Beginning Next Week: InsideCounsel will become part of Corporate Counsel. Bringing these two industry-leading websites together will now give you comprehensive coverage of the full spectrum of issues affecting today's General Counsel at companies of all sizes. You will continue to receive expert analysis on key issues including corporate litigation, labor developments, tech initiatives and intellectual property, as well as Women, Influence & Power in Law (WIPL) professional development content. Plus we'll be serving all ALM legal publications from one interconnected platform, powered by Law.com, giving you easy access to additional relevant content from other InsideCounsel sister publications.

To prevent a disruption in service, you will be automatically redirected to the new site next week. Thank you for being a valued InsideCounsel reader!

X

More On

Externs who received credit can’t sue for wages

11th Circuit sided with employers in a recent case

While the large class action unpaid intern wage and hour suits against Hearst Corp. and Fox Entertainment Group are still pending or have settled, the 11th Circuit recently sided with the employer-defendants in a case raising similar issues.

In Kaplan v. Code Blue Coding and Billing, students in MedVance Institute’s Medical Billing and Coding Specialist program, which required all students to complete an externship after finishing their other course work, filed suit against employers where they served their externships seeking minimum wage. They claimed that given the lack of formal structure and the repetitive nature of the work, they received very little educational benefit from their externships and instead the defendants benefitted from their work

The district court granted summary judgment to the defendants, and the 11th Circuit agreed. In an unpublished opinion, the court said the plaintiffs did benefit by engaging in hands-on work and receiving academic credit that enabled them to receive their degrees. The court rejected the plaintiffs’ argument that the defendant benefitted economically and instead said the externs made the business less efficient. “The undisputed evidence … demonstrates that defendants’ staff spent time—time away from their own regular duties—training plaintiffs and supervising and reviewing plaintiffs’ work,” the court said.

Senior Editor

Mary Swanton

Bio and more articles

Join the Conversation

Advertisement. Closing in 15 seconds.