# Opposition — Figueredo v. South Florida Beverage Corp.

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## Record

- **Collection:** Supreme Court brief
- **Document type:** Opposition
- **Published:** January 1, 1982
- **Citation:** 459 U.S. 881

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Table of Contents.

Opinions below 1
Statute and regulations involved 2
Statement of the case 3
Argument 8

I. The writ should be denied because it was not
timely filed 8

II. The writ should be denied because there is no
substantial federal question warranting review ll
Conclusion 17

Appendix A: Corporate affiliates of South Florida
Beverage Corporation 19

Table of Authorities Cited.
Cases.

American Railway Express Co. v. Levee, 263 U.S. 19
(1923) 8
Ansin v. Thurston, 10] So.2d 808 (Fla. 1958) 8, 10

Bay Ridge Operating Co. v. Aaron, 334 U.S. 446 (1948) 7, 11, 13
Brennan v. Elmer's Disposal Service, Inc., 510 F.2d

84 (9th Cir. 1975) ln
Brooklyn Savings Bank v. O’Neil, 324 U.S. 697(1945) 12n
Harris v. Pennsylvania R.R., 361 U.S. 15 (1959) 12n
Lake v. Lake, 103 So.2d 639 (Fla. 1958) 4

Nielsen v. City of Sarasota, 117 So.2d 731 (Fla. 1960) 10

Norfolk & Suburban Turnpike Co. v. Virginia, 225
U.S. 264 (1912) 10n

ii TABLE OF AUTHORITIES CITED.

Norris v. Alabama, 294 U.S. 587 (1935) lan
Perma Life Muf‘lers, Inc. v. International Parts Corp..,

392 U.S. 134 (1968) 12n
Shaw v. Shaw, 334 So.2d 13 (Fla. 1976) 9
Walling v. Youngerman-Reynolds Hardwood Co., 325

U.S. 419 (1945) 7, 11,13
Westerman v. Shell’s City, Inc., 265 So.2d 43 (Fla.

1972) 9
Wilkerson v. McCarthy, 336 U.S. 53 (1949) 12n
Williams v. Florida, 399 U.S. 78 (1970) 8
Yadav v. Coleman Oldsmobile, Inc., 538 F.2d 1206

(5th Cir. 1976) 16

STATUTES AND CONSTITUTIONAL Provisions.

28 U.S.C. § 1257 10
28 U.S.C. § 2101 (c) 8
Fair Labor Standards Act, 29 U.S.C.
§§ 201 et seq. 2, 4, 5, lln, 13
Section 7(a) (1) 2,4,13
Section 7 (e) (5) 5
Section 7 (e) (6) 5
Section 7 (e) (7) 5
Section 7 (f) lln, 12n
Florida Constitution, Article V
§3 8
§ 3(b) 4
§ 3(b)(1) 9
§ 3(b) (2) 9
§ 3(b)(3) 9, 10

TABLE OF AUTHORITIES CITED. iii

MISCELLANEOUS.
29 C.F.R.
§ 778.112 2,5, 7, 12, 14 et seq
§ 778.114 2, 4,5, 7, 14 et seq
§ 778.405 12n
Supreme Court
Rule 17.1(b) ll
Rule 17.1(c) ll

Wage-Hour Opinion Letter No. 950 (Feb. 12, 1969) 16

No . 81-2366.

In the
Supreme Court of the United States.

Ocroser Term, 1981.

EFRAIN FIGUEREDO, er aAt.,
PETITIONERS,

SOUTH FLORIDA BEVERAGE CORPORATION,
RESPONDENT.

ON PETITION FOR A WRIT OF CERTIORARI TO
THE DISTRICT COURT OF APPEAL OF FLORIDA, THIRD DISTRICT.

Brief in Opposition to Petition for a Writ of Certiorari.

Opinions Below.

The order of the trial court (the Circuit Court for Dade
County) was entered on October 10, 1980 (Pet. App. 24-26).
The decision of the District Court of Appeal of Florida, Third
District, was filed on December 22, 1981 and is reported at
409 So.2d 490 (Pet. App. 12-22). A motion for rehearing was
denied on February 9, 1982 (Pet. App. 23). The Florida Su-
preme Court denied a petition for certiorari on May 28, 1982
(Pet. App. 27).

