U.S. Federal Court Issues Injunction to Deny Proposed Revisions to FLSA’s “Salary Basis Test”

www.dol.gov
www.dol.gov

In June of this year, Land Sense published an article about the change the U.S. Department of Labor announced in May for determining overtime eligibility. That rule change, which was set to go into effect on December 1, 2016, raised the minimum salary test for determining overtime eligibility to $47,892 annually.

In other words, the minimum salary test for determining overtime eligibility was raised from $455/week ($23,660 annually) to $921/week ($47,892 annually) for executive, administrative, and professional employees. The Department of Labor projected this change would apply to approximately 4.2 million American workers.

Shortly after the Department of Labor’s May announcement, 22 states and dozens of business and trade organizations filed suits in various federal courts. A few of those cases were consolidated into a case pending in the U.S. District Court for the Eastern District of Texas, where the plaintiffs filed motions asking that the court overturn, or at least delay, the implementation of the Department of Labor’s new threshold salary test.

On November 22, Texas District Judge Amos L. Mazzant III issued a ruling holding that not only was the new test stayed from implementation, but also the FLSA did not support any minimum salary floor at all based on a plain reading. Thus, pursuant to Judge Mazzant’s holding, any person employed in an executive, administrative, or professional capacity is ineligible for overtime pay no matter what their current salary. Furthermore, Judge Mazzant ruled that the Department of Labor is enjoined from implementing the salary threshold rule anywhere in the United States.

With Judge Mazzant’s ruling issued so close to December 1, 2016, it seemed unlikely that his decision would be appealed, let alone heard by any appellate court, prior to the planned implementation date, leaving employers at a loss as to how to proceed to ensure compliance with the FLSA. It is also unclear what actions Congress or the new Administration will take to either alter the FLSA or defend the Department of Labor in any forthcoming appeal or related suits. New questions are certain to arise regarding the eligibility of workers for overtime pay based on Judge Mazzant’s ruling.

If you have questions about whether your employees are eligible for overtime pay based on this new ruling, you should direct your queries to an attorney who can thoroughly review the current eligibility requirements with you. Please note that no part of Judge Mazzant’s ruling should be read to change an employer’s record-keeping responsibilities under the FLSA. Questions about this article, or about the Fair Labor Standards Act, can be directed to Michael Kalish.

Chuck McWilliams Named Shareholder

December 2, 2016 – Arlington, VA. Walsh, Colucci, Lubeley & Walsh is pleased to announce that Charles E. McWilliams, Jr., has been named shareholder in the firm.

Chuck McWilliams joined the firm in 2012 after working with a boutique tax, trusts, estates, and business planning practice in Winchester, Virginia. Chuck brings incredible talent to the firm. He is both an attorney and a certified public accountant and recently earned an LL.M. in Taxation from Georgetown University. Chuck’s practice focuses on complex estate transactional, and business planning for business owners, individuals, and families. He was recently named a 2017 “Rising Star” by Super Lawyers in Estate Planning & Probate. Chuck is also a member of the Board of Directors of the Lord Fairfax Community College Foundation, which supports continued growth and development in the communities of Frederick, Fauquier, and Page Counties, and throughout the Shenandoah Valley.

“Chuck is an outstanding attorney. He has earned his position as shareholder by demonstrating expertise in his field, by providing outstanding service to his clients, and through his commitment to the community where he lives and works,” said Nan Walsh, Managing Shareholder. “We are fortunate and proud to have a quality individual like Chuck as shareholder in our firm.”

Art Walsh Receives JDRF’s 2016 Rapaport Lifetime Service Award

Nan and Art Walsh Source: Alfredo Flores Photography
Nan and Art Walsh
Source: Alfredo Flores Photography

November 21, 2016 – Arlington, VA—Martin “Art” Walsh was formally honored and presented JDRF’s 2016 Rapaport Lifetime Service Award at the organization’s 16th annual Hope Gala, held November 5 at the National Building Museum in Washington, D.C. This award recognizes Art’s tireless efforts in raising more than $1.1 million over the years for JDRF, the leading global organization funding type 1 diabetes (T1D) research.

“Art Walsh has quietly and behind the scenes raised more than $1 million for diabetes research through his golf tournaments. He exemplifies the ‘service’ our family would like to honor with this year’s Rapaport Lifetime Service Award.”
Barbara Rapaport

The award comes as no surprise to Art’s many clients, friends, and family. For the past 19 years, Art has organized an annual golf outing to raise money for JDRF and pay tribute to his late brother John, who was diagnosed with T1D at age 11. John passed away in 2000 due to complications from the disease. Art remembers as a child watching his young brother give himself two injections a day and witnessed his lifelong struggle with the disease. Art describes the golf outing as a great way to honor his brother and he credits his friends and clients of the firm for their participation and generosity. This year’s golf event raised $67,585, increasing the total amount raised over the years to more than $1.1 million.

