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SUPERIOR COURT OF CALIFORNIA,
COUNTY OF SACRAMENTO
GORDON D SCHABER COURTHOUSE
MINUTE ORDER
DATE: 04/17/2018 TIME: 11:07:00 AM DEPT: 54
JUDICIAL OFFICER PRESIDING: Christopher Krueger
CLERK: M. Greco
REPORTER/ERM: None
BAILIFF/COURT ATTENDANT: M. Oreschak
CASE NO: 34-2017-00210560-CU-OE-GDS CASE INIT.DATE: 04/05/2017
CASE TITLE: Spears vs. Health Net of California Inc
CASE CATEGORY: Civil - Unlimited
EVENT TYPE: Motion to Compel - Other - Civil Law and Motion
ASSOCIATED CASES: 34-2017-00216685-CU-OE-GDS
APPEARANCES
Nature of Proceeding: Ruling on Submitted Matter - (Motion to Compel Special Interrogatories) -
Taken Under Submission 4/16/18
TENTATIVE RULING
** If any party requests oral argument, then at the time the request is made, the requesting party
shall inform the court and opposing counsel of the specific request(s) or issue(s) on which oral
argument is sought. **
The motion of Plaintiff Andrea Spears (Spears), suing on behalf of herself and a putative class, to
compel further responses to special interrogatories is GRANTED in part, DENIED in part and
CONTINUED in part as follows:
Overview
This is a consolidated wage-and-hour class action. Spears and Tomas R. Arana (Arana) (collectively
"Plaintiffs") are the named plaintiffs. No class has been certified. Health Net of California, Inc. (Health
Net) is a named defendant. Health Net estimates the class consists of approximately 5,000 individuals.
Plaintiffs allegedly served as hourly, non-exempt employees in Health Net call centers. Arana allegedly
was promoted to a salaried, exempt position in or about November 2015. He alleges Health Net
misclassified him as exempt.
In the consolidated complaint, Plaintiffs bring causes of action for failure to provide meal periods, failure
to provide rest periods, failure to pay hourly wages, failure to provide accurate wage statements, failure
timely to pay final wages, and unfair completion. There is also a PAGA claim for civil penalties.
Plaintiffs' factual allegations include: (1) they were not compensated for time at work they spent turning
on/off and logging into/out of their desktop computers; (2) beginning in January 2017, Health Net
rounded class members' start times up and thereby failed to compensate for time actually worked; (3)
Health Net does not keep record of actual hours worked; (4) Health Net does not have a formal policy
DATE: 04/17/2018 MINUTE ORDER Page 1
DEPT: 54 Calendar No.
CASE TITLE: Spears vs. Health Net of California Inc CASE NO: 34-2017-00210560-CU-OE-GDS
encouraging employees to take meal or rest breaks; (5) Health Net's productivity requirements compel
employees to work through meal and rest periods; (6) and Health Net fails to include in its calculations of
regular pay non-discretionary bonuses and/or shift differential pay.
Plaintiffs seek to certify classes for the period beginning four years before the action was filed (i.e.,
4/05/13) through entry of judgment. Plaintiffs define the proposed classes and subclasses as follows:
Non-Exempt Class: All persons employed by Health Net of California, Inc. and Health Net, Inc. and/or
any staffing agencies and/or any other third parties in hourly or non-exempt positions in California during
the Relevant Time Period.
Non-Exempt Meal Period Sub-Class: All Non-Exempt Class members who worked a shift in excess of
five hours during the Relevant Time Period.
Non-Exempt Rest Period Sub-Class: All Non-Exempt Class members who worked a shift of at least
three and one-half (3.5) hours during the Relevant Time Period.
Non-Exempt Wage Statement Penalties Sub-Class: All Non-Exempt Class members employed by
Defendants in California during the period beginning one year before the filing of the Action and ending
when final judgment is entered.
Non-Exempt Waiting Time Penalties Sub-Class: All Non-Exempt Class members who separated from
their employment with Defendants during the period beginning three years before the filing of the Action
and ending when final judgment is entered.
Exempt Class: All persons employed by Health Net of California, Inc. and Health Net, Inc. and/or any
staffing agencies and/or any other third parties in California as a Business Analyst, Systems Analyst,
Contact Center Analyst or Analyst during the Relevant Time Period.
