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Insights and info on employment law in California

Employee Remedies for ESOP Fraud

Jun 25, 2014

Recently the Wall Street Journal featured three articles related to Employee Stock Ownership Plans (ESOP) and valuation practices that put employees’ retirement funds at risk.  These articles discuss increased scrutiny by the federal government to ensure that employees are not cheated in their ESOP retirement funds. They also describe the […]

California Supreme Court Rules in Iskanian: Class Action Waivers In Employment Arbitration Agreements Are Valid

Jun 23, 2014

The California Supreme Court issued its long awaited ruling today in Iskanian v. CLS Transportation holding its prior ruling in Gentry v. Superior Court (2007) 42 Cal.4th 443 (Gentry) has been abrogated by recent United States Supreme Court precedent and that class action waivers in employment arbitration agreements are valid […]

Donahoo & Associates, PC, ESOP Case Featured in Wall Street Journal

Jun 23, 2014

Today’s Wall Street Journal features our recent ESOP case brought on behalf of our client John Vincent and over 200 other former employees of Southern California Pipeline Construction.  We were pleased to obtain a successful result for our clients to recover their ESOP retirement benefits. Read the article “U.S. Increases […]

The Ponzi Pandemic: Loss and Recovery

May 13, 2014

Investors have become familiar with the names Madoff and Ponzi, they get the connection. But it is often new news to hear that there have been more than 500 other Ponzi schemes in the ‘Madoff Era.’ A recent Forbes article recounts the story of Madoff and the nearly $20 billion […]

California Issues Fine Over Wage Issue

May 7, 2014

 The San Diego Union-Tribune today reported that the state of California has issued a fine of $200,000 over a wage issue involving two public schools and dozens of workers. The state claims that the subcontractor, La Jolla Electric, failed to pay prevailing wages. The company has appealed. Contractors and subcontractors […]

California Prevailing Wage Law Strengthened (AB 1336)

Mar 27, 2014

Beginning January 1, 2014 several changes to California Labor Code relating to public works and the prevailing wages took effect. These changes benefit employees by: Lengthening the period in which claims can be filed Increasing the penalties and damages available to employees who did not receive their proper wages Improving […]

Careful what you wish for…the risk of decertification

Mar 21, 2014

Employment cases routinely proceed as class actions. Plaintiffs and their attorneys seek to represent large numbers of employees to correct common legal wrongs and to obtain common fund damages. Employers and their counsel reflexively contest class certification or seek to decertify class action cases after certification is granted. But decertification […]

Prevailing wages will lift San Diego economy

Jul 28, 2013

This is a historic moment for public works in the city of San Diego. After decades of neglect, the city is intending to rebuild our streets, sidewalks, storm-drains, libraries and parks, and replace an aging water-wastewater system. In the coming fiscal year, the city is proposing over $330 million in […]

Federal Court in Washington Rules 24 Hour Fitness Petitions Insufficient

Feb 20, 2012

A federal district court in the state of Washington has ruled that 24 Hour Fitness’ petitions to compel arbitration failed to properly plead jurisdiction and therefore are insufficient and must be amended. The court, on its own motion, reviewed the petitions filed in the Western District of Washington and found that 24 Hour had not properly pleaded jurisdiction. After the court heard from 24 Hour Fitness in response to an Order to Show Cause, the court found the response was inadequate and ordered the petitions to be amended. The case is 24 Hour Fitness USA, Inc. v. Gorden, C11-2039RSM (W.D. Wash. 2012). A copy of the ruling is available here __________.

Courts Rule in Favor of Workers for Improper Annualization, Certifying Class Action in Prevailing Wage Case

Feb 17, 2012

On February 3, 2012 the Superior Court County of Yolo certified a class action against Valley Slurry Seal Company/ Valley Slurry Seal Emultech (VSS) on a prevailing wage claim. This case involves current and former employees of VSS seeking redress of claims for the failure to pay prevailing wages. All claimants worked in the execution of a public works project as hourly employees for VSS in the State of California during the three years prior to the filing of this action. The class was certified alleging that VSS improperly annualized and failed to irrevocably contribute employer fringe benefit contributions. The ruling on annualization is one of the first of its kind, allowing the plaintiffs to pursue their claims as a class.

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