Bodle v. TXL Mortgage Corp., No. 14-20224 (5th Cir. 2015)
Annotate this CasePlaintiffs filed suit against defendants, alleging that they failed to compensate plaintiffs for their overtime work as required by section 207 of the Fair Labor Standards Act (FLSA), 29 U.S.C. 207. In Martin v. Spring Break '83 Productions, L.L.C., the court held that a private settlement reached over a bona fide dispute regarding FLSA claims was enforceable despite the general prohibition against the waiver of FLSA claims. In this case, the court declined to extend Martin and held that the generic, broad state court settlement release in this action does not bar plaintiffs’ subsequent FLSA claims. The court also held that the alternative defense of res judicata failed. Accordingly, the court reversed and remanded for further proceedings.
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