Snively v. Peak Pressure Control, LLC

314 F. Supp. 3d 734
District Court, W.D. Texas·Decided June 30, 2018·No. No. MO:15–CV–00134–DC·Published·Cited by 14 cases

Opinion

DAVID COUNTS, UNITED STATES DISTRICT JUDGE

BEFORE THE COURT is Defendants Peak Pressure Control, LLC, and Nine Energy Services, LLC's Motion for Decertification of FLSA § 216(b) Conditionally-Certified Collective Action. (Doc. 146). After due consideration, the Court DENIES Defendants' Motion. Id.

I. FACTUAL BACKGROUND

Plaintiffs filed this case on August 26, 2015, alleging violations of the Fair Labor Standards Act (FLSA), 29 U.S.C. §§ 201, et. seq. (Doc. 1). Plaintiffs claim they never received overtime for hours worked in excess of 40 hours in a single workweek. (Doc. 85 ¶ 1). On February 29, 2016, the Court conditionally certified the case for the following class: "All pressure control operators who were employed by Nine Energy Services, LLC or Peak Pressure Control, LLC from August 26, 2012, to the present who were paid in whole or in part on a salary basis." (Doc. 56). After the close of the opt-in period, approximately 70 Plaintiffs remain in the suit. (Doc. 146 at 3). To ease the discovery burden, the parties chose 16 discovery-group Plaintiffs. Id.

On May 1, 2018, Defendants filed the motion at issue to decertify this collective action. Id. Defendants contend the Court should decertify this case because:

(1) the claims, defenses and liability issues in the case are inherently individualized, which makes a fair and accurate determination [of] liability and exemption defenses impossible on a representative basis, (2) Plaintiffs are not similarly *738situated to one another based [on] their differing positions, duties, and the individualized nature and circumstances of each job performed, and (3) any "representative" evidence is not truly representative and may create liability where there is none-or vice versa-such that proceeding as collective action is unfair to the parties.

Id. at 4. The parties filed a response and reply to Defendants' motion. (Docs. 171, 180).1

II. LEGAL STANDARD

An employee may bring an action for violating the minimum wage and overtime provisions of the FLSA either individually or as a collective action on behalf of himself and "other employees similarly situated." 29 U.S.C. § 216(b). Unlike a class action filed under Federal Rule of Civil Procedure 23(c), a collective action under Section 216(b) provides for a procedure to "opt-in," rather than "opt-out." Roussell v. Brinker Int'l, Inc. , 441 F. App'x 222, 225 (5th Cir. 2011) (citing Sandoz v. Cingular Wireless LLC , 553 F.3d 913, 916 (5th Cir. 2008) ). Although the Fifth Circuit has declined to adopt a specific test to determine when a court should conditionally certify a class or grant notice in a case brought under the FLSA, the majority of courts within the Fifth Circuit have adopted the Lusardi two-stage approach, after Lusardi v. Xerox Corp. , 118 F.R.D. 351 (D.N.J. 1987).2

The two stages of the Lusardi approach are the "notice stage" and the "decertification stage." See Mooney v. Aramco Servs. Co. , 54 F.3d 1207, 1216 (5th Cir. 1995), overruled on other grounds , Desert Palace, Inc. v. Costa , 539 U.S. 90, 123 S.Ct. 2148, 156 L.Ed.2d 84 (2003). At the notice stage, the district court "determines whether the putative class members' claims are sufficiently similar to merit sending notice of the action to possible members of the class." Acevedo v. Allsup's Convenience Stores, Inc. , 600 F.3d 516, 519 (5th Cir. 2010). "Because the court has minimal evidence, this determination is made using a fairly lenient standard, and typically results in 'conditional certification' of a representative class." Mooney , 54 F.3d at 1214. If the court finds that the putative class members are similarly situated, then conditional certification is warranted, and the plaintiffs are given the opportunity to send notice to potential class members. Id. After the class members have opted in and discovery is complete, the defendant may then file a decertification motion-the second stage of the Lusardi approach-asking the court to reassess whether the class members are similarly situated. Id. At that point, the court will fully evaluate the merits of the class certification. Id.

After discovery is largely complete, the Defendant may move to decertify the conditionally certified class-initiating the second stage of the Lusardi approach. Vanzzini , 995 F.Supp.2d at 720 (citing Aguirre v. SBC Comm'ns, Inc. , CIV.A. H-05-3198, 2006 WL 964554, at *5 (S.D. Tex. Apr. 11, 2006).

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Snively v. Peak Pressure Control, LLC, 314 F. Supp. 3d 734 (W.D. Tex. 2018).

314 F. Supp. 3d 734 (Snively v. Peak Pressure Control, LLC) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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