First Acceptance Corporation, Subsidiary Named in FLSA Action

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A proposed collective action filed against defendants First Acceptance Corporation and First Acceptance Insurance Company, Inc. alleges the companies failed to pay individuals working as insurance agents overtime wages. The lawsuit seeks payment for unpaid overtime work and liquidated damages.

The complaint describes First Acceptance Corporation as a retailer, servicer and underwriter of non-standard personal car insurance that operates three subsidiaries, one of which being First Acceptance Insurance Company, Inc. The plaintiff claims that regardless of how many overtime hours she worked over each two-week pay period, her paystubs always reflected only 80 hours of work for which she and similarly situated employees were allegedly not paid time-and-a-half overtime. Worse, the plaintiff continues, the defendant allegedly hired customer service representatives that performed the same job duties as the plaintiff yet were paid proper overtime when they worked more than 40 hours in a week.