Vallone v. CJS Solutions Group, LLC, The, 437 F.Supp.3d 687

Background

Plaintiffs Joyce Vallone and Erasmus Ikogor are hourly, non-exempt HCI employees who worked on a Mayo Clinic project in Rochester in April–May 2018; Ikogor also worked at other HCI sites.
Plaintiffs allege HCI failed to pay travel time from remote locations (typically home) to worksites and back, and failed to pay for April 30, 2018 after a training scheduled that day was canceled while they were in Rochester.
Plaintiffs moved for conditional certification of an FLSA collective covering non-exempt hourly W‑2 HCI employees for (1) out-of-town travel during normal working hours with overnight stays and (2) the April 30, 2018 Mayo Clinic claim; class period from June 10, 2016 to date of any certification order.
HCI asserted lack of personal jurisdiction over non‑Minnesota claims (invoking Bristol‑Myers Squibb) and urged denial due to arbitration agreements signed by some putative members; HCI also raised individualized issues (e.g., whether travel was during "normal working hours").
The court found the plaintiffs met the low, "colorable" standard for conditional certification but limited the collective to Mayo Clinic workers and Minnesota residents (BMS-related jurisdictional limit), denied broad production of sensitive data, and denied other relief (e.g., appointment of collective reps and tolling) without prejudice.

Issues

Issue	Plaintiff's Argument	Defendant's Argument	Held
Personal jurisdiction over out-of-state putative plaintiffs	HCI waived jurisdiction defense by pleading inartfully; plaintiffs seek nationwide collective	HCI lacks specific jurisdiction over claims not tied to Minnesota per Bristol‑Myers	BMS applies in FLSA context; court limited collective to Mayo Clinic workers and Minnesota residents; HCI did not waive defense
Effect of arbitration agreements	Arbitration clauses largely inapplicable: many agreements signed after Mayo project and less than half signed them	Many putative members signed arbitration agreements that should compel arbitration and preclude inclusion	Court declined to deny conditional certification on arbitration ground; parties may raise arbitrability for specific members in arbitration motion briefing
Conditional certification / "similarly situated" standard	Plaintiffs: common policy/practice (not paying travel time; canceled training) makes them similarly situated	HCI: individualized inquiries (transport modes, whether travel fell in normal work hours) defeat collective treatment	Plaintiffs satisfied the low "colorable" showing for conditional certification as to Mayo Clinic workers and Minnesota residents; certification granted in part
Notice, discovery, representatives, tolling	Plaintiffs sought full contact data (including SSNs), broad notice methods (mail, email, paychecks), appointment of reps, and tolling from motion date	HCI opposed production of sensitive info, rejected paycheck notice and broad programs, and opposed tolling	Court ordered production limited to names, mailing addresses, last known emails; authorized 60‑day mail/email notice (no paycheck notice); denied appointment of reps and tolling without prejudice

Key Cases Cited

Bristol‑Myers Squibb Co. v. Superior Court of Cal., 137 S. Ct. 1773 (2017) (specific jurisdiction requires the suit to arise out of or relate to the defendant’s forum contacts)
Goodyear Dunlop Tires Operations, S.A. v. Brown, 564 U.S. 915 (2011) (forum affiliation principle governs specific jurisdiction analysis)
Roy v. FedEx Ground Package Sys., Inc., 353 F. Supp. 3d 43 (D. Mass. 2018) (applied Bristol‑Myers to limits on FLSA collective jurisdiction)
Maclin v. Reliable Reports of Tex., Inc., 314 F. Supp. 3d 845 (N.D. Ohio 2018) (applied Bristol‑Myers in FLSA collective context)
Knotts v. Nissan N. Am., Inc., 346 F. Supp. 3d 1310 (D. Minn. 2018) (district court discussion of BMS implications for class/collective actions)
Parker v. Rowland Express, Inc., 492 F. Supp. 2d 1159 (D. Minn. 2007) (explaining FLSA opt‑in collective notice framework)
Smith v. Heartland Auto. Servs., Inc., 404 F. Supp. 2d 1144 (D. Minn. 2005) (describing the low burden for conditional certification)