Blog Post

May 9, 2019

No Buyer? No Problem. 11th Cir. Affirms Application Of Motor Carrier Act Exemption To Intrastate Drivers Even If Final Recipient Of Goods Is Undetermined At Shipment

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Seyfarth Synopsis: The Motor Carrier Act exemption to the FLSA (“MCE”) is a powerful defense against overtime claims brought by interstate truck drivers and others involved in the interstate shipment of goods. Importantly, the exemption is not limited to drivers who cross state lines. Instead, numerous courts have made clear that the exemption applies to intrastate drivers, so long as the drivers complete one leg of a larger interstate transport of goods and, thus, the goods they transport are part of the “continuous stream of interstate travel.” Plaintiffs’ attorneys, however, continue to test the limits of the application of the MCE, particularly as it relates to drivers who complete trips solely within a single state. One frequent angle of attack is to argue that the goods transported by intrastate drivers are not in the continuous stream of interstate travel, unless the shipper identified the final customer of the goods at the time of shipment. The Eleventh Circuit Court of Appeals recently rejected this argument in a favorable decision for employers.

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