Justia Washington Supreme Court Opinion Summaries

The issue this case presented for the Supreme Court's review centered on whether a portion of the wages paid to plaintiff Shaun LaCoursiere was rebated to his employer or its agent in violation of Washington's wage rebate act. LaCoursiere's employer, CamWest Development Inc., paid LaCoursiere three discretionary bonuses during the course of his employment. Pursuant to his employment agreement, a portion of LaCoursiere's bonus money was directly invested in a related company, CamWest Managers LLC. When CamWest terminated LaCoursiere's employment before the investment fully vested, LaCoursiere lost a portion of his investment in the LLC. The Washington Supreme Court affirmed the Court of Appeals' dismissal of LaCoursiere's claim. Even though the bonuses constituted "wages," there was no rebate of those wages because LaCoursiere's unvested interest reverted to the LLC and not to CamWest. View "LaCoursiere v. CamWest Development, Inc." on Justia Law

In 2009, Kristine Failla, a Washington resident and experienced salesperson, was looking for a job she could perform from her Gig Harbor home. She e-mailed Kenneth Schutz looking for such a position. Schutz was the founder and chief executive officer (CEO) of FixtureOne Corporation, which sells fixtures, casework, and displays for use in retail stores. Both FixtureOne and Schutz are based in Pennsylvania, and at the time of Failla's email, FixtureOne had no physical presence or customers in Washington. FixtureOne hired Failla as an account executive. In December 2010, Failla requested a promotion and a raise. Schutz agreed and promoted her to FixtureOne's vice president of sales, increased her yearly salary. Although there were outstanding commissions owed, Failla accepted the promotion and salary increase based on the assurances that the commissions would be paid. Schutz provided a draft employment agreement for Failla to sign in connection with the promotion. Among other things, the agreement contained a provision that it would be interpreted in accordance with Pennsylvania law. Failla proposed revisions to the agreement, but for reasons unknown neither Failla nor Schutz ever signed it. Failla continued working for FixtureOne from her Washington home until May 2011. She received regular paychecks, and the only issue in this case was the sales commissions owed to her that were not paid. In May 2011, Schutz emailed Failla to tell her that FixtureOne was "clos[ing] its doors" and ended her employment the following day. He assured Failla that FixtureOne would "pay your commissions and expenses asap in the next several weeks." For two months following her termination, Schutz returned Failla's requests for payment with various explanations as to why the commissions remained unpaid. Schutz eventually advised Failla that she would not receive a commission check and for the first time disputed whether such commissions were even owed. Failla filed suit against FixtureOne and Schutz for the wilfull withholding of wages, including an allegation that Schutz was individually liable under Washington's wage laws. Failla served Schutz in Pennsylvania but was unable to serve FixtureOne. Consequently the suit proceeded against Schutz alone. Failla and Schutz cross moved for summary judgment. Schutz argued that the trial court lacked personal jurisdiction because he did not have the requisite minimum contacts with the state, and even if Washington could exercise jurisdiction over him, there were genuine issues of material fact preventing the entry of summary judgment. The trial court concluded it had personal jurisdiction and denied Schutz's summary judgment motion. The court granted summary judgment to Failla, awarding double damages. The Court of Appeals reversed, holding that Washington's long-arm statute did not reach Schutz because the employment relationship between Failla and FixtureOne was inadequate to confer jurisdiction over Schutz. The Washington Supreme Court disagreed with the appellate court, and reversed. View "Failla v. FixtureOne Corp." on Justia Law

In this case, Gary Walston was exposed to asbestos while working at The Boeing Company and was later diagnosed with mesothelioma. The Court of Appeals held that pursuant to the Industrial Insurance Act (IIA), Boeing was immune from suit because Walston had not raised a material question of fact as to whether Boeing had actual knowledge that injury was certain to occur. The Supreme Court agreed after its review of the matter: Walston has not made such a showing, and therefore, he was limited to the recovery provided by the IIA' s workers' compensation system. View "Walston v. Boeing Co." on Justia Law

Kathryn Scrivener sued Clark College, claiming that age was the reason it did not hire her for a tenure track teaching position. She was 55 years old at the time, squarely within the 40- to 70-year-old age range protected by the Washington's Law Against Discrimination (WLAD). The candidates ultimately picked for the positions were both under the age of 40. The trial court granted summary judgment in Clark College's favor, finding that Scrivener failed to prove that the college's stated reason for its decision was a pretext. The Court of Appeals affirmed. The Supreme Court took the opportunity of this case to clarify the standard must meet to overcome summary judgment: Employees may satisfy the pretext prong of the "McDonnell Douglas" framework by offering sufficient evidence to create a genuine issue of material fact either: (1) that the employer's articulated reason for its action is pretextual; or (2) that, although the employer's stated reason is legitimate, discrimination nevertheless was a substantial factor motivating the employer. Applying this standard, the Supreme Court reversed the grant of summary judgment. Scrivener created a genuine issue of material fact concerning whether age was a substantial factor motivating Clark College's decision to hire younger candidates. View "Scrivener v. Clark College" on Justia Law

