This is the class action complaint that the California employment law lawyers at Blumenthal, Nordrehaug & Bhowmik filed against Class Party Rentals for allegedly violating California wage and hours employment laws.
This is the class action complaint that the California employment law lawyers at Blumenthal, Nordrehaug & Bhowmik filed against Class Party Rentals for allegedly violating California wage and hours employment laws.
This is the class action complaint that the California employment law lawyers at Blumenthal, Nordrehaug & Bhowmik filed against Class Party Rentals for allegedly violating California wage and hours employment laws.
2 Kyle R. Nordrehaug (State Bar #205975) Aparajit Bhowmik (State Bar #248066) 3 2255 Calle Clara La Jolla, CA 92037 4 Telephone: (858)551-1223 Facsimile: (858) 551-1232 5 Website: www.bamlawca.com 6 Attorneys for Plaintiff 7 8 9 10 SUPERIOR COURT OF THE STATE OF CALIFORNIA 11 IN AND FOR THE COUNTY OF ORANGE 12 13 JAMES DUY ABABON, an individual, CASE No. 14 on behalf of himself and all persons similarly situated, CLASS ACTION COMPLAINT FOR: 15 1. UNFAIR COMPETITION IN 16 Plaintiff, VIOLATION OF CAL. BUS. & PROF. CODE §§ 17200 et seq.; 17 vs. 2. FAILURE TO PAY OVERTIME CLASSIC PARTY RENTALS, INC., a WAGES IN VIOLATION OF CAL. LAB. 18 California Corporation; and Does 1 CODE §§ 204, 210, 218, 510, 1194 & 19 through 50, 1198; and, 3. FAILURE TO PROVIDE 20 Defendant. ACCURATE ITEMIZED WAGE STATEMENTS IN VIOLATION OF 21 CAL. LAB. CODE § 226. 22 DEMAND FOR A JURY TRIAL 23 24 25 26 27 28 CLASS ACTION COMPLAINT 1 Plaintiff James Duy Ababon ("PLAINTIFF"), an individual, alleges upon information 2 and belief, except for his own acts and knowledge, the following: 3 4 NATURE OF THE ACTION 5 1. Defendant Classic Party Rentals, Inc. hereinafter also referred to as "CLASSIC" 6 or "DEFENDANT" is the nation’s leading full service event rental company. Plaintiff James 7 Duy Ababon ("PLAINTIFF") was a non-exempt, hourly employee of CLASSIC in California. 8 During the CLASS PERIOD, CLASSIC failed to record and pay PLAINTIFF James Duy 9 Ababon and all the other Class Members for the actual number of hours worked, including 10 straight time and overtime. CLASSIC intentionally and unlawfully understated the actual 11 amount of straight time and overtime hours worked by the PLAINTIFF and the Class Members 12 by systematically altering the hours recorded by these employees. Specifically, CLASSIC 13 unilaterally rounded down the number of hours worked by the employees for DEFENDANT’s 14 benefit in accordance with DEFENDANT’s uniform, corporate policy and practice which 15 systematically alters the true number of hours worked by the employees. As a result, the 16 employees regularly worked overtime hours to compensate for the time they worked that 17 DEFENDANT failed to count as hours worked in order to complete all of their assigned job 18 duties. Therefore, DEFENDANT’s timekeeping method was used in a manner that failed to 19 properly compensate the employees because the employees were underpaid for the amount of 20 hours they worked. CLASSIC’s uniform policy and practice not to pay employees for all hours 21 worked is evidenced by DEFENDANT’s business records. 22 2. PLAINTIFF brings this Action against CLASSIC on behalf of himself and on 23 behalf of a class consisting of all non-exempt, hourly employees who worked for CLASSIC in 24 California during the CLASS PERIOD ("CLASS" or "Class Members"). PLAINTIFF brings 25 this Class Action to fully compensate the Class Members for their losses incurred during the 26 CLASS PERIOD caused by CLASSIC’s uniform policy and practice which fails to compensate 27 the PLAINTIFF, and the Class Members, for all hours worked. CLASSIC’s uniform policy and 28 practice alleged herein is an unfair, deceptive and unlawful practice whereby CLASSIC retained
CLASS ACTION COMPLAINT
