FI L ED U.S. COURT OF APPEAL S EL EVENTHCI RCUI T J ULY 9, 2012 J OHN L EY CL ERK [PUBLIS H] IN THE UN ITED STATES COURT OF APPEALS FOR THE ELE VENTH CIRCUIT

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LEANDRE L AYTON, on be ha lf o f hi m se lf a ndall th os e si m il arl y si tu at ed , ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll Pl ai nt iff - App el la nt , ver su s DHL EXPRESS (USA), INC., ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll Defen da nt- App el le e, SKY LAND E XPRESS, INC., etal. ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll ll Defen da nt s.

__ __ __ __ __ __ __ __ __ __ __ __ App eal fro m

th e Uni te d S ta te s Di st ric t Co urt forth e North ern Dis tri ctof Al ab am a

__ __ __ __ __ __ __ __ __ __ __ __ (J ul y 9, 2 01 2)Befo re EDMONDSON, W ILSON, andKRAVITCH, Cir cu itJu dg es .

W ILSON, Cir cu itJu dg e: Lean dr e Layto n, o n b eh al f of hi m se lf a ndth e si m il arl y -s itua te d m em be rs of hi s co nd it io na ll y -certi fie d c la ss (co ll ect iv el y , “ Driv ers ”), ap pe al s t he di st ric t co urt’s g ran t o f su m

m ary jud gm en t i n fa vo r of DHL E xp res s, In c. (“ DHL”) on hi s cl ai m s u nd er the Fai r Lab orSta nd ard s Act(“ FLSA”), 2 9 U.S.C. § 20 1 et seq . Afte r a tho ro ug h e xa m in at io n o f th e rea li ti es of t he eco no m ic rel at io ns hi p b etween Driv ers an d DHL, we affi rm on th e g ro un ds th atDHL is n ota joi ntem pl oyer of Driv ers . I. DHL is apro vi de r of

sh ip pi ng an d l og is ti c se rv ic es . In s om e p art s o f th e co un try, DH L hi res th ird -p art y co nt ract or s wh o e m

pl oy cou rie rs to de li ve r DHL’ s pa ck ag es . Betwe en20 05 an d 2 00 9, DHL ut il iz edSky Land Exp res s, In c. (“ Sky Lan d” ) as su ch a co nt ract orin Alab am a. Sky Landwork edou t o f th ree war eh ou se lo cat io ns in th e st at e: Birm in gh am , Jas pe r, an d Tu sc al oo sa . The rel at io ns hi p be twee n DHL an d S ky Landwas g ov ern edby a Carta ge Agre em en t t ha t s ta te d t ha t Sky Landwas a n i nd ep en de ntco nt ract orof DHL an d s pe ci fie d S ky Land ’s co nt ractua l dut ie s. Dri ve rs were em pl oyed b y Sky Landan d s erv edm ai nl y

as de li ve ry co ur ie rs , alt ho ug h s om e al so act edas s up erv is or s, d is pa tc he rs , andsh ut tl e 2dr iv ers . Sky L an d o wne d t he ve hi cl es th atDriv ers us edto de li ve r pa ck ag es ; DHL

own edth e wareh ou se faci li ti es an d a ll ot he r equi pm en t. Every m orni ng , DHL hadpa ck ag es de li ve redto th e Bi rm in gh am wareh ou se . Driv ers co ul d n otbe gi n wo rkun ti l a DHL em pl oyee in fo rm edth em th atth os e p ack ag es ha d b een rece iv edan d c od edan d wer e rea dy for p ic k- up . Afte r rec ei vi ng th e g o- ah ead , Driv ers so rte d, s can ne d, an d l oa de d t he pa ck ag es . Sky Landlea se d the ne ces sa ry sca nn ers fro m

DHL. As Dri ve rs lo ad edth ei r ve hi cl es at t he wareh ou se , a DHL em pl oyee wou ldoft enin sp ectDriv ers ’ ve hi cl es an d u ni fo rm s t o e ns ur e th atth ey co nf orm edto th e st an da rd s s pe ci fie d i n t he Cart ag e Agr eem en t. The un ifo rm s an d t he ve hi cl es bo re the na m es of b ot h DHL an d S ky Land . Driv ers de li ve redso m e p ack ag es st rai gh t fr om th e Bi rm in gh am

wareh ou se to cu st om ers ; t he res t o f th e p ack ag es were s hu tt le d t o t he Tus cal oo saan d J as pe r wareh ou se s, re tri ev edby D riv ers , andth ende li ve red . Driv ers sp en t t he m ajor it y of th ei r day s m ak in g p ic k- up s an d d el iv eri es in th ei r ve hi cl es . Thro ug ho utth e da y , DHL sen t i nf

orm at io n re ga rd in g c us to m er co m pl ai nt s, re qu es ts for

rede li ve rie s, an d o th er n on -ro ut in e m at te rs to Driv ers . As Driv ers work ed , th ey us ed th e sc an ne rs to lo g t he ti m e atwhi ch eachpa ck ag e was pi ck edup or d el iv ered . Whe n Dri ve rs ha d c om

pl et edth ei r de li ve ry

rou te s fo r th e d ay , th ey

un lo ad edan y 3rem ai ni ng pa ck ag es at o ne of t he wareh ou se s an d re tu rn edth ei r sc an ne rs to be

ch arg edov ern ig ht . At th atti m e, th e in fo rm at io n t ha t t he sca nn er h adco ll ect ed du rin g t he da y

ab ou t p ack ag e lo cat io ns was t ran sm it te d t o aDHL dat a se rv er. On Au gu st27 , 20 08 , Layto n fi le d aco ll ect iv e act io n u nd er the FLSA fo r unpa idov ert im e co m

