Tag Archives: Law

Legal Discussion: Debt Collection –15 U.S.C. § 1692e — False or misleading representations

Federal law prohibits debt collectors from making false or misleading representations when they attempt to collect debts.

15 U.S.C. § 1692e. False or misleading representations

A debt collector may not use any false, deceptive, or misleading
representation or means in connection with the collection of any debt.
Without limiting the general application of the foregoing, the following
conduct is a violation of this section: Continue reading

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Legal Discussion: Reporting Pay or the “Three Hour Rule”

Reporting Pay, or the “Three Hour Rule”

In Massachusetts, the law is clear about “reporting pay.” Reporting pay means the minimum pay that an employer must give for requiring an employee to show up for a shift of three or more hours, and then sending them home early.

Here is the law:

455 CMR 2.03

2.03: Hours Worked (1) Reporting Pay. When an employee who is scheduled to work three or more hours reports for duty at the time set by the employer, and that employee is not provided with the expected hours of work, the employee shall be paid for at least three hours on such day at no less than the basic minimum wage. 455 CMR 2.03(1) shall not apply to organizations granted status as charitable organizations under the Internal Revenue Code.

Example:

Joe is a delivery man at a flower shop.  Joe is scheduled to work a full shift (5 hours) on Valentines Day.  Due to a nationwide shortage of roses, the business is unable to fill any orders. Joe’s boss “cuts” him and sends him home after 2.5 hours on the clock.  Joe’s hourly rate is $15.00.  The flower shop must pay him this way:

  • 2.5 hours at Joe’s regular rate of 15.00/hr, which equals  $37.5, then at least the minimum wage for a half hour, which would be $4.00, resulting in a  a total of $41.50 minimum owed to Joe.

Reporting Pay image

Source: Attorney General’s publication about Massachusetts Wage and Hour Laws, .pdf (here).

There are no reported cases that I was able to find about this law. However, there is an opinion letter here and below:

07/09/2007 - Reporting Pay Provision "Three Hour Rule"
Opinion Letter
MW-2007-002
July 9, 2007
I am writing in response to your request, on behalf of your client ***, for this Office's written opinion regarding the applicability of the Massachusetts Minimum Fair Wage Law. Specifically, you have asked how 455 C.M.R. §2.03(1), the Reporting Pay requirement, applies to employees scheduled to work less than three hours. [1]
The Reporting Pay provision, also known as the "three hour rule," provides:
When an employee who is scheduled to work three or more hours reports for duty at the time set by the employer, and that employee is not provided with the expected hours of work, the employee shall be paid for at least three hours on such day at no less than the basic minimum wage. [This provision] shall not apply to organizations granted status as charitable organizations under the Internal Revenue Code.
455 C.M.R. §2.03(1). Therefore, if a for-profit employer schedules an employee for three or more hours, the employee arrives at the worksite on time, and the employer does not provide the expected hours, the employee must be paid for at least three hours at no less than the minimum wage ($7.50 per hour). Of course, for any actual time worked, the employee must be paid his/her actual wage. For example, if an employee is told that a meeting will take four hours, and the employee is sent home after two hours, the employee must be paid for two hours at his/her regular rate of pay, and at least minimum wage for the third hour. [2]
Alternatively, if an employee is, in good faith, scheduled for less than three hours, the employer may pay the employee for only the hours worked. For example, if an employee is scheduled for a two-hour meeting and she/he works these two hours, the "three hour rule" is inapplicable, and the employer may pay the employee for only the hours worked.
I hope this information has been helpful. If you have any further questions, please feel free to contact me.
Sincerely,
Lisa C. Price
Deputy General Counsel
[1] As you know, most employers are also subject to the federal minimum wage and hour law, found in the Fair Labor Standards Act (FLSA), and regulations promulgated thereunder. For information about applicable federal wage and hour laws, you should contact the U.S. Department of Labor.
[2] Of course, if the meeting causes a non-exempt employee's hours to exceed 40 hours in the workweek, the employee must be paid time and one-half pay for all hours actually worked in excess of 40 hours.
***=Names have been Omitted

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Legal Discussion: Massachusetts Security Deposit Recovery

In Massachusetts, the law regarding security deposits is very pro-tenant.

Has any of the following happened to you?

  • Landlord did not return the security deposit within 30 days after termination of the tenancy
  • Landlord did not deposit the security deposit in an escrow account.
  • Landlord made up false damage
  • Landlord charged you for cleaning costs and took that from the security deposit

If your landlord did not follow the law, you could be entitled to  3 times the amount of the security deposit.

If you are interested in speaking with an experienced security deposit lawyer about your rights, you are encouraged to contact us.

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Class Action Investigation: Massachusetts Residential Landlords Collecting “Amenity Fees” & Other Illegal Up-Front Fees

Have you been charged any of the following fees before moving into a building?
 
  • “Amenity fee”
  • “Move in fee”
  • “Pet fee”
  • “Application fee”
  • “Maintenance fee”
  • “Credit/screening fee”
  • “Holding fee”
  • New “Community fee” (As of November 2012, Equity Residential is allegedly charging a “community fee,” due some point after the first month)
 
If so, your rights may have been violated, and you may be owed financial compensation.  If you want to talk to an attorney about your legal rights, please call me, Attorney Preston W. Leonard at (617)329-1295, or see this post to learn more about a recent class action lawsuit concerning amenity fees in Massachusetts.
 
Note: If you have paid any of the up-front fees described above in the past 4 years, even if it was not to an Equity Residential or Archstone building, you may be entitled to financial compensation. 
 
Examples of Unlawful Fees in a Massachusetts Residential Lease Agreement:
 
 
 

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My Landlord kept my security deposit!

Common scenario:

A landlord keeps all or part of a security deposit.  They often commit technical violations that not only forfeit the landlord’s right to hold the deposit at all, but entitle the former tenant to three times the amount of the deposit, and legal fees.

If you are having a problem with a Massachusetts landlord, you are welcome to contact us. We have successfully taken on landlords from the biggest in the country to individual owners renting out only one unit.

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