McGuire v. Intelident Solutions, LLC
McGuire v. Intelident Solutions, LLC
Opinion of the Court
THIS CAUSE comes before the Court upon Plaintiff's Motion to Conditionally Certify an FLSA Collective Action and Authorize Notice to Potential Collective Members (Dkt. 15), Defendants' Memorandum in Opposition (Dkt. 32), and Plaintiff's Reply (Dkt. 46). The Court, having reviewed the filings, and being otherwise *1264advised in the premises, concludes that Plaintiff's Motion should be granted in part. The Court will conditionally certify a class of Office Managers, excluding Office Managers who signed a valid arbitration agreement.
BACKGROUND
Plaintiff Joan McGuire ("Plaintiff") worked for Defendants Intelident Solutions, LLC and Coast Dental Services, LLC (collectively "Defendants") as an Office Manager ("OM") from approximately February of 2013 to March of 2017. She alleges herself and all other OMs who worked for Defendants during the relevant class period are owed unpaid overtime wages. Plaintiff alleges Defendants willfully misclassified OMs as exempt employees under the Fair Labor Standards Act ("FLSA") and failed to keep accurate time records. Plaintiff also alleges OMs primarily engage in work related to customer service, operations, and administration, including answering phones and entering data.
Plaintiff moves to conditionally certify a class of all OMs, or people with similarly titled positions, who worked at a Coast Dental location any time after May 16, 2015, through a date the parties dispute. Defendants filed a Memorandum in Opposition and Plaintiff filed a Reply. The matter is ripe for review.
FLSA CERTIFICATION STANDARD
An action to recover unpaid wages may be brought, according to the FLSA, "against any employer (including a public agency) in any Federal or State court of competent jurisdiction by any one or more employees for and in behalf of himself or themselves and other employees similarly situated."
District courts in the Eleventh Circuit use a two-tiered approach to FLSA collective-action certification:
The first determination is made at the so-called "notice stage." At the notice stage, the district court makes a decision-usually based only on the pleadings and any affidavits which have been submitted-whether notice of the action should be given to potential class members.
Because the court has minimal evidence, this determination is made using a fairly lenient standard, and typically results in "conditional certification" of a representative class. If the district court "conditionally certifies" the class, putative class members are given notice and the opportunity to "opt-in." The action proceeds as a representative action throughout discovery.
The second determination is typically precipitated by a motion for "decertification" by the defendant usually filed after discovery is largely complete and the matter is ready for trial ...
At the notice stage, a plaintiff must provide a "reasonable basis" that there are similarly situated employees who desire to opt into the lawsuit. Morgan v. Family Dollar Stores, Inc. ,
DISCUSSION
Defendants argue the Court should deny Plaintiff's Motion because 1) some OMs signed arbitration agreements; 2) there is not enough interest from other OMs to join this action; 3) Plaintiff failed to show OMs were similarly situated; and 4) Plaintiff's notice plan and notice form are deficient. The Court addresses each argument in turn.
Arbitration Agreements
Of the 426 OMs in the proposed class, Defendants say 231 signed valid arbitration agreements. Defendants argue that OMs who signed arbitration agreements are not potential plaintiffs and should not be sent notice. Plaintiff disagrees.
Both parties discuss the recent Fifth Circuit opinion In re J.P. Morgan Chase & Company ,
Plaintiff argues other district courts in this Circuit wait until the second stage of collective certification to address arbitration agreements. See Compagnone v. DL Pool Serv. , LLC, 215CV647FTM99MRM,
Plaintiff does not challenge the validity or enforceability of any arbitration agreement in her Reply. In fact she can't, because she did not sign one. Since there is no challenge to the validity of the arbitration agreements some OMs signed, the Court turns to whether notice should be sent to those OMs who signed agreements. The Court agrees with the Fifth Circuit that employees who signed a binding arbitration agreement are not "potential plaintiffs." The Court also agrees with Defendants'
*1266concerns about sending notice of this action to employees who cannot participate. Therefore, OMs who may be subject to a valid arbitration agreement should be excluded from this collective action at this notice stage. See e.g., Dearth v. Hartford Fire Ins. Co. , 6:16-CV-1603-ORL-37KRS,
Interest from Other OMs
Defendants support approximately 91 offices in Florida, 26 offices in Georgia, two offices in Nevada, and one office in Texas. Plaintiff worked at an office in Florida; one opt-in plaintiff worked for a different office in Florida; and one opt-in plaintiff worked for an office in Georgia.
But the record now contains additional opt-in plaintiffs who worked at other locations in Florida. See Dkt. 44 (Naples, Florida; Zephyrhills, Florida; Fort Myers, Florida); Dkt. 45 (Fort Myers, Florida); Dkt 47 (Tampa, Florida; Sarasota, Florida). The interest from opt-in plaintiffs is proportionate to the number of offices in each state. The Court is not aware if any of these opt-in plaintiffs signed a binding arbitration agreement. But as it stands, enough opt-in plaintiffs have expressed a desire to join this lawsuit.
Similarly Situated OMs
Defendants also argue the OMs are not similarly situated. Defendants describe the variation of an OM's responsibilities depending on the size of the office and the District Manager's management style, among other things.
Defendants' arguments (and competing declarations) are better suited for the second stage of conditional certification. See Pena v. Handy Wash, Inc. ,
At this second stage, the similarly situated standard is not as lenient as during this first stage. See Pena v. Handy Wash, Inc. , 14-20352-CIV,
Whether all OMs are similarly situated may involve some individualized analyses. For example, Defendants point out that some OMs had hiring and firing responsibilities. Those analyses are better left for the second stage of certification.
Defective Notice
Defendants argue Plaintiff's notice form and plan are both defective. Plaintiff does not address the arguments in her Reply. The Court will direct the parties to file a proposed joint notice and notice plan by August 7, 2019. If the parties cannot agree on the notice or plan, they can each file their own by the same deadline.
Upon review and consideration, it is therefore
ORDERED AND ADJUDGED that:
1. Plaintiff's Motion to Conditionally Certify (Dkt. 15) is GRANTED in part as described herein.
2. The parties shall file a joint proposed notice and notice plan, or separate notices and notice plans, by August 7, 2019.
DONE and ORDERED in Tampa, Florida, this 17th day of July, 2019.
Both Plaintiff and the opt-in plaintiffs list a number of people they know will want to opt into the action. Though these statements are not nearly as persuasive as the notices of opt-in filed by other individuals, each is still a statement made in a sworn declaration.
Reference
- Full Case Name
- Joan MCGUIRE v. INTELIDENT SOLUTIONS, LLC and Coast Dental Services, LLC
- Cited By
- 1 case
- Status
- Published