Willis v. Koning Associates

District Court, N.D. California·Decided March 15, 2023·No. 5:21-cv-00819·Unknown

Opinion

TROY WILLIS, Case No. 21-cv-00819-BLF

Plaintiff, ORDER DENYING MOTION FOR v. CLASS CERTIFICATION

KONING & ASSOCIATES, et al., [Re: ECF No. 48] Defendants.

Plaintiff Troy Willis filed this employment case against Defendants Koning & Associates (“K&A”) and Chris Koning (“Koning”), alleging violations of federal and state statutes. Plaintiff has moved to certify a class including “[a]ll current and former insurance adjusters employed by Koning & Associates from December 15, 2017 through the date of the order granting class certification.” ECF No. 48 (“Mot.”); see also ECF No. 54 (“Reply”). Defendants oppose, arguing class certification is improper. ECF No. 52 (“Opp.”). The Court held a hearing on this motion on February 23, 2023. For the reasons explained below, the Court DENIES Plaintiff’s motion for class certification. As alleged in the Complaint, Plaintiff Troy Willis is a former employee of Koning & Associates, where he worked as a general insurance adjuster. ECF No. 1 (“Compl.”) ¶¶ 15-16. He alleges that Defendants failed to compensate insurance adjusters for all the time they worked. Id. ¶ 8. Willis states that K&A compensated class members for hours billed to clients, not hours actually worked, and that they improperly classified adjusters as exempt employees. Id. ¶¶ 19-20. He also alleges that K&A failed to provide proper meal breaks or rest periods and that it failed to Plaintiff brings nine claims: (1) failure to pay overtime compensation in violation of the Fair Labor Standards Act (“FLSA”), 29 U.S.C. § 201 et seq.; (2) failure to pay overtime wages in violation of California Labor Code (“Labor Code”) §§ 510, 1194, 1198 and IWC Wage Order No. 4-2001, § 3; (3) failure to provide required meal periods in violation of Labor Code §§ 226.7, 512 and IWC Wage Order No. 4-2001, § 11; (4) failure to provide required rest periods in violation of Labor Code § 226.7 and IWC Wage Order No. 4-2001, § 12; (5) failure to furnish accurate itemized wage statements in violation of Labor Code § 226(a) and IWC Wage Order No. 4-2001, § 7; (6) failure to pay all wages due to discharged and quitting employees in violation of Labor Code §§ 201, 202, 203; (7) failure to indemnify employees for necessary expenditures incurred in violation of Labor Code §§ 406, 2802; (8) unfair and unlawful business practices in violation of California Business & Professions Code § 17200, et seq.; and (9) a representative action for civil penalties under the California Private Attorneys General Act (“PAGA”), Labor Code §§ 2698- 2699.5. Compl. ¶¶ 34-75. Plaintiff seeks to represent a class and a FLSA collective. Id. ¶¶ 27-33. Now before the Court is Plaintiff’s motion for class certification. See Mot. Before addressing the merits of the class certification motion, the Court will consider the parties’ evidentiary objections. Plaintiff objects to six declarations submitted by Defendants with their opposition brief. ECF No. 54-2 (“P Obj.”). These are declarations from K&A employees. See Opp., Ex. E (ECF No. 52-5) (“Peckham Decl.”); Ex. F (ECF No. 52-6) (“Miles Decl.”); Ex. G (ECF No. 52-7) (“Frisina Decl.”); Ex. I (ECF No. 52-9) (“Lanigan Decl.”); Ex. J (ECF No. 52-10) (“Absher Decl.”); Ex. L (ECF No. 52-12) (“Tyson-Grimes Decl.”). Willis objects to these declarations on the basis that they lack foundation and that they are irrelevant.1 P. Obj. at 1. The information in the declarations from other employees is relevant to whether there are common questions and whether those common questions predominate. Plaintiff objects to the employees’ statements that 1 Plaintiff correctly cites to Evidence Rule 602 for foundation. P. Obj. at 1. But Plaintiff cites to Evidence Rules 801 and 802 for relevance. See id. Rules 801 and 802 are about hearsay. See