Rodriguez v. Nike Retail Services, Inc.

CourtDistrict Court, N.D. California
DecidedJanuary 27, 2022
Docket5:14-cv-01508
StatusUnknown

This text of Rodriguez v. Nike Retail Services, Inc. (Rodriguez v. Nike Retail Services, Inc.) is published on Counsel Stack Legal Research, covering District Court, N.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rodriguez v. Nike Retail Services, Inc., (N.D. Cal. 2022).

Opinion

1 2 3 UNITED STATES DISTRICT COURT 4 NORTHERN DISTRICT OF CALIFORNIA 5 SAN JOSE DIVISION 6 7 ISAAC RODRIGUEZ, Case No. 14-cv-01508-BLF

8 Plaintiff, ORDER GRANTING MOTION FOR 9 v. FINAL APPROVAL; APPROVING ATTORNEYS’ FEES AND COSTS AND 10 NIKE RETAIL SERVICES, INC., SETTLEMENT ADMINISTRATOR COSTS; APPROVING IN PART 11 Defendant. ENHANCEMENT AWARD

12 [Re: ECF No. 159]

13 14 Before the Court is Plaintiff Isaac Rodriguez’s (“Rodriguez”) Motion for Final Approval of 15 the class action settlement with Defendant Nike Retail Services, Inc. (“Nike”) in this wage and hour 16 case under California law relating to Nike’s alleged failure to compensate its retail employees for 17 time spent in security inspections required upon leaving its retail stores. During the course of 18 litigation, the Court granted class certification for Rodriguez and entered judgment for Nike based 19 on the federal de minimis doctrine, only to be reversed on appeal to the Ninth Circuit based on the 20 finding of the California Supreme Court in the Troester case that the federal de minimis doctrine 21 does not apply to California wage and hour claims. See Troester v. Starbucks Corp., 5 Cal.5th 829 22 (2018). Since then, the parties have settled and the Court has granted preliminary approval of the 23 class action settlement. See Prelim. Approval Order, ECF No. 156. Rodriguez seeks (1) final 24 approval of the proposed class action settlement in the total amount of $8,250,000; (2) approval of 25 Class Counsel’s application for $2,750,000 in attorneys’ fees and reimbursement of $178,996.11 in 26 costs; (3) approval of Rodriguez’s request for an enhancement award of $15,000; and (4) approval 27 of $69,750 in costs for Phoenix Settlement Administrators (the “Settlement Administrator”). See 1 Based on the reasoning below, the Court (1) GRANTS final approval of the class action 2 settlement; (2) APPROVES the $2,750,000 in attorneys’ fees and $178,996.11 in costs for Class 3 Counsel; (3) APPROVES IN PART Rodriguez’s enhancement award request in the amount of 4 $7,500; and (4) APPROVES the $69,750 in the Settlement Administrator’s costs. Items (2), (3), 5 and (4) SHALL be deducted from the total settlement amount of $8,250,000. 6 I. BACKGROUND 7 Nike is an Oregon corporation with retail stores throughout California. See First Amended 8 Complaint (“FAC”), ECF No. 27 ¶ 8. Rodriguez was employed at one of Nike’s retail stores until 9 his termination around 2012. See id. ¶¶ 7, 23. 10 Rodriguez filed this action in the Superior Court of California for the County of Santa Clara 11 on February 25, 2014. See Notice of Removal, ECF No. 1 ¶ 1. Nike removed the case to the 12 Northern District of California on April 1, 2014, and it was reassigned to this Court on May 1, 2014. 13 See ECF Nos. 1, 14. Rodriguez filed an amended complaint on December 8, 2014. See FAC, 14 ECF No. 27. Rodriguez alleged that Nike required employees of its retail stores to go through a 15 security inspection when they left the store, but it failed to compensate the employees for the time 16 spent completing the inspection. See id. Rodriguez claimed that in doing so, Nike violated 17 (1) Cal. Labor Code §§ 1194 and 1997; (2) Cal. Labor Code §§ 510 and 1194; and 18 (3) Cal. Bus. & Prof. Code §§ 17200, et seq. See id. Rodriguez sought relief including waiting time 19 penalties. See id. Rodriguez brought his claims on behalf of a putative class consisting of “all 20 current and former non-exempt retail store employees of DEFENDANTS who worked in California 21 during the period from February 25, 2010 to the present.” Id. ¶ 16. 22 On August 19, 2016, the Court certified the class. See Order Granting Motion for Class 23 Certification, ECF No. 69. Nike moved for summary judgment on all of Rodriguez’s claims on 24 January 31, 2017. See Motion for Summary Judgment, ECF No. 84. The Court granted Nike’s 25 motion based on the finding that the 10-minute daily threshold of the federal de minimis doctrine 26 prevented Rodriguez from recovering given the amounts of time at issue in the security inspections. 27 See Order Granting Defendant’s Motion for Summary Judgment, ECF No. 100. Rodriguez appealed 1 and imposed $17,839.02 in costs against Rodriguez. See ECF Nos. 110–11. On June 28, 2019, the 2 Ninth Circuit reversed, finding in light of the decision by the California Supreme Court in Troester 3 that the federal de minimis doctrine applied by the Court did not apply to California wage and hour 4 claims. See ECF No. 113; Troester, 5 Cal.5th 829. The Ninth Circuit remanded the case for further 5 proceedings consistent with Troester. See ECF No. 113. 6 Following remand, the parties stipulated to amend the class certification order to cover the 7 time period from February 25, 2010 to November 15, 2019, because Nike had instated a policy 8 compensating employees for time spent in security inspections as of November 15, 2019. See Order 9 Granting Stipulation, ECF No. 136. On December 15, 2020, the parties notified the Court that they 10 had settled. See Joint Notice of Class Action Settlement, ECF No. 150. 11 Rodriguez moved for preliminary approval on April 23, 2021. See Prelim. Approval Motion, 12 ECF No. 153. The Court granted preliminary approval of the class action settlement on 13 September 30, 2021. See ECF No. 156. 14 Under the Settlement Agreement, the Settlement Class is “all current and former non- 15 exempt/hourly retail store employees of Defendant who worked in California at any time from 16 February 25, 2020 through and including November 15, 2019.” See Lee Decl., ECF No 153-1, 17 Ex. A, Class Action Settlement Agreement § 1.1. Any class member who does not opt-out from the 18 settlement will automatically receive his or her share of the proceeds, as determined by his or her 19 shifts worked as a fraction of the total shifts worked by the class between February 25, 2010 through 20 November 15, 2019. See id. §§ 2.31, 5.4. On average, each class member will receive a payment 21 of approximately $319.99, while the lowest individual settlement payment to be paid will be 22 approximately $11.36 and the highest will be approximately $2,280.74. See Kruckenberg Decl., 23 ECF No. 158-9 ¶ 11; Second Suppl. Lawrence Decl., ECF No. 163 ¶ 9. Remaining monies from 24 uncashed checks will be paid to the cy pres beneficiary, Legal Aid at Work. See Lee Decl., ECF 25 No 153-1, Ex. A, Class Action Settlement Agreement § 10.5. 26 Following preliminary approval, the Settlement Administrator provided notice by mail to 27 each of the 16,635 class members. See Second Suppl. Lawrence Decl., ECF No. 163 ¶ 3. After 1 packets to an address located by skip tracing, only 34 notice packets are considered undeliverable. 2 See id. ¶ 4. 3 Rodriguez moved for final approval on December 23, 2021. See ECF Nos. 158–59. Nike 4 filed a Statement of Non-Opposition to Rodriguez’s Motion on January 6, 2022. See ECF No. 160. 5 On January 18 and 21, 2022, Rodriguez filed supplemental declarations from the President of 6 Business Development at the Settlement Administrator explaining the implementation of the notice 7 plan approved by the Court during preliminary approval. See ECF Nos. 161, 163. 8 Rodriguez seeks (1) final approval of the proposed class action settlement; (2) approval of 9 Class Counsel’s application for $2,750,000 in attorneys’ fees and reimbursement of $178,996.11 in 10 costs; (3) approval of Rodriguez’s request for an enhancement award of $15,000; and (4) approval 11 of $69,750 in the Settlement Administrator’s costs. See Final Approval Motion, ECF No. 159. The 12 Court heard Rodriguez’s motion on January 27, 2022. 13 II. MOTION FOR FINAL APPROVAL OF CLASS ACTION SETTLEMENT 14 A. Rule 23 Certification Requirements 15 i. The Class Meets the Requirements for Certification Under Rule 23 16 The Court previously granted class certification in this case for a class that is materially the 17 same as the settlement class.

