Opinion

Cui v. D Prime, Inc.

Court
District Court, E.D. New York
Filed
Nov 30, 2023
Cited by
0 cases
Authority
More cited than 26.8%

The opinion

UNITED STATES DISTRICT COURT

EASTERN DISTRICT OF NEW YORK

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CHENG ZHE CUI and JINGHUA ZHENG,

Plaintiffs,

ORDER

-against- 20-CV-03667 (OEM) (MMH)

D PRIME, INC., d/b/a SungBookDong BBQ,

MI SUK CHOI, a/k/a Misuk Choi, and

WON BOK CHOI, a/k/a Wonbok Choi,

Defendants.

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ORELIA E. MERCHANT, United States District Judge:

On November 17, 2023, the Court directed Plaintiffs to show cause as to why their New

York Wage Theft Protection Act claims for failure to provide wage notice and statements

brought as required by New York Labor Law §§ 195(1) and 195(3) (the “WTPA Claims”)

should not be dismissed for lack of Article III standing given the Supreme Court’s decision in

TransUnion LLC v. Ramirez, 141 S. Ct. 2190, 210 L. Ed. 2d 568 (2021) and Chen v. Lilis 200 W.

57th Corp., No. 19-CV-7654 (VEC), 2023 WL 2388728 (S.D.N.Y. Mar. 7, 2023).

On November 20, 2023, Plaintiffs responded to the show cause order with a filing citing

various authorities suggesting dismissal was not appropriate. See ECF 34. Defendants filed an

opposition on November 28, 2023, maintaining that the WTPA claims should be dismissed for

lack of subject matter jurisdiction as Plaintiffs had still not plead an injury in fact. See ECF 35.

To the extent Plaintiffs rely on Stih v. Rockaway Farmers Mkt., Inc., No. 22-CV-3228-

ARR-RER, 2023 WL 2760492, at *7 (E.D.N.Y. Apr. 3, 2023), Bueno v. Buzinover, 2023 U.S.

Dist. LEXIS 38154 (S.D.N.Y. Mar. 7, 2023) and Bello v. Pro-Line Pumping Corp., No. 22 CV

4081 (RPK)(RML), 2023 U.S. Dist. LEXIS 106676 (E.D.N.Y. June 20, 2023), these cases are

inapposite on their facts and do not control here. In Stih, the Court found that plaintiff had

demonstrated standing to bring the WTPA claim because the defendants’ failure to provide the

WTPA statements and notices “denying him the right to be adequately apprised of the terms and

conditions of his employment” which specifically included noticing allowances defendants

secretly took against his salary. See Stih, 2023 WL 2760492, at *7 (“Plaintiff was paid in

currency and received room, board, and lodging, in addition to other benefits.”).

Furthermore, in Cartagena v. Sixth Ave. W. Assocs. LLC, No. 23-CV-3611 (AS), 2023

U.S. Dist. LEXIS 173868, at *5 (S.D.N.Y. Sep. 28, 2023), the court was not persuaded by the

WTPA standing found in Beuno and Bello, but rather relied on TransUnion in their decision to

deny WTPA claim because the plaintiff did not allege any concrete injury connected to the

violation. Id. at 7.

In the light of the Supreme Court’s decision in TransUnion, courts in this Circuit have

held that plaintiffs lack standing to bring wage notice and statement claims under the NYLL

absent any concrete, downstream consequences of the recordkeeping violation. Chen v. Lilis 200

W. 57th Corp., 2023 WL 2388728, at *8 (S.D.N.Y. Mar. 7, 2023). Here, Plaintiffs do not make

an allegation of any concrete injury such that of lack of wage statements preventing from

discovery of secret wage deductions, let alone any other injury that is in directly correlated to the

alleged lack of the required wage notice and wage statement documents in their complaint. See

ECF 1. Rather, Plaintiffs assert in their memo to the Court, that Defendants never furnished any

notice of their use of tip credit and that Plaintiffs were never informed of their hourly pay rate or

deduction towards the minimum wage. See ECF 34. Yet Plaintiffs do not allege that they were

tipped employees. See ECF 1. Since they do not allege an injury in fact, Plaintiffs’ vague

allegations that Defendants’ violations facilitated their other unlawful conduct do not give rise to

a cognizable downstream consequence. See Chen v. Lilis 200 W. 57th Corp., 2023 WL 2388728,

at *8 (S.D.N.Y. Mar. 7, 2023); see also Jackson v. ProAmpac LLC, F. Supp. 3d , No. 22-CV-

03120, 2023 WL 6215324, at *4 (S.D.N.Y. Sept. 25, 2023) ("Plaintiffs' monetary harm is better

traced as an injury flowing from ProAmpac's rounding policy, not ProAmpac's inaccurate wage

notices."); See Quieju v. La Jugueria Inc., No. 23-CV-264, 2023 WL 3073518, at *2 (E.D.N.Y.

Apr. 25, 2023) ("The injury that plaintiff suffered (i.e., defendants' failure to properly pay him) is

not an injury he sustained because of a lack of the required documents; it is an injury sustained

because his employer violated its obligation to pay minimum wage, overtime, and spread-of-

hours pay under other, express requirements of federal and state law.").

Accordingly, Plaintiffs’ wage notice and wage statement claims (Complaint [ECF 1],

Counts VI & VII) are DISMISSED for lack of standing.

SO ORDERED.

/s/ Orelia E. Merchant

ORELIA E. MERCHANT

United States District Judge

November 30, 2023

Brooklyn, New York

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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