Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-casd-3_17-cv-00135/USCOURTS-casd-3_17-cv-00135-0/pdf.json

Nature of Suit Code: 710
Nature of Suit: Fair Labor Standards Act
Cause of Action: 28:1331 Fed. Question

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UNITED STATES DISTRICT COURT

SOUTHERN DISTRICT OF CALIFORNIA

WILLIAM PELLEGRINI, individually 

and on behalf of others similarly situated,

Plaintiff,

v.

HUYSSEN, INCORPORATED, a 

California corporation, bda SEDONA 

STAFFING; TEMPRO, INC., a Delaware 

corporation; L.A. LEASING, INC., an 

Illinois corporation; and DOES 3 through 

100, inclusive,

Defendants.

Case No.: 3:17-cv-00135-CAB-(JMA)

ORDER ON MOTIONS TO DISMISS 

[Doc. Nos. 9, 10, 11]

This matter comes before the Court on Defendant Huyssen Incorporated’s 

(“Huyssen’) motion to dismiss [Doc. No. 9], Defendant L.A. Leasing, Inc.’s (“L.A. 

Leasing”) motion to dismiss [Doc. No. 10], and Defendant TemPro Services, Inc.’s 

(“TemPro”) motion to dismiss [Doc No. 11]. The motions have been fully briefed, and the 

Court finds them suitable for determination on the papers submitted and without oral 

arguments in accordance with Civil Local Rule 7.1(d)(1). For the following reasons, 

Defendants’ motions are granted in part and denied in part.

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I. Background

On July 1, 2016, Plaintiff brought suit in the Superior Court of the State of California

(“the State Court Action”) against Defendant Huyssen asserting for wage and hour claims 

in violation of the California Labor Code, the Code of Regulations, Industrial Wage 

Commission (“IWC”) and California’s Unfair Competition Law (“UCL”). Cal Bus. & Prof 

Code § 17200, et seq.; Civil Code § 3428. [Doc No. 1-2

1

(“the complaint”).] 

On August 10, 2016, Plaintiff filed a First Amended Complaint (“FAC”) in the State 

Court Action alleging similar wage and hour claims in violation of California law. [Doc. 

No. 1-3.] On September 14, 2016, Huyssen filed its Answer to the FAC. [Doc. NO. 1-4.]

On November 11, 2016, Plaintiff filed amended the FAC to name TemPro Services, 

Inc. (“TemPro”) and L.A. Leasing as Defendants. [Doc. No. 1-5.] On December 20, 2016, 

Plaintiff filed a Motion for Leave to Amend the FAC [Doc. No. 1-7] that was opposed by 

Huyssen [Doc. No. 1-9] and ultimately granted by the Superior Court [Doc. No. 1-11].

The Second Amended Complaint (“SAC”) was filed on January 13, 2017. [Doc. 

No. 1-12.] The SAC asserts that Defendants failed to compensate their employees as 

required by federal and California law and includes a Fair Labor Standards Act (“FLSA”) 

claim. Specifically, the SAC alleges Defendants Huyssen, L.A. Leasing and TemPro

jointly operate a staffing company that operates under the name Sedona Staffing and/or 

Sedona Group. [Doc. No. 1-12 ¶ 1.] It alleged Defendants retained Plaintiff as an 

employee and required him, and others similarly situated, to comply with Defendants’ 

uniform policies to attend and participate in meetings and telephonic communications 

relating to prospective assignments to Defendants clients, consult with Defendants 

regarding the status of assignments, provide availability to work information to 

Defendants, attend client and internal company interviews and orientations, and undertake 

 

1 Document numbers and page references are to those assigned by CM/ECF for the docket entry.

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training and travel without receiving any compensation for these activities. [Doc. No. 1-

12 ¶¶ 3-4, 23, 25-30.]

On January 25, 2017, Defendants Huyssen and L.A. Leasing removed the action to 

this Court pursuant to 28 U.S.C. §§ 1441(a) and 1446(a). [Doc. No. 1.] On February 13, 

2017, Defendants filed three separate motions to dismiss [Doc. Nos. 9, 10, 11.] All 

Defendants seek dismissal pursuant to Federal Rule of Civil Procedure 12(b)(6), with 

Defendant TemPro also seeking to dismiss for lack of personal jurisdiction pursuant to 

Rule 12(b)(2). On February 16, 2017, Plaintiff filed a combined opposition to Huyssen 

and L.A. Leasing’s motions to dismiss [Doc. No. 16] and a separate response in opposition 

to TemPro’s motion [Doc. No. 17.]. Defendants filed their replies. [Doc. Nos. 20, 21, 22.] 

In light of the commonality of arguments in the motions to dismiss, the Court will consider 

them together.

II. Legal Standard

Federal Rule of Civil Procedure 12(b)(2) allows a district court to dismiss an action 

for lack of personal jurisdiction. “Where defendants move to dismiss a complaint for lack 

of personal jurisdiction, plaintiffs bear the burden of demonstrating that jurisdiction is 

appropriate.” Dole Foods Co. Inc. v. Watts, 303 F. 3d 1104, 1108 (9th Cir. 2002). “The 

court may consider evidence presented in affidavits to assist in its determination and may 

order discovery on the jurisdictional issues.” Doe v. Unocal Corp., 248 F.3d 915, 922 (9th 

Cir. 2011) (citing Data Disc, Inc. v. Sys. Tech. Ass’n, Inc., 557 F.2d 1280 (9th Cir. 1977)).

When both parties support their respective positions with affidavits and the “district 

court acts on the defendant’s motion to dismiss without holding an evidentiary hearing, the 

plaintiff need make only a prima facie showing of jurisdictional facts to withstand a motion 

to dismiss.” Id. (citing Ballard v. Savage, 65 F.3d 1495, 1498 (9th Cir. 1995)). See also 

Data Disc, 557 F.2d at 1285 (“if Plaintiff’s proof is limited to written materials, it is 

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necessary only for these materials to demonstrate facts which support a finding of 

jurisdiction in order to avoid a motion to dismiss.”).2 In other words

[plaintiff] need only demonstrate facts that if true would support jurisdiction 

over the defendant. Unless directly contravened, [plaintiff’s] version of the 

facts is taken as true, and conflicts between the facts contained in the parties’ 

affidavits must be resolved in [plaintiff’s] favor for purposes of deciding 

whether a prima facie case for personal jurisdiction exists. 

Harris Rutsky & Co. Ins. Servs., Inc. v. Bell & Clements Ltd., 328 F.3d 1122, 1129 (9th 

Cir. 2003) (citations omitted). 

A court’s power to exercise personal jurisdiction over a non-resident defendant is

limited by two independent constraints: the applicable state personal jurisdiction statute 

and constitutional principles of due process. Sher v. Johnson, 911 F.2d 1357, 1361 (9th 

Cir. 1990); see also In re W. States Wholesale Natural Gas Antitrust Litig., 715 F.3d 716, 

741 (9th Cir. 2013) (“[p]ersonal jurisdiction over a nonresident defendant is proper if 

permitted by a state’s long-arm statute and if the exercise of that jurisdiction does not 

violate federal due process.”) “Under California’s long-arm statute, California state courts 

may exercise personal jurisdiction ‘on any basis not inconsistent with the Constitution of 

this state or of the United States.’” Daimler AG v. Bauman, 134 S. Ct. 746, 753 (2014) 

(quoting Cal. Civ. Proc. Code Ann. § 410.10 (West 2004)). 

Under the Due Process Clause of the Fourteenth Amendment, to exercise personal 

jurisdiction over an out-of-state defendant, the defendant must have “certain minimum 

contacts with [the State] such that the maintenance of the suit does not offend traditional 

notions of fair play and substantial justice.” Goodyear Dunlop Tires Operations, S.A. v. 

