Arbitration, FAA, Transportation: 9th Circuit Agrees Domino’s Drivers Transporting Pizza Ingredients To Franchisees Intrastate Are Engaged In Interstate Commerce

Engaged In Interstate Commerce, Domino's Drivers Delivering Pizza Ingredients Intrastate Are Exempt From Requirements of Federal Arbitration Act. 9 U.S.C § 1.

 

 

How Domino's Makes Its Pizza ↑

The building is the art: Two Boots Pizza, Downtown LA, Los Angeles, California

Downtown LA Pizza. Carol Highsmith, photographer. 2012. Library of Congress. ↑

Jon Stewart Deep Dish Pizza Rant. ↓

 

                                                                                 

        In an opinion penned by Judge Hurwitz, the 9th Circuit affirmed a  district court  decision denying Domino 's motion to compel arbitration in a labor law lawsuit brought by drivers who delivered pizza ingredients from a central distribution center to Domino's franchisees. Carmona v. Domino's Pizza, No. 21-55009 (9th Cir.  12/23/21) (Hurwitz, McLane, Parker).     

        The Federal Arbitration Act exempts transportation workers engaged in interstate commerce from the requirements of the FAA. The drivers working for  Domino's work in-state, but when they deliver pizza ingredients to Domino's franchisees, they are acting as  workers engaged in a “single, unbroken stream of interstate commerce” that renders interstate commerce a “central part” of their job description. Judge Hurwitz relied on a similar 9th Circuit case involving Amazon delivery drivers, Rittmann v. Amazon.com, Inc., 971 F.3d 904 (9th Cir. 2020). See our earlier 8/31/20 post on Rittmann

        Judge Hurwitz writes that there are distinctions between the Amazon and Domino's Pizza cases: "The customers to whom the Amazon drivers delivered the interstate goods in Rittmann initiated the purchases online with Amazon . . .  while the Domino’s franchisees order the goods from the Supply Center in California only after Domino’s has already purchased them. But this is a distinction without a difference." In the end, the drivers are still participating in a single, unbroken stream of interstate commerce.  

 

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