Philadelphia Employment Lawyers: Fair Labor Standards Act, Unpaid Wages, Class Action/Collective

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Employees should be paid for all the work performed by them for their employer. The Fair Labor Standards Act (“FLSA”) requires employers to pay employees for all hours worked. In addition, the FLSA requires compensation at a rate of at least 1.5 times an employee’s regular rate of pay, whenever that employee has worked over 40 hours in one workweek. Under the FLSA, employers must keep wage and hour records. As long as employees meet the requirements to be covered, FLSA gives employees a cause of action when they have been improperly paid for their performance. When an employer violates the FLSA and has employees and has locations in multiple states, employees in similar situations may bring a collective action. Normally these claims arise from overtime work that is unpaid, but in the following case, the claim arises from unpaid work performed before work.

In a recent case, plaintiffs were granted conditional certification of their collective action for a policy that required them to perform pre-shift work without any compensation. Tompkins v. Farmers Ins. Exch., PICS Case No. 15-1390 (E.D. Pa. Aug. 18, 2015). The court held that the employees satisfied their burden to show employees in 49 states were performing unpaid pre-shift work and did not have to show there was any written policy or procedure by the employer. The court further discussed that certification of a collective action is a two-tier process. The first-step is being able to show the proposed employee group can be determined similarly situated, to allow discovery on the issue. Once discovery is complete, the second-step by the court is to decide if the employee group is in fact similarly situated.

The Philadelphia Wage and Hour Lawyers at Sidkoff, Pincus & Green Represent Workers Who Have Not Received Proper Overtime Compensation

The Philadelphia Employment Lawyers at Sidkoff, Pincus & Green help those who have been inadequately paid for their overtime work, we handle class action lawsuits.  For more information contact us online, or call 215-574-0600 to schedule a consultation.

Philadelphia Business Lawyers: Fraudulent Misrepresentation as a Basis for Punitive Damages

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To establish fraudulent misrepresentation, a plaintiff must prove: (1) misrepresentation of a material fact; (2) scienter; (3) intention by the declarant to induce action; (4) justifiable reliance by the party defrauded upon the misrepresentation and (5) damage to the party defrauded as a proximate cause. Yenchi v. Ameriprise Fin., Inc., 2015 Pa. Super 195 (Sept. 15, 2015). Scienter, or the maker’s knowledge of the untrue character of his representation, is a key element in finding fraudulent misrepresentation. See Restatement (Second) of Torts § 526, comment a. Fraud must be proven by clear and convincing evidence. Weston v. Northampton Pers. Care, Inc., 62 A.3d 947, 960 (Pa. Super. 2013).

[A] cause of action for misrepresentation can support a claim for punitive damages. However:

Punitive damages will lie only in cases of outrageous behavior, where defendant’s egregious conduct shows either an evil motive or reckless indifference to the rights of others. Punitive damages are appropriate when an individual’s actions are of such an outrageous nature as to demonstrate intentional, willful, wanton, or reckless conduct.il

The Philadelphia Business Lawyers at the Law Firm of Sidkoff, Pincus & Green are Well Versed in all Areas of Business Litigation

The Philadelphia Business Lawyers at Sidkoff, Pincus & Green can help clients affected by fraudulent misrepresentation.  To speak to an experienced lawyer contact us online, or call 215-574-0600.

Philadelphia Business Lawyers: Professional Negligence in Pennsylvania

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When the alleged negligence is rooted in professional malpractice, the determination of whether there was a breach of duty comprises two steps: (1) a determination of the relevant standard of care; and (2) a determination of whether the defendant’s conduct met that standard. Catlin v. Hamburg, 56 A.3d 914, 920 (Pa. Super. 2012). Additionally, in a professional malpractice action, the determination of whether there was a breach of duty requires the plaintiff to show that the defendant’s conduct fell below the relevant standard of care applicable to the performance of the professional services at issue. Merlini ex rel. Merlini v. Gallitzin Water Auth., 934 A.2d 100, 104 (Pa. Super. 2007). “In most cases, such a determination requires expert testimony because the negligence of a professional encompasses matters not within the ordinary knowledge and experience of laypersons.” Id.

 A complaint asserting negligence against a licensed professional must identify each defendant against whom the plaintiff is asserting a professional liability claim. Pa. R.C.P. § 1042.2. “In any action based upon an allegation that a licensed professional deviated from an acceptable professional standard, the attorney for the plaintiff … shall file … within sixty days after the filing of the complaint, a certificate of merit signed by the attorney[.]” Pa. R.C.P. No. 1042.3(a).

Philadelphia Business Lawyers at Sidkoff, Pincus & Green Represent Those Accused of Professional Negligence

The Philadelphia Business Lawyers at Sidkoff, Pincus & Green are experienced in complex litigation and represent clients in all areas of business law, including professional malpractice.  For more information contact us online, or call 215-574-0600.

