Chipoco v. Madison Hair Inc.
- Paul Engelmayer
- 1:19-cv-11446
- U.S. District Court · Southern District of New York
- 2
In Chipoco v. Madison Hair, Judge Engelmayer approved the parties’ $125,000 settlement in a wage-law case and closed the case.
The settlement affected plaintiffs Danielle M. Chipoco and Brelynn Lexi Gonsales, defendants Madison Hair Inc., A & B Hair, Inc., and Michelle Hong, and plaintiffs’ counsel.
What happened
In Chipoco v. Madison Hair Inc., Danielle M. Chipoco and Brelynn Lexi Gonsales brought a case under the Fair Labor Standards Act and New York Labor Law. The parties submitted a proposed settlement for the court’s review.
The agreement required the defendants to pay $125,000 total. Chipoco would receive $49,600, Gonsales would receive $33,733.34, and their lawyers would receive $41,666.66 for fees and expenses.
Judge Paul A. Engelmayer found that the agreement was reached fairly and was fair and reasonable. He approved it and directed the clerk to close the case.
The detailed version
- Chipoco v. Madison Hair Inc. · No. 1:19-cv-11446
- Paul Engelmayer
- Jan. 22, 2021
Background
Danielle M. Chipoco and Brelynn Lexi Gonsales sued Madison Hair Inc., A & B Hair, Inc., and Michelle Hong under the Fair Labor Standards Act and New York Labor Law. On January 18, 2021, the parties submitted a proposed settlement agreement and a supporting letter. The parties later clarified how the total settlement would be distributed in a January 21, 2021 letter.
Settlement Terms
The defendants agreed to pay $125,000 in total. The agreement allocated:
- $49,600 to plaintiff Chipoco; - $33,733.34 to plaintiff Gonsales; and - $41,666.66 to plaintiffs’ counsel, Aidala, Bertuna & Kamins, P.C., for attorneys’ fees and reimbursement of expenses.
The amount paid to counsel was one third of the total settlement amount.
Court’s Analysis
The court reviewed the agreement and concluded, substantially for the reasons stated in the parties’ letter, that it was fair and reasonable. The court also found that the agreement was reached through procedurally fair means and satisfied the standard for reviewing Fair Labor Standards Act settlements established in Cheeks v. Freeport Pancake House, Inc.
Ruling
Judge Paul A. Engelmayer approved the settlement agreement. The clerk was directed to close the case.
Read the full 2-page opinion on CourtListener, the free public archive maintained by the Free Law Project.