the California Supreme Court issued its decision in Naranjo v. Spectrum Sec. Servs. Inc. (Naranjo), holding that meal and rest break premiums (also known as extra pay or premium pay) constitute “wages” that: (1) must be accurately reported on employee wage statements pursuant to Labor Code section 226 and (2) must be timely paid to employees to avoid waiting time penalties pursuant to Labor Code section 203. The Court explained that “although the extra pay is designed to compensate for the unlawful deprivation of a guaranteed break, it also compensates for the work the employee performed during the break period.” Thus, employees may be entitled to wage statement penalties and waiting time penalties where the employee worked through their break.
Join Philip Person and Ryan Bykerk as they discuss employee privacy with Lauren Green, internal counsel at global boutique fitness brand Barry’s Bootcamp.
Consistent with its previous rulings on the Labor Code, on May 23 the California Supreme Court held, in Naranjo v. Spectrum Security Services, Inc., that an employee who successfully sues to recover unpaid meal premiums under Labor Code § 226.7 will also be entitled to derivative wage statement and waiting time penalties under Labor Code sections 226 and 203, respectively. When it comes to meal breaks – and potentially rest breaks too, although the court did not say so explicitly – the rule in California is now three penalties for the price of one substantive violation.
Opportunity Financial, LLC (OppFi) has filed a Demurrer to the cross-complaint filed by the California Department of Financial Protection and Innovation (DFPI) in which it asks the California trial court to reject the DFPI’s attempt to apply California usury law to loans made through OppFi’s partnership with FinWise Bank (Bank) by alleging that OppFi is the “true lender” on the loans.
In Estrada v. Royalty Carpet Mills, Inc., 76 Cal. App. 5th 685 (2022), the California Court of Appeal, in relevant part, reversed a trial court’s order decertifying a subclass and dismissing related Private Attorneys General Act (PAGA) claims as unmanageable. In doing so, the court held “a court cannot strike a PAGA claim based on manageability.”
In this episode, Jordan Grotzinger discusses how one state’s Public Records Act is reconciled with trade secret protections. He also addresses trade secret identification at pleadings and a recent decision interpreting the supersession doctrine.
On March 21, 2022, the U.S. District Court for the Eastern District of Tennessee invalidated Notice 2016-66 for failing to comply with the Administrative Procedure Act (APA) and granted broad injunctive relief requiring the IRS to return to taxpayers and material advisors the documents and information obtained improperly under the Notice.
The Class Action Fairness Act (CAFA) offers a broader avenue for removal of a case to federal court than traditional diversity jurisdiction.
A Los Angeles Superior Court judge recently ruled that a California law (Assembly Bill 979) requiring California corporations to implement race and LGBT quotas for their board of directors is unconstitutional.
On April 21, 2022, the Cal/OSHA Standards Board approved the Third Readoption of the ETS. Per Governor Newsom’s Executive Order N-23-21, the Third Readoption will be effective upon filing by the Office of Administrative Law (OAL) with the Secretary of State and will remain in effect for no longer than December 31, 2022. The Second Readoption is set to expire in May 5, 2022, and it is expected that the Third Readoption will be filed and become effective on or around that date. Employers in California should update their COVID-19 ETS policies to ensure continued compliance with Cal/OSHA’s changes in the Third Readoption, which are summarized in the article below.
On Jan. 27, 2023, the California Attorney General announced his office is investigating and sending letters to businesses in the retail, travel, and food industries with popular mobile apps that allegedly are not in compliance with the California Consumer Privacy Act (CCPA) by failing to offer a consumer opt-out mechanism for sales, or honor rights requests submitted via authorized agents.
In 2022, New York State and New York City enacted many new workplace laws, creating additional obligations for employers.
While ransomware attacks have been on the rise since 2020, a recent trend has emerged where threat actors are bypassing ransomware malware and encryption tactics and going straight to data theft.
On January 13, 2023, the Internal Revenue Service (IRS) released a Chief Counsel Advice Memorandum (CCA 202302011) concluding that taxpayers cannot claim a deduction for cryptocurrency losses that have, absent a sale or other taxable disposition, substantially declined in value if such cryptocurrency continues to trade on at least one cryptocurrency exchange and has a value that is greater than zero.
Six of the seven Medicare Administrative Contractors (MACs) are scheduled to jointly host a multijurisdictional contractor advisory committee (CAC) meeting on February 28, 2023.
The District of Columbia Council has postponed the first effective date of voter Initiative 82, the “Tip Credit Elimination Act,” from January 1, 2023, to May 1, 2023.
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