In the case of Smith v. Batchelor, Stephen Smith filed a lawsuit against his former employers Dorothy Batchelor, Larry Peterman, and Janae Kingston, collectively known as the Movie Buffs video rental company. Smith alleged that Movie Buffs violated the federal Fair Labor Standards Act (FLSA) and the Utah Payment of Wages Act (UPWA) when they refused to provide overtime back wages before Smith left the company.
Smith was hired by Movie Buffs to perform computer services. Despite the lack of a formal written employment contract, Smith’s understanding was that he would be a salaried employee paid $2,000 per month. However, according to Smith’s statements, he was paid an hourly wage of $11.65. Having worked a total of 790 hours for Movie Buffs, Smith was only paid for 580 hours, which left 210 hours’ worth of unpaid wages, 188 of which were overtime hours. Smith claimed that the total amount owed was $3,544.
Initially, Smith requested only the back wages under the UPWA, but Movie Buffs refused to comply. Subsequently, Smith sued Movie Buffs for back wages, overtime compensation, and attorney fees. The court granted summary judgment on Smith’s UPWA claims and an additional $4,000 for the sixty days during which his wages continued to accrue. However, the court denied the attorney’s fees as the $4,000 penalty was deemed sufficient because Smith was representing himself in the lawsuit.
Key lessons from this case:
- Properly documenting and defining employment terms is crucial. Having clear documentation regarding employment terms can help avoid disputes related to overtime and wages.
- Additional penalties or damages can be liable when employers fail to pay overtime wages promptly.
- While it is possible to self-represent, this case highlights the advantages of seeking legal representation, as the court may deny requests for attorney’s fees if an employee chooses to represent themselves.
If you want to know more about overtime regulations, read our guide on Utah Overtime Laws.
