Martinez v. ADG Innovations LLC

CourtDistrict Court, S.D. Florida
DecidedAugust 7, 2025
Docket0:24-cv-61015
StatusUnknown

This text of Martinez v. ADG Innovations LLC (Martinez v. ADG Innovations 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
Martinez v. ADG Innovations LLC, (S.D. Fla. 2025).

Opinion

SUONUITTEHDE RSTNA DTIESTS RDIICSTTR OIFC TFL COORUIRDTA

CASE NO. 0:24-CV-61015-LEIBOWITZ/AUGUSTIN-BIRCH

ANDRES FELIPE MARTINEZ, et al.,

Plaintiffs,

v.

ADG INNOVATIONS LLC, et al.,

Defendants. ________________________________________/

REPORT AND RECOMMENDATION ON PLAINTIFFS’ VERIFIED AMENDED MOTION FOR DEFAULT JUDGMENT

This cause comes before the Court on Plaintiffs Andres Felipe Martinez, Kurt Albert Pancham, Brandon Cordero Jimenez, Kendra Talesha Prevalus, and Selena Sabrina Clarke’s Verified Amended Motion for Default Judgment. DE 24. The Honorable David S. Leibowitz, United States District Judge, referred the Amended Motion to the undersigned United States Magistrate Judge for a report and recommendation. DE 26. Having carefully considered the record, the Amended Motion, and Plaintiffs’ amended affidavits and being otherwise fully advised in the premises, the Court RECOMMENDS GRANTING IN PART AND DENYING IN PART Plaintiffs’ Verified Amended Motion for Default Judgment [DE 24]. I. Background

In their Second Amended Complaint, Plaintiffs allege that Defendant Amanda Delany Glass is the owner and/or manager of Defendant ADG Innovations LLC. DE 15 ¶ 17. Plaintiffs further allege that they worked for Defendants as insurance sales agents and that Defendants knowingly and willfully failed to pay them the minimum and overtime wages to which they were legally entitled. Id. ¶¶ 18–32. As such, Plaintiff Martinez seeks $2,192.47––comprised of $1,020 in unpaid minimum wages, $76.24 Standards Act (“FLSA”). DE 15-1. Plaintiff Pancham seeks $2,442.86––comprised of $1,157.14 in unpaid minimum wages, $64.29 in unpaid overtime wages, and $1,221.43 in liquidated damages––from Defendants under the FLSA. DE 15-2. Plaintiff Jimenez seeks $816––comprised of $408 in unpaid minimum wages and $408 in liquidated damages––from Defendants under the FLSA. DE 15-3. Plaintiff Prevalus seeks $2,280—comprised of $1,080 in unpaid minimum wages, $60 in unpaid overtime wages, and $1,140 in liquidated damages––from Defendants under the FLSA. DE 15-4. Lastly, Plaintiff Clarke seeks $2,181.59––comprised of $1,002.86 in unpaid minimum wages, $87.94 in unpaid overtime wages, and $1,090.79 in liquidated damages––from Defendants under the FLSA. DE 15-5. After Defendants failed to respond to Plaintiffs’ Second Amended Complaint, Judge Leibowitz issued an order to show cause, ordering Defendants to file a responsive pleading by a date certain. DE

16. When Defendants failed to file a responsive pleading as ordered, Plaintiffs filed a Verified Motion for Default Judgment. DE 18. Plaintiffs also moved for, and obtained, a clerk’s entry of default for Defendants. DE 21; DE 22. This Court denied without prejudice Plaintiffs’ Verified Motion for Default Judgment on account of several deficiencies. See DE 23. Thereafter, Plaintiffs filed the present Verified Amended Motion for Default Judgment. DE 24. Defendants have not responded to the Amended Motion, and the time for them to do so has passed. II. Liability “When a defendant has failed to plead or defend, a district court may enter judgment by default.” Surtain v. Hamlin Terrace Found., 789 F.3d 1239, 1244 (11th Cir. 2015). “While a defaulted defendant

is deemed to admit the plaintiff’s well-pleaded allegations of fact, he is not held to admit facts that are not well-pleaded or to admit conclusions of law.” Id. at 1245 (alteration and quotation marks omitted). “Entry of default judgment is only warranted when there is a sufficient basis in the pleading for the judgment entered.” Id. (quotation marks omitted). That is to say, a complaint must be able to survive a

