Opinion

Nieto v. Fresno Beverage Co.

Court
California Court of Appeal
Filed
Mar 22, 2019
Status
Published
Cited by
0 cases
Authority
More cited than 7.3%

The opinion

Filed 3/7/19; pub. order 3/22/19 (see end of opn.)

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

FIFTH APPELLATE DISTRICT

DANIEL NIETO,

F074704

Plaintiff and Respondent,

(Super. Ct. No. 16CECG02614)

v.

FRESNO BEVERAGE COMPANY, INC., OPINION

Defendant and Appellant.

APPEAL from a judgment of the Superior Court of Fresno County. Mark W.

Snauffer, Judge.

Morgan, Lewis & Bockius, Thomas M. Peterson, Brian C. Rocca, and Kathryn T.

McGuigan for Defendant and Appellant.

Yoon Law, Kenneth H. Yoon, Stephanie E. Yasuda, and Brian G. Lee; Justice

Law Corporation, Douglas Han, Shunt Tatavos-Gharajeh, and Daniel J. Park for Plaintiff

and Respondent.

-ooOoo-

Plaintiff Daniel Nieto was employed for many years as a delivery driver for

defendant Fresno Beverage Company, Inc., doing business as Valley Wide Beverage

Company (VWB). After being terminated from his employment, Nieto filed a class

action lawsuit against VWB alleging various wage and hour violations under California

labor law. VWB responded by filing a petition to compel arbitration, since Nieto had

signed a written arbitration agreement when he was hired. VWB argued that under the

Federal Arbitration Act (9 U.S.C. § 1 et seq., the FAA) Nieto must be ordered to arbitrate

the dispute in accordance with the terms of the parties’ arbitration agreement. Nieto

opposed the petition, primarily arguing that his employment at VWB came within a

statutory exemption to the FAA granted to transportation workers engaged in interstate

commerce. Nieto reasoned that since the FAA did not apply, a California law allowing

court actions on wage claims notwithstanding the existence of an arbitration agreement

(i.e., Lab. Code, § 229) was not preempted by the FAA, meaning the lawsuit may

proceed in court. The trial court agreed with Nieto’s exemption argument and denied the

petition to compel arbitration. VWB appealed from that order. We conclude the trial

court correctly found that Nieto’s employment came within the FAA exemption.

Accordingly, the trial court’s order denying the petition to compel arbitration is affirmed.

FACTS AND PROCEDURAL BACKGROUND

Nieto was employed by VWB as a delivery driver from April 1, 2008, to

February 24, 2014. Shortly after his employment commenced, Nieto executed various

documents pertaining to his employment, including an employee handbook and the

arbitration agreement. The arbitration agreement provided among other things that

arbitration was to be the exclusive remedy for all employment disputes, including

disputes related to wage and hour issues. For reasons that are not disclosed in the record,

Nieto’s employment was terminated on February 24, 2014.

On August 12, 2016, Nieto filed a class action complaint in the trial court against

VWB for alleged violations of California wage and hour laws. The class action

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complaint sought, on behalf of Nieto and the class of other similarly situated current and

former employees of VWB, meal period and rest break wages, minimum and overtime

wages, and other wages and penalties allegedly due. The causes of action consisted of

the following: (1) first cause of action for violation of Labor Code sections 226.7 and

512 (regarding meal period and rest break wages); (2) second cause of action for

violation of Labor Code sections 510 and 1194 (regarding minimum and overtime

wages); (3) third cause of action for violation of Labor Code section 203 (regarding

waiting time penalties); (4) fourth cause of action for violation of Labor Code section 226

(regarding record keeping); (5) fifth cause of action for unfair business practices under

Business and Professions Code section 17200 (premised on the Labor Code violations of

the preceding causes of action).