pe ns at io n, n am in g DHL, Sky Land , andGary

Lit tl efi el d, t he own er an d p res id en t o f Sky Land , as h is joi ntem

pl oyers an d d efen da nt s t o t he su it . On Ju ne 22 , 20 09 , th e d is tri ctco urt g ran te d Layton co nd it io na l co ll ect iv eact io n c ert ifi cat io n p ur su an t t o 2 9 U.S.C. § 21 6( b) . The co nd it io na ll y -certi fie d cl as s i nc lu de d fo rty-ni ne de li ve ry dri ve rs who ha d wo rk edforSky Landin Alab am a; th e cl as s p eri odwas Jun e 2 2, 2 00 6 t hr ou gh Ju ne 22 , 20 09 . 1 On Oct ob er 2 2, 2 01 0, DHL m ov edforsu m m ary jud gm en t o n t he gro un d th atitwas n otanem

pl oyer of Dri ve rs . On Nov em be r 5, 2 01 0, Sky

Landan d Lit tl efi el d m ov edforsu m m ary jud gm en t, cl ai m in g t ha t (1 ) th e FLSA’s Mo to r Carr ie r ActExem

pt io n (“ MCE”) m ad e Dri ve rs in el ig ib le forov ert im e co m pe ns at io n a nd(2) on e m em be r of th e co nd it io na ll y -certi fie d c la ss fel l wi th in th e ex ecu ti ve ex em

pt io n t o t he FLSA. On Nov em be r 16 , 20 10 , DHL file d a n un ti m el y m ot io n t o jo in an d a do ptSky Landan d Li tt le fie ld ’s m ot io n. On
An additional twenty-five pe rsons have since opted- in to join t he ac tion as members of 1 the conditionally -ce rtified cla ss. 4Decem

be r 3, 2 01 0, Layton , Sky Land , andLit tl efi el d jo in tl y m ov edto di sm is s Sky Lan d andLit tl efi el d a s d efen da nt s. Th ree d ay s l at er, the di st ric t co urt g ran te d t he m ot io n, d is m is se d S ky Landan d Li tt le fie ldan d o rd eredth ei r m ot io n wi th dr awn , an d d en ie d DHL’s m ot io n t o a do pt . On Ja nu ary 12 , 20 11 , th e d is tri ctco urt d en ie d DHL’ s m ot io n fo r su m

m ary jud gm en t. The n, o n F eb ru ary 15 , 20 11 , th e d is tri ct co urt su a s

po nt e va cat edit s o rd er d en y in g DHL’s reque stto joi n S ky Landan d Lit tl efi el d’s m ot io n t o d is m is s. Subs eque nt ly, on May 3, 20 11 , th e d is tri ctco urt gr an te d s umm ary jud gm en t fo r DHL, fin di ng th at(1) th e “ di sm is sa l o f Sky Land effe ct iv el y

eli m in at ed[Pl ai nt iff

cla ss m em

be rs ’] cla im

ag ai ns t DHL” an d (2 ) Pl ai nt iff cla ss m em

be rs fel l wi th in th e MC E andwere thu s n otab le to ass ert ov ert im e p ay

cla im s. Th e d is tri ctco urt l at er am en de d t he ord er t o a ddan ad di ti on al reas onforgra nt in g t he m ot io n: DHL didev erythi ng itco ul d p os si bl y do to rel at e to Sky

Landon ly as an“ in de pe nd en t co nt ract or [.”] T he co nt ractwith S ky Landall owe d DHL to e xe rci se on ly the m in im al supe rv is io n n eces sa ry to m on it or co m pl ia nc e wit h t he co nt ract . The u nd is pu te d fa ct s l eadto th e co nc lu si on th atif p la in ti ffs were em pl oyed b y any bo dy, the y

were em pl oyed b y Sky Land , th e en ti ty tha t t he y os te nt at io us ly dis m is se d as a de fen da nt , forreas on s t hi s co urt ca n o nl y gu es s at . DHL was no t anem pl oyer, m uc h l es s a jo in t em

pl oyer. Layto n n ow ap pe al s t he di st ric t co urt’s g ran t o f su m m ary jud gm en t. II. W e rev ie w de no vo a di stric t co urt’s g ran t o f su m m ary jud gm en t. Vect or 5Pro ds ., Inc . v. Har tf or d Fi re Ins . Co. , 39 7 F .3d13 16 , 13 18 (11 thCir . 20 05 ) (p er cu ria m). W e canaffi rm

a gr an t o f su m

m ary jud gm en t o n g ro un ds ot he r th anth os e rel ie d upo n b y

th e d is tri ctco urt. Edw ar ds v. Nia ga ra Cr edit So lu ti on s, In c. , 58 4 F.3 d 1 35 0, 1 35 4 (1 1t h C ir. 2 00 9) . In re vi ewin g agra ntof s umm ary jud gm en t, we res ol ve all am

bi gu it ie s an d d raw rea so nabl e fac tu al in fere nc es fro m th e ev id en ce in th e n on -m ov an t’s favo r. Rice -La mar v. Cit y o f Fo rt La ud erda le , 23 2 F .3d83 6, 84 0 (1 1th C ir. 2 00 0) . There fo re, thr ou gh ou t t hi s o pi ni on we ha ve pre se nt edall ev id en ce i n t he li gh t m os t fa vo rab le to Layto n. III. The FLSA de fin es anem pl oyer as “ an y

pe rs on act in g d ire ct ly or in di rect ly in th e in te res t o f anem

pl oyer in rel at io n t o a n e m pl oyee.” 29 U.S.C. § 2 03 (d ). An en ti ty “ em

pl oys” a p ers on un de r th e FLSA if it“ su ffer [s ] or

pe rm it [s ]” the in di vi du al to work . Id

. § 2 03 (g ). In o rd er t o d et erm in e whe th er an all eg ed em pl oyer “ su ffer [s ] orpe rm it [s ]” an i nd iv idua l t o wo rk , we ask“ if, a s a m at te r of eco no m ic real it y , th e in di vi du al is de pe nd en t o n t he en ti ty.” Ant en or v. D &S Farms , 88 F.3d92 5, 9 29 (11 th Cir . 19 96 ) (quo ti ng Goldb er g v . W hi ta ker Hou se Co op ., Inc
. , 36 6 U.S. 2 8, 3 3, 8 1 S . Ct. 9 33 , 93 6– 37 (19 61 )). An emplo y ee m ay ha ve m or e th anon e em

pl oyer, and“whe th er the em pl oym en t b y

th e em pl oyers i s to be co ns id eredjoi ntem pl oym en t o r se parat e an d d is ti nc t em pl oym en t fo r 6pu rp os es of t he actde pe nd s upo n a ll th e fac ts in th e p art ic ul ar ca se .” 29 C.F.R. §