2
Statute and Regulations Involved.

Section 7(a)(1) of the Fair Labor Standards Act, 29 U.S.C.
§ 207(a)(1), provides as follows:

Except as otherwise provided in this section, no
employer shall employ any of his employees who in any
workweek is engaged in commerce or in the production of
goods for commerce, or is employed in an enterprise en-
gaged in commerce or in the production of goods for com-
merce, for a workweek longer than forty hours uniess
such employee receives compensation for his employment
in excess of the hours above specified at a rate not less
than one and one-half times the regular rate at which he

is employed.

29 C.F.R. § 778.112 provides:

Day rates and job rates. If the employee is paid a flat
sum for a day’s work or for doing a particular job, with-
out regard to the number of hours worked in the day or at
the job, and if he receives no other form of compensation
for services, his regular rate is determined by totaling all
the sums received at such day rates or job rates in the
workweek and dividing by the total hours actually
worked. He is then entitled to extra half-time pay at this
rate for all hours worked in excess of 40 in the workweek.

29 C.F.R. § 778.114(a) provides:

Fixed salary for fluctuating hours. (a) An employee em-
ployed on a salary basis may have hours of work which

3

fluctuate from week to week and the salary may be paid
him pursuant to an understanding with his employer that
he will receive such fixed amount as straight time pay for
whatever hours he is called upon to work in a workweek,
whether few or many. Where there is a clear mutual
understanding of the parties that the fixed salary is com-
pensation (apart from overtime premiums) for the hours
worked each workweek, whatever their number, rather
than for working 40 hours or some other fixed weekly work
period, such a salary arrangement is permitted by the Act
if the amount of the salary is sufficient to provide compen-
sation to the employee at a rate not less than the applicable
minimum wage rate for every hour worked in those work-
weeks in which the number of hours he works is greatest,
and if he receives extra compensation, in addition to such
salary, for all overtime hours worked at a rate not less than
one half his regular rate of pay. Since the salary in such a
situation is intended to compensate the employee at
straight time rates for whatever hours are worked in the
workweek, the regular rate of the employee will vary from
week to week and is determined by dividing the number of
hours worked in the workweek into the amount of the
salary to obtain the applicable hourly rate for the week.
Payment for overtime hours at one-half such rate in addi-
tion to the salary satisfies the overtime pay requirement
because such hours have already been compensated at the

straight time regular rate, under the salary arrangement.

Statement of the Case.
This is an action by 63 route drivers against their employer,
South Florida Beverage Corporation (the “Company”),' for

‘South Floride Beverage Corporation is a wholly-owned subsidiary of
Holiday General Corporation, which is in turn a wholly-owned subsidiary

4

overtime compensation payments allegedly required by the
Fair Labor Standards Act, 29 U.S.C. §§ 201 et seq. (“FLSA”).

As delivery truck drivers, petitioners spent virtually their
entire working time servicing routes away from the
Company's premises and without any direct supervision or
control (Record Appendix in District Court of Appeal (“R.”)
57-58, 217, 230-232). Their actual work hours fluctuated
from day to day and week to week, depending on such factors
as traffic and the speed and ability of the driver (Pet. App. 15;
R. 52, 57-58, 216-217, 230-232, 561-580). The drivers some-
times worked more, and sometimes less, than eight hours per
day and forty hours per week, respectively. Id.

In 1975, the drivers selected as their exclusive representative
for collective bargaining purposes Local 8430 of the United
Steelworkers of America (the “union”) (Pet. App. 32; R. 174).
As a result of collective bargaining, the parties’ 1975-1978
agreement provided that the drivers would receive overtime
pay computed “in accordance with the procedure outlined in
Interpretive Bulletin Section 778.114 of the Wage and Hour
Administrator, entitled ‘Fixed Salary for Fluctuating Hours’”
(Pet. App. 14; R. 391, 398). At the same time, the parties
entered into a sideletter providing that:

For the first six weeks after the contract is signed, the
Company may schedule employees to work in excess of 50
hours in a given work week. Thereafter, under normal
circumstances, the Company will not schedule an em-

ployee to work a regular work week in excess of fifty (50)
hours.

of General Cinema Corporation. Aifiliated corporations (which are directly
or indirectly owned by General Cinema Corporation) are set forth in Appen-
dix A.