Exempt Meal Period Sub-Class: All Exempt Class members who worked a shift in excess of five hours
during the Relevant Time Period.
Exempt Rest Period Sub-Class: All Exempt Class members who worked a shift of at least three and
one-half (3.5) hours during the Relevant Time Period.
Exempt Wage Statement Penalties Sub-Class: All Exempt Class members employed by Defendants in
California during the period beginning one year before the filing of the Action and ending when final
judgment is entered.
Exempt Waiting Time Penalties Sub-Class: All Exempt Class members who separated from their
employment with Defendants (during the period beginning three years before the filing of the Action and
ending when final judgment is entered.
Rounding Class: All persons employed by Health Net of California, Inc. and Health Net, Inc. and/or any
staffing agencies and/or any other third parties in California whose hours worked were affected by
Defendants' rounding practices during the Relevant Time Period.
UCL Class: All Non-Exempt Class, Exempt Class and Rounding Class members employed by
Defendants in California during the Relevant Time Period.
(Cons. Compl., ¶ 11.)
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CASE TITLE: Spears vs. Health Net of California Inc CASE NO: 34-2017-00210560-CU-OE-GDS
The Interrogatories at Issue
Currently at issue are Spears' first set of special interrogatories, nos. 6, 7, 11, 12, 14-16, 18 and 19.
These interrogatories read:
6. Please state, for each CLASS MEMBER, the pay periods when the CLASS MEMBERS were paid
overtime and cash payments in lieu of health benefits during the same pay period during the RELEVANT
TIME PERIOD (if you refer to documents in response to this special interrogatory, please identify the
specific bates numbers for the responsive documents).
7. Please state the number of CLASS MEMBERS who were paid overtime compensation during the
same pay period they received cash payments in lieu of health benefits during the RELEVANT TIME
PERIOD (if you refer to documents in response to this special interrogatory, please identify the specific
bates numbers for the responsive documents).
11. During the RELEVANT TIME PERIODS, please state all pay codes used by DEFENDANT on wage
statements provided to the CLASS MEMBERS (if you refer to documents in response to this special
interrogatory, please identify the specific bates numbers for the responsive documents).
12. For each pay code listed in response to Special Interrogatory No. 11, please provide an explanation
regarding what each pay code means (if you refer to documents in response to this special interrogatory,
please identify the specific bates numbers for the responsive documents).
14. For the RELEVANT TIME PERIOD, please state all forms of compensation the CLASS MEMBERS
were eligible to received (if you refer to documents in response to this special interrogatory, please
identify the specific bates numbers for the responsive documents).
15. Please state YOUR policies for providing meal periods to the CLASS MEMBERS during the
RELEVANT TIME PERIOD (if you refer to documents in response to this special interrogatory, please
identify the specific bates numbers for the responsive documents).
16. Please state YOUR policies for providing meal period premiums to the CLASS MEMBERS during
the RELEVANT TIME PERIOD (if you refer to documents in response to this special interrogatory,
please identify the specific bates numbers for the responsive documents).
18. Please state the job duties performed by the CLASS MEMBERS during the RELEVANT TIME
PERIOD (if you refer to documents in response to this special interrogatory, please identify the specific
bates numbers for the responsive documents).
19. Please state the total number of meal period premiums you paid to the CLASS MEMBERS during
the RELEVANT TIME PERIOD (if you refer to documents in response to this special interrogatory,
please identify the specific bates numbers for the responsive documents).
Health Net served objections and, in some cases, responses, including responses that refer Spears to
documents Health Net produced. Health Net repeatedly objected that full merits discovery at the
pre-certification phase of the case presents an undue burden and is harassing. In a concurrent ruling,
the court has denied Health Net's request for an order limiting discovery at this time to class certification
issues.
Discussion
Preliminarily, the court notes that Spears failed to include in her separate statement all definitions of
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CASE TITLE: Spears vs. Health Net of California Inc CASE NO: 34-2017-00210560-CU-OE-GDS
specifically defined terms in her requests. (See CRC 3.1345(c)(4).) Health Net objected that these
terms are vague and ambiguous. However, Health Net has not attempted to substantiate these
objections in its opposition papers. As a result, all objections to specially defined terms are overruled.
