Reyes v. Five Diamond Cold Storage, Inc.

District Court, E.D. California·Decided June 11, 2024·No. 1:24-cv-00028·Unknown

Opinion

8 UNITED STATES DISTRICT COURT 9 EASTERN DISTRICT OF CALIFORNIA 10

11 SARA REYES, Case No. 1:24-cv-00028-JLT-SAB

12 Plaintiff, FINDINGS AND RECOMMENDATIONS RECOMMENDING GRANTING 13 v. DEFENDANTS’ MOTION TO DISMISS WITH LEAVE TO AMEND 14 FIVE DIAMOND COLD STORAGE, INC., et al. (ECF No. 12, 13, 14, 22, 23, 24) 15 Defendants. OBJECTIONS DUE WITHIN FOURTEEN 16 DAYS 17 I. 18 INTRODUCTION 19 On April 9, 2024, Defendants Five Diamond Cold Storage, Inc., Grow Smart Labor, Inc., 20 Pedro Arellano-Moya, and Jorge Esteban Fuentes filed a motion to dismiss Plaintiff Sara Reyes’ 21 first amended complaint pursuant to Rules 8 and 12(b)(6) of the Federal Rules of Civil 22 Procedure. The Court finds this matter suitable for decision without oral argument. See Local 23 Rule 230(g). Based on the moving, opposition, and reply papers, and the Court’s record, the 24 Court recommends granting Defendants’ motion to dismiss with leave to amend. 25 / / / 26 / / / 27 / / / 1 II. 2 BACKGROUND 3 Sara Reyes (“Plaintiff”) alleges she has been employed directly or jointly by Defendants 4 Grow Smart Labor, Inc. (“Grow Smart”), Five Diamond Cold Storage, Inc. (“Five Diamond”), 5 Pedro Arellano-Moya, and Jorge Esteban Fuentes (collectively “Defendants”) as a non-exempt 6 employee on land owned, leased, and/or operated by Defendants in and around Tulare County, 7 California. (First Amended Complaint (“FAC”), ECF No. 7, ¶ 10.) Plaintiff alleges that “during 8 the relevant time period,” she worked for Defendants performing services covered by an 9 applicable Wage Order. (Id.) 10 Five Diamond and Grow Smart are California corporations that conduct business in 11 Tulare County. (FAC ¶¶ 13, 14.) They have hundreds of employees, and each provide 12 employees to the agricultural industry. (Id.) Defendant Arellano-Moya is the Chief Executive 13 Officer of Grow Smart and was in charge of making major corporate decisions and managing 14 operations. (FAC ¶ 15.) Defendant Fuentes is the Chief Financial Officer of Grow Smart and 15 oversaw making major corporate decisions and managing operations. (FAC ¶ 16.) 16 Plaintiff filed this class action on January 5, 2024, bringing claims for (1) violations of 17 the Migrant and Seasonal Agricultural Worker Protection Act (“AWPA”); (2) failure to record 18 and pay non-productive time separate from piece-rate compensation; (3) failure to provide meal 19 periods; (4) failure to pay minimum wages; (5) failure to pay overtime premium wages; (6) 20 waiting time penalties; (7) failure to provide accurate itemized wage statements; (8) violations 21 of the California Unfair Competition Law (“UCL”); and (9) PAGA penalties. (ECF No. 1.) 22 On March 26, 2024, Plaintiff filed the operative FAC which brought the same causes of 23 action but attached two exhibits establishing that she provided notice of her intent to seek PAGA 24 penalties to the Labor and Workforce Development Agency. (See FAC.) 25 On April 9, 2024, Defendants filed the instant motion to dismiss the FAC in its entirety. 26 (Defs.’ Mem. P. & A. Supp. Mot. Dismiss (“Mot.”), ECF No. 13.) Defendants filed a 27 declaration by counsel in support of the motion. (Declaration of Landon Schwob Supp. Defs.’ 1 support of the motion. (Defs.’ Req. Jud. Not. (“RJN”), ECF No. 14.) Following a stipulation to 2 modify the briefing schedule (ECF Nos. 20, 21), Plaintiff filed her opposition on April 30, 2024. 3 (Pl’s Opp’n Mot. (“Opp’n”), ECF No. 22.) On May 17, 2024, Defendants filed their reply 4 (Defs.’ Reply Opp’n (“Reply”), ECF No. 23), and a request for judicial notice in support of the 5 reply (Defs.’ Req. Jud. Not. Supp. Reply (“Reply RJN”), ECF No. 24). 6 III. 7 LEGAL STANDARD 8 Under Federal Rule of Civil Procedure 12(b)(6), a party may file a motion to dismiss on 9 the grounds that a complaint “fail[s] to state a claim upon which relief can be granted.” A 10 motion to dismiss pursuant to Rule 12(b)(6) tests the legal sufficiency of the complaint. Navarro 11 v. Block, 250 F.3d 729, 732 (9th Cir. 2001). In deciding a motion to dismiss, “[a]ll allegations 12 of material fact are taken as true and construed in the light most favorable to the nonmoving 13 party.” Cahill v. Liberty Mut. Ins. Co., 80 F.3d 336, 337–38 (9th Cir. 1996). The pleading 14 standard under Rule 8 does not require “ ‘detailed factual allegations,’ but it demands more than 15 an unadorned, the-defendant-unlawfully harmed-me accusation.” Ashcroft v. Iqbal, 556 U.S. 16 662, 678 (2009) (quoting Bell Atlantic Corp. v. Twombly, 550 U.S. 544, 555 (2007)). In 17 assessing the sufficiency of a complaint, all well-pleaded factual allegations must be accepted as 18 true. Iqbal, 556 U.S. at 678-79. However, “[t]hreadbare recitals of the elements of a cause of 19 action, supported by mere conclusory statements, do not suffice.” Id. at 678. To avoid a 20 dismissal under Rule 12(b)(6), a complaint must plead “enough facts to state a claim to relief that 21 is plausible on its face.” Twombly, 550 U.S. at 570. 22 In deciding whether a complaint states a claim, the Ninth Circuit has found that two 23 principles apply. First, to be entitled to the presumption of truth the allegations in the complaint 24 “may not simply recite the elements of a cause of action but must contain sufficient allegations 25 of underlying facts to give fair notice and to enable the opposing party to defend itself 26 effectively.” Starr v. Baca, 652 F.3d 1202, 1216 (9th Cir. 2011). Second, so that it is not unfair 27 to require the defendant to be subjected to the expenses associated with discovery and continued 1 suggest an entitlement to relief. Id. “Dismissal is proper only where there is no cognizable legal 2 theory or an absence of sufficient facts alleged to support a cognizable legal theory.” Navarro, 3 250 F.3d at 732 (citing Balistreri v. Pacifica Police Dept., 901 F.2d 696, 699 (9th Cir. 1988)). 4 IV. 5 DISCUSSION 6 A. Judicial Notice 7 In conjunction with the motion, Defendants request that the Court take judicial notice of 8 three complaints filed by counsel for Plaintiff on behalf of different plaintiffs against different 9 defendants in separate actions in this district.1 (RJN 2; Schwob Decl. 97-203). Plaintiff does not 10 oppose the request. 11 In conjunction with its reply brief, Defendants request that the Court take judicial notice 12 of (1) Industrial Welfare Commission wage order 14-2001 (Reply RJN 2, 4-15), and (2) a first 13 amended complaint filed by different plaintiffs against different defendants in a separate action 14 in another district, McKeen v. Franklin American Mortgage Company, No. 4:10-cv-05243-SBA 15 (N.D. Cal. Jan. 12, 2011) (Reply RJN 16-35). Plaintiff does not oppose the requests. 16 Further, Defendants filed a declaration by counsel in support of their motion which 17 proffers (1) the parties’ meet and confer efforts; (2) a redline version of the original complaint in 18 this matter showing the changes made by Plaintiff to the FAC; and (3) “true and correct copies of 19 redlines” showing changes of the three other complaints filed by counsel for Plaintiff in separate 20 actions with separate parties. (See ECF No. 12-1 at 5-96; 204-460.) Plaintiff does not object to 21 Defendants’ proffered declaration or attached exhibits. 22 “As a general rule, ‘a district court may not consider any material beyond the pleadings in 23 ruling on a Rule 12(b)(6) motion.’ ” Lee v. City of Los Angeles, 250 F.3d 668, 688 (9th Cir. 24 2001) (quoting Branch v.