79 1.2 (a). A joi nt -em

pl oym en t re la ti on sh ip wil l g en eral ly be fo un d t o e xi stin si tu at io ns su ch as: (1 ) Whe re the re i s an arra ng em en t b etween th e em pl oyers t o s ha re the em pl oyee’s servi ces , as, fo r ex am pl e, to in te rch an ge em

pl oyees; or (2 ) Whe re o ne em

pl oyer is act in g d ire ct ly or in di rect ly in t he in te res t of th e o th er em

pl oyer (orem

pl oyers) inrel at io n t o the em pl oyee; o r (3 ) Whe re the em

pl oyers ar e n otco m

pl et el y di sa ss oc ia te d wi th res pe ctto th e em

pl oym en t o f a p art ic ul ar em pl oyee an d m ay

be de em edto sh are c on tro l o f th e em pl oyee, di rect ly or in di rect ly, by reas on of t he factth aton e em pl oyer co nt ro ls , is co nt ro ll edby, oris un de r co m

m on co nt ro l wi th th e o th er em pl oyer. Id
. § 7 91 .2(b ) (fo ot no te s o m it te d) . Inth is cir cu it , m an y

joi nt -em pl oym en t FLSA cl ai m s h av e ari se n i n c as es al so ass ert in g ajoi nt -em

pl oym en t re la ti on sh ip un de r th e Mi gr an t an d S eas on al Agr ic ul tu ral W orke r Pro te ct io n Act(“ AW PA”), 2 9 U.S.C. § 18 01 et seq . Becaus e th e AW PA de fin es th e te rm “ em pl oy” by refe ren ce t o t he FLSA an d b ecau se th e AW PA reg ul at io ns pro vi de m or e d et ai le d g ui da nc e reg ard in g t he de fin it io n o f joi ntem pl oyer, m uc h o f ou r cas el aw ex pa nd in g upo n t he de fin it io n o f joi nt em pl oym en t h as rel ie d upo n the AW PA reg ul at io ns . Fo r ex am pl e, in Aima bl e v. Lo ng

&Sc ot t Fa rms , a farm

lab orco nt ract or recrui te d m ig ran t fa rm

work ers to ha rv es t cr op s fo r a p ro pe rty owne r. 20 F.3d 43 4, 4 37 (11 th Cir . 19 94 ). The fa rm work ers th enbro ug htFLSA an d AWPA 7cl ai m s ag ai ns t b ot h t he co nt ract oran d t he pro pe rty owne r as joi ntem pl oyers. Id
. at43 7. Th e d is tri ctco urt d et erm in edth atth e co nt ract orwas, i n fa ct , an e m pl oyer, an d t he on ly que st io n o n app eal was wh ethe r th e p ro pe rty owne r was als o a n em pl oyer. Id
. Inev al ua ti ng th e ex is te nc e o f anem pl oym en t re la ti on sh ip , we lo ok edat e ig htfact or s. We drew t he fir stfiv e fac to rs fro m reg ul at io ns rel at in g t o th e AW PA: [1 ] The na tu re an d d eg ree o f co nt ro l o f th e worke rs ; [2 ] The de gr ee o f supe rv is io n, d ire ctor i nd ire ct , of t he work ; [3 ] The po wer t o d et erm in e th e p ay rat es or t he m etho ds of p aym en t of th e worke rs ; [4 ] The rig ht , di rect ly or in di rect ly, to hi re, fi re, o r m od ify the em pl oym en t co nd it io ns of t he work ers ; [5 ] Prep arat io n o f pa yro ll an d t he paym en t o f wag es . Se e id
. at 4 38 (qu ot in g 2 9 C .F.R. § 5 00 .20 (h )(4 )(i i)) . W e d eri ve d fa ct or s s ix an d 2 se ve n fr om

cas el aw: ( 6) own ers hi p o f th e fac il it ie s wh ere wo rkoc cu rred , and(7) pe rfo rm an ce o f a s pe ci al ty j ob in te gr al to th e b us in es s. Se e id
. at 4 39 , 44 4 (drawi ng up on Ruthe rf

or d Fo od Co rp . v. McCo mb , 33 1 U.S. 7 22 , 67 S. Ct. 1 47 3 (1 94 7) (“ Ruthe rf or d ”) an dHod

gs on v. Gri

ff in &Bra nd

of McAll en , Inc
. , 47 1 F .2d 23 5 (5 thCir . 19 73 )). A fin al fact or —i nv es tm en t i n e qu ip m en t an d fa ci li ti es —we de em edirr el ev an t i f on e were c om pa rin g t he in ve st m en t b y

th e worke rs ve rs us th e

J udg e Ea sterbrook ha s described the AWPA regulations as “off er[ing] a wa

y to think 2 about the subjec t [ of joint employ ment] and not an alg orithm.” Rey es v. Remington Hybrid See d Co. , 495 F.3d 403, 408 ( 7th Cir. 2007). 8la ndown er. Id
. at 4 43 . Howev er, we d idfin d i t wo rth whi le to ev al ua te th e