5

(R. 419, 421; Plaintiffs’ Exhibit 1 (emphasis added).) Shortly
thereafter, the union requested and the Company agreed to
treat Saturday work separately in determining weekly overtime
pay, as is permitted by 29 U.S.C. § 207(e)(6) (premium Satur-
day pay not included in “regular rate”). See Pet. App. 15 n.5.

During the term of the 1975-1978 collective bargaining
agreement, the Company paid the drivers a guaranteed, fixed
sum of one-fifth of their designated salary for each day that
they performed some work, regardless of the number of hours
worked (Pet. App. 15; R. 235-236, 566, 569). In accordance
with this practice, a driver was paid a full day’s pay even if he
worked less than eight hours that day (R. 187-189). If a driver
worked more than forty hours in a particular week the Com-
pany, in accordance with guidelines published by the Wage
and Hour Division of the U.S. Department of Labor (R. 383,
452), computed the driver's “regular rate” for that week by
dividing the designated weekly salary (excluding any premium
or non-statutory overtime payments as provided in §§ 7(e)(5)
and 7(e)(7)) by the hours worked during that week (Pet.
App. 15). The Company then paid such drivers overtime
compensation, in addition to the compensation already paid
for that week, at one-half their “regular rate” for each hour
worked over forty (Pet. App. 15). The reason for this method
of computing overtime was that under a “daily rate” arrange-
ment, the total “daily rate” payments which the drivers re-
ceived compensated them at “straight time” rates for whatever
hours they worked that week. Therefore, in order to provide
the employees with one and one-half times their “regular
rate,” an additional payment for overtime hours at one-half
the “regular rate” for that week was necessary (Pet. App. 15,
17, 18 n.7; 29 C.F.R. § 778.112; cf. id. § 778.114).

The Company consistently followed these pay practices dur-
ing the term of the 1975-1978 agreement (R. 236, 241-245,
299-304, 317, 319, 335-336, 385-386, 569). At no time did

petitioners — several of whom were officers of the union
(R. 31, 39, 55, 182) — or any other drivers file any grievance
or even suggest that the Company was violating the agreement
(R. 176-177, 216-218, 250-251, 408, 431, 584). Nor did the
union. Id.

In the 1978 collective bargaining negotiations (in which sev-
eral of the petitioners participated), the union proposed a
change to an hourly method of pay, but this proposal was re-
jected (R. 76, 81-86, 199, 213-215, 575-579). As a compro-
mise, the parties agreed not to change the underlying “daily
rate” method of pay, but agreed to increase overtime compen-
sation to an additional payment at the employee's “straight
time” rate for that week (id.; Pet. App. 15). Thus, the Com-
pany agreed as a contractual matter to a higher overtime
premium than was required by the FLSA, but less than peti-
tioners now claim to be due (Pet. App. 15).

Under the 1978 agreement, the Company continued to pay
employees on a “daily rate” basis without any objection that
this method of payment violated the 1978 agreement. Al-
though one driver apparently complained to the Department
of Labor concerning the Company’s method of overtime pay
(Pet. App. 44), the Department instituted no proceedings and
made no suggestion that the Company was in violation of the
FLSA. Petitioners thereafter brought this action in the Cir-
cuit Court for Dade County, Florida.

After a non-jury trial, the Circuit Court issued an order,
without opinion, concluding that the Company had not com-
puted overtime pay in accordance with the requirements of
the FLSA (Pet. App. 24-26). The trial court found that the
Company had paid overtime on the basis “that daily wages
equal to one-fifth of the weekly wage stated in the contract
was to cover all of the hours which [the employees] were
required to work during the day” (Pet. App. 24). However,
relying “almost entirely upon a single clause” in the governing

7

collective bargaining agreement (Pet. App. 13-14), the trial
court ruled that the Company was required to pay overtime on
the basis that the employees received fixed pay for fixed hours

On appeal, the District Court of Appeal of Florida, Third
District, ruled that the Company had not violated the FLSA.
Relying on this Ccurt’s decisions in Walling v. Youngerman-
Reynolds Hardwood Co., 325 U.S. 419 (1945), Bay Ridge
Operating Co. v. Aaron, 334 U.S. 446 (1948), and progeny,
the District Court of Appeal ruled that:

the polestar in the determination of the “regular rate”
question is the reality of the particular situation, that is,
what hours and methods of pay were adopted “in actual
fact” by the employer and employee.