On September 14, 2016, VWB filed its petition to compel arbitration. The petition

asserted that the arbitration agreement came under the broad coverage of the FAA, which

law reflects a liberal federal policy favoring arbitration and requiring courts to enforce

arbitration agreements according to their terms. The petition correctly noted the general

coverage provision of the FAA (i.e., 9 U.S.C. § 2, or section 2) applies broadly to

contracts “involving” interstate commerce that contain arbitration clauses, including

where the arbitration agreement is between employers and employees. (See Circuit City

Stores, Inc. v. Adams (2001) 532 U.S. 105, 119 (Circuit City).) Finally, VWB’s petition

pointed out that where the FAA is applicable, state laws interfering with enforcement of

arbitration rights, such as California Labor Code section 229, are preempted by the FAA.

(See Perry v. Thomas (1987) 482 U.S. 483, 484, 492 [so holding].)

In support of its petition to compel arbitration, VWB submitted a declaration

specifically describing VWB’s involvement in interstate commerce. Among other things,

the supporting declaration asserted that VWB is a beverage distributor, contracting

nationally and internationally, buying beer, wine and other beverages manufactured in

other states and countries, and after such beverages are transported to VWB’s warehouse,

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they are delivered to VWB customers in California. Thus, as acknowledged in VWB’s

petition, “[t]he products delivered by VWB’s drivers are part of a continuous stream of

interstate travel.” Consequently, according to VWB, its economic activity plainly

involved interstate commerce and the parties’ arbitration agreement was and is governed

by the FAA.

On or about October 4, 2016, Nieto filed his opposition to the petition to compel

arbitration. Nieto’s opposition asserted that as a delivery truck driver engaged in

interstate commerce, his employment was excluded from the FAA’s coverage based on

the statutory exemption for “contracts of employment of seamen, railroad employees, or

any other class of workers engaged in foreign or interstate commerce.” (9 U.S.C. § 1, or

section 1.) Thus, according to Nieto’s opposition, the FAA was not applicable, no

preemption applied, and all issues were to be resolved under California law. Nieto’s

opposition claimed that, under California law, specifically Labor Code section 229, he

was entitled to have his wage claims heard in court notwithstanding the existence of the

arbitration agreement. In any event, it was further argued that the arbitration agreement

was entirely unenforceable because of several purportedly unconscionable provisions.

On October 11, 2016, VWB filed its reply in support of the petition to compel

arbitration. VWB’s reply contended that the FAA exemption did not apply to Nieto since

he only delivered products within California and did not cross state lines. Further, VWB

insisted that Nieto had failed to show any of the provisions of the arbitration agreement

were substantively unconscionable.

The hearing on the petition was held on October 26, 2016. On October 27, 2016,

the trial court denied the petition to compel arbitration, with the tentative ruling becoming

the order of the court. The trial court’s ruling found that the arbitration agreement was

not substantively unconscionable, and therefore was enforceable. However, the trial

court’s ruling went on to explain that Nieto’s employment came within the FAA’s

exemption provided to transportation workers engaged in the movement of interstate

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commerce. The trial court noted that Nieto’s work qualified for the exemption even

though his deliveries did not cross state lines, explaining as follows: “[VWB’s] general

business activities involve[d] receiving shipments from other states and countries, storing

same for a short period, then tasking employees such as [Nieto] with delivery of the

goods to in-state customers. . . . [A]s [Nieto’s] employment involved transporting goods

received from out of state, the transportation worker exemption to the FAA applie[d].”

Furthermore, the trial court held that because Nieto was a transportation worker exempt

from the FAA, Labor Code section 229 governed, which section “provides that an action

for wage and hour claims may be maintained despite an agreement to arbitrate.” The trial

court then concluded: “[Nieto’s] complaint is, in its entirety, an action for wage and hour

violations. [Nieto’s] action may thus be maintained, regardless of the arbitration

provision in the employment contract between [Nieto] and [VWB].” Accordingly,

VWB’s petition to compel arbitration was denied.

On November 8, 2016, VWB timely filed its notice of appeal from the trial court’s

order denying the petition to compel arbitration.

