KB Home To End Staff's Wage Suit With $3.4M Settlement

Law360, New York (May 5, 2016, 7:53 PM EDT) -- KB Home told a Texas federal judge Thursday it has reached a $3.4 million settlement agreement in a proposed Fair Labor Standards Act class action brought against it by sales staff who claimed they had been misclassified as exempt from overtime and minimum wage pay.

According to the joint motion for approval of the deal, the 258 putative class members, encompassing several in California, will each receive a minimum of $500. The KB Home case was initially brought in May 2011 by a group of current and former employees in Texas, alleging the company had misclassified its on-site sales staff under...

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