Calif. Domino's Franchisee Underpaid Drivers, FLSA Suit Says

Law360, New York (March 25, 2015, 3:24 PM EDT) -- A pizza delivery driver hit the operator of 70 Domino’s franchise stores in California and Arizona with a class action Tuesday, alleging the business doesn’t reasonably reimburse drivers for the costs of using personal vehicles for work, violating the federal Fair Labor Standards Act and state minimum wage laws.

Driver Derek Gibbins claims franchise operator Hishmeh Enterprises Inc. uses a flawed method to determine reimburse rates — typically $1 per trip — that does not accurately reflect costs incurred by drivers. The suit follows a similar complaint filed Monday against a Georgia-based Domino’s franchise operator.

The Gibbins-led complaint alleges Hishmeh’s “systematic...

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