Lawsuit seeks more than $41K in unpaid overtime, minimum wages for 30 employees of Cincinnati vehicle repo service

Type of Action: Fair Labor Standards Act lawsuit filing

Names of Defendant(s): ARS Ohio LLC
Gary C. (“Chris”) Finn
Karen Finn

Complaint: The U.S. Department of Labor has filed a lawsuit in federal court to recover approximately $41,323 in back wages and an equal amount in liquidated damages for 30 current and former employees of a Cincinnati vehicle repossession service. The suit also names the company’s owner Gary Finn and his wife, Karen Finn, who assisted in managing the company’s payroll.

An investigation by the department’s Wage and Hour Division revealed that ARS Ohio violated the FLSA by:

• Failing to pay employees for all hours worked.
• Paying straight time and/or commission only to workers employed as “camera car” drivers who locate vehicles pending repossession, office personnel and lot technicians.  This practice resulted in minimum wage and overtime violations when commissions failed to cover all hours employees worked at $7.25 per hour, and when they worked more than 40 hours in a week without overtime compensation.
• Failing to keep accurate records of employee’s hours worked and pay received.

The investigation found at least 14 employees due $11,759 in minimum wage and at least 19 employees due $29,564 in overtime pay.

The complaint also seeks injunctive relief for willful violations of the FLSA. The Wage and Hour Division has assessed civil money penalties of $28.050 in the case.

Quote: “ARS Ohio failed to pay its employees properly and, as our suit alleges, presented false records to our investigators to avoid paying worker’s their rightfully earned wages,” said George Victory, district director for the Wage and Hour Division in Columbus. “This employer is acutely aware of wage laws covering its employees. Our action demonstrates our commitment to ensuring that workers receive every penny they have rightfully earned. We encourage other employees being paid in this manner to notify the Wage and Hour Division.”

Information: The FLSA requires that employers pay covered, nonexempt employees at least the federal minimum wage of $7.25 per hour for all hours worked, plus time and one-half their regular hourly rates for hours worked beyond 40 per week. As a general rule, the FLSA provides that employers who violate the law are liable to employees for their back wages and an equal amount in liquidated damages. Liquidated damages are paid directly to the affected employees. Additionally, the law requires employers to maintain accurate time and payroll records and prohibits retaliation against employees who exercise their rights under the law.

For more information about the FLSA and other federal wage laws, call the Wage and Hour Division’s toll-free helpline at 866-4US-WAGE (487-9243). Information also is available at www.dol.gov/whd/fmla .

Court: 1:16-cv-00963-MRB
U.S. District Court for the Southern District of Ohio, Western Division, Cincinnati