(COMMON LAW CONTRACT   AND/OR QUASI-CONTRACT)   (FAIR LABOR STANDARDS ACT)   1.  Permitting the Collective Action Plaintiffs to join this case as Plaintiffs.   2.  Declaring that the Defendant violated the Fair Labor Standards Act;   3.  Declaring that the Defendant’s violations of the FLSA were willful;   4.  Granting judgment to Plaintiffs and represented parties for their claims of unpaid wages  as secured by the Fair Labor Standards Act, as well as an equal amount in liquidated  damages;   47.    Plaintiff Johnson began employment with Defendant in or about April 2011. Plaintiff  Johnson left employment with Defendant in or about June 2014.   48.    OTHER NAMED PLAINTIFFS began and ended their employment with Defendant in or  about the dates set forth on the chart attached as Exhibit C hereto.   49.    Plaintiffs are or were loan originators employed by WATERSTONE to originate  mortgage loans.   5.  Awarding Plaintiffs, including class and collective represented parties prejudgment  interest, and their costs and reasonable attorneys’ fees; and   50.    Plaintiffs’ job responsibilities were established by WATERSTONE.   51.    Plaintiff and class members regularly worked more than 40 hours per week for  Defendant. Plaintiffs regularly work 50 or more hours per week.   52.  Prior to August 1, 2010, WATERSTONE treated its mortgage loan originators as exempt  from the FLSA.    54.  Upon information and belief, WATERSTONE was aware of the change, which was well  publicized in the mortgage industry. Nevertheless, WATERSTONE did not begin to  record loan originators’ hours of work and did not move to pay some loan originators  overtime for hours over 40 in a work week until August 1, 2010, and reclassified all loan  originators as non-exempt in April 2011.   55.    The recording and tracking of Plaintiff loan originators’ work is administered and  monitored by WATERSTONE on computerized time keeping systems.   56.   On or about August 1, 2010, WATERSTONE changed its compensation structure,  sending each loan originator a new written employment agreement to be executed by the  company and the loan originator wherein they were classified as Inside or Outside loan  originators. The Outside agreement agreed to pay Outside loan originators commission  only. The new Inside employment agreement agreed to pay loan originators under a  combination commission and hourly wage structure.    57.  WATERSTONE knows that loan originators must work long hours, well over 40 in a  week, in order to make commission income exceeding their floor, since they must engage  in extensive promotional activities necessary to originating loans, activities such as  meeting with realtors and attorneys, attending open houses, networking, etc. They must  also engage in extensive loan processing activities to see that the loans they originate are  processed through to closing.   58.  Defendant knew or should have known that Plaintiffs and class members were working in  excess of 40 hours in a work week.   60.  Defendant knew or should have known that Plaintiffs were recording their hours of work  in rote fashion even though a loan originators’ hours are not routine, since they must  answer calls from prospective borrowers at all hours of the day, including in the evening  and on weekends.   61.  WATERSTONE required loan originators to bear expenses which are for the benefit and  convenience of WATERSTONE, such as travel expenses, internet, training, and cell  phone expenses, among others.   62.  Defendant discouraged Plaintiffs including class members from recording hours of work in  excess of 40 in a work week.   63.  Upon information and belief, Defendant failed to keep accurate time records for all the work  Plaintiffs and the class members did on a daily or weekly basis.   64.  Defendant failed to pay the Plaintiffs and the class members overtime compensation at the  rate of time and one-half for all hours worked over 40 in a week.    65.  Defendant failed to pay the Plaintiffs including the class members compensation equal to or  higher than the federal or higher state minimum wage rate for all hours worked in a week.   66.  Defendant did not pay Plaintiffs and the class members their wages “free and clear.”   67.  WATERSTONE’s contract with loan originators stated that “Commissions are calculated  by deducting the Base Pay paid during the current pay period from the aggregate  commission calculated pursuant to Addendum A.”    68.  WATERSTONE uses a bi-weekly pay period and pays commissions on a monthly basis,  if any were earned.    70.  Defendant failed to reimburse Plaintiffs for their purchase of all work tools and supplies.   71.   