 

2

If plaintiff makes the prima facie showing it does not necessarily mean that he proceeds to trial on the 

merits. “If the pleadings and other submitted materials raise issues of credibility or disputed questions of 

fact with regard to jurisdiction, the district court has the discretion to take evidence at a preliminary hearing 

in order to resolve the contested issues.” Data Disc, 557 F.2d at 1285 (citing 5 C. Wright & A. Miller, 

Federal Practice and Procedure s 1373, at pp. 714-15 (1969); 4 J. Moore, Federal Practice s 26.56(6). At 

p. 26-190 (1976)). If the matter proceeds to trial, plaintiff “must still prove the jurisdictional facts at trial 

by a preponderance of the evidence.” Id. at 1286 n. 2. 

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Brown, 564 U.S. 915, 923 (2011) (quoting Int’l Shoe Co. v. Washington, 326 U.S. 310, 316 

(1945) (internal quotations omitted)). This minimum contacts jurisdiction may be either 

“general or all-purpose jurisdiction,” or “specific or case-linked jurisdiction.” Id. at 919

(citing Helicopteros Nacionales de Colombia S.A. v. Hall, 466 U.S. 408, 414 (1984)). “In 

order for a court to exercise specific jurisdiction over a claim, there must be an ‘affiliation 

between the forum and the underlying controversy, principally, [an] activity or an 

occurrence that takes place in the forum State.’” Bristol-Myers Squibb Co. v. Superior 

Court of Cal., S.F. Cnty., 137 S. Ct. 1773, 1781 (2017) (quoting Goodyear, 564 U.S. at 

919). 

Under Rule 12(b)(6), a party may bring a motion to dismiss based on the failure to 

state a claim upon which relief may be granted. A Rule 12(b)(6) motion challenges the 

sufficiency of a complaint as failing to allege “enough facts to state a claim to relief that is 

plausible on its face.” Bell Atl. Corp. v. Twombly, 550 U.S. 544, 570 (2007). For purposes 

of ruling on a Rule 12(b)(6) motion, the court “accept[s] factual allegations in the complaint 

as true and construe[s] the pleadings in the light most favorable to the non-moving party.” 

Manzarek v. St. Paul Fire & Marine Ins. Co., 519 F.3d 1025, 1031 (9th Cir. 2008). But, a 

“pleading that offers ‘labels and conclusions’ or ‘a formulaic recitation of the elements of 

a cause of action will not do.’” Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009) (quoting 

Twombly, 550 U.S. at 555). 

III. Discussion

A. TemPro’s Motion to Dismiss Pursuant to Rule 12(b)(2).

Defendant TemPro moves to dismiss for lack of either specific or general personal 

jurisdiction because it does not conduct or solicit any business in the State of California. 

[Doc. No. 11 at 12-13.] Plaintiff does not dispute that TemPro lacks sufficient contacts 

with California to support general jurisdiction, but asserts that TemPro operates in 

California as Sedona Staffing and the Sedona Group and is therefore subject to specific 

personal jurisdiction. [Doc. No. 17 at 10-13.] In the alternative, Plaintiff argues that L.A. 

Leasing and Huyssen’s contacts related to the San Diego branch should be imputed to 

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TemPro. [Doc. No. 17 at 13-18.] Since Plaintiff has effectively conceded that general 

jurisdiction does not exist, the Court will limit its inquiry to whether it has specific 

jurisdiction over TemPro. 

“[S]pecific jurisdiction is confined to adjudication of ‘issues deriving from, or 

connected with, the very controversy that establishes jurisdiction.’” Goodyear Dunlop, 

564 U.S. at 919. See also Daimler AG, 134 S. Ct. at 758 (the focus is on the “relationship 

among the defendant, the forum, and the litigation.”). “When there is no such connection, 

specific jurisdiction is lacking regardless of the extent of a defendant’s unconnected

activities in the State.” Bristol-Myers Squibb, 137 S. Ct. at 1781. The Ninth Circuit uses 

a three-prong test to determine whether a non-resident defendant is subject to specific 

personal jurisdiction: (1) [t]he non-resident defendant must purposefully direct his 

activities or consummate some transaction with the forum or resident thereof; or perform 

some act by which he purposefully avails himself of the privilege of conducting activities 

in the forum, thereby invoking the benefits and protections of its laws; (2) the claim must 

be one which arises out of or relates to the defendant’s forum-related activities; and (3) the 

exercise of jurisdiction must comport with fair play and substantial justice, i.e. it must be 

reasonable. Schwarzenegger v. Fred Martin Motor Co., 374 F.3d 797, 802 (9th Cir. 2004). 

The plaintiff bears the burden of satisfying the first two requirements and if successfully 

met, the “burden then shifts to the defendant to ‘present a compelling case’ that the exercise 

of jurisdiction would not be reasonable.” Id. at 801-802. 

Here, TemPro is a Delaware corporation with its principal place of business in 

Moline, Illinois. [Doc. No. 11-2 at ¶ 2.] TemPro is wholly owned by John Enterprises 

Limited an Illinois corporation. [Doc. No. 13.] TemPro asserts that with one exception, 

TemPro has not had any California employees since December 31, 2000. [Doc. No. 11-2 

at ¶ 2.] TemPro declares that it does not have any offices in California, does not have any 

bank account in California, is not licensed to do business in California, has no agent for 

service of process in California, does not lease or own any real estate in California, and 

does not have any contracts with any businesses based in California. [Id. at ¶¶ 6-11.] 

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Further, TemPro attests that Plaintiff is not and never has been employed by TemPro and 

that it does not have any ownership interest in L.A. Leasing or Huyssen and L.A. Leasing 

and Huyssen do not have an ownership interest in TemPro. [Id. at ¶¶ 5, 12.] 

In opposition, Plaintiff alleges that jurisdiction exists in California because TemPro 

operates in California as Sedona Staffing and the Sedona Group. Plaintiff asserts that 

specific jurisdiction is warranted because (1) through these entities TemPro purposefully 

avails itself in California by openly recruiting agents online and maintaining a staffing 

office in San Diego; (2) the action arises out of TemPro’s activities in California because 

Plaintiff’s claims are derived from his employment relationship with the Sedona Group 

that was formed in the San Diego branch office; and (3) exercise of jurisdiction over 

TemPro would be reasonable. [Doc. No. 17 at 10-13.] Defendant TemPro summarily 

dismisses Plaintiff’s argument that The Sedona Group and TemPro are one and the same, 

asserting that the absence of any Secretary of State Corporate Documents is evidence that 

The Sedona Group is not a corporate entity. 

In support of his argument, Plaintiff offers a declaration by Lacy Wells, an associate 

with the law firm of Nicholas & Tomasevic, LLP, counsel of record for Plaintiff, and a 

number of accompanying exhibits3. [Doc. No. 17-5 at ¶ 1.] Plaintiff posits that the exhibits 

demonstrate that: (1) TemPro’s principal place of business is at 612 Valley View Drive, 

Moline, IL; (2) the Sedona Compass website4is registered at the same mailing address as 

TemPro; (3) a billboard identifying the Sedona Group is located at the 612 Valley View 

 

3 The accompanying exhibits were: 1) a copy of the Illinois Secretary of State Corporate Detail Report on 

TemPro (Exhibit E); (2) internet search results for the Sedona Group (Exhibit F); (3) a Google maps image 

of TemPro’s principal location (Exhibit G); a printout of Michelle Kahley’s LinkedIn profile (Exhibit H); 

a time line of the Sedona Group (Exhibit I); a copy of the Illinois Secretary of State Corporate Detail 

Report on L.A. Leasing (Exhibit N); copies of pages from the Sedona Group’s website including Sedona 

Staffing Partner Opportunities, Total Workforce Management Solutions, Total Workforce Management, 

Sedona Staffing Locations – San Diego, CA, About Us (Exhibits J, K, L, M, P); a copy of Ms. Kahley’s 

LinkedIn profile; a copy of an article titled “After 25 years, The Sedona Group rocks on” (Exhibit R.).

