Justia Labor & Employment Law Opinion Summaries

Stephen Caudle, a truck driver for Hard Drive Express, Inc., sued his employer alleging that he was fired in retaliation for attempting to report unlawful employment practices. The case focuses on the Fair Labor Standards Act (FLSA) and Michigan Whistleblower Protection Act (WPA), with Caudle arguing that his firing was a response to his complaints about Hard Drive's failure to reimburse him for time and money spent on repairs. The district court granted summary judgement in favor of the employer, interpreting Caudle's complaints as related only to Hard Drive's paid-time-off policy, and therefore not protected under FLSA or WPA.The United States Court of Appeals for the Sixth Circuit reversed this decision, holding that there was a genuine factual dispute about whether Caudle's complaints were about vacation pay or the company's failure to compensate him for repairs. The court found that there was sufficient evidence to suggest that Caudle's complaints could have put the company on notice of potential violations of the FLSA, and therefore his firing could be seen as a violation of the anti-retaliation provisions of the FLSA and Michigan WPA. The court remanded the case for further proceedings. View "Caudle v. Hard Drive Express, Inc." on Justia Law

The case involves a group of former firefighters who retired from the city of Meriden and claimed damages from the city and the Meriden Municipal Pension Board for alleged breach of a collective bargaining agreement. The plaintiffs, who retired in 2015, claimed that they should have received an increase in their pension benefits based on a 2% wage increase that was awarded retroactively in an arbitration process after the plaintiffs had retired. The trial court ruled in favor of the plaintiffs, holding that the defendants had breached the collective bargaining agreement by failing to recalculate the plaintiffs' pension benefits based on the retroactive wage increase.On appeal, the Connecticut Supreme Court reversed the trial court's decision. The Supreme Court held that the defendants did not breach the collective bargaining agreement. This conclusion was based on the fact that the pension plan did not allow for the recalculation of pension benefits for retirees who voluntarily retired before the issuance of the arbitration award. The court noted that the pension plan only allowed for a retroactive adjustment of pension benefits for those who were forced to retire due to reaching the mandatory retirement age of 65. The court also held that the trial court did not lack subject matter jurisdiction to hear the case, rejecting the defendants' claim that the plaintiffs failed to exhaust their administrative remedies before filing the lawsuit. View "Stiegler v. Meriden" on Justia Law

The case involves a whistleblower-retaliation action brought by Tayo Daramola, a Canadian citizen, under the Sarbanes-Oxley and Dodd-Frank Acts. Daramola was employed by Oracle Canada, a subsidiary of Oracle America, and worked remotely from Canada. He alleged that Oracle America and its employees retaliated against him for reporting suspected fraud related to one of Oracle's software products.The United States Court of Appeals for the Ninth Circuit affirmed the district court's dismissal of Daramola's action. The court held that the whistleblower anti-retaliation provisions in the Sarbanes-Oxley and Dodd-Frank Acts do not apply outside the United States. The court applied a presumption against extraterritoriality and concluded that the presumption was not overcome because Congress did not affirmatively and unmistakably instruct that the provisions should apply to foreign conduct.The court further held that this case did not involve a permissible domestic application of the statutes, given that Daramaola was a Canadian working out of Canada for a Canadian subsidiary of a U.S. parent company. The court agreed with other circuits that the focus of the Sarbanes-Oxley anti-retaliation provision is on protecting employees from employment-related retaliation, and the locus of Daramola's employment relationship was in Canada. The court also concluded that Daramola did not allege sufficient domestic conduct in the United States in connection with his Dodd-Frank claim. The same reasoning disposed of Daramola’s California state law claims. View "DARAMOLA V. ORACLE AMERICA, INC." on Justia Law

