Lauren Teukolsky was recently quoted in a Daily Journal article and a Bloomberg Law article about a recent 2nd District Court of Appeal opinion halting the growing trend of “headless” PAGA cases. The Private Attorney Generals Act (PAGA) permits employees to act as deputies of the state and bring a suit on behalf of themselves and other aggrieved employees to enforce the Labor Code. A “headless” PAGA case is one in which the plaintiff disclaims all individual claims and seek PAGA penalties solely on behalf of other aggrieved employees. Plaintiffs typically engage in this practice to avoid mandatory arbitration of individual claims and the resulting delay in their PAGA case.

This practice grew in popularity after the California Court of Appeals issued Balderas v. Fresh Start Harvesting in April 2024, holding that workers who disclaim their individual claims can still bring a group PAGA action on behalf of other aggrieved employees. But in December 2024, a different division of the California Court of Appeals ruled in Leeper v. Shipt that a PAGA action on behalf of others necessarily includes an individual PAGA claim for the plaintiff, and the individual claim can be compelled to arbitration while the PAGA claim remains stayed in court.

The Daily Journal quoted Ms. Teukolsky saying if Leeper remains good law, “it is the end of the headless PAGA case.” She adds that, “there’s going to be a huge wave of defendants fling motions for reconsideration of lower court decisions that have allowed such lawsuits to proceed.” Bloomberg Law noted Ms. Teukolsky’s analysis of twenty post-Balderas court orders found that a majority denied motions to compel arbitration based on Balderas. She noted that “Given the sheer number of cases involving the headless PAGA issue, it seems likely that other courts of appeal will weigh in, and eventually the California Supreme Court will take one of these cases to clarify the law.”
Ms. Teukolsky has represented workers for over two decades and her commentary on the latest developments in employment law is regularly featured by major publications such as Bloomberg Law, Law360, Law.com, and the Los Angeles Times.

To read the Daily Journal article, click here.  To read the Bloomberg Law article, click here.  If you believe you’ve been treated unlawfully in the workplace and want to get in touch with our office, click here.

Lauren Teukolsky’s “Wage and Hour Case Notes” were published in the November 2024 edition of the CLA California Labor and Employment Law Review. Her column describes three recent decisions from California’s Supreme Court and appellate courts that affect wage-and-hour law.

Ms. Teukolsky’s column discusses whether Proposition 22’s classification of Uber and Lyft drivers as independent contractors is constitutional, and whether courts can approve PAGA settlements even when there are multiple overlapping PAGA cases. Her column also explores whether public entities are subject to California’s Labor Code provisions for rest and meal breaks.

California Lawyers Association (CLA) is a voluntary statewide bar association. Its mission is to “promote excellence, diversity and inclusion in the legal profession and fairness in access to justice and the rule of law.”  Ms. Teukolsky was recently appointed to serve on the Executive Committee of CLA’s Labor & Employment Section.  Her three-year term started in October 2024.

Ms. Teukolsky has written for CLA’s California Labor and Employment Law Review for over two years. Her “Wage and Hour Case Notes” are published on an alternating quarterly basis. Ms. Teukolsky has represented workers for over two decades and her commentary on the latest developments in employment law is regularly featured by major publications such as Bloomberg Law, Law360, Law.com, and the Los Angeles Times.

​If you would like to speak with Ms. Teukolsky about a wage-and-hour matter, click here.

Lauren Teukolsky was recently quoted in a Bloomberg article about the increasing use by California employees of “headless” PAGA cases to avoid being forced to arbitrate their wage-and-hour claims. The Private Attorney Generals Act (PAGA) permits employees to act as deputies of the state and bring a suit on behalf of themselves and other aggrieved employees to enforce the Labor Code.  In 2022, the United State Supreme Court ruled that employers may not require employees to waive PAGA claims via a mandatory arbitration agreement.  But the Court also ruled that employers can require employees to split their “individual PAGA claim” from the claim on behalf of others, and to arbitrate the individual claim.