-1- 1 and continues to retain wages due PLAINTIFF, and the Class Members, for all hours worked. 2 PLAINTIFF, and the Class Members, seek an injunction enjoining such conduct by CLASSIC 3 in the future, relief for the named PLAINTIFF and Class Members who have been economically 4 injured by DEFENDANT's past and current unlawful conduct, and all other appropriate legal 5 and equitable relief. 6 7 THE PARTIES 8 3. Defendant Classic Party Rentals, Inc. ("CLASSIC" or "DEFENDANT") was 9 founded in 1978 and is based and headquartered in Los Angeles, California. At all relevant 10 times mentioned herein, CLASSIC conducted and continues to conduct substantial and 11 regular business throughout California. 12 4. The true names and capacities, whether individual, corporate, subsidiary, 13 partnership, associate or otherwise of DEFENDANT Does 1 through 50, inclusive, are 14 presently unknown to the PLAINTIFF who therefore sues these defendants by such fictitious 15 names pursuant to Cal. Civ. Proc. Code § 474. PLAINTIFF will seek leave to amend this 16 Complaint to allege the true names and capacities of Does 1 through 50, inclusive, when 17 they are ascertained. PLAINTIFF is informed and believes, and based upon that information 18 and belief alleges, that the defendants named in this Complaint, including Does 1 through 19 50, inclusive, are responsible in some manner for one or more of the events and happenings 20 that proximately caused the injuries and damages hereinafter alleged. 21 5. The agents, servants, and/or employees of DEFENDANT and each of them 22 acting on behalf of DEFENDANT acted within the course and scope of his, her or its 23 authority as the agent, servant, and/or employee of DEFENDANT, and personally 24 participated in the conduct alleged herein on behalf of DEFENDANT with respect to the 25 conduct alleged herein. Consequently, DEFENDANT is jointly and severally liable to the 26 PLAINTIFF and the other members of the CLASS, for the loss sustained as a proximate 27 result of the conduct of DEFENDANT’s agents, servants, and/or employees. 28 6. At all relevant times mentioned herein, Plaintiff James Duy Ababon
CLASS ACTION COMPLAINT
-2- 1 ("PLAINTIFF") resided in California. PLAINTIFF was employed by CLASSIC in 2 California as a non-exempt, hourly "Payroll Administrator" and "Senior Payroll 3 Administrator" from May 2008 to October 2010. 4 5 THE CONDUCT 6 7. CLASSIC systematically failed to pay the PLAINTIFF and the Class Members 7 for the actual number of hours worked, including straight time and overtime. CLASSIC 8 intentionally and unlawfully rounded the employees work time in computing their wages in 9 order to underpay the employees in accordance with DEFENDANT’s uniform and systematic 10 policy and practice which alters the number of hours worked by the employees. As a result, 11 DEFENDANT understated the actual amount of straight time and overtime hours worked by 12 the PLAINTIFF and the Class Members. In this regard, DEFENDANT’s timekeeping method 13 was used in a manner that failed to properly compensate the employees because the employees 14 were underpaid for the amount of hours they worked in accordance with DEFENDANT’s strict, 15 corporate and uniform guidelines. 16 8. In violation of the applicable sections of the California Labor Code and the 17 requirements of the Industrial Welfare Commission ("IWC") Wage Order, CLASSIC as a matter 18 of corporate policy, practice and procedure, intentionally, knowingly and systematically failed 19 to properly compensate the PLAINTIFF and the Class Members for all hours worked, by 20 systematically altering the actual number of hours worked. Specifically, CLASSIC unilaterally 21 rounded down the number of hours worked by the employees in computing wages for 22 DEFENDANT’s benefit. These uniform policies and systematic practices of CLASSIC were 23 intended to purposefully avoid the payment of wages required by California law which allows 24 CLASSIC to illegally profit and gain an unfair advantage over competitors. To the extent 25 equitable tolling operates to toll claims by the CLASS against CLASSIC, the CLASS PERIOD 26 should be adjusted accordingly. 27 9. CLASSIC has a uniform policy and practice in California of using a timekeeping 28 method that rounds down the number of hours the PLAINTIFF and the Class Members work.
