Perez v. C.R. Calderon Construction, Inc.

221 F. Supp. 3d 115, 2016 U.S. Dist. LEXIS 177234, 2016 WL 7410544
CourtDistrict Court, District of Columbia
DecidedDecember 22, 2016
DocketCivil Action No. 2012-0697
StatusPublished
Cited by17 cases

This text of 221 F. Supp. 3d 115 (Perez v. C.R. Calderon Construction, Inc.) is published on Counsel Stack Legal Research, covering District Court, District of Columbia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Perez v. C.R. Calderon Construction, Inc., 221 F. Supp. 3d 115, 2016 U.S. Dist. LEXIS 177234, 2016 WL 7410544 (D.D.C. 2016).

Opinion

MEMORANDUM OPINION SETTING FORTH FINDINGS OF FACT AND CONCLUSIONS OF LAW

BERYL A. HOWELL, Chief Judge

Thirteen construction workers bring this action against a first-tier subcontractor and its owners, C.R. Calderon Construction, Inc. (“CRC”), Carlos R. Calderon and Ana P. Calderon (collectively, the “CRC defendants”), a second-tier subcontractor and its owner, Jacinto Construction, Inc. (“JCI”) and Jacinto E. Cespedes (“Jacinto Cespedes”) (collectively, the “JCI defendants”), and a company which served as a surety on a payment bond with CRC, Travelers Casualty and Surety Company of America (“Travelers”), for alleged violations of the Fan* Labor Standards Act (“FLSA”), 29 U.S.C. § 201 et seq., the District of Columbia Wage Payment and Collection Act (“DCWPCA”), D.C. Code § 32-1301 et seq., and the District of Columbia Minimum Wage Revision Act (“DCMWRA”), D.C. Code § 32-1001 et seq., and for common-law breach of contract. 1 The plaintiffs seek the payment of wages they claim are owed in connection with drywall, ceiling and other work they performed on a construction project at the H. Carl Moultrie Courthouse in Washington, D.C (the “Project”). The defendant CRC has asserted cross-claims for indemnification and breach of contract against the JCI defendants, and the JCI defendants, likewise, have asserted cross-claims for contribution and breach of contract against the CRC defendants. Following a bench trial, the Court concludes that the JCI and CRC defendants were plaintiffs’ employers under the relevant statutes and are liable to plaintiffs for unpaid wages and statutory liquidated damages, and that Travelers is liable to the extent of its surety bond with CRC. Finally, since the Court declines to enforce the subcontracts between CRC and JCI, the various cross-claims among the CRC and JCI defendants are denied. The factual and legal findings supporting these conclusions are summarized after review of the procedural background in this case.

I. PROCEDURAL BACKGROUND

The plaintiffs’ allegations as well as significant issues raised and either resolved or deferred in pre-trial motions are summarized below.

A. CLAIMS

The plaintiffs’ operative complaint in this action, Pis.’ First Amended Compl. (“Pis.’ FAC”), ECF No. 40, asserts six claims for relief. All thirteen plaintiffs claim that the CRC and JCI defendants *120 violated (1) the regular payment schedule requirement of the DCWPCA, by failing to pay the plaintiffs promptly, on regular payment dates, and upon the plaintiffs’ discharge, for “all wages earned” for certain work performed, id. ¶¶ 39-50 (Count I); (2) the prompt payment requirement of the FLSA, by failing to pay the plaintiffs “promptly on regular payment dates” for certain work performed, id. ¶¶ 56-57 (Count III); (3) the minimum wage provisions of the DCMWRA, by failing to pay the plaintiffs minimum wages “for the first 40 hours that Plaintiffs worked” for certain work performed, id. ¶¶ 58-63 (Count IV); and (4) the minimum wage provisions of the FLSA, by failing to pay the plaintiffs minimum wages “promptly on regular payment dates” for certain work performed, id. ¶¶ 64-72 (Count V). All thirteen plaintiffs additionally claim that the defendant Travelers breached the terms of a payment bond by which Travelers, acting as a surety, agreed to answer for the debts owed by the defendant CRC to laborers on the Project. Id. ¶¶ 73-77 (Count VI). Lastly, nine plaintiffs — Gerardo Moya, Mario Moya, Peter Soto, Wilson Perez Zapata, Jose Lenin Rocha, Juan Amurrio Quiroz, Edgardo Pablo Terceros, Samuel Lopez, and Jose Rocha Cespedes — claim that all the defendants violated the overtime provisions of the FLSA and the DCMWRA by failing to pay these plaintiffs overtime wages earned. Id. ¶¶ 51-55 (Count II). The plaintiffs seek unpaid wages and liquidated damages in the total amount of approximately $340,974.64, an unspecified amount in “unpaid overtime wages,” id. at 13, “an additional amount of liquidated damages equal to the unpaid overtime wages,” id. at 14, as well as attorneys’ fees and costs.

The defendant CRC, in its operative cross-complaint in this action, CRC’s First Amended Cross-Compl. Against JCI Defs. (“CRC’s Cross-Compl.”), ECF No. 79, asserts four cross-claims against the JCI defendants. Specifically, CRC claims that it is entitled to indemnification from the defendant JCI for any amounts found to be owed to the plaintiffs (1) based on “two sub-subcontract[ ]” agreements between CRC and JCI, id. ¶¶ 11-15 (Count I), and (2) by the Department of Labor for any Davis-Beacon Act violations arising from the plaintiffs’ work on the Project, “[a]s a direct result of JCI’s actions and inactions,” id. ¶¶ 16-19 (Count II). CRC further claims that it is entitled to indemnification from the defendant Jacin-to Cespedes, personally, for any amounts found by the Department of Labor to be owed to the plaintiffs for any Davis-Bacon Act violations arising from the plaintiffs’ work on the Project, because Cespedes allegedly knowingly signed certified payrolls and false certifications that “JCI had paid for all labor supplied to the Project.” Id. ¶¶ 20-28 (Count III). Lastly, CRC asserts a breach of contract claim against the defendant JCI for damages in the amount of $200,879.26 as a result of JCI’s breach of the two subcontracts when JCI allegedly abandoned and failed to complete the work for the Project. Id. ¶¶ 29-36 (Count IV).

The JCI defendants assert similar cross-claims against the CRC defendants. See JCI Defs.’ Countercl. Against CRC Defs. (“JCI’s Cross-Compl.”), ECF No. 29. 2 The JCI defendants claim that they are entitled to contribution from the CRC defendants “for any amounts found” to be owed by the JCI defendants to the plaintiffs. Id. at 3. 3 The JCI defendants further assert *121 they are entitled to damages “resulting from breach of agreement” by the CRC defendants, and that the CRC defendants failed to pay JCI all it was owed under the parties’ “agreement for services,” id. ¶ 1, as well as “for extra work” performed by JCI outside the scope of the subcontracts, id. ¶ 2; “for overtime work” for which the CRC defendants promised to pay; for “holiday pay cost for the plaintiffs that [JCI] never contracted to pay,” id. ¶4; and “for work [Cespedes] personally performed,” id. ¶¶ 3-5.

B. DISPOSITIVE MOTIONS

The parties engaged in extensive motions practice requiring the resolution pri- or to trial of, inter alia,

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Cite This Page — Counsel Stack

Bluebook (online)
221 F. Supp. 3d 115, 2016 U.S. Dist. LEXIS 177234, 2016 WL 7410544, Counsel Stack Legal Research, https://law.counselstack.com/opinion/perez-v-cr-calderon-construction-inc-dcd-2016.