4 The Sedona Compass website/database which used by Plaintiff’s initial point of contact at the Sedona 

Staffing Office is operated and registered to the Sedona Group.

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Drive address; (4) Rick John is the President of the Sedona Group and TemPro; (5) Ms. 

Kahley’s LinkedIn profile indicates that she is the “Director of Operations at The Sedona 

Group”; (5) In 1986 TemPro was formed by the Willard Brothers, which eventually 

becomes The Sedona Group, encompassing three divisions – Sedona Staffing Services, 

Sedona Technologies and Sedona Medical; (6) In 1998, TemPro rebrands as Sedona 

Staffing Services. 

1. Purposeful availment

“Purposeful availment analysis examines whether the defendant’s contacts with the 

forum are attributable to his own actions or are solely the actions of the plaintiff.” Sinatra 

v. National Enquirer, 854 F.2d 1191, 1195 (9th Cir. 1988). To successfully demonstrate 

this, Plaintiff must show that TemPro “engage[d] in some form of affirmative conduct 

allowing or promoting the transaction of business within the forum state.” Gray & Co. v. 

Firstenberg Machinery Co., 913 F.2d 758, 760 (9th Cir. 1990) (citation omitted). In 

contract cases the inquiry typically focuses on “whether a defendant ‘purposefully avails 

itself of the privilege of conducting activities’ or ‘consummates a transaction’ in the forum, 

focusing on activities such as delivering goods or executing a contract.” Yahoo! Inc. v. La 

Ligue Contre Le Racisme Et L’Antisemitisme, 433 F.3d 1199, at 1206 (9th Cir. 2006) 

(citing Schwarzenegger, 374 F.3d at 802). 

The complaint alleges that TemPro dba Sedona Staffing and/or Sedona Group along 

with the other Defendants, jointly operates a staffing company that failed to compensate 

their employees, including Plaintiff, as required by federal and California law. [Doc. No. 

1-12 ¶ 1.] Further, Plaintiff alleges that TemPro, operating as The Sedona Group, openly 

recruits agents like Huyssen to open up new staffing office locations on its website. [See

Doc. No. 17-5 at ¶ 8 and Ex. J.] Additionally, Plaintiff argues that TemPro’s purposeful 

availment is demonstrated though the websites of The Sedona Group and Sedona Staffing 

Corporate. Plaintiff contends that links on The Sedona Group website transfer users to the 

website of Sedona Staffing Corporate and users can select office locations from the Sedona 

Staffing Corporate Site. [See Id. at ¶ 9, Exs. K, L, M.] According to Plaintiff, the 

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Clairemont Mesa Blvd Location listed as an office location on the Sedona Staffing 

Corporate website is where Plaintiff visited and was hired. [See Id. at ¶ 9, Exs. K, L, M; 

Doc. No. 17-1 at ¶ 2, Ex. A.] Plaintiff also asserts that San Diego and Carlsbad, two 

separate California locations, are listed on the Sedona Staffing Corporate’s website. [See 

Wells Decl. ¶ 9.] In response, Defendant TemPro states “Plaintiff’s mantra throughout his 

Response that ‘TemPro operates as the Sedona Group’ is conclusory unsupported by the 

facts, and does not make it so.” [Doc. No. 22 at 7:3-4.] The Court disagrees. Plaintiff has 

submitted an affidavit and accompanying exhibits that allege that TemPro operates as The 

Sedona Group and Sedona Staffing, that The Sedona Group and Sedona Staffing have 

offices in California though which Plaintiff, a California resident, sought temporary 

employment, and The Sedona Group recruits partners within California. Moreover, in 

deciding whether Plaintiff has established his prima facie case for personal jurisdiction, the 

Court resolves conflicts between facts contained in the parties’ affidavits in Plaintiff’s 

favor. Harris Rutsky, 328 F.3d at 1129. Accordingly, the Court finds that TemPro, 

operating as Sedona Staffing and The Sedona Group, purposefully avails itself of the 

privilege of conducting business in California. 

2. Relatedness of the Claim and Contacts

The second prong of the Schwarzenegger analysis requires the court to determine 

whether the claim arises from the defendant’s forum-related activities. See 

Schwarzenegger, 374 F.3d at 801-802. Courts make this determination by “apply[ing] a 

but for test.” See Menken v. Emm, 503 F.3d 1050, 1058 (9th Cir. 2007) (plaintiff would 

not have suffered an injury “but for” defendant’s forum-related conduct).

The Court concludes that but for TemPro’s, operating as The Sedona Group and/or 

Sedona Staffing, contacts with California Plaintiff’s claims against it would not have 

arisen. Plaintiff’s claims arise out of an employment relationship that was allegedly formed 

in The Sedona Group’s San Diego branch office. [Doc. No. 17-1 at ¶ 9; Doc. No. 17-5 at¶ 

9, Ex. M.] Furthermore, it is alleged that The Sedona Group owns the Sedona Compass 

website that catalogs temporary workers’ information, including Plaintiff’s, in California. 

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[Wells Decl. ¶¶ 2, 4, Exs. F, M.] Given that Defendant TemPro does not dispute this, the 

Court concludes that Plaintiff has carried his burden on the issue. See Harris Rutsky, 328 

F.3d at 1129.

3. Reasonableness

The third part of the Schwarzenegger test requires a broad inquiry into the overall 

reasonableness and fairness of exercising personal jurisdiction. Schwarzenegger, 374 F.3d 

at 801-802. The burden is on defendants to “present a compelling case” that exercising 

personal jurisdiction over it would be unreasonable. Burger King, 471 U.S. at 476-78. In 

making this inquiry the court considers: (1) the extent of purposeful interjection into the 

forum state; (2) the burden on the defendant of defending in the forum; (3) the extent of 

conflict with the sovereignty of defendant's state; (4) the forum state's interest in 

adjudicating the dispute; (5) the most efficient judicial resolution of the controversy; (6) 

the importance of the forum to plaintiff's interest in convenient and effective relief; and (7) 

the existence of an alternative forum. Menken, 503 F.3d at 1058; Burger King, 471 U.S. 

at 476-77.

In this case, the first factor as to whether Defendant TemPro has purposefully 

injected itself into California affairs is directly disputed by the parties but, as discussed 

supra, the Court finds that TemPro has purposefully availed itself in California. Turning 

to the second factor, Defendant TemPro contends that litigating the case in California 

would constitute a burden on TemPro as it has no offices or employees in California. 

Admittedly, traveling to California to litigate this matter will create some burden due to 

travel and other expenses, “with the advances in transportation and telecommunication and 

the increasing interstate practice of law, any burden is substantially less than in days past.” 

Menken, 503 F.3d at 1060 (quoting CE Distrib., LLC v. New Sensor Corp., 380 F.3d 1107, 

1112 (9th Cir. 2004)). Although litigating here would not be unduly burdensome, this 

factor weighs slightly in favor of TemPro. As to the third factor, Defendant TemPro 

concedes that there is no conflict of sovereignty, therefore this factor favors Plaintiff. See 

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Menken, 503 F.3d at 1060 (finding third factor weighed in favor of the plaintiff because 

the parties agreed that a conflict of sovereignty did not exist). 