(Pet. App. 14.) On the basis of the “actual facts,” including
the contractual provision referring to § 778.114, the Com-
pany’s consistent and unchallenged practice over the term of
two collective bargaining agreements, and the bargaining his-
tory of the second of those agreements (Pet. App. 15-16,
21-22), the District Court of Appeal found that “everyone,
without issue, dispute, or complaint, treated the agreement”
as one under which “a driver received a guaranteed payment
of one-fifth of his designated weekly salary for each weekday
he reported for work no matter how many hours he worked on
that particular day” (Pet. App. 15, 22). Since the employees
were “paid on a flat-sum-per-day-regardless-of-hours- worked
basis” (Pet. App. 14), the court concluded that the Company's
method of computing overtime pay was precisely the one
authorized by the applicable regulations of the U.S. Depart-
ment of Labor, 29 C.F.R. § 778.112; cf. id. § 778.114. See
Pet. App. 15, 19.

8
Argument.

I. THe Warr SHoutp se Deniep Because It was Nor
Trey Fizep.

The petition for certiorari should be denied because it was
not filed in timely fashion. The District Court of Appeal
rendered final judgment on December 22, 1981 and denied
rehearing on February 9, 1982. Any petition for certiorari
therefore was required to be filed on or before May 10, 1982.
28 U.S.C. § 2101(c). In fact, the petition was not filed until
June 25, 1982.

Petitioners contend, in reliance on American Railway Ex-
press Co. v. Levee, 263 U.S. 19 (1923), that “the time for filing
here is computed from the date the Florida Supreme Court
refuses to accept its discretionary jurisdiction” (Pet. 2). Peti-
tioner’s reliance on Levee is misplaced because in this case,
unlike Levee, the state Supreme Court did not have jurisdic-
tion, discretionary or otherwise, to review the judgment in
question.

On July 1, 1957, the Florida state Constitution was arnend-
ed to establish the district courts of appeal as “courts of final,
appellate jurisdiction,” Lake v. Lake, 103 So.2d 639, 642 (Fla.
1958) (emphasis in original). Accord, Ansin v. Thurston, 101
So.2d 808, 810 (Fla. 1958), cited with approval, Williams v.
Florida, 399 U.S. 78, 80 n.5 (1970).* At the same time, the
jurisdiction of the Florida Supreme Court was sharply cur-
tailed. Florida Constitution, Article V, § 3. That court is re-
quired to hear appeals in cases “imposing the death penalty,”
“declaring invalid a state statute or a provision of the state
constitution,” or involving certain other specific situations not

* The petitioner in Williams was represented by the same attorney who
represents petitioners herein.

applicable here. Fla. Const., Art. V, § 3(b)(1),(2). In addi-
tion, the Florida Supreme Court may, in its discretion, review
decisions in a narrowly-circumscribed classification of cases.
Id., Art. V, § 3(b). The principal provision concerning the
Florida Supreme Court's discretionary jurisdiction — and the
sole ground invoked by petitioners in their brief to the Florida
Supreme Court — confers the discretion to review a decision of
a district court of appeal that “expressly and directly conflicts”
with a decision of another district court of appeal or of the state
Supreme Court “on the same question of law.” Id., Art. V,
§ 3(b)(3).°

This case did not come within that category. There was no
decision of the Florida Supreme Court, or of any district court
of appeal, which “expressly and directly” conflicted with the
decision in this case “on the same point of law.” Both of the
cases relied upon by petitioners in the Florida Supreme Court
(see Pet. 6) involved factual and legal issues which were entire-
ly different from those involved here. Westerman v. Shell's
City, Inc., 265 So.2d 43 (Fla. 1972), involved a breach of an
oral contract to sell a liquor license. Shaw v. Shaw, 334 So.2d
13 (Fla. 1976), involved a trial court’s award of alimony in
connection with a divorce decree. Neither case involved the
Fair Labor Standards Act or interpretation of collective bar-
gaining agreements; indeed, neither involved labor or employ-
ment-related matters of any kind.‘

*Prior to 1968, the Florida Supreme Court had the discretion to review
decisions of the district courts of appeal that were “in direct conflict” with
such other decisions. In 1968, the Florida Constitution was amended to nar-
row this jurisdiction to its present scope.