 

 

Philadelphia Business Lawyers: General Contractor Insurance Policies

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Insurance Companies Not Held Liable for Shoddy Workmanship by Home Contractors under General Contractor Insurance Policies

In Pennsylvania, Courts will not hold insurance companies that provide general contractor insurance policies liable for a contractor’s shoddy workmanship. In Ryan Homes, Inc. v. Home Indem. Co., 647 A.2d 939, 942 (Pa. Super. 1994) the Superior Court held that general liability policies provide coverage for work or product that actively malfunctions “causing injury to an individual or damage to another’s property.”

Further, the insured must assume the risk of the quality of its product and its work, and to hold otherwise “would effectively convert the policy into a performance bond or guarantee of contractual performance and result in the coverage for the repair or replacement of the insured’s own faulty workmanship. This means homeowners who can prove negligence in court will have to attempt to collect from contractors themselves.

 

The Philadelphia Business Lawyers at Sidkoff, Pincus & Green Represent Homeowners Whose Property Has Been Damaged by Home Contractors

The Philadelphia Business Lawyers at Sidkoff, Pincus & Green can help if your property has been damaged by a contractor’s shoddy workmanship.  For more information contact us online, or call today at 215-574-0600.

 

 

Philadelphia Business Lawyers: Association Transactions Act

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A major overhaul of Pennsylvania’s entity laws went into effect on July 1, 2015. The Association Transactions Act, which is similar to the Model Entity Transactions Act, replaces or reconfigures much of the dated legislation contained in Title 15, Corporations and Unincorporated Associations, and streamlines applicable provisions for more modern entity types. The Act consolidates and clarifies regulations surrounding entity transactions and makes it easier for all entity types to execute these transactions.

Specifically, the Act modifies or creates legislation to oversee five types of transactions: mergers, conversions, interest exchanges, divisions and domestication. Previously, the types of entities eligible for some of these transactions were limited, but the Act gives businesses much more flexibility. Simplifying these costly and time-consuming transactions is a huge win for Pennsylvania businesses.

This is a particular benefit to businesses looking to convert their entity type, who previously would have had to either dissolve or merge with another entity and reform as a different type. Divisions have also become less complicated, as spin-off entities no longer need to be the same type as the parent entity. Divisions are useful for businesses looking to attribute assets or liabilities to separate subsidiaries, but they are still only available in certain jurisdictions.

New Laws Beneficial for Businesses in Pennsylvania

In addition to the transaction governance laws, the Act also introduces several new types of filings that will be available to businesses. A Statement of Abandonment allows a document given to the Department of State to be withdrawn before taking effect. A Statement of Conversion can be used to convert an existing association to a different type of association. A Transfer of Registration is helpful to registered foreign entities, allowing them to easily merge with non-registered entities or convert their entity type. The Statement of Interest Exchange remains functionally the same as the previous version of the form, but it can now be used for any type of entity.

Existing Pennsylvania businesses will benefit from the clear, consolidated framework for various types of transactions, but the Act could also help to bring new business to the state. The cost-saving and red tape-cutting measures in the Act will make Pennsylvania more attractive to businesses. Provisions in the Act extend the ability to domesticate an entity across all entity types, which will allow businesses to move into Pennsylvania more easily.

Philadelphia Business Lawyers at the Law Offices of Sidkoff, Pincus & Green Help Businesses Achieve Their Transaction Goals

If you are looking into transaction options for your business, call Philadelphia business lawyers at the Law Offices of Sidkoff, Pincus & Green. Our legal team has the knowledge and experience to guide you through the process, including reviewing all applicable legislation and helping you choose the strategy that is right for your business needs. With offices conveniently located in Center City, Philadelphia, we serve businesses both in the Philadelphia area and across the country. Call us today at 215-574-0600 or contact us online to review your options with a qualified business transaction lawyer.

Philadelphia Wage and Hour Lawyers Discuss Lawsuit Filed Against Movie Company for Minimum Wage Violations

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A Montgomery County resident and former employee of Movie Tavern Partners filed a class action lawsuit against the company citing minimum wage violations. The ex-employee filed for herself and on behalf of other employees who were treated similarly. The lawsuit cites violations of the Fair Labor Standards Act (FLSA) and the Pennsylvania Minimum Wage Act.

According to details of the complaint, the plaintiff worked as a runner for the company’s Collegeville location from March to August of 2014. The suit says that because the company applied a tip credit against their wages, they were not paid the mandated minimum wage for the hours they worked.

The law states that an employer may pay its employees less than minimum wage if the customer tips combined with the tip credit wage equals at least minimum wage. The employer must also make the employees aware of its intention to pay a tip credit wage so that the employees are aware of what their salary will be. According to the lawsuit, the company did not notify its employees, and they only paid the tip credit wage.

