Bolivar Guzman v. Toys Outlet Inc.

Background

The case includes one or more claims under the Fair Labor Standards Act. The opinion identifies Jorge Bolivar Guzman as the plaintiff and Toys Outlet Inc., doing business as Furniture Express, and others as defendants. The order does not describe the specific claims or defenses or state the proposed settlement amount.

Required settlement materials

Citing the Second Circuit’s decision in Cheeks v. Freeport Pancake House, Inc., the court required the parties to file a joint letter-motion addressing whether their settlement was fair and reasonable. The submission had to discuss the claims and defenses, the defendants’ potential monetary exposure and the basis for calculating it, the strengths and weaknesses of the plaintiff’s case and the defenses, reasons for any difference between the potential value of the claims and the settlement amount, and the litigation and negotiation process. It could also address other relevant issues, such as whether a judgment would be collectible after trial.

The parties also had to explain the attorney-fee arrangement, attach the retainer agreement, provide information about actual attorney fees expended, and attach the settlement agreement itself.

Order

Judge Sarah L. Cave ordered the parties to file the joint letter-motion by Monday, December 9, 2019. The Clerk of Court was directed to mail the order to defendant Israel Aboutboul at the address listed in the order. The opinion does not say that the court approved or rejected the settlement; it orders the parties to submit information for the court’s review.