Gulino v. The Board of Education of the City School District of the City of New…

Background

The case was referred to Special Master John S. Siffert in 2014. The Special Master later issued a report and recommendation concerning incentive awards for three named plaintiffs: Peter Wilds-Bethea, the Estate of Elsa Gulino, and Dianne Nia Greene. The court had already adopted the proposed findings and conclusions for the Estate of Elsa Gulino and Greene and had entered judgments for them. It reserved decision on Wilds-Bethea’s award while the parties completed briefing.

An incentive award, also called a service award, compensates a class representative for additional work performed for the class and encourages others to serve as class representatives. The court stated that awarding such an amount and setting its amount are matters within the court’s discretion. Courts consider the representative’s time and effort and any special personal or professional risks.

Parties’ Positions

Plaintiffs sought a $2.9 million award for Wilds-Bethea. The Board objected to any award above $272,996, which the opinion identifies as the average backpay award to class members as of April 19, 2022. The parties participated in mediation but did not reach an agreement. Wilds-Bethea submitted information describing his reasons for seeking a substantial award, but declined an opportunity to attend oral argument before the Special Master.

Court’s Analysis

The court reviewed the Special Master’s report and recommendation, proposed findings, proposed conclusions, and the parties’ briefing. Under Federal Rule of Civil Procedure 53(f) and the order appointing the Special Master, the court reviewed objections to legal conclusions and factual findings independently.

The court found that Wilds-Bethea had been involved in the case since its beginning, had served as a class representative for more than 23 years, and had been the sole class representative during the remedial phase since 2013. His work included meeting with counsel, assisting with class certification and discovery, being deposed twice, attending portions of an eight-week trial, communicating with counsel and class members, and documenting approximately 113 calls and meetings totaling more than 235.5 hours as of April 2021.

The court also considered the personal and professional risks Wilds-Bethea described, including concerns about how his participation would be viewed by school administrators and colleagues, possible effects on future employment, and possible retaliation while he continued working for the Board. The court concluded that his longer involvement and greater contribution justified an award above the $272,996 awards previously approved for the Estate of Elsa Gulino and Greene. It rejected the $2.9 million request as excessive and not proportionate to his contributions.

Disposition

The court adopted the Special Master’s report and recommendation concerning Wilds-Bethea and awarded him an incentive award of $350,000. It stated that the amount was fair, appropriate, and reasonable, and that it was the largest award to an individual in that district when compensatory damages and expense reimbursement were excluded. The court directed entry of the proposed judgment and certified it as final and appealable under Federal Rule of Civil Procedure 54(b), finding no just reason to delay entry of final judgment.