rel at iv e in ve st m en ts of t he lan d o wne r an d t he co ntra ct or be cau se su chanan al y si s m ig htsh edli gh t o n wh ethe r th e worke rs were ec on om ic al ly dep en de nton th e la nd own er. Id
. Whe n d is cu ss in g Aima bl e in a subs eque ntcas e, we de fin it iv el y st at ed th atth e in ve st m en ts of the pu rp orte d e m pl oyer an d t he co nt ract orsh ou ldbe co ns id eredas t he eig hth fa ct or of t he joi nt -em

pl oym en t t es t. Ant en or , 88 F.3dat 93 7. In Aima bl e , we als o fo un d t hr ee fa ct or s t o b e irrel ev an t t o o uran al y si s: (1) th e o pp ortu ni ty for p ro fitan d l os s, (2 ) pe rm an en cy an d e xc lu si vi ty of em

pl oym en t, an d (3 ) th e d eg ree o f sk il l re qu ire d t o p erfo rm th e job . 20 F.3dat 4 43 –4 4. We ex pl ai ne d t ha t t he se th ree f act or s o nl y

di st in gu is he d wh ethe r on e was anem pl oyee oranin de pe nd en t co ntract or . Se e id
. Bec au se itha d b een de te rm in edth atth e farm work ers were em

pl oyees o f th e co nt ract or , th ere was no ne edto ev al ua te whe th er h al lm ark s o f anin de pe nd en t-c on tra ct orrel at io ns hi p e xi st ed . Se e id
. In19 97 , th e Dep art m en t o f Lab oram en de d t he AW PA reg ul at io ns to furth er cl ari fy th e d efi ni ti on of jo in t em pl oym en t u nd er the AW PA. Fol lo win g the am en dm en ts , we were co nf ro nt edwith AWPA clai m s i nCh ar les v. Bu rt on , 16 9 F.3 d 1 32 2 (1 1t h C ir. 1 99 9) (pe r cu ria m), an d we a dapt edth e ei gh t-f act ortes t l ai d ou t i n Aima bl eto refl ectth e n ew gu id an ce o ffer edby the reg ul at io ns . Se e, e.g . , 916 9 F .3dat 1 33 2 (“ [T]he Aima bl e co urt fo un d t ha t an an al y si s o f th is fact orfai ls

to aidin th is de te rm in at io n. We, ho wev er, ch oo se to an al y ze thi s fa ct or , si nc e itis in cl ud edin th e AW PA’s reg ul at io ns .” (i nt ern al cit at io ns om it te d) ). Ch ar les , in co rp or at in g t he am en dm en ts to th e AW PA reg ul at io ns , setou t a s ev en -fac to r te st fo r ev al ua ti ng whethe r anem pl oym en t re la ti on sh ip ex is ts : (1 ) whe th er the ag ric ul tu ral em pl oyer ha s t he po wer, ei th er al on e o r th ro ug h the FLC [farm

lab or co nt ract or ], to di rect , con tro l o r supe rv is e th e worke rs or t he workpe rfo rm ed(su ch co nt ro l m ay be ei th er d ire ctor i nd ire ct , tak in g i nt o a cco un t t he na tu re o f th e work pe rfo rm edan d areas on ab le de gr ee o f co nt ractpe rfo rm an ce o ve rs ig ht an d c oo rd in at io n wi th th irdpa rti es ); ( 2) whet he r th e ag ric ul tu ral em pl oyer ha s t he po wer, ei th er al on e o r in ad di ti on to an ot he r em pl oyer, di rect ly or in di rect ly, to hi re o r fi re, m od ify the em pl oym en t co nd it io ns , or d et erm in e th e p ay rat es or t he m etho ds of wag e p aym en t fo r th e worke rs ; (3 ) th e d eg ree o f pe rm an en cy an d du rat io n o f th e rel at io ns hi p o f th e p art ie s, i n the co nt ex t o f th e ag ric ul tu ral act iv it y

at i ss ue ; (4 ) th e ex te ntto whi ch th e se rv ic es th at th e worke rs ren de redare re pe ti ti ve , rot e ta sk s re qu iri ng sk il ls th atare acqui redwith re la ti ve ly lit tl e tr ai ni ng ; (5 ) whe th er the act iv it ie s t ha t th e worke rs pe rfo rm edare an in te gr al part o f th e o ve ral l b us in es s op erat io n o f th e ag ric ul tu ral em pl oyer; (6 ) whe th er the workis pe rfo rm edon th e ag ric ul tu ral em pl oyer’s pre m is es , rathe r th anon pr em is es th atan ot he r bu si ne ss en ti ty owns or c on tro ls ; an d (7 ) whe th er the ag ric ul tu ral em pl oyer un de rta ke s re sp on si bi li ti es in rel at io n t o t he work ers th atem pl oyers co m

m on ly perfo rm , su ch as pr ep ari ng an d/ or

m ak in g p ayro ll reco rd s, p rep ari ng an d/ oris su in g p ay ch eck s, p ay in g F ICA t ax es , pro vi di ng work ers ’ co m pe ns at io n in su ran ce, p ro vi di ng fie ldsan it at io n fa ci li ti es , ho us in g o r tra ns po rta ti on , or p ro vi di ng to ol s an d e qu ip m en t o r m at eri al s re qu ire d fo r th e job (ta ki ng in to acco un t t he am ou ntof the in ve st m en t). 16 9 F .3dat 1 32 9. In fas hi on in g t hi s t es t, s om e o f th e Aima bl e fact or s wer e 10co m

