Suazo v. Bluemercury, Inc.

CourtDistrict Court, N.D. California
DecidedApril 14, 2023
Docket3:22-cv-06307
StatusUnknown

This text of Suazo v. Bluemercury, Inc. (Suazo v. Bluemercury, 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
Suazo v. Bluemercury, Inc., (N.D. Cal. 2023).

Opinion

1 2 3 4 UNITED STATES DISTRICT COURT 5 NORTHERN DISTRICT OF CALIFORNIA 6 7 ALBERT PARIS SUAZO and ALEXA Case No. 3:22-cv-06307-JD SUART, on behalf of themselves and all 8 others similarly situated, ORDER RE PERSONAL 9 Plaintiffs, JURISDICTION 10 v.

11 BLUEMERCURY, INC., Defendant. 12

13 Plaintiffs Albert Suazo and Alexa Suart were employed in California as hourly, nonexempt 14 store managers for defendant Bluemercury, Inc. See Dkt. No. 1 ¶¶ 16, 18. Suazo and Suart allege 15 wage-and-hour claims on behalf of a proposed nationwide, non-New York collective of “similarly 16 situated” store managers under the Fair Labor Standards Act (FLSA), 29 U.S.C. § 201 et seq., as 17 well as claims for violations of California state law on behalf of a putative class of California store 18 managers. See id. ¶¶ 1, 41, 67. The putative class claims are not in issue for present purposes. 19 Four store managers who worked for Bluemercury in Maryland, Florida, South Carolina, and 20 Minnesota have filed consent forms to “opt in” to the proposed FLSA collective and join Suazo 21 and Suart as “party plaintiffs.” Dkt. No. 3; see also Dkt. No. 1 ¶ 3; 29 U.S.C. § 256(a)-(b). 22 This is the second bid by these plaintiffs to orchestrate a nationwide FLSA collective 23 action against Bluemercury. All six opted into a proposed collective action, Bethel, that was filed 24 in the Southern District of New York, consisting “of all [store managers] who worked for 25 Bluemercury in any of its approximately 160 stores in 27 states and the District of Columbia.” 26 Dkt. No. 1 ¶¶ 2-3. The district court declined to conditionally certify a nationwide collective, 27 finding that it lacked personal jurisdiction over the claims of non-New York store managers. See 1 22, 2022). Believing that the law in this District “strongly supports a nationwide FLSA collective 2 action,” plaintiffs “promptly filed suit here.” Dkt. No. 25 at 1. 3 Bluemercury has asked to dismiss the claims of the out-of-state opt-in plaintiffs for lack of 4 personal jurisdiction under Federal Rule of Civil Procedure 12(b)(2). See Dkt. No. 19 at 10. In 5 the alternative, it seeks judgment on the pleadings under Rule 12(c) on the ground that plaintiffs 6 are estopped from relitigating the personal jurisdiction issue decided in Bethel. See id. at 17. 7 Plaintiffs filed a brief in opposition. Dkt. No. 25. The motion is suitable for decision without oral 8 argument. Dkt. No. 29. The parties’ familiarity with the record is assumed, and the claims of the 9 out-of-state opt-in plaintiffs are dismissed for lack of personal jurisdiction. 10 LEGAL STANDARDS 11 “In opposition to a defendant’s motion to dismiss for lack of personal jurisdiction, the 12 plaintiff bears the burden of establishing that jurisdiction is proper.” Boschetto v. Hansing, 539 13 F.3d 1011, 1015 (9th Cir. 2008); see also Sharpe v. Puritan’s Pride, Inc., No. 16-cv-06717-JD, 14 2019 WL 188658, at *5 (N.D. Cal. Jan. 14, 2019). “When the [d]efendant’s motion is based on 15 written materials rather than an evidentiary hearing, as is the case here, ‘we only inquire into 16 whether [the plaintiff’s] pleadings and affidavits make a prima facie showing of personal 17 jurisdiction.’” Will Co., Ltd. v. Lee, 47 F.4th 917, 921 (9th Cir. 2022) (quoting Schwarzenegger v. 18 Fred Martin Motor Co., 374 F.3d 797, 800 (9th Cir. 2004)); see also Bybee v. Int’l Bhd. of 19 Teamsters, No. 18-cv-06632-JD, 2022 WL 3031214, at *1 (N.D. Cal. Aug. 1, 2022). 