Placida Velasco, an individual and on behalf of all others similarly situated v. Hyatt Corporation, a Delaware stock corporation doing business as Hyatt Regency Mission Bay; Katherine Jaime, an individual; and Does 1 through 100, inclusive

District Court, S.D. California·Decided April 1, 2026·No. 3:25-cv-02782·Unknown

Opinion

PLACIDA VELASCO, an individual and Case No.: 25-cv-2782-TWR (MSB) on behalf of all others similarly situated, ORDER GRANTING PLAINTIFF’S Plaintiff, MOTION TO REMAND ACTION TO v. STATE COURT

HYATT CORPORATION, a Delaware (ECF No. 8) stock corporation doing business as Hyatt Regency Mission Bay; KATHERINE JAIME, an individual; and DOES 1 through 100, inclusive, Defendant. Presently before the Court is Plaintiff Placida Velasco’s Motion to Remand (“Mot.,” ECF No. 8), as well as Defendant Hyatt Corporation’s Opposition (“Opp’n,” ECF No. 10), and Plaintiff’s Reply (“Reply,” ECF No. 12) in Support of the Motion. The Court heard oral argument on the Motion on March 12, 2026. (See ECF No. 14.) After considering the Parties’ arguments, the Notice of Removal, and the relevant law, the Court GRANTS Plaintiff’s Motion to Remand. / / / / / / / / / I. Factual Background Plaintiff filed this putative class action against Defendants for violations of the California Labor Code on August 18, 2025, in San Diego County Superior Court. (See generally ECF No. 1-2 Exh. A (“Compl.”).) Plaintiff alleges the following violations: (1) failure to pay overtime wages (id. ¶ 14), (2) failure to pay minimum wages (id. ¶ 15), (3) failure to provide uninterrupted meal periods (id. ¶ 16), (4) failure to authorize and permit rest breaks (id. ¶ 17), (5) failure to pay the full amount of wages upon termination or resignation (id. ¶ 18), (6) failure to provide itemized wage statements (id. ¶ 19), (7) failure to pay wages in a timely fashion (id. ¶ 20), and (8) failure to indemnify class members for the costs in laundering mandatory work uniforms and using cell phones for work purposes (id. ¶ 21). Plaintiff also alleges “Defendants have had a consistent policy of failing to provide” class members with compensation at their final rate of pay for unused vested paid vacation days and failing to provide class members with the rights provided to them under the Healthy Workplace Healthy Families Act of 2014. (Id. ¶¶ 23–24.) Further, when alleging typicality, Plaintiff states Defendants had a “common course of conduct in violation of laws and regulations.” (Id. ¶ 32.) On October 17, 2025, Defendant Hyatt Corporation (“Defendant”) removed this action to this Court. (See id.) Defendant’s Notice of Removal states, “[d]uring the relevant time period identified in the Complaint, Hyatt employed approximately 565 non-exempt hourly employees at the Hyatt Regency Mission Bay who worked a total of approximately 45,625 workweeks.” (ECF No. 1 (“NOR”) at 11 (citing ECF No. 1-4 (“Strittmatter Decl.”) ¶ 5).) Further, Defendant states “[t]he average hourly rate of pay for these individuals is approximately $22.04 per hour during the proposed class period.” (Id.) On December 23, 2025, Plaintiff filed the instant motion to remand this action to state court. (See ECF No. 8.) In Opposition to Plaintiff’s Motion to Remand, which challenges Defendant’s amount in controversy (“AIC”) calculations, Defendant submitted a Declaration of Julian Pankhurst, a “Manager – Workforce Management Solutions for Enterprise Applications.” (ECF No. 10-1 (“Pankhurst Decl.”) ¶ 2.) He states that the “565 current and former non- exempt employees . . . worked 7.3 hours per day and 4.25 days per week” in the relevant period. (Id. ¶ 6.) Further, the 245 former non-exempt employees that were terminated during the relevant period “worked an average shift of 6.63 hours per day.” (Id. ¶ 7.) II. Whether Plaintiff Makes a Facial or Factual Attack A plaintiff can contest the amount in controversy by making either a “facial” or “factual” attack on the defendant’s jurisdictional allegations. See Harris v. KM Indus., Inc., 980 F.3d 694, 699 (9th Cir. 2020) (citing Salter v. Quality Carriers, 974 F.3d 959, 964 (9th Cir. 2020)). A facial attack asserts that the defendant’s assumptions are insufficient on their face to invoke federal jurisdiction. See id. “A factual attack, however, need only challenge the truth of the