(See Fairmont Ins. Co. v. Superior Court (2000) 22 Cal.4th 245, 255, citation omitted.)
Turning to the merits, the court notes that this motion does not involve the potentially abusive practice of
using precertification discovery to learn the identities of putative class members. (See, e.g., CashCall,
Inc. v. Superior Court (2008) 159 Cal.App.4th 273, 284.) Hence, the court need not engage in the
balancing exercise unique to that context. Rather, the ordinary rules of discovery dictate the outcome of
this motion.
Interrogatories Nos. 11, 12, 15, 16 and 18 GRANTED
Health Net's objections of vagueness, undue burden, overbreadth, relevance and lack of reasonable
calculation, harassment and oppression are overruled. Where Health Net objects on grounds of
confidentiality / proprietary privilege, the parties' protective order sufficiently accommodates these
concerns.
With Respect to Interrogatories Nos. 15 and 16, it appears Health Net produced responsive documents
in lieu of serving substantive responses under CCP § 2030.230. Spears correctly observes that she is
entitled to Code-compliant responses notwithstanding Health Net's production of documents. Amended
responses inserted into informal correspondence do not suffice. (See Reply at 3:20-22.)
Health Net must serve verified amended responses without objections.
Interrogatory No. 14 DENIED
Health Net's vagueness objection to the term "forms of compensation" is sustained, and no further
response is required.
Interrogatories Nos. 6, 7 and 19 CONTINUED
Health Net has submitted the Lee Declaration, attached to the Schneider Declaration attached as Exhibit
R, to substantiate its objections that the interrogatories are unduly burdensome and oppressive.
Schneider estimates that culling the requested payroll information for the entire class would take four
Health Net employees between three and six months. Health Net argues that such a burden is
unwarranted at the pre-certification phase.
Health Net's concerns about undue burden have some merit. Spears does not currently need
class-wide payroll information. On the other hand, this type of discovery is relevant to certification
issues, and Spears is entitled to a meaningful sampling of the information sought.
Counsel shall meet and confer, either in person or by telephone, no later than 4/27/18. During their
discussions, counsel shall consider (1) whether Health Net can reduce the burden on its payroll
department by producing a significant sample of responsive documents or information rather than
class-wide documents/information. Counsel shall explore other cost-saving alternatives as well.
No later than 5/07/18, counsel shall file a joint report setting forth their stipulation or, failing that, their
respective positions. A further hearing on the motion will take place at 9:00AM on 5/10/18 in this
department. The court will post a further tentative ruling at 2:00PM the day before.
If counsel are unable to agree on a way to obtain a meaningful sampling of the payroll information
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CASE TITLE: Spears vs. Health Net of California Inc CASE NO: 34-2017-00210560-CU-OE-GDS
sought, then the court will make the order(s) necessary and appropriate to that end.
Health Net's remaining objections to Interrogatories Nos. 6, 7 and 19 are overruled or may be
accommodated with the parties' protective order.
Sanctions
No monetary sanctions are imposed.
Disposition
The motion is granted in part, denied in part and continued in part on the terms above.
Health Net shall serve its further responses to Interrogatories Nos. 11, 12, 15, 16 and 18 without
objections and no later than 4/30/18. The further responses shall strictly comply with CCP §§
2030.210-2030.250, except that no objections may be raised.
The Clerk of the Court is directed to schedule a further hearing on Interrogatories Nos. 6, 7 and
19 for 9:00AM on 5/10/18.
The minute order is effective immediately. No formal order pursuant to CRC 3.1312 or further notice is
required.
COURT RULING
The matter was argued and submitted.
The Court affirmed the tentative ruling.
SUBMITTED MATTER RULING
Having taken the matter under submission, the Court now rules as follows:
Counsel for plaintiff Andrea Spears stipulated at the hearing that special interrogatory number 18
regarding "job duties" only seeks job description information and should not require health net to
question all the members of the class regarding their day-to-day work. As so clarified, the court affirms
the tentative.
The Motion to Compel - Other - Civil Law and Motion RE: Interrogatories Nos. 6, 7 and19 is scheduled
for 05/10/2018 at 09:00 AM in Department 54.