CLASS ACTION COMPLAINT
-3- 1 The timekeeping method is unilateral in that DEFENDANT alters the employees’ clock in time 2 in its favor but does not apply the same timekeeping method when the employees clock out. 3 Therefore, DEFENDANT’s timekeeping method was used in a manner that failed to properly 4 compensate the employees because the employees were underpaid for the amount of hours they 5 worked. This systematic and company-wide policy originating at the corporate level is the 6 cause of the illegal pay practices as described herein. 7 8 THE CLASS 9 10. PLAINTIFF brings this Action against CLASSIC pursuant to California Code of 10 Civil Procedure, Section 382, on behalf of himself and on behalf of a class consisting of all non- 11 exempt, hourly employees who worked for CLASSIC in California during the CLASS PERIOD 12 ("CLASS" or "Class Members"). The applicable "CLASS PERIOD" is defined as the period 13 beginning on the date four (4) years prior to the filing of this Complaint and ending on a date 14 as determined by the Court. 15 11. All non-exempt, hourly employees working for CLASSIC in California are 16 similarly situated in that they are all subject to CLASSIC’s uniform policy and systematic 17 practice that requires them to perform work without compensation as required by law. 18 12. During the CLASS PERIOD, CLASSIC uniformly violated the rights of the 19 PLAINTIFF and the Class Members under California law, without limitation, in the following 20 manners: 21 (a) Violating California Code of Regulations, Title 8, Sections 11010(7) 22 and 11040(7) by failing compensate the PLAINTIFF and the Class 23 Members for all hours worked, including straight time and overtime; 24 (b) Violating California Labor Code Sections 204, 510 and 1198, by failing 25 to pay premium wages for hours worked in excess eight (8) in any 26 workday and forty (40) in any workweek; 27 (c) Violating California Labor Code Section 226, by failing to provide the 28 PLAINTIFF and the Class Members with accurate itemized wage
CLASS ACTION COMPLAINT
-4- 1 statements; 2 (d) Violating California Labor Code Sections 201 and 202, by failing to 3 tender full payment and/or restitution of wages owed to the employees 4 whose employment with DEFENDANT has terminated; and, 5 (e) Violating Business & Professions Code Section 17200 et seq., by 6 committing acts of unfair competition in violation of the California 7 Labor Code and public policy, by failing to pay the PLAINTIFF and 8 the Class Members wages for all hours worked as a result of altering 9 the actual number of hours worked. 10 13. As a result of CLASSIC’s uniform policies, practices and procedures, there are 11 numerous questions of law and fact common to all Class Members who worked for 12 CLASSIC in California during the CLASS PERIOD. These questions include, but are not 13 limited to, the following: 14 (a) Whether CLASSIC’s policies, practices and pattern of conduct 15 described in this Complaint was and is unlawful; 16 (b) Whether CLASSIC failed to accurately pay the PLAINTIFF and the 17 Class Members for all hours worked, including straight time and 18 overtime; 19 (c) Whether CLASSIC failed to consider all work time as "hours worked" 20 without compensation; 21 (d) Whether CLASSIC failed to maintain true and accurate time records for 22 all hours worked by its non-exempt, hourly employees; 23 (e) Whether CLASSIC failed to provide employees with accurate itemized 24 wage statements; 25 (f) Whether CLASSIC’s compensatory time policy and practice complies 26 with the requirements of Labor Code §204.3; 27 (g) Whether CLASSIC has engaged in unfair competition by the 28 above-listed conduct; and,
CLASS ACTION COMPLAINT
-5- 1 (h) Whether CLASSIC’s conduct was willful. 2 14. This Class Action meets the statutory prerequisites for the maintenance of a 3 Class Action as set forth in California Code of Civil Procedure, Section 382, in that: 4 (a) The persons who comprise the CLASS are so numerous that the joinder 5 of all such persons is impracticable and the disposition of their claims 6 as a class will benefit the parties and the Court; 7 (b) Nearly all factual, legal, statutory, declaratory and injunctive relief 8 issues that are raised in this Complaint are common to the CLASS and 9 will apply uniformly to every member of the CLASS; 10 (c) The claims of the representative PLAINTIFF are typical of the claims 11 of each member of the CLASS. PLAINTIFF, like all the other Class 12 Members, was not correctly compensated