Contract Attorneys May Be Eligible For Overtime Pay

The 2nd Circuit Court of Appeals ruled on July 23, 2015 in Lola v. Skadden, Arps, Slate, Meagher & Flom et al that contract attorneys hired to perform document review could be eligible for overtime pay for hours worked over 40 per workweek. Though employers are not required to pay licensed attorneys overtime if their work is considered to be legal work, the 2nd Circuit held that contract attorneys could potentially receive overtime pay if their work is so basic it cannot truly be considered the practice of law.

The Plaintiff in this case, David Lola, was a contract attorney working for the law firm Skadden, Arps, Slate, Meagher & Flom. Lola was hired by a staffing agency, Tower Legal Solutions, to review documents for Skadden for $25 per hour. Contact attorneys are mainly hired short term to review case documents in the beginning phase of litigation. Many young lawyers struggling to find legal employment in today’s job market will take these short term contract positions to make a living. Most of Lola’s work at Skadden consisted of using a computer to scan and categorize documents using search terms. Another task included redacting text from documents. Lola was working an average of 45 to 55 hours per week and was not receiving overtime pay. The court determined that Lola adequately showed that his job duties did not involve legal judgment and did not qualify as the practice of law, and his case was able to proceed. Lola is also pursuing a class action on behalf of other contract attorneys, and the case will continue in federal court.

The court did not specify how to define the practice of law, stating it should be left for state laws to determine. However, this decision has the potential to allow other courts to find that certain types of document review do not qualify as the practice of law. Ultimately, many contract attorneys could qualify as eligible for overtime pay.

The employment lawyers at Fitapelli & Schaffer, LLP are strongly committed to protecting the rights of hard working employees. If you believe you have a potential claim regarding overtime pay, please call the New York employment lawyers at Fitapelli & Schaffer, LLP at (212) 300-0375 or visit our website at www.fslawfirm.com.