Paul R. Newhouse, Jr., Suki R. Kuresa and Elwin L. Adarna, Cross-Appellants v. Robert's Ilima Tours, Inc., Cross-Appellees

This case is before us for a second time. The plaintiffs are former drivers for Robert’s Ilima Tours, an Hawaiian corporation providing transportation services for tourists on the island of Oahu. Robert’s practice was to compensate its drivers for actual driving time only, not for time spent on-call waiting for assignments. In August 1975, plaintiffs brought an action to recover overtime compensation under the Fair Labor Standards Act (FLSA), 29 U.S.C. §§ 206 , 207, and 215 (1976), and under the Hawaii Wage and Hour Law, Hawaii Revised Statutes §§ 387-2 and 387-3 (1976).

After a bench trial, the court determined that the plaintiffs were entitled to overtime pay under the FLSA and to an award of $7,900.00 for attorney’s fees. On the first appeal, defendant argued that the FLSA simply did not apply to the plaintiffs’ claims. Plaintiffs rejoined that it was unnecessary for us to reach that question because, in their view, the district court rested its judgment alternatively on the Hawaii Wage and Hour Law. In an unpublished decision, we remanded for the district court to clarify the basis for its decision. 654 F.2d 731 (9th Cir.1981). We also asked the court to reconsider its…