NEW YORK — There are an increasing number of proposed class action overtime pay lawsuits brought by contract attorneys against their firms. Contract attorneys are attorneys employed on a temporary basis with law firms for specific projects or activities. Recently, a contract attorney in North Carolina filed a lawsuit against the law firm of Skadden Arps Meagher & Flom LLP. His lawsuit was dismissed earlier this month, and the proposed collective action was terminated. The dismissal could potentially make it more difficult for contract attorneys to bring similar lawsuits in the future. The dismissal itself, however, did not rule out future claims.
The North Carolina Claim
David Lola, who provided contract work for Skadden for 15 months, claimed the law firm wrongfully denied its contract attorneys overtime pay when it classified them as exempt, in violation of the Fair Labor Standards Act (FLSA) and state law. According to his claim, contract attorneys’ work responsibilities included document review and other routine and mechanical tasks. Lola claimed the work was so basic it did not reach a level to qualify as “the practice of law.” Under the “learned professional” exemption of the FLSA and state labor laws, individuals with a valid law license and engaged in “the practice of law” are exempt from overtime pay.
Court Decisions
The court’s decision was based on North Carolina’s definition of “practice of law.” The judge believed most states hold similar definitions, so the decision will likely make for a strong basis for decision in similar cases.
In the still pending case against Quinn Emanuel Urquhard & Sullivan LLP in New York, the New York federal judge is using a different approach to determine whether the contract attorney is actually “practicing law.” It is still unclear whether the definition and related duties for “practice of law” have changed or are changing to the point where contract attorneys are non-exempt from overtime pay. Also unclear is which method for defining “practice of law” will become the standard, since courts like New York and higher courts are yet to give their opinions. The current decisions provides a glimpse at contract attorneys’ chances in overtime claims.
Impact of Court Decisions on Future Cases
In some situations, an overtime claim is greatly affected by the outcome of a separate and unrelated ongoing or previously decided claim. This is particularly true when a court is addressing an “issue of first impression,” or a claim that the court never addressed before. State courts are not required to agree with or follow other states’ decisions, but they do consider them when making their rulings.
Our knowledgeable team of overtime pay lawyers stay up to date on overtime pay decisions and the respective laws of each state. If you believe you were denied overtime pay, contact our team today at (855) 754-2795 to discuss your situation. If we accept your case under our No Fee Promise, you will not pay any legal fees or costs unless you receive a settlement.