Escribano v. Travis County, No. 19-50236 (5th Cir. 2020)
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Plaintiffs, six Travis County Sheriff's Office detectives, filed suit alleging that they were entitled to overtime pay under the Fair Labor Standards Act (FLSA). The county argued that plaintiffs were exempt as both executive and highly-compensated employees. The district court granted judgment for plaintiffs. Then the district court later ruled as a matter of law that plaintiffs were paid a salary, vacated the jury's finding on the first requirement of the exemptions, and granted plaintiffs' request for a new trial. Plaintiffs sought reconsideration, contending that they had conditionally asked for a new trial on the management issue, an element of the executive exemption and first-responder exception, not on the office-work issue, which is part of the highly-compensated-employee exemption. Plaintiffs then moved for reentry of judgment in their favor. Because plaintiffs did not want a new trial, the district court entered a final judgment.
Rejecting the parties' jurisdictional challenges, the Fifth Circuit affirmed and held that it had appellate jurisdiction. The court also held that plaintiffs' failure to challenge the timeliness of the Rule 50(b) motion in the district court means that they have forfeited that objection, and the district court had jurisdiction to decide the motion for judgment as a matter of law. The court explained that a new trial was needed to answer the additional questions about whether plaintiffs were exempt and, by prevailing on a Rule 50(b) motion, the county did not somehow lose its right to assert its defenses.
On the merits, the court held that the district court properly held as a matter of law that the county paid plaintiffs on a salary basis. Although the ruling did not fully resolve whether plaintiffs were entitled to overtime pay, the court stated that years of litigation never answered that ultimate question.
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