DISCUSSION

I. Standard of Review

“ ‘ “ ‘There is no uniform standard of review for evaluating an order denying a

motion to compel arbitration. [Citation.] If the court’s order is based on a decision of

fact, then we adopt a substantial evidence standard. [Citations.] Alternatively, if the

court’s denial rests solely on a decision of law, then a de novo standard of review is

employed. [Citations.]’ ” ’ ” (Avila v. Southern California Specialty Care, Inc. (2018)

20 Cal.App.5th 835, 839-840.) Here, as the facts appear to be undisputed, we review de

novo the legal question of whether Nieto was a transportation worker exempt from the

FAA. (See Muro v. Cornerstone Staffing Solutions, Inc. (2018) 20 Cal.App.5th 784, 790;

Omar v. Ralphs Grocery Co. (2004) 118 Cal.App.4th 955, 959.)

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II. The Trial Court Correctly Ruled the FAA Did Not Apply

A. The FAA Exemption

The FAA was enacted in 1925 to remedy the general hostility of American courts

to the enforcement of arbitration agreements; and to effectuate that purpose, the FAA

compels judicial enforcement of a wide range of written arbitration agreements. (Circuit

City, supra, 532 U.S. at p. 111.) Section 2 of the FAA, the basic coverage provision of

the FAA, makes the law applicable to contracts evidencing a transaction “involving

commerce” (9 U.S.C. § 2), which language reflects that Congress intended the law’s

coverage to extend to the full reach of its commerce clause power. (Allied-Bruce

Terminix Cos. v. Dobson (1995) 513 U.S. 265, 277; Perry v. Thomas (1987) 482 U.S.

483, 490.)1 Section 1 of the FAA provides a limited exemption from the law’s coverage

to “contracts of employment of seamen, railroad employees, or any other class of workers

engaged in foreign or interstate commerce.” (9 U.S.C. § 1.) In Circuit City, the United

States Supreme Court defined the catchall phrase “ ‘any other class of workers engaged

in . . . interstate commerce’ ” to mean “transportation workers” (Circuit City, supra, at

pp. 119, 121), which the court understood as “those workers ‘ “actually engaged in the

movement of goods in interstate commerce.” ’ [Citation.]” (Id. at p. 112.)

In Circuit City, the Supreme Court reversed the Ninth Circuit Court of Appeal’s

decision that sections 1 and 2 of the FAA should be construed to exclude all employment

contracts from the reach of the FAA. (Circuit City, supra, 532 U.S. at pp. 109, 112, 124.)

In rejecting that view, the Supreme Court held that the plain meaning of “engaged in”

interstate commerce in section 1 is narrower in scope than the open-ended formulation

“involving” commerce in section 2 (Circuit City, supra, at p. 118), and the court

1 As the Supreme Court noted in Citizens Bank v. Alafabco, Inc. (2003) 539 U.S. 52,

at page 56, the term “involving commerce” in the FAA is “the functional equivalent of

the more familiar term ‘affecting commerce’ – words of art that ordinarily signal the

broadest permissible exercise of Congress’ Commerce Clause power.”

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explained further that this narrower construction of the section 1 exemption is consistent

with the statutory purpose and context. (Circuit City, supra, at p. 118; see id. at pp. 119-

124.) Applying this narrower construction, the Supreme Court concluded that the

section 1 exemption, rather than exempting all employment contracts from the FAA, was

limited to transportation workers. (Circuit City, supra, at pp. 119, 121.)

The Circuit City case elucidated Congress’ presumed intent in adopting the

section 1 exemption: “It is reasonable to assume that Congress excluded ‘seamen’ and

‘railroad employees’ from the FAA for the simple reason that it did not wish to unsettle

established or developing statutory dispute resolution schemes covering specific workers.

[¶] As for the residual exclusion of ‘any other class of workers engaged in foreign or

interstate commerce,’ Congress’ demonstrated concern with transportation workers and

their necessary role in the free flow of goods explains the linkage to the two specific,

enumerated types of workers identified in the preceding portion of the sentence.”

