Justia Class Action Opinion Summaries

Articles Posted in California Courts of Appeal
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Nicole Woodworth was a registered nurse at Loma Linda University Medical Center (the medical center) from December 2011 to June 2014. In June 2014, she filed this putative class action against the medical center, alleging a host of wage and hour claims on behalf of herself and other employees. She later amended her complaint to add a cause of action under the Private Attorneys General Act of 2004 (PAGA). After several years of litigation, only her individual claim for failure to provide rest periods remained. The trial court had granted four motions for summary judgment in favor of the medical center, denied Woodworth’s motion for class certification, and denied her motion to strike putative class members’ declarations. Woodworth appealed those orders, which disposed of the putative class members’ claims, the PAGA claims, and all of her individual claims (apart from her claim about rest periods). The medical center moved to dismiss most of Woodworth’s appeal, but the Court of Appeal denied the motion, affirming the orders in large part. Specifically, the Court reversed in part the order denying class certification: the court erred with respect to Woodworth’s proposed wage statement class, which consisted of employees who received allegedly inaccurate wage statements. The case was remanded for the trial court to reconsider certification of that class. View "Woodworth v. Loma Linda Univ. Med. Center" on Justia Law

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In 2018, Anaheim voters approved a Living Wage Ordinance (LWO). The LWO applied to hospitality employers in the Anaheim or Disneyland Resort areas that benefited from a “City Subsidy.” In 2019, Kathleen Grace and other plaintiffs (“Employees”) filed a class action complaint against the Walt Disney Company, Walt Disney Parks and Resorts, U.S., Inc. (“Disney”) and Sodexo, Inc., and Sodexomagic, LLC (“Sodexo”) alleging a violation of the LWO (Sodexo operated restaurants in Disney’s theme parks). Disney moved for summary judgment and Sodexo joined. It was undisputed the Employees were not being paid the required minimum hourly wage under the LWO. However, Disney argued it was not covered under the LWO as a matter of law because it was not benefitting from a “City Subsidy.” The trial court granted the motion for summary judgment. The Court of Appeal disagreed: “A ‘City Subsidy’ is any agreement with the city pursuant to which a person other than the city has a right to receive a rebate of transient occupancy tax, sales tax, entertainment tax, property tax or other taxes, presently or in the future, matured or unmatured.” The Court determined that through a "reimbursement agreement," Disney had the right to a rebate on transient occupancy taxes (paid by hotel guests), sales taxes (paid by consumers), and property taxes (paid by Disney), in any years when the City’s tax revenues were sufficient to meet certain bond obligations. Consequently, the Court found Disney received a “City Subsidy” within the meaning of the LWO and was therefore obligated to pay its employees the designated minimum wages. View "Grace v. The Walt Disney Company" on Justia Law

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The Sativa Water District was created in 1938 under the County Water District Law to provide potable drinking water to the residents living in a neighborhood in the unincorporated community of Willowbrook and parts of the City of Compton within Los Angeles County. On July 9, 2018, four named individuals— (collectively, Plaintiffs)—filed a putative class action lawsuit against the Sativa Water District. The Sativa Water District moved to dismiss Plaintiffs’ entire lawsuit. Following a briefing, a hearing, and supplemental briefing, the trial court granted the motion. Plaintiffs asserted that the trial court erred in (1) granting the Sativa Water District’s motion for judgment on the pleadings, (2) denying Plaintiffs’ motion to vacate the order dismissing the County as a defendant, and (3) decertifying their class as to the nuisance claim.   The Second Appellate District affirmed. The court explained that the Reorganization Act grants a LAFCO discretion whether to permit a district to wind up its own affairs or whether instead to appoint a successor agency responsible for doing so. Because the LAFCO, in this case, took the latter route, Plaintiffs’ class action lawsuit against the dissolved district must be dismissed. The court further concluded that the trial court’s dismissal of the successor agency was proper because Legislature expressly granted civil immunity to that agency. View "Barajas v. Satvia L.A. County Water Dist." on Justia Law

