[Code of Federal Regulations]
[Title 29, Volume 3]
[Revised as of July 1, 2005]
From the U.S. Government Printing Office via GPO Access
[CITE: 29CFR794.105]

[Page 702-703]
 
                             TITLE 29--LABOR
 
         CHAPTER V--WAGE AND HOUR DIVISION, DEPARTMENT OF LABOR
 
PART 794_PARTIAL OVERTIME EXEMPTION FOR EMPLOYEES OF WHOLESALE OR BULK 
 
Subpart B_Exemption From Overtime Pay Requirements Under Section 7(b)(3) 
                               of the Act
 
Sec. 794.105  Other requirements for exemption.

    The limited overtime pay exemption provided by section 7(b)(3) 
applies to any employee compensated in accordance with its terms who is 
``employed * * * by an * * * enterprise * * * engaged in the wholesale 
or bulk distribution of petroleum products'' as explained in Sec. Sec. 
794.103 through 794.104 if

[[Page 703]]

the enterprise which employs him meets all of the following 
requirements: (a) It is a ``local'' enterprise; (b) it is 
``independently owned and controlled''; (c) it has an annual gross 
volume of sales of less than $1 million exclusive of excise taxes; (d) 
it makes more than 75 percent of its annual dollar volume of sales 
within the State in which it is located; and (e) not more than 25 
percent of such annual dollar volume of sales is to customers who are 
engaged in the bulk distribution of petroleum products for resale. In 
order to determine whether all these requirements are met, it is 
necessary to know what constitutes the ``enterprise'' to which reference 
is made, the meaning of ``the wholesale or bulk distribution of 
petroleum products'' in which engagement is required as a prerequisite 
to exemption, what is meant by a ``local'' enterprise and what 
characterizes it as ``independently owned and controlled'', and the 
criteria for application of the dollar volume tests. These matters will 
be discussed in some detail in the sections following.

                           The ``Enterprise''