Domino's Franchisee Underpaid Drivers, FLSA Suit Says

Law360, New York (March 24, 2015, 2:14 PM EDT) -- One of Domino's largest franchisees was hit with a collective action in Georgia federal court Monday alleging it paid pizza delivery drivers less than minimum wage and failed to properly reimburse them for incurred expenses, in violation of the Fair Labor Standards Act.

Plaintiff Chadwick Hines lobbed the suit alleging Cowabunga Inc., Cowabunga Three Inc. and Cowabunga Four LLC, which operate approximately 100 Domino's franchise stores in Georgia, Alabama and South Carolina, used a flawed method for calculating how much to reimburse delivery drivers, who used their own cars to deliver pizza.

That flawed reimbursement rate didn't reasonably reimburse drivers for...

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