De Los Santos v. Loco Furniture Corp
- Laura Swain
- 1:19-cv-03007
- U.S. District Court · Southern District of New York
- 2
In De Los Santos v. Loco Furniture, Judge Swain approved an FLSA settlement as fair and reasonable, with one change to whom checks must be sent.
The settlement affected Raul Jimenez De Los Santos and the defendants, and the order changed which attorney would receive the settlement checks for distribution.
What happened
In De Los Santos v. Loco Furniture Corp., the court reviewed the parties’ proposed settlement of a Fair Labor Standards Act case and applied the required fairness review.
The court found the settlement, including attorneys’ fees and expenses, fair and reasonable. It directed that settlement checks be sent to Jessenia Maldonado, the plaintiff’s current counsel of record, rather than Alex Umansky, who had withdrawn.
Judge Laura Taylor Swain ordered the parties to submit a stipulation ending the case by December 19, 2019.
The detailed version
- De Los Santos v. Loco Furniture Corp · No. 1:19-cv-03007
- Laura Swain
- Dec. 5, 2019
Background
Raul Jimenez De Los Santos asked the court to approve a proposed settlement in this Fair Labor Standards Act (FLSA) case. The opinion does not state the settlement amount or describe the specific disputed wage claims.
Court’s analysis
The court explained that it must carefully review an FLSA settlement before entering judgment to determine whether it is fair and reasonable. It considered the settlement under the totality of the circumstances, including the plaintiff’s possible recovery, the burdens and expenses of continuing the case, litigation risks, whether experienced counsel negotiated at arm’s length, and the possibility of fraud or collusion. The court also considered the settlement agreement’s attorneys’ fees and expenses under the requirements discussed in Cheeks v. Freeport Pancake House, Inc.
Ruling
Judge Laura Taylor Swain found that the proposed settlement agreement, including the attorneys’ fees and expenses, was fair and reasonable and satisfied the applicable requirements. The court directed that settlement checks be sent to Jessenia Maldonado, the plaintiff’s counsel of record, instead of Alex Umansky because Mr. Umansky had withdrawn as counsel of record. The parties were directed to submit their stipulation of dismissal by December 19, 2019.
Read the full 2-page opinion on CourtListener, the free public archive maintained by the Free Law Project.