5th Circ. Ruling Paves The Way For Private FLSA Deals

Law360, New York (August 9, 2012, 8:59 PM EDT) -- A recent Fifth Circuit ruling enforcing a private Fair Labor Standards Act settlement challenged the conventional wisdom that the release of wage-and-hour claims must always be supervised by either a court or the U.S. Department of Labor and could open the door for more private deals, attorneys say.

The Fifth Circuit held in a July 24 ruling that a union-negotiated settlement precluded several union members who had worked as lighting and rigging technicians on the upcoming movie "Spring Break '83" from bringing unpaid wage claims, even though the settlement had never been approved by a court or the DOL, rejecting the...

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