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NADA Praises Supreme Court Ruling in Service Advisor OT Pay Case

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April 3, 2018—National Automobile Dealers Association (NADA) chairman Wes Lutz on Monday expressed pleasure following the Supreme Court’s ruling that service advisors fall within the “salesmen, partsmen, and mechanics” overtime pay exemption under the federal Fair Labor Standards Act.

The ruling was levied in the well-publicized Encino Motorcars LLC vs. Navarro case.

“NADA is extremely pleased with the Court’s decision,” Lutz stated in a press release. “This decision upholds more than 40 years of consistent interpretation by the courts and the executive branch, and will allow the auto retail industry to continue structuring employment relationships that are efficient and beneficial to dealerships, their employees, and their customers.”

NADA provided support to the dealers litigating the case and worked with state dealers associations in the Ninth Circuit to file several “friend of the court” briefs on behalf of all dealers.


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