Searching over 5,500,000 cases.


searching
Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.

Porter v. Nabors Drilling USA, L.P.

United States Court of Appeals, Ninth Circuit

April 20, 2017

Jeremy Porter, an individual, Plaintiff-Appellant,
v.
Nabors Drilling USA, L.P., a Limited Partnership organized under the laws of the State of Delaware, Defendant-Appellee.

          Submitted to Motions Panel February 27, 2017

         Motion to Recognize Automatic Stay of Appeal from the United States District Court for the Eastern District of California, D.C. No. 1:15-cv-00805-MCE-JLT Morrison C. England, Jr., District Judge, Presiding

          Arnold P. Peter, Peter Law Group, Manhattan Beach, California, for Plaintiff-Appellant.

          Tamara I. Devitt and Matthew E. Costello, Haynes and Boone LLP, Costa Mesa, California, for Defendant-Appellee.

          Before: William C. Canby, Richard R. Clifton, and Michelle T. Friedland, Circuit Judges.

         SUMMARY[*]

         California Private Attorney General Act / Automatic Stay

         The panel granted the motion of Nabors Drilling USA, L.P. to recognize an automatic stay, triggered by its filing for reorganization under Chapter 11 of the Bankruptcy Code, in a lawsuit file by plaintiff Jeremy Porter, who asserted a claim under California's Private Attorney General Act of 2004 ("PAGA").

         The panel held that the exception to an automatic stay established in 11 U.S.C § 362(b)(4), described as the governmental regulatory or governmental unit exception, did not apply to a claim brought by a private party under PAGA. Because the governmental unit exception to the automatic bankruptcy stay did not apply to Porter's PAGA action, the panel concluded that the automatic stay applied to the action, including the appeal currently before the court. The panel suspended further activity in this appeal.

          OPINION

          CLIFTON, Circuit Judge:

         Movant-Appellee Nabors Drilling USA, L.P. has filed for reorganization under Chapter 11 of the Bankruptcy Code. That filing triggered the automatic stay under 11 U.S.C. § 362(a)(1), which generally applies to protect a debtor after it has filed for bankruptcy protection. The question presented by the current motion is whether that stay applies to a lawsuit filed by a plaintiff, Appellant Jeremy Porter, who has asserted a claim under California's Private Attorney General Act of 2004 ("PAGA"), Cal. Labor Code §§ 2698 et seq. Porter contends that the exception established in 11 U.S.C. § 362(b)(4), sometimes described as the governmental regulatory or governmental unit exception, applies to exempt his PAGA claim from the automatic stay. We conclude that the exception does not apply to a claim brought by a private party under PAGA, and we therefore grant Nabors's motion to recognize the automatic stay in this case.

         I. Background

         Porter alleges that he was formerly an employee of Nabors. He notified the California Labor & Workforce Development Agency ("LWDA") that he believed that Nabors had violated various provisions of the California Labor Code. LWDA did not respond to Porter or take further action regarding his allegations. Under PAGA, after LWDA had been notified of possible labor code violations and declined to take action within a certain period of time, Porter was authorized to file a civil action seeking to recover penalties for the alleged code violations. See Cal. Lab. Code §§ 2698 et seq. He did so by filing a complaint against Nabors in state court. Porter's complaint contained eight causes of action, including one PAGA claim.

         After removing the action to federal court, Nabors moved to compel arbitration on all of Porter's claims pursuant to an arbitration agreement. Porter agreed to arbitrate all of his claims except for the PAGA claim. Over Porter's objection, the district court granted Nabors's motion to compel arbitration of the PAGA claim and dismissed ...


Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.