DATE: 04/17/2018 MINUTE ORDER Page 5
DEPT: 54 Calendar No.
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SUPERIOR COURT OF CALIFORNIA, COUNTY OF SACRAMENTO GORDON D SCHABER COURTHOUSE MINUTE ORDER DATE: 04/17/2018 TIME: 11:07:00 AM DEPT: 54 JUDICIAL OFFICER PRESIDING: Christopher Krueger CLERK: M. Greco REPORTER/ERM: None BAILIFF/COURT ATTENDANT: M. Oreschak CASE NO: 34-2017-00210560-CU-OE-GDS CASE INIT.DATE: 04/05/2017 CASE TITLE: Spears vs. Health Net of California Inc CASE CATEGORY: Civil - Unlimited EVENT TYPE: Motion to Compel - Other - Civil Law and Motion ASSOCIATED CASES: 34-2017-00216685-CU-OE-GDS APPEARANCES Nature of Proceeding: Ruling on Submitted Matter - (Motion to Compel Special Interrogatories) - Taken Under Submission 4/16/18 TENTATIVE RULING ** If any party requests oral argument, then at the time the request is made, the requesting party shall inform the court and opposing counsel of the specific request(s) or issue(s) on which oral argument is sought. ** The motion of Plaintiff Andrea Spears (Spears), suing on behalf of herself and a putative class, to compel further responses to special interrogatories is GRANTED in part, DENIED in part and CONTINUED in part as follows: Overview This is a consolidated wage-and-hour class action. Spears and Tomas R. Arana (Arana) (collectively "Plaintiffs") are the named plaintiffs. No class has been certified. Health Net of California, Inc. (Health Net) is a named defendant. Health Net estimates the class consists of approximately 5,000 individuals. Plaintiffs allegedly served as hourly, non-exempt employees in Health Net call centers. Arana allegedly was promoted to a salaried, exempt position in or about November 2015. He alleges Health Net misclassified him as exempt. In the consolidated complaint, Plaintiffs bring causes of action for failure to provide meal periods, failure to provide rest periods, failure to pay hourly wages, failure to provide accurate wage statements, failure timely to pay final wages, and unfair completion. There is also a PAGA claim for civil penalties. Plaintiffs' factual allegations include: (1) they were not compensated for time at work they spent turning on/off and logging into/out of their desktop computers; (2) beginning in January 2017, Health Net rounded class members' start times up and thereby failed to compensate for time actually worked; (3) Health Net does not keep record of actual hours worked; (4) Health Net does not have a formal policy DATE: 04/17/2018 MINUTE ORDER Page 1 DEPT: 54 Calendar No. CASE TITLE: Spears vs. Health Net of California Inc CASE NO: 34-2017-00210560-CU-OE-GDS encouraging employees to take meal or rest breaks; (5) Health Net's productivity requirements compel employees to work through meal and rest periods; (6) and Health Net fails to include in its calculations of regular pay non-discretionary bonuses and/or shift differential pay. Plaintiffs seek to certify classes for the period beginning four years before the action was filed (i.e., 4/05/13) through entry of judgment. Plaintiffs define the proposed classes and subclasses as follows: Non-Exempt Class: All persons employed by Health Net of California, Inc. and Health Net, Inc. and/or any staffing agencies and/or any other third parties in hourly or non-exempt positions in California during the Relevant Time Period. Non-Exempt Meal Period Sub-Class: All Non-Exempt Class members who worked a shift in excess of five hours during the Relevant Time Period. Non-Exempt Rest Period Sub-Class: All Non-Exempt Class members who worked a shift of at least three and one-half (3.5) hours during the Relevant Time Period. Non-Exempt Wage Statement Penalties Sub-Class: All Non-Exempt Class members employed by Defendants in California during the period beginning one year before the filing of the Action and ending when final judgment is entered. Non-Exempt Waiting Time Penalties Sub-Class: All Non-Exempt Class members who separated from their employment with Defendants during the period beginning three years before the filing of the Action and ending when final judgment is entered. Exempt Class: All persons employed by Health Net of California, Inc. and Health Net, Inc. and/or any staffing agencies and/or any other third parties in California as a Business Analyst, Systems Analyst, Contact Center Analyst or Analyst during the Relevant Time Period. Exempt Meal Period Sub-Class: All Exempt Class members who worked a shift in excess of five hours during the Relevant Time Period. Exempt Rest Period Sub-Class: All Exempt Class members who worked a shift of at least three and one-half (3.5) hours during the Relevant Time Period. Exempt Wage Statement Penalties