Appeals Court Rules In Favor Of Danny Lopez In Case Against Aircraft Service International, Inc. And Menzies Aviation

Appeals Court Rules In Favor Of Danny Lopez In Case Against Aircraft Service International, Inc. And Menzies Aviation

Los Angeles, CA – [July 24, 2024] – In a pivotal legal decision, the U.S. Court of Appeals for the Ninth Circuit has ruled in favor of Danny Lopez, allowing his case against former employers Aircraft Service International, Inc. and Menzies Aviation (USA), Inc. to proceed in court. The lawsuit, which alleges wage and hour violations, was originally filed in Los Angeles County Superior Court before being moved to federal court by the defendants, who argued that federal law preempted some of Lopez’s claims.

Lopez, who served as a field technician fueling planes at Los Angeles International Airport (LAX) from 2007 to 2021, claimed his rights were violated under California’s Private Attorneys General Act (PAGA). The defendants countered by citing their Alternative Dispute Resolution (ADR) policy, which mandates arbitration and prohibits class actions, stating Lopez had agreed to these terms in 2019.

While the Federal Arbitration Act generally enforces arbitration agreements, there are notable exceptions. One such exception, illustrated in the U.S. Supreme Court’s Southwest Airlines Co. v. Saxon decision, applies to specific transportation workers directly involved in interstate commerce.

“We are pleased with the decision by the Ninth Circuit Court of Appeals in this case,” said Matthew J. Matern, founding attorney, Matern Law Group. “The opinion clarifies an important issue by establishing that, in order for an employee to fall within the transportation worker exemption to the Federal Arbitration Act, there is no requirement that the worker have ‘hands-on contact’ with goods and cargo or be directly involved in the transportation of the goods.”

“The Ninth Circuit applied a common sense approach in concluding that fuel technicians who physically add fuel to cargo and passenger airplanes ‘play a direct and necessary role in the free flow of goods across borders.’ The fueling of the airplanes is an essential component to their ability to engage in interstate and foreign commerce.”

Judge Dolly M. Gee ruled that Lopez’s role in fueling planes that traveled across state lines qualified him for this exemption. Consequently, Lopez is not required to arbitrate his dispute according to the employment agreement’s terms.

This ruling allows Lopez’s case to advance in court, underscoring the protections available to workers involved in interstate commerce and emphasizing the specific exceptions within the FAA. Read more on the Danny Lopez case on our website.

Judicial Panel: U.S. Circuit Judges Johnnie B. Rawlinson, Michael J. Melloy, and Holly A. Thomas.

Legal Representation:

Plaintiff (Danny Lopez): Matthew W. Gordon, Matthew J. Matern, Kiran Prasad, and Max Neal Sloves of Matern Law Group PC; Michael Rubin of Altshuler Berzon LLP.

Defendants (Aircraft Service International and Menzies Aviation): Christopher Ward and Kevin Jackson of Foley & Lardner LLP.

Case Information: Lopez v. Aircraft Service International Inc. et al., case number 23-55015, in the U.S. Court of Appeals for the Ninth Circuit.

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