bi ne d a ndne w fact or s wer e ad de d. Layto n u rg es us to co ns id er al l t he fact or s s ta te d i n Ch ar les , in cl ud in g t ho se th atwere n otlai d o utin Aima bl e . W e d ecl in e th atin vi ta ti on . The co urt i n Ch ar les was c on si de rin g o nl y AW PA cl ai m s, n otFLSA cla im s; th eref or e, Ch ar les do es no t d ic ta te th e fac to rs we m us t u ti li ze i n o urev al ua ti on of F LSA cla im s. 3 Alt ho ug h t he AW PA de fin es joi ntem pl oym en t b y

refe ren ce t o t he de fin it io n pr ov id edin th e FLSA, th atdo es no t m eanth atth e rev ers e h ol ds tru e—t ha t jo in t em pl oym en t u nd er the FLSA is in va riabl y de fin edby A W PA reg ul at io ns . Bec au se Aima bl e craf

te d ade fin it io n o f “

joi ntem pl oyer” th atap pl ie d t o b ot h AW PA an d F LSA cla im s an d t ha t t es t h as no t b een di srup te d b y a cas e in vo lv in g FLSA cl ai m s o r am en dm en ts to th e FLSA, we m us t fo ll ow t he eig ht -fac to r te stof Aima bl e. Inap pl y in g t he eig ht -fac to r te st , we are g ui de d b y a nu m be r of pri nc ip le s: Fi rs t, the qu es ti on in “

joi ntem pl oym en t” cas es is no t wh ethe r th e worke r is m or e eco no m ic al ly dep en de ntonth e in de pe nd en t co nt ract oror t he [al le ge d e m pl oyer], with t he win ne r av oi di ng res po ns ib il it y

as a n e m pl oyer. . . . [T] he foc us of e ach in qu iry m us t b e on each em

pl oym en t re la ti on sh ip as i t ex is ts be twee n t he work er an d th e p art y ass ert edto be a joi ntem

pl oyer. Seco nd , no on e fac to r is de te rm in at iv e. As we ex pl ai ne d i n Aima bl e , Although Charles ’s joint-employ ment test is not bindi ngprec edent he re, w e re fer ence 3 Charles and its prog eny

as per suasive authority

to the extent that thos e ca ses help us apply the eight fac tors of Aimable . 11th e ex is te nc e o f a joi ntem pl oym en t re la ti on sh ip de pe nd s o n t he eco no m ic real it y

of a ll th e ci rcu m st an ces . Thi rd , th e fac to rs are u se d b ecau se th ey are i nd ic at or s o f eco no m ic de pe nd en ce. The y

are ai ds —t oo ls to be us edto gaug e th e d eg ree o f de pe nd en ce o f al le ge d e m pl oyees o n t he bu si ne ss to whi chth ey are co nn ect ed . . . . Thu s, the weig htof e ach fact orde pe nd s o n t he li gh t i t sh ed s o n t he []work ers ’ eco no m ic de pe nd en ce (o r la ckth ereo f) o n t he al le ge d e m

pl oyer, whi ch in tu rnde pe nd s o n t he fact s o f th e cas e. Fo urth , a joi ntem

pl oym en t re la ti on sh ip is no t d et erm in edby a m athe m at ic al form

ul a. . . . The pu rp os e o f wei gh in g t he fact or s i s n ot to pl ace e ach in eithe r th e co nt ract oror t he [al le ge d e m pl oyer’s] co lu m n, b utto vi ew th em

qu al it at iv el y

to ass es s t he ev id en ce o f eco no m ic de pe nd en ce, wh ic h m ay po in t t o b oth. Fi fth , inco ns id eri ng a joi nt -em pl oym en t re la ti on sh ip , we m us t n ot al lo w comm on -la w con cep ts of e m pl oym en t t o d is tra ctou r fo cu s fro m eco no m ic de pe nd en cy . Ant en or , 88 F.3dat 9 32 –3 3 (q uo ta ti on m ark s an d c it at io ns om it te d) . IV. A. W e n ow turn t o e xa m in e th e eco no m ic real it ie s o f th e rel at io ns hi p b etween DHL andDriv ers , us in g t he eig htfact or s o f Aima bl e as agu id e. 1. Th e n atur e an d d eg ree o f DHL’ s co nt ro l o f Driv ers

“ Co nt ro l ar is es . . . whe n t he [pu rp orte d jo in t em pl oyer] go es be y on d ge ne ral in st ru ct io ns . . . an d b eg in s t o a ss ig n s pe ci fic tas ks , to ass ig n s pe ci fic worke rs , or t o t ak e anov erl y act iv e ro le in th e o ve rs ig htof t he work .” Aima bl e ,

1220 F.3dat 4 41 (ex pl ai ni ng th atalt ho ug h a n a gr ic ul tu ral co m pa ny’ s d eci si on s ab ou t wh atto pl an t an d h ow m uc h l an d t o u se sh owe d “ ab st ract ” co nt ro l o ve r farm worke rs , th attype o f co nt ro l d idno t co ns ti tu te co nt ro l fo r FLSA p ur po se s) . A pu rp orte d e m

pl oyer tak es anov erl y

act iv e ro le in th e o ve rs ig htof wo rk“ whe n i t de ci de s s uc h t hi ng s as (1) forwho m an d h ow m an y

em pl oyees t o h ire ; (2 ) ho w to de si gn th e em

pl oyees’ m an ag em en t s tru ctur e; (3) when workbe gi ns each da y ; (4 ) whe n the lab or ers sh al l s ta rt a ndst op th ei r work t hr ou gh ou t t he da y ; an d (5 ) whe th er a l ab or er s ho ul d b e d is ci pl in edor r et ai ne d.” Mar ti ne z-Men do za v. Ch amp io n In t’l

