A Florida operator of data centers has settled a North Texas class-action lawsuit alleging that certain employees weren’t paid overtime, according to court records.
Terms of the settlement by Terremark Worldwide weren’t disclosed. The litigation was filed earlier this year against Irving’s Data Return LLC, which Terremark acquired in 2007 for around $85 million.
“You have seen an increase in these types of cases across the board,” says Michael McCabe, an attorney and shareholder at Munck Carter in Dallas who is not affiliated with the Data Return case.
McCabe notes that workers in the tech sector are often well-paid, and thus can claim greater damages in OT lawsuits, especially if they band together in a collective action. “If you have a higher wage earner, the damages will increase,” he says.