Javier Angel Esquivel has filed a lawsuit against Armstrong Garden Centers, Inc. in the Superior Court of Los Angeles County (Case No. 22STCV26133) on August 2022, alleging violations under the Private Attorneys General Act of 2004 (PAGA). The case, which was appealed to the California Court of Appeal, Second Appellate District (Case No. B328406), centers around whether an arbitration agreement signed by Esquivel requires arbitration for his claims.
Mr. Esquivel, represented by Aegis Law Firm's Samuel A. Wong, Jessica L. Campbell, and Ali S. Carlsen, claims Armstrong violated multiple Labor Code provisions including wage payments and rest breaks. The alleged damages include unpaid wages and penalties for other employees as well. Armstrong's defense team from Sheppard Mullin Richter & Hampton LLP argued that these claims should be arbitrated based on an agreement Esquivel signed electronically in March 2021.
Esquivel seeks civil penalties on behalf of himself and other employees for various Labor Code violations allegedly committed by Armstrong Garden Centers.
The trial court denied Armstrong’s motion to compel arbitration in February 2023, finding that the arbitration agreement did not cover Esquivel’s individual PAGA claims for civil penalties.
Justices Currey, Collins and Hoffstadt all concurred with the lower court ruling that due to the lack of clear and explicit language within the employment agreement the motion to compel arbitration is denied. The appeal is affirmed.