Seo v. Oh

CourtDistrict Court, District of Columbia
DecidedJanuary 10, 2023
DocketCivil Action No. 2018-0785
StatusPublished

This text of Seo v. Oh (Seo v. Oh) 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
Seo v. Oh, (D.D.C. 2023).

Opinion

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA

KANG KYU SEO, et al.,

Plaintiffs,

v. Civil Action No. 18-cv-785 (RDM)

CHARLES MOON SUK OH, et al.,

Defendants.

MEMORANDUM OPINION AND ORDER

On October 6, 2022, a jury returned a verdict in favor of all four Plaintiffs, finding that

Charles Moon Suk Oh and Wade Road, Inc. failed to pay Plaintiffs overtime wages as required

by the Fair Labor Standards Act (“FLSA”), the D.C. Wage Payment and Collection Law

(“DCWPCL”), and the D.C. Minimum Wage Act (“DCMWA”). Following trial, Plaintiffs

requested that the Court enter final judgment awarding them compensatory damages based on

the jury’s findings regarding the number of uncompensated overtime hours each Plaintiff

worked, additional liquidated damages pursuant to D.C. Code § 32-1012(b)(1), and interest

commencing in October 2022 pursuant to D.C. Code § 28-3302(c). Dkt. 61. For the reasons

explained below, the Court will award compensatory and liquidated damages, albeit in amounts

slightly different than those proposed by Plaintiffs, and will defer ruling on the availability of

interest pending further briefing.

A.

For the most part, Defendants did not (at least at first) take issue with Plaintiffs’ request

for the entry of final judgment. They did not dispute Plaintiffs’ calculation of compensatory

damages, and they raised only one argument respecting the award of liquidated damages—that is, the Court should not award liquidated damages because Plaintiffs failed to prove that

Defendants “willfully” violated the FLSA. Dkt. 62. There are two problems with that argument.

First, it misstates the standard for disallowing or reducing the award of liquidated damages under

the FLSA. Second, and more importantly, it ignores the fact that Plaintiffs’ request for

liquidated damages is premised not on the FLSA but, rather, on D.C. law.

Under the FLSA, an employer who fails to pay an employee the required “overtime

compensation” is “liable to the employee” for the “amount of their unpaid . . . overtime

compensation” and for “an additional equal amount as liquidated damages.” 29 U.S.C. §§ 207,

216(b). “[T]he Court has discretion,” however, “to disallow or [to] reduce liquidated damages

‘if the employer shows to the satisfaction of the [C]ourt that the act or omission giving rise to

such action was in good faith and that [the employer] had reasonable grounds for believing that

[its] act or omission was not a violation of [the FLSA].’” Gainor v. Optical Soc’y of Am., Inc.,

206 F. Supp. 3d 290, 306 (D.D.C. 2016) (some alterations in original) (quoting 29 U.S.C. § 260).

“This good faith defense to liquidated damages requires ‘an affirmative showing of a genuine

attempt to ascertain what the law requires,’ not simply the absence of bad faith.” Thompson v.

Linda And. A., Inc., 779 F. Supp. 2d 139, 153 (D.D.C. 2011) (quoting Danesh v. Rite Aid Corp.,

39 F. Supp. 2d 7, 13 (D.D.C. 1999)). The good-faith defense, moreover, requires both “a

subjective inquiry” into the employer’s beliefs and application of “an objective standard.” Laffey

v. Nw. Airlines, Inc., 567 F.2d 429, 464 (D.C. Cir. 1976), overruled in part on other grounds,

McLaughlin v. Richland Shoe Co., 486 U.S. 128, 134 (1988); see also 29 U.S.C. § 260. Notably,

the employer bears the burden of proving that it acted in good faith and that liquidated damages

are unwarranted. See Orellana v. NBSB Inc., 332 F. Supp. 3d 252, 262 (D.D.C. 2018).

2 Here, Defendants would flip (and increase) this burden of proof, requiring the employee

to prove that her employer’s “violation was ‘willful’ under the FLSA.” Dkt. 62 at 2. In their

view, Plaintiffs have failed to satisfy that demanding burden because Plaintiffs presented “no

evidence . . . to show that Defendants possessed the level of recklessness required to warrant [the

award of] liquidated damages.” Id. at 4. For the reasons just explained, that argument grossly

misstates the law.

Defendants premise their argument to the contrary on a single case, Souryavong v.

Lackawanna, 872 F.3d 122 (3d Cir. 2017). That case, however, has nothing to do with the

standard for awarding liquidated damages under the FLSA. Instead, the Third Circuit merely

addressed whether the district court had correctly applied a different provision of the FLSA, 29

U.S.C. § 255(a), which extends the FLSA statute of limitations from two to three years when the

employee’s “cause of action aris[es] out of a willful violation” of the statute. Far from

embracing Defendants’ view of the separate liquidated damages rule, the Third Circuit cautioned

that, “[a] lack of evidence going to good faith,” which relates to the award of liquidated

damages, is not the same as evidence in support of “intentionality,” which is required to extend

the statute of limitations. Souryavong, 872 F.3d at 127.

In any event, Defendants’ focus on the FLSA’s good-faith affirmative defense to the

award of liquidated damages is beside the point, because Plaintiffs have requested that the Court

award liquidated damages pursuant to the DCMWA. Dkt. 61 at 1. Because the standards of

liability under the DCMWA and the FLSA “parallel” one another, the Court—with the parties’

agreement—submitted the questions of liability under both statutes to the jury concurrently. See

Dkt. 56 at 21 (explaining that “[t]he relevant provisions of the D.C. Minimum Wage Act mirror

the relevant provisions of the FLSA” and that, as a result, the Court’s instructions on the FLSA

3 apply to both statutes). That symmetry, however, does not extend to awards of liquidated

damages. Awards of liquidated damages under the FLSA and DCMWA are not cumulative and,

because D.C. law “is more generous to employees,” this Court typically “first assesses whether

liquidated damages should be awarded under District of Columbia law” and, if so, does not

separately consider whether liquidated damages are also available under the FLSA. Sanchez v.

Devashish Hosp., LLC, 322 F.R.D. 32, 38 (D.D.C. 2017) (cleaned up); see also Portillo v. Smith

Commons DC, LLC, 2022 WL 3354730, at *7 (D.D.C. Aug. 13, 2022) (“Because the Plaintiffs

seek recovery under both the FLSA and the DCMWA, the Court will assess liquidated damages

under District of Columbia law, given that it provides for more generous liquidated damages.”);

Denson v. DC Rest. Holdings, Inc., 2021 WL 4988994, at *3 (D.D.C. Oct. 27, 2021) (“These

provisions are not cumulative; ‘[s]ince D.C. law is more generous to employees on the relevant

points, the Court will . . . assess damages under D.C. law and will not award a duplicative

amount pursuant to federal law.’” (alterations in original) (quoting Ventura v. L.A. Howard

Constr.

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