4th Circuit: Circuit City Employees May Not Pursue Class Claims Seeking Overtime

RICHMOND, Va. - The Fourth Circuit U.S. Court of Appeals on Feb. 2 ruled that while a bankruptcy court and district court both erred in finding that claimants may not file class proofs of claim without first obtaining an order under Federal Rule of Bankruptcy Procedure 9014, in the present case, concerning a bankrupt chain's former employees seeking almost $ 150 million in unpaid overtime, the lower courts were correct in concluding that the bankruptcy claims process is the superior method (Robert Gentry, et al. v. Alfred H. Siegel, No. 10-2418, 4th Cir.; 2012 U.S. App. LEXIS 1934). Full story on lexis.com