Krishna Poudel v. Mid Atlantic Professionals, Inc.
115 F.4th 287
4th Cir.2024Background
- Plaintiffs, Krishna P. Sharma Poudel and Binod Dhakal, worked as Nepalese-English interpreters in Afghanistan for Mid Atlantic Professionals, Inc. (MAPI), a Maryland-based company.
- Plaintiffs signed employment agreements remotely from Virginia and North Carolina; all work was performed abroad (Afghanistan), and MAPI executed their contracts in Maryland.
- Plaintiffs allege MAPI failed to pay contractual wages, overtime, and bonuses, and did not reimburse for certain expenses.
- Plaintiffs sued under Maryland Wage and Hour Law (MWHL) and Wage Payment and Collection Law (MWPCL) in the District of Maryland.
- The district court granted MAPI's motion to dismiss, holding the Wage Laws did not apply extraterritorially where no work was performed in Maryland.
- The plaintiffs appealed the dismissal.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Applicability of MD Wage Laws to out-of-state work | MD Wage Laws apply due to employer's MD domicile and public policy. | No work performed in MD, statutes presumed non-applicable extraterritorially. | MD Wage Laws do not apply when no MD work is done. |
| Effect of MD choice-of-law clause on Wage Laws | Choice-of-law clause incorporates MD wage statutes. | Choice-of-law does not override extraterritoriality presumption. | Clause does not defeat non-extraterritorial reach. |
| Public policy to protect employees under Wage Laws | Strong public policy should allow claim even if no MD work. | No precedent for applying policy absent MD contacts. | Public policy does not extend law's reach. |
| Precedent based on minimal work done in MD | Prior cases permitted wage claims with limited MD contacts (payroll, travel, etc.). | Precedent requires at least some in-state work. | Minimal MD work required; none here, so no claim. |
Key Cases Cited
- Waldron v. Chairman Bd. of Trustees of Emps.' Ret. Sys., 401 A.2d 172 (Md. 1979) (establishes presumption against extraterritorial application of Maryland statutes)
- Cunningham v. Feinberg, 107 A.3d 1194 (Md. 2015) (out-of-state employees can invoke MD wage laws only with some MD work or connection)
- Himes Assocs., Ltd. v. Anderson, 943 A.2d 30 (Md. Ct. Spec. App. 2008) (limited MD work sufficient for statute to apply, but none here)