​A headless PAGA case is one in which the plaintiff disclaims all individual claims, including the individual PAGA claim, and files the lawsuit to seek PAGA penalties solely on behalf of other aggrieved employees.  This strategy was galvanized after the California Court of Appeals issued Balderas v. Fresh Start Harvesting in April 2024, holding that workers who disclaim their individual claims can still bring a group PAGA action on behalf of other aggrieved employees.  While Balderas was not about arbitration, several plaintiffs’ lawyers have seized on the holding of the case to file headless PAGA cases in an effort to stay out of arbitration. 

​As stated in the Bloomberg article, Ms. Teukolsky’s analysis of 20 post-Balderas orders reveals that the majority of trial courts are following Balderas and permitting PAGA plaintiffs who disclaim individual claims to avoid arbitration.  A small but significant minority are distinguishing Balderas and still requiring PAGA plaintiffs to arbitrate their “aggrieved employee” status.  The Bloomberg article quoted Ms. Teukolsky saying, “Given this split, I anticipate we will see more decisions from the Court of Appeals in the next year or two about whether a PAGA plaintiff can stay out of arbitration by disclaiming all individual claims.”

Ms. Teukolsky has represented workers for over two decades and her commentary on the latest developments in employment law is regularly featured by major publications such as Bloomberg Law, Law360, Law.com, and the Los Angeles Times. To read the article in its entirety, click here. If you believe you’ve been treated unlawfully in the workplace and want to get in touch with our office, click here.

Lauren Teukolsky will speak at the UCLA Law Women LEAD Leadership Summit on Friday, September 27th. UCLA Law Women LEAD is an inclusive, intersectional community of UCLA Law women who aid each other in life and career. The group is hosting the Leadership Summit’s tenth anniversary which brings UCLA Law professors, alumni, and students from around the world to discuss important topics in the law. Ms. Teukolsky will speak on a panel discussing how to assess, litigate, and triumph in PAGA litigation after AB 2288 and SB 92. She will speak alongside Emily Gould Sullivan, Vice President of Legal at Ross Stores, Inc., and Tritia Murata, Partner at David Wright Termaine LLP.
 
Ms. Teukolsky has previously discussed the impact of these bills on PAGA litigation in a Bloomberg Law article . She is a frequent speaker on employment law topics. Last September, Ms. Teukolsky was selected to moderate a session at CELA’s (California Employment Lawyer Association) 36th Annual Employment Law Conference on individual wage-and-hour arbitrations. She has spoken a number of times on PAGA, including for the California Lawyers Association, CELA, the Alameda County Bar Association and Beverly Hills Bar Association. Her commentary on the effects of the California Supreme Court decision Adolph v. Uber on PAGA claims was also featured in articles by Bloomberg Law and Law.com.
 
Ms. Teukolsky’s panel starts at 1:25 pm PT at UCLA’s Schoenberg Hall. To register for the Leadership Summit, click here. If you believe you’ve been treated unlawfully in the workplace and want to get in touch with our office, click here.

​Lauren Teukolsky was recently quoted in a Bloomberg Law article about the new PAGA reform package passed by the California Legislature in early July 2024. The package represents a compromise between businesses and labor groups that aims to strengthen worker protections while allowing employers to cure violations and face lower penalties. The reformed law, decades-long in the making, avoids a contentious ballot measure that would have repealed PAGA entirely if passed.

Several measures of the reform package benefit workers.  If a PAGA plaintiff recovers penalties for Labor Code violations, aggrieved employees get to keep 35% of the penalties, up from 25% under the previous law.  As before, the remainder of penalties are paid to the State.  Workers are also authorized to seek injunctive relief (i.e., a court order to require an employer to stop an unlawful practice), a remedy not authorized by the previous law. 

Other measures favor employers. Subject to limited exceptions, employees are now permitted to seek penalties only for Labor Code violations they have actually suffered.  Previously, an employee who suffered one type of violation could file a PAGA suit on behalf of other employees for any violation of the Labor Code.

A crucial aspect of the PAGA reform package is the early evaluation conference, theoretically aimed at reducing litigation length and costs. Now, large employers with more than 100 employees can request an early evaluation conference which halts ongoing litigation until a neutral third party assess the plaintiff’s claims, the company’s efforts to comply with the Labor Code, and plans to cure violations. Smaller employers may access a similar process through the Labor and Workforce Development Agency.  If employers can demonstrate they have cured the violations, PAGA penalties may be capped.