In a dispute between ORP Surgical, LLC (ORP), and Howmedica Osteonics Corp., also known as Stryker, the United States Court of Appeals for the Tenth Circuit affirmed in part and reversed in part the district court's ruling. ORP and Stryker, both involved in medical device sales, had a successful business relationship under two sales contracts, the Joint Sales Representative Agreement (JSRA) and the Trauma Sales Representative Agreement (TSRA). The relationship soured when Stryker terminated the JSRA and hired one of ORP's sales representatives, and later, when ORP terminated the TSRA, Stryker hired a dozen of ORP's representatives. The district court ruled in favor of ORP, finding that Stryker breached the sales contracts and owed ORP damages, attorneys’ fees, sanctions, and costs. On appeal, Stryker challenged the rulings on the breach of contract claims, the attorneys’ fees award, and the nominal damages award. The Court of Appeals affirmed the district court’s holdings on the breach-of-contract claims but reversed its award of attorneys' fees under the indemnification provision. It also affirmed the award of nominal damages for Stryker's breach of the non-solicitation/non-diversion provision. The case was remanded for further proceedings. View "ORP Surgical v. Howmedica Osteonics Corp." on Justia Law

The plaintiff, Dr. Misty Blanchette Porter, had been a staff physician at Dartmouth-Hitchcock Medical Center (DHMC) since 1996. She specialized in reproductive medicine and was highly regarded in her field. In November 2015, Dr. Porter developed a medical condition that required her to take a medical leave of absence and subsequently work reduced hours. In 2017, DHMC decided to close the Reproductive Endocrinology and Infertility Division (REI) where Dr. Porter worked and terminate her employment. Dr. Porter claimed that her termination was due to her disability and her whistleblowing activity, in violation of the Americans with Disabilities Act (ADA), the Rehabilitation Act, and the laws of Vermont and New Hampshire.The United States Court of Appeals for the Second Circuit found that the district court erred in granting summary judgment to DHMC. The court found that there was direct evidence that the decision to terminate Dr. Porter's employment was based, in whole or in part, on her disability. The court also found that a jury could reasonably infer that Dr. Edward Merrens, the chief decision-maker in the termination, was aware of Dr. Porter's whistleblowing activity. The case was affirmed in part, vacated and remanded in part. View "Porter v. Dartmouth-Hitchcock Medical Center" on Justia Law

In this case, the Court of Appeal of the State of California Fourth Appellate District Division Three heard an appeal from Amanda Neeble-Diamond against a postjudgment order, awarding costs exceeding $180,000 to the prevailing defendant, Hotel California By the Sea. The original lawsuit involved both statutory and nonstatutory causes of action based on Neeble-Diamond's alleged employment status with Hotel California, which was determined by the jury to be that of an independent contractor, not an employee. Following this judgment, Hotel California sought costs and attorney fees. The trial court denied attorney fees but awarded costs, which led to Neeble-Diamond's appeal.The issue at hand was whether the trial court could award costs to the defendant without finding that the plaintiff's California Fair Employment and Housing Act (FEHA) claims were objectively frivolous. The appellate court agreed with Neeble-Diamond, reversing the order that awarded costs to Hotel California. The court highlighted that in FEHA cases, a prevailing defendant has no automatic right to recover costs. Instead, the defendant must move the court to make a discretionary award of such costs, based in part on a specific finding that the action was frivolous.Hotel California forfeited any claim to costs by failing to file the necessary motion for costs as they did for attorney fees, rendering their cost memorandum ineffective. As a result, Neeble-Diamond had no obligation to respond to the cost memorandum, and the court erred by signing an "amended judgment" that included an award of $180,369.41 in costs to Hotel California. View "Neeble-Diamond v. Hotel California By the Sea, LLC" on Justia Law

In the case before the Supreme Court of the State of Hawai‘i, the issue was whether a subrogee insurance company, which timely intervened pursuant to HRS § 386-8(b), has an independent right to continue to pursue claims and/or legal theories against a tortfeasor that were not asserted by the subrogor employee, after summary judgment has been granted against the subrogor employee, on the subrogor employee’s claims. This case involved Hyun Ju Park, a bartender who was shot by an off-duty Honolulu Police Department officer while at work. Park sued the City and County of Honolulu, alleging negligence and other claims. Dongbu Insurance Co., Ltd., the workers' compensation insurance carrier for Park's employer, intervened in the case, alleging additional negligence claims that Park had not raised. The City moved to dismiss all of Park’s claims and some of Dongbu's claims, which the court granted, leaving two of Dongbu's claims - negligent supervision and negligent training - remaining. The City then moved for summary judgment against Dongbu, arguing that since Park's claims were dismissed, Dongbu's claims also failed.The Supreme Court of Hawai‘i held that a subrogee insurance company, which timely intervened, does have an independent right to continue to pursue claims and/or legal theories against a tortfeasor that were not asserted by the subrogor employee, even after summary judgment has been granted against the subrogor. The court reasoned that an affirmative answer protects subrogation, aligns with Hawai‘i’s workers’ compensation subrogation law, and does not undermine employers’ and insurers’ intervention rights. The court also rejected the City's claim preclusion argument, stating that Dongbu's remaining claims for negligent supervision and negligent training had not yet been decided and were not barred by res judicata. Therefore, Dongbu may continue to pursue its non-dismissed claims. View "Park v. City and County of Honolulu" on Justia Law