for all hours worked because 13 of DEFENDANT’s company policies and practices PLAINTIFF 14 sustained economic injuries arising from CLASSIC’s violations of the 15 laws of California. PLAINTIFF and the Class Members are similarly 16 or identically harmed by the same unfair, deceptive, unlawful and 17 pervasive pattern of misconduct engaged in by CLASSIC; and, 18 (d) The representative PLAINTIFF will fairly and adequately represent and 19 protect the interest of the CLASS, and has retained counsel who are 20 competent and experienced in Class Action litigation. There are no 21 material conflicts between the claims of the representative PLAINTIFF 22 and the Class Members that would make class certification 23 inappropriate. Counsel for the CLASS will vigorously assert the claims 24 of all Class Members. 25 15. In addition to meeting the statutory prerequisites to a Class Action, this Action 26 is properly maintained as a Class Action pursuant to California Code of Civil Procedure, 27 Section 382, in that: 28 (a) Without class certification and determination of declaratory, injunctive,
CLASS ACTION COMPLAINT
-6- 1 statutory and other legal questions within the class format, prosecution 2 of separate actions by individual members of the CLASS will create the 3 risk of: 4 (i) Inconsistent or varying adjudications with respect to individual 5 members of the CLASS which would establish incompatible 6 standards of conduct for the parties opposing the CLASS; or, 7 (ii) Adjudication with respect to individual members of the CLASS 8 which would as a practical matter be dispositive of interests of 9 the other members not party to the adjudication or substantially 10 impair or impede their ability to protect their interests; 11 (b) The parties opposing the CLASS have acted on grounds generally 12 applicable to the CLASS, making appropriate class-wide relief with 13 respect to the CLASS as a whole in that CLASSIC’s company policies 14 and practices failed to compensate employees for all hours worked, and 15 failed to properly apply the overtime rate of pay applicable to all hours 16 worked in excess of eight (8) in any workday and forty (40) in any 17 workweek; and, 18 (c) Common questions of law and fact exist as to the Class Members and 19 predominate over any question affecting only individual members, and 20 Class Action is superior to other available methods for the fair and 21 efficient adjudication of the controversy, including consideration of: 22 (i) The interests of the members of the CLASS in individually 23 controlling the prosecution or defense of separate actions; 24 (ii) The extent and nature of any litigation concerning the 25 controversy already commenced by or against members of the 26 CLASS; 27 (iii) The desirability or undesirability of concentrating the litigation 28 of the claims in the particular forum;
CLASS ACTION COMPLAINT
-7- 1 (iv) The difficulties likely to be encountered in the management of a 2 Class Action; and, 3 (v) The basis of CLASSIC’s policies and practices uniformly 4 applied to all Class Members. 5 16. This Court should permit this Action to be maintained as a Class Action 6 pursuant to California Code of Civil Procedure, Section 382, because: 7 (a) The questions of law and fact common to the CLASS predominate over 8 any question affecting only individual members; 9 (b) A Class Action is superior to any other available method for the fair 10 and efficient adjudication of the claims of the members of the CLASS; 11 (c) The Class Members are so numerous that it is impractical to bring all 12 Class Members before the Court; 13 (d) PLAINTIFF, and the Class Members, will not be able to obtain effective 14 and economic legal redress unless the action is maintained as a Class 15 Action; 16 (e) There is a community of interest in obtaining appropriate legal and 17 equitable relief for the common law and statutory violations and other 18 improprieties, and in obtaining adequate compensation for the damages 19 and injuries which CLASSIC’s actions have inflicted upon the CLASS; 20 (f) There is a community of interest in ensuring that the combined assets and 21 available insurance of CLASSIC are sufficient to adequately compensate 22 the members of the CLASS for any injuries sustained; 23 (g) CLASSIC has acted or has refused to act on grounds generally applicable 24 to the CLASS, thereby making final class-wide relief appropriate with 25 respect to the CLASS as a whole; and, 26 (h) The Class Members are readily ascertainable from the business records 27 of CLASSIC. The CLASS consists of all of CLASSIC’s non-exempt, 28 hourly employees who were subject to the above described uniform
