Conrad v. Waffle House, Inc.
2011 Mo. App. LEXIS 1283
Mo. Ct. App.2011Background
- Conrad filed a class action alleging SEI, Shirley, and Waffle House violated Missouri Minimum Wage Law by underpaying tipped employees.
- SEI had a franchise with Waffle House; SEI owned the restaurant and paid for equipment, with SEI retaining most employment records.
- Waffle House acted as SEI's payroll administrator and provided limited payroll-related services, not hiring or supervising SEI employees.
- Missouri amended the MMWL in 2006, causing confusion about tipped minimum wages; state officials changed the interpretation in 2007.
- Conrad received $2.13 per hour initially; after MOOL changed its stance, SEI paid $3.25 per hour and issued back wages for January–March 2007.
- The trial court granted summary judgment in favor of Waffle House; Conrad appealed.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Waffle House was Conrad's employer under the MMWL economic realities test | Conrad: WH controlled employment, making WH her employer. | Waffle House did not control hiring, scheduling, pay, or records; SEI remained the employer. | No genuine dispute; WH was not Conrad's employer; summary judgment affirmed. |
Key Cases Cited
- Fields v. Advanced Health Care Mgmt. Services, LLC, 340 S.W.3d 648 (Mo. App. S.D. 2011) (adopts economic realities test for employment under MMWL and five-factor framework)
- Baker v. Stone County, Missouri, 41 F. Supp. 2d 965 (W.D. Mo. 1999) (economic reality factors guiding employee status)
- L.A.C ex rel. D.C. v. Ward Parkway Shopping Center Co., L.P., 75 S.W.3d 247 (Mo. banc 2002) (summary judgment standards and evidentiary bar for trial materials)
- ITT Commercial Finance Corp. v. Mid-America Marine Supply Corp., 854 S.W.2d 371 (Mo. banc 1993) (summary judgment standard and evidentiary burden)
- Kinnaman-Carson v. Westport Ins. Corp., 283 S.W.3d 761 (Mo. banc 2009) (de novo review standard for summary judgment on appeal)