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$1,500,000 Settlement Approved in Terminix California Overtime Case

Terminix has settled a class action lawsuit against it in which trainees claim they were forced to work far in excess of 8 hours per day and 40 hours per week without overtime pay, rest breaks and meal periods that most California employees are entitled to. California labor laws on overtime and breaks are easily some of the most worker-friendly in the entire country. Prior to the settlement, Terminix changed its policy and reclassified its trainees as non-exempt – meaning they are now entitled to overtime pay.

Terminix had argued that termite inspections are sales activities that are exempt from overtime pay laws, but this argument didn’t fly with the judge who held that termite inspections are services, not sales pitches or product giveaways, and are covered by state labor laws requiring overtime for work beyond eight hours in a day or 40 hours in a week.

The company still faces similar overtime pay claims on behalf of its licensed inspectors who also claim that they were misclassified as salespeople, using the same rationale that the court has already rejected. The inspector overtime pay claims were not settled as a part of this case. Inspectors in other industries have brought similar claims for unpaid overtime – including pipeline inspectors working in the oil and gas industry.

Client Reviews

★★★★★

A situation that involves attorneys is emotional - Mike Lore is an attentive listener and really helped me come to the terms of my situation. He used his understanding of the law to construct a case that was grounded in fact and skipped the needless 'finger-pointing' and 'he-said/she-said' back and forth. Mike's professionalism with me (the client) and the opposing attorney moved the case forward quickly with a successful result.

- E.S.

★★★★★

After talking to HR and trying to find answers to my questions about the overtime laws online, I was so confused. I contacted the firm and spoke to Stacy. She was so nice and took the time to review my pay stubs. She explained what the law requires and how it applied to my job. Turns out I do not have a case. Even though I didn’t have a case, she sent me a follow up email with even more information. So glad I called them.

- P.A.

★★★★★

We live in another state, but my husband's company sent him to work in Texas for 6 months. With the laws being completely different from our home state, it was nice to speak to a professional that could put us at ease and explain the laws to us.

- D.E.