Field by driver Derek Gibbins, the lawsuit alleges franchise operator Hishmeh Enterprises Inc. uses a flawed method to determine reimburse rates. Specifically, it typically pays $1 per trip whch that does not accurately reflect costs incurred by drivers.
The complaint further claims that Hishmeh' "systematic failure"to provide adequate reimbursement constitutes a "kickback"such that hourly wages paid to its drivers are not free and clear, resulting in net wages that fall beneath federal and state minimum-wage requirements in violation of the FLSA and state labor codes.
"The net effect of defendant' flawed reimbursement policy is that it willfully fails to pay the federal and state minimum wage to its delivery drivers,"according to the complaint filed in California federal court. "Defendant thereby enjoys ill-gained profits at the expense of its employees."
The complaint alleges all Hishmeh drivers have similar experiences because they operate under the same reimbursement policy. The suit seeks to include an estimate of several hundred current and former Hishmeh delivery drivers in California over the past four years.
Gibbins is represented by Ryan L Thompson of Watts Guerra LLP. The case is Derek Gibbins v. Hishmeh Enterprises Inc., case number 2:15-cv-02175, is filed in U.S. District Court in the Central District of California Western Division.