Appeals court rules against Asmussen in federal labor case
A federal appeals court ruled against trainer Steve Asmussen in a case involving labor practices.
The case involves charges by the U.S. Department of Labor that Asmussen's training operation, KDE Equine, violated regulations regarding minimum wage, overtime and recordkeeping requirements from 2012 through 2014.
"Our position clearly was administratively that the evidence wasn't sufficient," said Clark Brewster, an attorney for Asmussen. "But fortunately, we'll have a chance for rehearing and re-urge that."
A U.S. District Court agreed with the Labor Department on its overtime claims but found in favor of KDE Equine regarding claims of willful violations and the need to pay damages. Both parties appealed. The appeal was heard in December 2021, and the U.S. Sixth District Court of Appeals in Cincinnati issued its ruling on Dec. 22.
One of the matters under appeal was whether the district court was wrong when it ruled that KDE’s pay plans did not comply with federal regulations. The appeals court confirmed that ruling.
Also at issue was whether the district court was wrong in granting summary judgment to KDE on charges that the stable operated willfully, warranting the payment of damages.
The appeals court vacated that ruling and returned the case for further proceedings. In its ruling, the appeals court wrote that questions remain regarding whether KDE willfully failed to pay its employees in compliance with federal regulations.
Brewster added that Asmussen has implemented measures to better comply with the regulations, such as requiring employees to use a time clock.
Still, he said, "It's so frustrating to deal with an agency. And we've developed good relationships and communication lines, but it's so difficult to comply when there's such a wide-ranging, overarching series of regulations that sometimes even conflict or at least are contrary at points in time. So we're doing our best, and we'll see this through on the rehearing and go from there."