THIBODEAUX, Chief Judge.
A delivery driver filed suit against his former employer for unpaid overtime wages under the Federal Fair Labor Standards Act (FLSA), 29 U.S.C.A. § 207, and La.R.S 23:632. After the employer failed to timely answer the petition, the trial court confirmed a default judgment, awarding the driver overtime wages, liquidated damages, penalties, and attorney fees under both the FLSA and La.R.S. 23:632. Considering the FLSA preempts state law recovery for unpaid overtime compensation for employees engaged in interstate commerce and the driver failed to present sufficient evidence at the confirmation hearing regarding his status as an employee engaged in either interstate or intrastate commerce, we reverse the trial court's confirmation of the default judgment and remand the case for further proceedings.
We shall consider whether sufficient evidence was presented to confirm a default judgment awarding a former driver of a delivery company unpaid overtime wages, liquidated damages, penalties, and attorney fees under both the FLSA and La.R.S. 23:632. As part of this review, we shall consider the res nova issues in this circuit regarding whether the FLSA preempts state law recovery for unpaid overtime wages and whether the language of La. R.S. 23:631-32 allows for such a recovery.
Andrew Kidder worked as a delivery driver for Statewide Transport, Inc. for varying periods of time since 2008. Specifically, Mr. Kidder worked as a van driver from June 12, 2008 to June 17, 2008 and again from September 14, 2009 to November 5, 2009. He also worked as a truck driver from December 2, 2008 to March 27, 2009 and from August 17, 2011 to September 21, 2011.
Mr. Kidder sued Statewide for unpaid overtime wages, liquidated damages, penalties, and attorney fees under the FLSA and La.R.S. 23:632. Along with his petition, Mr. Kidder filed interrogatories and requests for production of documents.
We restrict our review of default judgments to a consideration of the sufficiency of the evidence offered to support the judgment. Being a question of fact, this appeal is subject to a manifest error standard of review. Wagner v. Alford, 09-1338 (La.App. 3 Cir. 4/7/10), 34 So.3d 1018; Bordelon v. Sayer, 01-717 (La.App. 3 Cir. 3/13/02), 811 So.2d 1232, writ denied, 02-1009 (La.6/21/02), 819 So.2d 340.
Confirmation of a default judgment requires admissible evidence sufficient to establish a prima facie case. La.Code Civ.P. art. 1702(A). "[T]he plaintiff must present competent evidence that convinces the court that it is probable he would prevail at trial on the merits." Wagner, 34 So.3d at 1021. Furthermore, the plaintiff "must prove both the existence and the validity of his claim." Id.
In our review of the evidence, we find that Mr. Kidder failed to establish a prima facie case that he was entitled to default judgment under federal law. 29 U.S.C.A. § 207(a)(1) establishes the overtime wage requirements under the FLSA:
The FLSA further provides that overtime wages under § 207 do not apply to "any employee with respect to whom the Secretary of Transportation has power to establish qualifications and maximum hours of service pursuant to the provisions of section 31502 of Title 49." 29 U.S.C.A. § 213(b)(1). While at one time this overtime wage exemption applied to all employees of motor carriers and private motor carriers under 49 U.S.C.A. § 31502, Congress amended the FLSA in 2008, allowing § 207 to "apply to a covered employee notwithstanding [29 U.S.C.A. § 213(b)(1)]." SAFETEA-LU Technical Corrections Act of 2008, Pub.L. 110-244, § 306(a), 122 Stat 1572 (2008). The Congressional amendment defined a covered employee as follows:
Id. at § 306(c).
Through this amendment, drivers employed by motor carriers may only recover overtime wages under the FLSA if the driver is operating a motor vehicle that is engaged in interstate commerce and weighs 10,000 pounds or less.
While Mr. Kidder presented evidence and testimony at the confirmation hearing that he was never paid overtime wages during his employment with Statewide, he failed to present any evidence regarding the weights of the vans and trucks he drove. Furthermore, Mr. Kidder testified that he only drove within the state of Louisiana. While 29 C.F.R. § 782.7(b)(1) states that "[t]ransportation within a single State is in interstate commerce within the meaning of the Fair Labor Standards Act where it forms a part of a `practical continuity of movement' across State lines from the point of origin to the point of destination," Mr. Kidder did not present any evidence to indicate the materials he transported for Statewide actually crossed state lines to become part of this practical continuity of interstate commerce. Considering these are essential elements to overtime compensation recovery under the amendments to the FLSA, Mr. Kidder did not provide sufficient evidence to sustain a prima facie case.