‘Petitioners contended in the Florida Supreme Court that the decision
below “expressly and directly” conflicted with the cited cases because (in

apart from the merits of such a contention, the Florida Supreme Court has
made clear that Article V, § 3(b)(3) does not confer jurisdiction to review the

particular application of legal principles to unique factual situations, but

10

Although the Florida Bar has repeatedly been warned that
Article V, § 3(b)(3) does not convert the Florida Supreme
Court into a “‘court of selected errors,’” Nielsen v. City of
Sarasota, supra, 117 So.2d at 734, petitioners sought to obtain
two appeals on the merits in the Florida state courts. As the
Florida Supreme Court has repeatedly held, see, e.g., Ansin v.
Thurston, supra, it lacks jurisdiction to provide such a second
appeal. The District Court of Appeal therefore was the
highest court of Florida in which a decision could be had, 28
U.S.C. § 1257, and any petition for certiorari was due within

ninety days of that court’s denial of rehearing.*

rather to review “the announcement of a rule of law” which conflicts with
established precedent or to review a decision which reaches a conflicting con-
clusion in a case involving substantially the same controlling facts as were in-
volved in the allegedly conflicting precedents. Nielsen v. City of Sarasota,
117 So.2d 731, 734 (Fla. 1980) (emphasis in original).

*In its Order, the Florida Supreme Court stated that it had “determined
that it should decline to accept jurisdiction” (Pet. App. 27), but did not ex-
pressly state the reason for this determination. In these circumstances, this
Court's announcement in Norfolk & Suburban Turnpike Co. v. Virginia, 225
U.S. 264, 269 (1912), is applicable:

we now state that, from and after the opening of the next term of this
court, where a writ of error is prosecuted to an alleged judgment or a
decree of a court of last resort of a State declining to allow a writ of er-
ror to or an appeal from a lower state court, unless it plainly appears,
on the face of the record, by an affirmance in express terms of the judg-
ment or decree sought to be reviewed, that the refusal of the court to
allow an appeal or writ of error was the exercise by it of jurisdiction to
review the case upon the merits, we shall consider ourselves con-
strained to apply the rule announced in the Crovo Case, and shall
therefore, by not departing from the face of the record, solve against
jurisdiction the ambiguity created by the form in which the state court
has expressed its action.

ll

Il. THe Warr SHoutp se Deniep Because Tuene ts No
SUBSTANTIAL FEepeRAL QuesTION WARRANTING Review.

This case presents no issue which warrants the granting of
certiorari. There is no constitutional question. Since the case
arose in the Florida state court system, this case obviously in-
volves no conflict among the circuits. There is no conflict
alleged between the decision below and any decision of a fed-
eral court of appeals or state court of last resort. Cf. Supreme
Court Rule 17.1(b). The petitioners do not contend that the
decision below conflicts with any decisions of this Court. Su-
preme Court Rule 17.1(c). Indeed, the petitioners do not take
issue with the reliance by the District Court of Appeal (Pet.
App. 14-15) upon this Court’s decisions in Walling v. Younger-
man-Reynolds Hardwood Co., supra, Bay Ridge Operating
Co. v. Aaron, supra, and progeny.

The District Court of Appeal’s application of the FLSA like-
wise presents no “important question of federal law.” Supreme
Court Rule 17.1(c). The decision below involves no question
of general statutory interpretation, but only the application of
settled principles to the particular facts of this case. The deci-
sion below thus affects only the parties thereto, and has no

general legal significance.

* Brennan v. Elmer's Disposal Service, Inc., 510 F.2d 84 (9th Cir. 1975),
which petitioners claim is “[t]}he closest case factually on point,” is neither
factually similar nor legally apposite. That case involved a so-called “Belo”-
type plan in which an employer pays its employees a weekly salary in a fixed
amount which includes overtime pay. 29 U.S.C. § 207(f) establishes strict

ly guarantee of pay which covers no more than 60 hours. In Elmer's Disposal
Service, these statutory requirements were not met.