20 DISCUSSION 21 I. AVAILABILITY OF A PERSONAL JURISDICTION DEFENSE 22 A threshold question is whether Bluemercury’s motion to dismiss is procedurally proper. 23 Neither party has raised the issue, but it warrants consideration given the parties’ other arguments 24 and the current posture of this litigation. 25 Plaintiffs characterize the FLSA collective action as “a single lawsuit brought by named 26 representatives,” and emphasize that the out-of-state opt-in plaintiffs -- who are the subject of 27 Bluemercury’s motion to dismiss -- are not the named plaintiffs appearing in the caption of the 1 akin to named plaintiffs asserting claims on behalf of a putative Rule 23 class, and the four out-of- 2 state opt-in plaintiffs are more like unnamed putative class members than parties to the suit. This 3 characterization raises a nontrivial argument that Bluemercury’s motion to dismiss is premature 4 under recent Ninth Circuit precedent. See Owino v. CoreCivic, Inc., 60 F.4th 437, 446-47 (9th 5 Cir. 2022) (“[P]rior to class certification, a defendant does ‘not have “available” a Rule 12(b)(2) 6 personal jurisdiction defense to the claims of unnamed putative class members who were not yet 7 parties to the case.’”) (quoting Moser v. Benefytt, Inc., 8 F.4th 872, 877 (9th Cir. 2021)). 8 But FLSA collective actions are fundamentally different from representative suits under 9 Rule 23. “A collective action is more accurately described as a kind of mass action, in which 10 aggrieved workers act as a collective of individual plaintiffs with individual cases -- capitalizing 11 on efficiencies of scale, but without necessarily permitting a specific, named representative to 12 control the litigation, except as the workers may separately so agree.” Campbell v. City of Los 13 Angeles, 903 F.3d 1090, 1105 (9th Cir. 2018) (emphasis in original). “The opt-in plaintiffs thus 14 choose whether and when to ‘become parties to a collective action only by filing a written consent 15 with the court.’” Id. (quoting Genesis Healthcare Corp. v. Symczyk, 569 U.S. 66, 75 (2013)). 16 “And the result of joining the collective is the same status in relation to the claims of the lawsuit as 17 that held by the original named plaintiffs.” Id. (cleaned up). An opt-in FLSA plaintiff’s action 18 might be deemed to have “commenced” at a later date than the original plaintiffs’ action, 29 19 U.S.C. § 256, but otherwise “there is no statutory distinction between the roles or nomenclature 20 assigned to the original and opt-in plaintiffs.” Campbell, 903 F.3d at 1104. 21 Consequently, the four out-of-state store managers who opted into this suit stand in the 22 same position as the original named plaintiffs. They are properly before the Court, and are not 23 “hypothetical future plaintiffs.” Moser, 8 F.4th at 878. The fact that this action has not reached 24 the FLSA “conditional” (or “preliminary”) certification stage has no bearing on the opt-in 25 plaintiffs’ status. See Campbell, 903 F.3d at 1101 (“Preliminary certification in the FLSA context 26 does not produce a class with an independent legal status or join additional parties to the action.”) 27 (cleaned up). Bluemercury has an immediately available personal jurisdiction defense against 1 II. PERSONAL JURISDICTION 2 A. Specific Personal Jurisdiction 3 “Federal Rule of Civil Procedure 4(k) governs personal jurisdiction in federal court.” Will 4 Co., 47 F.4th at 921. Where, as here, no federal statute governs personal jurisdiction, the Court 5 applies the law of the state in which it sits. See Fed. R. Civ. P.

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Bluebook (online)
Suazo v. Bluemercury, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/suazo-v-bluemercury-inc-cand-2023.