Baron and Budd Files Class Action Lawsuit Against MHN Government Services and Managed Health Network Over Misclassification of Independent Contractors and Failure to Pay Overtime

SAN FRANCISCO –(October 3, 2012) –Yesterday, the national law firm of Baron and Budd filed a class action lawsuit against MHN Government Services, Inc. (MHNGS) and Managed Health Network, Inc. (MHN) regarding the misclassification of employees as independent contractors and the failure to pay those employees overtime. Filed in the Northern District of California, the case alleges that MHNGS and MHN violated the Fair Labor Standards Act (FLSA) by knowingly misclassifying workers to avoid paying lawful overtime wages. Baron and Budd attorneys Allen Vaught and Mark Pifko represent the plaintiffs in the case.

“These overtime violation issues are much more common than people think,” said Allen Vaught, head of Baron and Budd’s overtime violations/FLSA litigation section. “Many companies rely on the workers’ lack of knowledge when it comes to the FLSA and actively choose to misclassify workers in the interest of saving the business money by unlawfully dodging state and federal wage and hour laws, payroll taxes, unemployment insurance taxes and other state and federal requirements.”

MHNGS and MHN work at various U.S military bases as subcontractors to the United States Department of Defense. MHNGS and MHN hire individuals to work as Military & Family Life Consultants, or MFLC’s, in order to fulfill those governmental contracts.  Though the companies label MFLC’s as “independent contractors,” analysis of the workers’ job responsibilities revealed that the workers should be classified as employees under the FLSA. Because of this misclassification, the workers were not paid overtime even though they frequently worked more than 40 hours in a workweek. Under FLSA definitions and exemption rules, these workers should have been considered employees and should have been paid overtime.

If you suspect that you, a friend or family member may have been misclassified by your employer as an independent contractor and were not paid all overtime wages required by law, please contact attorney Allen Vaught to learn more about your rights at 1.866.495.1255 or via email at avaught@baronbudd.com. Your initial consultation is free of charge and confidential.

Learn more about overtime pay violations, misclassification of employees, the FLSA and your rights in the workplace at http://baronandbudd.com/areas-of-practice/overtime-violations/.

The law firm of Baron & Budd, P.C., with offices in Dallas, Baton Rouge, Austin and Los Angeles, is a nationally recognized law firm with over 30-years of "Protecting What’s Right" for people, communities and businesses harmed by negligence. Baron & Budd’s size and resources enable the firm to take on large and complex cases. The firm represents individuals, governmental and business entities in areas as diverse as water contamination, Gulf oil spill, Qui Tam, California Proposition 65 violations, unsafe drugs and medical devices, Chinese drywall, deceptive advertising, consumer financial fraud, securities fraud and asbestos cancers such as mesothelioma. http://baronandbudd.com

Tagged Allen Vaught, FLSA, Overtime Violations

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Baron and Budd Announces Win in Overtime Violations Case Regarding Misclassification of Independent Contractors

DALLAS –(August 23, 2012) –The national law firm of Baron and Budd is announcing a victory for a group of mechanics in an overtime violations lawsuit. In the case, a group of mechanics were misclassified by their employer as independent contractors to avoid paying the workers lawful overtime wages. However, under the Fair Labor Standards Act (FLSA), these workers should have been classified as employees, and thus should have been paid overtime wages for the preceding three-year period. The workers were represented by Baron and Budd attorney Allen Vaught, head of the firm’s overtime violations litigation section in addition to co-counsel, Ed Sullivan, of the law firm of Oberti Sullivan.

In the case, the group of mechanics, labeled “independent contractors” by their employer, was generally paid a flat salary. Even though the mechanics typically worked 60 hours a week, they were not paid overtime. Yet, under the FLSA, the mechanics should have been defined as employees rather than contractors. An agreement between an employer and a worker for the worker to be an independent contractor and not be paid overtime is not enforceable if the facts show that the amount of control placed on the worker really makes him an employee.  In other words, the right to overtime pay can never be waived by agreement of the employer and worker.  Based on these well established principles, a judge and jury returned a verdict that these mechanics were able to obtain their unpaid back wages plus a penalty known as liquidated damages for the employer’s violation of the FLSA in the lawsuit.

“Many workers may not realize they are due overtime pay, but this case shows that it is more common than people realize,” said Allen Vaught. “Even though your employer may call you an ‘independent contractor’ that does not mean that you are still not due overtime wages and damages because the right to overtime pay can never be waived – not even by agreement between the employer and the employee.”

