Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-azd-2_12-cv-01506/USCOURTS-azd-2_12-cv-01506-0/pdf.json

Nature of Suit Code: 710
Nature of Suit: Fair Labor Standards Act
Cause of Action: 29:201 Fair Labor Standards Act

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IN THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF ARIZONA

Daniel Gomez, et al., 

Plaintiffs, 

vs.

Gary Faulkner, et al., 

Defendants. 

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No. CV-12-01506-PHX-FJM

ORDER

The court has before it defendants’ motion to dismiss defendants Nancy Jo ZinderFaulkner, Tiffany D. Scrivner, and Harmony R. Schroeder (doc. 45), plaintiffs’ response

(doc. 46) and defendants’ reply (doc. 47). 

Plaintiffs are former employees of the Florence Community Hospital in Florence,

Arizona. The hospital shut down its operations in June 2012. Plaintiffs allege that they were

never given final paychecks for the last three weeks of wages. Plaintiffs filed this action

against four officers of the hospital under the Fair Labor Standards Act (“FLSA”). Plaintiffs

also named the officers’ wives as defendants, based on their participation in their respective

marital communities. Defendants now move to dismiss the claims against the officers’ wives

on the ground that they are not “employers” under the FLSA and because no rule supports

a spouse’s joinder. Plaintiffs concede that they do not seek to impose liability on the spouses

under the FLSA. Instead, they assert that the spouses are named solely because of their

Case 2:12-cv-01506-FJM Document 59 Filed 06/11/13 Page 1 of 3
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Arkansas is a common law property jurisdiction. Goode v. Goode, 692 S.W.2d 757,

758 (Ark. 1985). Ark. Code Ann. § 9-11-508 provides that “no bargain or contract entered

into by any married person, in or about the carrying on of any trade or business, under any

statute of the state, shall be binding upon his or her spouse or render his or her person or

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participation in their respective marital communities in order to ensure satisfaction of a

judgment. 

On April 23, 2013, we received notice of filing of bankruptcy by Gary Faulkner and

Nancy Jo Zinda Faulkner (doc. 54). The automatic stay of 11 U.S.C. § 362(a) prohibits “the

continuation or commencement” of proceedings against a debtor. A dismissal of a defendant

in bankruptcy violates the automatic stay where the decision to dismiss “requires the court

to consider any other issues presented by or related to the underlying case.” Dean v. Trans

World Airlines, Inc., 72 F.3d 754, 756 (9th Cir. 1995). Because we are required to decide

whether a spouse is a properly named FLSA defendant in a community property state, a

ruling on the motion to dismiss Mrs. Zinda Faulkner would violate the automatic stay.

Therefore, the motion to dismiss is denied with respect to Zinda Faulkner. 

Harmony R. Schroeder is a resident of Idaho, a community property state, with a

statute that provides that either spouse may “contract debts” for the benefit of the community.

Idaho Code § 32-912. Idaho’s community property law does not require joinder of spouses

to collect on a community obligation. Idaho Code §§ 32-901-916. Instead, Idaho law

provides, “when either member of the community incurs a debt for the benefit of the

community, the property held by the martial community becomes liable for such a debt and

the creditor may seek satisfaction of his unpaid debt from such property.” Twin Falls Bank

& Trust Co. v. Holley, 723 P.2d 893, 896-97 (Idaho 1986). Therefore, joining an innocent

spouse is not required to collect on community assets in Idaho, and instead may have the

unintended effect of implicating the innocent party’s separate property. It is ordered granting

defendants’ motion to dismiss Mrs. Schroeder.

Defendant Tiffany D. Scrivner is a resident of Arkansas, which is not a community

property state.1

 No allegation in the Complaint suggests that Mrs. Scrivner is personally

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liable under the FLSA. No law or rule supports the joinder of Mrs. Scrivner in this action.

It is ordered granting defendants’ motion to dismiss Mrs. Scrivner.

IT IS ORDERED GRANTING IN PART AND DENYING IN PART defendants’

motion to dismiss (doc. 45). IT IS ORDERED GRANTING the motion to dismiss

Harmony R. Schroeder and Tiffany D. Scrivner. IT IS ORDERED DENYING the motion

to dismiss Nancy Jo Zinda Faulkner.

DATED this 11th day of June, 2013.

Case 2:12-cv-01506-FJM Document 59 Filed 06/11/13 Page 3 of 3