22,000 Dominos Delivery Drivers included in Lawsuit


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PostPosted: Fri Nov 18, 2011 1:07 pm
After the pizza chains have lost so many lawsuits, I wonder why they did not make a nationwide policy about drivers pay. Im quite sure the cost of a lawyer is far greater than paying drivers more.

Another question would be, in the states they lost in, why was it decided to pay drivers minimum wage AND IRS mileage, and to not allow the tip credit? I read the decisions from the New York and California lawsuits and couldnt find out why the hourly pay was set the way it was, only the mileage rate.
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PostPosted: Sat Nov 19, 2011 1:42 am
scorp wrote:After the pizza chains have lost so many lawsuits, I wonder why they did not make a nationwide policy about drivers pay. Im quite sure the cost of a lawyer is far greater than paying drivers more.


So many? I I can only recall ONE loss, the Castillo case in CA. There are tens of thousands of pizza delivery drivers in the US being underpaid $5 to $50 or more each night. Lawyers are far cheaper in comparison. 70,000 drivers times ~$15 shortage each per night = $1,050,000

Another question would be, in the states they lost in, why was it decided to pay drivers minimum wage AND IRS mileage, and to not allow the tip credit? I read the decisions from the New York and California lawsuits and couldnt find out why the hourly pay was set the way it was, only the mileage rate.


Can you cite the New York case?

There is no mandatory relationship between wages and reimbursement.
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PostPosted: Tue Jan 24, 2012 3:54 pm
Papa John's keeps 44% (aprox) of their delivery charge, yet all the customers assume the driver gets 100% of it. which in turn makes them tip less.
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PostPosted: Tue Jan 24, 2012 5:28 pm
chris wrote:Papa John's keeps 44% (aprox) of their delivery charge, yet all the customers assume the driver gets 100% of it. which in turn makes them tip less.


Papa John's and every other pizza delivery company in the US keeps 100% of the delivery charge. The 'delivery charge' is a 'service charge' and by law, all (100%) service charges belong to the company.

Read MUCH more about that here:

Domino’s admits drivers get NONE of the Delivery charge!
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PostPosted: Mon Apr 28, 2014 2:41 am
This case was 'de-certified' in Feb 2013.

from here: http://law.justia.com/cases/federal/app ... 02-04.html

Justia.com Opinion Summary: A class of about 1,600 Minnesota delivery drivers employed by Domino's Pizza alleged that, under Minnesota law, a fixed delivery charge that customers paid Domino's was a gratuity wrongfully withheld from them. The court held that the varied context of the pizza delivery transactions made it unreasonable for some customers to construe the delivery charge as a payment for personal services, thereby preventing one-stroke determination of a classwide question. Therefore, the district court abused its discretion by certifying the class. Accordingly, the court reversed the class certification order and remanded for further proceedings.


The entire reason for de-certification:

http://docs.justia.com/cases/federal/ap ... -02-04.pdf
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PostPosted: Mon Apr 28, 2014 2:54 am
So what does this mean?

Well, as I see it, this case was NOT about minimum wage violation IAW the FLSA. They instead tried to make it about a Minnesota law that basically says 'delivery charges' must be given to drivers unless customers are aware that it goes to the store instead'.

What that also means is that Domino's corporate remains ripe for the picking in an actual FLSA/minimum wage/mileage reimbursement suit.

Why that has not been attempted yet, I do not know since several other cases have since paid out millions of dollars in settlements.
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PostPosted: Mon Apr 28, 2014 4:12 am
I'm going to have to take some time to read the doc later.
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