John Castaneda filed a class action on behalf of himself and other certified nursing assistants against Ensign for unpaid minimum and overtime wages. He alleges that Ensign is the alter ego of the Cabrillo Rehabilitation and Care Center, a nursing facility that Ensign owns. The trial court granted Ensign’s motion for summary judgment, but the Court of Appeal reversed, holding that there was sufficient evidence that Ensign exercised control over Cabrillo’s operation and employees and that Ensign had made certain statements in its SEC 10-k form, among other places, that it acts as a resource and provides centralized information technology, human resources, accounting and payroll services to its “cluster companies,” including Cabrillo. See also Dynamex Ops. West, Inc. v. Superior Court, 2014 WL 5173038 (Cal. Ct. App. 2014) (class of drivers was properly certified based on IWC definition of employee as to claims falling within the scope of Wage Order No. 9).
Castaneda v. The Ensign Group, Inc., 229 Cal. App. 4th 1015 (2014)