1 The total amount claimed is one penny shy of the total of all claimed damages. motion to dismiss for failure to state a claim in order for the plaintiff to obtain a default judgment. Id. (“[W]e have subsequently interpreted the [sufficient basis] standard as being akin to that necessary to survive a motion to dismiss for failure to state a claim.”); see also Chudasama v. Mazda Motor Corp., 123 F.3d 1353, 1370 n.41 (11th Cir. 1997) (“[A] default judgment cannot stand on a complaint that fails to state a claim.”). To establish a claim for unpaid minimum and overtime wages under the FLSA, Plaintiffs must demonstrate that: (1) Defendants employed them, (2) either they were engaged in interstate commerce or Defendants were an enterprise engaged in interstate commerce, and (3) they were not paid minimum and overtime wages. See, e.g., Moore v. King Game, Inc., No. 19-21391-CIV, 2021 WL 4295400, at *2 (S.D. Fla. Feb. 24, 2021), report and recommendation adopted, No. 19-21391-CIV, 2021 WL 4290870

(S.D. Fla. Sept. 21, 2021); Wallace v. The Kiwi Grp., Inc., 247 F.R.D. 679, 682 (M.D. Fla. 2008); Harding-bey v. Pathways Therapy Servs., LLC, No. 6:20-CV-1110-ACC-LRH, 2021 WL 1894603, at *3 (M.D. Fla. Apr. 20, 2021), report and recommendation adopted, No. 6:20-CV-1110-ACC-LRH, 2021 WL 1893968 (M.D. Fla. May 11, 2021). The Second Amended Complaint meets each of these requirements. Specifically, by their default, Defendants have admitted the following well-pled allegations in the Second Amended Complaint. First, Plaintiffs allege that Defendants were their employers and that Defendant Glass had operational control over Defendant ADG Innovations, DE 15 ¶¶ 2, 17, which makes Defendant Glass jointly and severally liable under the FLSA. See Wallace, 247 F.R.D. at 682 (explaining

that a corporate officer with operational control of a corporation is an employer along with the corporation and is jointly and severally liable for any FLSA violations). Second, Plaintiffs aver that enterprise coverage exists on account of Defendant ADG Innovations having over $500,000 in gross sales or business generated and employees who handle, sell, or otherwise work on goods or materials that were moved in or produced for commerce, such as computers, phones, pens, and paper. DE 15 ¶¶ 4–5; see Polycarpe v. E&S Landscaping Serv., Inc., 616 F.3d 1217, 1220 (11th Cir. 2010) (“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 that 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.” (quotation marks omitted)); see, e.g., Certain v. Van Horst Gen. Contractors, LLC., No. 20-60395-CIV, 2020 WL 10618316, at *2 (S.D. Fla. Apr. 10, 2020) (“Plaintiffs’ allegation that Defendant had two (2) or more employees handling or otherwise working with telephones, computers and other office supplies and materials that had been moved in commerce, which were used directly in furtherance of Defendant’s commercial activity of

construction is adequate at the pleading stage for the first prong of enterprise coverage.” (citation omitted)); Sims v. UNATION, LLC, 292 F. Supp. 3d 1286, 1293 (M.D. Fla. 2018) (concluding that plaintiff’s enterprise coverage claim––which alleged that defendant’s employees used tools and equipment including computers, pens, and paper that were moved in or produced for commerce––was sufficient to survive motion to dismiss). Plaintiffs also allege that individual coverage exists under the FLSA due to them engaging in interstate commerce by communicating multiple times per day via telephone with customers located outside of Florida. DE 15 ¶¶ 7–16; see St. Elien v. All Cnty. Env’t Servs., Inc., 991 F.3d 1197, 1199 (11th Cir. 2021) (holding that, when an employee communicates with

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Bluebook (online)
Martinez v. ADG Innovations LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/martinez-v-adg-innovations-llc-flsd-2025.