California employment case index

Tipped employees won preliminary certification of a nationwide FLSA collective in Arizona, and the district court authorised notice to out-of-state servers because one Arizona plaintiff had sued. The Ninth Circuit held that theory wrong, joining four circuits against the First to hold that Bristol-Myers Squibb applies in FLSA collective actions: where jurisdiction is specific, each opt-in plaintiff's claim must bear its own connection to the forum. The panel simultaneously preserved the Campbell two-step and refused to require pre-notice rulings on absent employees' arbitration agreements — a split decision whose wins and losses both reshape forum strategy in hybrid wage cases.

A unanimous California Supreme Court fixes the two-step framework for the duty to protect against third-party harm — special relationship first, the Rowland policy factors only to limit it — the controlling analysis for negligent hiring, supervision, and retention claims against employers.

The Supreme Court’s foundational “cat’s paw” decision: an employer is liable when a biased supervisor performs an act intended to cause an adverse employment action that is a proximate cause of the ultimate decision — even if the formal decisionmaker had no discriminatory animus. A decisionmaker’s “independent investigation” does not automatically break the causal chain, especially when it credits the biased actor’s report without independently confirming the action was justified.