---
kind: "section"
citation: "29 U.S.C. § 261"
title: "29"
title_heading: "Labor"
number: "261"
heading: "Applicability of “area of production” regulations"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/29/261"
units:
  - "Chapter 9 — Portal-To-Portal Pay"
---

# §261. Applicability of “area of production” regulations


No [employer](/usc/29/262.md?p=a) shall be subject to any liability or punishment under the Fair Labor Standards Act of 1938, as amended [[29 U.S.C. 201](/usc/29/201.md) et seq.], on account of the failure of such [employer](/usc/29/262.md?p=a) to pay an [employee](/usc/29/262.md?p=a) minimum [wages](/usc/29/262.md?p=a), or to pay an [employee](/usc/29/262.md?p=a) overtime compensation, for or on account of an activity engaged in by such [employee](/usc/29/262.md?p=a) prior to December 26, 1946, if such [employer](/usc/29/262.md?p=a)—

- (1) was not so subject by reason of the definition of an “area of production”, by a regulation of the Administrator of the [Wage](/usc/29/262.md?p=a) and Hour Division of the Department of Labor, which regulation was applicable at the time of performance of the activity even though at that time the regulation was invalid; or
- (2) would not have been so subject if the regulation signed on December 18, 1946 (Federal Register, Vol. 11, p. 14648) had been in force on and after October 24, 1938.

## Source credit

(May 14, 1947, ch. 52, § 12, 61 Stat. 89.)

## Notes

### Editorial Notes

### References in Text

The Fair Labor Standards Act of 1938, as amended, referred to in text, is act June 25, 1938, ch. 676, 52 Stat. 1060, as amended, which is classified generally to chapter 8 (§ 201 et seq.) of this title. For complete classification of this Act to the Code, see section 201 of this title and Tables.

### Executive Documents

### Transfer of Functions

For transfer of functions of other officers, employees, and agencies of Department of Labor, with certain exceptions, to Secretary of Labor, with power to delegate, see Reorg. Plan No. 6, of 1950, §§ 1, 2, 15 F.R. 3174, 64 Stat. 1263, set out in the Appendix to Title 5, Government Organization and Employees.