Broomfield, Colorado — A yearslong battle over workers’ compensation could soon become a much bigger problem for Vail Resorts.
Jenna Greene of Thomas Reuters reports that a motion to dismiss a California case that was filed last Friday could end one state lawsuit against Vail Resorts and reignite a federal lawsuit against the ski resort conglomerate.
For years, Vail Resorts has tried to resolve a class action lawsuit that started in October 2020 from Heavenly security guard Adam Heggen over worker compensation in California’s state judicial system. In this case, the California Court of Appeals struck down an agreed-upon $13.1 million settlement for Heggen and other associated parties (around $4.37 million of which would’ve gone to the lawyers that represented the plaintiffs). This settlement would have allowed Vail Resorts to resolve the complaints from California and other properties across the country over worker compensation.
Which brings us to the federal case that was filed in December 2020, around eight weeks following the California case. Attorney Edward Dietrich’s case has been stuck in limbo, as the state case has taken priority because of legal maneuvering by both the plaintiffs and defendants to settle the California case. This lawsuit features 103,000 class members across 16 states, with employees from various resorts alleging that they weren’t paid for things like overtime, unused break time, and cleaning their uniforms. One of his arguments for appealing was that the $13.1 million settlement was too low for compensation, as he’s seeking $100 million in damages from Vail Resorts.
The settlement meant that it would have resulted in the end of Dietrich’s federal case, as it would’ve allowed those outside of California to join in on the deal. Dietrich appealed the settlement, which was previously approved by the El Dorado Superior Court. This agreement was nullified, partially due to Vail Resorts’ lack of jurisdiction in California, as it’s a company that’s based in Colorado. The California Supreme Court declined to hear the case, resulting in its return to El Dorado Superior Court. Now, intervening lawyer Edward Dietrich is trying to get it tossed out to restart the federal case.
Vail Resorts has denied the accusations by the plaintiffs in various court documents. It has not commented publicly on the case, as they avoid commenting on active litigation.
The next hearing is scheduled in El Dorado Superior Court for June 6th, which will entail further deliberation on the motion to dismiss.
Confused by all of this legal maneuvering? So am I! You can read more about the legal twists and turns of this saga from Reuters here, which includes links to the court documents.