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

Reyes v. Five Diamond Cold Storage, Inc., (E.D. Cal. 2024).

Reyes v. Five Diamond Cold Storage, Inc. (Reyes v. Five Diamond Cold Storage, Inc.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Bell Atlantic Corp. v. Twombly
550 U.S. 544 (Supreme Court, 2007)
Bartlett v. Strickland
556 U.S. 1 (Supreme Court, 2009)
Rubio v. Capital One Bank
613 F.3d 1195 (Ninth Circuit, 2010)
Chhay v. Mukasey
540 F.3d 1 (First Circuit, 2008)
Harris v. County of Orange
682 F.3d 1126 (Ninth Circuit, 2012)
Brinker Restaurant Corp. v. Superior Court
273 P.3d 513 (California Supreme Court, 2012)
Dejesus v. HF Management Services, LLC
726 F.3d 85 (Second Circuit, 2013)
Kearns v. Ford Motor Co.
567 F.3d 1120 (Ninth Circuit, 2009)
Corrie Ex Rel. Corrie v. Caterpillar, Inc.
503 F.3d 974 (Ninth Circuit, 2007)
Leadsinger, Inc. v. BMG Music Publishing
512 F.3d 522 (Ninth Circuit, 2008)
Valenti v. Home Lines Cruises, Inc.
614 F. Supp. 1 (D. New Jersey, 1984)
Porch v. MASTERFOODS, USA, INC.
685 F. Supp. 2d 1058 (C.D. California, 2008)
Arias v. Superior Court
209 P.3d 923 (California Supreme Court, 2009)
Martinez v. Combs
231 P.3d 259 (California Supreme Court, 2010)