Narain v. Sunrise Jewelry Corp.
- Robert Lehrburger
- 1:19-cv-10136
- U.S. District Court · Southern District of New York
- 2
In Narain v. Sunrise Jewelry, Judge Lehrburger approved the parties’ fair and reasonable settlement of wage claims under federal and New York law.
The settlement affected Mohan Narain, Sunrise Jewelry Corp., and the other defendants in this wage-and-hour case; the court directed that the case be closed.
What happened
Narain v. Sunrise Jewelry Corp. was a lawsuit seeking damages under the Fair Labor Standards Act and New York Labor Law. The parties jointly asked the court to approve their settlement agreement.
The court reviewed the settlement’s fairness, including the risks and costs of continuing the case, possible recovery, bargaining process, attorney’s fees, and potential fraud or collusion. The agreement had no confidentiality or non-disparagement provisions, and its release was limited to claims in the lawsuit.
Judge Robert W. Lehrburger found the settlement fair and reasonable and approved it. He directed the Clerk of Court to terminate all motions and deadlines and close the case.
The detailed version
- Narain v. Sunrise Jewelry Corp. · No. 1:19-cv-10136
- Robert Lehrburger
- Aug. 20, 2020
Background
Mohan Narain brought an action for damages against Sunrise Jewelry Corp. and other defendants under the Fair Labor Standards Act, a federal wage law, and the New York Labor Law. The parties submitted a joint letter asking the court to approve their fully executed settlement agreement, which they submitted on August 19, 2020.
Settlement Review
The court explained that a federal court must determine whether a settlement in a Fair Labor Standards Act case is fair, reasonable, and reached through arm’s-length negotiation rather than employer overreaching. The court considered the prior proceedings, the risks, burdens, and costs of continuing the case, the possible range of recovery, whether the agreement resulted from arm’s-length bargaining between experienced counsel or parties, the attorney’s fees, and the possibility of fraud or collusion.
The court also noted that the agreement contained no confidentiality restrictions, no non-disparagement provision, and a release narrowly limited to the claims in the litigation. It found that the attorney’s fees were within a fair, reasonable, and acceptable range.
Ruling
Judge Robert W. Lehrburger found the settlement agreement fair and reasonable and approved it. The court requested that the Clerk of Court terminate all motions and deadlines and close the case.
Read the full 2-page opinion on CourtListener, the free public archive maintained by the Free Law Project.