Co rp . , 34 0 F .3d12 00 , 12 09 –1 0 (1 1t h C ir. 2 00 3) (qu ot at io n m ark s an d c it at io n o m it te d) (di sc us si ng “ na tu re an d d eg ree o f co nt ro l” fact oras s etforth in Aima bl e ). Whe n a ss es si ng th e n atur e an d d eg ree o f co nt ro l, o ur “ fo cu s i s m or e pr op erl y li m it edto sp eci fic in di ci a o f co ntro l.” Aima bl e , 20 F.3dat 4 40 . Layto n m ak es m

uc h o f th e fac t tha t DHL m ad e b us in es s d eci si on s t ha t di rect ly im

pa ct edth e le ng th of Dri ve rs ’ workd ay s, ar gu in g tha t DHL de fa ct o co nt ro ll edDriv ers ’ ho ur s. Fo r ex am pl e, DHL di ct at edwhatti m e th e p ack ag es were av ai labl e fo r pi ck -up e ach m orni ng , th ereb y li m it in g h ow early Driv ers ’ workd ay s co ul d b eg in . Add it io na ll y , DHL occas io na ll y ha d e rrat ic pi ck -up o rd ers to whi chDriv ers ha d t o re sp on d, re su lt in g i n Dri ve rs work in g l on ge r ho ur s. Howev er, we fi ndth is in di recttype o f co ntro l t o b e m or e ak in to th e “ ab st ract ” 13co nt ro l p res en t i n Aima bl e th anth e type o f co nt ro l ex erci se d b y anem pl oyer. DHL m ay ha ve in ci de nt al ly im

pa ct edDriv ers ’ worki ng co nd it io ns , bu t we d o n ot fin d t ha t DHL’s co nduc t ev id en cedan“ ov erl y act iv e” ro le in th e o ve rs ig htof Driv ers . DHL ha d c ert ai n o bjec ti ve s—ha vi ng it s p ack ag es de li ve redon ti m e, se rv in g i ts cu st om ers —t ha t Sky Land , andth eref

or e Dri ve rs , were t as ke d wi th acco m pl is hi ng . DHL di d n otin vo lv e it se lf wi th th e sp eci fic s o f ho w th os e g oa ls wou ldbe reac he d— itdi d n otap po rti on tas ks to in di vi du al s, s pe ci fy ho w m an y in di vi du al s s ho ul d b e as si gn edto each de li ve ry rou te , or s tru ctur e th e ch ai n o f co m m an d a m on g Dri ve rs . Overa ll , th is fact orweig hs ag ai ns t a f in di ng of jo in t em pl oym en t b ecau se DHL didno t ex ertco nt ro l as anem pl oyer wou ldha ve . 2. DHL’s de gr ee o f supe rv is io n, d ire ctor i nd ire ct , of Dri ve rs ’ work Supe rv is io n c anbe pre se ntreg ard le ss of wh ethe r or de rs are co m m un ic at ed di rect ly to t he all eg edem pl oyee or in di rect ly thro ug h t he co ntract or . Aima bl e , 20 F.3 d a t 4 41 . “ [I]nfre qu en t as se rti on s o f m in im al ov ers ig htdo no t co ns ti tu te th e requi si te de gr ee o f supe rv is io n.” Mar ti ne z-Men do za , 34 0 F .3dat 1 21 1 (d is cu ss in g

“ de gr ee o f supe rv is io n” fact orsetforth in Aima bl e ). Driv ers sp en t t he m ajor it y of t he ir d ay s b y

th em se lv es in th ei r truc ks , away fro m DHL facil it ie s an d DHL em pl oyees. Ho wev er, Layto n c on te nd s tha t DHL st il l s up erv is edth em

in a nu m be r of way s. Fi rs t, Dri ve rs were re sp on si bl e fo r 14lo ad in g p ack ag es on to th ei r tr uc ks at DHL’s wareh ou se , andDHL m an ag ers ov ers aw th atpro ces s, atti m es cri ti ci zi ng App el la nt s’ lo ad in g t ech ni qu es . Seco nd , DHL aud it edDriv ers ’ ve hi cl es an d u ni fo rm s t o e ns ur e th atth ey co m pl ie d wi th th e st an da rd s s ta te d i n t he Cart ag e Agr eem en t. Thi rd , DHL comm un ic at edwith Driv ers vi a th e sc an ne rs if ano n- ro ut in e si tu at io n o ccu rredan d Dri ve rs were ne ed edto re-d el iv er a p ack ag e o r res po ndto a cu st om er co m pl ai ntsubm it te d t o DHL. W e ag ree t ha t t he se act io ns ev id en ce a s m al l am ou ntof s up erv is io n. Howev er, we d is ag ree wi th Layto n’s co nt en ti on th atDHL “ supe rv is ed ” Dri ve rs be cau se th e sc an ne rs co ll ect edin fo rm at io n abo utpa ck ag e lo cat io ns ; we d o n ot th in k t ha t t hi s ty

pe of d at a co ll ect io n e qu at es to em pl oyer-li ke supe rv is io n. Th e sc an ne rs di d n otstream

in fo rm at io n t o DHL in a way th atwou ldsi m

ul at e th e rea lti m e m on it or in g o f anactua l s up erv is or . Ins te ad , th e sc an ne rs sen t ag gr eg at e in fo rm at io n t o DHL’s da taserve r atth e cl os e o f th e d ay . Furt he rm or e, th e sc an ne rs on ly pro vi de d d at a ab ou t p ack ag e lo cat io n. Al th ou gh su ch in fo rm at io n in di rect ly comm en te d o n Dri ve rs ’ work— de li ve ry sp eedis a m etric th atco ul d b e rel ev an t t o e va lu at in g ade li ve ry dri ve r’s pe rfo rm an ce—th is type o f m on it or in g i s di ss im il ar fro m

st an da rdem

pl oyer supe rv is io n andha s l it tl e p ro ba ti ve va lu e fo r th e p ur po se s o f de te rm in in g jo in t em pl oym en t. As we st at edab ov e, DHL eng ag ed in a li m it edam ou ntof m on it or in g a t t he wareh ou se , bu t Dri ve rs were b as ic al ly 15un supe rv is edwhi le co m pl et in g t he ir m os t es se nt ia l jo b fu nc ti on whi ch to okup th e m ajor it y of t he work day