PAGA practitioners and courts will need to grapple with setting up early evaluation conferences in the months to come.  The reform package does not dictate how courts are supposed to implement the early evaluation program, leading PAGA practitioners like Ms. Teukolsky to wonder how courts with limited resources will implement such programs, especially in the face of recent budget cuts that have slashed court services. 

The Bloomberg article quoted Ms. Teukolsky saying,  “While courts that frequently handle PAGA lawsuits, like Los Angeles Superior Court, probably will establish high functioning evaluation programs, it’s less clear what will happen with smaller courts that don’t see as much of that kind of litigation.”   

Ms. Teukolsky has represented workers for over two decades and her commentary on the latest developments in employment law is regularly featured by major publications such as Bloomberg Law, Law360, Law.com, and the Los Angeles Times.

To read the article in its entirety, click here. If you believe you’ve been treated unlawfully in the workplace and want to get in touch with our office, click here.

Lauren Teukolsky was quoted in a Wednesday Bloomberg Law article about a recent Ninth Circuit opinion that discuss the effects of the California Supreme Court’s decision in Adolph v. Uber on PAGA cases proceeding in federal court.  The Ninth Circuit ruled that federal courts are bound to follow the California Supreme Court’s interpretation of PAGA standing, and do not need to follow the U.S. Supreme Court’s mistaken interpretation of PAGA standing in its 2022 Viking River Cruises decision.

In the Circuit Court’s decision, Judge Kenneth Kiyul Lee stated in his concurring opinion that arbitration proceedings under PAGA may not constitute a “full and fair opportunity to litigate,” thus offering a potential exception to arbitration proceedings’ preclusive effect on their associated court proceedings. In other words, if an employer were to receive a worker-friendly ruling from an arbitrator, that ruling may not have bearing on the analogous issues the employer is litigating in court.

How much of an effect Judge Lee’s opinion will have on California’s employment law landscape is still unclear. In Bloomberg Law’s article, Ms. Teukolsky says that the state’s appeals courts are still divided on the issue and have yet to “’squarely’” consider whether individual PAGA arbitration findings will impact group PAGA claims.

“’It’s too soon,’” Ms. Teukolsky says in the article.

The article also includes Ms. Teukolsky’s commentary on how Judge Lee’s opinion might be interpreted for the benefit of workers:

“The logic in Lee’s concurring opinion could also help claimants wield the ‘full and fair opportunity to litigate’ argument against adverse arbitration findings when their group PAGA claims unfold in court, Teukolsky said.”
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Ms. Teukolsky has represented workers for over two decades and her commentary on the latest developments in employment law is regularly featured by major publications such as Bloomberg Law, Law360, Law.com, and the Los Angeles Times.

To access the Bloomberg Law article in its entirety, click here. To learn more about Ms. Teukolsky’s practice and get in touch with the firm, click here. 

Lauren Teukolsky was quoted by Bloomberg Law and Law.com in a pair of articles this week on the CA Supreme Court’s Monday decision in Adolph v. Uber Technologies, Inc.. In the highly anticipated ruling, the Court held that the state’s workers could continue to pursue representative PAGA labor claims even if their individual labor claims were forced into arbitration. The Court’s ruling is considered a huge win for California’s workers.

PAGA (Private Attorneys General Act) is a state law that authorizes employees to collect civil penalties for violations against themselves and their coworkers on behalf of California’s Labor Commissioner, which has struggled to manage a backlog of cases for the past several decades.

Arbitration is a private dispute resolution process that overwhelmingly favors employers and shields corporations from public scrutiny and accountability. Employers frequently require their employees to sign agreements stipulating that all claims made by them will be resolved in private arbitration as opposed to being litigated through the courts, a process that is public and more favorable to workers.

A ruling in Uber’s favor would have made it very difficult to bring PAGA cases forward – due to the prevalence of arbitration agreements – and would have seriously eroded workers’ ability to enforce the state’s labor laws.

