On October 23, 2019, our law firm, in conjunction with co-counsel, filed a lawsuit against Central Florida Investments, Inc. (“CFI”), Westgate Resorts, Inc. and Westgate Marketing, LLC (collectively, “Westgate”) in the United States District Court for the Eastern District of Tennessee to recover unpaid overtime wages. Westgate, one of the largest privately-owned timeshare companies in the world, develops and sells timeshares throughout the United States.
The worker, a former timeshare sales representative, filed suit on behalf of herself and other timeshare sales reps located throughout the country. In the Complaint, she alleges that Westgate misclassified its timeshare sales reps as “independent contractors,” rather than employees and, in doing so, improperly denied them overtime compensation. The plaintiff alleges she and the other similarly situated sales reps were paid a draw against commissions with no additional pay for the overtime hours they were required to work. The lawsuit seeks unpaid overtime wages and double damages.
Our firm has partnered with D. Alexander Burkhalter, III of The Burkhalter Law Firm, P.C. in Knoxville, Tennessee, and Bryce W. Ashby of Donati Law, PLLC in Memphis, Tennessee to represent the sales reps in this action.
We are no longer accepting claim forms.
This case is entitled Fredrick v. Central Florida Investments, Inc., Westgate Resorts, Inc., and Westgate Marketing, LLC., Case No. 3:19-cv-00418 (Eastern District of Tennessee)
Case Updates
October 13, 2021
Westgate Resorts, Inc. Case Update
The parties have reached a settlement and notice of settlement was sent out on September 7th. We currently await final approval by the Court to declare the settlement as fair and reasonable. If it does so, checks will be sent out afterwards to eligible individuals who received notice of the settlement.
In the meantime, if your contact information has changed recently, please alert the case clerk, Thomas Leicester, with your updated information.
July 31, 2020
Westgate Resorts, Inc. Case Update
We write with good news in the Westgate case. On July 27, 2020 the Court granted our joint stipulation for conditional certification of a Tennessee-only collective group case. Notice will be sent to all individuals who worked at Westgate as an In-House or Dayline Sales Rep at the Smoky Mountain Resort & Spa in Tennessee from October 23, 2016 to present. These individuals will have the opportunity to join the case and assert their wage claims against Westgate.
The notice period will last 60 days. After that, we will enter the discovery phase of the case where both sides exchange information. Please gather any documents you may still possess related to Westgate, as we will be reaching out soon to collect copies. We will continue to update you as the case progresses. As always, please reach out to any of us with questions and continue to update your contact information with the case clerk, Abby Sokolowski.
October 25, 2019
Timeshare Sales Rep Files Collective Action Lawsuit Against Central Florida Investments, Inc., Westgate Resorts, Inc. and Westgate Marketing, LLC
On October 23, 2019, a former timeshare sales representative for Westgate Resorts filed a lawsuit against Central Florida Investments, Inc. (“CFI”), Westgate Resorts, Inc. and Westgate Marketing, LLC (collectively, “Westgate”) in the United States District Court for the Eastern District of Tennessee to recover unpaid overtime wages. Westgate, one of the largest privately-owned timeshare companies in the world, develops and sells timeshares throughout the United States.
The worker filed suit on behalf of herself and other timeshare sales reps located throughout the country. In the Complaint, she alleges that Westgate misclassified its timeshare sales reps as “independent contractors,” rather than employees and, in doing so, improperly denied them overtime compensation. The plaintiff alleges she and the other similarly situated sales reps were paid a draw against commissions with no additional pay for the overtime hours they were required to work. The lawsuit seeks unpaid overtime and double damages.
Plaintiff's attorney Rachhana T. Srey of Nichols Kaster, PLLP explained, “Companies cannot avoid overtime and minimum wage requirements by simply slapping an “independent contractor” label on their workers. When companies control their workers, rather than giving them the independence of being in business for themselves, then the worker is an employee and the company, like other employers, must comply with wage and hour laws.”
Plaintiffs are represented by Rachhana T. Srey and Caroline E. Bressman of Nichols Kaster, PLLP, which has offices in Minneapolis and San Francisco, D. Alexander Burkhalter, III of The Burkhalter Law Firm, P.C. in Knoxville, Tennessee, and Bryce W. Ashby of Donati Law, PLLC in Memphis, Tennessee. The case is entitled, Fredrick v. Central Florida Investments, Inc, Westgate Resorts, Inc., and Westgate Marketing, LLC, Case No. 3:19-cv-00418 (Eastern District of Tennessee).
Additional information about how timeshare sales representatives may make a claim in the case may be found at www.nka.com or by calling Nichols Kaster, PLLP toll free at (877) 344-4628.
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