Vaughn v. Mercy Clinic Fort Smith Communities (Majority, with Concurring and Dissenting)Annotate this Case
In this case alleging unjust enrichment, breach of contract, and promissory estoppel the Supreme Court reversed the order of the circuit court denying Appellants' motion for class certification, holding that the circuit court abused its discretion in concluding that Appellants did not meet the Ark. R. Civ. P. 23 requirements for class certification.
Appellants, former employees of Cooper Clinic, P.A., filed a class-action complaint against Cooper Clinic and the entities that acquired Cooper Clinic's assets (collectively, Mercy). Appellants sought to certify a class to consist of individuals who worked for Cooper Clinic and were terminated as part of the merger with Mercy without being paid for their unused vacation time. The circuit court denied the motion for class certification on the basis that all former employees had eventually been paid for their unused vacation time. The Supreme Court reversed, holding that the class of individuals who were not paid for their unused vacation time at the time of the termination of their employment with Cooper Clinic still existed and that the circuit court abused its discretion by relying on Cooper Clinic's payments to employees with unused vacation-time balances to defeat Rule 23's requirements.