Huerta v. Aura Wellness Spa Corp.
- Vyskocil
- 1:19-cv-11095
- U.S. District Court · Southern District of New York
- 3
In Huerta v. Aura Wellness, Judge Vyskocil approved a Fair Labor Standards Act settlement, dismissed the action with prejudice, and approved fees and costs.
Emiliano Huerta and the defendants, including Aura Wellness Spa Corp.; the order also approved fees and costs for Huerta’s attorneys.
What happened
In Huerta v. Aura Wellness Spa Corp., Emiliano Huerta alleged that defendants failed to pay him overtime for locker-room maintenance work at their spa. He brought claims under the Fair Labor Standards Act and New York Labor Law.
The parties reached a settlement. The court reviewed the proposed settlement and found it fair and reasonable, considering Huerta’s possible recovery, the risks and costs of continuing the case, and the difficulty of collecting a larger judgment.
Judge Mary Kay Vyskocil dismissed the action with prejudice, approved $5,501.33 in attorney fees and $496 in costs, and directed the Clerk of Court to close the case.
The detailed version
- Huerta v. Aura Wellness Spa Corp. · No. 1:19-cv-11095
- Vyskocil
- Feb. 24, 2021
Background
Emiliano Huerta brought this action individually and on behalf of others similarly situated against Aura Wellness Spa Corp. and other defendants. He asserted claims under the Fair Labor Standards Act (FLSA), the federal wage-and-hour statute, and the New York Labor Law. Huerta alleged that defendants employed him to perform locker-room maintenance at their spa, that he often worked overtime, and that he was not paid the required overtime wages.
Huerta alleged approximately $27,840 in unpaid overtime wages and at least $10,784.25 based on his other claims, for a total of more than $38,624.25. These figures were allegations of the claimed damages; the opinion does not state the total settlement amount.
Settlement Review
The parties reached a settlement and submitted a letter explaining why it was fair, the settlement agreement, and Huerta’s attorneys’ time records. Because the action included an FLSA claim, the court was required to review and approve the settlement.
The court considered the factors used to evaluate an FLSA settlement, including Huerta’s possible recovery, the burdens and expenses of continuing the litigation, the litigation risks, whether experienced counsel negotiated at arm’s length, and the possibility of fraud or collusion. The court found the proposed settlement fair and reasonable. It specifically considered Huerta’s alleged damages, his challenges in proving the case at trial, and the challenges he might face in collecting a larger judgment.
Disposition
The court ordered that the action be dismissed with prejudice under Federal Rule of Civil Procedure 41. The court also found that the requested attorney fees were reasonable and approved $5,501.33 in fees and $496 in costs. The court ordered that all other dates and deadlines be adjourned and directed the Clerk of Court to close the case.
Judge Mary Kay Vyskocil’s order resolved the action through the approved settlement; it did not decide whether defendants actually violated the FLSA or New York Labor Law.
Read the full 3-page opinion on CourtListener, the free public archive maintained by the Free Law Project.