Yang v. American International Knitters Corp.

789 F. Supp. 1074, 1992 U.S. Dist. LEXIS 14751
CourtDistrict Court, Northern Mariana Islands
DecidedMarch 31, 1992
DocketCiv. 91-0025, 91-0026
StatusPublished
Cited by2 cases

This text of 789 F. Supp. 1074 (Yang v. American International Knitters Corp.) is published on Counsel Stack Legal Research, covering District Court, Northern Mariana Islands primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Yang v. American International Knitters Corp., 789 F. Supp. 1074, 1992 U.S. Dist. LEXIS 14751 (nmid 1992).

Opinion

DECISION AND ORDER DENYING ALTERNATIVE MOTION TO DISMISS

MUNSON, District Judge.

THIS MATTER came before the Court for consideration of Defendants’ alternative motion to dismiss the pendent claims under Commonwealth of the Northern Mariana Islands (CNMI) law for failure to exhaust administrative remedies. The administrative remedies at issue provide reduced judicial access to nonimmigrant alien workers alleging wage and labor violations. Plaintiffs Yang and Huang et al. (collectively “Yang”) were represented by Mr. Joe Hill of Hill & Sawhney. Defendants American International Knitters Corporation, et al. and American Investment Corporation, et al. (collectively “AIKC”) were represented by Mr. Robert O’Connor. Amicus curiae CNMI Attorney General Robert C. Naraja (“CNMI AG”) was represented by CNMI Assistant Attorney General James B. Parsons.

AIKC’s original motion to dismiss this case, heard on Saturday, September 7, 1991, was denied on September 10, 1991 because the written “consent to sue” requirement of the Fair Labor Standards Act (FLSA), 29 U.S.C. § 201 et seq. applies only to plaintiffs who are acting in a representative capacity. 1 However, as to AIKC’s concurrent alternative motion to dismiss the CNMI pendent claims, the Court ordered additional written briefing by October 1991 concerning the constitutionality of the CNMI statute establishing the administrative remedies that Yang failed to exhaust.

*1075 Because the statute unconstitutionally denies equal protection to nonimmigrant alien workers by restricting their access to the courts, AIKC’s alternative motion to dismiss pendent claims for failure to exhaust administrative remedies on the basis of that statute is DENIED.

I. EXHAUSTION OF REMEDIES STATUTE

The Commonwealth Code, at 3 CMC § 4434(f) (Supp.1990), expressly requires so called “nonresident” nonimmigrant alien workers to exhaust administrative remedies before bringing suit in the CNMI Superior Court for violations of the CNMI Minimum Wage and Hour Act, 4 CMC § 9211 et seq. (1984) or CNMI Nonresident Workers Act, 3 CMC § 4411 et seq. (Supp. 1988), such as the pendent claims in this case. 3 CMC § 4434(f) provides:

Notwithstanding 1 CMC § 9112 [ (1984) providing judicial review of contested administrative cases], no civil action may be brought by a nonresident worker after the effective date of this Act against an employer for violation of the Minimum Wage and Hour Act (4 CMC § 9211 et seq.) and/or the Nonresident Workers Act (3 CMC § 4411 et seq.) unless the nonresident worker has first filed a written complaint concerning those violations with the Chief of Labor no later than 30 days after the violation is alleged to have occurred. Said civil action, if any, shall be commenced in any court only after the Director or his desig-nee, after a hearing, has issued a decision on the complaint favorable to the nonresident worker and the employer fails or refuses to pay any assessment made by the Director within ten days after receiving notification of the Director’s decision, the entire sum of money that the decision says is owed by the employer to the employee. Such payment shall be made through the Director.

3 CMC § 4434(f) (Supp.1990). Yang has raised an equal protection challenge to this statute under the federal and CNMI constitutions, among other grounds. 2 The Fourteenth Amendment applies to the CNMI. Covenant to Establish a Commonwealth of the Northern Mariana Islands in Political Union with the United States of America (Covenant) § 501, Act of Mar. 24, 1976, Pub.L. 94-241, 90 Stat. 263, as amended by Pub.L. 98-213, §.9, 97 Stat. 1461, Pub.L. 99-396, § 10,100 Stat. 840, reprinted in 48 U.S.C. § 1681 (1988) statutory note at 209, 211 and CMC at B-101, B-107. Unlike nonimmigrant workers, U.S. citizens and permanent residents are not subject to the above-quoted administrative scheme, and may bring suit for minimum wage and hour violations directly, 4 CMC § 9244(a) (1984), for up to six years after the violations. 7 CMC § 2505 (1984).

AIKC (along with the CNMI AG) argues that this distinction between nonimmigrant workers versus U.S. citizens and permanent resident aliens is constitutionally valid as part of an elaborate plan dealing with immigration and the protection of nonimmi-grant alien workers. Yang’s counsel submitted as an exhibit to an earlier opposition to a motion several letters to the CNMI Department of Labor (“Labor”) listing cases experiencing long delays and backlogs in the administrative process, in excess of the statutory thirty days for Labor to make a written determination after a worker files a complaint for breach of employment contract, 3 CMC § 4447(b) (Supp. 1988), or ten days after concluding a hearing following a Notice of Violation, 3 CMC § 4444(d) (Supp.1988). Nevertheless, AIKC and the CNMI AG argue that the exhaustion of remedies statute serves to expedite claims and is actually a benefit, not a harm, to nonimmigrant alien workers. Under this theory the aliens, whose labor contracts are typically for a one year period, receive “prompt” resolution of their claims, assuming the aliens file claims within thirty days, rather than having to try to litigate their claims after having *1076 been forced to leave the island upon expiration of their contracts. In that regard, 3 CMC § 4434(g) (Supp.1990) provides:

A nonresident worker who has left his of her employment[,] whose contract of employment has expired, or who is no longer employed by the employer approved by the Chief, shall not be permitted to remain in the Commonwealth. Except that, a nonresident worker shall be allowed to remain in the Commonwealth for a period not to exceed 20 days in order to pursue a civil action against his or her employer for a breach of their [sic] employment contract, other civil or criminal claims, or to pursue violations of any Commonwealth or federal labor law. Provided, however, for a claim made against an employer for failure to pay the contract wages, a nonresident worker shall only be allowed to remain in the Commonwealth for a period of 30 days in order to pursue such action where a timely claim is made for failure to pay the contract wages and where the employer fails or refuses to pay the full sum of money as ordered by the Director within the ten day period provided by this section. A nonresident worker who has left the Commonwealth shall be allowed to return no sooner than five days before their [sic] scheduled trial date in the Commonwealth Superior Court or federal court. Such person will be required to exit the Commonwealth within three days after the termination of the trial, or any continuances thereof.

Id. Because a challenge to this subsection is not yet ripe in this case and has not been made, the Court expresses no opinion as to its constitutionality. Cf.

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789 F. Supp. 1074, 1992 U.S. Dist. LEXIS 14751, Counsel Stack Legal Research, https://law.counselstack.com/opinion/yang-v-american-international-knitters-corp-nmid-1992.