Owino v. CoreCivic, Inc.

District Court, S.D. California·Decided July 28, 2021·No. 3:17-cv-01112·Unknown

Opinion

SYLVESTER OWINO and JONATHAN Case No.: 17-CV-1112 JLS (NLS) GOMEZ, on behalf of themselves and all others similarly situated, ORDER GRANTING IN PART AND DENYING IN PART DEFENDANT’S Plaintiffs, MOTION TO STAY PROCEEDINGS v. PENDING APPEAL CORECIVIC, INC., (ECF No. 220) a Maryland corporation, Defendant. CORECIVIC, INC., Counter-Claimant, v. SYLVESTER OWINO and JONATHAN GOMEZ, on behalf of themselves and all others similarly situated, Counter-Defendants.

Presently before the Court is Defendant and Counter-Claimant CoreCivic, Inc.’s (“CoreCivic”) Motion to Stay Proceedings Pending Appeal (“Mot.,” ECF No. 220). Also before the Court are Plaintiffs and Counter-Defendants Sylvester Owino and Jonathan Gomez’s (collectively, “Plaintiffs”) response thereto (“Opp’n,” ECF No. 221) and CoreCivic’s reply in support thereof (“Reply,” ECF No. 223). The Court vacated the hearing on the Motion and took it under submission without oral argument pursuant to Local Rule 7.1(d)(1). See ECF No. 222. Having considered the Parties’ arguments, the evidence, and the law, the Court GRANTS IN PART AND DENIES IN PART CoreCivic’s Motion, as follows. The factual background is well known to the Parties and the Court; accordingly, the Court does not repeat it here, but rather incorporates by reference the factual background as detailed in the Court’s April 1, 2020 Order. See ECF No. 179 (the “Order”) at 2–4. On April 1, 2020, the Court issued the 59-page Order, denying without prejudice Plaintiffs’ motion for partial summary judgment, denying CoreCivic’s motion for judgment on the pleadings, denying as moot Plaintiffs’ motion to exclude, and granting in part and denying in part Plaintiffs’ motion for class certification. See generally Order. The Court certified Plaintiffs’ proposed California and National Forced Labor Classes in their entirety and Plaintiffs’ proposed California Labor Law Class as to the causes of action for failure to pay minimum wage, failure to provide wage statements for actual damages, failure to pay compensation upon termination, and imposition of unlawful conditions of employment. See id. at 59. On April 15, 2020, CoreCivic filed a motion seeking reconsideration of several portions of the Order. See ECF No. 181. On January 13, 2021, following briefing on the motion, the Court denied CoreCivic’s motion. See ECF No. 210. CoreCivic subsequently filed a Petition for Permission to Appeal under Federal Rule of Civil Procedure 23(f) (“Petition”), see ECF No. 212, which the Ninth Circuit granted, see ECF No. 216. On May 7, 2021, CoreCivic filed the present Motion seeking a stay of the proceedings in full pending the appeal. See Mot. Plaintiffs oppose in part. See Opp’n. / / / / / / Pursuant to Federal Rule of Civil Procedure 23(f), “[a]n appeal [from an order granting or denying class-action certification] does not stay proceedings in the district court unless the district judge or the court of appeals so orders.” This provision was included to avoid unnecessary disruption and delay in district court proceedings. Microsoft Corp. v. Baker, 137 S. Ct. 1702, 1713 n.9 (2017). The need for a stay pending appeal may arise because “[i]t takes time to decide a case on appeal . . . . [I]f the court takes the time it needs, the court’s decision may in some cases come too late for the party seeking review.” Nken v. Holder, 556 U.S. 418, 421 (2009); see also id. at 427. However, “[a] stay is also an intrusion into the ordinary processes of administration and judicial review, and accordingly is not a matter of right, even if irreparable injury might otherwise result to the appellant.” Id. at 427; see also id. at 433. Instead, it is “an exercise of judicial discretion and the propriety of its issue is dependent upon the circumstances of the particular case.” Id. at 433. “The party requesting a stay bears the burden of showing that the circumstances justify an exercise of that discretion.” Id. at 