Our Firm’s Results
The attorneys at Duggan McHugh have achieved positive and substantial results for our business clients in a wide range of employment law matters. Some examples of our results-driven advocacy include:
Class Action, Wage & Hour, & PAGA Defense
Class Action & PAGA. Duggan McHugh represented a national IT consulting services company in a multi-defendant wage and hour class action and Private Attorney General Act (PAGA) case brought by a former night-shift IT consultant employee who had been assigned to work on a project for the State of California. The employee claimed he was not paid overtime and did not receive his meal periods or rest breaks, among other alleged wage and hour violations. In deposition, we elicited numerous detrimental admissions from the employee and demonstrated that he was not a reliable witness, had a criminal record, and sued a former employer. We also produced evidence establishing that other employees were properly paid and did not want to be part of the class action. Consequently, the employee dismissed his class allegations and PAGA allegations. We then negotiated a favorable, nuisance value settlement.
Class Action & PAGA. The firm defended a parcel service franchisee with numerous locations in the Sacramento area in a wage and hour class action and PAGA case brought by a former employee who claimed she and other workers were not paid overtime, did not receive meal periods and rest breaks, and other Labor Code violations. The employee demanded over seven figures in mediation, but the case settled for a fraction of that after our firm successfully guided the employer through a “Pick-Up Stix” settlement process which separately settled the class claims with several potential class member employees. Our firm also demonstrated that the employee was not credible and spent significant time on the clock engaging in personal activities.
PAGA & FCRA Class Action. Duggan McHugh represented a national property management company in an action brought by a former maintenance worker on behalf of himself and employees in several states, alleging: 1) a nationwide claim that background check disclosures provided to applicants and employees upon hire were non-compliant and violated the Fair Credit Reporting Act (FCRA) and related California laws; and 2) wage and hour class and PAGA claims applying to California employees only, alleging missed meal and rest breaks, off-the-clock claims, unpaid overtime, failure to provide accurate wage statements, failure to timely pay all final wages, and unfair competition. Our firm attacked the claims on several fronts to drastically reduce the settlement value and enhance our chances of defeating class certification. We guided the client through a “Pick-Up Stix” settlement process whereby current and former employees accepted nominal sums in exchange for releasing their class claims. At mediation, we provided comprehensive evidence refuting the wage and hour claims. The parties resolved the claims for a combined class of nearly 500 applicants and employees for about approximately 2% of the initial demand, which included astronomical potential PAGA penalties and attorneys’ fees. Our client was able to allocate a large portion of the settlement to the State of California in resolution of the PAGA claims rather than the nominal amounts typically allocated in class action settlements.
Wage & Hour Individual Action. Duggan defended a local business involved in the delivery of wood products from a lawsuit alleging wrongful termination and retaliation for complaining about working conditions, and multiple wage and hour related claims made by a delivery driver who worked for the company for less than six months. Ms. Duggan was able to negotiate a favorable settlement without the need for her client to spend any money on hard court costs and before any discovery was initiated.
Prevailing Wage / Travel Time. Duggan McHugh defended a water pipeline company in an action brought by a former hydro vac operator who claimed he had kept records showing he was not paid the proper prevailing wage rate or travel time on public works projects. He also claimed missed meal periods and rest breaks. The firm negotiated a low value settlement early on in the case, after demonstrating that the operator’s records did not support his claims.
Workplace Harassment & Discrimination
Sexual Harassment. Duggan McHugh successfully defended a local restaurant against same-sex sexual harassment claims by a former employee that resulted in a nuisance value settlement of $1,000. The claimant was impeached numerous times during his deposition, exposing his lack of credibility.
Racial Harassment. The firm represented a local concrete and decking company against claims by a former employee that he was harassed and discriminated against based on his race. We negotiated a favorable settlement, saving the employer expensive prolonged litigation costs.
Gender Discrimination, Sexual Harassment & Wrongful Termination. Duggan McHugh represented a national property management company in an action for gender discrimination, sexual harassment, retaliation, wrongful termination, defamation, and related claims brought by a former employee who worked as an on-site maintenance worker at a mobile home park for a few months. The worker complained to Human Resources about alleged sexual harassment by his female on-site manager. Meanwhile, the manager, unaware of the worker’s complaint, fired him for poor performance, insubordination, and poor attendance. In deposition, we elicited numerous damaging admissions from the worker. Although certain text messages between the worker and his manager showed unprofessional communication on both sides, the worker was unable to credibly articulate unlawful harassment. Consequently, we resolved this case at mediation for a drastically reduced amount pursuant to a confidential settlement agreement.
Sexual Harassment & Retaliation. The firm represented a cannabis company who was sued, along with its owners, for sexual harassment and retaliation for complaining about harassment by two former salespersons. One had engaged in a consensual relationship with her supervisor, but alleged she was forced due to his position of authority over her. Her teammate claimed she was also harassed and retaliated against, although through discovery, we established that her claims lacked merit. The case was successfully resolved in mediation.
Retaliation
Retaliation / Meal & Rest Breaks. Duggan McHugh represented a well-respected endodontist in Sacramento in a lawsuit brought by two former dental assistants who claimed they had been denied meal and rest breaks and terminated in retaliation for complaining. Our investigation confirmed numerous instances of timecard falsification and other dishonest practices exercised by the employees to increase their compensation without the authority of their employer. When confronted with discrepancies in their depositions, neither employee was able to explain why she had submitted numerous handwritten time card entries for days she had not even worked. One employee admitted to unilaterally increasing her own monthly insurance benefit without authorization. The other admitted to seeking and receiving vacation payouts for vacation she had already taken. Based on these extremely damaging admissions, the firm was able to negotiate a confidential nuisance value settlement with each dental assistant which likely covered little more than their attorneys’ fees and costs. Six months earlier, both had rejected much larger statutory offers to compromise.
