|
1. What are these lawsuits about?
2. What is the legal difference between employees and independent contractors?
3. Who are the attorneys bringing these lawsuits?
4. What is a class action?
5. What will happen next?
6. Am I part of these lawsuits?
7. Do I have to do anything right now?
8. How can I find out more?
9. Can FedEx retaliate against me for contacting you or helping you with the case?
10. Can my contract be terminated for providing you information or talking to you?
11. Will FedEx find out I have asked you questions or attended meetings with you?
12. How long will the case take?
13. Have there been other lawsuits against FedEx?
1. What are these lawsuits about?
Thirty-one lawsuits have been filed against FedEx Ground and/or FedEx Home Delivery in the following states: California, Florida, Illinois, Indiana, Iowa, Kentucky, Kansas, Massachusetts, Michigan, Minnesota, Mississippi, New Hampshire, New Jersey, New York, Rhode Island, Oregon, Pennsylvania, South Carolina, South Dakota, Tennessee, Texas, Virginia, Washington, and Wisconsin.
Most of these lawsuits challenge FedEx's classification of pick up and delivery drivers as independent contractors. FedEx requires drivers to purchase or lease their trucks and pay for all operating expenses, including workers compensation insurance, liability insurance, fuel, maintenance, etc. FedEx fails to reimburse the drivers for business expenses, pay employee benefits, makes illegal deductions from wages, fails to notify them about family medical leave rights and for drivers who drove a P450 or smaller truck, fails to pay overtime wages. FedEx misrepresents the truth about the real relationship between the drivers and FedEx. The lawsuits seek among other things reimbursement of business expenses, wage deductions, damages as a result of FedEx's misrepresentations and unfair business practices as well as an order prohibiting FedEx from continuing to violate the laws.
In the Summer of 2005, these cases were consolidated and transferred to one judge in a procedure called multi-district litigation (MDL). These cases are now before U.S. District Court Chief Judge Robert Miller in South Bend, Indiana. For a list and additional information about the lawsuits, please click here.
return to top
2. What is the legal difference between employees and independent contractors?
There are state and federal laws that address the issue of whether you are an independent contractor or employee. While the legal standards vary, generally, courts determine if a person is an employee or an independent contractor by asking certain key questions:
a) Is the manner of performing the work determined by the company or the driver? (if company = employee)
b) Are the services provided by the driver part of the regular business of the company? (Yes = employee)
c) Does the company have the right to fire the driver? (Yes = employee)
d) Does the driver provide services for different companies or just one? (if only one = employee)
e) How long does the driver work for one company and only one company? (if extended time = employee)
f) Can the drivers make a profit or suffer a loss based on the way they manage the route? (No=employee)
g) Does the company reserve the right to exercise control over how the work is done? (Yes = employee)
The actual conduct of the parties, not the labels used, determines whether the person is an employee or independent contractor.
return to top
3. Who are the attorneys bringing these lawsuits?
Each lawsuit was individually filed by a law-firm(s) in the state where the plaintiffs worked. The MDL Judge appointed the following firms to serve as co-lead counsels for all of the lawsuits against FedEx:
Leonard Carder (Lynn Faris - California)
Lockridge Grindal Nauen (Susan Ellingstad - Minnesota)
Wechsler Harwood (Robert Harwood - New York)
The co-lead counsel will coordinate all activities before trial. Leonard Carder successfully brought the first case against FedEx Ground (and its predecessor RPS, Inc.), Estrada v. FedEx Ground, in California challenging the independent contractor classification. Click here to learn more about the Estrada. case. In addition, Lockridge Grindal and Wechsler Harwood have extensive class action and multi-district litigation expertise.
Additionally, the MDL Judge appointed the following additional firms to serve on the Plaintiffs' Steering Committee:
Cureton Caplan (Jerald R. Cureton - New Jersey)
Siegel, Brill, Greupner, Duffy & Foster (Jordan Lewis - Pennsylvania)
Zimmerman Reed (J. Gordon Rudd - Minnesota)
Cureton Caplan won a recent New Jersey National Labor Relations Board ruling that drivers at FedEx Home Delivery were employees. These firms all have experienced attorney and have extensive class action and employment law expertise.
If you have questions about the lawsuits,
please contact Leonard Carder at (510) 272-0169.
return to top
4. What is a class action?
A class action is a suit brought by individuals on behalf of a large group of people with the same basic claims. All but a few of the lawsuits against FedEx have been filed as class actions. The MDL Judge has not yet determined if these cases meet the requirement for class treatment. This issue will be decided near the end of 2006. If these actions go forward as class actions, class members' rights will be protected, unless they ask to be excluded.
return to top
5. What will happen next?
The parties will begin looking for evidence in a process called discovery. Each side can request documents, ask written and oral questions of witnesses and gather information from each other. Many company executives will be required to answer questions about the practices at FedEx. The named plaintiffs will all be asked to answer questions and provide documents.
return to top
6. Am I part of these lawsuits?
If the cases proceed as class actions, you maybe part of the case if you worked as a pickup and delivery driver for FedEx Ground or FedEx Home Delivery and were classified as an “independent contractor” in one of the states where a class action is certified.
return to top
7. Do I have to do anything right now?
You are not required to do anything at this time. It would be helpful if you would submit an inquiry form and be willing to talk to us. We will protect your name and all confidential information you submit against disclosure to the full extent under the law. Submitting an inquiry form does not automatically make you our client. During the period before a class is certified, we can only serve as your attorneys if both you and our firms agree, in writing, that we will serve as your attorney. Contact the law firm handling the case in your state for more information.
return to top
8. How can I find out more?
You can keep track of this case by periodically checking this website. We will post major developments, decisions, and press releases. If you would like more information, please contact Leonard Carder at (510) 272-0169.
return to top
9. Can FedEx retaliate against me for contacting you or helping with the case?
It is unlawful for FedEx to retaliate against you for involvement in this case. If you believe it is doing so, please contact please contact Leonard Carder at (510) 272-0169 immediately.
return to top
10. Can my contract be terminated for providing you information or talking to you?
Not lawfully. It is against the law to retaliate against you for involvement in this case. Please contact Leonard Carder at (510) 272-0169 immediately.
return to top
11. Will FedEx find out I have asked you questions or attended meetings with you?
Your communications with us are protected by the attorney-client privilege and will not be disclosed to FedEx. If you are a FedEx driver, your responses to our inquiry form are secure and confidential. If we think you have information that can assist the case, we will talk to you about whether you might be a witness in this case. If you agree to be a potential witness in this case, your name may be disclosed to FedEx, but only after you have agreed to participate. In no event should FedEx's managers or attorneys talk to you about your claims in this case. If there is any attempt to do so, please contact please contact Leonard Carder at (510) 272-0169 immediately.
return to top
12. How long will the case take?
As with any large case, this case will likely take several years to get to trial. We are at the beginning stages of the litigation. Click here for a schedule of events.
return to top
13. Have there been other lawsuits against FedEx?
A group of drivers in California challenged their independent contractor status in a class action lawsuit against FedEx Ground in Estrada v. FedEx Ground. In 2004, the Judge in Estrada ruled that the drivers in California were employees and entitled to all of the legal protections provided to employees.
In addition, drivers in New Jersey and other states have challenged their independent contractor status. The National Labor Relations Board as well as other administrative agencies have ruled that FedEx drivers are employees.
return to top
|