Jessica Gessele v. Jack in the Box, Inc.

MEMORANDUM

This is an appeal from a district court order remanding to state court a putative class action by employees of Jack in the Box Inc. (“the Employees”), asserting violations of the Fair Labor Standards Act (“FLSA”), 29 U.S.C. §§ 201-219 , and Oregon law.

The Employees made similar claims in a previous suit. The district court found that the FLSA claims in that suit were untimely because the Employees had failed to file the written consents required in FLSA collective actions within the statute of limitations. See 29 U.S.C. §§ 216 (b), 255(a), 256. The district court dismissed the prior action without prejudice, describing the failure to file timely consents as depriving the court of jurisdiction. Jack in the Box did not appeal.

The Employees then filed this case in state court, asserting FLSA claims not included in the previous suit. Jack in the Box removed, asserting federal question jurisdiction under 28 U.S.C. § 1331 , and diversity jurisdiction under the Class Action Fairness Act (“CAFA”), id. § 1332(d). The district court remanded, finding the jurisdictional assertions barred by issue preclusion and judicial estoppel in light of the dismissal of the prior…