Facts

E-3 Systems provides installations of network and telecom infrastructures. Jose Franco worked as a communications technician, a non-exempt hourly position, for E-3 Systems. Plaintiff Franco filed two actions in state court, a putative class action and a representative PAGA action. Defendant removed the actions to federal court based on federal preemption under Section 301 of the Labor Management Relations Act of 1974 ("LMRA") because plaintiff and the putative class were members of a union. Plaintiff sought to remove the actions back to state court. However, on November 8, 2019, the court denied plaintiff's motion to remand the cases and consolidated them into a single action in federal court.

PLAINTIFF'S CONTENTIONS: Plaintiff asserted claims for failure to pay minimum wages; failure to pay wages and overtime; meal period liability; rest-break liability; failure to reimburse necessary expenditures; violation of the Business & Professions Code; and other violations of the Labor Code.

DEFENDANT'S CONTENTIONS: Defendant denied all contentions. Specifically, defendant asserted plaintiff's overtime claims were entirely preempted by the collective bargaining agreement and subject to dismissal pursuant to Curtis v. Irwin Industries, 913 F.3d 1146 (2019).

Settlement Discussions

The parties completed mediation with wage-and-hour mediator Mark C. Peters. After a full day of negotiations based on the documents and information exchanged, the parties agreed in principle to the terms governing the settlement of this action. The parties later completed their long form settlement agreement.

Result

The case settled for $125,000.