Under the FLSA, independent contractors are essentially in business for themselves and do not rely entirely on a single business entity for their income and are therefore exempt from overtime pay.  Since many workers are not familiar with the specific aspects of the FLSA, they are unaware of the law’s definitions of an independent contractor compared to an employee.  Moreover, many workers do not realize that they cannot waive their right to overtime pay merely be agreeing to be labeled as an independent contractor.  What matters is what they actually do, not what the employer calls them.  Many businesses rely on that lack of knowledge to utilize unfair bargaining power and misclassify employees and avoid paying overtime wages.

If you think that you, a friend or family member may be misclassified as an independent contractor rather than an employee, and therefore not paid all overtimes wages required by law, then please feel free to contact attorney Allen Vaught at 1.866.495.1255 or via email at avaught@baronbudd.com for a free consultation.

Your inquiry is confidential and the FLSA protects employees from being fired or retaliated against for investing possible violations.

Learn more about overtime violations, employee misclassification, the FLSA and your rights at http://baronandbudd.com/areas-of-practice/overtime-violations/.

The law firm of Baron & Budd, P.C., with offices in Dallas, Baton Rouge, Austin and Los Angeles, is a nationally recognized law firm with a 30-year history of "Protecting What’s Right" for people, communities and businesses harmed by negligence. Baron & Budd’s size and resources enable the firm to take on large and complex cases. The firm represents individuals, governmental and business entities in areas as diverse as water contamination, Gulf oil spill, Qui Tam, California Proposition 65 violations, unsafe drugs and medical devices, Chinese drywall, deceptive advertising, consumer financial fraud, securities fraud and asbestos cancers such as mesothelioma. http://baronandbudd.com

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Scott Summy of Baron and Budd Selected for Inclusion in The Best Lawyers in America 2013

DALLAS—(September 18, 2012) –Scott Summy, shareholder at the law firm of Baron and Budd, has been selected by his peers for inclusion in The Best Lawyers in America 2013 in the area of Mass Tort Litigation/Class Action for Plaintiffs. Summy heads the firm’s water contamination litigation section and has been named to the prestigious peer review publication every year since 2006.

“I am very honored to be recognized by my fellow attorneys in this prestigious publication,” said Summy. “Baron and Budd has always been dedicated to protecting people against corporate negligence, and I am proud to continue that tradition.”

Best Lawyers is one of the oldest and most respected peer review publications in the legal profession. Each year, Best Lawyers compiles lists of the nation’s most prominent lawyers by conducting confidential and exhaustive peer surveys of leading lawyers throughout the country. 

Under Summy’s leadership, Baron and Budd’s water contamination practice has grown into one of the most recognized in the nation. Summy serves on the Plaintiffs’ Steering Committee and Plaintiffs’ Executive Committee in the litigation against BP for the 2010 Gulf oil spill. The PSC procured a historic settlement on behalf of numerous individuals and business owners who were harmed by the oil spill. Earlier this year, Summy negotiated a preliminary settlement in national atrazine litigation, the first of its kind in the country, that would provide $105 million to hundreds of public water providers struggling with atrazine contamination in their source water.

In 2008, Summy helped negotiate the first multi-jurisdictional MTBE groundwater contamination settlement in the U.S. Working on behalf of more than 150 plaintiff public water systems in 17 states, he served on the leadership committee that negotiated a $420 million settlement that would provide much-needed funds to clean up contaminated water. Baron and Budd was nominated for the prestigious “Trial Lawyer of the Year” Award from the Public Justice Foundation in 2009 for their work in this case.

Tagged Best Lawyers, Scott Summy

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Baron and Budd Selected to the National Law Journal’s Plaintiffs’ “Hot List” for Eighth Time

DALLAS –(October 2, 2012) – The national law firm of Baron and Budd was selected to the National Law Journal’s prestigious Plaintiffs’ “Hot List" for the eighth time since the list was established ten years ago. Each year, the National Law Journal requests nominations and completes an exhaustive analysis before selecting law firms for this legendary highly regarded honor. The annual list recognizes plaintiffs’ firms that have done exemplary, cutting-edge work representing people or entities harmed by corporate misconduct. Baron and Budd was one of only 19 firms selected for inclusion this year.

