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Walsh v. Alliance Property Servs. Inc.

Civil Contempt Not Imposed as Sanction on Nonparty Deemed Not Subject to Consent Judgment

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Martin J. Walsh,1, Plaintiff v. Alliance Property Services, Inc. et al., Defendants SUMMARY ORDER In October 2017, the court entered a consent judgment (hereinafter “the Consent Judgment”), enjoining defendants Michael McCaffrey, Alliance Property Services, Inc. (hereinafter “Alliance”), Alliance Property Services, PA, Inc., Secure Assets First, Inc., and Imperial Property Services, Inc. from (1) withholding payment of $124,837 in unpaid wages to their employees, and (2) violating the minimum wage, overtime, recordkeeping, and retaliation provisions of the Fair Labor Standards Act2 (FLSA). (Dkt. No. 83.) Now pending is a motion for civil contempt, filed by Martin J. Walsh, Secretary of Labor (hereinafter “the Secretary”), in which he argues that McCaffrey, along with his business partner, Danielle Ezman, and Alliance’s successor company, SCJ Enterprises PA, LLC, should be held in contempt and face sanctions for failing to make payments in accordance with the Consent Judgment, and for continuing to violate the relevant FLSA provisions. (See generally Dkt. No. 89.) For the reasons that follow, the motion is denied with prejudice as to Ezman, and denied without prejudice as to McCaffrey and SCJ. I. Background In February 2015, the Secretary filed this action against defendants. (See generally Compl., Dkt. No. 1.) Specifically, he alleged that defendants violated the FLSA’s minimum wage, overtime, recordkeeping, and retaliation provisions. (Id.

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