Legal News

Court Says Obama Administration Played Fair in Allowing Overtime to Mortgage Loan Officers
Download PDF
1 Star2 Stars3 Stars4 Stars5 Stars (No Ratings Yet)
Loading...

On Wednesday, U.S. District Judge Reggie Walton, Washington D.C., disagreed with the contention of the Mortgage Bankers Association that the Obama administration was wrong in allowing overtime pay to mortgage loan officers. The instant case arose from the Obama administration using its discretion to reclassify mortgage loan officers as eligible for overtime pay. Mortgage lending companies had sought to invalidate the rule after facing lawsuits from loan officers for recovery of back overtime pay.

In 2010, the U.S. Labor Department had held that the typical job duties of mortgage loan officers made them eligible to receive overtime pay overturning the decision of the Bush administration that had in 2006 made loan officers ineligible for such wages. With their previous status restored, loan officers started suing the mortgage lending companies who were already in deep trouble over their own misdeeds.

The Mortgage Bankers Association argued that the change brought in by the Obama administration was “an abrupt reversal” of the policy they had come to rely on. But the court found that the mortgage lenders failed to prove that they had relied on the 2006 policy in any substantive manner to hurt their businesses on policy change. On the other hand it was proved that mortgage lenders had for years relied on the policy that mortgage loan officers merited overtime pay until 2006.

  
What
Where


Parties affected and disgruntled by the judgment include Bank of America, JPMorgan Chase & Co and Quicken Loans Inc. The Mortgage Bankers Association may move for appeal though it was not confirmed.

The case is Mortgage Bankers Association v. Hilda Solis, et al., U.S. District Court for the District of Columbia, No. 11-cv-73.

Get JD Journal in Your Mail

Subscribe to our FREE daily news alerts and get the latest updates on the most happening events in the legal, business, and celebrity world. You also get your daily dose of humor and entertainment!!






 

RELEVANT JOBS

Senior Counsel

USA-TX-Dallas

Senior Counsel    About Us The Buried Alive Project is a non-profit criminal just...

Apply now

Associate Aviation Attorney

USA-TN-Nashville

Qualifications Private Pilot Certification (Required) Full Job Descr...

Apply now

Legal Assistant

USA-NV-Reno

Description      An AV-rated Civil Litigation Firm, specializing in real property,...

Apply now

Associate Attorney- Litigation

USA-MT-Missoula

About the Job: Established AV-rated Missoula law firm is seeking an articulate and ambitious asso...

Apply now

BCG FEATURED JOB

Locations:

Keyword:



Search Now

Junior to Mid-level Cybersecurity, Privacy and Technology Associate Attorney

USA-NY-Garden City

Garden City office of a BCG Attorney Search Top Ranked Law Firm seeks a junior to mid-level cybersec...

Apply Now

Patent Prosecution Attorney

USA-WI-Milwaukee

Milwaukee office of a BCG Attorney Search Top Ranked Law Firm seeks patent prosecution attorney with...

Apply Now

Junior/Mid-level Trust and Estate Litigation Associate Attorney

USA-CA-San Diego

San Diego office of a BCG Attorney Search Top Ranked Law Firm seeks junior/mid-level trust and estat...

Apply Now

Most Popular

SEARCH IN ARCHIVE

To Top