Mortgage Loan Processors Represented by Nichols Kaster, PLLP Challenge Open Mortgage’s Decision to Deny Overtime Pay

On Monday, November 16, 2015, two former mortgage loan processors filed a Fair Labor Standards Act (FLSA) Complaint in federal court against Open Mortgage, LLC.  The named Plaintiffs filed their FLSA claims on behalf of themselves and other “similarly situated" employees, which include mortgage loan processors, reverse mortgage loan processors and individuals in other job titles performing similar duties (collectively “processors”), who worked for the company anywhere in the United States during the past three years. The Complaint alleges that Open Mortgage willfully denied its processors overtime pay by improperly classifying them as exempt from the FLSA’s overtime protections.  The Complaint further alleges that Defendant required the named Plaintiffs and those similarly situated to work over 40 hours per week to meet their production quotas. The named Plaintiffs were paid a salary and production-based bonuses, but received no overtime compensation for the overtime hours they worked.  These employees seek to recover unpaid overtime and double damages.

Open Mortgage, LLC is a Texas company with its corporate headquarters located in Austin, Texas.  It is a mortgage banker providing a wide variety of mortgage programs, including conventional mortgages, refinance, FHA loans, and reverse mortgages. The company provides loan origination, processing, and underwriting services at its 15 branches in several states throughout the United States, including Texas.

Reena I. Desai, who represents the plaintiffs stated, “Open Mortgage misclassified its loan processors as exempt, denying them overtime pay that they earned and deserve under the law.  We seek to recover these unpaid wages for our clients and other loan processors through this lawsuit.”

Plaintiffs are represented by Paul J. Lukas and Reena I. Desai from Nichols Kaster, PLLP, which has offices in Minneapolis, Minnesota and San Francisco, California.  The case was filed in federal court in the Western District of Texas, Court File No. 1:15-cv-01037.

Additional information may be found here or by calling Nichols Kaster, PLLP toll free at (877) 344-4628.