Xi v. Mira Sushi Inc.

Background

Hua Xi and Zhongmin Ren brought claims under the Fair Labor Standards Act and New York Labor Law based on their work as deliverymen for Mira Sushi between approximately 2015 and 2019. The defendants were Mira Sushi Inc., doing business as Mira Sushi; Stellar 153 Inc., doing business as Mira Sushi; Andy Lee; Patricia Ng; Xiao Yun Mei; and Jinhee Cho.

The parties agreed to pause the case while Xi’s and Ren’s claims went to arbitration. Xi later asked the court to reopen the stayed case and confirm an arbitration award entered in his favor against Mira Sushi Inc. and Andy Lee.

Arbitration Award and Court’s Analysis

The arbitrator received written submissions, held two days of evidentiary hearings, allowed both sides to present evidence and question witnesses, and issued a reasoned award totaling $118,860.26. The award consisted of $45,379.05 in statutory damages, $36,464.05 in liquidated damages, $31,739.75 in attorneys’ fees, and $5,277.51 in costs. Mira Sushi Inc. and Andy Lee were responsible jointly and severally, meaning each could be held responsible for the full amount.

The court explained that confirmation generally converts an arbitration award into a court judgment. It also explained that courts have a very limited role in reviewing arbitration awards and ordinarily must confirm an award unless there is a legally recognized reason to cancel, change, or correct it.

The court found no evidence that the award resulted from fraud, corruption, arbitrator bias, misconduct, or an arbitrator exceeding his authority. It also found no basis to modify the award. Mira Sushi Inc. and Andy Lee did not oppose Xi’s motion or seek to cancel or modify the award.

The court noted that the listed components of the award added up to $118,860.36 rather than $118,860.26. Because the difference was minor and Xi did not challenge it, the court confirmed the lower total stated by the arbitrator: $118,860.26.

Disposition

Judge Laura Taylor Swain granted Xi’s motion to reopen and confirm the award. The court directed the Clerk of Court to lift the stay and entered judgment in favor of Xi and against Mira Sushi Inc. and Andy Lee, jointly and severally, for $118,860.26. Xi was terminated as a plaintiff on the docket.

The court dismissed Xi’s claims against Stellar 153 Inc., Patricia Ng, Xiao Yun Mei, and Jinhee Cho with prejudice to the extent Xi brought them in his individual capacity, and without prejudice to the extent those claims were asserted on behalf of other plaintiffs.

The court directed the remaining parties to file a joint letter about Ren’s claims by November 12, 2021. The opinion states that the parties reportedly resolved those claims in May 2021, but no settlement agreement or fairness evidence had been filed with the court.