California Employment Law Update

Category Archives: Federal Jurisdiction

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Federal Court Dismisses Computer Fraud and Abuse Act Claim That Was Filed Against Our Clients

Here’s a recent victory we obtained on behalf of our clients SunEdison, Inc., et al. The individual defendants (then-current employees of SunPower, Inc.) were alleged to have violated the federal Computer Fraud and Abuse Act (CFAA) by connecting USB devices to SunPower’s computer system and allegedly copying data. U.S. District Court Judge William H. Orrick granted … Continue Reading

Employer Met Its Burden Of Proving At Least $5 Million Amount In Controversy For CAFA Removal

LaCross v. Knight Transp. Inc., 775 F.3d 1200 (9th Cir. 2015) In this putative class action, plaintiffs alleged that Knight Transportation had misclassified them as independent contractors when in fact they were employees who were not reimbursed their lease-related and fuel costs as required by Labor Code § 2802. Knight removed the case from state … Continue Reading

U.S. Supreme Court Tires (For Now) of Playing “Whack-a-Mole” With California Over Arbitration

On January 20, 2015, the U.S. Supreme Court denied the petition for certiorari filed in CLS Transp. Los Angeles, LLC v. Iskanian, a case in which the California Supreme Court held that waivers of employees’ right to bring representative actions under California’s Private Attorneys General Act of 2004 (“PAGA”) are unenforceable under state law. You … Continue Reading

California Supreme Court Limits Recovery for Employees Who Misrepresent Their Immigration Status

On June 26, 2014, the California Supreme Court handed down Salas v. Sierra Chemical, a case at the intersection of employment and immigration law. Salas, a former employee of Sierra Chemical, filed suit alleging disability discrimination and wrongful termination. Prior to trial, Salas notified the court that he would assert a Fifth Amendment privilege to … Continue Reading

PAGA Action Should Have Been Remanded To State Court

Baumann v. Chase Inv. Servs., 2014 WL 983587 (9th Cir. 2014) Joseph Baumann sued his employer, Chase Investment Services Corporation, under the Private Attorneys General Act (“PAGA”), alleging claims for unpaid overtime, meal breaks and rest periods and timely expense reimbursements. Baumann further alleged his potential share of any recovery and attorney’s fees would be … Continue Reading

Ninth Circuit Clarifies CAFA Removal Requirements

In its recent per curiam opinion in Rea v. Michaels Stores, Inc., the U.S. Court of Appeals for the Ninth Circuit clarified rules and procedures relevant to defendants seeking to remove cases to federal court. In Rea, the plaintiffs filed a class action alleging that Michaels improperly classified California store managers as exempt from overtime. Michaels removed … Continue Reading

Court of Appeal Holds that State Courts Have Concurrent Jurisdiction over FCA Retaliation Claims

On January 30, 2014, the California Court of Appeal for the Fifth Appellate District ruled that California State courts have concurrent jurisdiction over retaliation claims under the federal False Claims Act (FCA) in Driscoll v. Superior Court (Spencer). The following addresses the basis for that ruling and its implications. Background Radiologist Scott Driscoll worked for physician Todd Spencer and … Continue Reading

Ninth Circuit Invalidates Attempt To Plead Around CAFA’s Jurisdictional Amount In Controversy

In 2005, Congress passed the Class Action Fairness Act (CAFA), which creates federal jurisdiction over class actions involving more than 100 class members and $5 million in controversy. Plaintiffs have long attempted to avoid CAFA’s invocation of federal jurisdiction by stipulating to no more than $5 million in classwide damages. In Standard Fire Ins. Co. … Continue Reading
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