Barajas v. Acosta
4:11-cv-03862
S.D. Tex.Dec 10, 2012Background
- Defendants Lorena Acosta and Claudia Acosta are on the board of TaconMadre Taquerias, Inc. and are alleged to control the TaconMadre restaurants’ operations and payroll decisions.
- Plaintiffs are former cooks and servers who allege FLSA violations, including unpaid minimum wages and overtime.
- Defendants deny that the Acostas had hiring, firing, pay, or scheduling authority.
- Plaintiffs support their claims with declarations describing wage control, scheduling, discipline, and deductions by the Acostas.
- The court denied both sides’ partial summary-judgment motions and proceeded to evaluate the FLSA employer issue and wage calculations, noting disputes over payroll records and limitations period.
- The court ultimately denied Plaintiffs’ motion for partial summary judgment and denied Defendants’ motion for partial summary judgment.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Are Lorena and Claudia Acosta employers under the FLSA? | Plaintiffs allege Acostas exercised control over wages, hours, discipline, and employment records. | Acostas contend they lacked authority to hire/fire, set pay, or control schedules. | Yes; triable issues exist; denial of both motions. |
| Are Plaintiffs entitled to unpaid minimum wages and overtime? | Plaintiffs' declarations show hours and wages owed, seeking total $351,407.88. | Disputes over weekly salaries, hours, and willfulness; statute of limitations applies. | Not entitled to summary judgment; factual disputes remain and limitations issues exist. |
Key Cases Cited
- Gray v. Powers, 673 F.3d 352 (5th Cir. 2012) (economic reality test for FLSA employer status)
- Williams v. Henegan, 595 F.3d 610 (5th Cir. 2010) (factors to determine employer status under FLSA)
- Martin v. Spring Break ’83 Prods., L.L.C., 688 F.3d 247 (5th Cir. 2012) (operating control may render individuals liable as employers)
- Reich v. Circle C. Invs., Inc., 998 F.2d 324 (5th Cir. 1993) (employer liability for FLSA violations under control theory)
- Singer v. City of Waco, Tex., 324 F.3d 813 (5th Cir. 2003) (willfulness standard for FLSA violations)