A federal appeals panel on Tuesday voided a Texas trial judge’s order that said three plaintiffs firms were in contempt for allegedly violating the nationwide injunction blocking enforcement of an Obama-era U.S. Labor Department rule.
U.S. District Judge Amos Mazzant of the Eastern District of Texas said the firms—Cohen Milstein Sellers & Toll, Outten & Golden, and New Jersey’s Green Savits—violated the injunction when they brought a wage-and-hour suit in New Jersey federal court. Mazzant’s injunction, issued against the Labor Department, had earlier paused a rule that would have made millions of more workers eligible for overtime compensation.
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