TransAm Trucking has been accused of breaking the Fair Labor Standard Act by the truck drivers found in the states of Texas and Florida, who have launched a lawsuit against the company. The TransAm Trucking FLSA Class Action Settlement, with a total amount of $3.75 million, has been ordered to be reached by a local court.
Because the plaintiffs have alleged that TransAm Trucking did not pay them fair wages, the defendants and the plaintiffs have agreed to a $3.75 million TransAm Trucking FLSA Class Action Settlement to bring an end to the court proceedings.
If you would want to learn more about the FLSA Class Action Settlement, including qualifying requirements, award amounts, and payment dates, continue reading this post.
$3.75 M TransAm Trucking FLSA Class Action Settlement 2024
Allegations that TransAm Trucking did not compensate drivers at even the federal minimum wage ($7.25 at the time) for all hours worked, including orientation drivers may have attended on behalf of their training to drive for TransAm Trucking, have resulted in a class action settlement of $3.75 million being reached with TransAm Trucking.
The settlement was reached through a class action lawsuit. TransAm is a considerable freight carrier that was established in 1987 and is headquartered in Kansas. From what can be seen on their website, TransAm provides transportation and trucking services to the majority of the continental United States.
As part of the class action complaint brought against TransAm Trucking, the company has stated that it has always paid its employees by the law and has denied all of the charges that have been made against it.
It is important to note that although the court in the class action lawsuit has given preliminary approval to the settlement, this does not necessarily indicate that the claims that were made in the class action lawsuit have been granted.
The remuneration methods that TransAm has always followed have been in full compliance with the law, according to the company. To avoid protracted class action litigation, they have decided to settle.
This will enable them to concentrate their efforts on the operations of their business as well as the well-being of their employees and users. According to TransAm Trucking, this settlement is not an admission of wrongdoing but rather a choice that takes into consideration practical considerations.
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Overview of $3.75 M TransAm Trucking FLSA Class Action Settlement
| Title | $3.75M TransAm Trucking FLSA Class Action Settlement |
| Official Department | The Fair Labor Standard Act |
| Country Origin | The USA |
| Cities | Texas & Florida |
| Category | Class Action Lawsuit |
| Settlement Amount | $3.75 Million |
| Deadline to File Form | The 23rd of August 2024 |
| Official Website | www.transamtruckingclassactionsettlement.com |
Eligibility Details
To be eligible for a payment from the TransAm Trucking class action settlement, you must have been a victim of at least one of the three types of claims that were brought forward by the class action lawsuit regarding the following:
- From October 2020 to March 2021, TransAm allegedly violated the Fair Labor Standards Act (FLSA) minimum wage requirement by underpaying drivers during the driver orientation process in Texas and Florida. In some circles, the “Fair Labor Standards Act” (FLSA) is also referred to by its acronym.
- Minimum Wage Claim for Lease Drivers: According to the allegations, TransAm misclassified lease drivers as independent contractors and thus violated the Fair Labor Standards Act by failing to pay them the minimum wage.
- TransAm is accused of violating federal regulations by failing to disclose all deductions from drivers’ compensation in their independent contractor agreements, which is a violation of the Truth-in-Leasing regulation.
What is the maximum amount that I can get?
The amount of payment that will be made each time a valid claim form is submitted will change based on whatever section of the class action you may be a part of:
- This claim for the company’s driver orientation is for $125,000. Anyone who attended the orientation in Rockwall, Texas or Tampa, Florida, between October 2020 and March 2021 is eligible. Equal distribution among those who possess valid claims. Every eligible individual must receive a minimum payout of $35.
- The minimum wage claim for lease drivers is an amount of $700,000. You are eligible if you have been leasing from ONE Leasing and have been personally driving for TransAm under an independent contractor agreement (beginning September 29, 2020). When working as a lease driver, the minimum weekly payout is $8.00.
- The Truth-in-Leasing Claim fund is worth $1,311,000. As of February 2017, eligible if subject to a TransAm independent contractor agreement that includes charges and deductions. Working as a lease driver requires a minimum weekly payout of $8.75.
No funds will be returned to TransAm Trucking, Inc., and the entire amount of the class action settlement fund, which is close to four million dollars, will be distributed to members of the class who have filed claims.
For those individuals who submit valid claim forms by the deadline of August 23, 2024, the funds that have not been claimed will be redistributed proportionally.
What is the procedure for filing a claim?
If you want to be a part of the TransAm Trucking Class Action Settlement, which is worth $3,750,000, you need to follow these steps:
- Go to the official website of the settlement (links are provided below).
- Navigate to the area of the website that contains the claim form and click on it.
- Complete the claim form by providing your personal information as well as specifics on your employment with TransAm Trucking.
- Verify that you are a member of at least one of the classes that are eligible for the class action settlement (for more information on how to qualify for the settlement, see the previous section).
- Consent to take part in the settlement that was reached by the Fair Labor Standards Act (FLSA).
- The deadline for submitting the completed form is the 23rd of August, 2024.
If you want assistance or have inquiries regarding your eligibility, you should get in touch with the TransAm Settlement Administrator.
ITobe is eligible for a payout from the settlement; it is essential to remember that it is always crucial to file your claim accurately and honestly before the deadline.
What the Settlement Means for the Future
There will be substantial repercussions for the trucking industry as a result of the TransAm Trucking settlement:
- A reminder to trucking businesses of their obligations under the Fair Labor Standards Act is one of the industry-wide effects of this. Wage and hour infractions can have serious legal and financial ramifications, which are brought to light by the settlement.
- The successful resolution of the litigation highlights the significance of collective action, which also contributes to the empowerment of drivers. This illustrates that truck drivers can effectively claim their rights and seek redress for infringement of labour laws.
- Putting Labor Laws into Effecting: It is clear that the legal system plays an important role in safeguarding the rights of workers. This indicates that the trucking industry is placing a greater emphasis on complying with the Fair Labor Standards Act.
Final Thoughts
An important case that will have far-reaching repercussions is the $3.75 million settlement that was reached in the FLSA class action lawsuit that was filed against TransAm Trucking.
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It not only offers relief to the drivers who have been harmed, but it also establishes a precedent for the entirety of the trucking business. It will continue to be a significant obstacle to ensuring that fair work standards are implemented as the industry continues to change.
Calista Embry is a finance journalist who graduated from Johns Hopkins University. She has a passion for writing and researching the impact of finance on social life.