Walter Leiva v. K.W. Emerson, Inc., et al.

District Court, E.D. California·Decided December 29, 2025·No. 2:25-cv-01956·Unknown

Opinion

WALTER LEIVA, Case No. 2:25-cv-01956-CSK Plaintiff, ORDER GRANTING IN PART AND DENYING IN PART DEFENDANT’S v. AMENDED MOTION TO DISMISS AND DENYING PLAINTIFF’S MOTION TO K.W. EMERSON, INC., et al., REMAND Defendants. (ECF Nos. 6, 16) Pending before the Court are Defendant K.W. Emerson, Inc.’s amended motion to dismiss (ECF No. 6) and Plaintiff Walter Leiva’s motion to remand (ECF No. 16).1 A hearing was held on both motions on October 21, 2025. (ECF No. 20.) Attorney Mariam Ghazaryan appeared on behalf of Plaintiff and attorney Matthew Green appeared on behalf of Defendant. Id. For the reasons that follow, the Court GRANTS IN PART AND DENIES IN PART Defendant’s amended motion to dismiss and DENIES as moot Plaintiff’s motion to remand. / / / / / /

1 This case proceeds before the undersigned pursuant to 28 U.S.C. § 636(c) for all purposes, including the entry of judgment, pursuant to the consent of all parties. (ECF No. 11.) A. Factual Allegations2 Plaintiff brings this putative class action against Defendant for violations of California’s Labor Code and unfair business practices. Compl. ¶ 1 (ECF No. 1-1, Exh. A). Plaintiff is a grounds man who worked for Defendant as a non-exempt employee during the statutory period. Id. ¶¶ 7, 13. Plaintiff was typically scheduled to work at least five (5) days in a workweek and typically in excess of eight (8) hours in a single workday. Id. ¶ 13. The purported Class consists of Plaintiff and all other persons who have been employed by Defendant in California as an hourly, non-exempt employee during the relevant period. Id. ¶¶ 2, 23. Plaintiff and the Class allege Defendant maintained a policy and practice of failing to pay Plaintiff and the Class for all hours worked, including minimum wages, straight time wages and overtime wages. Id. ¶ 15. Plaintiff and the Class were required to work off the clock, leading to uncompensated time. Id. Plaintiff and the Class’s meal periods were sometimes interrupted without compensation. Id. Plaintiff and the Class also received non-discretionary bonuses, extra benefit payments, and other remuneration, however, Defendant failed to incorporate all remuneration when calculating the correct rate of pay for overtime, break premium and sick pay, leading to underpayment. Id. Plaintiff and the Class further allege Defendant maintained a policy and practice of failing to provide compliant meal periods. Compl. ¶ 16. At times, Plaintiff and the Class were required to work in excess of five (5) hours and ten (10) hours without receiving continuous and uninterrupted, duty-free meal periods. Id. Defendant also did not adequately inform Plaintiff and the Class of their right to take a meal period at the end of the fifth hour of work, or for shifts greater than ten (10) hours by the end of the tenth hour

2 These facts primarily derive from the Complaint (ECF No. 1-1, Exh. A), which are construed in the light most favorable to Plaintiff as the non-moving party. Faulkner v. ADT Sec. Servs., 706 F.3d 1017, 1019 (9th Cir. 2013). However, the Court does not assume the truth of any conclusory factual allegations or legal conclusions. Paulsen v. CNF Inc., 559 F.3d 1061, 1071 (9th Cir. 2009). of work. Id. Plaintiff and the Class also allege Defendant maintained a policy and practice of failing to authorize and permit compliant rest periods. Compl. ¶ 17. At times, Defendant required Plaintiff and the Class to work in excess of four (4) hours a day without authorizing and permitting a ten (10) minute continuous, uninterrupted rest period, or without compensation for rest periods that were not authorized or permitted. Id. Defendant also did not adequately inform Plaintiff and the Class of their right to take a rest period. Id. Further, Defendant did not maintain accurate records of employee work periods and did not have adequate policies or practices to verify whether Plaintiff and the Class were taking their required rest periods. Id. The Complaint alleges Defendant further required Plaintiff and the Class to pay for expenses they incurred in direct discharge of their duties without reimbursement, including expenses related to the use of personal cell phones, personal vehicles, and the purchase of hard hat and gloves. Compl. ¶ 18. Defendant also willfully failed and refused to pay timely wages to Plaintiff and the Class at the conclusion of their employment and did not issue Plaintiff and the Class their final paychecks immediately upon termination. Id. ¶ 19. Defendant further failed to furnish to Plaintiff and the Class accurate, itemized wage statements showing all applicable hourly rates, gross and net wages earned, and Defendant’s address as required by California law. Id. ¶ 20. For relief, Plaintiff and the Class seek declaratory, monetary, and other forms of relief. Id. at 21-25. B. Procedural Posture On May 23, 2025, Plaintiff initiated this action in Calaveras County Superior Court against Defendant alleging eight causes of action: (1) failure to pay minimum wage in violation of California Labor Code §§ 204, 1194, 1194.2, 1197; (2) failure to pay overtime compensation in violation of California Labor Code §§ 510, 1194, 1198; (3) failure to provide meal periods in violation of California Labor Code §§ 226.7, 512; (4) failure to authorize and permit rest breaks in violation of California Labor Code §§ 226.7, 512; (5) failure to indemnify necessary business expenses in violation of California Labor Code § 2802; (6) failure to timely pay final wages at termination in violation of California Labor Code §§ 201-203; (7) failure to provide accurate itemized wage statements in violation of California Labor Code § 226; and (8) unfair business practices in violation of California Business and Professions Code §§ 17200, et seq. Compl. ¶¶ 30-94. On July 14, 2025, Defendant removed this action based on federal question. Removal (ECF No. 1). On July 21, 2025, Defendant filed the pending amended motion to dismiss and filed an amended request for judicial notice. Def. Mot. Dismiss (ECF No. 6); Def. RJN (ECF No. 6-1). On August 4, 2025, Plaintiff filed his opposition and objections to Defendant’s amended request for judicial notice. (ECF Nos. 12, 13.) Defendant filed its reply on August 14, 2025. (ECF No. 14.) On August 27, 2025, Plaintiff filed the pending motion to remand. Pl. Mot. Remand (ECF No. 16). On September 10, 2025, Defendant filed its opposition, and Plaintiff filed his reply on September 19, 2025. (ECF Nos. 18. 19). A hearing was held on October 21, 2025 on both motions and the motions were taken under submission. (ECF No. 20.) A. Failure to State a Claim under Rule 12(b)(6) A claim may be dismissed because of the plaintiff’s “failure to state a claim upon which relief can be granted.” Fed. R. Civ. P. 12(b)(6). A complaint fails to state a claim if it either lacks a cognizable legal theory or sufficient facts to support a cognizable legal theory. Mollett v. Netflix, Inc., 795 F.3d 1062, 1065 (9th Cir. 2015). When considering whether a claim has been stated, the court must accept the well-pleaded factual allegations as true and construe the complaint in the light most favorable to the non- moving party. Id. However, the court is not required to accept as true conclusory factual allegations contradicted by documents referenced in the complaint, or legal conclusions merely because they are cast in the form of factual allegations. Paulsen, 559 F.3d at 1071. B. Motion to Remand 28 U.S.C. §

Walter Leiva v. K.W. Emerson, Inc., et al., (E.D. Cal. 2025).

Walter Leiva v. K.W. Emerson, Inc., et al. (Walter Leiva v. K.W. Emerson, Inc., et al.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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