Godinez Cortes v. Almuntaser

Background

Juan Godinez Cortes brought claims under the Fair Labor Standards Act (FLSA) and the New York Labor Law (NYLL) against Sultan Almuntaser, 467 Sanaa Star Inc., 467 Star Deli Inc., Wow Star Deli Inc., and NYC Star Deli Inc. The complaint sought unpaid minimum and overtime wages, spread-of-hours pay, statutory and liquidated damages, and other amounts.

The opinion states that Godinez Cortes worked as a deli worker and food preparer from approximately March 14, 2022, through approximately December 15, 2022. He allegedly worked about 48 hours per week, usually six days per week, and sometimes worked additional shifts. He was paid approximately $13 per hour in cash and was not paid the required minimum wage or overtime rate. The opinion also states that the defendants did not provide required wage notices at the start of employment or wage statements with each payment.

Default and legal standard

The defendants did not file an answer or otherwise appear. The Clerk entered certificates of default after the plaintiff requested them. Under Federal Rule of Civil Procedure 55, a court may enter default judgment after default has been entered. A default generally treats well-pleaded liability allegations as admitted, but it does not establish the amount of damages. The plaintiff therefore had to provide evidence supporting the damages with reasonable certainty.

Court’s analysis

The court accepted the well-pleaded allegations about liability as true. It concluded that the defendants violated the FLSA and NYLL by failing to pay the required minimum and overtime wages. Because the defendants were in default and had not produced employment records, the court relied on the plaintiff’s declaration and submitted damages calculation regarding the hours worked and wages paid.

The court awarded $12,996.00 in unpaid wages and overtime. It also awarded $10,000.00 in statutory damages for violations of the NYLL wage-notice and wage-statement requirements, described as $5,000.00 under each provision. The court awarded liquidated damages equal to 100% of the unpaid minimum wages, overtime, and spread-of-hours amounts because the defendants did not establish a good-faith basis for believing their wage practices complied with the law.

The court calculated prejudgment interest at 9% simple interest per year from July 30, 2022, the midpoint of the employment period, and stated that the amount was $1,474.07 as of November 2, 2023. Interest was to continue through the date judgment was entered. The court also found that the plaintiff was entitled to reasonable attorney’s fees and costs.

Disposition

Judge Andrew L. Carter, Jr. granted the plaintiff’s motion for default judgment as to liability and directed the Clerk to close the motion. The court entered judgment in the plaintiff’s favor for $35,992.00, not including prejudgment interest, attorney’s fees, or costs. It additionally awarded $5,522.84, consisting of $862.84 in costs and $4,660.00 in attorney’s fees. If amounts remained unpaid after the applicable 90-day period, the judgment would automatically increase by 15% as required by NYLL § 198(4).