Calderon v. GEICO

Case Updates

The Fourth Circuit denied rehearing en banc.

The U.S. Chamber and National Federation of Independent Business Small Business Legal Center filed an amicus brief encouraging the Fourth Circuit to rehear en banc a panel decision that declined to recognize GEICO’s fraud investigator employees as exempt from overtime pay under the FLSA’s exemption for administrative employees. The brief argued that the panel’s novel approach conflicts with settled law regarding the administrative exemption in a host of contexts, particularly because numerous cases make clear that one need not be a supervisor or manager (i.e., a policy-maker) for the administrative exemption to apply. The brief also argued that the decision will impose significant costs by creating inefficiencies and inviting litigation due to ambiguity and uncertainty resulting from the decision.

Collin O'Connor Udell of Jackson Lewis P.C. served as counsel for the amici.