Martinez v. Felipe's Pizza and Restaurant, Inc.

Background

The case includes one or more claims under the Fair Labor Standards Act. The parties reached a settlement during a settlement conference before Judge Aaron on October 9, 2020. Afterward, the parties consented to have all proceedings handled by Judge Aaron.

Court’s Order

The court cited the requirements of Cheeks v. Freeport Pancake House, Inc., a Second Circuit decision concerning review of settlements in Fair Labor Standards Act cases. It required the parties to file a joint letter or motion by November 5, 2020, addressing whether their settlement was fair and reasonable.

The filing must discuss the claims and defenses; the defendants’ potential financial exposure and the basis for calculating it; the strengths and weaknesses of the plaintiff’s case and the defendants’ defenses; reasons for any difference between the potential value of the claims and the settlement amount; the litigation and negotiation process; and other relevant issues, including whether a judgment could be collected if the case went to trial.

The parties also must explain the attorney-fee arrangement, attach the retainer agreement, provide information about the actual attorney fees incurred and the attorneys’ relevant experience, and attach the settlement agreement itself.

Disposition

Judge Stewart D. Aaron ordered the parties to submit the required joint letter or motion and supporting materials. The opinion does not say that the court approved or rejected the settlement.