(Circuit City, supra, 532 U.S. at p. 121.)

Having briefly introduced the nature of the FAA exemption, we turn to VWB’s

contentions on appeal. In challenging the trial court’s ruling that Nieto came within the

FAA exemption, VWB argues that (i) the trial court applied the wrong standard, and

(ii) Nieto was not a transportation worker engaged in interstate commerce. We disagree

with both contentions.

B. The Trial Court Applied the Correct Standard

VWB first argues the trial court applied the wrong standard in evaluating whether

Nieto qualified for the FAA exemption. As summarized above, while the basic coverage

provision of the FAA (9 U.S.C. § 2) uses the broadly-inclusive “involving commerce”

standard, the scope of the transportation worker exemption (9 U.S.C. § 1) is limited by

the narrower “engaged in” interstate commerce standard. VWB contends that the trial

court confused the two tests and failed to apply the narrower “engaged in” interstate

commerce standard in deciding that Nieto qualified for the exemption. VWB has failed

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to demonstrate that the trial court made such an error. The trial court’s ruling clearly and

explicitly delineated the two standards, explaining that the FAA has general application

to contracts “involving commerce,” but noting further “there is a narrow exemption”

applied to transportation workers engaged in foreign or interstate commerce, which the

trial court noted has been defined as “workers ‘actually engaged in the movement of

goods in interstate commerce.’ ” The trial court then proceeded to analyze the merits of

Nieto’s contention that he was “a driver engaged in interstate commerce, and . . . thus

expressly exempt from the FAA.”

The trial court understood and applied the correct standard when it analyzed the

issue of whether Nieto was exempt from the FAA.

C. Nieto Was a Transportation Worker Engaged in Interstate Commerce

Next, VWB contends that Nieto’s employment as a delivery truck driver did not

meet the criteria for being considered a transportation worker engaged in interstate

commerce. The crux of VWB’s argument is that because Nieto’s delivery routes did not

cross state lines, but were merely intrastate, the exemption cannot apply to him. The trial

court held otherwise, and on the facts of this case, the trial court is correct.

As decided in Circuit City, the section 1 exemption is applicable to “transportation

workers,” defined as “workers ‘ “actually engaged in the movement of goods in interstate

commerce.” ’ ” (Circuit City, supra, 532 U.S. at p. 112.) Leaving aside for the moment

the question of whether it was necessary for Nieto to personally transport goods across

state lines to qualify for the exemption, we note at the outset that delivery truck drivers

whose primary purpose is to physically transport interstate goods are consistently held to

be transportation workers under section 1 of the FAA. (See, e.g., Lenz v. Yellow Transp.,

Inc. (8th Cir. 2005) 431 F.3d 348, 351 [“Indisputably, if Lenz were a truck driver, he

would be considered a transportation worker under § 1 of the FAA”]; Palcko v. Airborne

Express, Inc. (3d Cir. 2004) 372 F.3d 588, 590, 593-594 (Palcko) [analysis of issue

assumed that since truck drivers delivering interstate packages to customers in

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Philadelphia area would be within the residuary exemption, the plaintiff whose job was to

closely manage, oversee and monitor those drivers would also be exempt]; Harden v.

Roadway Package Systems, Inc. (9th Cir. 2001) 249 F.3d 1137, 1140 [finding that a

delivery driver of interstate packages came within the exemption].) As one federal

district court put it: “If there is one area of clear common ground among the federal

courts to address this question, it is that truck drivers – that is, drivers actually involved in

the interstate transportation of physical goods – have been found to be ‘transportation

workers’ for purposes of the residuary exemption in Section 1 of the FAA.” (Kowalewski

v. Samandarov (S.D.N.Y. 2008) 590 F.Supp.2d 477, 482-483; see Int’l Bhd. of Teamsters

Local Union No. 50 v. Kienstra Precast, LLC (7th Cir. 2012) 702 F.3d 954, 957 [holding

truckers are transportation workers to the extent they are engaged in the movement of

goods in interstate commerce].)