Similarly, assuming as true that TemPro operates as The Sedona Group and/or 

Sedona Staffing, the fourth factor weighs in favor of exercising jurisdiction over 

Defendant. Plaintiff is a California resident, who allegedly was employed by The Sedona 

Group and/or Sedona Staffing, performed work on its behalf within California, and did not 

get paid in accordance with the California Labor Code. See Burger King, 471 U.S at 473 

(“A State generally has a ‘manifest interest’ in providing its residents with a convenient 

forum for redressing injuries inflicted by out of state actors.”) The Court determines the 

fifth factor to be neutral because based on the current record, it is difficult to definitively 

determine which would be the most efficient forum for resolution of this dispute. The sixth 

factor weighs in Plaintiff’s favor as it will be surely far easier for Plaintiff to litigate this 

matter in California, the forum state where he resides. As to the seventh factor, Defendant 

TemPro does not offer an alternative forum, instead appearing to take the position that 

since there is no viable controversy that involves TemPro no alternative forum exists. 

Therefore this final factor weighs in favor of Plaintiff.

After balancing the seven factors, the Court finds that Defendant TemPro has failed 

to present a compelling case that the Court’s exercise of jurisdiction would be 

unreasonable.

In light of above, the Court concludes that Plaintiff has met his burden and 

demonstrated facts that, if true, would support jurisdiction over Defendant TemPro in order 

to survive the motion to dismiss. See, e.g., Data Disc, 557 F.2d at 1285. (“if Plaintiff’s 

proof is limited to written materials, it is necessary only for these materials to demonstrate 

facts which support a finding of jurisdiction in order to avoid a motion to dismiss.”).5

 

5

In light of this holding, the Court declines to address the alternative alter ego and agency arguments 

Plaintiff made in support of his position that this Court should exercise personal jurisdiction over TemPro.

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Accordingly, Defendant TemPro’s Motion to Dismiss for lack of personal jurisdiction is 

DENIED.

B. Defendants’ motions to dismiss pursuant to Rule 12(b)(6)

Defendants Huyssen and L.A. Leasing both move under Federal Rule of Civil 

Procedure 12(b)(6) to dismiss the SAC in its entirety. [Doc. Nos. 10, 11.] Defendant 

TemPro joins in and incorporates by reference Huyssen and L.A. Leasing’s motions. [Doc. 

Nos. 11, 11-1 at 19.] The motions assert multiple grounds as to why each of Plaintiff’s 

causes of action fail to state claims upon which relief can be granted. Because the Rule 

12(b)(6) arguments made by each Defendant individually are substantially similar, if not 

identical, the Court will consider them together. 

The Court will address the FLSA claim first before turning to each state law cause 

of action.

1. Sixth Cause of Action for Failure to Pay Minimum Wages under the 

Fair Labor Standards Act (“FLSA”)

Defendants argue that Plaintiff’s sixth claim is barred by the applicable statute of 

limitations, and does not contain sufficient allegations of underlying facts to allow 

Defendants to defend themselves effectively. [Doc. No 9-1 at 14-24; Doc. No. 10-1 at 13-

22.]

Generally an action under the FLSA must be commenced within two years after the 

cause of action has accrued6, but actions arising out of willful violations have a three year 

limitations period. 29 U.S.C. § 255(a). For purposes of determining the statute of 

limitations under the FLSA an action:

Shall be considered to be commenced on the date when the complaint is filed; 

except in the case of a collective or class action under the [FLSA] it shall be 

considered to be commenced in the case of any individual claimant-

 

6

“A new cause of action accrues at each payday immediately following the work period for which 

compensation is owed.” Batiz v. Am. Commercial Sec. Servs., 776 F. Supp. 2d 1087, 1096 (C.D. Cal. 

2011) (citing O’Donnell v. Vencor Inc., 466 F.3d 1104, 1113 (9th Cir. 2006).

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a) on the date when the complaint is filed, if he is specifically named as a 

party plaintiff in the complaint and his written consent to become a party 

plaintiff is filed on such a date in the court in which the action is brought; or 

(b) if such written consent was not so filed or if his name did not so appear –

on the subsequent date on which such written consent is filed in the court in 

which the action was commenced.

29 U.S.C. §256(a)-(b).

In this case, the original complaint was filed on July 1, 2016, and the FLSA claim 

and Plaintiff’s written consent were filed in this Court on January 13, 2017. Defendants 

argue that Plaintiff’s FLSA claim is time barred because it began accruing in September 

2013 and Plaintiff did not file the consent form until January 13, 2017, more than three 

years later. In support of this position, Defendants rely on cases from outside the Ninth 

Circuit that are distinguishable from the case at bar.7 [Doc. Nos. 9-1 at 15-19; 10-1 at 14-

18.] 

 

7

In Local 589, Amalgamated Transit Union v. Mass. Bay Transp. Authority, plaintiffs argued 

unsuccessfully for leave to amend to preserve the rights and claims of individuals against the applicable 

statute of limitations because of the time consuming nature of class certification. Local 589, Civil Action 

No. 13-cv-11455-ADB, 2015 WL 7428537 (D. Mass. Nov. 20, 2015). The court denied Plaintiffs’ motion 

to amend the complaint to add an additional 1,600 employees on the grounds of plaintiffs’ undue delay 

and the prejudice defendant would face if 1,600 plaintiffs were added so late in the case. The court 

explained that: 1) plaintiffs had waited two-and-a-half years before filing the motion; (2) a previous 

motion to amend was granted; (3) summary judgment motions had been briefed and decided; (4) discovery 

was closed; (5) and class certification had been denied three times. Id. at * 3. District Judge Burroughs 

found that amending the complaint would have no effect of the statute of limitations because plaintiffs 

had had over two years to file consent forms and over sixteen hundred forms had been filed, noting that 

“[u]nder the FLSA, what matters for statute of limitations purposes is when an individual’s consent form 

is filed – not when the class is certified and not when individuals are added as named plaintiffs.” Id. 

In Harkins v. Riverboat Serv., Inc., the court granted defendants’ motion for partial summary 

judgment and motion to strike and bar the proposed persons as plaintiffs. No. 99 C 123, 2002 WL 

32406581 (N.D. Ill. May 17, 2002). After analyzing the case law regarding when an FLSA collective 

action is deemed commenced the court reasoned that “[s]ection 256 is expressly conjunctive, it requires 

that plaintiffs in a collective action, including the named plaintiffs, file a written consent and that suit is 

not ‘commenced’ for statute of limitations purposes until such consent is filed.” (quoting Salazar v. Brown, 

No. G87-961, 1996 WL 302673, at *10 (W.D. Mich. Apr. 9, 1996)). Id. at *2. Concluding that this 

language mandates that “written consents not filed with the complaint do not relate back” the court looked 

to the employment dates of the three named plaintiffs who had filed the requisite written consents in order 

to calculate when the statute of limitations expired. Id. at * 3.

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Regarding the statute of limitations, Plaintiff argues that the FLSA cause of action

relates back to the earlier filed complaint when the amending party satisfies Federal Rule 

of Civil Procedure 15. Defendants counter that the commencement of the FLSA claim 

does not relate back to the filing dates of the earlier complaints. [Doc. Nos. 9-1 at 18-19; 

10-1 at 17-19.] The Court agrees with Plaintiff. In response, Defendants rely on cases 

from the Second Circuit that are not binding on this Court and involve circumstances 

markedly different from the case at bar.8

“An otherwise time-barred claim in an amended pleading is deemed timely if it 

relates back to the date of a timely original pleading.” ASARCO, LLC v. Union Pac. R. 