defendant’s jurisdictional allegations by making a reasoned argument as to why any assumptions on which they are based are not supported by evidence.” Id. at 700. When a plaintiff makes a facial attack, a defendant does not need to support its jurisdictional allegations with competent proof, under the same evidentiary standard that governs in the summary judgment context. See id. (citing Salter, 974 F.3d at 964). In contrast, when a plaintiff makes a factual attack, the defendant must support their jurisdictional allegations with competent proof “under the same evidentiary standard that governs in the summary judgment context.” Salter, 974 F.3d at 964 (citation omitted). Here, Plaintiff’s Motion indicates she is making a facial attack and Plaintiff’s counsel confirmed at the hearing that he believes the Motion to Remand brings a facial attack. (See Mot. at 11; ECF No. 14.) In reality, Plaintiff’s Motion to Remand brings a factual attack on Defendant’s Notice of Removal. A facial attack challenges “the form, not the substance” of the defendant’s removal allegations. See Harris, 980 F.3d at 700. Here, Plaintiff does not contest the “form” of Defendant’s Notice of Removal; rather, she attacks Defendant’s violation rate assumptions and argues they are not based on the language in the Complaint, which is the factual evidence in the record. That is a factual attack. See Williams v. VibrantCare Rehab., Inc., No. 22-16424, 2022 WL 17592428, at *1 (9th Cir. Dec. 13, 2022) (finding the plaintiff “clearly made a factual attack” when she attacked the “factual evidence in the record addressing the number and types of violations”). As one example, Plaintiff disputes Defendant’s meal and rest break assumptions because they assume “the average California class member worked five qualifying shifts per week— something not alleged in the complaint.” (Mot. at 9.) This illustrates that Plaintiff is making a factual attack. See Harris, 980 F.3d at 699 (finding that the plaintiff mounted a factual attack when they contested the defendant’s failure to demonstrate that all members of the class worked shifts long enough to qualify for meal and rest periods). Thus, Defendant must support its jurisdictional allegations with competent proof “under the same evidentiary standard that governs in the summary judgment context.” Salter, 974 F.3d at 964 (citation omitted). The Class Action Fairness Act of 2005 (“CAFA”), 28 U.S.C. §§ 1332(d), 1453, 1711–1715, “gives federal courts jurisdiction over certain class actions, defined in § 1332(d)(1), if the class has more than 100 members, the parties are minimally diverse, and the amount-in-controversy exceeds $5 million.” Dart Cherokee Basin Operating Co. v. Owens, 574 U.S. 81, 84–85 (2014). CAFA not only confers original jurisdiction on federal courts but also authorizes the removal of certain class actions to federal courts. See 28 U.S.C. § 1453. Generally, courts “strictly construe [] removal statute[s] against removal jurisdiction,” Gaus v. Miles, Inc., 980 F.2d 564, 566 (9th Cir. 1992); however, “no antiremoval presumption attends cases invoking CAFA,” Dart Cherokee, 574 U.S. at 89. Unlike other removal statutes, “Congress intended CAFA to be interpreted expansively.” Ibarra v. Manheim Invs., Inc., 775 F.3d 1193, 1197 (9th Cir. 2015). “To remove a case from a state court to a federal court, a defendant must file in the federal forum a notice of removal

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Placida Velasco, an individual and on behalf of all others similarly situated v. Hyatt Corporation, a Delaware stock corporation doing business as Hyatt Regency Mission Bay; Katherine Jaime, an individual; and Does 1 through 100, inclusive, (S.D. Cal. 2026).

Placida Velasco, an individual and on behalf of all others similarly situated v. Hyatt Corporation, a Delaware stock corporation doing business as Hyatt Regency Mission Bay; Katherine Jaime, an individual; and Does 1 through 100, inclusive (Placida Velasco, an individual and on behalf of all others similarly situated v. Hyatt Corporation, a Delaware stock corporation doing business as Hyatt Regency Mission Bay; Katherine Jaime, an individual; and Does 1 through 100, inclusive) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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