Thompson v. Linda and A., Inc.
2011 U.S. Dist. LEXIS 46078
D.D.C.2011Background
- Five exotic dancers sued The House, a D.C. nightclub, alleging FLSA, DC wage law, and quantum meruit violations due to misclassification as independent contractors.
- Defendants paid dancers $30–$50 per shift for roughly 10–11 hour shifts and imposed various deductions/fines from wages.
- Court previously approved opt-in notices; three late consents joined after a court-ordered deadline, raising timeliness and class issues.
- Discovery closed; plaintiffs sought partial summary judgment on liability, while defendants moved to dismiss late-joining plaintiffs.
- Court applied the economic reality test to determine employee vs. independent contractor status and whether Allen was a joint employer.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Are dancers employees or independent contractors under FLSA/DC wage laws? | Dancers are employees given control and integral nature of work. | Dancers are independent contractors due to gig-like, non-exclusive work. | Dancers are employees under the FLSA and DC wage laws. |
| Is Allen a joint employer with The House under the FLSA/DC wage laws? | Allen controlled hiring, supervision, and rules; thus jointly liable. | Allen is not a formal owner; cannot be liable. | Allen is a joint employer; both Allen and The House liable. |
| Are plaintiffs entitled to liquidated damages under the FLSA? | Minimum wage violations trigger automatic liquidated damages absent good faith defense. | Potential good faith defense may preclude liquidated damages if reasonable grounds existed. | Liquidated damages awarded; no good faith defense shown. |
| Should late opt-in plaintiffs Lane, Morales, and McKay be dismissed for untimely joins? | Late consents should be allowed to join; discovery already occurred with their participation. | Late join prejudices defendants and tolling issues apply. | Untimely opt-ins allowed to remain; dismissal denied. |
Key Cases Cited
- Reich v. Circle C. Investments, Inc., 998 F.2d 324 (5th Cir. 1993) (economic reality test; dancers treated as employees)
- Morrison v. International Programs Consortium, Inc., 253 F.3d 5 (D.C. Cir. 2001) (totality of circumstances; employee status under FLSA)
- Crown, Cork & Seal Co., Inc. v. Parker, 462 U.S. 345 (U.S. 1983) (Rule 23 tolling does not apply to FLSA collective actions)