California employment case index

The California Supreme Court holds that CCP §1281.98's arbitration-fee-payment forfeiture rule is not preempted by the FAA — but, rejecting the rigid automatic-forfeiture reading, only where a late payment is willful, grossly negligent, or fraudulent rather than a good-faith mistake or excusable neglect.

In Naranjo II (2024) 15 Cal.5th 1056, the California Supreme Court holds that an employer’s objectively reasonable, good-faith belief that its wage statements complied with the law defeats both Labor Code § 226 penalties (no “knowing and intentional” violation) and § 203 waiting-time penalties (no “willful” failure) — harmonizing the two penalty statutes around a common good-faith defense.

Analysis · Key Case Cvejic v. Skyview Capital, LLC (2023) 92 Cal.App.5th 1073 Court of Appeal, Second Appellate District, Division Eight · Docket No. B318880 · Decided June 28, 2023 Verify before relying. A summary and analysis as of its publication date — not legal advice, and not a representation that the decision remains good […]

Naranjo v. Spectrum Security Services, Inc. (Naranjo I) Premium pay owed for missed meal and rest breaks under Labor Code section 226.7 constitutes “wages,” so it must be reported on wage statements under section 226 and is subject to waiting-time penalties under section 203 when not timely paid at separation. Naranjo v. Spectrum Security Services, […]

Ferra v. Loews Hollywood Hotel, LLC (2021) 11 Cal.5th 858 holds that the meal/rest premium under Labor Code § 226.7(c) must be paid at the “regular rate of compensation,” which is synonymous with the overtime “regular rate of pay” and includes all nondiscretionary payments — not just base hourly wages. The holding is retroactive.

Donohue v. AMN Services, LLC (2021) 11 Cal.5th 58 holds that employers may not round meal-period time punches, and that time records showing short, late, or missed meal periods raise a rebuttable presumption of a violation — usable even at summary judgment.

Augustus v. ABM Security Services, Inc. (2016) 2 Cal.5th 257 holds that a compliant rest period must be free of both duties and employer control: an employer may not require employees to remain “on call” during a rest break, even if interruptions rarely occur.

A Recology supervisor who reported CRV weight-tag fraud to police and the company's board survived summary judgment: the Court of Appeal held Labor Code section 1102.5 protects reports of illegal conduct by fellow employees and third parties — not just the employer's own violations — and revived his False Claims Act and Tameny claims.

Neither Labor Code section 1194 nor section 218.5 authorizes an award of attorney fees to a party that prevails on a section 226.7 claim; such claims are not actions for the nonpayment of minimum wages or overtime (§1194) and are not the kind of nonpayment-of-wages action that triggers §218.5 fee-shifting, so each…

Brinker Restaurant Corp. v. Superior Court (2012) 53 Cal.4th 1004 is California’s foundational meal-and-rest decision: an employer must provide a duty-free meal period but need not ensure no work is done; it sets the meal-timing and rest-period rules and confirms that courts may resolve merits questions enmeshed with class certification.

The section 226.7 meal/rest payment is a wage (premium pay), not a penalty, and is therefore governed by the three-year statute of limitations applicable to wage claims rather than the one-year period for penalties.