Bob DeRose of Bulldog Law Defeats Tow Truck Employer's Bid to Dodge Overtime Pay.
In Michael Anderson, et al. v. Shamrock Towing, Inc., the federal court rejected the towing company's attempt to invoke the Fair Labor Standards Act's "retail or service establishment" exemption to avoid paying overtime. Judge Michael H. Watson held that Shamrock failed to meet its burden of proving that at least 75 percent of the company's annual dollar volume of sales qualifies as retail within the towing industry.
The court found that Shamrock's evidence did not establish how the industry itself classifies the transactions in question. The court also declined to treat services billed to account customers, dealerships, and service centers as retail sales, noting that vehicle owners typically did not seek out the towing service, had no meaningful say in pricing, and often did not directly pay for the service.
With this ruling, the plaintiff's federal overtime claims under the FLSA, along with claims under the Ohio Minimum Fair Wage Standards Act, the Ohio Prompt Pay Act, and civil penalties under Ohio law, remain pending. In an earlier December 2025 ruling, the court had granted summary judgment in Shamrock's favor on unjust enrichment and FLSA retaliation claims. The court has ordered the parties to report within thirty days on whether they wish to pursue mediation before trial.
This is a curated brief from the PlaintiffWire news desk. Read the original report at PR Newswire Legal.