Labor and Employment class actions involving contractors are on the rise in California, especially in its $50-plus billion per annum agricultural industry — 12.5% of all agricultural production nationwide. Employers using seasonal workers are always at risk of wage/hour class action lawsuits, including those hired through a third-party agency or labor contractor.
A salient example of such a class action was one recently concluded by ArentFox Schiff in Humboldt County Superior Court. After more than five years of extensive litigation on behalf of Sun Valley Group, we successfully defeated class certification and secured a dismissal. This Year-in-Review provides guidance on how a state court may — correctly — rule on a class certification motion involving contractors and potential defenses and legal arguments that could be applied to overcome class certification.
Who Were the Parties To This Class Action?
Sun Valley is the largest fresh flower growing operation in California that utilizes seasonal laborers to grow high-quality and fresh flowers, particularly tulips. During holiday seasons, the demand for Sun Valley’s flowers is at an all-time high. To meet demand, Sun Valley works with labor contractors to provide several hundred seasonal workers to assist its own, directly hired employees. At all times in this litigation, Sun Valley did not directly control or supervise any of the seasonal workers directly employed and supervised by the farm labor contractor. As a result,...
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