Ulloa v. Fancy Farms, Inc.

285 F. Supp. 3d 1326
CourtDistrict Court, M.D. Florida
DecidedJanuary 9, 2018
DocketCase No. 8:15–cv–2690–T–24 AAS
StatusPublished

This text of 285 F. Supp. 3d 1326 (Ulloa v. Fancy Farms, Inc.) is published on Counsel Stack Legal Research, covering District Court, M.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ulloa v. Fancy Farms, Inc., 285 F. Supp. 3d 1326 (M.D. Fla. 2018).

Opinion

SUSAN C. BUCKLEW, United States District Judge *1328This case is before the Court on the parties' proposed findings of fact and conclusions of law. (Doc. No. 93, 94). The Court previously entered summary judgment in favor of Defendant Fancy Farms on Plaintiffs' Fair Labor Standards Act claim (Doc. No. 74), and the parties have stipulated that the Court can resolve Plaintiffs' remaining breach of contract claim based on the record before it (Doc. No. 83).

I. Factual Background

The Court makes the following initial findings of fact. Fancy Farms is a Florida corporation based in Hillsborough County, Florida that produces hand-harvested strawberries for commercial sale. (Doc. 21, ¶ 7; Doc. 54-1, ¶ 1; Doc. 57, ¶ 1; Doc. 48, depo. p. 115; Doc. 54-1, ¶ 2; Doc. 57, ¶ 2). To obtain a steady workforce for its strawberry operations, beginning with the 2013-14 strawberry season, Fancy Farms sought to employ workers through the H-2A temporary agricultural guestworker program. (Doc. 48, depo. p. 134-35; Doc. 54-1, ¶ 5; Doc. 57, ¶ 5). To assist it in obtaining workers through the H-2A program, Fancy Farms hired Nestor Molina, a principal of All Nations Staffing, and his business partner, Patrick Burns, as employees on June 20, 2013. (Doc. No. 51, ¶ 5).

At no time did Fancy Farms authorize Molina or Burns to request recruitment fees of prospective H-2A workers, or to accept recruitment payments from prospective workers. (Doc. 51 at ¶ 7; Doc. 47 at ¶ 9; Doc. 58 at ¶ 9). Fancy Farms did not, however, contractually forbid Molina, Burns, or their agents from seeking or receiving recruitment fees from prospective workers, because Fancy Farms was not aware of any federal regulations requiring it to do so. (Doc. 14, ¶ 16; Doc. 21, ¶ 16; Doc. 48, depo. pp. 201, 208-09; Doc. 51, ¶ 7; Doc. 47, ¶ 11; Doc. 58, ¶ 11).

Fancy Farms submitted to the United States Department of Labor ("DOL") clearance orders, which served as the employment contracts between Plaintiffs and Fancy Farms. (Doc. No. 89-2; Doc. No. 89-3). Within these documents, Fancy Farms declared that it would comply with federal regulations, including 20 C.F.R. § 655.135, which required Fancy Farms to contractually forbid any foreign labor recruiter whom it engaged in international recruitment of H-2A workers to seek or receive payments from prospective employees.1 (Doc. No. 89-2, P-174; Doc. No. 89-3, P-341). Fancy Farms also specifically declared within these documents that it had contractually forbidden any recruiter that it had engaged in the international recruitment of H-2A applicants to seek or receive payments from prospective workers. (Doc. No. 89-2, P-175; Doc. No. 89-3, P-342).

*1329Plaintiffs contend that they paid recruitment fees of between $3,000 and $4,000 to various agents of Molina as a condition of hire with Fancy Farms.2 (Doc. No. 68-12; Doc. No. 59-3; Doc. No. 59-1; Doc. No. 57-7; Doc. No. 90-4; Doc. No. 57-9; Doc. No. 57-10; Doc. No. 83-1; Doc. No. 57-12; Doc. No. 59-6; Doc. No. 59-8). Fancy Farms was initially unaware of the recruitment fees and did not reimburse Plaintiffs for any portion of the recruitment fees.3 (Doc. No. 48, depo. p. 182-83). As a result, Plaintiffs filed suit.

II. Procedural Background

Plaintiffs (54 foreign laborers who are citizens of Honduras) brought a breach of contract claim based on Fancy Farms' breach of its obligation to contractually forbid All Nations Staffing, Molina, Burns, and their agents4 from seeking or receiving recruitment payments from prospective employees.5 Plaintiffs contend that Fancy Farms' failure to abide by that requirement constituted a breach of Fancy Farms' separate employment contracts (via the DOL clearance orders) with Plaintiffs, which breach damaged Plaintiffs in the amount of the recruitment fees they had paid.

The Court granted summary judgment for Fancy Farms on Plaintiffs' breach of contract claim to the extent that any of the plaintiffs paid recruitment fees prior to June 20, 2013-the date that Fancy Farms entered into the recruitment contracts with Molina and Burns-because that was the date on which Fancy Farms should have contractually forbidden Molina, Burns, and their agents from seeking or receiving recruitment fees. (Doc. No. 74). However, it was not clear to the Court how that ruling specifically affected each of the 54 plaintiffs. Thereafter, the parties filed a stipulation (Doc. No. 83) in which they agreed that the Court's summary judgment order resulted in barring the following 28 plaintiffs' breach of contract claims, because they paid their recruitment fees prior to June 20, 2013:

SELSO PALMA ULLOA
ORLIN NAHUM SANCHEZ HERNRIQUEZ
MANUEL EDGARDO MEJIA MENDEZ
NATAN JOEL ORELLANA MENDEZ
JORGE ALBERTO DOMINGUEZ MADRID
ERICK JOEL ULLOA AMAYA
BAYRON ALBERTO CHAVEZ MUNGUIA
DILIO CRUZ VASQUEZ
RENE ARDON VILLEDA
*1330ALEX DANIEL ULLOA AMAYA
WILBER LISANDRO BENITEZ PORTILLO
JULIO CESAR SALMERON
RUFINO QUINTERO AMAYA
JOSE MELVIN VASQUEZ DOMINGUEZ
JONATAN FELIPE AMAYA BENITEZ
EVELIO HERNANDEZ AGUILAR
OSCAR AMILCA GUERRA
MARCO TULIO SANTOS GARCIA
NOEL ANTONIO DIAZ
GILBERTO MATIAS NOLASCO LOPEZ
MERLYN RAUL RODRIGUEZ AMAYA
EDUARDO ANTONIO CANO
SANTIAGO ARNALDO ORELLANA MENDEZ
JAIME ENRIQUE DOMINGUEZ MADRID
RENSO RENERIE CASTILLO BLANCO
ALEX CRUZ PONCE
JULIO CESAR RAMOS
ALEX RENE MEMBRENO REYES

Thus, based on the Court's summary judgment order and the parties' stipulation, only 26 plaintiffs' breach of contract claims remain. Of those 26 plaintiffs, Plaintiffs concede in their proposed findings of fact and conclusions of law (Doc. No. 94, ¶ 19, 21, 22, 57) that the breach of contract claim for the following 15 plaintiffs fails due to lack of evidence to support their contention that they paid at least part of their recruitment fee after June 20, 2013 and/or lack of evidence regarding the amount of such recruitment fee that they paid after June 20, 2013:

DIONICIO MENCIA CHAVER
EDVIN PINEDA TINOCO
JOSE GUADALUPE HERNANDEZ ENAMORADO

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Bluebook (online)
285 F. Supp. 3d 1326, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ulloa-v-fancy-farms-inc-flmd-2018.