Wright v. Linkus Enterprises, Inc.

259 F.R.D. 468, 2009 U.S. Dist. LEXIS 70499, 2009 WL 2365436
CourtDistrict Court, E.D. California
DecidedJuly 29, 2009
DocketNo. 2:07-cv-01347-MCE-CMK
StatusPublished
Cited by19 cases

This text of 259 F.R.D. 468 (Wright v. Linkus Enterprises, Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Wright v. Linkus Enterprises, Inc., 259 F.R.D. 468, 2009 U.S. Dist. LEXIS 70499, 2009 WL 2365436 (E.D. Cal. 2009).

Opinion

MEMORANDUM AND ORDER

MORRISON C. ENGLAND, JR., District Judge.

Gabe Wright and Paul Crowley (“Plaintiffs”) brought this action against Linkus Enterprises, Inc., RFG Corporation, Ridgeline Services, Inc. and Premier Personnel (“Defendants”), seeking compensation for Defendants’ alleged failure to pay wages, including overtime wages, failure to provide meal and rest breaks, failure to reimburse business expenses incurred, and failure to maintain required records.

Plaintiffs allege Defendants violated various provisions of California law as well as the federal Fair Labor Standards Act (“FLSA”), 29 U.S.C. §§ 201 et seq.

On November 12, 2008, Plaintiffs filed an Unopposed Motion for Preliminary Approval of Settlement (Docket No. 53). By Order entered March 3, 2009, the Unopposed Motion for Preliminary Approval was denied without prejudice because the settlement purported to relate to claims against Defendants not party to the instant litigation (Docket No. 65).

Presently before the Court is Plaintiffs’ Revised Unopposed Motion for Preliminary Approval of Class Action Settlement filed April 22, 2009 (“Revised Motion”) (Docket No. 71). On June 17, 2009, this Court issued an Order requiring the Plaintiffs to revise the documents (the Joint Stipulation of Settlement, Notice of Class Action Settlement, and Claim Form) submitted with the Revised Motion to include the requisite “opt-in” procedures for the release of FLSA claims (Docket No. 79). The Plaintiffs filed the Amended Joint Stipulation of Settlement, Notice of Class Action Settlement and Claim Form on July 7, 2009 (“Amended Joint Stip.”) (Docket No. 82). For the reasons set forth below, Plaintiffs’ Revised Motion is GRANTED.1

[471]*471BACKGROUND2

Plaintiffs were employed as “Satellite Technicians” by Defendants. Each morning, Plaintiffs were required to report to various offices, located throughout California, Nevada, and Oregon, before being dispatched to assigned job sites using their own trucks. While at those job sites, Satellite Technicians used their own tools to install satellite systems and equipment, to install basic cable lines, and to complete the necessary paperwork associated with service orders. Once Plaintiffs returned home, they were required to complete additional work for submission the following day.

However, Plaintiffs allege that, pursuant to Linkus policy, they were permitted to report on their time cards only that time spent at the designated job sites. Thus, Plaintiffs allege they were not compensated for time spent receiving instructions for daily assignments or picking up tools and equipment, for time spent traveling from the office to various job sites, or for hours required to complete paperwork at home. As a result, according to Plaintiffs, they were forced to work in excess of eight hours per day and forty hours per week, often were putting in more than twelve hours per day, but their paychecks did not adequately reflect hours worked.

Plaintiffs further allege Defendants consistently deducted thirty minutes of time from their time cards for meal breaks, even when those breaks were not taken. Finally, Plaintiffs contend they were not accurately reimbursed for the mileage incurred while operating their own vehicles for business purposes. Accordingly, Plaintiffs commenced the instant action alleging Defendants violated various state laws and the FLSA.

Following commencement of this action, the parties conducted discovery. Defendants disclosed time record data for all Satellite Technicians, wage reports, and financial reports. Additionally, class representatives and other Linkus employees that have consented to this action have provided payroll and time records. Plaintiffs have interviewed numerous class members concerning the claims and also conducted a public records search of claims filed against Defendants with California’s Division of Labor Standards Enforcement.

Moreover, on March 3, 2008, the parties enlisted the mediation services of Mark Rudy. After lengthy negotiations, the parties and Mr. Rudy devised a proposed settlement. According to the Settlement Agreement, the proposed class consists of approximately 4,000 individuals, all Satellite Technicians employed by Linkus, Premier Personnel, RFG Corporation and Ridgeline Services, Inc., in California, Oregon, or Nevada from July 6, 2003 through the present, and Defendant Linkus will pay up to $2,500,000 to settle this action. Plaintiffs now move for the Court’s preliminary approval of the Settlement Agreement.

STANDARD

A court may certify a class if a plaintiff demonstrates that all of the prerequisites of Federal Rule of Civil Procedure 23(a) have been met, and that at least one of the requirements of Federal Rule of Civil Procedure 23(b) have been met. See Fed.R.Civ.P. 23; see also Valentino v. Carter-Wallace, Inc., 97 F.3d 1227, 1234 (9th Cir.1996). Before certifying a class, the trial court must conduct a “rigorous analysis” to determine whether the party seeking certification has met the prerequisites of Rule 23. Id. at 1233. While the trial court has broad discretion to certify a class, its discretion must be exercised within the framework of Rule 23. Zinser v. Accufix Research Inst., Inc., 253 F.3d 1180, 1186 (9th Cir.2001), amended, 273 F.3d 1266 (9th Cir.2001).

Rule 23(a) provides four prerequisites that must be satisfied for class certification: (1) the class must be so numerous that joinder of all members is impracticable, (2) questions of law or fact exist that are common to the class, (3) the claims or defenses of the representative parties are typical of the claims or defenses of the class, and (4) the representative parties will fairly and adequately protect the interests of the class. See Fed.R.Civ.P. 23(a). Rule 23(b) requires a plaintiff to establish one of the following: (1) that there is [472]*472a risk of substantial prejudice from separate actions; (2) that declaratory or injunctive relief benefitting the class as a whole would be appropriate; or (3) that common questions of law or fact predominate and the class action is superior to other available methods of adjudication. See Fed.R.Civ.P. 23(b). For purposes of preliminary approval of class certification and proposed settlement, a district court must evaluate the terms of the settlement to determine whether they are within a range of possible judicial approval. See Newburg on Class Actions (4th ed.2002) § 11:25.

If, upon receiving notice regarding the class action suit, a large number of class members decide to “opt-out” of the class, the Court may refuse to grant final approval of the class. In re N. Dist. of Cal., Dalkon Shield IUD Prods. Liab. Litig.,

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Bluebook (online)
259 F.R.D. 468, 2009 U.S. Dist. LEXIS 70499, 2009 WL 2365436, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wright-v-linkus-enterprises-inc-caed-2009.