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Kevin F. Ruf

| Jul. 15, 2020

Jul. 15, 2020

Kevin F. Ruf

See more on Kevin F. Ruf

Glancy Prongay & Murray LLP

Kevin F. Ruf

For 15 years, Ruf battled on behalf of a class of truck drivers to establish that their employer, delivery company Dynamex Operations West Inc., had improperly classified them as independent contractors.

The case made its way to the state Supreme Court, which saw things Ruf's way--and made labor law history. The ruling led legislators to enact a new law, AB 5, and established the so-called ABC test that has shaken the state's gig economy. Dynamex Operations West Inc. v. Superior Court, 4 Cal.5th 903 (2018).

But what about those Dynamex drivers? "We forget this case still had a life," Ruf said. "My daughter asked how much we won when we won at the Supreme Court. But we didn't win the case when the court ruled in 2018. We just got to go back to trial and continue fighting over class certification."

Many issues remained undecided for his clients, Ruf said. "Driver expenses were a big part of the damages claim, and the Supreme Court pretty much punted on which standard applied there. The other side was ready to take us on, and it looked like there would be a lot more litigating ahead." But late in 2019 the parties agreed to settle the original case for $6.25 million. Lee v. Dynamex Operations West Inc., BC332016 (L.A. Super. Ct., filed April 15, 2005).

At a hearing on Nov. 21, 2019, after the settlement was announced, Judge Michael L. Stern assembled the parties and sounded a little nostalgic as he praised both Ruf and his opposing counsel at Littler Mendelson PC for their conduct over the previous decade-plus. "It's a career-defining case," he said from the bench. "You went toe to toe on lots of issues...and that's why I give kudos to both sides." Stern called the lawyers winners. "You don't have to read about yourselves in The Daily Journal anymore. You just have to deal with AB5." Winding up, he added, "I like to see good lawyers, and I saw it in this case on both sides, consistently."

Ruf, reflecting on the long experience, called the outcome gratifying and intellectually satisfying. "But the economics of the settlement after 15 years shows it was definitely not a moneymaker. It's what you get as a plaintiffs' lawyer. You take it as far and as hard as you need to."

Far more lucrative was the $250 million settlement Ruf and co-counsel achieved last fall in a securities class action over alleged false statements in ecommerce giant Alibaba's IPO. Ruf said he didn't play much of a role, but called it a huge win for his firm. "There were 200 plaintiffs, so that works out to a pretty damn good result."

Christine Asia Co. Ltd. v. Ma, 1:15-md-02631 (S.D. N.Y., filed June 24, 2015).

-- John Roemer

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