federal complaint against baristas coffee company

8/4/2019 Federal Complaint Against Baristas Coffee Company

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Case 2:11,' 1462 Document 1 Filed 09/02(1 Page 1 of 6

UNlTED STATES DISTRICT COURTWESTERN DISTRICT OF WASHINGTON10 HILDA L. SOLIS, Secretary of Labor,11 ' United States Department of Labor,

Plaintiff,213 v .14 ' BARlSTAS COFFEE COMPANY, Inc.; acorporation; PANGEA NETWORKS, Inc., acorporation; BARRY HENTHORN,16 individually; and T. SCOTT STECIW,

individually,

15

17181920

Defendants.PlaintiffHi1da L . Solis, Secretary of Labor, United States Department of Labor,

No. 2:ll-cv-1462COMPLAINT - Labor

21 [brings this action pursuant to Section 17of the Fair Labor Standards Act of 1938. as22 amended (29 U.S.C. 201 e t seq .) (the "Act") to enjoin Defendants from violating the2 3 provisions of Section 15(a)(2) and 15(a)(5) of the Act. Plaintiff also and separately brings2425 this action: (I) pursuant to Section 16(c)of the Act, for the recovery ofa Judgment against26 Defendants for unpaid minimum wage and overtime compensation due Defendants'27 employees and liquidated damages in an amount equal thereto, or in the event liquidated28 damages are not awarded. pre-judgment interest computed on the unpaid wages due; and (2)

C OM PLA IN T - P age .~of6 Office of th e SolicitorCase No. 2:1 l-cv-1462 U.S. Department of LaborI] 11Third Avenue, Suite 945S ea ttle , W a sh in gto n 9 81 01(206) 553-0940


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Case2:11 '1462 Document1 Filed09/02/1 Page 2 of 6

p ursu an t to S ec tio n 1 7 o f th e A ct, fo r th e rec ov ery o fa Ju dgm en t re stra in in g D efe nd an t fromw ith ho ld in g p aymen t o f u np aid ove rtim e c ompen sa tio n d ue De fe nd an ts ' emplo ye es .

I

S ections I6(c) and 1 7 o f the A ct, an d 28 U .S .C . 1331 a nd 1345 c on fe r ju ris dic tio n o f6 I th is a ctio n u po n th e C o urt.789

10II121314IS16

II

A. Defe nd an t BAR IST AS COFFEE COMPANY . In c. ~ sa N ev ad a c orp oratio n[Iicensed to d o b us in ess in Wa sh in gto n w ith th eir p rin cip al p lac e o f b us in ess lo ca te d a t 4 11Wa sh in g to n Av e. N., Ken t, WA , w ith in th e ju risd ic tio n o f th is c ou rt, w he re th ey a re e ng ag ed int he bu sin e ss o f oper atin g "costume-themed" cof fee s tands.

B. Defendant PANGEA NETWORKS,In c. is a evada corporat ion former lylic en se d to d o bus in es s in Wa sh in g to n a nd .d ba Bar is ta s Co ffe e Company w ith th eir p rin cip alp la ce o f b us in es s formerly lo ca te d at 1 92 07 D es Mo in es Memoria l D riv e, S eatac , WA w ith in th e

1 7 jurisd ic tio n o f th is co urt, w here th ey w ere en gag ed in th e b usin ess o f o peratin g "c ostum e-18 themed" cof fee s tands.192021

C . D efen dan t BARRY HENTHORN w as, at all relevan t tim es, th e CEO an dCh airm an o f th e B oa rd o f D efe nd an t B aristas C offee C omp an y, th e C h airm an o f D efen dan tP an ge a N etw ork s, a nd w as at a ll tim es re le van t to th is C omp la in t an emp lo ye r w ith in th e22 '

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m ean in g o f th e Fair L ab or S tan dards A ct as set fo rth at 29 V.S.c. 20 3(d ). in th at h e is a persona ctin g d ir ec tly o r in dir ec tly in th e in te re st o f De fe nd an ts (emplo ye rs ) in r ela tio n to th eiremp lo ye es liste d o n E xh ib it A .

