401k and 403b Excessive Fee Litigation California

California Telehealth Company Facing Class Action Over Alleged Physician Misclassification and Unpaid Wages Westlake Village, California – A new class and collective action lawsuit has been filed in the United States District Court for the Northern District of California against Mochi Medical CA, P.C., Mochi Medical, P.A., and Mochi Health Corp., alleging widespread wage-and-hour violations stemming from the alleged misclassification of healthcare providers as independent contractors. The complaint asserts that the defendants operate a telehealth platform for weight management services and a related professional medical group that provides prescription services based on referrals from that platform. According to the lawsuit, the companies uniformly classified physicians and other healthcare professionals as independent contractors despite exercising significant control over their work. The named plaintiff, Dr. Frank Cioppettini, worked remotely as a licensed physician for the defendants from approximately December 10, 2024, to February 14, 2025. The complaint alleges that during this time, he and similarly situated providers were subject to company-directed policies, scheduling requirements, supervision, and performance evaluation, factors that, under California’s “ABC test,” may indicate employee status rather than independent contractor status.  The lawsuit contends that by misclassifying healthcare providers, the defendants failed to provide key protections guaranteed to employees under California law and the federal Fair Labor Standards Act (FLSA). These alleged violations include failure to pay overtime wages, failure to pay all wages owed, failure to provide accurate itemized wage statements, failure to timely pay final wages upon termination, and failure to reimburse necessary business expenses. Specifically, the complaint alleges violations of California Labor Code sections 510 and 1198 for unpaid overtime; failure to pay minimum and all wages; wage statement violations; waiting time penalties; failure to reimburse business expenses; and unfair business practices. According to the complaint, the defendants maintained uniform scheduling and timekeeping practices across states, and the alleged policies were administered from California. The proposed class includes healthcare professionals classified as contractors whose employment relationships were governed by California law within four years prior to the filing of the action. The lawsuit further alleges that hundreds of providers may have been affected. “This action challenges a uniform scheme to misclassify healthcare providers as independent contractors, despite Defendants’ pervasive control over their work and integration of their services into Defendants’ core business. As a result of this misclassification, employees were unlawfully denied overtime, minimum wages, expense reimbursement, accurate wage statements, and timely final pay,” said attorney Marcus Bradley. The case is styled Frank Cioppettini v. Mochi Medical CA, P.C ., et al., Case No. 4:26-cv-01260, USDC Northern District of California.

Spotting false advertising in 2025 is tougher than ever. Bradley/Grombacher breaks down how to protect yourself and take legal action.