Calif. Wage Class Action Belongs In State Court, 9th Circ. Says

Law360 (November 16, 2020, 8:45 PM EST) -- A proposed class action alleging a contractor violated California law by denying workers overtime pay and breaks must return to state court, a Ninth Circuit panel ruled, saying the company used "unsupported" assumptions that inflated the suit's price tag to send it to federal court.

The 2-1 Ninth Circuit panel decision issued Friday upheld a California federal judge's ruling sending the suit back to state court because KM Industrial Inc. did not support its estimate of how much the class stood to recover. The panel majority agreed that KM Industrial could not invoke a federal law that allows defendants to remove...

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