The U.S. Supreme Court unanimously ruled Wednesday that disputes over Fair Labor Standards Act (FLSA) exemptions do not require heightened evidence standards. Justice Brett Kavanaugh, writing for the court, rejected employees’ arguments for a “clear and convincing evidence” standard, reaffirming that the preponderance of evidence standard is appropriate in civil litigation unless explicitly altered by statute, constitutional requirements, or precedent involving severe government actions.

The case, EMD Sales Inc. v. Carrera, centered on whether a higher standard should apply in disputes about overtime exemption classifications. The Fourth Circuit had ruled in July 2023 that EMD Sales failed to prove by clear and convincing evidence that its workers fell under the FLSA’s outside sales exemption. The three workers claimed they were misclassified and owed overtime wages.

Justice Kavanaugh noted the preponderance standard applies to other critical workplace laws, such as Title VII. A concurring opinion by Justice Neil Gorsuch, joined by Justice Clarence Thomas, emphasized that courts adhere to the default standard unless Congress or the Constitution mandates otherwise.

The outside sales exemption requires that employees primarily engage in sales or contracts and regularly work away from the employer’s business locations. Salary requirements do not apply to this exemption. In the case, U.S. District Judge James K. Bredar ruled in 2021 that the workers spent most of their time stocking shelves and placing orders, not making sales, and thus did not qualify for the exemption.

During oral arguments, the justices questioned why the FLSA should differ from other statutes regarding evidence standards. The U.S. Department of Justice supported overturning the appellate court’s decision to maintain the preponderance standard.

The case is EMD Sales Inc. et al. v. Carrera et al., No. 23-217, in the U.S. Supreme Court.