Uber’s lawyers have indicated that the company is considering appealing the Court’s decision. According to analysis Ms. Teukolsky published on LinkedIn, the U.S. Supreme Court is unlikely to hear such an appeal, especially in light of its 2022 decision in Viking River Cruises, Inc. v. Moriana.  She said, “It's unlikely SCOTUS will hear a case from a state supreme court involving entirely state-law issues; there must a federal question involved.”

Ms. Teukolsky has represented workers for over two decades and her commentary on the latest developments in employment law is regularly featured by major publications such as Bloomberg Law, Law360, Law.com, and the Los Angeles Times.

To access the Bloomberg Law article in its entirety, click here. To access the Law.com article in its entirety, click here. 

​Lauren Teukolsky’s commentary was featured in a recent Law360 article on the Ninth Circuit’s recent ruling that California’s A.B. 51 is preempted by federal law.  AB 51 prohibited employers from forcing employees to give up their civil rights, such as the right to a jury trial and the right to appeal an adverse decision, as a condition of employment.  The ruling, a reversal of the Ninth Circuit’s own prior decision in 2021, is a significant blow to the state’s workers.

California Governor Gavin Newsom signed A.B. 51 into law in 2019, making it illegal for employers to force individuals to waive their right to bring civil rights cases in court as a condition of employment. Arbitration agreements typically stipulate that all claims made by workers—regardless of their severity—must be resolved under private arbitration, a process that overwhelmingly favors employers, disproportionately harms historically marginalized communities, and shields corporations from public scrutiny and accountability. A.B. 51 was meant to ensure that employees were not coerced into signing away their rights, and that all waivers of these significant rights were voluntary.

Last year, a three judge Ninth Circuit panel voted to revisit a 2021 decision in which it partially reversed an injunction that stopped California from enforcing A.B. 51. Last month, the panel found that the Federal Arbitration Act preempted A.B. 51, nullifying the law in most situations and allowing California’s corporations to once again force workers to sign arbitration agreements waiving their civil rights.

Law360’s article features analysis and advice from management-side and workers- side attorneys on how corporations and workers’ advocates should respond to the Ninth Circuit’s decision. In the article, Ms. Teukolsky advises plaintiffs’ lawyers to be extremely cautious when advising clients on arbitration agreements:

"’Plaintiff-side employment attorneys need to think very carefully before they advise an employee to refuse to sign one of these arbitration agreements,’ Teukolsky said. ‘I think you need to advise them: you may lose your job over this. Is that a risk you're willing to take?’"  Ms. Teukolsky speaks from experience: she filed one of the only cases under A.B. 51 after her client was fired for expressing opposition to signing away her rights.
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To read the article in its entirety, click here. For the Court’s opinion holding that A.B. 51 is preempted, click here.
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If you have concerns about an arbitration agreement your employer has recently asked you to sign, click here to get in touch with our office. 

Last week, Bloomberg Law cited research by Lauren Teukolsky in an article about oral arguments in Moriana v. Viking River Cruises, Inc., a pivotal Supreme Court case that was sent back to the California Court of Appeal for further action. The appellate court’s decision could have vast repercussions for lawsuits brought under the Private Attorneys General Act (“PAGA”).  

Since SCOTUS’s Viking River decision, Ms. Teukolsky’s research shows that California courts have consistently rejected employer arguments that representative PAGA claims must be dismissed once the “individual” component of the plaintiff’s PAGA claim has been sent to arbitration. Bloomberg Law’s article states:

“California trial courts dismissed representative claims after moving individual claims into arbitration in just six of 75 decisions collected and analyzed by Lauren Teukolsky of the plaintiff-side firm Teukolsky Law APC. Bloomberg Law independently reviewed those decisions.” 

Ms. Teukolsky’s updated numbers show an even greater trend in favor of employees.

Viking River and the fate of PAGA have been on the forefront of labor and employment experts’ minds for the past several years. In addition to her commentary on the issue for news outlets such as Bloomberg Law and the Daily Journal, Ms. Teukolsky has also discussed the implications of Viking River on a panel for CELA, a statewide organization that works to protect and expand the legal rights of workers, as well as for the College of Labor and Employment Lawyers, the preeminent peer-selected organization of labor and employment lawyers in the United States.

To read the article on Bloomberg Law, click here. To get in touch with Teukolsky Law, click here.