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Keywords

settlementplaintifflitigationattorneyhearingmotionlease
settlementplaintiffmotion

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Executive Cleaning Services of Long Island Ltd.; U.S. v.

Facts

Plaintiffs Fermin Gonzalez, Beckis Griselda Turcios, and Sandra Bonilla filed a motion for settlement approval in a wage-and-hour action on February 29, 2024. The motion was referred for report and recommendation on March 1, 2024. Following a fairness hearing on June 27, 2024, the parties submitted a revised settlement agreement on July 15, 2024, which was reviewed by the court.

Plaintiffs Fermin Gonzalez, Beckis Griselda Turcios, and Sandra Bonilla filed a motion for settlement approval ('Motion') in this wage-and-hour action on 02/29/2024. (ECF No. 37.) The Motion was referred for report and recommendation on 03/01/2024.

Issue

Whether the proposed settlement agreement is fair and reasonable under the standards set forth in Cheeks v. Freeport Pancake House, Inc.

Whether the proposed settlement agreement is fair and reasonable under the standards set forth in Cheeks v. Freeport Pancake House, Inc.

Rule

The court applied the standard from Cheeks v. Freeport Pancake House, Inc., which requires that a settlement in a wage-and-hour case reflects a reasonable compromise of disputed issues rather than a mere waiver of statutory rights.

Pursuant to Cheeks v. Freeport Pancake House, Inc., 796 F.3d 199 (2d Cir. 2015), the Court finds that the agreement 'reflects a reasonable compromise of disputed issues rather than a mere waiver of statutory rights brought about by an employer's overreaching.'

Analysis

The court analyzed the proposed revised settlement agreement and supplemental materials, concluding that the settlement amount was fair considering the litigation risks. The attorney's fees were reasonable as they represented a fair percentage of the net settlement amount after costs. Additionally, the agreement did not impose confidentiality or problematic provisions, and the release was appropriately tailored for wage-and-hour claims.

After reviewing the proposed revised settlement agreement and supplemental materials, the Court finds that the agreement 'reflects a reasonable compromise of disputed issues rather than a mere waiver of statutory rights brought about by an employer's overreaching.'

Conclusion

The court recommended that the motion for settlement approval be granted, finding the plaintiffs' recovery under the revised settlement agreement to be fair and reasonable.

The Court therefore respectfully recommends that the Motion for Settlement Approval at ECF No. 37, as supplemented by ECF Nos. 38, 40, and 43, should be granted.

Who won?

The plaintiffs prevailed in the case as the court recommended granting their motion for settlement approval, finding the terms of the settlement to be fair and reasonable.

The Court therefore respectfully recommends that the Motion for Settlement Approval at ECF No. 37, as supplemented by ECF Nos. 38, 40, and 43, should be granted.

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