Sylvester Talbert v. American Risk Ins Co.
405 F. App'x 848
5th Cir.2010Background
- Talbert worked as an assistant claims adjuster for ARI Sep 29, 2008–Feb 3, 2009; ARI classified him as exempt administrative employee.
- Want worked as a claims adjuster for ARI Oct 21, 2008–Jan 5, 2009; ARI classified her as an independent contractor.
- Talbert sued ARI under 29 U.S.C. § 216(b) for overtime; Want consented to join.
- ARI moved for summary judgment arguing Talbert was exempt and Want was an independent contractor; argued waiver from Rule 8(c) defenses.
- A magistrate granted leave to amend ARI’s answer to assert the Talbert exemption; district court granted summary judgment for ARI.
- Appellate courtAFFIRMS the district court’s decision on Talbert’s exemption and Want’s contractor status.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether amendment/waiver issue was properly resolved | Talbert affected by waiver/untimely amendment | ARI timely amended; no waiver | amendment proper; no waiver issue controlling |
| Whether Talbert is exempt as administrative employee under FLSA | Talbert performed non-discretionary, limited duties; no discretion | Talbert’s duties require discretion and independent judgment | Talbert satisfied administrative exemption; no overtime |
| Whether Want was an employee or independent contractor | Want was an employee under economic reality test | Want was an independent contractor with extensive control | Want was an independent contractor; not entitled to overtime |
Key Cases Cited
- Corning Glass Works v. Brennan, 417 U.S. 188 (U.S. 1974) (exemption must be asserted as an affirmative defense)
- Cheatham v. Allstate Ins. Co., 465 F.3d 578 (5th Cir. 2006) (administrative exemption; burden on employer)
- Lott v. Howard Wilson Chrysler-Plymouth, Inc., 203 F.3d 326 (5th Cir. 2000) (ultimate exemption decision is a question of law; fact-heavy inquiry with de novo review)
- Hopkins v. Cornerstone America, 545 F.3d 338 (5th Cir. 2008) (five-factor economic reality test for employee status)
- Thibault v. Bellsouth Telecommunications, Inc., 612 F.3d 843 (5th Cir. 2010) (independent contractor status not controlling; licensing and supervision considerations)