CLASS ACTION COMPLAINT
-8- 1 policies and practices in California during the applicable time period. 2 3 JURISDICTION & VENUE 4 17. This Court has jurisdiction over this Action pursuant to California Code of 5 Civil Procedure, Section 410.10 and California Business & Professions Code, Section 6 17203. This Action is brought as a Class Action on behalf of similarly situated employees 7 of Classic Party Rentals, Inc. pursuant to California Code of Civil Procedure, Section 382. 8 18. Venue is proper in this Court pursuant to California Code of Civil Procedure, 9 Sections 395 and 395.5, because Classic Party Rentals, Inc. (i) currently maintains and at all 10 relevant times maintained offices and facilities in this County, and (ii) committed the 11 wrongful conduct herein alleged in this County against members of the CLASS. 12 13 FIRST CAUSE OF ACTION 14 For Unlawful, Unfair and Deceptive Business Practices 15 [Cal. Bus. And Prof. Code §§ 17200 et seq.] 16 (By PLAINTIFF and the CLASS and against DEFENDANT) 17 19. PLAINTIFF, and the Class Members, reallege and incorporate by this reference, 18 as though fully set forth herein, paragraphs 1 through 18 of this Complaint. 19 20. DEFENDANT is a "persons" as that term is defined under the California 20 Business & Professions Code, Section 17021. 21 21. Section 17200 of the California Business & Professions Code defines unfair 22 competition as any unlawful, unfair, or fraudulent business act or practice. Section 17200 23 applies to violations of labor laws in the employment context. Section 17203 authorizes 24 injunctive, declaratory, and/or other equitable relief with respect to unfair competition as 25 follows: 26 Any person who engages, has engaged, or proposes to engage in unfair competition may be enjoined in any court of competent jurisdiction. The court 27 may make such orders or judgments, including the appointment of a receiver, as may be necessary to prevent the use or employment by any person of any practice 28 which constitutes unfair competition, as defined in this chapter, or as may be
CLASS ACTION COMPLAINT
-9- 1 necessary to restore to any person in interest any money or property, real or personal, which may have been acquired by means of such unfair competition. 2 22. By the conduct alleged herein, CLASSIC’s uniform policies and practices 3 violated and continue to violate California law, and specifically provisions of the Wage Orders, 4 the California Labor Code, including Sections 201, 202, 204, 204.3, 206.5, 210, 510 and 1198, 5 and the California Code of Regulations, title 8, sections 11010 and 11040, for which this Court 6 should issue equitable and injunctive relief, pursuant to Section 17203 of the California 7 Business & Professions Code, including restitution of wages wrongfully withheld. 8 23. By the conduct alleged herein, CLASSIC’s practices were unfair in that these 9 practices violate public policy, are immoral, unethical, oppressive, unscrupulous or substantially 10 injurious to employees, and are without valid justification or utility, for which this Court should 11 issue equitable and injunctive relief, pursuant to Section 17203 of the California Business & 12 Professions Code, including restitution of wages wrongfully withheld. 13 24. By the conduct alleged herein, CLASSIC’s practices were deceptive and 14 fraudulent in that CLASSIC’s uniform practice was to represent to its employees that they were 15 not entitled to compensation for all hours worked, when in fact these representations were false 16 and likely to deceive, for which this Court should issue equitable and injunctive relief, pursuant 17 to Section 17203 of the California Business and Professions Code, including restitution of 18 wages wrongfully withheld. 19 25. By and through the unfair and unlawful business practices described herein, 20 CLASSIC has obtained valuable property, money, and services from the PLAINTIFF, and from 21 the Class Members, and has deprived them of valuable rights and benefits guaranteed by law 22 and contract, all to the detriment of the employees and to the benefit of DEFENDANT so as to 23 allow DEFENDANT to unfairly compete against competitors who comply with the law. 24 26. All the acts described herein as violations of, among other things, the California 25 Labor Code, California Code of Regulations, and the Industrial Welfare Commission Wage 26 Orders, are unlawful and in violation of public policy; and are immoral, unethical, oppressive, 27 and unscrupulous, are deceptive, and thereby constitute unfair, deceptive and unlawful business 28
