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Former Branch Managers Sue Auto-Chlor System Over Unpaid Overtime

NORTHERN CALIFORNIA RECORD

Thursday, November 21, 2024

Former Branch Managers Sue Auto-Chlor System Over Unpaid Overtime

State Court
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A lawsuit filed in Santa Clara County Superior Court accuses a company of serious labor violations, including unpaid overtime and missed meal breaks. The complaint was lodged by Mauricio Hernandez, Adam Olivares, and David Tovar on September 13, 2024, against Auto-Chlor System of Washington, Inc.

The plaintiffs allege that during their tenure as branch managers for the defendant, they were misclassified as exempt employees, which led to them being denied proper overtime pay despite regularly working more than eight hours a day or forty hours a week. They argue that this misclassification violated California Labor Code § 1194 and the California Industrial Welfare Commission Wage Order 4-2001. According to the complaint, "Plaintiffs were primarily engaged in servicing customers and routine inside sales work consistent with Defendant’s realistic expectations," thus failing to meet the criteria for any exemption from California's overtime requirements.

The plaintiffs further contend that due to their misclassification, they were unable to take uninterrupted meal and rest periods as mandated by law. The complaint states that even when they could take these breaks, they were often interrupted by branch employees or customers needing assistance. This alleged failure violates California Labor Code §§ 512 and 226.7.

Additionally, the plaintiffs claim that Auto-Chlor System did not provide accurate itemized wage statements as required by California law. These wage statements reportedly failed to reflect total hours worked, applicable overtime premiums, meal and rest period premiums, and pay rates for these premiums. As per the complaint: "Defendant’s failure to maintain accurate itemized wage statements was willful, knowing, intentional, and the result of Defendant’s custom, habit, pattern and practice."

Upon their separation from employment with Auto-Chlor System—Hernandez in August 2021, Olivares in December 2023, and Tovar in April 2021—the plaintiffs assert that they were owed earned wages which were not paid promptly or at all. They argue this constitutes a violation of Labor Code §§ 201-203 concerning waiting time penalties.

The plaintiffs are seeking several forms of relief from the court: unpaid overtime premium wages; unpaid meal and rest period premium wages; reasonable attorneys’ fees; interest on all sums awarded; penalties under various sections of the California Labor Code; equitable relief in the form of restitution or injunctive relief; and any other relief deemed just and proper by the court.

Representing the plaintiffs are Edward J. Wynne (SBN 165819) and George R. Nemiroff (SBN 262058) from Wynne Law Firm based in Larkspur, CA. The case is being reviewed under Case No. 24CV447231 by Judge C. Roman.

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