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United States Ninth Circuit

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Ibarra v. Manheim Investments, 14-56779

In this putative class action alleging violations of California's Labor Code, order remanding the case to state court is vacated, and the case is remanded to the district court to allow both parties the opportunity to submit evidence and arguments whether the $5 million amount in controversy requirement had been satisfied, where: 1) because the complaint did not allege that defendant universally, on each and every shift, violated labor laws by not giving rest and meal breaks, defendant bore the burden to show that its estimated amount in controversy relied on reasonable assumptions; 2) defendant relied on an assumption about the rate of its alleged labor law violations that was not grounded in real evidence; and 3) given that the damages assessment included assumptions, the chain of reasoning and the assumptions needed some reasonable ground underlying them.

Appellate Information

  • Decided 01/08/2015
  • Published 01/08/2015


  • Gould


  • United States Ninth Circuit


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