The Rapaport family has supported JDRF for years, serving the organization in countless ways—through fundraising, serving on the Board of Directors, and in other capacities. The Rapaport Lifetime Service Award is presented to an individual who has demonstrated a history of service to the T1D community, prior involvement with JDRF, and a willingness to continue to fundraise for JDRF, specifically through the JDRF Hope Gala (or who has already significantly influenced revenue for the Greater Chesapeake and Potomac Chapter). The awardee is an advocate for the T1D community and shares a common goal to support JDRF and create a world without T1D.

From a young age, Art has been an agent of change. His inspiration for community involvement began with his parents, who encouraged him to work hard and be humble. Like his parents, Art leads by example. Before graduating from The College of William & Mary and the Marshall-Wythe School of Law, Art served as an officer in the U.S. Army, where he was awarded the Army Commendation Medal. In 1983, along with two partners, Art established the firm now known as Walsh, Colucci, Lubeley & Walsh, a real estate law firm with a reputation for excellence and a strong commitment to the communities in which it practices.

Throughout his career, Art has been a mentor and recognized for his contributions to the practice of law. He was voted among the “Legal Elite” by Virginia Business magazine, and consistently named a “Best Lawyer in America” by U.S. News & World Report. In 2015, in recognition of his personal and professional achievements and commitment to his alma mater, The College of William & Mary awarded Art the prestigious Alumni Medallion Award.

Receiving JDRF’s 2016 Rapaport Lifetime Service Award is a testament to Art’s steadfast commitment to finding a cure for T1D. He is already planning the 20th annual JDRF Golf Outing scheduled for September 25, 2017. To learn more about Art, please visit our website. To learn more about JDRF and T1D, please visit www.jdrf.org.

Litigators Andy Burcher and Matt Westover Win Zoning Case

Rettig vs City of Alexandria

Representing Janow LLC, the litigators defended the owners of La Bergerie, a restaurant located in the City of Alexandria’s historic Old Town in a suit brought by neighbors challenging the City Council’s approval of the restaurant’s proposed relocation. After a three-day trial, the judge ruled in favor of La Bergerie and the City Council, clearing the way for the restaurant’s relocation. Read the opinion here: Rettig-vs-City-of-Alexandria

The Land Lawyers Named to U.S. News & World Report 2017 Best Law Firms List

Arlington, VA – November 2, 2016 – U.S. News & World Report released the 2017 Best Law Firms rankings today, recognizing The Land Lawyers for professional excellence and outstanding client and peer ratings. Eligibility requires that at least one attorney in the firm is listed in The Best Lawyers in America, which recognizes the top 4% of practicing attorneys in the United States. Art Walsh and John Foote have been consistently named to the Best Lawyers® list since 1995, joined by Michael Lubeley and Nan Walsh in 2007, and Garth Wainman in 2016.

Ranked firms, presented in tiers, are listed on a national and/or metropolitan scale. Receiving a tier designation reflects the high level of respect a firm has earned among other leading lawyers and clients in the same communities and the same practice areas for its abilities, professionalism, and integrity. Awards were presented in 74 national practice areas and 122 metropolitan practice areas. The Land Lawyers were recognized in the following tiers:

NATIONAL TIER 1

  • Land Use & Zoning Law

NATIONAL TIER 2

  • Litigation – Real Estate
  • Real Estate Law

METROPOLITAN TIER 1

  • Washington, D.C.
  • Land Use & Zoning Law
  • Litigation – Land Use & Zoning
  • Litigation – Municipal
  • Municipal Law
  • Real Estate Law

METROPOLITAN TIER 2

  • Washington, D.C.
  • Commercial Litigation
  • Litigation – Real Estate

Please visit our website to learn more about our practice areas and attorneys.

Andrew Painter recently interviewed on “Streetwise with Paul Berry.”

Andrew Painter recently interviewed on “Streetwise with Paul Berry.”

Journalist and “Streetwise” radio host Paul Berry explores industry trends and issues in interviews with local and national leaders. This past September, Paul interviewed Andrew Painter, along with developer Brian Cullen of Keane Enterprises, to discuss zoning, land use, and real estate practices in Northern Virginia. Listen here.

Five Land Lawyers are listed in the 2017 Edition of The Best Lawyers in America©

Five Land Lawyers are listed in the 2017 Edition of The Best Lawyers in America©.

Martin D. “Art” Walsh was selected for inclusion in The Best Lawyers in America© in the fields of Business Organizations (including LLCs and Partnership), Land Use and Zoning Law, and Real Estate Law.

Nan Walsh was selected for inclusion in The Best Lawyers in America© in the fields of Land Use and Zoning Law

Garth Wainman was selected for inclusion in The Best Lawyers in America© in the fields of Commercial Litigation

John Foote was selected for inclusion in The Best Lawyers in America© in the fields of Land Use and Zoning Law, Litigation – Land Use and Zoning, Litigation – Municipal, Municipal Law, and Real Estate Law.

Mike Lubeley was selected for inclusion in The Best Lawyers in America© in the fields of Land Use and Zoning Law, Litigation – Land Use and Zoning, Litigation – Real Estate, and Real Estate Law.