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Sunday, April 5, 2026

California Court of Appeal Removes Another Arrow from The Quiver of Employers - JD Supra

On March 23, 2022, in Estrada v. Royalty Carpet Mills, Inc., the California Court of Appeal for the Fourth District created a split in authority when they held that wage-and-hour lawsuits brought under California’s Private Attorneys General Act cannot be dismissed on manageability grounds. This decision directly contradicted the holding in Wesson v. Staples the Office Superstore, LLC[1], which felt like a breath of fresh air for employers, if not for a brief moment.

Primer on Manageability in California

On September 9, 2021, the California Court of Appeal for the Second District analyzed the Private Attorney Generals (“PAGA”), a popular tool used by employees when bringing lawsuits alleging wage and hour violations. The court addressed the requirements plaintiffs need to satisfy in order to successfully bring a PAGA action on behalf of all aggrieved employees. Under PAGA, an “aggrieved employee” is permitted to bring a representative action on behalf of all other “aggrieved employees” to recover civil penalties for alleged California Labor Code violations. In Wesson, the PAGA claim involved over 300 store managers who argued Staples had improperly classified them as exempt from overtime requirements under the executive exemption. Staples moved to strike the PAGA claim on the grounds that adjudicating the claims of these 300 store managers would necessarily involve individual “mini-trials,” and that each aggrieved employees’ individualized situation would vary too...



Read Full Story: https://www.jdsupra.com/legalnews/california-court-of-appeal-removes-2986970/