This case, by contrast, does not involve a “Belo” contract or § 207(f). The
rates of pay established by the parties’ collective bargaining agreements did
not include overtime, but rather provided for additional overtime pay, com-
puted on a “fluctuating hours” basis.

12

The “Questions Presented” by petitioners underscore the
lack of a substantial federal question (Pet. 1). The first “Ques-
tion Presented” concerns the scope of review of a Florida ap-
pellate court over a Florida trial court — an issue of state law.’

The second “Question Presented” — whether the “daily
rate” method of pay is “appropriate” in “the absence of an ex-
plicit agreement” when “the daily schedule is controlled by
the employer” — presents no substantial issue under estab-
lished federal law. The Department of Labor's regulation
concerning day rates, 29 C.F.R. § 778.112, upon which the
District Court of Appeal specifically relied (Pet. App. 17),
does not require an “explicit agreement,” and is applicable
regardless of whether “the daily schedule is controlled by the
employer.”* There is no sound reason — and none is offered
by petitioners — for this Court to require the Department

"None of the decisions of this Court cited by petitioners (Pet. 7) are
remotely similar to this case. Brooklyn Savings Bank v. O’Neil, 324 U.S. 697
(1945), involved the legal effect of an employee's release of FLSA claims. The
Court ruled that the legal effect depended on whether the release was intend-
ed as a full settlement of the employee's claims or only a waiver of liquidated
damages. Id. at 703. In so ruling, the Court held that although the state
courts had made no finding on that issue, the Court was not precluded from
reviewing the evidence.

The remaining decisions cited bear even less resemblance to this case. Nor-
ris v. Alabama, 294 U.S. 587 (1935), involved the exclusion of blacks from a
grand jury which indicted a black for rape. Wilkerson v. McCarthy, 336
U.S. 53 (1949), and Harris v. Pennsyloenie R.R.., 361 U.S. 15 (1959), in-
volved the special status of jury verdicts for employees under the Federal
Employers Liability Act. Perma Life Mufflers, Inc. v. International Parts
Corp., 392 U.S. 134 (1968), involved a federal court of appeals ruling that a
corporation was barred from bringing an antitrust action against an af-
filiated corporation under the in pari delicto theory.

* Petitioners’ reference to 29 C.F.R. § 778.405 is completely misplaced.
That regulation concerns “Belo” contracts under Section 7(f), see note 6,
supra, and has nothing to do with “daily rate” or “fluctuating workweek”
arrangements.

13

of Labor to engraft these additional requirements onto its
regulation.°

In any event, the District Court of Appeal properly conclud-
ed that the Company's “daily rate” method of pay was lawful
in this case.

Under the FLSA, employees must be paid for hours worked
in excess of forty per week at one and one-half times their
“regular rate.” 29 U.S.C. § 207(a)(1). As this Court has
repeatedly held, an employee's “regular rate” within the
meaning of the FLSA “must be drawn from what happens
under the employment contract” between the employee and
his employer. Bay Ridge Operating Co. v. Aaron, supra, 334
U.S. at 464; see Walling v. Youngerman-Reynolds Hardwood
Co., supra. It is undisputed as to “what happened” in this
case: both collective bargaining agreements and the sideletter
contemplated fixed pay for fluctuating hours; for over three
years, over the term of these two agreements, “employees
were, in fact, paid on a flat-sum-per-day-regardless-of-hours-
worked basis” (Pet. App. 14), and this practice was “accepted
by the drivers and their union” without any complaint that
this practice violated those agreements (Pet. App. 13; R. 176-
177, 216-218, 584). In these circumstances, the District Court
of Appeal properly concluded that the parties in fact agreed
to a fixed rate for fluctuating hours and not a fixed rate for
fixed hours. The court’s conclusion was supported by (among

other things) the following undisputed facts:

* Petitioners’ contention proceeds trom two erroneous factual predicates.
First, the Company did not have daily control of the work schedule or con-
trol over the actual hours worked by employees. Second, there was over-
whelming evidence to support the conclusion of the District Court of Appeal
that the parties “in actual fact” adopted the “flat
of-hours-worked basis” by which the Company computed overtime.

