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Insights and info on employment law in California

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.

United States Court of Appeals Invalidates 24 Hour Fitness Arbitration Agreement

Jan 25, 2012

On January 25, 2012 the 5th Circuit Court of Appeals published its opinion in Carey v. 24 Hour Fitness (5th Cir. No. 10-20845).  The court held that 24 Hour Fitness’s 2005 Arbitration Agreement is illusory and unenforceable.  Carey, a former 24 Hour Fitness employee, argued that the arbitration agreement was […]

Law360: 24 Hour Fitness Workers Want Arbitrations Kept in California

Jan 25, 2012

A recent article in Law360 provides an current overview of the 24 Hour Fitness overtime case.  Almost 1,000 current and former employees of the company have brought overtime claims against 24 Hour Fitness.  In the latest turn of events, the case is proceeding to arbitration and the parties are litigating […]

24 Hour Fitness Cases Head to Arbitration

Jan 24, 2012

Almost 1,000 former employees of 24 Hour Fitness continue to pursue their former employer for unpaid overtime. A 2011 ruling decertified the collective action filed in California, and the case is now headed into arbitration where each of the 983 claims will be adjudicated by an arbitrator.

Southern California Ponzi Case

Jan 23, 2012

More than a year ago, alleged Southern California con man Bruce Fred Friedman was arrested in France where he remains in custody today. Friedman has opposed extradition to the US and, although French courts have authorized extradition, the French government has not yet made a final decision.

Richard E. Donahoo Named Liaison Counsel in PONZI case

Dec 12, 2011

On November 29, 2011 Hon. Elihu M. Berle named Orange County lawyer Richard E. Donahoo Plaintiffs’ Liaison Counsel in related cases involving Diversified Lending Group (“In Re DLG”) currently pending before Los Angeles Superior Court Civil Complex Division.

If it sounds too good to be true – it may be a PONZI scheme

Dec 1, 2011

The Ponzi scheme was named after Charles Ponzi, an Italian immigrant who was arrested in 1920 for conning New England residents out of millions of dollars. The scheme, in one form or another, continues today.

Thanks to Those Who Serve

Nov 21, 2011

This week, as we consider the many things we are thankful for, consider the service and sacrifice by members of our community who are called to be jurors in our civil justice system. Our system only functions with the willingness of the citizen-juror to sit and listen to facts and render impartial judgment. Without the willing juror, the system does not work.

California Adopts New “Anti-Wage Theft” Law To Protect Workers

Nov 15, 2011

In January, 2012 California employees will have new protections against wage theft. California lawmakers have enacted new laws to protect workers against employers who cheat their employees. In a new law entitled “the Wage Theft Prevention Act of 2011” the Labor Code was amended to require employers to furnish to non-exempt employees, at the time of hiring, a notice specifying the employee’s rate or rates of pay and the basis on which the employee’s wages are to be calculated, e.g. hourly, daily, piece, salary, commission or by some other method.

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