In the case of Quiroz v. DCT Enterprises Of New Mexico, LLC., Sanjuana Quiroz filed a lawsuit against DCT Enterprises (DCT) for alleged violations of the Fair Labor Standards Act (FLSA). Quiroz claimed that DCT owned and operated several Papa John’s franchises in New Mexico.
Quiroz worked as a delivery driver for DCT, during which time she claimed that DCT paid her less than the minimum wage per hour. There were various expenses related to her delivery job. Quiroz claimed that she had to cover expenses such as automobile costs, gasoline, insurance, cell phone expenses, and vehicle maintenance and parts. These costs were deducted from her wages, which resulted in a lower hourly rate. Additionally, Quiroz also contended that she worked more than 40 hours per week on certain occasions without receiving proper overtime pay.
Overall, Quiroz filed a motion for default judgment, seeking compensation for back wages, liquidated damages, and attorney’s fees and costs. The court found that DCT had not responded to Quiroz’s complaint or motion, and default was entered. However, there was doubt about whether Quiroz properly served DCT with the legal documents. Quiroz’s process server deliver the documents to a manager named Jeremy Roths, but it was unclear if Roths had the authority to accept on behalf of DCT.
As a result, the court denied Quiroz’s motion for default judgment and ordered Quiroz to provide proof as to why the case should not be dismissed for failure to timely serve DCT.
Key lessons from this case:
- Delivery driver employees should clarify their rights to additional compensation for costs such as gasoline or vehicle maintenance to prevent employers from deducting such costs from their wages.
- Employees who file complaints seeking back wages must ensure that legal documents are properly delivered to the appropriate individual within the company they sue.
- A motion for default judgment cannot be granted if an employee fails to comply with the proper procedures for filing overtime lawsuits.
If you want to know more about overtime regulations, read our guide on New Mexico Overtime Laws.