Co., 765 F.3d 999, 1004 (9th Cir. 2014). “Rule 15(c) of the Federal Rules of Civil 

Procedure governs when an amended pleading ‘relates back’ to the date of a timely filed 

original pleading and is thus itself timely even though it was filed outside an applicable 

statute of limitations.” Krupski v. Costa Crociere S.p.A, 560 U.S. 538, 541 (2010). Rule 

15(c) provides that an amendment to a pleading relates back to the date of the original 

pleading when:

 

8

In Lopez v. Setauket Car Wash & Detail Ctr., the magistrate judge recommended that plaintiffs be 

allowed to amend the complaint and add an additional four proposed named plaintiffs. No. CV 12-6324 

(LDW) (ARL), 2014 WL 7506801, at * 3 (E.D.N.Y. Oct. 2, 2014). Further, the magistrate judge 

recommended that plaintiffs’ request to have the opt-in plaintiffs’ claims relate back to the date of the 

original complaint be denied, viewing Plaintiffs decision to wait to amend until after the court’s decision 

on the motion to conditionally certify the class, as a strategy to make “an end-around the FLSA statute of 

limitations in order to expand the scope of damages.” Id. at 4. The district court judge adopted in part 

and modified in part Judge Lindsay’s R & R, but the issue of whether the FLSA claims could relate back 

was no longer before the court because “in their objections, [p]laintiffs agree[d] that the FLSA claims [of 

the additional opt in named plaintiffs] do not relate back and that those claims are tolled only upon the 

filing of each Plaintiff’s written consent.” Lopez, 2015 WL 136336 at *3. 

Similarly, in Perkins v. S. New England Tel. Co., plaintiff filed a motion for relation back of newly 

named plaintiffs FLSA claims in a representative capacity. Civil Action No. 3:07-cv-967 (JCH), 2009 

WL 3754097 (D. Conn. Nov. 4, 2009). The court found that, although each plaintiff’s individual FLSA 

claims did not commence until the date that their consent form was filed with the court, the newly added 

parties could act as representatives of the collective action prior to the filing of their individual consent 

forms because “[t]he language of section 256(b) clearly contemplates a situation in which a named 

plaintiff does not file the consent form until after the complaint is filed . . . section 256(b) makes clear that 

the filing of consent forms can be independent of the filing of a complaint.” Id. at 3.

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(A) the law that provides the applicable statute of limitations allows 

relation back;

(B) the amendment asserts a claim or defense that arose out of the conduct, 

transaction, or occurrence set out – or attempted to be set out – in the original 

pleading.

Fed. R. Civ. P. 15(c)(1)(A)-(B). 

While the relation back doctrine of Rule 15(c) is to be applied liberally “there must 

nonetheless be some basis for application of the doctrine.” Percy v. S.F. Gen. Hosp., 841 

F.2d 975, 980 (9th Cir. 1988). Therefore, courts took to whether “the original and amended 

pleadings [] share a common core of operative facts so that the adverse party has fair notice 

of the transaction, occurrence, or conduct called into question.” ASARCO, 765 F.3d at 

1004 (quoting Martell v. Trilogy Ltd., 872 F.2d 322, 325 (9th Cir. 1989)). “So long as a 

party is notified of litigation concerning a particular transaction or occurrence, that party 

has been given all the notice that Rule 15(c) requires.” ASARCO, 765 F.3d at 1006.

Here, Plaintiff first asserted his FLSA claim on January 13, 2017. [Doc. No. 1-12.] 

Plaintiff’s written opt-in consent form to become a party plaintiff was dated December 21, 

2016. [Doc. No. 1-12, Ex. A at 27.] The first and second iterations of Plaintiff’s complaint 

asserted wage and hour claims based on Plaintiff’s employment by Sedona Staffing in 

violation of California Labor laws. The SAC alleges that Plaintiff sought employment 

through Defendants from approximately September 2013 to April 2014 and that “during 

the relevant periods, Defendants maintained and enforced a uniform policy by which they 

regularly and consistently violated the FLSA.” [Doc. No. 1-12 at ¶¶ 8, 31, 37.] Therefore, 

the Court finds that all of the claims spring from the same alleged core facts regarding 

Plaintiff’s employment and will likely be proved by the same kind of evidence. See 

O’Donnell v. Vencor Inc., 466 F.3d 1104, 1112 (9th Cir. 2006) (allowing relation back 

“[b]ecause the allegations and type of evidence necessary for [Plaintiff] to succeed on her 

EPA claims are identical to what she alleged in her [earlier] complaint”); Martell, 872 F.2d 

322, 325-26 (finding that amended complaint related back where amended complaint 

added new theory of recovery based on facts alleged in original complaint).

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However, L.A. Leasing and TemPro were not added as parties to this action until 

Plaintiff filed two Amendments to the complaint on November 11, 2016. The Court 

therefore finds that the earliest “they were on fair notice of the transaction, occurrence, or 

conduct called into question” was November 11, 2016. ASARCO, 765 F.3d at 1004. See 

also Percy, 841 F.2d at 980 (noting that relation back doctrine has been applied when 

“defendant was given adequate notice by the prior pleading of the facts that caused the 

injury alleged in the amended pleading.”). Accordingly, the Court concludes that as to 

Huyssen, the January 13, 2017 amendment adding the FLSA claim relates back to the 

original complaint filed on July 1, 2016. As to L.A. Leasing and TemPro, the Court 

concludes the FLSA claim relates back to the filing of the amendment to the First Amended 

Complaint on November 11, 2016 when they were named as Defendants. 

The Court also rejects Defendants argument that Plaintiff has not plausibly alleged 

a willful violation. “A violation of the FLSA is willful if the employer “knew or showed 

reckless disregard for the matter of whether its conduct was prohibited by the FLSA.” 

Chao v. A-One Medical Services, 346 F.3d 908, 918 (9th Cir. 2003). Here, the SAC alleges 

that Defendants knowingly, willfully, and intentionally” failed to compensate Plaintiff. 

[Doc. No. 1-12 at ¶¶ 105, 106.] Further, the SAC also contains allegations that Defendants 

dictated and enforced common employment policies, decided to adopt and implement 

policies in violation of the FLSA, directly or indirectly exercised control over Plaintiff’s 

wages and regularly and consistently violated the Act. [Doc. No. 1-12 at ¶¶ 3, 13, 20, 22, 

37.] These allegations sufficiently plead a willful violation. See Rivera v. Peri & Sons 

Farms, Inc., 735 F.3d 892, 903 (9th Cir. 2013) (an allegation that defendants violations 

were “deliberate, intentional, and willful” are sufficient to survive a motion to dismiss 

because “[a]t the pleading stage, a plaintiff need not allege willfulness with specificity.”) 

(citing Fed. R. Civ. P. 9(b) (“Malice, intent, knowledge and other conditions of a person’s 

mind may be alleged generally.”)). See also Von Saher v. Norton Simon Museum of Art at 

Pasadena, 592 F.3d 954, 969 (9th Cir. 2010) (under Rule 12(b)(6) untimely claims may be 

dismissed “only when the running of the statute [of limitations] is apparent on the face of 

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the complaint.”) Thus, applying the three year statute of limitations to the FLSA claims, 

the Court concludes that as to Huyssen the alleged acts occurring between September 2013 

and April 2014 are not barred by the statute of limitations. Further, the Court concludes 

that as to L.A. Leasing and TemPro, the acts alleged to have occurred between November 

11, 2013 and April 2014 are not time barred.9

Finally, Defendants assert that Plaintiff’s FLSA claim contains bare allegations not 

supported by sufficient facts. Defendants argue that Plaintiff’s failure to allege that he did 

not receive a minimum wage for the hours worked during the week he had interviews or 

was attending orientations warrants dismissal of this claim. In support of their position, 

Defendants rely on cases where plaintiff was asserting a claim for failure to pay overtime 

wages, but here Plaintiff is not asserting a failure to pay overtime, he is asserting that he 

was not paid for time spent conducting a variety of work related activities and work related 

travel time.

