Davis v. Morris

In Davis v. Morris (1940) 37 Cal.App.2d 269, judgment was rendered against the members of a mining partnership for the mine superintendent's unpaid wages, plus a section 203 penalty. On appeal, the partners argued that their failure to pay was not wilful since, in good faith, they believed the superintendent was a partner who contributed his services rather than an employee. Therefore, they reasoned, the penalty was not warranted. The court noted that the evidence as to the superintendent's employment status was in conflict, but found substantial evidence that the superintendent was not a partner, and that the partners were not in good faith in claiming that he was a partner. ( Davis, supra, 37 Cal.App.2d at p. 274.) In other words, the dispute before the trial court was one of fact, and the evidence supported that court's determination that the employers had no factual basis for their refusal to pay.