Oppenheimer v. Crizit, LLC

Background

Paul Oppenheimer brought this action against Sebastiaan Abbink Spaink, Chris Tolmeijer, Yi Lin Shen, and Crizit, LLC under the Fair Labor Standards Act, a federal law governing matters including overtime pay. The parties notified the court that they had reached a settlement and submitted their settlement agreement for court approval.

Settlement Review

The court explained that settlements of Fair Labor Standards Act claims that are dismissed under Federal Rule of Civil Procedure 41 must be reviewed for fairness. The court also stated that any proposed award of attorney’s fees must be scrutinized. The order did not decide whether the proposed settlement was fair or approve the agreement.

The court scheduled a conference for August 20, 2025, at 11:00 a.m. At that conference, the parties were directed to explain the basis for the settlement and why a possible dismissal should be approved as fair and reasonable. They were also directed to address the settlement’s confidentiality and non-disparagement clauses. The court noted that a clause generally barring negative statements about a defendant ordinarily should include an exception allowing truthful statements about the plaintiff’s experience litigating the case, unless case-specific reasons justify omitting that exception.

Alternative Magistrate-Judge Procedure

The court stated that the settlement was reached during a settlement conference with Magistrate Judge Lehrburger. The parties could instead consent to have Judge Lehrburger handle the case for all purposes, including deciding whether to approve the settlement. If they chose that option, they were directed to submit the required consent form by August 13, 2025.

Disposition

Judge Jeannette A. Vargas scheduled a settlement-approval conference and provided an option for the parties to consent to proceedings before Magistrate Judge Lehrburger. The order did not grant or deny approval of the settlement and did not enter a dismissal.