Sub-Class: All Exempt Class members employed by Defendants in California during the period beginning one year before the filing of the Action and ending when final judgment is entered. Exempt Waiting Time Penalties Sub-Class: All Exempt Class members who separated from their employment with Defendants (during the period beginning three years before the filing of the Action and ending when final judgment is entered. Rounding Class: All persons employed by Health Net of California, Inc. and Health Net, Inc. and/or any staffing agencies and/or any other third parties in California whose hours worked were affected by Defendants' rounding practices during the Relevant Time Period. UCL Class: All Non-Exempt Class, Exempt Class and Rounding Class members employed by Defendants in California during the Relevant Time Period. (Cons. Compl., ¶ 11.) DATE: 04/17/2018 MINUTE ORDER Page 2 DEPT: 54 Calendar No. CASE TITLE: Spears vs. Health Net of California Inc CASE NO: 34-2017-00210560-CU-OE-GDS The Interrogatories at Issue Currently at issue are Spears' first set of special interrogatories, nos. 6, 7, 11, 12, 14-16, 18 and 19. These interrogatories read: 6. Please state, for each CLASS MEMBER, the pay periods when the CLASS MEMBERS were paid overtime and cash payments in lieu of health benefits during the same pay period during the RELEVANT TIME PERIOD (if you refer to documents in response to this special interrogatory, please identify the specific bates numbers for the responsive documents). 7. Please state the number of CLASS MEMBERS who were paid overtime compensation during the same pay period they received cash payments in lieu of health benefits during the RELEVANT TIME PERIOD (if you refer to documents in response to this special interrogatory, please identify the specific bates numbers for the responsive documents). 11. During the RELEVANT TIME PERIODS, please state all pay codes used by DEFENDANT on wage statements provided to the CLASS MEMBERS (if you refer to documents in response to this special interrogatory, please identify the specific bates numbers for the responsive documents). 12. For each pay code listed in response to Special Interrogatory No. 11, please provide an explanation regarding what each pay code means (if you refer to documents in response to this special interrogatory, please identify the specific bates numbers for the responsive documents). 14. For the RELEVANT TIME PERIOD, please state all forms of compensation the CLASS MEMBERS were eligible to received (if you refer to documents in response to this special interrogatory, please identify the specific bates numbers for the responsive documents). 15. Please state YOUR policies for providing meal periods to the CLASS MEMBERS during the RELEVANT TIME PERIOD (if you refer to documents in response to this special interrogatory, please identify the specific bates numbers for the responsive documents). 16. Please state YOUR policies for providing meal period premiums to the CLASS MEMBERS during the RELEVANT TIME PERIOD (if you refer to documents in response to this special interrogatory, please identify the specific bates numbers for the responsive documents). 18. Please state the job duties performed by the CLASS MEMBERS during the RELEVANT TIME PERIOD (if you refer to documents in response to this special interrogatory, please identify the specific bates numbers for the responsive documents). 19. Please state the total number of meal period premiums you paid to the CLASS MEMBERS during the RELEVANT TIME PERIOD (if you refer to documents in response to this special interrogatory, please identify the specific bates numbers for the responsive documents). Health Net served objections and, in some cases, responses, including responses that refer Spears to documents Health Net produced. Health Net repeatedly objected that full merits discovery at the pre-certification phase of the case presents an undue burden and is harassing. In a concurrent ruling, the court has denied Health Net's request for an order limiting discovery at this time to class certification issues. Discussion Preliminarily, the court notes that Spears failed to include in her separate statement all definitions of DATE: 04/17/2018 MINUTE ORDER Page 3 DEPT: 54 Calendar No. CASE TITLE: Spears vs. Health Net of California Inc CASE NO: 34-2017-00210560-CU-OE-GDS specifically defined terms in her requests. (See CRC 3.1345(c)(4).) Health Net objected that these terms are vague and ambiguous. However, Health Net has not attempted to substantiate these objections in its opposition papers. As a result, all objections to specially defined terms are overruled. (See Fairmont Ins. Co. v. Superior Court (2000) 22 Cal.4th 245, 255, citation omitted.) Turning to the merits, the court notes that this motion does not involve the potentially abusive practice of using precertification discovery to learn the identities of putative class members. (See, e.g., CashCall, Inc. v. Superior Court (2008) 159 Cal.App.4th 273, 284.) Hence, the court need not engage in the balancing exercise unique to that context. Rather, the ordinary rules of discovery dictate the outcome of this motion. Interrogatories Nos. 11, 12, 15, 16 and 18 GRANTED Health Net's objections of vagueness, undue burden, overbreadth, relevance and lack of reasonable calculation, harassment and oppression are overruled. Where Health Net objects on grounds of confidentiality / proprietary privilege, the parties' protective order sufficiently accommodates these concerns. With Respect to Interrogatories Nos. 15 and 16, it appears Health Net produced responsive documents in lieu of serving substantive responses under CCP § 2030.230. Spears correctly observes that she is entitled to Code-compliant responses notwithstanding Health Net's production of documents. Amended responses inserted into informal correspondence do not suffice. (See Reply at 3:20-22.) Health Net must serve verified amended responses without objections. Interrogatory No. 14 DENIED Health Net's vagueness objection to the term "forms of compensation" is sustained, and no further response is required. Interrogatories Nos. 6, 7 and 19 CONTINUED Health Net has submitted the Lee Declaration, attached to the Schneider Declaration attached as Exhibit R, to substantiate its objections that the interrogatories are unduly burdensome and oppressive. Schneider estimates that culling the requested payroll information for the entire class would take four Health Net employees between three and six months. Health Net argues that such a burden is unwarranted at the pre-certification phase. Health Net's concerns about undue burden have some merit. Spears does not currently need class-wide payroll information. On the other hand, this type of discovery is relevant to certification issues, and Spears is entitled to a meaningful sampling of the information sought. Counsel shall meet and confer, either in person or by telephone, no later than 4/27/18. During their discussions, counsel shall consider (1) whether Health Net can reduce the burden on its payroll department by producing a significant sample of responsive documents or information rather than class-wide documents/information. Counsel shall explore other cost-saving alternatives as well. No later than 5/07/18, counsel shall file a joint report setting forth their stipulation or, failing that, their respective positions. A further hearing on the motion will take place at 9:00AM on 5/10/18 in this department. The court will post a further tentative ruling at 2:00PM the day before. If counsel are unable to agree on a way to obtain a meaningful sampling of the payroll information DATE: 04/17/2018 MINUTE ORDER Page 4 DEPT: 54 Calendar No. CASE TITLE: Spears vs. Health Net of California Inc CASE NO: 34-2017-00210560-CU-OE-GDS sought, then the court will make the order(s) necessary and appropriate to that end. Health Net's remaining objections to Interrogatories Nos. 6, 7 and 19 are overruled or may be accommodated with the parties' protective order. Sanctions No monetary sanctions are imposed. Disposition The motion is granted in part, denied in part and continued in part on the terms above. Health Net shall serve its further responses to Interrogatories Nos. 11, 12, 15, 16 and 18 without objections and no later than 4/30/18. The further responses shall strictly comply with CCP §§ 2030.210-2030.250, except that no objections may be raised. The Clerk of the Court is directed to schedule a further hearing on Interrogatories Nos. 6, 7 and 19 for 9:00AM on 5/10/18. The minute order is effective immediately. No formal order pursuant to CRC 3.1312 or further notice is required. COURT RULING The matter was argued and submitted. The Court affirmed the tentative ruling. SUBMITTED MATTER RULING Having taken the matter under submission, the Court now rules as follows: Counsel for plaintiff Andrea Spears stipulated at the hearing that special interrogatory number 18 regarding "job duties" only seeks job description information and should not require health net to question all the members of the class regarding their day-to-day work. As so clarified, the court affirms the tentative. The Motion to Compel - Other - Civil Law and Motion RE: Interrogatories Nos. 6, 7 and19 is scheduled for 05/10/2018 at 09:00 AM in Department 54. DATE: 04/17/2018 MINUTE ORDER Page 5 DEPT: 54 Calendar No.