In the case of Avery v. Kennebec Millwork, Inc., Richard Avery appealed a judgment of previous a nonjury trial against his former employer, Kennebes Millwork, Inc. (KMI). He initially filed a complaint seeking compensation for unpaid overtime pay and unpaid vacation time. The trial focused on whether Maine’s minimum wage statute applied to Avery, and the court concluded that it did. The court awarded damages to Avery, but he appealed, claiming errors in the calculation of his damages.
The court found no error in the calculation of Avery’s regular hourly and overtime pay. However, it did notice a mistake in the calculation of underpaid wages for a specific period, and Avery was owed an additional $220. Regarding liquidated damages, the court determined that the trial court correctly awarded liquidated damages equal to the amount of actual damages for unpaid overtime. Avery claimed that double the amount of actual damages should have been awarded, but the court disagreed, stating that the specific statute under which Avery sought relief only provided for damages equal to the amount of actual damages, not double.
Avery also claimed that the court made a mistake in awarding interest. The court had chosen a five percent interest rate based on one statute, but Avery argued that a different statute should be applied. The appellate court agreed with Avery and stated that the correct interest rate should be the one-year United States Treasury bill rate plus three percent, as stated in the relevant statute. They instructed the Superior Court to recalculate the interest on Avery’s judgment using the proper rate.
Ultimately, the court affirmed the judgment with modifications, correcting the minor calculation error and directing the Superior Court to recalculate the interest on Avery’s judgment using the appropriate rate. The liquidated damages were deemed correct, and no changes were made to that aspect of the judgment.
Key lessons from this case:
- Mathematical errors in the court’s calculations can result in adjustments to the final amount owed to the employee in an overtime lawsuit.
- Different statutes may govern the awarding of interest on damages, and it is crucial to apply the correct statute based on the nature of the case.
- Claims for unpaid overtime should be brought under the relevant provisions of the minimum wage and overtime compliance requirements.
If you want to know more about overtime regulations, read our guide on Maine Overtime Laws.