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In this labor dispute, Petitioner, the employer, filed a statement of disqualification seeking to remove the trial judge based on comments made during oral argument. However, Petitioner waited one year after the judge's comments to file the statement. The trial court determined that Petitioner waived the right to file a statement of disqualification.Finding the order striking Petitioner's statement of disqualification was flawed in several respects, the Fifth Appellate District vacated the trial court's order and provided the judge three days from the date the statement of disqualification is reinstated to respond before being deemed to have consented to disqualification by operation of time. View "North American Title Company v. Super. Ct." on Justia Law

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Plaintiff was a resident at a residential skilled nursing facility when she sustained injuries in a fall. She sued the facility, Capistrano Beach Care Center, LLC dba Capistrano Beach Care Center (CBCC), and its operator, Cambridge Healthcare Services, LLC (collectively, Defendants). Defendants petitioned to compel arbitration, claiming Plaintiff was bound by arbitration agreements purportedly signed on her behalf by her adult children. The trial court denied the petition, concluding defendants had failed to prove Plaintiff’s adult children had actual or ostensible authority to execute the arbitration agreements on Plaintiff’s behalf.   The Second Appellate District affirmed. The court explained that CBCC did not meet its initial burden to make a prima facie showing that Plaintiff agreed to arbitrate by submitting arbitration agreements signed by Plaintiff’s adult children. CBCC presented no evidence that the children had actual or ostensible authority to execute the arbitration agreement on Plaintiff’s behalf beyond their own representations in the agreements. The court wrote that a defendant cannot meet its burden to prove the signatory acted as the agent of a plaintiff by relying on representations of the purported agent alone. View "Kinder v. Capistrano Beach Care Center" on Justia Law

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Plaintiff filed a class action lawsuit against Medical Center seeking declaratory and injunctive relief and alleging violations of the unfair competition law (UCL) and the Consumer Legal Remedies Act (CLRA) in connection with Medical Center’s emergency room billing practices. Briefly summarized, Plaintiff alleged Medical Center’s practice of charging him (and other similarly situated patients) an undisclosed “Evaluation and Management Services Fee” (EMS Fee) was an “unfair, deceptive, and unlawful practice.” The trial entered judgment in favor of Defendants.   The Fifth Appellate District reversed. The court held that Plaintiff sought a declaration of the parties' rights and duties under the COA and their legal rights in connection with EMS Fee disclosures. An actual controversy is alleged and appears to exist. Plaintiff is entitled to seek declaratory relief in regard to each controversy stated. The court concluded he has adequately stated a cause of action for declaratory relief. The court wrote that on remand, the trial court will have the discretion to consider a motion by Plaintiff to amend the FAC to state a cause of action for breach of contract should Plaintiff choose to file one. View "Naranjo v. Doctors Medical Center of Modesto, Inc." on Justia Law

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Plaintiff, a former driver for Defendant Lyft, Inc., filed suit against Lyft under the Private Attorneys General Act of 2004 (PAGA). He alleged that Lyft misclassified him and other drivers as independent contractors rather than employees, thereby violating multiple provisions of the Labor Code. Lyft moved to compel arbitration based on the arbitration provision in the “Terms of Service” (TOS) that it required its drivers to accept. The trial court denied the motion, finding the PAGA waiver in the arbitration provision unenforceable under then-controlling California law. Lyft appealed, and the Second Appellate District affirmed the denial of Lyft’s motion to compel arbitration. Lyft petitioned the United States Supreme Court for a writ of certiorari. The Court granted Lyft’s petition and remanded the case for further consideration in light of Viking River Cruises, Inc. v. Moriana (2022).   The Second Appellate District reversed in part and affirmed in part the trial court’s order. The court remanded the matter to the trial court with directions to (1) enter an order compelling Plaintiff to arbitrate his individual PAGA claim and (2) conduct further proceedings regarding Plaintiff’s non-individual claims. The court explained that it is not bound by the analysis of PAGA standing set forth in Viking River. PAGA standing is a matter of state law that must be decided by California courts. The court explained that until it has guidance from the California Supreme Court, its review of PAGA and relevant state decisional authority leads the court to conclude that a plaintiff is not stripped of standing to pursue non-individual PAGA claims simply because their individual PAGA claim is compelled to arbitration. View "Seifu v. Lyft, Inc." on Justia Law

