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Cook v. Patient Edu, LLC
465 Mass. 548
| Mass. | 2013
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Background

  • Cook sued Patient Edu, LLC and two managers for unpaid wages under the Wage Act.
  • The trial judge dismissed count one against Graziano and Schulman under Rule 12(b)(6).
  • Cook’s employment contract alleged base salary and expenses; payments were sporadic and incomplete.
  • The issue is whether LLC managers can be personally liable under G. L. c. 149, § 148.
  • Court reviews de novo the grant of a motion to dismiss, considering attached materials.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether LLC managers can be personally liable under the Wage Act Cook argues managers are liable as those who have employees in service. Defendants contend only specified entities/roles are liable under statute. Yes; managers may be liable if they control policy and wage decisions.
Interpretation of 'person having employees in his service' in § 148 Legislature intended broad liability to include managers with control. Liability should be limited to explicit corporate/officer provisions. The phrase extends to LLC managers who control policy and payroll.
Impact of statutory amendments and legislative history on scope Amendments show broader intent to include managers of entities beyond corporations. Amendments do not definitively change scope; shall not infer broader intent. Legislative intent supports broad liability for managers; no exclusion for LLCs.

Key Cases Cited

  • Wiedmann v. The Bradford Group, Inc., 444 Mass. 698 (Mass. 2005) (corporate officers liable when they control policy)
  • Commonwealth v. Cintolo, 415 Mass. 358 (Mass. 1993) (criminal liability for wage-related statute example)
  • Massachusetts Bay Transp. Auth. v. Massachusetts Comm’n Against Discrimination, 450 Mass. 327 (Mass. 2008) (illustrates non-exhaustive list interpretation of statute)
  • Boston Police Patrolmen’s Ass’n, Inc. v. Boston, 435 Mass. 718 (Mass. 2002) (statutory interpretation guiding liberal construction)
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Case Details

Case Name: Cook v. Patient Edu, LLC
Court Name: Massachusetts Supreme Judicial Court
Date Published: Jun 13, 2013
Citation: 465 Mass. 548
Court Abbreviation: Mass.