“Where an individual exercises control over the nature and structure of the 

employment relationship, or economic control over the relationship, that individual is an 

employer within the meaning of the Act, and is subject to liability.” Lambert v. Ackerley, 

180 F.3d 997, 1012 (9th Cir. 1999) (internal quotation marks and citation omitted). The

FLSA requires employers to pay employees for all “work” they perform.” 29 U.S.C. §§ 

206-207.10 Exceptions to the compensable work requirement of the FLSA are laid out in 

the Portal-to-Portal Act. See 29 U.S.C. § 254(a).11 

 

9 Because the Court is not dismissing Plaintiff’s FLSA claim at this time, it need not address the 

equitable tolling arguments.

10 “The nature of the employees’ duties is a question of fact, and the application of the FLSA to those 

duties is a question of law.” Ballaris v. Wacker Siltronic Corp., 370 F.3d 901, 910 (9th Cir. 2004).

11 Activities excluded from the FLSA coverage are: (1) walking, riding, or traveling to and from the actual 

place of performance of the principal activity or activities which such employee is employed to perform, 

and (2) activities which are preliminary to or postliminary to said principal activity or activities, which 

occur either prior to the time on any particular workday at which such employee commences, or 

subsequent to the time on any particular workday at which he ceases, such principal activity or activities. 

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“In order to determine whether Plaintiff “has stated a plausible claim under the 

FLSA, [the court] look[s] to Rule 8 of the Federal Rules of Civil Procedure.” Landers v. 

Quality Communications, Inc., 771 F.3d 638, 640 (9th Cir. 2014). The Ninth Circuit has 

adopted a three step approach to establish whether an activity is compensable within the 

definitions of the FLSA and Portal-to-Portal Act. See Bamonte v. City of Mesa, 598 F.3d 

1217, 1224 (9th Cir. 2010). This approach requires the Court to consider: “(1) whether the 

activity constituted “work,” (2) whether the activity was an “integral and indispensable” 

duty, and (3) whether the activity was de minimis.” Id. “Work” is defined as “physical or 

mental exertion ... controlled or required by the employer and pursued necessarily and 

primarily for the benefit of the employer.” Alvarez v IBP, Inc., 339 F.3d 894, 902 (9th Cir. 

2003) (italics added). An activity is “integral and indispensable” if that activity is 

“necessary to the principal work performed and done for the benefit of the employer.” Id. 

(citing Barrentine v. Arkansas–Best Freight Systems, Inc., 750 F.2d 47, 50 (8th Cir.1984)). 

An activity is de minimis “when the matter in issue concerns only a few seconds or minutes 

of work beyond the scheduled working hours [] such trifles may be disregarded for splitsecond absurdities are not justified by the actualities or working conditions or by the policy 

of the FLSA.” Id. at 903 (quoting Anderson v. Mt. Clemens Pottery Co., 328 U.S. 680, 692 

(1946)) (internal quotation marks and changes omitted). “An important factor in 

determining whether a claim is de minimis is the amount of daily time spent on the 

additional work.” Lindow v. U.S., 738 F.2d 1057, 1062 (9th Cir. 1983). 

Here, the SAC alleges that Defendants, jointly, required Plaintiff and his coworkers 

to participate and perform numerous work related activities including “attend and 

participate in meetings and telephonic communications relating to the prospective 

assignments to Defendants’ clients, consult with Defendants regarding the status of 

 

29 U.S.C. § 254(a). See, e.g., Abbe v. City of San Diego, Nos. 05CV1629 DMS (JMA), 06CV0538 DMS 

(JMA), 2007 WL 4146696, at *9 (S.D. Cal. Nov. 9, 2007) (citing 29 C.F.R. § 790.7(c)) (“Walking and 

travel time is compensable if it takes the employee from one principle activity to another.”)

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assignments, provide information to Defendants regarding their availability, attend 

interviews with Defendants’ clients, undertake training as well as undertake travel and 

miscellaneous tasks related to each of the aforementioned activities.” [Doc. No. 1-12 at ¶ 

23.] Further, it is alleged that Defendants required their employees to participate in internal 

interviews, attend client orientations and/or interviews, participate in client specific 

training, complete tasks pertaining to background checks as required by Defendants’ 

clients, “such as the execution of forms and the taking of fingerprints, having photographs 

taken for clients’ internal records and for identification badges, review of the clients’ safety 

policies and execution of job-related documents” and undergo skills testing when placed 

on temporary assignment to a client. [Id. at ¶¶ 25, 26, 28, 29.] As alleged in the complaint, 

the requirements regarding placement at Defendants’ client’s offices were set forth in 

Defendants’ Policy Documents, including the training and information materials 

Defendants’ provided to their employees, Defendants’ code of conduct and Defendants’ 

employee handbook. [Id. at ¶¶ 22.] 

Plaintiff has sufficiently alleged an employment relationship. See Helm v. 

Alderwoods, 696 F. Supp. 2d 1057, 1074 (N.D. Cal. 2009) (allegations that each of the 

defendants controlled the manner in which plaintiff provided services and had the authority 

to terminate plaintiffs’ employment were sufficient to survive a motion to dismiss). 

Further, the activities Plaintiff asserts he was not compensated for involved physical or 

mental exertion, were required and controlled by his employer, and benefitted his 

employer. Alvarez, 339 F.3d at 902. In addition, the activities alleged presumptively 

benefitted Defendants because their performance was required by Defendants and their 

clients. Id. As to the whether these activities were de minimis, while the complaint is silent 

on the time actually spent, the Court infers for the purpose of the motion to dismiss that 

any interviews, meetings and training Plaintiff attended would have taken more than a few 

seconds or minutes. Lindow, 738 F.2d at 1062-63 (in determining whether a claim is de 

minimis “common sense must be applied to the facts of each case” and the court “will 

consider the size of the aggregate claim” because “[c]ourts have granted relief for claims 

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that might have been minimal on a daily basis but, when aggregated, amounted to a 

substantial claim.”) (collecting cases).

Thus, viewed as claim for failure to pay wages for compensable time, the Court finds 

that Plaintiff has adequately alleged that Defendants failed to pay him and other members 

of the proposed class for work and travel they performed on Defendants behalf. 

Consequently, the Court DENIES Defendants’ motions to dismiss the FLSA Claim.

2. First Cause of Action for Failure and Refusal to Pay Agreed Upon

Wages

Defendants assert there is no private right of action under California Labor Code 

section 223 and as a result this cause of action should be dismissed. [Doc. No. 9-1 at 24; 

Doc No. 10-1 at 22.] 

It is indeed true that section 223 of the code does not create a private cause of action. 

The provision states “[w]here any statute or contract requires an employer to maintain [a] 

designated wage scale, it shall be unlawful to secretly pay a lower wage while purporting 

to pay the wage designated by statute or by contract.” CAL. LAB. CODE § 223. See Calop 

Business Systems, Inc. v. City of L.A., 984 F. Supp. 2d 981, 1015 (C. D. Cal. 2013) (section 

223 of the California Labor Code does not create a private cause of action, “rather, anyone 

who violates the statute is guilty of a misdemeanor and may be assessed civil penalties 

collected by the California Labor Commissioner.”). But, Plaintiff has brought his failure 

and refusal to pay agreed upon wages claim under other portions of the California Labor 

Code, including sections 201, 202, 203, 204, 218, and 1194. 

