Nguyen v. DeJoy

Background

Andy Nguyen sued Louis DeJoy, the United States Postmaster General, over payment he expected to receive when he left his job at the Willow Glen Post Office. Nguyen alleged that he worked there for three-and-a-half years, left on October 5, 2019, and expected to receive his remaining benefits. He contacted USPS personnel after learning that the check had been cashed at an ATM and reported the suspected forgery to the San Jose Police Department. He brought claims under the Fair Labor Standards Act (FLSA) and California Labor Code section 203.

DeJoy moved to dismiss for lack of subject-matter jurisdiction under Federal Rule of Civil Procedure 12(b)(1) and for failure to state an FLSA claim under Rule 12(b)(6).

California Labor Code claims

The court held that the California Labor Code claims could not proceed because USPS, as a federal government establishment, has sovereign immunity unless the government clearly waives it. The court found that Nguyen had not shown in his complaint or opposition that USPS waived sovereign immunity for these claims. It therefore dismissed the California Labor Code claims with leave to amend so Nguyen could attempt to demonstrate a waiver.

FLSA jurisdiction

The court explained that the Tucker Act waives sovereign immunity for certain contract-related claims but generally places claims seeking more than $10,000 within the jurisdiction of the United States Court of Federal Claims. A plaintiff may remain in federal district court by waiving damages above $10,000. The court found that Nguyen’s complaint did not make clear whether his damages exceeded $10,000 and that he had not waived any amount above that threshold. It therefore dismissed the FLSA claim for lack of jurisdiction and allowed Nguyen to amend to clarify the amount sought or waive damages above $10,000 if necessary.

FLSA pleading deficiency

The court also found that the complaint did not clearly identify the basis for the FLSA claim. The FLSA covers unpaid wages but generally does not cover payment for time not worked, such as leave, vacation, or holidays. Because it was unclear whether Nguyen claimed that USPS failed to pay leave or failed to provide his final paycheck, the court granted dismissal for failure to state a claim and allowed Nguyen to clarify the basis of the claim and whether the FLSA applied.

Disposition

The court granted DeJoy’s motion to dismiss the complaint and granted Nguyen leave to amend to fix the identified deficiencies. The order stated that Nguyen could not add new parties or claims without further court permission. It directed him to file an amended complaint or notify the court that he did not wish to amend by September 17, 2021, but later stated that the complaint would be dismissed if he did not act by September 16, 2021.