A class action lawsuit has accused multi-level marketing skincare giant Rodan+Fields of allegedly violating California law by allegedly misclassifying its online sales consultants as independent contractors, when they allegedly should be considered employees protected by California wage, hour and benefit laws.
On March 1, attorneys from the firms of Tycko & Zavareei and the Clarkson Law Firm filed suit in San Francisco County Superior Court on behalf of potentially thousands of Californians - mostly women - against San Ramon-based Rodan+Fields. The lawsuit was filed on behalf of named plaintiff Lauren Dann, of Ventura.
Rodan+Fields sells its products through a so-called multi-level marketing plan that relies on sales consultants to market the company's health and beauty product line to their friends, family and others they know. According to the complaint, much of that selling is accomplished online.
The lawsuit claims Rodan+Fields has recruited thousands of such sales consultants to help build their business. Sales consultants have typically earned money based on how much of the products they sell.
However, the lawsuit claims the company has misclassified the sales consultants as independent contractors under the law. Instead, the lawsuit claims the consultants should be considered employees under California law and therefore entitled to legal protections.
The lawsuit alleges that Rodan+Fields has exploited its California salesforce by not providing them with the rights and benefits they are allegedly owed as employees.
The lawsuit accuses Rodan+Fields of allegedly not paying their workers wages; providing workers with the proper rest breaks; reimbursing workers' business expenses; and other alleged violations of California labor law.
Plaintiffs are seeking court orders declaring that the sales consultants should be considered employees. They are seeking court orders requiring Rodan+Fields to pay statutory penalties, unspecified compensatory and punitive damages, plus attorney fees.
The plaintiffs are represented by attorneys Kristen G. Simplicio and Emily Feder Cooper, of Tycko & Zavareei, of Washington, D.C., and Oakland' and Glenn A. Danas, Yana Hart and Katelyn Leeviraphan, of Clarkson Law Firm, of Malibu.