Villacres

The Augustus class action (Augustus v. American Commercial Security Services, Inc. (Super Ct. L.A. County, 2008, No. BC347914) (Augustus)) ended with a settlement agreement, approved by Judge Minting, that released all claims that could have been raised “as part of’ the plaintiffs’ claims. In the Carlos Villacres action, Judge Lichtman granted summary judgment on the ground that Villacres’s claims fell into the “category of claims that could have been asserted in” the Augustus matter. The sole issue on appeal is whether a triable issue exists as to the scope of the release. It is ultimately a matter of contract interpretation.

Comparing the Lawsuits

The Augustus plaintiffs alleged their employers failed to compensate employees for overtime and split shifts, in violation of Labor Code sections 510 and 1194 (undesignated statutory references are to this code) and section 11040 of title 8 of the California Code of Regulations, and by doing so also violated the unfair competition law. They sought damages, interest, attorney fees and costs, civil penalties under section 558, an injunction, and such other relief as the court may deem appropriate. The case settled, the defendants…

In a prior class action, employees sued their employer, alleging failure to pay overtime compensation (see Lab. Code, §§ 510, 1194), failure to pay wages for a split shift (see Cal. Code Regs., tit. 8, § 11040, subd. 4(C)), and violation of the unfair competition law (Bus. & Prof. Code, §§ 17200-17209). The employees also sought civil penalties under the Labor Code. (See Lab. Code, § 558.) Ultimately, the action settled, with the employer agreeing to pay up to $2.5 million to class members and their counsel. The employer allocated up to $730,000 for penalties. The superior court approved the settlement agreement and dismissed the case with prejudice.

Two days later, plaintiff, a member of the prior class, filed this action against the same employer, seeking civil penalties under the Labor Code Private Attorneys General Act of 2004 (PAGA) (Lab. Code, §§ 2698-2699.5) for alleged violations of the Labor Code with respect to paying overtime compensation (see Lab. Code, §§ 510, 1194), furnishing employees with complete wage statements (see id., § 226, subd. (a)), providing meal and rest periods (see id., §§ 226.7, 512), indemnifying employees for business expenses and losses…

In a prior class action, employees sued their employer, alleging failure to pay overtime compensation (see Lab. Code, §§ 510, 1194), failure to pay wages for a split shift (see Cal. Code Regs., tit. 8, § 11040, subd. 4(C)), and violation of the unfair competition law (Bus. & Prof. Code, §§ 17200-17209). The employees also sought civil penalties under the Labor Code. (See Lab. Code, § 558.) Ultimately, the action settled, with the employer agreeing to pay up to $2.5 million to class members and their counsel. The employer allocated up to $730,000 for penalties. The superior court approved the settlement agreement and dismissed the case with prejudice.

Two days later, plaintiff, a member of the prior class, filed this action against the same employer, seeking civil penalties under the Labor Code Private Attorneys General Act of 2004 (PAGA) (Lab. Code, §§ 2698-2699.5) for alleged violations of the Labor Code with respect to paying overtime compensation (see Lab. Code, §§ 510, 1194), furnishing employees with complete wage statements (see id., § 226, subd. (a)), providing meal and rest periods (see id., §§ 226.7, 512), indemnifying employees for business expenses and…