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Plaintiffs-appellants Jennifer Bitner and Evelina Herrera were employed as licensed vocational nurses by defendant-respondent California Department of Corrections and Rehabilitation (CDCR). They filed a class action suit against CDCR alleging that: (1) while assigned to duties that included one-on-one suicide monitoring, they were subjected to acts of sexual harassment by prison inmates; and (2) CDCR failed to prevent or remedy the situation in violation of the California Fair Employment and Housing Act (FEHA), Government Code section 12940 et seq. The trial court granted summary judgment in favor of CDCR on the ground that it was entitled to statutory immunity under section 844.6, which generally provided that “a public entity is not liable for . . . [a]n injury proximately caused by any prisoner.” Plaintiffs appealed, arguing that, as a matter of first impression, the Court of Appeal should interpret section 844.6 to include an exception for claims brought pursuant to FEHA. Plaintiffs also argued that, even if claims under FEHA were not exempt from the immunity granted in section 844.6, the evidence presented on summary judgment did not establish that their injuries were “ ‘proximately caused’ ” by prisoners. The Court of Appeal disagreed on both points and affirmed the judgment. View "Bitner v. Dept. of Corrections & Rehabilitation" on Justia Law

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Plaintiffs, six individuals employed by the County of Imperial, and the three unions representing them (the Imperial County Sheriff’s Association (ICSA), the Imperial County Firefighter’s Association (ICFA), and the Imperial County Probation and Corrections Peace Officers’ Association (PCPOA)), brought a class action lawsuit against the County of Imperial, the Imperial County Employees’ Retirement System, and the System’s Board alleging that the defendants were systematically miscalculating employee pension contributions. After two years of failed mediation, plaintiffs moved for class certification under Code of Civil Procedure section 382. The trial court denied the motion, finding that the conflicting interests of two primary groups of employees, those hired before the effective date of the Public Employee Pension Reform Act and those hired after, precluded the court from certifying a class. The court found that because the employees hired before PEPRA took effect were entitled to an enhanced pension benefit unavailable to those hired after, the two groups’ interests were antagonistic and the community of interest among the proposed class members required for certification could not be met. The trial court also concluded the proposed class representatives had failed to show they could adequately represent the class. On appeal, plaintiffs contended insufficient evidence supported the trial court’s finding that there was an inherent conflict among the class members that precluded class certification and that the court’s legal reasoning on this factor was flawed. The plaintiffs also argued they should have been given an opportunity to show they could adequately represent the interests of the class. The Court of Appeal disagreed with the trial court’s reasoning concerning the community of interest among the proposed class, and agreed with plaintiffs they should be provided an opportunity to demonstrate their adequacy. Accordingly, the order denying class certification was reversed and the matter remanded to the trial court with directions to allow the proposed class representatives to file supplemental declarations addressing their adequacy to serve in this role. Thereafter, if the trial court approves of the class representatives, the court was directed to grant plaintiffs’ motion for class certification, including the creation of the subclasses identified by the Court. View "Imperial County Sheriff's Assn. v. County of Imperial" on Justia Law

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Petitioner-appellant Sharlene Allen was a former employee of the San Diego Convention Center Corporation (SDCCC). After SDCCC terminated Allen, she filed a class action lawsuit against SDCCC alleging various violations of the California Labor Code. The trial court largely sustained SDCCC’s demurrer to the complaint on the grounds that the corporation was exempt from liability as a government entity. The court, however, left intact one claim for untimely payment of final wages under Labor Code sections 201, 202, and 203,1 and derivative claims under the Unfair Competition Law and the Private Attorneys General Act (PAGA). Allen then moved for class certification for her surviving causes of action. The trial court denied the motion based on Allen’s concession that her claim for untimely final payment was not viable because it was derivative of the other claims dismissed at the demurrer stage. Allen appealed the denial of the motion for class certification, which she claimed was the "death knell" of her class claims and thus, the lawsuit. She argued the trial court’s ruling on the demurrer was incorrect because SDCCC did not establish as a matter of law that it was exempt from liability. In response, SDCCC argued Allen’s appeal should have been dismissed as taken from a nonappealable order. Alternatively, SDCCC contended the trial court’s order sustaining its demurrer was correct, and the subsequent denial of class certification should be affirmed. The Court of Appeal rejected SDCCC’s assertion that the order was not appealable. However, the Court agreed that class certification was properly denied by the trial court and affirmed the order. View "Allen v. San Diego Convention Center Corp., Inc." on Justia Law