Skip to main content

Former Franklin American Mortgage Employee Files Suit Over Overtime Exemption Rule

NationalMortgageProfessional.com
Nov 30, 2010

A former employee of Franklin American Mortgage, Gina McKeen-Chaplin, has filed suit in California federal court seeking unpaid overtime wages under state and federal laws. The plaintiff alleges that Franklin American misclassified her and other mortgage underwriters as exempt from the overtime requirements of the Fair Labor Standards Act and California state law, and as a result, improperly denied them overtime compensation. The case, Gina McKeen-Chaplin v. Franklin American Mortgage Co., was filed in the United States District Court for the Northern District of California. According to the complaint, Franklin American classified its mortgage underwriters as exempt from overtime pay until early 2010 when it reclassified them. "Like many companies, Franklin American recently reclassified its mortgage underwriters and started paying overtime," said the plaintiff's attorney, Robert L. Schug from the law firm of Nichols Kaster PLLP. "My client simply seeks to recover the overtime pay that she and other mortgage underwriters were denied while they were wrongfully classified as exempt." The plaintiffs are represented by Schug and Mathew Helland from Nichols Kaster LLP, which also represents mortgage underwriters in similar cases against SunTrust Mortgage, Residential Capital/Ally Financial, Washington Mutual, Flagstar Bank, and MetLife Home Loans. For more information, visit www.overtimecases.com.
Published
Nov 30, 2010
Complex Algorithms Causing Complex Compliance Issues

Complying with Reg B and ECOA on adverse action

Regulation and Compliance
Jan 27, 2023
The State Of Remote Work In Mortgage

Regulations are catching up with remote work, are you prepared?

Regulation and Compliance
Jan 27, 2023
Becoming The Interest Rate Expert

Understand the five main variable components of rate-sheet pricing and interest rates

Regulation and Compliance
Jan 27, 2023
Farm, Land, & Builder Associations Sue Over New U.S. Waters Rule

EPA, Army Corps of Engineers publish rule revision that lawsuit says goes too far.

Regulation and Compliance
Jan 23, 2023
FHFA Updates GSEs’ Single-Family Pricing Framework

New framework takes effect on May 1, but MBA asks agency to be 'flexible' with that date.

Regulation and Compliance
Jan 19, 2023
CFPB Proposes Public Registry Of Nonbank Form Contracts

Says such contracts often have terms & conditions that claim to waive or limit consumer rights.

Regulation and Compliance
Jan 16, 2023