Massachusetts Federal District Judge Indira Talwani recently issued a decision in the case of Serebrennikov v. Proxet Group LLC, holding that an internationally based employee has standing to bring a claim under the Massachusetts Wage Act.
Plaintiff George Serebrennikov brought claims against Proxet Group LLC and its CEO, alleging that he was misclassified as an independent contractor and owed $22,500 in unpaid salary, a $100,000 bonus, $16,000 for unused vacation days, and over $450,000 in unreimbursed employment-related expenses. Serebrennikov brought claims under the Wage Act, as well as for breach of contract and breach of the implied covenant of good faith and fair dealing.
Proxet is headquartered in Massachusetts and maintains a physical presence there, but operates both in the United States and internationally, with subsidiaries in Ukraine, Poland, and Colombia. Serebrennikov worked for Proxet in Ukraine, Turkey, Poland, and the United States, reporting to management in Massachusetts.
In 2016, Serebrennikov and Proxet entered into a Consulting Agreement and a Confidentiality Agreement, both containing Massachusetts choice of law provisions. In 2018, Serebrennikov also entered into an Employment Agreement with Proxet Ukraine, which included a Ukranian choice of law provision.
A central issue for the court was whether Massachusetts law, and specifically the Wage Act, applied appropriately to Serebrennikov’s claims,...
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