Peabody v. Time Warner Cable, Inc.Annotate this Case
Plaintiff, who formerly worked for Time Warner Cable, Inc. as a commissioned salesperson, filed a class action suit against Time Warner, alleging wage and hour violations. Time Warner paid Plaintiff through biweekly paychecks, which included hourly wages in every pay period and commission wages approximately every other pay period. Time Warner removed the matter to federal court and sought summary judgment. The district court granted summary judgment, concluding that Time Warner could attribute commission wages paid in one biweekly pay period to other pay periods for the purpose of satisfying California’s compensation requirements. The Court of Appeals for the Ninth Circuit’s asked the Supreme Court to consider the issue. The Supreme Court answered the Ninth Circuit’s question in the negative, holding that an employer may not attribute commission wages paid in one pay period to other pay periods in order to satisfy California’s compensation requirements.