14

1. The 1975-1978 collective bargaining agreement
provided that overtime would be paid in accordance with

29 C.F.R. § 778.114, which contemplates fixed pay for
fluctuating work hours (R. 391, 398).

As the District Court of Appeal noted (Pet. App. 21), if
the parties had intended to provide fixed pay for fixed
hours, they never would have included this provision in
the contract.

2. At the time that the 1975-1978 agreement was
negotiated, the parties confirmed in a letter of under-
standing that the “regular work week” would not exceed
fifty hours under normal circumstances (R. 419, 421;
Plaintiffs’ Exhibit 1).

Once again, if the parties had intended to provide fixed
pay for a fixed workweek of 40 hours, they never would
have agreed to such a sideletter.

3. At all times, the drivers’ work hours in fact fluctu-
ated from day to day and week to week, sometimes more
and sometimes less than 8 hours per day or 40 hours per
week, respectively (R. 52, 57-58, 216-217, 230-232,
561-580).

4. At all relevant times the Company paid the drivers
a fixed sum for each day that they worked, even if they
worked less than eight hours in the day (R. 235-236, 566,
569). One of the drivers who is a petitioner herein speci-
fically admitted that such was the case (R. 187-189).

The Company's payment of the full daily rate for days
on which an employee worked less than eight hours is par-
ticularly significant, because it is inconceivable that the
Company would have paid a full day’s pay for a “short”
workday unless it was contractually obliged to do so.'®

‘© Having accepted for several years the benefit of receiving a full day's pay
for “short” workdays, it is completely inconsistent for petitioners to claim

15

5. The Company consistently followed its practice for
over three years, during the term of two successive collec-
tive bargaining agreements (R. 236, 241-245, 299-304,
317, 319, 335-336, 385-386, 569).

6. During the terms of those two agreements, neither
the petitioners — several of whom were officers of the
union (R. 31, 39, 55, 182) — nor the union filed any
grievance or even suggested that the Company was vio-
lating the collective bargaining agreements (R. 176-177,
216-218, 250-251, 408, 431, 584).

The District Court of Appeal was warranted in con-
cluding that no grievance or complaint was raised
because “everyone” recognized that the Company’s prac-
tice conformed to the parties’ actual agreement or under-
standing."

7. In the 1978 collective bargaining negotiations (in
which several of the drivers participated), the union pro-
posed a change to an hourly method of pay but this pro-
posal was rejected (R. 82-86, 199, 213-215, 575-579).

This bargaining history shows that the agreements did
not in fact establish an hourly method of pay.

8. In the 1978 negotiations, the parties agreed to in-
crease overtime compensation from the additional half-
time required by the FLSA to an additional straight-time.

Id.

This bargaining history was extremely significant to
the court, because if the 1975 agreement had established
a fixed rate of pay, and a requirement of an additional

that there ws no such arrangement and that they should in addition have
received overtime pay computed on a fixed hours basis instead of a fluc-
tuating hours basis.

"In short, the drivers’ failure to object to the Company's method of pay-
ment was not merely a waiver of rights but a recognition that no contractual
right’ were being violated.

16

time and one-half for overtime hours, the union never
would have sought (much less agreed to) such a change
(Pet. App. 22).

Against this evidence, petitioners place virtually their entire
reliance on the provision of the 1975-1978 agreement that “the
regular workweek” would be forty hours (Pet. 3). However,
in light of the contract’s reference to § 778.114, the letter of
understanding referring to a workweek of fifty hours or more,
and the parties’ longstanding and uncontested practice, the
District Court of Appeal properly concluded that this single
provision was not dispositive:

Viewed in this light, the forty-hour provision simply does
not mean — or even say — what the [trial] court held it
did. Indeed, it does not even speak to the real issue in the
case — the “regular rate” of the drivers. Instead, it pro-
vides only that the “regular work week” is forty hours

(Pet. App. 21; emphasis in original.)

In these circumstances, the District Court of Appeal prop-
erly concluded that the parties’ agreement was one for a daily
rate method of payment. It therefore followed that the man-
ner in which the Company computed overtime was proper. 29
C.F.R. § 778.112; Yadav v. Coleman Oldsmobile, Inc., 538
F.2d 1206, 1207-1208 (5th Cir. 1976); Wage-Hour Opinion
Letter No. 950 (Feb. 12, 1969).