In a case before the United States Court of Appeals for the Third Circuit, a group of former union members alleged that their First Amendment rights were violated when their respective unions continued to deduct membership dues from their paychecks after they had resigned from the unions. The appellants had previously signed union membership applications authorizing the deduction of dues from their paychecks, with the authorizations being irrevocable for a year, regardless of membership status, unless the member provided written notice of revocation within a specified annual window. The appellants resigned from their respective unions after their annual revocation windows had passed, and the unions continued to deduct dues until the next annual revocation window. The appellants argued that the Supreme Court's decision in Janus v. American Federation of State, County, and Municipal Employees, Council 31, which held that public-sector unions charging fees to nonmembers is a form of coerced speech that violates the First Amendment, should extend to their situation. The Third Circuit disagreed, holding that Janus was focused on preventing forced speech by nonmembers who never consented to join a union, not members who voluntarily join a union and later resign. The court further rejected the appellants' due process claims, finding that they had not been deprived of any constitutional rights. The court also dismissed the appellants' contract defenses, finding that they had not alleged that the terms of their original membership agreements entitled them to membership in perpetuity. The court affirmed the District Court's orders dismissing the appellants' claims. View "Fultz v. AFSCME" on Justia Law

Two online fundraising companies, Snap! Mobile, Inc. ("Snap") and Vertical Raise, LLC ("Vertical Raise"), were involved in a dispute. Snap accused Vertical Raise and its CEO, Paul Landers, of poaching its sales representatives and customers, which violated non-compete and confidentiality provisions in the former sales representatives’ employment agreements with Snap. The trial court granted Snap a preliminary injunction to prevent further violations and partially ruled in Snap's favor on some claims. A jury trial on damages resulted in an award of $1,000,000 to Snap. However, the trial court increased the award to $2,310,021. Both parties appealed. The Supreme Court of Idaho affirmed the trial court's award of discretionary costs for expert witness fees but reversed the trial court’s order granting an additur or new trial. The Supreme Court ordered the trial court to enter a judgment consistent with the original jury award. The Supreme Court also reversed the trial court’s decision granting Snap a permanent injunction. In a separate contempt proceeding, the Supreme Court affirmed the contempt court's decision to dismiss contempt charges against Vertical Raise and Paul Croghan, a former Snap employee. The contempt court had determined the preliminary injunction was vague, overbroad, and unenforceable. View "Snap! Mobile v. Vertical Raise" on Justia Law

The case concerns Sandra Selden, an employee at the Des Moines Area Community College (DMACC), who alleged that she was a victim of illegal wage discrimination based on sex and wrongful retaliation. Selden discovered that a male colleague was receiving a higher salary for the same job. When her employer did not act on her complaint, attributing the pay gap to the male employee's greater seniority and initial higher salary because of his relevant experience, Selden filed a civil rights complaint. She also applied for a supervisory position, but her application was screened out due to her lack of required educational qualifications. The case went to trial and the jury awarded damages to Selden on both claims. DMACC appealed the decision.The Supreme Court of Iowa reversed the lower court's decision, holding that the record did not contain substantial evidence of an illegal pay practice. The court found that the pay gap was due to gender-neutral factors, specifically a neutral seniority system, and the decision to hire the male employee at a higher rate due to market conditions and his significant experience. The court also found that the retaliation claim was not supported by substantial evidence, as the employer consistently screened out all applicants who lacked the required qualifications. The court concluded that the lower court should have directed a verdict in favor of the defendants and remanded the case for that purpose. View "Selden v. Des Moines Area Community College" on Justia Law