—m ak in g d el iv eri es . Overa ll , th is fact oris no t s tro ng ly pr ob at iv e o f joi ntem

pl oym en t. 3. DHL’s rig ht , di rect ly or in di rect ly, to hi re, fi re, o r m od ify Driv ers ’ em pl oym en t co nd it io ns DHL’ s o nl y

in vo lv em en t wi th Sky

Land ’s hi rin g p ro ces s was th atDHL st ip ul at edin th e Carta ge Agre em en t t ha t al l p ers on s h ire d t o d el iv er DHL pa ck ag es ha d t o p as s a b as ic ba ck gr ou ndch eck . DHL di d n otpa rti ci pa te in th e actua l h iri ng or f

iri ng of a ny em

pl oyees. Fu rth erm or e, th e o nl y way in whi ch DHL m od ifi edDriv ers ’ em

pl oym en t co nd it io ns was b y m ak in g b us in es s d eci si on s t ha t im pa ct edDriv ers ’ ho ur s, as di sc us se d abo ve . Se e Ant en or , 88 F.3dat 9 35 (fi nd in g rel ev an t t he ab il ity

to di ct at e whe n t he work da y be gi ns in ex am in in g wh ethe r on e ha s t he rig htto m od ify work ers ’ ho ur s) . Becau se DHL hadm in im al in vo lv em en t wit h t he em

pl oym en t p ro ces s, thi s fa ct orweig hs ag ai ns t a f in di ng of jo in t em pl oym en t. 4. DHL’s po wer t o s etDriv ers ’ pa y rat es or p aym en t m etho ds Layto n c on ced es th atDHL hadno po wer t o s etDriv ers ’ pa y rat es or pa ym en t m etho ds ; Sky

Landalo ne ha d t hi s ab il it y . There fo re, thi s fa ct orweig hs ag ai ns t a f

in di ng of jo in t em

pl oym en t. 165. DHL’s pre pa rat io n o f pa yro ll an d p aym en t o f th e Dri ve rs ’ wag es

Layto n a dm it s t ha t t hi s fa ct orals o fa vo rs DHL becaus e DHL was n ev er in vo lv edwith t he pa y

m en t o f Driv ers . Sky L an d i nd ep en de nt ly deal t wi th it s pa ym en t o bl ig at io ns to Driv ers . This fact orweig hs ag ai ns t a f in di ng of jo in t em pl oym en t. 6. DHL’s own ers hi p o f th e fac il it ie s wh ere t he workoc cu rred W e st at edin Ant en or

th atown ers hi p o f th e farm lab or ers ’ works it e was rel ev an t t o o urin qu iry becaus e “ wit ho utth e la nd , th e worke r m ig htno t h av e work, an d b ecau se a bu si ne ss th atown s o r co nt ro ls th e works it e wil l l ik el y be ab le to pr ev en t l ab orlaw v io la ti on s, ev enif i t d el eg at es hi rin g a ndsupe rv is ory res po ns ib il it ie s t o l ab orco nt ract or s.” 8 8 F .3dat 9 37 . In the in st an t ca se , Driv ers sp en t a s m al l p artof t he ir d ay s s orti ng , sca nn in g, an d l oa di ng pa ck ag es in wareh ou se s o wne d b y

DHL. Howev er, Dri ve rs work edth e v as t m ajor ity of t he ti m e in de li ve ry

va ns own edby Sky

Land . Layto n a rg ue s t ha t i t i s re le va ntto th e “ own ers hi p” de te rm in at io n t ha t DHL pa idSky Landa st ip en d o f $3 8 p er d ay to co ve r m ai nt en an ce, fu el , andin su ran ce co st s o f th e v eh ic le s. We m us t d is ag ree u nd er the fact s o f th is cas e an d i n l ig htof th e p ur po se s o f th is tes t. Owne rs hi p i s re le vantbe cau se a land own er i s t ho ug htto ha ve so m e kno wled ge of a ndco nt ro l o ve r wha t h ap pe ns onhi s l an d. Se e id
. It i s 17no t cl ear h ow p ay in g S ky Landa st ip en d c ou lden ha nc e DHL’ s ab il it y to pre ve nt labo r la w vi ol at io ns . Se e id
. Owners hi p i s al so rel ev an t as anin di cat orof eco no m ic in de pe nd en ce. Se e id
. The fa ctth atSky Landown edth e va ns —re ga rd le ss of wh ethe r fu el an d m ai nt en an ce co st s wer e rei m bu rs ed —d em on st rat es th atSky

Land , andthus Driv ers , cou ldhave work edas co ur ie rs for

ot he r co m

pa ni es . Becau se Driv ers were n otde pe nd en t o n DHL to pr ov id e v an s s o t ha t t he y co ul d a cco m

pl is h t he ir c or e duty

—d el iv eri ng pa ck ag es —we fi ndth atth is fact orweig hs ag ai ns t a f in di ng of jo in t em

