Foster v. Padres Place (Redemption Ranch)

This is an active federal lawsuit I filed on behalf of a live-in house manager at a residential addiction recovery facility who was misclassified as an independent contractor and paid a flat monthly rate, no matter how many hours he worked.

Case No. 6:25-cv-00522-JDK-KNM, E.D. Tex. (Tyler Division)

Background

My client Evan Foster worked as a live-in house manager at a facility operated by Redemption Ranch Outreach, Inc. in Athens, Texas. He lived at the facility and was responsible for managing the residence around the clock. His compensation was a flat rate of $2,500 per month, a fixed payment regardless of how many hours he actually worked.

In practice, my client worked approximately 100 to 126 hours per week. At that volume, a flat $2,500 monthly rate works out to far less than minimum wage for most hours worked and zero overtime for the dozens of hours each week beyond 40. Calling him an independent contractor did not change what federal law requires: overtime pay for hours worked over 40, and minimum wage for all hours, regardless of the label on the contract.

Allegations

Redemption Ranch Outreach, Inc. and its owner Michael Householder (individually named as a defendant) misclassified my client as an independent contractor to avoid paying overtime and minimum wage. Under the federal economic reality test, my client was an employee. The defendants knew the nature of the job required around-the-clock presence and structured compensation to avoid the obligations that come with employment.

Affected Workers

If you worked as a house manager, program manager, or in a similar live-in role at Redemption Ranch or a comparable addiction recovery facility and were paid a flat monthly or weekly rate, your situation may be similar. Federal overtime law protects workers based on the economic reality of the relationship, not the label.

Next Steps

If you worked for Redemption Ranch and believe you were denied overtime or minimum wage, call me at (512) 799-2048 for a free consultation.

I handle these cases on a contingency fee basis. There are no upfront costs, and you pay nothing unless there is a recovery.