CLASS ACTION COMPLAINT
-10- 1 practices in violation of the California Business and Professions Code, Sections 17200 et seq. 2 DEFENDANT’s conduct was also deceptive in that DEFENDANT represented to the 3 PLAINTIFF and the others members of the CLASS that they were not entitled to receive 4 compensation for all hours worked, including wages for straight time and overtime. 5 27. PLAINTIFF, and the Class Members, are entitled to, and do, seek such relief as 6 may be necessary to restore to them the money and property which DEFENDANT has acquired, 7 or of which the PLAINTIFF, and the Class Members, have been deprived, by means of the 8 described unlawful and unfair business practices. The relief sought in this cause of action 9 includes payment of wages for hours worked by the Class Members, which includes both wages 10 for straight time and overtime hours. 11 28. PLAINTIFF, and the Class Members, are further entitled to, and do, seek a 12 declaration that the described business practices are unfair and unlawful and that an injunctive 13 relief should be issued restraining CLASSIC from engaging in any of these unfair and unlawful 14 business practices in the future. 15 29. PLAINTIFF, and the Class Members, have no plain, speedy, and/or adequate 16 remedy at law that will end the unfair and unlawful business practices of CLASSIC. Further, 17 the practices herein alleged presently continue to occur unabated. As a result of the unfair and 18 unlawful business practices described herein, the PLAINTIFF, and the Class Members, have 19 suffered and will continue to suffer irreparable harm unless CLASSIC is restrained from 20 continuing to engage in these unfair and unlawful business practices. In addition, compensation 21 to the PLAINTIFF as well as to the other members of the CLASS. 22 23 SECOND CAUSE OF ACTION 24 For Failure To Pay Overtime Wages 25 [Cal. Lab. Code §§ 201, 202, 203, 204, 204.3 210, 218, 510, 1194 & 1198] 26 (By PLAINTIFF and the CLASS and against DEFENDANT) 27 30. PLAINTIFF, and the Class Members, reallege and incorporate by this reference, 28 as though fully set forth herein, paragraphs 1 through 29 of this Complaint.
CLASS ACTION COMPLAINT
-11- 1 31. PLAINTIFF, and the Class Members, bring a claim for DEFENDANT’s willful 2 and intentional violations of the California Labor Code, Sections 201, 202, 204, 206.5, 210, 510, 3 515, 558, 1198, and California Code of Regulations, Title 8, Sections 11010 and 11040 for 4 DEFENDANT’s failure to correctly compensate the employees for all the hours they worked 5 as a result of DEFENDANT’s uniform and systematic policy and practice to alter the number 6 of hours worked by the PLAINTIFF and the Class Members. 7 32. Pursuant to California Labor Code Section 204, other applicable laws and 8 regulations, and public policy, an employer must timely pay its employees for all hours worked. 9 Labor Code Section 201 and 202 require DEFENDANT to pay all wages due to an employee 10 whose employment terminated. 11 33. California Labor Code Section 510 further provides that employees in California 12 shall not be employed more than eight (8) hours per workday and forty (40) hours per 13 workweek unless they receive additional compensation beyond their regular wages in amounts 14 specified by law. 15 34. California Labor Code Section 1194 establishes an employee's right to recover 16 unpaid wages, including overtime compensation and interest thereon, together with the costs 17 of suit. Section 1198 of the California Labor Code states that the employment of an employee 18 for longer hours than those fixed by the Industrial Welfare Commission is unlawful. 19 35. During the CLASS PERIOD, CLASSIC maintained a uniform wage practice of 20 paying the PLAINTIFF, and the Class Members, without regard to the number of hours they 21 actually worked. As set forth herein, DEFENDANT’s policy and practice was to intentionally 22 and uniformly deny timely payment of wages due, including overtime wages, PLAINTIFF and 23 the Class Members, and CLASSIC in fact failed to pay these employees for all hours worked. 24 36. CLASSIC's uniform pattern of unlawful wage and hour practices manifested, 25 without limitation, applicable to the CLASS as a whole, by implementing a uniform policy and 26 systematic practice that denied compensation to the Class Members, including the PLAINTIFF, 27 for all the hours they worked. 28 37. In committing these violations of the California Labor Code, CLASSIC
