ARTICLE
1 July 2012

Supreme Court To Decide Whether Employers Can "Moot" Collective Action

The Supreme Court has agreed to review a decision out of the Third Circuit, Genesis Health Care Corp. v. Symczyk, 656 F.3d 189 (3rd Cir. 2011), where the court held that an employee may proceed with a collective action under the FLSA despite rejecting a Rule 68 Offer of Judgment which would have made the plaintiff whole.
United States Employment and HR

The Supreme Court has agreed to review a decision out of the Third Circuit, Genesis Health Care Corp. v. Symczyk, 656 F.3d 189 (3rd Cir. 2011), where the court held that an employee may proceed with a collective action under the FLSA despite rejecting a Rule 68 Offer of Judgment which would have made the plaintiff whole. The employer argued that the offer resolved the case and, without a controversy, the case is moot and should be dismissed. The court, however, decided that to allow such a tactic would effectively prevent collective actions from getting off the ground as the employer would just "pick off" each plaintiff before a motion to certify could be granted.

This case could give the Supreme Court an opportunity to dramatically reduce wage and hour litigation by making it harder to initiate a collective action. This case is one to watch in the next term.

www.cozen.com

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

Mondaq uses cookies on this website. By using our website you agree to our use of cookies as set out in our Privacy Policy.

Learn More