The class action lawsuit seeks unpaid wages, unpaid overtime, liquidated damages, attorney fees, court costs and other costs that the court deems appropriate.

Philadelphia wage and hour lawyers at Sidkoff, Pincus & Green, P.C. provide experienced, dedicated legal counsel for employees experiencing wage and hour issues and violations of the FLSA by their employer. For more information, call our Philadelphia FLSA lawyers at 215-574-0600 or contact us online.

Philadelphia Employment Lawyers: Executive Order to Provide Sick Leave for Federal Contractors

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Federal contractors will soon be entitled to paid sick leave, including paid leave for family care. President Obama recently signed an executive order that will guarantee paid sick leave to approximately 300,000 employees. In an effort to attract and retain dedicated, talented employees, access to paid sick leave will provide a more comprehensive benefits package to federal contractors.

According to the executive order, employees can earn up to seven days of paid time off each year. This paid leave can be used for issues including, but not limited to a medical condition, caring for a family member, domestic violence or time needed to seek counseling or legal representation.  Individual employers may decide to provide more than seven days, but this is the minimum amount of days federal contractors must provide its employees.

For more information about how this executive order will affect your employee benefits, call Philadelphia employment lawyers at Sidkoff, Pincus & Green at 215-574-0600 or contact us online.

Philadelphia Wage and Hours Lawyers Discuss Proposed Changes to FLSA

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The Department of Labor (DOL) is proposing an update to the regulations surrounding which white collar workers should be entitled to the Fair Labor Standards Act’s minimum wage and overtime protections. Overtime eligibility that was previously meant for high-earning employees such as executive, administrators and professionals could now apply to employees with salaries in the low to mid 20 thousands. The proposed regulation could be promising news for hard-working Americans who deserve to be fairly compensated for their hard work.

The proposed changes to overtime regulations proposed by DOL include setting the standard salary level at the 40th percentile of weekly pay for full-time, salaried employees. According to data from 2013, this would amount to $921 per week. The DOL estimates that the 2016 level would be approximately $970 a week. In addition, the DOL is suggesting that high level earners annual compensation level be set to equal the 90th percentile of earnings. The DOL also proposes to automatically updating salary levels annually in order to prevent the salary level requirement from becoming outdated.

If you are involved in an FLSA dispute or believe you have been denied overtime, our Philadelphia wage and hours lawyers at the Law Offices of Sidkoff, Pincus & Green can help you navigate the complexities of the proposed changes to the FLSA law. For professional, dedicated, aggressive legal representation, us at 215-574-0600 or submit an online contact form.  Our offices are conveniently located in Philadelphia, Pennsylvania.

Philadelphia Wrongful Death Lawyers: $7 Million Awarded in Dram Shop Settlement Outside Philadelphia Bar

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In June of 2015, the estate of Kevin Kless was awarded $7 million after Kless was attacked and beaten to death by three assailants in Old City. Defendants Lucy’s Hat Shop and G Lounge paid out their policy limits after they were found liable for serving two of the assailants, who were minors.

Dram Shop laws allow victims and their families to hold establishments liable for serving alcohol to individuals who later commit alcohol-related crimes. According to Pennsylvania Dram Shop laws, an establishment can be liable for the entire verdict even if it is only 1% liable on damages.

For more information or to discuss a possible claim of medical malpractice, call Philadelphia wrongful death lawyers at Sidkoff, Pincus & Green at 215-574-0600 or contact us online.

Philadelphia Police Misconduct Lawyers: $40 Million in Settlements

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Over the last four years, police misconduct lawsuits within Philadelphia have spiked. Over 600 cases have been settled, resulting in close to $40 million in payments. According to MuckRock, an organization which helps individuals in filing governmental requests for information through the Freedom of Information Act, the largest settlements have involved police related shootings. Compared to other major cities such as San Francisco and Austin, Philadelphia has settled five times as many Police misconduct cases. Most common were cases involving assault and excessive force. Shooting related cases lead to the bulk share of the dollars settled; over $14 million dollars have been paid out to these victims and their families.

The biggest specific payout involved a shooting where police thought a man was intruding a building in which he lived. The family settled for $ 2.5 million dollars. Settlements continue to increase as the year progresses. In a highly controversial case in 1999 which involved the shooting and death of a male individual, the case was settled for $ 712,000 dollars. Recently in February a case was settled for $200,000 involving a man who was brutally beaten by police prior to his arrest which was also not warranted. The man broke his orbital bone, had lacerations on his face and was bleeding badly. Video surveillance displayed evidence that thus man was falsely arrested.

For more information, call Philadelphia police misconduct lawyers at Sidkoff, Pincus & Green at 215-574-0600 or contact us online.