Stevens v. HMSHost Corporation
1:10-cv-03571
E.D.N.YMar 4, 2015Background
- Plaintiff Easton Stevens, an assistant manager, sued HMSHost and related entities under the FLSA alleging misclassification as exempt and sought collective treatment under 29 U.S.C. § 216(b).
- The district court granted conditional collective certification in 2012 but later decertified the collective after discovery (Decertification Order, Aug. 27, 2014), concluding opt-in plaintiffs were not sufficiently similarly situated.
- Stevens moved to certify the Decertification Order for interlocutory appeal under 28 U.S.C. § 1292(b); defendants opposed as untimely and meritless.
- The court considered (1) timeliness of a § 1292(b) request, (2) whether the Decertification Order raised a controlling question of law with substantial ground for difference of opinion, and (3) whether an appeal would materially advance termination of the litigation.
- The court rejected defendants’ timeliness argument (no 10‑day limit to seek § 1292(b) certification) but denied certification on the merits, finding no substantial ground for difference of opinion about the standard applied and that factual findings supported decertification.
- The court also denied as moot a separate stay motion tied to a dismissed interlocutory appeal.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Timeliness of § 1292(b) application | The motion was timely; no statutory time limit to seek district-court permission for § 1292(b) appeal | The motion was untimely because it was not filed within 10 days of the Decertification Order | Court held no statutory 10-day limit; timeliness objection rejected |
| Controlling question of law / substantial ground for difference of opinion | Decertification involves unsettled law about the proper standard for final FLSA collective certification (e.g., whether a ‘single decision, policy, or plan’ test controls) | Decertification applied the ad hoc, case-by-case standard consistent with Second Circuit practice; no controlling legal disagreement exists | Court held no substantial ground for difference of opinion; denied § 1292(b) certification |
| Applicability of other circuits’ standards (Third, Eleventh) | Other circuits’ formulations (Zavela, Morgan) create split warranting interlocutory review | Those cases employ ad hoc multi-factor analyses substantially similar to the court’s approach; no meaningful conflict | Court found substantial agreement across circuits; no basis for interlocutory appeal |
| Stay pending appeal / collateral-order appeal | Requested stay pending Second Circuit resolution of collateral-order appeal | Defendants opposed; circuit dismissed that appeal earlier | Stay denied as moot because the collateral-order appeal was dismissed |
Key Cases Cited
- Flor v. BOT Fin. Corp., 79 F.3d 281 (2d Cir. 1996) (interlocutory appeal certification is an exception and should be sparingly used)
- Richardson Elecs., Ltd. v. Panache Broad. of Pa., Inc., 202 F.3d 957 (7th Cir.) (no statutory time limit for seeking district-court permission under § 1292(b))
- Marisol A. ex rel. Forbes v. Giuliani, 104 F.3d 524 (2d Cir. 1996) (discussing interlocutory appeal standards)
- Thiessen v. Gen. Elec. Capital Corp., 267 F.3d 1095 (10th Cir. 2001) (endorsing ad hoc, case-by-case approach for collective actions)
- Morgan v. Family Dollar Stores, Inc., 551 F.3d 1233 (11th Cir. 2008) (affirming a fact-driven, multi-factor inquiry for collective certification)
- Zavella v. Wal-Mart Stores, Inc., 691 F.3d 527 (3d Cir. 2012) (ad hoc multi-factor test for final certification of collective actions)
