016 WL 4257523, Counsel Stack Legal Research, https://law.counselstack.com/opinion/jones-v-sco-family-of-services-nysd-2016.