Labor Relations Div. of the N.M. Dep't of Workforce Sols. v. The 505 Burgers, LLC

• Docket Number: A-1-CA-40773
• Decision Date: 23 January 2024
• Parties: LABOR RELATIONS DIVISION OF THE NEW MEXICO DEPARTMENT OF WORKFORCE SOLUTIONS, Plaintiff-Appellee, v. THE 505 BURGERS, LLC; THE 505 BURGERS FARMINGTON, LLC; and MORGAN L. NEWSOM, individually, Defendants-Appellants.
• Court: Court of Appeals of New Mexico

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LABOR RELATIONS DIVISION OF THE NEW MEXICO DEPARTMENT OF WORKFORCE SOLUTIONS, Plaintiff-Appellee,
v.
THE 505 BURGERS, LLC; THE 505 BURGERS FARMINGTON, LLC; and MORGAN L. NEWSOM, individually, Defendants-Appellants.

No. A-1-CA-40773

Court of Appeals of New Mexico

January 23, 2024

Corrections to this opinion/decision not affecting the outcome, at the Court's discretion, can occur up to the time of publication with NM Compilation Commission. The Court will ensure that the electronic version of this opinion/decision is updated accordingly in Odyssey.

APPEAL FROM THE DISTRICT COURT OF McKINLEY COUNTY Robert A. Aragon, District Court Judge

N.M. Department of Workforce Solutions Richard L. Branch Albuquerque, NM for Appellee

Geiger Law Firm, LLC Mark P. Geiger Albuquerque, NM for Appellants

MEMORANDUM OPINION

ZACHARY A. IVES, Judge

{¶1} The 505 Burgers Company and its owner Morgan Newsom (collectively, Defendants), appeal from a district court judgment awarding Plaintiff damages under

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the Wage Payment Act. We issued a calendar notice proposing to affirm. Defendants have responded with a memorandum in opposition. We affirm.

{¶2} The dispositive issue in this appeal is whether the lawsuit was barred under the applicable statute of limitations, which states,

A civil action to enforce any provision of Chapter 50 Article 4 NMSA 1978 shall be commenced within three years after a violation last occurs. The three-year period shall be tolled during a labor relations division of the workforce solutions department investigation of an employer

NMSA 1978, § 37-1-5 (2009).

{¶3} Here, the parties acknowledged that the limitations period began to run in February 2015. [MIO 5] The wage claims were filed in April 2017, at which point approximately two years and two months of the limitations period had run. [RP 261, FOF No. 13] The Department of Workforce Solutions (DWS) wage claim investigation concluded in February 2020. [RP 261, FOF No. 14] The district court complaint was filed in October 2020. [RP 1] The eight-month delay between the conclusion of the investigation and the filing of the complaint, when combined with the preinvestigation delay, means that the limitations period had run for a total of two years and ten months. The limitations period set forth in Section 37-1-5 had therefore not yet run when the complaint was filed.

{¶4} Defendants point out that DWS stayed their investigation for a period of...