17
Conclusion.

For the foregoing reasons, the petition for a writ of certi-

orari should be denied.
Respectfully submitted,
Of Counsel: JOHN H. MASON,
NELSON G. ROSS, ROPES & GRAY,
DAVID M. MANDEL, 225 Franklin Street,
ROPES & GRAY, Boston, Massachusetts 02110.
225 Franklin Street, (617) 423-6100
Boston, Massachusetts 02110. Counsel for Respondent.
(617) 423-6100

W. REYNOLDS ALLEN,
HOGG, ALLEN, RYCE,
NORTON & BLUE, P.A..,
609 West Horatio Street,
Tampa, Florida 33606.
(813) 251-1210

19
APPENDIX A.

CorporaATE AFFILIATES OF SOUTH FLORIDA
BEVERAGE CORPORATION

ABC Advertising Corporation
Airway Drive-In Theatre Co., Inc.

Alpert’s Warehouse Showrooms, Inc.
Barclay Leasing Corp.

Bedford Mall Cinema. Inc.

Beta One Leasing, Inc.

Cinema AD-Ventures, Inc.

College Square Cinema, Inc.

Coral “levision Corporation
Dazzie, inc.

Dedham Cinema, Inc.

Des Moines Drive-In Theatre Company
Fram-Gard Theatre Corp. of Del.

General Cinema Corp. of Connecticut
General Cinema of Florida, Inc.

General Cinema Corp. of Georgia
General Cinema Corp. of Indiana
General Cinema Corp. of Iowa

General Cinema Corp. of Kansas
General Cinema Corp. of Kentucky
General Cinema Corp. of Louisiana
General Cinema Corp. of Maine

General Cinema Corp. of Maryland, Inc.
General Cinema Corp. of Massachusetts
General Cinema Corp. of Michigan
General Cinema Corp. of Minnesota, Inc.
General Cinema Corp. of Mississippi
General Cinema Corp. of Missouri
General Cinema Corp. of Nevada
General Cinema of New Mexico, Inc.
General Cinema Corp. of New York, Inc.
General Cinema Corp. of North Carolina
General Cinema Corp. of Oklahoma, Inc.
General Cinema Corp. of Pennsylvania
General Cinema Corp. of Rhode Island
General Cinema Corp. of South Carolina
General Cinema Corp. of Tennessee
General Cinema Corp. of Texas

General Cinema Corp. of Virginia
General Cinema Corp. of Washington
General Cinema Corp. of Washington, D.C.
General Cinema Corp. of West Virginia
General Cinema Corp. of Wisconsin
Ginger General Joint Venture
Hackensack General Theatre Corp.
Hanover Mall Cinema, Inc.

Hanover Street Productions, Limited

21

Harundale Cinema, Inc.
Harundale Operating Corp.
Jefferson Square Joint Venture
Jersey Division Realty Corp.
Jersey Second Division Corp.
Joliet Cinema, Inc.

Kokomo Cinema, Inc.

Laconia Theatre Corp.

Lincoln Realty Corporation
London Square Cinema, Inc.
Louis Joliet Cinema, Inc.

Louis Joliet Joint Venture
Madison Cinema, Inc.

Meyerland Cinema, Inc.
Meyerland Leasing Corp.

Midway Drive-In Theatre Co.
Midwest Theatres Corporation
Morris Plains General Theatre Corp.
Nashua Mall Cinema, Inc.

Natick Auto Theatre Corporation
NEMLLC Beta Associates

Newport Plaza Cinema, Inc.
Omaha Drive-In Theatre Company
Pepsi-Cola Bottlers of Akron, Inc.
Pepsi-Cola Bottlers of Youngstown, Inc.
Polk Realty Corporation

Route 42 Cinema, Inc.

Shoregate Cinema, Inc.
Southtown Cinema Corp.

Sunkist Soft Drinks, Inc.
Timonium Concessions, Inc.
Timonium Drive-In Theatre Corp.
Timonium Realty Corp.

Totowa General Corp.

Troy Hills General Theatre Corp.
Union General Theatre Corp.
Westgate Brockton Cinema, Inc.
Westgate Cinema, Inc.

Westgate Leasing Corp.
Westwood Triplex Cinema, Inc.

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Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40385009_0254%3A3. Public record. Not legal advice.