pl oym en t. 7. Dri ve rs ’ pe rfo rm an ce o f a s pe ci al ty j ob in te gr al to th e b us in es s Thi s fa ct oris de riv edfro m Ruthe rf or d , inwhi ch th e Supr em e Co urt fo un d th atm eatbo ne rs recrui te d b y a labo r co nt ract orto workat asl au gh te rh ou se were, un de r th e FLSA, joi ntem pl oyees o f th e sl au gh te rh ou se . 33 1 U.S. at72 9, 6 7 S . Ct. at14 76 . Alth ou gh th e worke rs bro ug htth ei r ownto ol s an d wer e labe le d a s in de pe nd en t co nt ract or s, se e id
. at 7 24 –2 5, 6 7 S . Ct. at14 74 , th e Co urt fo cu se d o n th e fac t t ha t t he work ers co m pl et edon e p ro ces s i n t he m id dl e o f a s eri es of in te rd ep en de ntst ep s atth e sl au gh te rh ou se . The fac ts ledth e Co urt t o c on cl ud e th atth e worke rs “ di d asp eci al ty j ob onth e p ro du ct io n l in e” tha t was “ m or e li ke pi ecewo rkth ananen te rp ris e th atactua ll y de pe nd edforsu cces s upo n t he in it ia ti ve , jud gm en t o r fo res ig htof t he typic al in de pe nd en t co nt ract or .” Id
. at 7 30 , 1867 S. Ct. at14 77 . Becau se th e worke rs were “pa rt o f th e in te gr at edun itof

pr oduc ti on ” o f th e sl au gh te rh ou se , th e Co urt fo un d t he m to be em pl oyees o f th e es tabl is hm en t. Id
. at 7 29 , 67 S. Ct. at14 76 . W e ex pl ai ne d i n Ant en or th at“ a worke r who pe rfo rm s a r ou ti ne tas k t ha t i s a n orm al an d i nt eg ral ph as e o f th e [al le ge d e m pl oyer]’ s p ro du ct io n i s l ik el y to be de pe nd en t o n t he [al le ge d e m pl oyer]’ s o ve ral l p ro du ct io n p ro ces s.” 8 8 F .3dat 93 7. Here , Driv ers cert ai nl y pe rfo rm eda cru ci al tas k fo r DHL. Yet we are he si ta ntto say tha t t he ir r ol e was “ an al og ou s t o e m pl oyees wo rk in g a t a p art ic ul ar po si ti onon a la rg er p ro du ct io n l in e.” Id
. (di sc us si ng si m il ari ti es be twee n m eat bo ne rs in Ruthe rf

or d an d c ro p p ic ke rs pa rti ci pa ti ng in farm op erat io ns ). Driv ers pe rfo rm edm os t o f th ei r work a way fro m DHL’ s fa ci li ti es an d s up erv is io n; th ey di d n otworksi de -b y -s id e wit h o th er DHL em pl oyees. Dri ve rs als o o pe rat ed ve hi cl es no t o wne d b y

DHL, andth ey

were n otco ntractua ll y

res tri ct edfro m

us in g th os e v eh ic le s t o s erv e o th er co m pa ni es ne ed in g d el iv ery se rv ic es . On b al an ce, we fin d t ha t t hi s fa ct ordo es no t s tro ng ly sup po rt aco nc lu si on th ata joi nt -em pl oym en t rel at io ns hi p e xi st s. 8. DHL’s an d S ky Land ’s rel at iv e in ve st m en t i n e qu ip m en t an d fa ci li ti es W e co ns id er thi s fa ct orbe cau se work ers are m or e li ke ly to b e eco no m ic al ly de pe nd en t o n t he pe rs on who supp li es th e equi pm en t o r th e fac il it ie s. Id
. Here, 19Sky

Landown edth e d el iv ery va ns . DHL own edth e wareh ou se s wh ere p ack ag es were re cei ve d a ndst or ed , as wel l as all ot he r equi pm en t tha t Dri ve rs us ed . Bec au se bo th Sky

Landan d DHL m ad e si gn ifi can t i nv es tm en ts in faci li ti es an d equi pm en t, thi s fa ct ordo es no t ai d o urjoi nt -em pl oym en t i nqui ry . Se e Aima bl e , 20 F.3 d a t 4 43 (st at in g t ha t b ecau se all eg edem pl oyer an d l ab orco nt ract orbo th m ad e in ve st m en ts , th is fact orne it he r ex on erat edth e p ur po rte d e m

pl oyer no r de m on st rat edth atem

pl oyees wer e d ep en de nton em pl oym en t). B. W e b el ie ve itwort hwh il e to rei te rat e th atth e ei gh t fa ct or s o f Aima bl e are on ly use fu l t o u s t o t he ex te ntth atth ey sh edli gh t o n the ex is te nc e o f eco no m ic de pe nd en ce. Se e Ant en or , 88 F.3dat 9 29 . Our u nd ert ak in g i s o rie nt edby the de si re t o d is co ve r th e eco no m ic real it y of t he to ta l ci rcu m st an ces , andth e ei gh tfact or tes t i s m erel y

a te m pl at e fo r rea ch in g tha t g oa l— a te m pl at e m or e u se fu l i n cert ai n c as es th anin ot he rs . Here, DHL bo re n o fi nanc ia l o r m an ag eri al res po ns ib il it y

forDriv ers . For t he m os t p art , DHL sim pl y tas ke d S ky Land , and th us Driv ers , with m acro -le ve l g oa ls —d el iv er the pa ck ag es , res po ndto cu st om er co m pl ai nt s— an d p ro vi de d l it tl e g ui da nc e reg ard in g t he m an ne r by whic h t o ex ecu te da il y

tas ks . Sky L an d a lo ne he ldth e p owe r to hi re, fi re, an d p ay Driv ers . Sky Landalo ne own edth e v an s t ha t al lo wedDriv ers to co m pl et e th ei r es se nt ia l 20job fun ct io n, an d b ecau se Sky Land ’s con tra ctwith DHL was no t ex cl us iv e, Sky Lan d c ou ldha ve serve d o th er co m pa ni es us in g t ho se ve hi cl es . W e fi ndth atth e to ta li ty of th e eco no m ic cir cu m st an ces in di cat es th atDriv ers were n ot eco no m ic al ly dep en de ntup onDHL, andwe th eref or e aff irm th e d is tri ctco urt o n th e g ro un ds th atDHL was no t a jo in t em pl oyer of Dri ve rs . AFFIRMED.

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