The key question here is whether Nieto came within the scope of the exemption

even though his deliveries were exclusively to destinations within California. As

indicated by the basic definition of a transportation worker in the Circuit City case,

merely being a delivery truck driver, by itself, would not be enough since a transportation

worker must also be “ ‘ “actually engaged in the movement of goods in interstate

commerce.” ’ ” (Circuit City, supra, 532 U.S. at p. 112.) According to VWB, a delivery

truck driver who does not personally cross state lines is not “engaged in interstate

commerce” or engaged in the movement of interstate commerce for purposes of section 1

of the FAA, and therefore cannot qualify for the exemption. That assertion is overbroad,

at least in the particular case and context before us. While it is true that a number of

courts have held that if a delivery truck driver does cross state lines to make deliveries,

that driver would obviously qualify for the exemption (see, e.g., Garrido v. Air Liquide

Industrial U.S. LP (2015) 241 Cal.App.4th 833, 840; Veliz v. Cintas Corp. (N.D.Cal.

2004) 2004 U.S.Dist. LEXIS 32208, *18), VWB has not cited any clear or persuasive

9.

authority for the proposition that crossing of state lines is a necessary condition for the

exemption to apply.2

Rather, as the trial court recognized, a transportation worker does not necessarily

have to physically cross state lines in order to engage in the movement of goods in

interstate commerce. In Christie v. Loomis Armored US, Inc. (D.Colo. 2011) 2011

U.S.Dist. LEXIS 141994, *7 (Christie), the court expressly rejected the argument that a

worker may only qualify for the section 1 exemption if he or she delivered goods across

state lines: “[A]n employee need not actually transport goods across state lines to be part

of a class of employees engaged in interstate commerce. ‘Interstate commerce’ includes

not only goods that travel across state lines but also ‘the intrastate transport of goods in

the flow of interstate commerce.’ ” (quoting Siller v. L&F Distributors, Ltd. (5th Cir.

1997) 109 F.3d 765 [1997 U.S.App. LEXIS 42893, *3].) In Christie, although there was

no evidence the driver personally delivered goods across state lines, the goods she

delivered intrastate were deemed to be in the stream of interstate commerce, and

2 A few federal courts have attempted to synthesize the case law into a list of

nonexclusive factors to assist in determining whether an employee fits within the

section 1 exemption. Significantly, however, such attempts at distilling the case law have

not indicated that the crossing of state lines by the employee is a requirement, but rather

those courts have simply listed a number of factors to be considered, such as the

following enumeration: “[F]irst, whether the employee works in the transportation

industry; second, whether the employee is directly responsible for transporting the goods

in interstate commerce; third, whether the employee handles goods that travel interstate;

fourth, whether the employee supervises employees who are themselves transportation

workers, such as truck drivers; fifth, whether, like seamen or railroad employees, the

employee is within a class of employees for which special arbitration already existed

when Congress enacted the FAA; sixth, whether the vehicle itself is vital to the

commercial enterprise of the employer; seventh, whether a strike by the employee would

disrupt interstate commerce; and eighth, the nexus that exists between the employee’s job

duties and the vehicle the employee uses in carrying out his duties (i.e., a truck driver

whose only job is to deliver goods cannot perform his job without a truck).” (Lenz v.

Yellow Transp., Inc., supra, 431 F.3d at p. 352; see Veliz v. Cintas Corp., supra, 2004

U.S.Dist. LEXIS 32208 at pp. *23-*24.)

10.

therefore she belonged to the class of workers engaged in interstate commerce and the

exemption applied. (Christie, supra, 2011 U.S.Dist. LEXIS 141994 at p. *8; accord,

Diaz v. Michigan Logistics, Inc. (E.D.N.Y. 2016) 167 F.Supp.3d 375, 380, fn. 3 [holding

“Plaintiffs . . . were engaged in interstate transportation, notwithstanding that they did not

actually drive across state lines, as Plaintiffs were directly responsible for transporting

and handling automotive parts that allegedly moved in interstate commerce”].)

