Second Circuit Update: FLSA Plaintiffs Must Plausibly Allege a Willful Violation to Benefit from the Extended Three-Year Statute of Limitations

On April 27, 2021, the United States Court of Appeals for the Second Circuit held that mere allegations of willfulness are insufficient for a plaintiff to secure the benefits of the three-year exception to the general two-year statute of limitations under the Fair Labor Standards Act. Rather, for the enhanced three-year look back period to apply, a plaintiff must allege facts at the initial pleading stage that create a plausible inference of willful violation of the statute. The decision, Whiteside v. Hover-Davis, Inc., Universal Instruments Corporation, fuels the widening split among federal appeals courts on this issue around the country. 

The following client alert first provides some background on the FLSA limitations standard and the Circuit split surrounding it, and then examines the facts of the Whiteside decision, offering insight for employers going forward.

PDF of the client alert:  
Second Circuit Update: FLSA Plaintiffs Must Plausibly Allege a Willful Violation to Benefit from the Extended Three-Year Statute of Limitations