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The 9th Cir. has an opportunity to weigh in on the overtime debate. They were concerned about the fact that a Circuit split could be created with the 2nd Cir. decision in Novartis. The argument was spirited with the DOL arguing on behalf of the reps. The judges focused on the degree of deference they had to give the Department of Labor in its interpretation of the statutory language. While there were comments that could support both sides from all of the judges, it seems to me that they were leaning toward the reps. The judges were fixated on the selling concept in the industry. The lawyers for the reps were clear to point out that the sales occur through the wholesalers and to the pharmacies, this was not satisfying to at last two of the judge. At the end though I think all three judges will adopt the Department of Labor view and give the agency Auer deference and order that overtime should be paid to the reps when they work over 40 hours in a week. A decision could come down in the next few weeks though I would expect it may take several months for a fully elaborated opinion. Check back early next year for updates. If other issues arise in other cases of course we will keep you updated on those as well.
Happy Thanksgiving.