433–34. “The Ninth Circuit has not articulated a specific standard for evaluating a proposed stay pending decision of a Rule 23(f) appeal. Most district courts in this circuit apply the standard enumerated in Nken v. Holder, 556 U.S. 418 . . . (2009) and Hilton v. Braunskill, 481 U.S. 770, 776 . . . (1987).” Romero v. Securus Techs., Inc., 383 F. Supp. 3d 1069, 1072–73 (S.D. Cal. 2019) (footnote omitted). Under this standard, a court considers: “(1) whether the stay applicant has made a strong showing that he is likely to succeed on the merits; (2) whether the applicant will be irreparably injured absent a stay; (3) whether issuance of the stay will substantially injure the other parties interested in the proceeding; and (4) where the public interest lies.” Nken, 556 U.S. at 434 (quoting Hilton, 481 U.S. at 776). “The first two factors are the most critical.” Romero, 383 F. Supp. 3d at 1073 (citing Nken, 556 U.S. at 434). “In weighing the four factors, courts use a flexible ‘sliding scale’ / / / approach, ‘so that a stronger showing of one element may offset a weaker showing of another.’” Id. (quoting Leiva-Perez v. Holder, 640 F.3d 962, 964–66 (9th Cir. 2011)). CoreCivic seeks a stay of all proceedings in this Court pending its appeal, see Mot. at 3, although, in its Reply, CoreCivic notes that it also has no objection to resolving the discovery dispute currently pending before Magistrate Judge Nita L. Stormes, see Reply at 6. In their Opposition, Plaintiffs confirm that they only object to a stay as to limited ESI and detainee file discovery as well as the resolution of the pending discovery dispute, but otherwise support a stay of the proceedings. Opp’n at 1. Plaintiffs indicate that they do not seek discovery at this time for all 24 facilities owned by CoreCivic, but only for its three California facilities. See id. CoreCivic contends that the discovery requested by Plaintiffs pending the appeal is not limited to CoreCivic’s three California facilities. Reply at 1 (citations omitted). However, given that Plaintiffs repeatedly and specifically request that the stay not extend to ESI and detainee files for CoreCivic’s three California facilities, see, e.g., Opp’n at 1, 7, 10, for purposes of the present Motion, the Court will consider only the issue of the California-focused discovery; any discovery focused on CoreCivic’s out- of-state facilities will be subject to the stay of the remainder of the proceedings that all Parties agree is warranted here. In its Motion, CoreCivic does not address the Nken factors. See generally Mot. Rather, CoreCivic relies on the Court’s inherent authority to control its docket economically. See id. at 3 (citing Landis v. N. Am. Co., 299 U.S. 248, 254 (1936)). Ultimately, CoreCivic argues that to incur the significant fees and expenses to complete class discovery only to have the classes decertified would result in irreparable financial injury, and that that hardship would far outweigh any prejudice to Plaintiffs caused by a stay. See id. at 6. In arguing that a stay as to the California-focused discovery is not warranted, Plaintiffs rely on the Nken factors. See Opp’n at 4–9. In reply, CoreCivic argues that Plaintiffs’ reliance on Nken “is misplaced” and that the Court should instead apply the Landis test. Reply at 2 (citations omitted). CoreCivic contends that Hilton and Nken apply to requests to stay part

Free access — add to your briefcase to read the full text and ask questions with AI

Owino v. CoreCivic, Inc., (S.D. Cal. 2021).

Owino v. CoreCivic, Inc. (Owino v. CoreCivic, Inc.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Landis v. North American Co.
299 U.S. 248 (Supreme Court, 1936)
Hilton v. Braunskill
481 U.S. 770 (Supreme Court, 1987)
Nken v. Holder
556 U.S. 418 (Supreme Court, 2009)
Leiva-Perez v. Holder
640 F.3d 962 (Ninth Circuit, 2011)
O'Brien v. O'Laughlin
557 U.S. 1301 (Supreme Court, 2009)
Microsoft Corp. v. Baker
582 U.S. 23 (Supreme Court, 2017)
Romero v. Securus Techs., Inc.
383 F. Supp. 3d 1069 (S.D. California, 2019)