CLASS ACTION COMPLAINT
-12- 1 inaccurately under-reported the actual time worked and CLASSIC underpaid the actual amount 2 of hours worked, in violation of California Labor Code Section 206.5. CLASSIC acted in an 3 illegal attempt to avoid payment of earned wages, overtime compensation and other benefits in 4 violation of the California Labor Code, the Industrial Welfare Commission requirements, and 5 other applicable laws and regulations. 6 38. As a direct result of CLASSIC’s unlawful wage practices as alleged herein, the 7 PLAINTIFF and the Class Members did not receive proper compensation for all the hours they 8 actually worked for DEFENDANT’s benefit. 9 39. California Labor Code Section 515 sets out various categories of employees who 10 are exempt from the overtime requirements of the law. None of these exemptions are applicable 11 to the PLAINTIFF and the Class Members. During the CLASS PERIOD, the PLAINTIFF and 12 the Class Members, were classified by DEFENDANT as non-exempt from overtime and 13 performed non-exempt job duties. 14 40. During the CLASS PERIOD, the PLAINTIFF and the Class Members were 15 classified as non-exempt from overtime by CLASSIC. None of the exemptions are applicable 16 to the CLASS based on their job duties. Further, the PLAINTIFF and the Class Members are 17 not subject to a valid collective bargaining agreement that would preclude the causes of action 18 contained herein this Complaint. Rather, the PLAINTIFF brings this Action on behalf of 19 himself and the members of the CLASS based on DEFENDANT’s violations of non-negotiable, 20 non-waiveable rights provided by the state of California. 21 41. During the CLASS PERIOD, the PLAINTIFF and the Class Members worked 22 more hours than they were paid for and/or were paid less for hours worked that they were 23 entitled to, constituting a failure to pay all earned wages. During the CLASS PERIOD, the 24 PLAINTIFF, and the Class Members, regularly worked overtime hours. 25 42. DEFENDANT failed to accurately pay the PLAINTIFF and the Class Members 26 wages for all the hours they actually worked, including hours in excess of the maximum hours 27 permissible by law as required by the California Labor Code, Sections 204, 510 and 1198, even 28 though the PLAINTIFF and the Class Members were regularly required to work, and did in fact
CLASS ACTION COMPLAINT
-13- 1 work, hours that CLASSIC never recorded, as evidenced by CLASSIC’s business records and 2 witnessed by employees. 3 43. By virtue of DEFENDANT's unlawful failure to pay compensation to the 4 PLAINTIFF and the Class Members accurately for the true number of hours they worked, the 5 PLAINTIFF and the Class Members have suffered and will continue to suffer an economic 6 injury in amounts which are presently unknown to them and which will be ascertained 7 according to proof at trial. 8 44. During the CLASS PERIOD, CLASSIC knew or should have known that the 9 PLAINTIFF and the Class Members worked hours that they were not compensated for, 10 including hours in excess of eight (8) in any workday and forty (40) in any workweek. 11 CLASSIC systematically elected, either through intentional malfeasance or gross nonfeasance, 12 not to pay employees the correct amount for their labor as a matter of uniform, corporate policy, 13 practice and procedure, and to perpetrate this systematic scheme, CLASSIC refused to pay 14 employees for compensable work time. 15 45. In performing the acts and practices herein alleged in violation of labor laws and 16 refusing to compensate the Class Members for all the hours they worked and provide the 17 requisite overtime compensation, CLASSIC acted and continues to act intentionally, 18 oppressively, and maliciously toward the PLAINTIFF, and toward the Class Members, with a 19 conscious of and utter disregard for their legal rights, or the consequences to them, and with the 20 despicable intent of depriving them of their property and legal rights, and otherwise causing 21 them injury in order to increase corporate profits at the expense of the PLAINTIFF and the 22 Class Members. 23 46. CLASSIC’s respective failure to accurately record the hours worked by the 24 CLASS and pay the proper amount of overtime compensation to the PLAINTIFF and the Class 25 Members violates IWC Wage Orders No. 1 and 4 and the California Labor Code, Sections 201, 26 202, 204, 206.5, 210, 218, 510, 1194 and 1198, and is therefore unlawful. 27 47. Therefore, the PLAINTIFF, and the Class Members, request recovery of unpaid 28 overtime compensation according to proof, interest, statutory costs, as well as the assessment
