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Jul. 15, 2020

Tracey A. Kennedy

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Sheppard Mullin Richter & Hampton LLP

Tracey A. Kennedy

A case with serious social impact introduced Kennedy to employment law 30 years ago.

She defended a company involved in a transgender rights issue at a time when those cases rare.

After returning from vacation, the employee announced a gender change, and wanted to be called Karen and use women's restrooms. The company fired him and his marriage ended.

"Everyone was in up in arms," Kennedy recalled. "I don't think anyone had an evil motive; it was just sort of [put] upon them. I felt so sorry for [Karen], but we were able to resolve it for the right amount of money. I remember feeling good about it, and wishing her luck."

Now, as a partner at Sheppard Mullin in Los Angeles, Kennedy has deep experience handling litigation involving many complex and often sensitive workplace issues.

"Employment law affects everyone," she said. "Many people spend more time working for an employer than they may with family or friends."

Kennedy represented Taco Bell in a years-long battle over its employee discount policy. The lawsuit centered on employees who bought discounted menu items during their meal breaks, but were not provided with an off-duty meal period.

The plaintiffs claimed they were entitled to meal period penalties and alleged that the value of the discounted menu items must be included in the regular rate.

In a 2018 published order, the 9th U.S. Circuit Court of Appeals found that Taco Bell's meal policy satisfies California's rest pay standard. The panel of judges found that employees could choose whether or not to take advantage of the lower prices and that voluntary consumption of discounted items did not subject the workers to Taco Bell's control.

-- Karen Weil

#358522

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