26 D . Defe nd an t T . SCOTT STECJW was, at a ll re le va nt tim e s, th e P res id en t o f27 De fe ndan t Ba ris ta s Co ff ee Company , th e P re sid en t o f D efe nd an t P an ge a N etw ork s, a nd w as a t28 C OM PL AIN T - Page 20(6C a se No .2 : I ' l- cv -1462 Office of th e SolicitorU.S . Depa rtment of LaborIII1 T hird A ve nue , S uite 9 45S ea ttl e. W a sh in gto n 9 81 01(206 ) 553 -0940


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Case 2:11 ,01462 Document 1 Filed 09/021 Page 3 of6

all tim es relevant to this C om plain t an em ployer w ithin the m eaning of the Fair L abor StandardsAct as set forth at 29 U .S.C . 203(d), in that he is a person acting directly or indirectly in theinterest of D efendants (em ployers) in relation to their em ployees listed on Exhibit A .

II IA t all tim es relevant to this Com plaint, D efendants em ployed em ployees in and about

their place of business in ordering, receiving, preparing, storing, handling. and/or selling goodsand m aterials w hich have been transported. shipped, or delivered from points outside the State ofW ashin gto n; in p rep arin g, tran sm ittin g, m ailin g, o r receivin g tran sm issio ns, rep orts, letters,correspondence. billings. or rem ittances to and from points outside the State of W ashington; andin using the facilities of com merce. Said em ployees, by reason of the above activities: w ereengaged in comm erce within the meaning of the Act.

I V

A t all tim es relevant to this Com plaint, the activities of D efendants referred to abovewere and are related and performed through unified operation or com mon control for a com monbusiness purpose, and constitute an enterprise w ithin the m eaning of Section 3(r)( I) ofthe A ct.

vA t all tim es relevant to this Com plaint" said enterprise had em ployees engaged in

com merce or in the production of goods for com merce, including em ployees handling. selling,building or otherwise working on goods or materials that have been moved in or produced forcom merce, as aforesaid. Said enterprise at all tim es relevant to this Com plaint has had an annual

26 ... gross volum e of sales made or business done of not less than $500,000 (exclusive of excise taxes27 ta t the retail level stated separately). B y reason thereof, said enterprise at all tim es releyant to this28 . COMPLAINT - Page 3 of 6Case No . 2 :I I- cv- l462 O f fi ce o f t he So li ci to rU.S. Depa rtme nt o f L ab or1 11 ] T hir d A v en ue . S uite 9 45S ea ttle . W a sh in gto n 9 81 0]( 206 ) 553 -0940


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an enterprise engaged in com merce or in the production of goods for com merce, for workweeks8.

Case 2:11 1462 Document 1 Filed 09/021 Page 4 of6

Com plain t was an enterprise engaged in com merce or in the production of goods for com merce234567

w ithin the m eaning of S ection 3(5)( I )(a) of the A ct.

V ID efendants w illfully violated the provisions of Sections 7 and 15(a)(2) of the A ct by

em plo yin g em plo yees en gag ed in commerce or in the production of goods for commerce, or in

9 lo ng er th an fo rty (40) hours since A ugust 5 , 2009 w ithout com pensating said em ployees for their10 : employment in excess of 40 hours in such work weeks at rates not less than one and one-half the11121314

regular rates at w hich they w ere em ployed.V II

D efen dan ts w illfully vio lated th e p ro visio ns o f S ec tio ns 6 and 15(a)(2) of the Act by15 : employing employees engaged in commerce or in the production of goods for commerce. or in16 a n en te rp ri se -engaged in commerce or in the production of goods for commerce, since August 5 ,17181920212 2232425

2009 at an hourly rate less than the federal m inim um wage.VIU

D efendants w illfully violated the provisions of sections II and 15(a)(5) ofthe A ct (29U.S.C. 211 and 215(a)(5 by failing to m ake, keep, and preserve records ofthe personsem ployed by D efendants, and of the wages, hours, and other conditions and practices ofem ploym ent m aintained by D efendants, as required by the A ct.

