A federal court in Wyoming allowed Applied Consultants to intervene and enforced its motion to compel arbitration in an overtime case. The case originated when a pipeline inspector sued Silver Creek Midstream Holdings, alleging that Silver Creek was his employer, and that he was misclassified as exempt from overtime and denied overtime pay. Applied intervened, arguing that it was entitled to enforce an arbitration agreement it has with the plaintiff. Applied employs inspection personnel to provide services to its customers. Silver Creek was one of Applied’s customers. Pursuant to a Master Service Agreement (MSA), Silver Creek issued work orders to Applied when it was seeking inspection services. Applied’s employees provided the requested service, and Silver Creek paid Applied a flat rate. Applied required the plaintiff to sign an arbitration agreement that contained a class action waiver. The Court ultimately agreed that Applied could enforce the agreement, and required the case to be arbitrated. 

A review of a federal litigation database indicates that Applied Consultants has been sued or has intervened several times in overtime lawsuits. It is apparently Applied Consultants’ standard practice to have its inspectors sign arbitration agreements in an effort to insulate Applied from liability under state and federal overtime laws. If you work or have worked for Applied Consultants over the past three years, you should speak with an experienced overtime attorney to learn of your legal rights. If you have questions about overtime pay, call Josh Borsellino at 817.908.9861 or email him here for a free evaluation to see whether you may have a claim under state or federal overtime laws.