Salary employees question. is it legal?:
It is legal, since there is no overtime for salaried employees. 

There is one caveat however, Minimum wage law still applies even to salaried employees, So calculate how many hours you work each year then divide your salary by that number -- if the result is less then federal minimum wage(5.15) or your states minimum wage(7.63 being the maximum in Washington) or even your local minimum wage(9.50 in Santa Fe) then your employer is in violation of the law.