IX26 D efendants w illfully violated the m onetary provisions of the A ct as alleged in paragraphs27 V I and V II above. and, as a result, D efendants are fiable for unpaid m inim um wage and overtim e28 COM PLAINT - Page 4 of 6. C as e N o. 2 :1 1- cv -1 46 2 O f fi ce o f t he So li ci to rU .S . D ep an rn en t o f L ab orII1 1 T hird A ve nu e, S uite 9 45S ea tt le . W a sh in gt on 9 81 01(206 ) 553 -0940


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Case 2:11 1462 Document 1 Filed 09102/1 Page 5 of 6

c omp en sa tio n, lo st w ag es, a nd a n e qua l amo un t in liq uida te d dama ge s un de r S ec tio n 1 6(c) o f th eAct.

WHEREFORE, c au se h avin g b ee n sh ow n, P la in tiff p ra ys 'fo r a Judgmen t aga in stD e fe nd an ts a s foH aw s:

(l) F or a n O rde r p ursua nt to S ec tio n 1 7 o f th e A ct p erm an en tly e njo in in g a nd re stra in in gD e fe nd an ts, th eir o ffic ers, a ge nts, s erv an ts, emplo ye es . a nd a ll p er so ns a ctin g in th eir b eh alf a ndin te re st from p ro sp ective ly v io la tin g th e p ro visio ns o f S ec tio n 1 5(a)(2) a nd I 5 (a)(5 ) o f th e A ct;and

(2) Fo r an O rder:(a) p ursua nt to S ec tio n 1 6(c ) o f th e A ct fin din g D efe nda nts jo in tly a nd se ve ra lly

liab le for unpaid m inim um w age and overtim e com pensation found b y the C ourt to b e dueD e fe nd an ts' emplo ye es , a nd liq uid ate d d amage s e qu al in amou nt to th e u np aid c omp en sa tio nfo un d du e D efe nda nts' emp lo ye es (b oth th ose n am ed in th e a tta ch ed E xh ib it "A " a nd a dditio na l

17 .em ployees w hose nam es are curren tly unknow n to P laintiff but kno wn to D efendants) or, in thee ve nt liq uida te d d am ag es a re n ot award ed, p re ..udgm en t in te re st c omp uted o n th e un pa id w ag es8

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due;(b ) p ursu an t to S ec tio n 1 7 o f th e A ct e njo in in g a nd re stra in in g D efe nda nts, th eir

o ffic ers, a ge nts, se rv an ts , emplo ye es, a nd a ll p erso ns a ctin g in th eir b eh alf a nd in te re st f romw ith ho ldin g p aym en t o f u np aid m in im um w ag e a nd o ve rtim e c ompe nsatio n fo un d d ueD e fe nd an ts' emplo ye es a nd p re -ju dgmen t in te re st c ompute d a t th e underpaymen t r ate estab li shed

25 . by the Secretary of T reasury pursuant to 26 U .S.C . 6621; and26 (3) F or an O rder g ran tin g such o th er an d further reliefas m ay be n ecessary an d27 appropriate.28 COM PLAINT - Page 5 0{6Case No.2: II-cv-1462 Of fi ce o f t he So li ci to rU.S. Depa rtm en t o f Labor

1 I 1 1 T hir d A ve nu e, S uite 9 45S ea tt le , W a sh in gto n 9 81 01(206 ) 553 -0940


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Case 2:11- 1462 Document 1-2 Page 1 of2

Exhibit ALast Name First NameAmison KaylynAnderson TaralynAnderson-C lements TaylorBennett CorryneBrown JenifferBrown RachaelCampbell CourtneyClark CheyanneClevland JennifaeColwell MelissaCrabtree TaylorC ramm BrittanyCzapiewski ArielFeddock JamaeFeddock ShariaFliger LaurelFowlkes AshleyFuller JammeGano JardinGeraldi MeganG rosso AshleyHartman 'TiffanyHench AshleyHughley KristinJones NicoletteKlikas VanessaLarson HeatherLorbiecki KristaLowman ChristinaMcguire ChristianM ills ElizabethNicholas Brittney

Exhibit "A iii to C om plaint - 1 .


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Last NamePerezPollenPorterRobertsonRogersRosmanRossShephardShephardTesFayeToyeTreacyWalker

Case 2:11-c. .462 Document 1-2 Filed 09/021

Exhibit 11A " to C om plaint - 2

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FintNameGabrielleKac ie Pau li enKathrynAlainaKrystalJenniferKileyLarryLindaSamanthaBonnieAmberSamantha

federal complaint against baristas coffee company

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