CLASS ACTION COMPLAINT
-14- 1 of any statutory penalties against DEFENDANT, in a sum as provided by the California Labor 2 Code and/or other applicable statutes. In addition, to the extent wages are determined to be 3 owed to the PLAINTIFF and Class Members whose employment has terminated, these 4 employees are further entitled to waiting time penalties under Section 203 of the California 5 Labor Code, which are sought herein. 6 7 THIRD CAUSE OF ACTION 8 For Failure to Provide Accurate Itemized Statements 9 [Cal. Lab. Code § 226] 10 (By PLAINTIFF and the CLASS and against DEFENDANT) 11 48. PLAINTIFF, and the Class Members, reallege and incorporate by this reference, 12 as though fully set forth herein, paragraphs 1 through 47 of this Complaint. 13 49. Pursuant to the California Labor Code, Section 226, an employer must furnish 14 employees with an "accurate itemized statement in writing" showing all of the following items: 15 (1) gross wages earned, (2) total hours worked by the employee, except for any employee whose 16 compensation is solely based on a salary and who is exempt from payment of overtime under 17 subdivision (a) of Section 515 or any applicable order of the Industrial Welfare Commission, 18 (3) the number of piecerate units earned and any applicable piece rate if the employee is paid 19 on a piece-rate basis, (4) all deductions, provided that all deductions made on written orders of 20 the employee may be aggregated and shown as one item, (5) net wages earned, (6) the inclusive 21 dates of the period for which the employee is paid, (7) the name of the employee and his or her 22 social security number, except that by January 1, 2008, only the last four digits of his or her 23 social security number or an employee identification number other than a social security number 24 may be shown on the itemized statement, (8) the name and address of the legal entity that is the 25 employer, and (9) all applicable hourly rates in effect during the pay period and the 26 corresponding number of hours worked at each hourly rate by the employee. See California 27 Labor Code § 226. 28 50. At all relevant times mentioned herein, CLASSIC violated California Labor Code
CLASS ACTION COMPLAINT
-15- 1 Section 226 with respect to the PLAINTIFF and the Class Members, without limitation, in that 2 CLASSIC inaccurately or completely failed to record and report all the hours they actually 3 worked on their pay stubs, including straight time and overtime hours worked, as well as their 4 gross wages earned. 5 51. This failure was the result of CLASSIC’s intentional refusal to compensate the 6 employees for all hours worked. 7 52. CLASSIC knowingly and intentionally failed to comply with California Labor 8 Code Section 226, causing damages to the PLAINTIFF and the Class Members. These damages 9 include, but are not limited to, unpaid wages for all hours actually worked, the costs expended 10 calculating the true hours worked and the amount of employment taxes which were not properly 11 paid to state and federal tax authorities. These damages may be difficult to estimate. Therefore, 12 the PLAINTIFF, and the Class Members, may recover liquidated damages of $50.00 for the 13 initial pay period in which the violation occurred, and $100.00 for each violation in subsequent 14 pay period pursuant to California Labor Code Section 226, in an amount according to proof at 15 the time of trial (but in no event more than $4,000.00 for the PLAINTIFF and each respective 16 member of the CLASS herein), plus statutory costs, pursuant to California Labor Code Section 17 226(g). 18 19 PRAYER 20 WHEREFOR, the PLAINTIFF prays for judgment against each Defendant, jointly 21 and severally, as follows: 22 1. On behalf of the CLASS: 23 A) That the Court certify action asserted by the CLASS as a Class Action 24 pursuant to California Code of Civil Procedure, Section 382; 25 B) An order temporarily, preliminarily and permanently enjoining and restraining 26 DEFENDANT from engaging in similar unlawful conduct as set forth herein; 27 C) An order requiring DEFENDANT to pay all sums unlawfully withheld from 28 the PLAINTIFF and the other members of the CLASS;