GrubHub, Inc. is a popular online food delivery service. In recent news they attempted to put a stop to a putative class action in California federal court. In spite of their attempts to throw on the brakes, the suit will go forward as the judge in the case ruled that the California delivery drivers (the plaintiffs) sufficiently alleged facts supporting claims that they were not provided with minimum wage for their hours or paid overtime for hours worked over 8 in one day/40 in one week and that they were misclassified by GrubHub as independent contractors.
U.S. Magistrate Judge Jacqueline Scott Corley stated that the GrubHub drivers’ allegations indicate that California delivery drivers were not provided with minimum wage or overtime for…show more content… It was hit with a similar putative class action in Illinois courts recently as well. After consideration, Judge Corley indicated that plaintiff, Lawson, worked a 45-hour workweek in November of 2015 for which he was compensable as he was unable to perform personal (non-work) activities during the shift. It can be reasonably inferred that GrubHub, the defendants in the case, violated minimum wage and hour laws and overtime laws according to both California state labor laws and federal law.
Lawson alleged that GrubHub practiced policies that were in violation of California Labor Code. For instance, their requirement that drivers pay certain expenses, their failure to pay overtime, and their failure to pay minimum wage. Allegations of unfair business practices are also included in the suit. Lawson and Tan are both bringing claims for penalties under the Private Attorney General Act.
Yet Judge Corley granted GrubHub’s motion to deny class certification. The basis of their argument that won over the judge was that Lawson does not have standing to act as the class representative as other drivers signed arbitration agreements with class action waivers while Lawson opted out of