F. “they ‘understood’ or ‘believe’ or ‘were told’ they could take meal and rest periods” and that, as to mileage reimbursement, they “belie[ve] they were ‘fairly reimbursed’ or that [K&A] ‘makes up any difference.’” Id. These statements describe each individual employee’s own state of mind, of which each individual had personal knowledge, and they therefore do not lack foundation. See F. R. Evid. 602. The Court also notes that it does not consider the employees’ statements as to mileage reimbursement, and while it does cite to the statements on meal and rest periods, those statements are in no way necessary to the Court’s decision. The Court OVERRULES Plaintiff’s objections. Defendants object to a declaration submitted by Plaintiff with his reply brief. ECF No. 55 (“D. Obj.”). Plaintiff submitted a declaration from Nancy Hamilton, a former K&A adjuster, with his reply brief. See Declaration of Corey Bennett (ECF No. 54-1) (“Bennett Decl.”), Ex. A (“Hamilton Decl.”). Defendants assert that the Court should strike this declaration because it was improperly submitted for the first time on reply. D. Obj. at 1-2. Civil Local Rule 7-3 allows a party to object to new evidence submitted in a reply brief. See Civ. L.R. 7-3(d)(1). The Court agrees with Defendants that the Hamilton declaration is new evidence that was improperly submitted for the first time on reply. See Contratto v. Ethicon, Inc., 227 F.R.D. 304, 308 n.5 (N.D. Cal. 2005) (striking new evidence in witness declaration as improper reply evidence). Plaintiff has not provided a good reason why the declaration was not submitted with his opening brief. The Court SUSTAINS this objection and will STRIKE the declaration of Nancy Hamilton. Federal Rule of Civil Procedure 23 governs class certification. “The party seeking class certification has the burden of affirmatively demonstrating that the class meets the requirements of [Rule] 23.” Stromberg v. Qualcomm Inc., 14 F.4th 1059, 1066 (9th Cir. 2021) (citation omitted). “As a threshold matter, a class must first meet the four requirements of Rule 23(a): (1) numerosity, (2) commonality, (3) typicality, and (4) adequacy of representation.” Id. “In addition to Rule 23(a)’s requirements, the class must meet the requirements of at least one of the three different types of classes set forth in Rule 23(b).” Stromberg, 14 F.4th at 1066 Bumble Bee Foods LLC, 31 F.4th 651, 663 (9th Cir. 2022) (en banc). “To qualify for the third category, Rule 23(b)(3), the district court must find that ‘the questions of law or fact common to class members predominate over any questions affecting only individual members, and that a class action is superior to other available methods for fairly and efficiently adjudicating the controversy.’” Olean, 31 F.4th at 663-64 (quoting Rule 23(b)(3)). “Before it can certify a class, a district court must be satisfied, after a rigorous analysis, that the prerequisites of both Rule 23(a) and 23(b)(3) have been satisfied.” Olean, 31 F.4th at 664 (internal quotation marks and citation omitted). “[P]laintiffs must prove the facts necessary to carry the burden of establishing that the prerequisites of Rule 23 are satisfied by a preponderance of the evidence.” Id. at 665. “In carrying the burden of proving facts necessary for certifying a class under Rule 23(b)(3), plaintiffs may use any admissible evidence.” Id. Plaintiff asserts that that all four requirements of Rule 23(a) are satisfied in this case, and that certification of a class is appropriate under Rule 23(b)(3). Defendants argue that Plaintiff has not satisfied the requirements of either Rule 23(a) or Rule 23(b)(3). A. Numerosity Rule 23(a)(1) requires that the size of the proposed class be “so numerous that joinder of all members is impracticable.” Fed. R. Civ. P.

Willis v. Koning Associates, (N.D. Cal. 2023).

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