News in Brief August 22 – Avon, BMW and More

Avon Settles Overtime Suit with CA Managers

Avon has agreed to pay $1.8 million to settle claims that it refused to pay some of its California employees properly for their overtime hours. According to the lawsuit, Avon misclassified its district managers as exempt employees and therefore cheated them out of their deserved time-and-a-half wages. Under the proposed settlement, anyone who worked as a district manager at one of Avon’s California locations between April 2009 and March 31, 2016 will be able to claim compensation for their unpaid wages.

BMW Trunk Leak Class Action Trimmed

On Thursday, Judge Maxine M. Chesney granted summary judgment in favor of BMW in a case over the carmaker’s X3, X5 and 5 series vehicles. The lawsuit alleged that the vehicles were sold with defective trunks that could leak and damage the electrical components stored beneath them. In her decision, Chesney found that the parts in question aren’t located beneath the trunk or that the damage caused by the leaks are minimal. So is BMW off the hook? Well, not just yet. Still on the table is the question of how the alleged leaks would affect the vehicles’ tire pressure modules and whether that poses a danger to drivers.

Nike Retail Workers Granted Class Certification

A group of Nike retail store employees in California were granted class certification in a proposed class action that claimed they weren’t paid properly. Allegedly, Nike’s end-of-shift security checks violated state labor laws because employees had to wait, without pay, for managers to check them for stolen goods.

Morgan Stanley Faces Lawsuit Over Mismanaged 401(k)s

Morgan Stanley has been hit with a proposed class action that claimed it mismanaged employees’ retirement plans. The lawsuit is alleging that Morgan Stanley made some questionable choices when it offered employees poor investment options. According to the complaint, the firm also charged excessive fees that ended up costing its 401(k) participants hundreds of millions of dollars. The suit is looking to claim $150 million in damages.