In yesterday’s announcement, the National Law Journal noted the breadth of Baron and Budd’s work, stating "the limelight for Baron and Budd stretched across industries during the past year — including a deepening of the firm’s role in financial-sector class actions." The announcement also highlighted two of Baron and Budd’s most significant and recent cases: the precedent-setting settlement in the BP oil spill litigation and a consumer class action against JP Morgan Chase & Co. Baron and Budd shareholder Scott Summy served on the BP oil spill’s steering committee that reached a $7.8 billion settlement with BP PLC in March 2012 and the firm sat on the plaintiffs’ executive committee in the Chase overdraft litigation, resulting in a preliminarily approved nationwide settlement of $110 million.

"I am so proud to be selected for such a distinguished honor," said Russell Budd, president and managing shareholder of Baron and Budd. "As a law firm dedicated to protecting the rights of anyone who has been harmed, it’s very rewarding to be recognized for our willingness to take on new and meaningful litigation on behalf of consumers who have been taken advantage of in so many ways.”

Baron and Budd remains at the forefront of litigation on a national scale. The firm continues to actively represent businesses and individuals harmed by the BP oil spill and consumers harmed by a number of banking fraud issues as well as maintaining its cornerstone practice representing victims of asbestos exposure.

The law firm of Baron & Budd, P.C., with offices in Dallas, Baton Rouge, Austin and Los Angeles, is a nationally recognized law firm with over 30-years of "Protecting What’s Right" for people, communities and businesses harmed by negligence. Baron & Budd’s size and resources enable the firm to take on large and complex cases. The firm represents individuals, governmental and business entities in areas as diverse as water contamination, Gulf oil spill, Qui Tam, California Proposition 65 violations, unsafe drugs and medical devices, Chinese drywall, deceptive advertising, consumer financial fraud, securities fraud and asbestos cancers such as mesothelioma. http://baronandbudd.com

Tagged "Hot List", National Law Journal

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Baron and Budd Files Overtime Wage Violations Lawsuit Against Sunbelt Rentals

DALLAS – (September 25, 2012) – Last week, the national law firm of Baron and Budd filed a lawsuit against construction equipment rental company Sunbelt Rentals, Inc. regarding alleged violations of overtime wage laws. The plaintiffs, who worked in two of Sunbelt’s retail stores, claim that: Sunbelt did not pay them adequate overtime wages as required by law and forced them to work off-the-clock before or after a shift, required them to work after-hours in the Sunbelt’s 24 hour emergency services operation without pay at times, and improperly deducted pay for lunch periods when they performed work. Baron and Budd attorney Allen Vaught represents the workers in the case.

“Many workers do not realize that their employer is not paying them fairly,” said attorney Vaught, head of Baron and Budd’s overtime violations litigation section. “Employers cannot force, or even permit, workers to perform work ‘off-the-clock’ or during lunch breaks without pay. Sadly, this tactic is more common than people might think by employers in an attempt to save money on employee wages.”

Sunbelt Rentals is a national chain with more than 300 stores across the country. Though this lawsuit represents a violation at just two stores, it is likely that similar violations have occurred at other Sunbelt stores. After investigation, Baron and Budd has found that virtually every position at Sunbelt retail stores may be affected, including customer service representatives, dispatchers, assistant store managers and drivers.

According to the Fair Labor Standards Act (FLSA), all hourly workers must be paid for all hours worked, including preparing equipment for the day or booting up their computers, and if the employer deducts pay for a lunch period, they generally must be given a full, uninterrupted 30-minute lunch period. If an employer violates the FLSA, workers can receive their unpaid back wages plus liquidated damages of double the amount owed. 

If you think that you, a friend or family member may have not been paid proper overtime wages while working for Sunbelt Rentals or believe your overtime wage rights are being violated by any employer, please feel free to contact attorney Allen Vaught at 1.866.495.1255 or via email at avaught@baronbudd.com.

Your initial case evaluation is free and confidential.

Get more information and the latest updates about the lawsuit on our Facebook page http://www.facebook.com/SunbeltRentalsOvertimeLawsuit.

The law firm of Baron & Budd, P.C., with offices in Dallas, Baton Rouge, Austin and Los Angeles, is a nationally recognized law firm with a 30-year history of "Protecting What’s Right" for people, communities and businesses harmed by negligence. Baron & Budd’s size and resources enable the firm to take on large and complex cases. The firm represents individuals, governmental and business entities in areas as diverse as water contamination, Gulf oil spill, Qui Tam, California Proposition 65 violations, unsafe drugs and medical devices, Chinese drywall, deceptive advertising, consumer financial fraud, securities fraud and asbestos cancers such as mesothelioma. http://baronandbudd.com

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Baron and Budd Attorneys File Class Action Against Abbott Laboratories Concerning Ensure Muscle Health and Ensure Clinical Strength Products

LOS ANGELES – (August 22, 2012) Baron and Budd attorneys filed a deceptive labeling class action lawsuit today against Abbott Laboratories concerning the company’s “Ensure Muscle Health” and “Ensure Clinical Strength” products.  The lawsuit alleges that Abbott Laboratories engages in deceptive and misleading practices in connection with the marketing of its products and charges the company with violations of multiple laws. The complaint was filed on behalf of Michael J. Otto of California and a class of similarly situated consumers across the country who purchased Ensure Muscle Health or Ensure Clinical Strength drinks. Baron and Budd attorneys Roland Tellis and Mark Pifko serve as counsel in the lawsuit.