Disability Accommodation & Discrimination
Failure to Engage in Interactive Process & Provide Reasonable Accommodation. Duggan McHugh represented a periodontal practice in a lawsuit brought by a former hygienist who alleged numerous claims including failure to engage in the interactive process, failure to accommodate her disability, wrongful termination and related claims. Early on, she claimed over six figures to settle her case. After the hygienist made several adverse admissions in her deposition and we threatened to file a motion for summary judgment, the case settled for nuisance value.
Failure to Provide Reasonable Accommodation. The firm represented a large California real estate company in a case brought by a district manager for alleged failure to provide a reasonable accommodation of her disability and wrongful demotion. The firm secured a favorable, low value settlement after it established that the company did provide a reasonable accommodation by allowing the employee close to a year leave of absence and that her job performance did not meet expectations and that the company.
Wrongful Termination / Breach Of Contract
Preliminary Injunction / Employment Agreement. Duggan McHugh successfully defended a medical group against a motion for a preliminary injunction brought by a former business partner and employee who alleged claims for breach of contract, fraud/intentional misrepresentation, and preliminary and permanent injunctions. The former business partner/employee sought to enjoin the medical group from disbursing specific funds allegedly owed him under his employment agreement. The court denied the motion, agreeing with our argument that he failed to show irreparable harm.
U.S. Department Of Labor / CA State Labor Commissioner
Labor Commissioner Hearing. Duggan McHugh successfully represented an employer, a mortuary transportation services company, in a hearing before the Labor Commissioner against a former employee who had claimed $220,000 in unpaid wages and overtime, double time, missed meal periods and rest breaks, liquidated damages, and waiting time penalties.
Labor Commissioner Hearing. The firm prevailed before the Labor Commissioner in a long-term former employee’s claim against a recycling company for alleged unpaid vacation and waiting time penalties. Following a hearing on the merits, the Labor Commissioner ruled in favor of the employer, rejecting the employee’s claim of almost $10,000.
DOL Audit & Litigation. Duggan McHugh successfully represented a popular local restaurant with several locations in a Department of Labor (“DOL”) audit that turned into a full-blown lawsuit. After the DOL would not compromise for a reasonable amount during the audit, it sued the restaurant for alleged failure to pay overtime and off-the-clock work. A year into the litigation, the DOL settled for less than the employer offered during the audit, after the firm provided evidence in discovery, including employee declarations, significantly undermining the DOL’s claims.
Trade Secrets & Unfair Competition
Trade Secret Misappropriation. Duggan defended a small local staffing company through trial in an action brought by a large national competitor. The competitor alleged breach of contract and misappropriation of trade secrets by hiring a former employee and soliciting customers. After succeeding at trial, Ms. Duggan sought fees for her client pursuant to Civil Code section 3426.4. After years of litigation, the Court awarded fees against the competitor for initiating and maintaining an action that was both objectively specious and brought subjectively in bad faith.
Trade Secret Misappropriation. Duggan McHugh represented an information technology company in an action for trade secret and misappropriation violations against a former employee who left after years of employment. The former employee brought cross-claims for wage and hour and other alleged employment law violations. After extensive e-discovery disputes over production of private laptops, phones, computers and external drives, as well as several key depositions, the case resolved based on a cost of defense approach which was far lower than the initial demand.
Unfair Competition / Trade Secret Misappropriation. Duggan obtained a favorable settlement for a California food sales agency who was sued by a competitor for misappropriation of trade secrets, unlawful solicitation, and alleged breach of non-competition agreements. After defeating the competitor’s multiple attempts to seek injunctive relief and after conducting a damaging deposition of the competitor’s president, Ms. Duggan negotiated a nuisance value settlement in exchange for a release and dismissal within months of the competitor initiating the case with a starting demand of more than $1,000,000.
ADA Access Litigation
ADA Access Litigation. Duggan McHugh recently negotiated a favorable settlement for a popular, local, family-owned Mexican restaurant against ADA accessibility claims. The restaurant remediated all compliance issues, and the case was settled mere months after filing.
ADA Access Litigation. The firm successfully resolved claims against a commercial complex involving several different business tenants brought by a patron claiming several ADA access parking lot and path of travel violations. The plaintiff initially claimed over six figures, but the case settled in mediation for dimes on the dollar after the firm brought in an expert to evaluate the property. The plaintiff agreed to drop several claims and the complex agreed, without admitting liability, to make repairs.
ADA Access Litigation. Duggan McHugh negotiated a quick, favorable settlement on behalf of its clients, a retail shop owner and its landlord, to resolve several claims concerning the property’s ADA accessibility. As a result, the client spent minimal amounts on attorney’s fees and avoided protracted litigation.
Appellate
Third District Court of Appeal. After several years of contentious litigation and successfully defending the action at trial, Ms. Duggan obtained an attorneys’ fee award in favor of a small staffing firm. The judge awarded attorneys’ fees finding the filing of the action constituted both objective speciousness and subjective bad faith under FLIR Systems, Inc. v. Parrish(2009) 174 Cal.App.4th 1270. Ms. Duggan then assisted in successfully upholding the underlying trial court ruling on appeal.
Duggan McHugh also has successfully represented individuals in probate litigation.
Disclaimer: Each case is different and prior results are no guarantee of future success.