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Court Delivers Knock Out Punch in Wage Hour Class Action

In a putative wage and hour class action against one of the firm’s well-known hotel clients, Richard Rosenberg and David Fishman obtained summary adjudication on Plaintiff’s meal / rest period penalty rate claim. Plaintiff alleged that our client was required to pay meal / rest period penalties at the “regular rate of pay” (i.e., the formula used to calculate overtime pay – all remuneration paid to an employee, including service charges, non-discretionary bonuses, etc.), rather than the base hourly rate. A Los Angeles County Superior Court Judge in the Complex Division dismissed Plaintiff’s claim, finding that the statutory language, legislative history, and published authority from the federal courts supported the conclusion that the penalty should be paid at the base hourly rate.