Morgan v. Wet Seal, Inc.

210 Cal. App. 4th 1341, 149 Cal. Rptr. 3d 70, 2012 Cal. App. LEXIS 1164
CourtCalifornia Court of Appeal
DecidedOctober 12, 2012
DocketNo. A133590
StatusPublished
Cited by27 cases

This text of 210 Cal. App. 4th 1341 (Morgan v. Wet Seal, Inc.) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Morgan v. Wet Seal, Inc., 210 Cal. App. 4th 1341, 149 Cal. Rptr. 3d 70, 2012 Cal. App. LEXIS 1164 (Cal. Ct. App. 2012).

Opinion

Opinion

HAERLE, J.

I. INTRODUCTION

Crystal Morgan, Karla Sylvester and Janay Famous (plaintiffs or appellants) filed this lawsuit against their former employer Wet Seal, Inc., and Wet Seal Retail, Inc. (Wet Seal). Plaintiffs alleged that Wet Seal violated California law by requiring employees to (1) purchase Wet Seal clothing and merchandise as a condition of employment and (2) travel between Wet Seal business locations without reimbursing them for mileage.

This appeal is from an order denying plaintiffs’ class certification on the grounds that common questions do not predominate over individual questions with respect to either of their claims and that utilizing the class action [1345]*1345procedure is not the superior method for resolving this lawsuit. Appellants raise a panoply of issues on appeal but none provides any basis for reversal. Accordingly, we affirm the order denying class certification.

n. STATEMENT OF FACTS1

A. Complaint Allegations

On September 29, 2008, plaintiffs filed a complaint alleging that Wet Seal’s employment policies violate both the Labor Code and the Business and Professions Code. In January 2010, plaintiffs filed their third amended complaint (TAC), the operative pleading for purposes of this appeal. Plaintiffs seek damages, restitution, and injunctive and declaratory relief for two allegedly unlawful policies.

First, plaintiffs allege that Wet Seal forces employees to purchase apparel, shoes and accessories from Wet Seal as a condition of their employment without reimbursement (the dress code claim). Plaintiffs contend that because purchasing Wet Seal merchandise is a necessary expense incurred in the discharge of work, Wet Seal’s failure to reimburse employees for these purchases constitutes a violation of Labor Code section 2802 (section 2802). Plaintiffs further contend that the dress code policy violates Labor Code section 450 (section 450) by forcing employees to patronize Wet Seal stores without compensation. Finally, plaintiffs contend that the dress code policy violates Industrial Welfare Commission wage order No. 7, section 9, which is contained in title 8, section 11070, subdivision 9(A) of the California Code of Regulations (Wage Order 7) because it requires employees to wear apparel and accessories of a distinctive design or color.

The second unlawful policy alleged in the TAC is that Wet Seal requires employees to use their personal vehicles to drive to other Wet Seal business locations to attend mandatory meetings and perform other work and that, “regularly, and as a matter of practice,” they do not receive indemnification for these expenditures as required by section 2802 (the travel expense reimbursement claim).2

[1346]*1346B. Motions Regarding Class Certification

On April 25, 2011, plaintiffs filed a motion for class certification pursuant to which they requested that the trial court certify the following dress code class: “All current and former employees, who worked for Wet Seal, Inc. in any California store (including but not limited to stores selling its Wet Seal brand, Arden B. brand, Zutopia and Contempo Casual brands) at any time from four years preceding the filing of this lawsuit ... to the time that class certification is granted.”3 Plaintiffs also moved for certification of a subclass (the travel subclass) consisting of those class members “who used their own vehicles to travel to other stores, in connection with discharge of their job duties.”

Plaintiffs argued that class certification was appropriate because (1) they are suitable class representatives, (2) the approximately 12,000 individuals who comprise the proposed dress code class are readily ascertainable from Wet Seal employee records and, (3) common issues of fact and law predominate over individual issues with respect to both the dress code claim and the travel expense reimbursement claim. As to this third factor, plaintiffs’ theory was that Wet Seal’s unlawful practices are reflected in written company policies which apply to all members of the putative class.

On the same day plaintiffs filed their motion, Wet Seal filed an opposing motion to deny class certification and to strike the class allegations from the TAC. Wet Seal argued, among other things, that their written dress code and travel expense reimbursement policies are lawful on their face and therefore adjudicating plaintiffs’ claims would necessitate a highly individualized factual inquiry of each putative class member in order to determine whether the facially valid policies were applied in an unlawful manner.

The parties proffered voluminous evidence regarding Wet Seal’s policies and practices during the putative class period, i.e., from September 2004 onward. That evidence comprises a significant portion of the 31-volume “Appellants’ Appendix.” With inadequate assistance from these parties, we will summarize the pertinent categories of that evidence.

[1347]*1347C. Documentary Evidence of Companywide Policies

1. Dress Code

At the commencement of the putative class period in 2004, Wet Seal’s “Employee Handbook” included a section titled “Employee Dress & Personal Appearance” which contains the following relevant provisions:

“Employees of Wet Seal enjoy a business casual work environment. The Company wants employees to feel comfortable at work while maintaining sensible dress and grooming habits. You are expected to report to work well-groomed, clean, and dressed according to the requirements of your position. [H . . . [f]
“Employees who have regular interaction with the public and clients should talk to their managers for further direction on proper work attire. If you report to work dressed or groomed inappropriately, you may be prevented from working until you return to work well groomed and wearing the proper attire. Time spent to return home and change into appropriate clothing will not be paid.

“**Store Employees:

“The Wet Seal, Inc. store employees represent our Company and are required to dress in accordance with the current Company Dress Code guidelines. All employees are required to dress in a manner that is both respectful of our Customers and consistent with the current fashion attire that is reflected in the stores.
“The current Field Dress Code Guidelines can be found in the Store Operations Policies & Procedures Manual. Inappropriate dress will not be tolerated. Any violations of this policy may result in a disciplinary action up to and including termination. . . .”

Wet Seal issued new versions of its Employee Handbook in 2005 and 2010. The “Employee Dress & Personal Appearance” sections of these handbooks contain much of the language that was used in the 2002 handbook. Notably, the 2005 and 2010 handbooks also state: (1) “The current Dress Code can be obtained through Human Resources,” and (2) “Employees are not required to wear the Company’s clothing.”

The 2004 edition of Wet Seal’s store operations “Polices & Procedures Manual” contains a provision titled “EMPLOYEE DRESS CODE/PERSONAL APPEARANCE GUIDELINES” which states, in part:

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Cite This Page — Counsel Stack

Bluebook (online)
210 Cal. App. 4th 1341, 149 Cal. Rptr. 3d 70, 2012 Cal. App. LEXIS 1164, Counsel Stack Legal Research, https://law.counselstack.com/opinion/morgan-v-wet-seal-inc-calctapp-2012.