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Farella Braun + Martel Wins Partial Summary Judgment Motion on Fair Labor Standards Act Claims in Class Action Suit

June 11, 2010 Announcement

First reported decision addressing whether a precious metals distributor qualified for the retail sales exemption

San Francisco (June 11, 2010) - Farella Braun + Martel has won a victory for Monex Deposit Company, a seller of precious metals, in a putative class action suit brought by former employee account representatives alleging violations of the Fair Labor Standards Act (FLSA).  The United States District Court of the Central District of California granted Monex's request for partial summary judgment.  This is the first reported decision addressing whether a precious metals distributor qualified for the retail sales exemption.

Farella Braun + Martel moved for partial summary judgment on the FLSA claims as to whether Monex as the seller of precious metals is a "retail or service establishment" within the meaning of the "retails sales exemption" to the FLSA under Section 7(i).  In establishing that Monex was a retail establishment, the court held that sales of precious metals by Monex were sales of goods not for resale and serving the everyday needs of the community.  The Court held that the sale was at the end of the stream of distribution and, thus, Monex was a retail establishment. 

Representing Monex were Farella Braun + Martel employment partner Doug Dexter and business litigation partner Neil A. Goteiner, as well as associates Deborah Barron, Amber Chrystal, and Megan Howard.  Also defending Monex was Thomas A. Pistone of Pistone and Wolder.

Farella Braun + Martel represents clients throughout the United States and abroad in sophisticated business transactions and high-stakes commercial, civil and criminal litigation. Founded in 1962, the firm is headquartered in San Francisco and maintains an office in the Napa Valley focused on the wine industry. Farella Braun + Martel lawyers are known for their imaginative legal solutions, dynamism and intellectual creativity. With an unwavering service ethic and interdisciplinary team approach, the firm is committed to advancing clients' objectives in the most effective, coordinated and efficient manner. Farella Braun + Martel is a green business.

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