Raniere v. Citigroup Inc., 827 F. Supp. 2d 294

Background

Plaintiffs Raniere, Bodden, and Vosburgh sue CitiMortgage Inc., Citibank, N.A., and Citigroup Inc. for unpaid overtime under the FLSA and NYLL and seek nationwide FLSA collective and NYLL class actions.
Defendants moved to dismiss, transfer, or stay, and to compel arbitration for Bodden and Raniere; Plaintiffs moved for conditional FLSA certification and court-facilitated notice.
Plaintiffs allege they and similarly situated loan professionals worked 50–70 hours weekly without proper overtime relief and were misclassified as exempt.
Plaintiffs contend Citi maintained overtime-void policies and failed to keep time records prior to Sept. 1, 2010, with overtime paid inconsistently thereafter.
The court denied the first-filed-rule-based dismissal/transfer, denied arbitration against Bodden/Raniere, and granted conditional FLSA certification with notice and disclosure provisions.
The Florida case Corgosinno was not duplicative, so no dismissal on first-filed grounds was warranted; arbitration was not compelled and the collective action would proceed.

Issues

Issue	Plaintiff's Argument	Defendant's Argument	Held
Whether the action should be dismissed or stayed under the first-filed rule.	Plaintiffs argue no true duplication; Florida action is not identical and involves different parties/class.	Corgosinno is a first-filed nationwide action similar in scope and parties; this action should yield.	Denied; not duplicative; no transfer or stay required.
Whether arbitration should be compelled for Raniere and Bodden.	Arbitration waivers of FLSA collective rights are unenforceable; practical vindication would be blocked.	Arbitration policy includes a valid class/collective waiver and consent standards; Raniere bound via receipt/continuing employment.	Denied; arbitration not compelled for Raniere and Bodden; waiver unenforceability severed but class arbitration not ordered.
Whether Plaintiffs' motion for conditional FLSA certification should be granted.	There is a national policy common to Citi’s Home Lending Specialists; plaintiffs are similarly situated.	Duties/exemptions vary; policy defense requires individualized inquiry not appropriate at stage one.	Granted; conditional certification appropriate; notice and opt-in mechanism approved.
Whether the proposed collective definition is appropriate and whether notice should issue.	Definition is broad enough to cover similarly situated employees; jurisdictional scope appropriate.	Definition impermissibly broad; requires individualized exemptions; overbroad.	Approved with a national scope limited to Home Lending Specialists/Loan Consultants and similar roles; notice/expedited disclosure allowed.
Whether Defendants must disclose contact information of potential opt-ins.	Expedited disclosure aids administration of notice; six-year NYLL claims justify broader scope.	Privacy/privilege concerns; burden on defendants.	Ordered disclosure of names, addresses, phone numbers, emails, and employment dates for relevant periods.

Key Cases Cited

American Express Merchants' Litig., In re, 634 F.3d 187 (2d Cir. 2011) (arbitration class waivers unenforceable when they preclude vindication of statutory rights; American Express II)
Ragone v. Atlantic Video at the Manhattan Center, 595 F.3d 115 (2d Cir. 2010) (statutory-rights analysis; costs may preclude vindication in arbitration; emphasis on enforcement of statutory rights)
Mitsubishi Motors Corp. v. Soler Chrysler-Plymouth, Inc., 473 U.S. 614 (1985) (arbitration of statutory rights; enforceability when forum vindicates statutory rights; scope of arbitration)
Gilmer v. Interstate/Johnson Lane Corp., 500 U.S. 20 (1991) (arbitration does not forgo substantive rights; governs arbitration of statutory claims; meeting of minds required for modification)
First City Nat’l Bank & Trust Co. v. Simmons, 878 F.2d 76 (2d Cir. 1989) (first-filed rule and need to balance convenience and duplicative litigation)