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