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A Momentous Year for PAGA

The past year saw appellate courts weigh in on a number of critical questions regarding the Private Attorneys General Act (PAGA), headlined by the U.S. Supreme Court’s ruling in Viking River Cruises, Inc. v. Moriana, 142 S....more

Effectively Managing Workforce Contraction in Turbulent Times

Rising inflation, increased costs of capital and the anticipation of a downturn in the economy have caused companies in many industries to begin to implement workforce reorganizations and reductions. In making plans for...more

Court of Appeal Blazes 'Middle Ground' Approach to PAGA Intervention

On August 18, 2022, the California Court of Appeal (Fifth District) decided Porras v. Chipotle Servs., LLC, No. F081113, 2022 WL 3499646, rejecting a former employee’s attempt to vacate a $4.9 million Private Attorneys...more

CBA Exception Applies to Agreements Retroactively Waiving PAGA Claims

The Private Attorneys General Act (PAGA) contains two industry-specific provisions (Cal. Lab. Code §§ 2699.6 & 2699.8) allowing labor organizations in the construction and janitorial industries to waive the right to bring...more

California Trial Courts Continue To Interpret Johnson v. Maxim Healthcare Narrowly When Applying PAGA’s One-Year Statute of...

Last year, the California Court of Appeal raised eyebrows by ruling that a plaintiff could pursue a Private Attorneys General Act (PAGA) claim for alleged violations of Labor Code Section 432.5, even though the statute of...more

California Supreme Court May Address Questions Left from Viking River Cruises in 2023

On July 20, 2022, the California Supreme Court granted review in Adolph v. Uber Technologies, Inc., Cal. Ct. App. Case No. G059860, which indicates that it may intend to address the questions of state law addressed by the...more

California Supreme Court to Resolve Circuit Split About PAGA Manageability

On June 22, 2022, the California Supreme Court granted review in Estrada v. Royalty Carpet Mills, Inc., 76 Cal. App. 5th 685 (2022), to resolve a split of authority regarding whether trial courts can strike or limit...more

California Court of Appeal Approves Staying PAGA Claims Under Exclusive Concurrent Jurisdiction Doctrine

On May 3, 2022, the California Court of Appeal issued its decision in Shaw v. Superior Court, 78 Cal. App. 5th 245, 2022 WL 1400806 (2022), holding that in cases where two or more pending Private Attorneys General Act (PAGA)...more

California Supreme Court Rules That Unpaid Break Premiums May Give Rise to Derivative Penalties

Key Points - On May 23, 2022, in Naranjo v. Spectrum Security Services, Inc., the California Supreme Court held that a failure to provide premium pay for meal or rest break violations under California Labor Code § 226.7...more

Court of Appeal’s Decision to Permit Unmanageable PAGA Claims Arguably Rests on a Faulty Premise

Last month, a split emerged in the California Court of Appeal regarding whether trial courts have authority to strike or limit unmanageable claims under the Private Attorneys General Act (PAGA). In Estrada v. Royalty Carpet...more

Viking River Cruises Oral Argument Suggests That Iskanian’s Days Are Numbered

On March 30, 2022, the U.S. Supreme Court heard oral argument in Viking River Cruises, Inc. v. Moriana, Case No. 20-1573. At issue was a rule announced by the California Supreme Court in Iskanian v. CLS Transportation Los...more

Split of Authority Develops in California Court of Appeal Over PAGA Manageability Requirement

On March 23, 2022, in Estrada v. Royalty Carpet Mills, Inc., the California Court of Appeal, held that “a court cannot strike a PAGA claim based on manageability.” This decision creates a split of authority with Wesson v....more

"Surprised” Court of Appeal Rules That PAGA Plaintiffs Have No Right to a Jury

On February 18, 2022, in LaFace v. Ralphs Grocery Co., 2022 WL 498847 (Cal. Ct. App. Feb. 18, 2022), the California Court of Appeal (2nd District) ruled in a published decision that there is no right to a jury trial in claims...more

Ninth Circuit Holds That Nonparty Aggrieved Employee Has No Standing to Challenge PAGA Settlement

On February 11, 2022, the 9th Circuit issued its decision in Saucillo v. Peck, — F.4th —, 2022 WL 414692 (9th Cir. 2022), holding among other things that a nonparty aggrieved employee does not have standing in federal court...more

New Federal Law Will Prohibit the Mandatory Arbitration of Sexual Assault and Sexual Harassment Claims

Key Points The EFASASHA will invalidate most contractual provisions requiring the arbitration of claims alleging sexual assault or sexual harassment. The law will also invalidate pre-dispute joint-action waivers that relate...more

California Expands Prohibition on Certain Nondisclosure and Non-Disparagement Clauses in Settlement, Separation, and Certain Other...

Key Points - On January 1, 2022, SB 331—also known as the Silenced No More Act—went into effect in California. It prohibits clauses, in settlement agreements for civil or administrative claims, which prevent or restrict the...more

Recent PAGA Settlement Demonstrates Why PAGA Cases Are Typically Worth Far Less Than the Maximum Theoretical Recovery

On January 11, 2022, Judge Cunningham of the Los Angeles Superior Court conditionally approved a $7.5 million agreement to settle three overlapping Private Attorneys General Act (PAGA) actions, the lead case titled Reyes v....more

LWDA Weighs In on Split of Authority Regarding Standing to Intervene to Challenge PAGA Settlement

In recent months, a split of authority has emerged in the California Court of Appeal regarding whether a nonparty aggrieved employee has standing to intervene in a Private Attorneys General Act (PAGA) action to challenge a...more

Court of Appeal Holds That Only Default PAGA Penalties Are Available for Inaccurate Wage Statements

On December 1, 2021, the California Court of Appeal (4th District) issued its decision in Gunther v. Alaska Airlines, Inc., Case No. D076762, holding that heightened penalties for wage statement violations under Labor Code...more

Court of Appeal Defines Standard of Review for PAGA Settlements

On November 30, 2021, the California Court of Appeal (First District) issued its decision in Moniz v. Adecco USA, Inc., Case No. A159410, 2021 WL 5578298, which defines the standard for courts to apply when reviewing...more

Court of Appeal Holds That Exhaustion Requires Identification of Each Separate Theory of Liability (Update)

On September 30, 2021, the California Court of Appeal (4th District) decided Uribe v. Crown Building Maintenance Co., Case No. G057836. At issue in Uribe was a Private Attorneys General Act (PAGA) settlement that purported to...more

PAGA Repeal May Be On the Ballot in 2022

Earlier this month, a coalition including the California Chamber of Commerce, California New Car Dealers Association and Western Growers filed a proposed initiative measure entitled The Fair Pay and Employer Accountability...more

Court of Appeal Holds That Exhaustion Requires Identification of Each Separate Theory of Liability

On September 30, 2021, the California Court of Appeal (4th District) decided Uribe v. Crown Building Maintenance Co., Case No. G057836. At issue in Uribe was a Private Attorneys General Act (PAGA) settlement that purported to...more

SB 646 Exempts Some Unionized Janitorial Employees from PAGA

On September 27, 2021, Gov. Newsom signed into law SB 646, which exempts janitorial employees from PAGA if they are covered by a collective bargaining agreement meeting certain minimum criteria. The bill, which codifies a new...more

Not So Fast: Trial Courts Finding PAGA’s Statute of Limitations Is Still Alive and Well After Johnson v. Maxim Healthcare

Earlier this year, the California Court of Appeal ruled that a plaintiff was permitted to pursue a PAGA claim for alleged violations of Labor Code Section 432.5, even though the statute of limitations on her individual claim...more

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