While some of the provisions under which Plaintiff has brought this claim allow for 

a private cause of action, others do not. For example, sections 201-203 and 218 

contemplate a private right of action either on their face or through enforcement of other 

sections of the Labor Code. See Johnson v. Hewlett-Packard Co., 809 F. Supp. 2d 1114, 

1135-37 (N.D. Cal. 2011) (reviewing various sections of the California Labor Code to 

determine which causes of action can be brought as private causes of action). See also 

Kamar v. RadioShack Corp., No CV 07-2252 AHM (AJWx), 2008 WL 2229166, at *2 n.3 

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(C.D. Cal. May 15, 2008) (defendant did not dispute “that a private right of action exists 

to bring claims for unpaid wages and overtime failure to timely pay wages upon discharge, 

pursuant to Labor Code sections 201, 202 and 203. . . .”); Guess v. U.S. Bancorp, No. C 

06-7535 JF (RS), 2007 WL 1345194, at *3 (N.D. Cal. May 8, 2007) (“a number of 

California appellate decisions have cited § 218 for the proposition that wage claimants have 

a direct right of action to seek unpaid wages.”) (citations omitted). 

Similar to section 223, section 204 of the California Labor Code does not provide 

for a private cause of action. See Singer v. Becton, Dickinson and Co., 2008 WL 2899825, 

at * 3 (S.D. Cal. July 25, 2008) (the only remedy for failure to comply with section 204 is 

a civil penalty under section 210 because “section 204 does not provide for the payment of 

any wages nor create any substantive right to wages.”). Likewise, section 221 does not, on 

its face, provide an express private remedy to enforce its provisions and “there is nothing 

to indicate that the legislature intended to create a private right of action to remedy 

violations of section[] 221.” Gunawan v. Howroyd-Wright Employment Agency, 997 F. 

Supp. 2d, 1058 (C.D. Cal. 2014).12 

Accordingly, the Court DENIES Defendants’ motionsto dismiss this cause of action

in its entirety, but limits Plaintiff’s claim to the private causes of action permitted by the 

California Labor Code. 

3. Second Cause of Action for Failure to Pay Minimum Wages Under 

California Law

Defendants argue for dismissal of this cause of action on the grounds that 

compensation for meetings and trainings related to prospective employment is not required 

under California Law. [Doc. No. 9-1 at 24-25; Doc No. 10-1 at 23-24.] Defendants posit 

 

12 That is not to say that aggrieved employees cannot bring a civil action to enforce these sections of the 

Labor Code, it just requires such suits be brought under the Private Attorney General Act of 2004 

(“PAGA”). See Calop Bus. Sys., Inc. v. City of L.A., 984 F. Supp. 2d 981, 1015 (C.D. Cal. 2013) 

(“PAGA provides a private right of action when a Labor Code section provides for a [civil] penalty.”) 

(quoting Johnson, 809 F. Supp. 2d at 1137).

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that case law supports their proposition that Plaintiff is not entitled to payment of the 

minimum wage for time spent interviewing for prospective employment, because at that 

time, she as not an employee of the agency performing compensable work. [Id.] In 

support, Defendants rely on the central district case Gunawan and Sullivan v. Kelly 

Services, Inc., No. C 08-3893 CW, 2009 WL 3353300, at *4-6 (N.D. Cal. Oct. 16, 2009). 

While both cases cited by Defendants involved similar fact patterns to the case at bar they 

involved summary judgment motions not motions to dismiss and reached opposite 

conclusions. 

In Gunawan, the court was presented with uncontroverted facts that the interviews

plaintiff sought compensation for were conducted before plaintiff had entered into an 

employment relationship with the staffing agency. Gunawan, 997 F. Supp. 2d at 1061. 

Following a pre-placement interview with the staffing agency’s client and the client’s 

affirmation of its desire for the potential employee to work for them, the staffing agency 

then entered into an employment relationship with plaintiff. Id. The court considered the 

level of control the staffing agency exercised over plaintiff and concluded that it was 

insufficient, noting that had plaintiff wanted to she could have simply declined the 

interview, refused the staffing agency’s placement service and sought to secure direct 

employment with the client. Id. at 1064. In light of these facts, the court found that plaintiff 

was not entitled to compensation from the staffing agency for the time she spent 

interviewing with the agency’s client because “at the time of the interview, she did not 

have a compensable relationship” with the agency. Id. at 1063. 

As to Sullivan, the Court finds it to be more analogous to the case at bar, but is 

mindful that it does not stand for as broad a proposition as Defendants suggest. Similar to 

here, before beginning employment with one of defendant’s customers, plaintiff applied 

for employment with defendant. Sullivan, 2009 WL 3353300, at *1-2. Subsequently, 

defendant arranged and controlled the interviews between plaintiff and its customers, with 

defendant discouraging direct contact between the two. Id. At the summary judgment 

stage, the Sullivan court concluded that because of the high level of control the temporary 

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staffing agency had over plaintiff’s interviews with their customers, the “time spent 

interviewing with Defendant’s customers was compensable hours worked.”

13

 Id. at *5. 

However, the court’s holding was made in the context of there being a pre-existing 

employment relationship between the plaintiff and the staffing agency at the time of the 

interviews in question.14 

Here, Plaintiff alleges that “Defendants hired and entered into an employment 

relationship with the temporary services employees they employed and thereafter required 

them to attend and participate in meetings and telephonic communications relating to the 

prospective assignments to Defendants’ clients, consult with Defendants regarding the 

status of assignments, provide information to Defendants regarding their availability, 

attend interviews with Defendants’ clients, as well as undertake travel and miscellaneous 

tasks related to each of the aforementioned activities.” [Doc. No. 12-1 at ¶ 23.] Plaintiff

 

13 In reaching this conclusion the court considered the following facts: “[p]lantiff was subject to 

Defendant's control during the time she attended the customer interviews. Defendant controls all 

communications with its customers regarding potential assignments for temporary employees, outside of 

the interview itself. Defendant decides which of its temporary employees to send on an interview. 

Defendant then sends the customer a résumé with Defendant's name on it. Defendant removes the 

temporary employee's contact information from the résumé and replaces it with its own to ensure that its 

customers can only contact it about the placement. Further, Defendant arranges the interview and restricts 

a temporary employee's communication with the customer so that only Defendant can arrange the time, 

place and date of the interview. If a temporary employee is running late to an interview, he or she must 

contact Defendant to relay that information to the customer. After interviews, Defendant controls all 

follow-up communication with the customer. Employees are not allowed to have any direct 

communication with the customer about the interview, salary or any terms of a possible assignment offer.” 

Sullivan, 2009 WL 3353300, at *4.

14 The court determined that based on the application for employment plaintiff signed, her employment 

relationship with the temping agency defendant began on the “first day of her first temporary assignment 

with Defendant’s customer.” Sullivan, 2009 WL 3353300, at *1. The application specifically stated that 

“my employment will begin on the first day of my first position.” Id. During her employment with 

defendant, Plaintiff attended an additional four interviews with three of defendant’s customers. Id. The 

court also determined that plaintiff’s travel time to and from the interviews was not compensable because 

defendant “did not control the manner in which Plaintiff traveled to and from the interviews.” Id. at *5. 

Similarly, the court found that the time plaintiff spent preparing for and debriefing defendant after the 

interviews was also not compensable as they were “strictly voluntary and the “[t]ime spent on these 

activities merely made Plaintiff a better applicant, and these activities were not controlled by Defendant 

in the same manner as the actual interview.” Id. at *6

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also alleges the Defendants scheduled interviews, prepared candidates for those interviews, 

imposed mandatory training and orientation on its employees, and required its temporary 

staffers to participate in client specific training including completion of tasks pertaining to 

background checks as prescribed by Defendants’ clients. [Id. at ¶¶ 15, 23, 25, 26, 28, 29.] 

