Justia Transportation Law Opinion Summaries

Three California-based truck drivers who worked for a national transportation company challenged the legality of their employer’s compensation system. The drivers alleged that the company’s pay plan, which combined hourly wages with a bonus based on certain activities, violated California’s Labor Code by failing to properly compensate for nonproductive time and by not reimbursing necessary business expenses, such as personal cell phone use. They also claimed the company failed to provide accurate wage statements and sought penalties under the Private Attorneys General Act (PAGA) and California’s Unfair Competition Law.After the case was removed from state court, the United States District Court for the Central District of California denied class certification and granted summary judgment to the employer on most claims. The court found that the pay plan qualified for a statutory “safe harbor” because it paid at least minimum wage for all hours worked, with additional bonuses for certain activities, and thus did not require separate compensation for nonproductive time. The court also found no evidence that the employer knew or should have known about any off-the-clock work. The only claims that proceeded to trial were for failure to reimburse business expenses. At trial, the jury found in favor of the employer, and the court entered judgment accordingly, also awarding costs to the employer.The United States Court of Appeals for the Ninth Circuit affirmed the district court’s judgment. The Ninth Circuit held that the employer’s pay plan met the requirements of California Labor Code § 226.2(a)(7)’s safe harbor, as it paid at least minimum wage for all hours worked and provided additional bonuses. The court also found no genuine dispute of material fact regarding off-the-clock work or wage statement violations, and it upheld the district court’s evidentiary rulings, jury instructions, and award of costs. View "WILLIAMS V. J.B. HUNT TRANSPORT, INC." on Justia Law

Oregon Coast is a non-profit corporation that operates tourist trains on a portion of track in Oregon that is owned by the Port of Tillamook Bay, a federally regulated railroad authorized by the Board. In 2014, the State sent Oregon Coast a cease and desist order, alleging that Oregon Coast’s repair work was violating a state “removal-fill law,” which, among other things, requires a state permit for the removal of any amount of material from waters designated as Essential Salmonid Habitat. Oregon Coast filed suit seeking declaratory and injunctive relief, arguing that the removal-fill law is preempted by the Interstate Commerce Commission Termination Act (ICCTA), 49 U.S.C. 10101 et seq., which governs federal regulation of railroads. The court concluded that the repair work done by Oregon Coast under its agreement with the Port falls under the Board’s jurisdiction because the work is done under the auspices of a federally regulated rail carrier and is sufficiently related to the provision of transportation over the interstate rail network. The State’s removal-fill law is preempted as applied to this work, and the district court erred in concluding otherwise. The court reversed and remanded for further proceedings because the district court’s rulings on the preliminary injunction, permanent injunction, and declaratory relief were all premised on this incorrect legal determination. View "Oregon Coast Scenic Railroad, LLC v. State of Oregon Department of State Lands" on Justia Law

After BNSF suspended an employee, BMWED filed a complaint against BNSF alleging that BNSF's disciplinary actions interfered with and subverted the Railway Labor Act's (RLA), 45 U.S.C. 151-188, grievance and arbitration processes, and sought a declaration that BNSF’s actions violated the RLA. BNSF subsequently filed a motion for a temporary restraining order and preliminary injunction to enjoin BMWED from proceeding with a threatened strike. The district court ruled in favor of BNSF, concluding that the dispute was minor and subject to mandatory arbitration, and enjoining the threatened strike. BMWED filed an interlocutory appeal of the preliminary injunction. The court concluded that the subsequent entry of the final judgment in the case mooted the question of the procedural propriety of the preliminary injunction. The court concluded that the district court properly applied the ConRail test (Consolidated Rail Corp. v. Railway Labor Executives. Ass’n ) and properly concluded that the parties' dispute is a minor one. The court rejected BMWED's attempts to sidestep the ConRail framework by claiming that the distinction between minor and major disputes does not apply to the case. Rather, the court concluded that this is a dispute that fits squarely within the major/minor framework from the RLA and ConRail. Accordingly, the court affirmed the judgment. View "Bhd. of Maint. of Way v. BNSF" on Justia Law