The lawsuit alleges Sprout Mortgage and Recovco Management violated the California WARN Act by conducting a mass layoff of over 300 California employees.
SAN DIEGO, Calif., Aug. 31, 2022 /PRNewswire-PRWeb/ -- The San Diego employment law attorneys, at Zakay Law Group, APLC and JCL Law Firm, APC, filed a class action complaint against Sprout Mortgage, LLC ("Sprout Mortgage"), Recovco Mortgage Management, LLC ("Recovco Management") and Michael Strauss (hereinafter, collectively, "Sprout Mortgage, Recovco Management, and Michael Strauss") alleging violations of the California WARN Act of Cal. Lab. Code § 1400, et seq. as a result of an alleged mass layoff of their California employees on or around July 6, 2022. The class action lawsuit, Case No. 37-2022-00029036-CU-OE-CTL, is currently pending in the San Diego County Superior Court of the State of California. A copy of the Complaint can be read here.
The lawsuit is brought on behalf of all Sprout Mortgage and Recovco Management California employees who were allegedly terminated on or around July 6, 2022 without being provided 60 days' written notice of mass layoff, relocation, or termination of business (the "California WARN Class"). The California WARN Act requires employers to provide 60 days' notice before a mass layoff, a relocation, or a cessation of doing business. (Cal. Lab. Code § 1401(a).) The lawsuit alleges Sprout Mortgage, Recovco Management, and Michael Strauss failed to provide advance 60 days' notice to the California WARN Class members that they would be terminated. Instead, Sprout Mortgage, Recovco Management, and Michael Strauss allegedly notified California WARN Class members of their termination on the day of the mass layoff. As a result, Sprout Mortgage, Recovco Management, and Michael Strauss allegedly have not compensated the California WARN Class Members for their failure to provide proper notice of the mass layoff that took place on or around July 6, 2022.
According to the lawsuit, Sprout Mortgage, Recovco Management, and Michael Strauss also allegedly unlawfully deducted wages from employees' pay without explanation and without authorization or notice to do so. Such unlawful deductions allegedly included, but are not limited to, health insurance premiums, life insurance premiums, short and/or long term disability premiums, and 401(k) contributions. As a result, the lawsuit alleges Sprout Mortgage, Recovco Management, and Michael Strauss violated Cal. Lab. Code § 221.
If you would like to know more about the Sprout Mortgage, Recovco Management, and Michael Strauss lawsuit, please contact Attorney Jackland Hom today by calling (619) 255-9047.
Zakay Law Group, APLC, and JCL Law Firm, APC are employment and labor law firms with offices located in California that dedicate their practices to helping employees and consumers fight back against employers and corporations for unfair employment practices. If you need help with collecting unpaid wages, wrongful termination, discrimination, harassment, and other unlawful workplace conduct, contact one of their attorneys today.
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Media Contact
Jackland Hom, Zakay Law Group, APLC, (619) 255-9047, [email protected]
SOURCE Zakay Law Group, APLC
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