Similarly, in Palcko, supra, 372 F.3d 588, the transportation worker in question

(Palcko) was not an actual delivery driver, but the exemption was held to apply to her

because her work involved closely monitoring and directing the drivers who physically

delivered interstate packages from the Airborne Express facility near the Philadelphia

airport to their ultimate destinations within the Philadelphia area. (Id. at pp. 590, 593-

594.) There was nothing in the record to suggest that the drivers under Palcko’s

supervision delivered the packages across state lines or otherwise went beyond the

Philadelphia area. Thus, in Palcko, not only did the drivers apparently not cross state

lines in their deliveries, but the exemption was extended to someone who was not a driver

– namely, their supervisor.

In Levin v. Caviar, Inc. (N.D.Cal. 2015) 146 F.Supp.3d 1146, 1154, the court

acknowledged that guidance regarding the “ ‘engaged in commerce’ ” standard for the

FAA’s transportation worker exemption may be found in cases discussing an exemption

to another federal law, the Fair Labor Standards Act (see 29 U.S.C. § 201 et seq., FLSA).

One such case, Bell v. H.F. Cox, Inc. (2012) 209 Cal.App.4th 62, observed the following

well-established principle: “Intrastate deliveries of goods are considered to be part of

interstate commerce if the deliveries are merely a continuation of an interstate journey.

[Citations.] Goods arriving from out of state that are unloaded and held in a warehouse

before being loaded onto trucks and delivered to customers do not terminate their

interstate journey if ‘there is a practical continuity of movement of the goods until they

reach the customers for whom they are intended.’ ” (Id. at p. 77, quoting Walling v.

11.

Jacksonville Paper Co. (1943) 317 U.S. 564, 568; accord, Klitzke v. Steiner Corp. (9th

Cir. 1997) 110 F.3d 1465, 1467-1470 [same facts as Bell; goods retained interstate

character and FLSA exemption applied]; see Walters v. Am. Coach Lines of Miami, Inc.

(11th Cir. 2009) 575 F.3d 1221, 1226-1229 [after noting the FLSA exemption includes a

requirement that carrier was engaged in interstate commerce, the court articulated same

rule as Bell case].) Although the Levin court acknowledged the above principle quoted in

Bell, the court found that it did not assist the plaintiff in the FAA case before it, which

case involved the local delivery of meals prepared in local restaurants. The court held

that even if ingredients for the food prepared in the restaurants may have been part of the

stream of interstate commerce, the ingredients’ interstate journey ended when those

goods reached the restaurants. (Levin, supra, 146 F.Supp.3d at p. 1154.)

Applying the law outlined above to the instant case, we conclude that Nieto was

engaged in interstate commerce during his employment as a delivery driver for VWB.

The following facts were admitted by VWB in the declaration filed in support of its

petition to compel arbitration: “VWB is a beverage distributor located in Fresno,

California. It sells and distributes beer, wine, and other related beverages and products

throughout Central California. While VWB’s principal place of business is in California,

it contracts with and buys from companies nationally and internationally. It[] sells beer,

wine, and other beverages manufactured in the United States, including states outside of

California, and countries worldwide. These beverages are delivered from out-of-state to

VWB’s warehouse where they are held for a short period before delivery to VWB’s

customers. [¶] . . . [¶] . . . VWB and its drivers, including [Nieto], are subject to and

must comply with federal Department of Transportation regulations, and other federal

laws and regulations governing motor vehicle safety. VWB drivers traverse interstate

highways and roads.” As VWB acknowledged in its points and authorities filed in

support of its petition: “Even if the drivers are not transporting goods across state lines,

their transportation is part of a ‘practical continuity of movement’ in the flow of interstate

12.

commerce. [Citations.]” It is apparent from the above information and concessions that

