Homebuilder Ryland Can't Duck Salespeople's FLSA Action

Law360, New York (February 2, 2012, 7:44 PM EST) -- A Texas federal judge on Thursday refused to toss a putative collective action against The Ryland Group Inc. that claims the homebuilder failed to pay salespeople required overtime and minimum wages under the Fair Labor Standards Act.

In a brief order that did not explain his reasoning, U.S. District Judge Kenneth M. Hoyt denied Ryland's motion to dismiss, in which the company claimed that the plaintiffs are subject to the FLSA's outside sales exemption.

The plaintiffs, who filed the suit in January 2011, worked in a...
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