In this class action lawsuit, the trial court found that the State wrongfully denied health benefits to a number of its part-time employees. The issue this case presented for the Supreme Court's review was how to value the damages suffered by that group of employees when they were denied health benefits. The State argued that the only damages to the employees were immediate medical expenses paid by employees during the time they were denied health benefits. But evidence showed that people denied health care benefits suffer additional damage. They often avoid going to the doctor for preventive care, and they defer care for medical problems. This results in increased long-term medical costs and a lower quality of life. Based on this evidence, the trial court correctly rejected the State's limited definition of damages because it would significantly understate the damages suffered by the employees. The Supreme Court affirmed. View "Moore v. Health Care Auth." on Justia Law

Plaintiffs worked as night janitors for subcontractors in various Puget Sound Fred Meyer grocery stores. They alleged that they regularly worked well over 40 hours per week without being paid either minimum wage or overtime as required by Washington's Minimum Wage Act (MWA). The issue this case presented to the Washington Supreme Court was whether Fred Meyer Stores Inc. and Expert Janitorial LLC were joint employers of the janitors for purposes of the Act. While the Supreme Court had never specifically held that the "joint employer" doctrine was a viable theory under the MWA, consistent with the interpretations of the federal Fair Labor Standards Act (FLSA), liability under minimum wage laws may extend to "joint employers" even when there is no formal employment relationship. The trial court dismissed the plaintiffs' joint employer claims against Fred Meyer and Expert, a middleman, at summary judgment. The Supreme Court found that summary judgment was improperly granted and remanded for further proceedings. View "Becerra Becerra v. Expert Janitorial, LLC" on Justia Law

Robert Campbell quit his job as a school teacher in anticipation of accompanying his wife to Finland on her Fulbright grant. Campbell applied for unemployment benefits for the months between his resignation in June 2010 and his family's planned departure in February 2011. His request was denied because the Department of Employment Security determined that Campbell did not qualify for benefits as claimed under RCW 50.20.050(2)(b)(iii), known as the "quit to follow" provision. On appeal, the superior court reversed, but the Court of Appeals reinstated the agency action. The Supreme Court affirmed the Court of Appeals and held that Campbell's resignation from his job seven months before the planned relocation was not reasonable as contemplated by the statute. View "Campbell v. Dep't of Emp't Sec." on Justia Law

Appellants James Kumar, Ranveer Singh, Asegedew Gefe, and Abbas Kosymov brought a class action lawsuit against their employer, Gate Gourmet Inc., alleging two common law torts and two violations of Washington's Law Against Discrimination (WLAD). The lawsuit stemmed from Gate Gourmet's employee meal policy, which barred employees from bringing in their own food for lunch (for security reasons), leaving only employer-provided food for the employees to eat. According to plaintiffs, the policy forced them to work without food or eat food that violated their religious beliefs. The meals ostensibly consist of one vegetarian and one meat-based main dish. The employees alleged that Gate Gourmet used animal by-products in the "vegetarian" option, and despite switching to turkey for a meat-based option, the company reverted to using a beef/pork mixture in violation of others' religious dietary restrictions. The complaint, therefore, alleged that Gate Gourmet deceived "putative class members [to] unknowingly eat[ing] food forbidden by their beliefs," and that class members "have faced the choice of eating food forbidden by their sincerely held beliefs or not eating. Those that did consume meals, they argued, suffered offensive touching due to their contact with food prohibited by their beliefs, and suffered distress as a result." The trial court granted in full Gate Gourmet's CR 12(b)(6) motion to dismiss, finding that the WLAD contained no requirement that employers make reasonable accommodations for their employees' religious practices. The Washington Supreme Court granted direct review and reversed. The Court held that the WLAD created a cause of action for failure to reasonably accommodate an employee's religious practices. With regard to plaintiffs' tort claims, the Court found the trial court dismissed them at the pleading stage, and the tort claims went without analysis. "In light of this fact and in light of Washington's relatively liberal standard for stating a cognizable claim," the Court remanded the case back to the superior court for further proceedings. View "Kumar v. Gate Gourmet, Inc." on Justia Law

Petitioners Lawrence Hill, Adam Wise, and Robert Miller represented a class of employees who worked for an armored car company Garda CL Northwest, Inc. They brought a wage and hour suit against the company, citing violations of the Washington Industrial Welfare Act, and the Washington Minimum Wage Act. After several months of litigation, Garda moved to compel arbitration under the terms of a labor agreement. The trial court granted the motion, but ruled that the employees could arbitrate as a class. The Court of Appeals affirmed the order to compel arbitration, but that the employees must arbitrate individually notwithstanding the class certification. Both sides appealed the appellate court decision. Upon review, the Supreme Court concluded the arbitration clause was unconscionable, and reversed the Court of Appeals. View "Hill v. Garda CL Northwest. Inc." on Justia Law

The trial court dismissed Appellant Richard Piel's suit against the City of Federal Way, finding that the existence of statutory remedies authorized under state law prevented him from establishing the "jeopardy prong" of his common law claim for wrongful termination. The Supreme Court took the opportunity of this case to better explain the jeopardy analysis and harmonize its recent decisions in "Cudney v. ALSCO, Inc." and "Korslund v. DynCorp Tri-Cities Services, Inc." with "Smith v. Bates Technical College." The "Smith" decision recognized that an employee protected by a collective bargaining agreement may bring a common law claim for wrongful termination based on the public policy provisions of RCW 41.56, notwithstanding administrative remedies available through the Public Employees Relations Commission. "Korsland" and "Cudney" did not alter "Smith's" holding. In this case, the Supreme Court reversed the lower court's dismissal and remanded this case for further proceedings. View "Piel v. City of Federal Way" on Justia Law