Further, as to the specific circumstances surrounding his own employment, Plaintiff alleges 

that after being hired by Defendants in September 2013, he was notified of an assignment 

with Corvance. [Id. at ¶¶ 32, 33.] Plaintiff asserts that Defendants told him “he was 

required to present himself at Corvance’s office. Plaintiff presented at Corvance’s office 

where he participated in a group interview, signed papers, took pictures for an identification 

badge, meet with Corvance personnel to discuss Corvance’s polices, and filled out 

documents related to a background check” without being compensated for any of the time 

spent “in the interviews, meetings, conversations, and/or orientations with Defendants or 

Corvance.” [Id. at ¶ 33.]

The Court concludes that these alleged facts, taken as true, show Plaintiff was an 

employee of Defendants.

15

 See Betancourt v. Advantage Human Resourcing, Inc., Case 

No. 14-cv-01788-JST, 2014 WL 4365074, at * 4(N.D. Cal. Sept. 3, 2014) (allegations

 

15 Defendant Huyssen moves separately to dismiss the California Labor Code Claims against in that are 

based on alter ego theories. [Doc, No. 9-1 at 29.] But, Plaintiff has alleged that the SAC alleges a joint 

employment relationship between Defendants, asserting that each Defendant “was the agent, joint 

employer, alter ego, and/or joint venture of, or working in concert with each of the other co-defendants 

and was acting within the course and scope of such agency, joint employment, joint venture, or concerted 

activity. To the extent said acts, conduct, and omissions, were perpetrated by certain defendants, each of 

the remaining defendants confirmed and ratified those acts, conduct, and omissions of the acting 

defendant.” [Doc. No. 1-12 at ¶ 15.] Plaintiff also alleges that Defendants “have directly or indirectly or 

through an agent or representative exercised control over the wages, hours and/or working conditions of 

Plaintiff...” [Id. at ¶ 20.] Further, Plaintiff alleged that Defendants jointly “managed, directed, and 

controlled the operations at their locations and dictated the common employment policies applicable to 

Defendants.” [Id. at ¶ 13.] Upon consideration of these allegations, the Court has determined that, for 

pleading purposes, Plaintiff has sufficiently alleged that Huyssen was his employer. Whether or not 

Plaintiff will be able to prove that Huyssen was his employer is best left for summary judgment or a jury 

as “[t]he precise contours of an employment relationship can only be established by a careful factual 

inquiry.” Nepomuceno v. Cherokee Medical Services, LLC, No, 13cv633 BTM (BGS), 2013 WL 

5670960, at *4 (S.D. Cal. Oct. 16, 2013). Such an analysis is not appropriate at the pleading stage. 

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including defendant’s role identifying the potential hiring entity, organizing the logistics 

of the interview with the customer, controlling the flow of information between the 

customer and temporary staffer, and prohibiting direct communication between the 

temporary worker and the client, were sufficiently alleged to demonstrate defendant’s 

control over wages, hours and conditions to withstand a motion to dismiss.). Further, the 

Court finds that Plaintiff has sufficiently alleged that the interviews with Defendants’ 

clients was not a typical pre-employment interview. 

At the time of his interview with Corvance, Plaintiff “alleges that he was already 

[Defendants’] employee, performing a task – interviewing with [Defendants’] client – that 

his employer required.” Id. at 7. Consequently, the Court DENIES Defendants’ motions

to dismiss the second cause of action. 

4. Third Cause of Action for Failure to Provide Accurate Itemized 

Wage Statements

Defendants assert that Plaintiff’s third claim fails because it is time barred, is 

predicated on Plaintiff’s minimum wage claims, and because California Labor Code § 

226(a) only requires that employers accurately describe the monies being paid at the time 

of each payment of wages. [Doc. No. 9-1 at 25-27; Doc. No. 10-9 at 24-25.] Plaintiff does 

not contest dismissal of the third cause of action. [Doc. No. 16 at 18.] Accordingly, 

Defendants’ motions to dismiss the third cause of action are GRANTED.

5. Fourth Cause of Action for Failure to Pay Wages Upon Termination

Defendants argue that Plaintiff’s fourth claim fails because it is predicated on 

Plaintiff’s minimum wage claims which also fails, and because a good faith dispute exists 

as to whether Huyssen and L.A. Leasing owed Plaintiff any wages. [Doc. No. 9-1 at 27-

28; Doc No. 10-1 at 25-26.] As previously discussed, the Court has found that Plaintiff 

has sufficiently alleged a minimum wage claim, Defendants’ argument for dismissal on 

this basis fails.

Defendants are correct that an employer is not liable for waiting penalties when a 

“good faith dispute” exists over the payment of wages. California Labor Code section 203 

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holds an employer liable for penalties if it “willfully fails to pay” wages owed to an 

employee at the time he or she is discharged or quits. CAL LAB CODE § 203(a). “A willful 

failure to pay wages . . . occurs when an employer intentionally fails to pay wages to an 

employee when those wages are due, However, a good faith dispute that any wages are 

due will preclude imposition of waiting time penalties under Section 203.” Cal. Code. 

Regs. Tit. 8, § 13520 (2011). In this context, willfulness “does not necessarily imply 

anything blamable, or any malice or wrong . . . but merely that the thing done or omitted 

to be done was done or omitted intentionally.” Baker v. American Horticulture Suppl, Inc., 

186 Cal. App. 4th 1059 (2010). A “good faith dispute . . . occurs when an employer 

presents a defense, based in law or fact which, if successful, would preclude any recovery 

on the part of the employee.” Id. 

Plaintiff alleges that upon terminating his relationship with Defendants in July 2014,

“none of the unpaid wages or expense reimbursements referenced in the proceeding 

paragraphs were included in his final paycheck and they remain unpaid today.” [Doc. No. 

12-1 at ¶ 34; see also ¶ 93.] Plaintiff also alleges that Defendants “knowingly, willfully, 

and intentionally” failed to compensate Plaintiff. [Doc. No. 1-12 at ¶¶ 105, 106.] These 

allegations sufficiently plead, for purposes of the motions to dismiss, a failure to pay all 

wages upon separation claim. 

Having found the claim adequately pled, the Court agrees with Plaintiff that 

Defendants are prematurely claiming they have presented a good faith defense. At this 

stage of the litigation, neither party has been given the opportunity to present evidence, nor

aside from filing the motions to dismiss, have Defendants asserted any affirmative 

defenses. Accordingly, the Court DENIES Defendants’ motions to dismiss the fourth 

cause of action.

6. Fifth Cause of Action for Violation of California’s Unfair 

Competition Law

Defendants assert that the Cause of Action fails because it is predicated on the other 

violations of law alleged in the SAC which also fail. [Doc. No. 9-1 at 28, Doc. No. 10-1] 

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at 26-27.] A cause of action under the UCL must be predicated upon violations of other 

laws. Smith v. State Farm Mutual Automobile Ins. Co., 93 Cal. App. 4th 700, 717-718. As 

discussed above, Plaintiff has adequately alleged violations of the California Labor Code 

and FLSA upon which to predicate his UCL claim. As a consequence, Defendants’ 

motions to dismiss the fifth cause of action are DENIED. 

IV. Conclusion

For the reasons discussed above Defendant TemPro’s motion to dismiss [Doc. No. 

11] the SAC pursuant to Rule 12(b)(2) of the Federal Rules of Civil Procedure is DENIED. 

Further, Defendants Huyssen and L.A. Leasing’s motions to dismiss the SAC pursuant to 

Rule 12(b)(6) are GRANTED IN PART AND DENIED IN PART. Defendants shall 

respond to the SAC within the limits established by the Federal Rules of Civil Procedure. 

The parties are directed to contact the chambers of Magistrate Judge Adler to request a 

Case Management Conference/Early Neutral Evaluation Conference be scheduled as soon 

as possible.

It is SO ORDERED.

Dated: July 7, 2017

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