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California Court of Appeal Rules Prospective Meal Waivers Are Enforceable

The California Labor Code generally requires that employers provide meal periods to non-exempt employees working more than five hours. However, the Labor Code provides that meal periods can be waived by agreement of the...more

Plaintiffs Are Responsible for Commencing Court-Ordered Arbitration

The California Court of Appeal held that after the employer-defendant successfully moved to compel arbitration of the plaintiffs’ employment-related claims, the employer-defendant did not waive its right to arbitration by...more

Arbitration Agreement Enforceable By Non-Signatory Alleged Joint-Employers

Employees who sign an arbitration agreement with one company cannot avoid arbitration with related defendant-companies by arguing they were not parties to the agreement. The California Court of Appeal held that claims against...more

No Arbitration Even If Only One Claim Is Covered By EFAA

Seyfarth Synopsis: The federal Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act of 2021 (“EFAA”) renders arbitration agreements unenforceable with regard to claims of sexual assault and sexual harassment....more

Good Faith Defense Applies To Wage Statement Penalty Claims

The California Supreme Court concluded that the “good faith” defense applies to claims seeking to impose penalties under California Labor Code section 226. An employee must show that an employer’s failure to comply with...more

California Supreme Court Attempts To Clarify Issues Of Control

On March 25, 2024, the California Supreme Court unanimously answered three questions regarding the meaning of "hours worked” that had been certified to it by the Ninth Circuit Court of Appeal. This ruling illuminates what...more

The California Supreme Court Pulls The Carpet Out From Underneath Employers

Seyfarth Synopsis: On January 18, 2024, in Estrada v. Royalty Carpet Mills, Inc., the California Supreme Court addressed the split in appellate authority as to whether trial courts have inherent authority to strike a PAGA...more

San Francisco Employees Now Entitled To Differential Pay For Military Leave

On January 20, 2023, San Francisco became the first jurisdiction in the nation to require private employers to provide differential pay to employees who are called to active military. Addressing disparities between public and...more

California Employers Not Required To Pay “Overtime On Overtime”

Seyfarth Synopsis: Under the Fair Labor Standards Act (FLSA) and applicable federal regulations, percentage of earnings bonuses can be excluded from the calculation of the regular rate of pay for purposes of calculating...more

The Death of Rounding Practices May Be Around the Corner

Seyfarth Synopsis: Neutral rounding policies have long been approved by the California courts. See’s Candy Shops, Inc. v. Superior Court (2012). However, the California Court of Appeal recently held that employers who “can...more

Wage Statement And Final Pay Rules Apply To Meal And Rest Break Premiums

Seyfarth Synopsis: The California Supreme Court recently determined that meal and rest period premium payments are subject to the final pay timing requirements of Labor Code section 203 and the wage statement reporting...more

California Supreme Court Finds Meal And Rest Premiums Subject To Wage Statement And Final Pay Requirements

Seyfarth Synopsis: The California Supreme Court recently determined that meal and rest period premium payments are subject to the final pay timing requirements of Labor Code section 203 and the wage statement reporting...more

Something’s Afoot in Tinsel Town: New Laws for the Entertainment Industry

Seyfarth Synopsis: Two new California laws are set to significantly affect the entertainment industry: one will deal a giant blow to productions and studios accustomed to hiring independent contractors; the other will give...more

No Preemption Where Labor Code Doesn’t Require Consulting A CBA

Seyfarth Synopsis: The California Supreme Court held that the Labor Management Relations Act does not preempt claims under the Labor Code where a defense requires little more than referring to a collective bargaining...more

Fictitious Business Name Suffices for Compliant Wage Statement

Seyfarth Synopsis: The Court of Appeal, in Savea v. YRC Inc., held that an employer complies with Labor Code section 226(a)(8) when the employing entity lists its fictitious business name on a wage statement rather than the...more

Delay in Correcting Paycheck Clerical Error Leads to Large Fee Award

Seyfarth Synopsis: An employer did not incur waiting time penalties for inadvertently misstating the amount of pay on a final paycheck, but was liable for its delay in correcting the error. And, by taking an appeal from a...more

Federal Formula For “Flat Sum” Bonus Overtime Calculation Rejected

Seyfarth Synopsis: California employers must use the formula prescribed by the Division of Labor Standards Enforcement Manual to calculate overtime on flat sum bonuses, not the bonus overtime formula used under federal law....more

California Supreme Court Puts Federal Bonus OT Formula in Doubt

Seyfarth Synopsis: The Court of Appeal decision that held that employers may use the federal formula for calculating overtime on a flat sum bonus is no longer citable precedent as the California Supreme Court has granted...more

Federal Formula for Calculating Bonus Overtime Lawful in California

Seyfarth Synopsis In A Second: A California employer can use the federal formula for calculating overtime on a flat sum bonus, even though the California Division of Labor Standards Enforcement Manual states otherwise....more

1/25/2016  /  Bonuses , DLSE , Unpaid Overtime , Wage and Hour

Texas Don’t Hold ‘Em: Forum Selection Clause Is Unenforceable

California courts generally favor forum selection clauses entered into freely by parties and where enforcement is not unreasonable. This general principle is true even if the forum selection clause is “mandatory” and requires...more

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