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

Related

In Re Bluetooth Headset Products Liability
654 F.3d 935 (Ninth Circuit, 2011)
Ginger McCall v. Facebook, Inc.
696 F.3d 811 (Ninth Circuit, 2012)
Rodriguez v. West Publishing Corp.
563 F.3d 948 (Ninth Circuit, 2009)
In Re Activision Securities Litigation
723 F. Supp. 1373 (N.D. California, 1989)
In Re Omnivision Technologies, Inc.
559 F. Supp. 2d 1036 (N.D. California, 2008)
Laffitte v. Robert Half International Inc.
376 P.3d 672 (California Supreme Court, 2016)
Troester v. Starbucks Corporation
421 P.3d 1114 (California Supreme Court, 2018)
Harris v. Marhoefer
24 F.3d 16 (Ninth Circuit, 1994)
Vizcaino v. Microsoft Corp.
290 F.3d 1043 (Ninth Circuit, 2002)
Knapp v. Art.com, Inc.
283 F. Supp. 3d 823 (N.D. California, 2017)
Bellinghausen v. Tractor Supply Co.
306 F.R.D. 245 (N.D. California, 2015)

Cite This Page — Counsel Stack

Bluebook (online)
Rodriguez v. Nike Retail Services, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/rodriguez-v-nike-retail-services-inc-cand-2022.