Nathaniel Silva, et al. v. Schmidt Baking Distribution, LLC, et al.

New Haven, Connecticut employment law lawyers represented the Plaintiff who sued on a wage and hour act violation theory.

Two commercial truck drivers worked for a baked goods company as W-2
employees through a staffing agency. As a condition of continued work, the
company required them to create corporations and execute distributor agreements
in their capacities as presidents of the new corporate entities. The agreements
contained mandatory arbitration clauses.

The drivers filed a putative class action in Connecticut state court alleging
violations of wage and hours laws. The company then removed the action to the
District Court for the District of Connecticut (Shea, C.J.), which granted the
company’s motion to compel arbitration under the Federal Arbitration Act (FAA).

The Driver argued that they were exempt from m arbitration under § 1 of the statute. m arbitration under § 1 of the statute.

Vacated and remanded.