Samuel Calderon v. GEICO General Insurance Co
754 F.3d 201
4th Cir.2014Background
- Plaintiffs are former and current GEICO claims Investigators who sued as a class alleging GEICO misclassified them as exempt from the FLSA and New York law overtime protections.
- The district court granted plaintiffs’ motion and denied GEICO’s on liability, holding the Investigators were not covered by the FLSA administrative exemption (see Calderon v. GEICO Gen. Ins. Co.).
- On remedies, the district court ruled GEICO acted in good faith (no willfulness), limited the statute of limitations to two years, denied liquidated damages and prejudgment interest, and adopted the Missel fixed-salary overtime computation method.
- The court entered a “Stipulated Order Relating to Remedy” setting a formula for backpay calculations but left factual application of the formula to be performed by a mutually acceptable entity, with counsel review, and retained jurisdiction to resolve disputes about the remedy.
- Both sides reserved appeal rights; GEICO appealed liability and plaintiffs cross-appealed remedy rulings. The Fourth Circuit examined whether it had jurisdiction to hear these appeals.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Liability: whether Investigators fall within FLSA administrative exemption | Investigators performed duties meeting exemption criteria | Investigators performed routine investigative tasks not qualifying for the administrative exemption | District court found Investigators not exempt; that liability ruling is not final for appellate review here |
| Willfulness / Statute of limitations (remedy) | Plaintiffs argued willful violation -> 3-year limitation | GEICO argued good-faith defense -> 2-year limitation | District court found GEICO acted in good faith and limited claims to two years; appellate review dismissed for lack of finality |
| Liquidated damages & prejudgment interest | Plaintiffs sought liquidated damages and interest | GEICO argued those were unavailable given good-faith defense | District court denied liquidated damages and prejudgment interest; appellate review dismissed for lack of finality |
| Finality / Appealability of remedy order | Plaintiffs contended remedy order was final judgment permitting immediate appeal | GEICO contended underlying liability order could be appealed now | Fourth Circuit held the remedy order was not a final money judgment (facts needed to compute damages remain unresolved), so appeals dismissed for lack of jurisdiction; §1292(b) certification was not sought |
Key Cases Cited
- Calderon v. GEICO Gen. Ins. Co., 917 F. Supp. 2d 428 (D. Md. 2012) (district-court liability ruling at issue)
- Ray Haluch Gravel Co. v. Cent. Pension Fund, 134 S. Ct. 773 (2014) (definition of final decision for §1291 purposes)
- United States v. F. & M. Schaefer Brewing Co., 356 U.S. 227 (1958) (when an opinion embodies an enforceable money judgment)
- Cohen v. Beneficial Indus. Loan Corp., 337 U.S. 541 (1949) (purpose of final-judgment rule)
- Carolina Power & Light Co. v. Dynegy Mktg. & Trade, 415 F.3d 354 (4th Cir. 2005) (liability judgment that does not fix damages is not final)
- Ram v. Paramount Film Distrib. Corp., 278 F.2d 191 (4th Cir. 1960) (distinguished; finality where all facts to compute recovery were determined)
- Republic Nat. Gas Co. v. Oklahoma, 334 U.S. 62 (1948) (ministerial calculations vs. judgments requiring further judicial exercise)
- Buchanan v. United States, 82 F.3d 706 (7th Cir. 1996) (judgment not final when amount or formula to compute money is unspecified)
- Associated Stores, Inc. v. Indus. Loan & Inv. Co., 313 F.2d 134 (4th Cir. 1963) (no final judgment where damages depend on facts not yet determined)
- Pemberton v. State Farm Mut. Auto. Ins. Co., 996 F.2d 789 (5th Cir. 1993) (appealability of liability determinations that do not fix damages; §1292(b) route)
- Liberty Mut. Ins. Co. v. Wetzel, 424 U.S. 737 (1976) (Rule 54(b) limited to judgments disposing of claims)
