Moreno v. Autozone, Inc.

251 F.R.D. 417, 2008 WL 2271599
CourtDistrict Court, N.D. California
DecidedMay 30, 2008
DocketNo. C 05-04432 CRB
StatusPublished
Cited by11 cases

This text of 251 F.R.D. 417 (Moreno v. Autozone, Inc.) 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
Moreno v. Autozone, Inc., 251 F.R.D. 417, 2008 WL 2271599 (N.D. Cal. 2008).

Opinion

CLASS CERTIFICATION ORDER

CHARLES R. BREYER, District Judge.

This case arises out of alleged wage and hour violations at AutoZone’s approximately 418 California stores. Now pending before the Court is Plaintiff Michelle Medrano’s motion to certify two classes pursuant to Federal Rule of Civil Procedure 23. Plaintiffs [420]*420motion is DENIED as to the “off-the-clock” class for the reasons stated at the certification hearing held on May 30, 2008. For the reasons set forth below, the Court GRANTS the certification motion as to the “late paycheck” class.

Background

According to Plaintiff, AutoZone has a statewide business practice of not paying final pay checks to terminated employees within the time required by California law. California law requires that employers who discharge an employee pay all earned and unpaid wages “immediately.” Cal. Lab.Code § 201(a). If an employee gives 72 hours or more notice, then final wages are due on the last day of employment; if an employee does not give notice, then final wages are due within 72 hours. See id. § 202. Plaintiff has submitted evidence demonstrating that of 184 former AutoZone employees who worked at two sample California stores, 164 employees received final paychecks after the time required by California law. See Motion for Certification Exh. 35. According to Plaintiff, the high rate of late paychecks is the result of AutoZone’s systematic failure to implement safeguards that would ensure prompt payment of final wages.

AutoZone has only one payroll department, see Dessem Depo. 9:11-14, and it is department policy to cut a final check for employees — even employees who give 72 hours notice — only after the payroll department receives notification of the amount of hours to be paid on the final paycheck, see Kublacki Depo. 53:3-54:21. Since the final check is mailed next day/overnight, an employee who gives notice does not receive a final check on the last day of employment, but at best the next day.

AutoZone argues that it is company policy to pay employees on their date of discharge or as required by California law. See Tift Decl. Exh. A at 37:20-38:1. Further, Auto-Zone challenges Plaintiffs statistical evidence on the ground that Plaintiffs expert calculated the difference between receipt of the final wage check and the last work day, rather than between the receipt date and the separation date. According to AutoZone, an employee might have separated after the last day worked (e.g., separate without prior notice on a Monday after working until the preceding Friday). Further, AutoZone questions whether some or most of the delays are attributable to justifiable reasons, such as responses to employee tax requests or resolution of disputes over wage, vacation, or expense reimbursements.

Plaintiff has proposed the following definition for the late pay class:

The Late Pay Class consists of all former California employees, whose employment with AutoZone ended within the applicable statutory period prior to the filing of this action and who did not receive all wages when due as required by California law.

Legal Standard

The party seeking certification bears the burden of showing that each of the four requirements of Rule 23(a) and at least one requirement of Rule 23(b) have been met. See Dukes v. Wal-Mart, Inc., 509 F.3d 1168, 1176 (9th Cir.2007). In turn, the district court must conduct a rigorous analysis to determine that the prerequisites of Rule 23 have been met. See Gen. Tel. Co. v. Falcon, 457 U.S. 147, 161, 102 S.Ct. 2364, 72 L.Ed.2d 740 (1982). If a court is not fully satisfied, certification should be refused. Id.

Rule 23(a) requires that all of the following four factors be met: “(1) the class is so numerous that joinder of all members is impracticable, (2) there are questions of law or fact common to the class, (3) the claims or defenses of the representative parties are typical of the claims or defenses of the class, and (4) the representative parties will fairly and adequately protect the interests of the class.” In short, the class must satisfy the requirements of numerosity, commonality, typicality, and adequacy.

Rule 23(b) requires, in relevant part, that one of three additional requirements be met. Here, plaintiffs assert that this case falls within Rule 23(b)(3), which requires the Court to find “that the questions of law or fact common to class members predominate over any questions affecting only individual members, and that a class action is superior [421]*421to other available methods for fairly and efficiently adjudicating the controversy.” Fed.R.Civ.P. 23(b)(3). Matters pertinent to the Court’s inquiry include: “(A) the class members’ interests in individually controlling the prosecution or defense of separate actions; (B) the extent and nature of any litigation concerning the controversy already begun by or against class members; (C) the desirability or undesirability of concentrating the litigation of the claims in the particular forum; and (D) the likely difficulties in managing a class action.” Id.

Analysis

I. Rule 23(a) Factors

1. Numerosity

Under the first Rule 23(a) factor, the class must be “so numerous that joinder of all members is impracticable.” Fed.R.Civ.P. 23(a)(1). Plaintiffs need not state the exact number of potential class members; nor is a specific minimum number of class members required. See Dukes v. Wal-Mart Stores, Inc., 222 F.R.D. 137, 144 (N.D.Cal. 2004). Rather, whether joinder is impracticable depends on the facts and circumstances of each case. See id.

AutoZone does not directly contest numerosity, and a challenge to numerosity would certainly fail. If Plaintiffs statistical evidence is extrapolated to all California stores, then as many as 34,000 employees may have received paychecks after the requisite time period (assuming that Plaintiffs evidence is accurate). Under the circumstances, it would be impracticable to join all potential class members without utilization of the class action mechanism.

Instead of challenging numerosity, AutoZone argues that Plaintiff has failed to prove the existence of an ascertainable class. See Opp. at 10. Under California law, the party seeking certification bears the burden of proving an “ascertainable class.” See Linder v. Thrifty Oil Co., 23 Cal.4th 429, 435, 97 Cal.Rptr.2d 179, 2 P.3d 27 (2000). Rule 23 does not impose an analogous requirement, but even under California’s standard, Plaintiff has proposed an ascertainable class.

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Cite This Page — Counsel Stack

Bluebook (online)
251 F.R.D. 417, 2008 WL 2271599, Counsel Stack Legal Research, https://law.counselstack.com/opinion/moreno-v-autozone-inc-cand-2008.