Pehle v. DuFour et al

Filing 99

ORDER signed by Magistrate Judge Edmund F. Brennan on 10/26/2012 ORDERING that for the reasons set forth in the 97 Findings of Fact and Conclusions of Law the court enters judgment for plaintiff and against Dufour Enterprises, Inc. for $46,5 45.71 (based on $31,858.39 for the California law violations and an additional $14,687.33 in liquidated damages under the FLSA), and judgment for plaintiff and against both Dufour Enterprises, Inc. and Ronald DuFour, jointly and severally, in the amount of $29,374.66 (based on the FLSA violations only), but in no event shall plaintiff be paid more than a total of $46,545.71 (excluding any potential award of attorneys fees, costs, and/or post-judgment interest). CASE CLOSED. (Zignago, K.)

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IN THE UNITED STATES DISTRICT COURT

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FOR THE EASTERN DISTRICT OF CALIFORNIA

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STEPHEN C. PEHLE,
Plaintiff,

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No. 2:06-cv-1889-EFB

vs.
RONALD DAVID DUFOUR;
DUFOUR ENTERPRISES, INC.,

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Defendants.
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ORDER
/

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This is an action brought under the Fair Labor Standards Act (“FLSA”), 29 U.S.C. §§

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201 et seq., with pendent claims under the California Labor Code.1 On September 28, 2012, the

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court issued Findings of Fact and Conclusions of Law pursuant to Rule 52(a) of the Federal

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Rules of Civil Procedure. Dckt. No. 97. The court found that plaintiff is entitled to judgment in

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his favor and against both defendants, jointly and severally, on Claim One (FLSA); plaintiff is

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entitled to judgment partially in his favor and against defendant DuFour Enterprises, Inc. on

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Claim Two (plaintiff is entitled to overtime compensation under California law but not waiting

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time penalties); and defendants are entitled to judgment in their favor on Claim Three (California

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Labor Code section 226). The court then ordered the parties to provide the court with additional

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This action is before the undersigned pursuant to the consent of the parties. See 28
U.S.C. § 636(c); E.D. Cal. L.R. 305; Dckt. Nos. 75, 76.
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briefing setting forth their respective positions regarding the exact amount of damages to be

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awarded based on these Findings of Fact and Conclusions of Law.

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On October 12, 2012, the parties filed a joint brief setting forth their positions on the

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amount of damages that should be awarded. Dckt. No. 98. Plaintiff contends that Dufour

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Enterprises’ violations of California law amount to a liability of $31,858.39 ($18,881.10 in total

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unpaid overtime wages and $12,997.29 in interest), and that under the FLSA, plaintiff is owed

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$14,687.33 in liquidated damages and an additional $14,687.33 in compensation at a rate of time

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and a half the regular rate for work over forty hours in a week for a total of $29,374.66. Id. at 2.

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Plaintiff contends that the amount of overtime compensation under California law is more than

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the federal overtime because the federal overtime is only for time worked after forty hours in a

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workweek, while California overtime is for time worked after eight hours in a day. Id. Plaintiff

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does concede that he is not entitled to double payment under both state and federal law. Plaintiff

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contends that under his formula “a judgment should issue for $46,545.71 against Dufour

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Enterprises and $29,374.66 against Mr. Dufour himself, but the order should also indicate that in

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no event should Mr. Pehle be paid more than a total of $46,545.71 (excluding post-judgment

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interest and attorneys’ fees).” Id. Plaintiff also attached a spreadsheet specifying the overtime

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compensation, interest, and liquidated damages plaintiff contends are owed in this case. Dckt.

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No. 98-1.

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Defendants do not set forth their position regarding the precise amount of damages to

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which plaintiff is entitled. See Dckt. No. 98 at 3-4. Rather, defendants contend that plaintiff is

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not entitled to liquidated damages under the FLSA, any damages that are speculative in nature,

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prejudgment interest, waiting time penalties under California Labor Code section 203, or

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penalties under California Labor Code section 226. Id.

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In the September 28, 2012 Findings of Fact and Conclusions of Law, this court already

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concluded that plaintiff is entitled to liquidated damages under the FLSA and is entitled to

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compensation for the hours listed in plaintiff’s Revised Table 1. Dckt. No. 97 at 19-21. The
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court also previously held that plaintiff is not entitled to waiting time penalties under California

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Labor Code section 203 or penalties under California Labor Code section 226. Id. at 24-26.

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Therefore, the only remaining issue before the court is the precise calculation of the amount

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owed to plaintiff.

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The court now finds that, as detailed in the spreadsheet attached to the parties’ joint

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statement regarding the damages calculation, Dckt. No. 98-1, plaintiff is entitled to $18,881.10

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in total unpaid overtime wages and $12,997.29 in pre-judgment interest under California law.

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See Cal. Lab. Code § 218.6 (“In any action brought for the nonpayment of wages, the court shall

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award interest on all due and unpaid wages at the rate of interest specified in subdivision (b) of

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Section 3289 of the Civil Code, which shall accrue from the date that the wages were due . . . .”);

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Cal. Civ. Code § 3289(b) (“If a contract . . . does not stipulate a legal rate of interest, the

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obligation shall bear interest at a rate of 10 percent per annum after a breach.”); see also Ulin v.

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Lovell’s Antique Gallery, 2011 WL 2443676, at *1 (N.D. Cal. June 15, 2011) (citing Bell v.

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Farmers Ins. Exchange, 135 Cal. App. 4th 1138 (2006) (affirming trial court's decision to apply

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pre-judgment interest rate of 10% to the accrual of unpaid wages)). Therefore, plaintiff is

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entitled to the sum of those amounts for a total of $31,858.39 based on defendant Dufour

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Enterprises, Inc.’s violations of California law.

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Not taking into account any award under California law, plaintiff would be entitled to

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$14,687.33 in overtime compensation and $14,687.33 in liquidated damages under the FLSA for

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a total of $29,374.66 based on both defendants’ violations of the FLSA. However, plaintiff

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cannot receive double payment for his overtime compensation under both state and federal law.

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Therefor plaintiff is entitled to the amount recoverable under California law, $31,858.39, plus

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the amount recoverable under the federal statute which does not include double payment for

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overtime, $14,687.33 in liquidated damages, for a total of $46,545.71.

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Accordingly, for the reasons set forth in the September 28, 2012 Findings of Fact and

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Conclusions of Law, Dckt. No. 97, the court enters judgment for plaintiff and against Dufour

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Enterprises, Inc. for $46,545.71 (based on $31,858.39 for the California law violations and an

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additional $14,687.33 in liquidated damages under the FLSA), and judgment for plaintiff and

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against both Dufour Enterprises, Inc. and Ronald DuFour, jointly and severally, in the amount of

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$29,374.66 (based on the FLSA violations only), but in no event shall plaintiff be paid more than

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a total of $46,545.71 (excluding any potential award of attorneys’ fees, costs, and/or

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post-judgment interest).

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SO ORDERED.

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DATED: October 26, 2012.

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