Statewide also contends that the trial court improperly granted default judgment in favor of Mr. Kidder under La.R.S. 23:632 since the FLSA preempts any recovery under Louisiana law for unpaid overtime wages. Federal preemption is an affirmative defense that must be raised in the pleadings. Shrader v. Life Gen. Sec. Ins. Co., 588 So.2d 1309 (La. App. 2 Cir.1991), writ denied, 592 So.2d 1317 (La.1992). "[A] defendant against whom a default judgment is confirmed may not assert an affirmative defense on appeal." Hall v. Forger Coffee Co., 02-920, p. 13 (La.App. 4 Cir. 10/1/03), 857 So.2d 1234, 1244-45, writ denied, 03-1756 (La.10/17/03), 855 So.2d 762. While Statewide cannot technically raise the federal preemption argument for the first time on appeal, our standard of review demands that we consider this issue and the scope of the state law since there can never be sufficient evidence to support a default judgment for overtime wages under state law if such recovery is preempted.
In Odom v. Respiratory Care, Inc., 98-263, p. 4 (La.App. 1 Cir. 2/19/99), 754 So.2d 252, 256, the first circuit held that the FLSA overtime provisions preempt
The enactment of the FLSA represents a valid exercise of Congress' exclusive power to regulate interstate commerce under U.S. Const. art. I, § 8, d. 3. Opp Cotton Mills v. Adm'r of Wage and Hour Div. of Dep't of Labor, 111 F.2d 23 (5th Cir.1940), aff'd, 312 U.S. 126, 61 S.Ct. 524, 85 L.Ed. 624. "It is well established that, when Congress acts under this power, its legislation primes and supersedes state legislation." Paul Klopstock & Co. v. United Fruit Co., 171 La. 296, 131 So. 25, 26 (1930). The reasoning behind this field preemption is clear:
Divine v. Levy, 36 F.Supp. 55, 58 (W.D.La. 1940).
Considering the FLSA explicitly provides penalties for failure to pay overtime wages under 29 U.S.C.A. § 216, any similar penalties under Louisiana law must be preempted by the FLSA for employees engaged in interstate commerce.
While the FLSA may preempt state law recovery for employees engaged in interstate commerce, employees engaged solely in intrastate commerce can recover for overtime compensation under state law. Louisiana Revised Statutes 23:632 allows for recovery of penalty wages and reasonable attorney fees for failure to comply with the provisions of 23:631. In pertinent part, La.R.S. 23:631(A)(1)(a) states:
Notably, the statutory language in La.R.S. 23:631(A)(1)(a) does not distinguish between regularly earned wages and overtime compensation as the first circuit in Odom implies. Rather, the statute mandates through more encompassing language that the employer pay "the amount then due under the terms of employment." It is presumed in Louisiana that "every word, sentence, or provision in a law [is] intended to serve some useful purpose, that some effect is to be given to each such
Applying these principles to Mr. Kidder's case, confirmation of a default judgment under La.R.S. 23:632 must include evidence indicating that he engaged solely in intrastate commerce. Here, as discussed above, while Mr. Kidder testified he only drove in Louisiana, he failed to provide sufficient evidence regarding what was transported to determine whether he worked in interstate or intrastate commerce. As such, he failed to present sufficient evidence to establish a prima facie case.
We reverse the trial court's default judgment. The case is remanded to the trial court to allow Mr. Kidder to establish, if possible, his claims under either the FLSA or La.R.S. 23:632 depending on his status as an employee engaged in either interstate or intrastate commerce. Statewide is reserved the right to file an answer to these claims. See Dundee Tailoring Co. v. Jefferson Davis Parish Sch. Bd., 264 So.2d 316 (La.App. 3 Cir.1972).
For the foregoing reasons, we reverse the default judgment and remand this case to the trial court for further proceedings in accordance with this opinion.
SAUNDERS, J., agrees, in part, and concurs, in part with written reasons.
I agree with the majority opinion that Mr. Kidder failed to provide the proper evidence to prove entitlement to confirmation of his preliminary default judgment under federal law. While I agree with the result of the majority opinion regarding Mr. Kidder's state law action, I disagree with how it adjudicates Mr. Kidder's confirmation of his preliminary default judgment regarding state law.
The majority opinion states that in order to prove entitlement to his preliminary default judgment under state law, Mr. Kidder "must include evidence indicating that [he] engaged solely in intrastate commerce." Further, the majority opines that Mr. Kidder failed to do so because he "failed to provide sufficient evidence regarding what was transported to determine whether he worked in interstate or intrastate commerce." I feel these two statements merit more discussion.
I feel that the majority opinion overstates what evidence was necessary to have been provided by Mr. Kidder in order for him to recover under state law. Louisiana
In my view, both judicial efficiency and proper appellate methodology would best be served by reversing the award given under federal law and affirming the award given under state law instead of reversing that award and remanding the case. This being stated, I must concede that the ends of justice might best be achieved by remanding the case for further proceedings as dictated by the majority opinion. Accordingly, I concur, in part.