According to the complaint, Abbott capitalizes on the fears of mature Americans who are worried about muscle loss, promising that drinking the products alone will “help rebuild muscle and strength naturally lost over time.”  To build consumer trust, Abbott touts the purported health benefits of these products with invented, pseudo-scientific terms such as “Revigor,” and proclamations like, the “#1 doctor recommended brand,” the lawsuit states.  As alleged in the lawsuit, to further establish credibility for the company’s claims, Abbot also uses phrases such as “clinical nutrition.” 

However, as alleged in the lawsuit, nowhere on the packaging of the products does Abbott disclose that the products cannot help rebuild muscle and strength in the general population of consumers to whom the products are sold — including in Abbott’s target market of healthy adults — unless the products are used in combination with a regular exercise program.  Instead, Abbott chose to selectively omit this material information from the labels for the Products to increase sales by inducing the general population of consumers who will not benefit from the products to purchase and consume them anyway, the lawsuit states.

“It’s hard to imagine a more personal affront than deceiving people about what they put in their bodies,” said Baron and Budd attorney Mark Pifko. “A sophisticated company like Abbott should be held accountable for knowingly confusing and misleading its  customers.”

Baron and Budd is a nationally recognized plaintiffs’ law firm with more than 30 years’ experience fighting to protect what’s right for consumers. The firm prides itself on remaining on the cutting-edge of meaningful litigation that protects consumers from negligent companies. Last year, Baron and Budd served on the plaintiffs’ steering committee in the Bank of America bank overdraft fee litigation that resulted in a $410 million settlement for consumers and forced Bank of America and other financial institutions to change overdraft fee policies. Since its expansion in 2011, the firm’s Los Angeles office has taken the lead on a number of high profile consumer lawsuits, including cases against companies in the banking, automotive and food product industries. 

To learn more about the Ensure lawsuit, visit the firm’s website at http://www.baronandbudd.com

Tagged Deceptive Advertising, Ensure, Mark Pifko, Roland Tellis

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Burton LeBlanc Elected President-Elect American Association for Justice

CHICAGO –(August 3, 2012) – Baron and Budd shareholder Burton LeBlanc was elected President-Elect of the American Association for Justice (AAJ) today at the association’s Annual Convention in Chicago. LeBlanc heads Baron and Budd’s Baton Rouge office where he focuses on environmental law and complex litigation.

"AAJ does incredible work on a national level to help protect the rights of Americans," said LeBlanc. “I am honored to be part of this prestigious organization’s leadership.”

LeBlanc is one of the very few attorneys nationwide to have been honored twice with the AAJ’s prestigious Wiedemann Wysocki National Finance Council Award, which he received in 2007 and 2010. This award honors lawyers for their commitment to the legal profession and their continued efforts to improve the civil justice system.

Though LeBlanc’s focus is on environmental law, he has also represented the states of Louisiana, Mississippi, West Virginia and Hawaii in consumer fraud lawsuits and complex securities fraud cases.

LeBlanc previously served as Vice President, Secretary, Treasurer and Parliamentarian of the AAJ, as chair of the AAJ National Finance Council, the association’s chief fundraising arm, and is a past president of the Louisiana Association for Justice (LAJ).

The law firm of Baron & Budd, P.C., with offices in Dallas, Baton Rouge, Austin and Los Angeles, is a nationally recognized law firm with a 30-year history of "Protecting What’s Right" for people, communities and businesses harmed by negligence. Baron & Budd’s size and resources enable the firm to take on large and complex cases. The firm represents individuals, governmental and business entities in areas as diverse as water contamination, Gulf oil spill, Qui Tam, California Proposition 65 violations, unsafe drugs and medical devices, Chinese drywall, deceptive advertising, consumer financial fraud, securities fraud and asbestos cancers such as mesothelioma. http://baronandbudd.com.

Tagged AAJ, Americ an Association for Justice, Burton LeBlanc

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