Nieto’s deliveries, although intrastate, were essentially the last phase of a continuous

journey of the interstate commerce (i.e., beer and other beverages delivered to VWB’s

warehouse from out-of-state) being transported until reaching its destination(s) to VWB’s

customers. Accordingly, as a delivery truck driver for VWB, Nieto was engaged in

interstate commerce through his participation in the continuation of the movement of

interstate goods to their destinations. Therefore, the trial court did not err in concluding

that Nieto was employed as a transportation worker engaged in interstate commerce to

whom the exemption of section 1 of the FAA was applicable.3

Because we have concluded that the trial court correctly found Nieto was exempt

from the FAA, it is unnecessary for us to address Nieto’s alternative argument that the

arbitration agreement was entirely unenforceable based on allegedly unconscionable

provisions.

III. Issue raised in the reply brief.

The trial court held that because Nieto was “a transportation worker and thus

exempt from the FAA,” Labor Code section 2294 governed, which the trial court

explained “provides that an action for wage and hour claims may be maintained despite

3 Prior to oral argument, VWB informed this court of additional federal district

court cases (i.e., Magana v. DoorDash, Inc. (N.D.Cal. 2018) 343 F.Supp.3d 891; Lee v.

Postmates Inc. (N.D.Cal., Oct. 15, 2018, No. 18-cv-03421-JCS) 2018 U.S.Dist. LEXIS

176965, and Lee v. Postmates Inc. (N.D.Cal., Dec. 17, 2018, No. 18-cv-03421-JCS) 2018

U.S.Dist. LEXIS 212209). These cases appear to involve purely local deliveries of goods

from local restaurants or merchants to local customers. As such, they are distinguishable

from the present case in which, as explained hereinabove, the employee worked for a

company in the business of distributing beer and other beverages brought in from out of

state to be delivered to destinations or customers in the Central Valley, where the

employee’s transportation work was clearly part of the continuation of the flow of

interstate commerce.

4 Labor Code section 229 states in relevant part: “Actions to enforce the provisions

of this article for the collection of due and unpaid wages claimed by an individual may be

maintained without regard to the existence of any private agreement to arbitrate.”

13.

an agreement to arbitrate.” The trial court then concluded: “[Nieto’s] complaint is, in its

entirety, an action for wage and hour violations. [Nieto’s] action may thus be

maintained, regardless of the arbitration provision in the employment contract between

[Nieto] and [VWB].” Accordingly, VWB’s petition to compel arbitration was denied.

In its reply brief herein, VWB argues for the first time that the trial court may have

erred in concluding that all of Nieto’s causes of action were subject to Labor Code

section 229. We decline to consider that issue here. An appellant’s failure to raise an

issue in his or her opening brief is ordinarily treated as a waiver of that issue (Paulus v.

Bob Lynch Ford, Inc. (2006) 139 Cal.App.4th 659, 685), and consequently, points raised

in the reply brief for the first time will generally not be considered on appeal. (Shade

Foods, Inc. v. Innovative Products Sales & Marketing, Inc. (2000) 78 Cal.App.4th 847,

894-895, fn. 10.)

DISPOSITION

The order of the trial court is affirmed. Costs on appeal are awarded to plaintiff

Daniel Nieto.

_____________________

DETJEN, Acting P.J.

WE CONCUR:

_____________________

FRANSON, J.

_____________________

DESANTOS, J.

14.

Filed 3/22/19

CERTIFIED FOR PUBLICATION

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

FIFTH APPELLATE DISTRICT

DANIEL NIETO,

F074704

Plaintiff and Respondent,

(Super. Ct. No. 16CECG02614)

v.

FRESNO BEVERAGE COMPANY, INC., ORDER GRANTING REQUEST

FOR PUBLICATION

Defendant and Appellant.

As the nonpublished opinion filed on March 7, 2019, in the above entitled matter

hereby meets the standards for publication specified in the California Rules of Court,

rule 8.1105(c), it is ordered that the opinion be certified for publication in the Official

Reports.

DETJEN, Acting P.J.

WE CONCUR:

FRANSON, J.

DESANTOS, J.

15.

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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