Beginning in April 2011, WATERSTONE treated all loan originators as FLSA non- exempt hourly workers requiring that it pay loan originators at least the minimum wage  for each work week, with overtime at the rate of time and one-half for each hour over 40  worked in a workweek.    72.   WATERSTONE promised its loan originators that they would receive a regular hourly  rate of at least the minimum wage rate and overtime at the rate of time and one-half.   73.  This promise as stated in the prior paragraph was set forth in a written contract given to each  loan originator. WATERSTONE admitted this fact in a sworn pleading it filed in its  malpractice lawsuit against its former attorneys in this case, Offit Kurman. 3:17-cv-796-jdp,  Doc. 17, ¶8-10, stating, “After retaining Defendants as its attorneys, Defendants  recommended that, based on an opinion letter from the U.S. Department of Labor,  WATERSTONE change its employment agreements so as to treat the LOs as non-exempt  under the FLSA in the sense that WATERSTONE voluntarily agreed to pay LOs overtime for  work in excess of 40 hours per week. Specifically, it was Attorney Ari Karen (‘Karen’) and/or  Attorney Russell Berger (‘Berger’) at the Offit Kurman law firm that provided this legal  advice. Based on that advice, Defendants drafted new employment agreements for  WATERSTONE’s LOs to execute. The new employment agreements, drafted by Defendants,  stated, among other things, that WATERSTONE would pay the employee minimum wage for  all hours worked in a given week up to 40 hours, and would pay the employee overtime for all  hours worked in a given week in excess of 40 hours.”   75.  Defendant’s stated policy was to pay Plaintiffs time and one-half their regular hourly rate for  hours worked over 40 in a week.   76.  Defendant did not pay Plaintiffs time and one-half their regular hourly rate for hours worked  over 40 in a week.   77.  Defendant did not pay Plaintiffs minimum wages or overtime in compliance with their  promise to do so or in compliance with federal law.   78.  Defendant’s failure to pay Plaintiffs and class members the proper wages required by law was  willful.  79.  Defendant failed to accurately record Plaintiffs’ start and stop time and daily and weekly hours  of work.   80.  Defendant knew or should have known that Plaintiffs worked hours over 40 hours in a week  and worked hours that they did not report.    81.  Upon information and belief, it was Defendant’s willful policy and pattern or practice not to  pay its employees, including Named and Other Plaintiffs, the Class Action Members, and the  FLSA Collective Members (collectively “Class Members”), for all hours of work at their  promised rate of pay, at the regular rate of pay, or pay an overtime premium for all work that  exceeded 40 hours in a week, or in the amount agreed to by its employment agreement with  loan originators.   83.  Defendant was aware or should have been aware that the law required it to pay non-exempt  employees, including Plaintiffs and the Class Members, an overtime premium of time and  one-half for all work-hours it suffered or permitted in excess of 40 per workweek. Upon  information and belief, Defendant applied the same unlawful policies and practices to its loan  originators in every state in which it operated.  84.  Defendant failed to pay overtime wages to Plaintiffs in violation of the Fair Labor Standards  Act, 29 U.S.C. §207 et seq. and its implementing regulations.   85.  Defendant’s failure to pay proper wages for each hour worked over 40 per week was willful  within the meaning of the FLSA.   86.  Defendant failed to pay minimum wages wages to Plaintiffs in violation of the Fair Labor  Standards Act, 29 U.S.C. §206 et seq. and its implementing regulations.   87.  Defendant’s failure to pay Plaintiffs proper minimum wages for each hour worked per week  was willful within the meaning of the FLSA.   88.  Defendant’s failure to pay Plaintiffs proper overtime wages for each hour worked over 40 per  week was willful within the meaning of the FLSA.   89.  Defendant’s failure to comply with the FLSA overtime and minimum wage protections  caused Plaintiffs to suffer loss of wages and interest thereon.  90.  Plaintiffs re-allege and incorporate by reference all allegations in all preceding paragraphs.   92.  Plaintiffs performed labor for Defendant knowing of and relying upon Defendant’s promise.   93.  Defendant failed to pay the promised regular rate and the overtime premium wages for the  hours it knew or should have known that Plaintiffs worked in violation of its promise to pay  such wages.   94.  Defendant’s failure to pay overtime as promised violated Plaintiffs’ rights under the common  law doctrines of contract and/or quasi-contract.  WHEREFORE, Plaintiffs request that this Court enter an Order:  