SpecialtyCare Ex-Workers Partly Advance Quitting-Fee Lawsuit

Former SpecialtyCare Inc. workers can pursue truth-in-lending claims in their case alleging the company imposed steep costs on those who quit within their first few years of employment.

The workers’ theory that the fees—tied to the costs of their company-provided training program—functioned as “private education loans” allows their Truth in Lending Act allegations to move forward, the US District Court for the Middle District of Tennessee said. But their wage-kickback and free-and-clear payment claims failed, the opinion said, granting that section of SpecialtyCare’s partial dismissal motion.

The lawsuit is one of many private and government actions challenging employers’ requirements ...